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: 811-23339

Name of Fund: BlackRock Funds V

BlackRock Core Bond Portfolio

BlackRock GNMA Portfolio

BlackRock High Yield Bond Portfolio

BlackRock Impact Mortgage Fund

BlackRock Income Fund

BlackRock Low Duration Bond Portfolio

BlackRock Sustainable High Yield Bond Fund

BlackRock Sustainable Low Duration Bond Fund

Fund Address:   100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service:  John M. Perlowski, Chief Executive Officer, BlackRock Funds V, 50 Hudson Yards, New York, NY 10001

Registrant’s telephone number, including area code: (800) 441-7762

Date of fiscal year end: 09/30/2023

Date of reporting period: 03/31/2023

Item 1 – Report to Stockholders

(a)  The Report to Shareholders is attached herewith.

             (b)  Not Applicable

MARCH

31,

2023

Not

FDIC

Insured

-

May

Lose

Value

-

No

Bank

Guarantee

2023

Semi-Annual

Report

(Unaudited)

BlackRock

Funds

V

BlackRock

Core

Bond

Portfolio

BlackRock

High

Yield

Bond

Portfolio

BlackRock

Low

Duration

Bond

Portfolio

Dear

Shareholder,

Significant

economic

headwinds

emerged

during

the

12-month

reporting

period

ended

March

31,

2023,

as

investors

navigated

changing

economic

conditions

and

volatile

markets.

The

U.S.

economy

shrank

in

the

first

half

of

2022

before

returning

to

modest

growth

in

the

second

half

of

the

year,

marking

a

shift

to

a

more

challenging

post-reopening

economic

environment.

Changes

in

consumer

spending

patterns

and

a

tight

labor

market

led

to

elevated

inflation,

which

reached

a

40-year

high

before

beginning

to

moderate.

Equity

prices

fell

as

interest

rates

rose,

particularly

during

the

first

half

of

the

reporting

period.

Both

large-

and

small-capitalization

U.S.

stocks

declined,

although

equities

began

to

recover

in

the

second

half

of

the

period

as

inflation

eased

and

economic

growth

resumed.

Emerging

market

stocks

and

international

equities

from

developed

markets

declined

overall,

pressured

by

rising

interest

rates

and

volatile

commodities

prices.

The

10-year

U.S.

Treasury

yield

rose

during

the

reporting

period,

driving

its

price

down,

as

investors

reacted

to

fluctuating

inflation

data

and

attempted

to

anticipate

its

impact

on

future

interest

rate

changes.

The

corporate

bond

market

also

faced

inflationary

headwinds,

and

higher

interest

rates

led

to

rising

borrowing

costs

for

corporate

issuers.

The

U.S.

Federal

Reserve

(the

“Fed”),

acknowledging

that

inflation

has

been

more

persistent

than

expected,

raised

interest

rates

eight

times.

Furthermore,

the

Fed

wound

down

its

bond-buying

programs

and

accelerated

the

reduction

of

its

balance

sheet.

Restricted

labor

supply

kept

inflation

elevated

even

as

other

inflation

drivers,

such

as

goods

prices

and

energy

costs,

moderated.

While

economic

growth

slowed

in

the

last

year,

we

believe

that

taming

inflation

requires

a

more

substantial

decline

that

lowers

demand

to

a

level

more

in

line

with

the

economy’s

productive

capacity.

Although

the

Fed

has

decelerated

the

pace

of

interest

rate

hikes,

we

believe

that

it

still

seems

determined

to

get

inflation

back

to

target.

With

this

in

mind,

we

believe

the

possibility

of

a

U.S.

recession

in

the

near-term

is

high,

but

the

dimming

economic

outlook

has

not

yet

been

fully

reflected

in

current

market

prices.

We

believe

investors

should

expect

a

period

of

higher

volatility

as

markets

adjust

to

the

new

economic

reality

and

policymakers

attempt

to

adapt

to

rapidly

changing

conditions.

Turmoil

in

the

banking

sector

late

in

the

period

highlighted

the

potential

for

the

knock-on

effects

of

substantially

higher

interest

rates

to

disrupt

markets

with

little

warning.

While

we

favor

an

overweight

to

equities

in

the

long

term,

we

prefer

an

underweight

stance

on

equities

overall

in

the

near

term.

Expectations

for

corporate

earnings

remain

elevated,

which

seems

inconsistent

with

the

possibility

of

a

recession.

Nevertheless,

we

are

overweight

on

emerging

market

stocks

as

we

believe

a

weakening

U.S.

dollar

provides

a

supportive

backdrop.

We

also

see

long-term

opportunities

in

credit,

where

we

believe

that

valuations

are

appealing

and

higher

yields

provide

attractive

income,

although

we

are

neutral

on

credit

in

the

near

term,

as

we’re

concerned

about

tightening

credit

and

financial

conditions.

However,

we

believe

there

are

still

some

strong

opportunities

for

a

six-

to

twelve-month

horizon,

particularly

short-term

U.S.

Treasuries,

global

inflation-linked

bonds,

and

emerging

market

bonds

denominated

in

local

currency.

Overall,

our

view

is

that

investors

need

to

think

globally,

position

themselves

to

be

prepared

for

a

decarbonizing

economy,

and

be

nimble

as

market

conditions

change.

We

encourage

you

to

talk

with

your

financial

advisor

and

visit

blackrock.com

for

further

insight

about

investing

in

today’s

markets.

Sincerely,

Rob

Kapito

President,

BlackRock

Advisors,

LLC

The

Markets

in

Review

Rob

Kapito

President,

BlackRock

Advisors,

LLC

Past

performance

is

not

an

indication

of

future

results.

Index

performance

is

shown

for

illustrative

purposes

only.

You

cannot

invest

directly

in

an

index.

Total

Returns

as

of

March

31,

2023

6-Month

12-Month

U.S.

large

cap

equities

(S&P

500

®

Index)

15.62

%

(7.73

)%

U.S.

small

cap

equities

(Russell

2000

®

Index)

9.14

(11.61

)

International

equities

(MSCI

Europe,

Australasia,

Far

East

Index)

27.27

(1.38

)

Emerging

market

equities

(MSCI

Emerging

Markets

Index)

14.04

(10.70

)

3-month

Treasury

bills

(ICE

BofA

3-Month

U.S.

Treasury

Bill

Index)

1.93

2.52

U.S.

Treasury

securities

(ICE

BofA

10-Year

U.S.

Treasury

Index)

4.38

(6.90

)

U.S.

investment

grade

bonds

(Bloomberg

U.S.

Aggregate

Bond

Index)

4.89

(4.78

)

Tax-exempt

municipal

bonds

(Bloomberg

Municipal

Bond

Index)

7.00

0.26

U.S.

high

yield

bonds

(Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index)

7.88

(3.35

)

This

Page

is

not

Part

of

Your

Fund

Report

2

Table

of

Contents

Page

3

The

Markets

in

Review

...................................................................................................

2

Semi-Annual

Report:

Fund

Summary

........................................................................................................

4

The

Benefits

and

Risks

of

Leveraging

..........................................................................................

11

About

Fund

Performance

..................................................................................................

12

Disclosure

of

Expenses

...................................................................................................

13

Derivative

Financial

Instruments

.............................................................................................

13

Financial

Statements:

Schedules

of

Investments

...............................................................................................

14

Statements

of

Assets

and

Liabilities

.........................................................................................

102

Statements

of

Operations

................................................................................................

105

Statements

of

Changes

in

Net

Assets

........................................................................................

106

Financial

Highlights

.....................................................................................................

108

Notes

to

Financial

Statements

...............................................................................................

125

Statement

Regarding

Liquidity

Risk

Management

Program

.............................................................................

142

Additional

Information

....................................................................................................

143

Glossary

of

Terms

Used

in

this

Report

..........................................................................................

145

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

4

BlackRock

Core

Bond

Portfolio

Investment

Objective

BlackRock

Core

Bond

Portfolio’s

(the

“Fund”)

investment

objective

is

to

seek

to

realize

a

total

return

that

exceeds

that

of

the

reference

benchmark.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

all

of

the

Fund’s

share

classes

outperformed

its

benchmark,

the

Bloomberg

U.S.

Aggregate

Bond

Index.

What

factors

influenced

performance?

The

Fund’s

active

positioning

with

respect

to

duration

(sensitivity

to

interest

rate

changes)

was

the

most

significant

contributor

to

performance

relative

to

the

benchmark

as

Treasury

yields

declined

over

the

reporting

period.

Holdings

of

U.S.

investment

grade

corporate

bonds

and

structured

products

also

proved

additive

to

relative

performance.

The

Fund’s

index

replication

and

absolute

return

strategies

detracted

from

relative

performance

over

the

reporting

period.

The

Fund

held

a

2.1%

cash

position

on

average

over

the

period

and

a

1.0%

cash

position

at

period

end.

The

Fund’s

cash

position

did

not

have

a

material

impact

on

performance.

By

period

end,

the

Fund

was

underweight

duration

as

compared

to

the

benchmark.

Describe

recent

portfolio

activity.

During

the

fourth

quarter

of

2022,

the

Fund

tactically

rotated

across

select

spread

sectors

as

the

investment

adviser

believed

there

were

attractive

opportunities

that

emerged

on

the

back

of

the

Fed’s

fastest

rate

hiking

cycle

in

decades.

Specifically,

the

Fund

increased

its

active

tilts

within

U.S.

investment

grade

corporate

credit

given

the

increased

dispersion

of

risk/reward

within

the

sector,

while

reducing

its

overweight

in

agency

mortgage-backed

securities

(“MBS”).

Within

securitized

assets,

exposure

was

shifted

toward

higher

quality

commercial

mortgage-backed

securities

and

structurally

protected

collateralized

loan

obligations.

Outside

the

United

States,

exposure

to

European

sovereigns

was

trimmed

given

elevated

recession

and

geopolitical

risks.

In

addition,

the

Fund

held

a

short

position

with

respect

to

Japanese

long-term

government

bonds.

The

Fund

was

defensively

positioned

in

emerging

market

debt

given

concerns

around

tighter

central

bank

policies,

weakening

growth

and

reduced

liquidity.

During

the

first

quarter

of

2023,

the

Fund

increased

its

underweight

stance

with

respect

to

duration

and

corresponding

interest

rate

sensitivity.

Exposure

to

U.S.

investment

grade

corporate

bonds

was

trimmed

as

spreads

became

less

attractive,

while

exposure

to

agency

MBS

was

tactically

increased

given

the

investment

adviser's

belief

that

the

sector

had

a

favorable

risk/reward

profile

in

a

shifting

rate

environment.

Finally,

the

Fund

became

somewhat

less

defensive

with

respect

to

emerging

markets.

Describe

portfolio

positioning

at

period

end.

At

the

end

of

the

reporting

period,

the

Fund

maintained

a

below-benchmark

duration

stance.

The

aggregate

yield-to-worst

of

the

Fund’s

holdings

was

above

that

of

the

benchmark.

The

Fund

was

overweight

agency

MBS,

and,

slightly,

investment

grade

corporate

bonds.

Within

structured

products,

the

Fund

was

focused

on

the

top

of

the

capital

structure.

Outside

of

the

United

States,

the

Fund

continued

to

trim

its

European

sovereign

position

given

supply

risks

and

reduced

recession

odds,

while

continuing

to

hold

a

short

position

in

Japanese

long

government

bonds.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

5

Fund

Summary

BlackRock

Core

Bond

Portfolio

Performance

N/A

–

Not

applicable

as

share

class

and

Index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Portfolio

Information

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

4.14‌%

4.04‌%

5.83‌%

(4.67‌)%

N/A‌

1.13‌%

N/A‌

1.53‌%

N/A‌

Investor

A

...............

3.74‌

3.65‌

5.69‌

(5.00‌)

(8.80‌)%

0.88‌

0.06‌%

1.25‌

0.83‌%

Investor

C

...............

3.15‌

3.04‌

5.32‌

(5.64‌)

(6.57‌)

0.12‌

0.12‌

0.65‌

0.65‌

Class

K

................

4.19‌

4.14‌

5.97‌

(4.60‌)

N/A‌

1.19‌

N/A‌

1.60‌

N/A‌

Class

R

................

3.64‌

3.46‌

5.69‌

(5.13‌)

N/A‌

0.63‌

N/A‌

1.00‌

N/A‌

Bloomberg

U.S.

Aggregate

Bond

Index

(c)

..........

—‌

—‌

4.89‌

(4.78‌)

N/A‌

0.91‌

N/A‌

1.36‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees.

(b)

The

Fund

normally

invests

at

least

80%

of

its

assets

in

bonds

and

maintains

an

average

portfolio

duration

that

is

within

±20%

of

the

duration

of

the

Bloomberg

U.S.

Aggregate

Bond

Index

(the

“benchmark”).

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

Core

Bond

Portfolio

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

is

the

performance

and

accounting

survivor

of

the

Reorganization.

(c)

A

broad-based

flagship

benchmark

that

measures

the

investment

grade,

U.S.

dollar-denominated,

fixed-rate

taxable

bond

market.

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,058.30‌

$

2.21‌

$

1,000.00‌

$

1,022.79‌

$

2.17‌

0.43‌%

Investor

A

................................

1,000.00‌

1,056.90‌

3.49‌

1,000.00‌

1,021.54‌

3.43‌

0.68‌

Investor

C

................................

1,000.00‌

1,053.20‌

7.32‌

1,000.00‌

1,017.80‌

7.19‌

1.43‌

Class

K

..................................

1,000.00‌

1,059.70‌

1.95‌

1,000.00‌

1,023.04‌

1.92‌

0.38‌

Class

R

..................................

1,000.00‌

1,056.90‌

4.77‌

1,000.00‌

1,020.29‌

4.68‌

0.93‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

U.S.

Government

Sponsored

Agency

Securities

..............

33.6‌

%

U.S.

Treasury

Obligations

.............................

28.9‌

Corporate

Bonds

...................................

20.7‌

Asset-Backed

Securities

..............................

9.2‌

Non-Agency

Mortgage-Backed

Securities

..................

5.7‌

Foreign

Government

Obligations

........................

1.0‌

Municipal

Bonds

...................................

0.7‌

Foreign

Agency

Obligations

............................

0.2‌

Preferred

Securities

.................................

0.0‌

(b)

Other

Interests

....................................

0.0‌

(b)

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(c)

Percent

of

Total

Investments

(a)

AAA/Aaa

(d)

......................................

71.9‌

%

AA/Aa

.........................................

2.3‌

A

............................................

10.2‌

BBB/Baa

.......................................

13.6‌

BB/Ba

.........................................

0.3‌

B

............................................

0.1‌

CCC/Caa

.......................................

0.0‌

(b)

NR

...........................................

1.6‌

(a)

Excludes

short-term

securities,

options

purchased,

options

written

and

TBA

sale

commitments.

(b)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

(c)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(d)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

6

BlackRock

High

Yield

Bond

Portfolio

Investment

Objective

BlackRock

High

Yield

Bond

Portfolio’s

(the

“Fund”)

investment

objective

is

to

seek

to

maximize

total

return,

consistent

with

income

generation

and

prudent

investment

management.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

all

of

the

Fund’s

share

classes

outperformed

its

benchmark,

the

Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index,

except

the

Fund’s

Investor

C

class

shares

which

underperformed.

What

factors

influenced

performance?

Asset

allocation

was

a

key

contributor

to

performance,

led

by

a

tactical

overweight

allocation

to

investment-grade

BBB-rated

bonds.

Positions

in

high

yield

index

products

also

contributed

to

performance,

followed

by

an

underweight

in

the

media

and

entertainment

sector.

An

overweight

in

B-rated

securities

contributed

to

performance,

as

well.

The

Fund’s

foreign

currency

positioning

was

the

largest

detractor,

followed

by

an

overweight

in

U.S.

Treasuries

that

the

investment

adviser

held

for

the

purpose

of

portfolio

liquidity.

An

elevated

cash

position

also

weighed

on

performance,

as

did

an

underweight

in

the

gaming

sector.

Describe

recent

portfolio

activity.

The

investment

adviser

maintained

below-average

portfolio

risk

due

to

the

combination

of

rising

interest

rates

and

slowing

economic

growth.

It

held

a

consistent

underweight

in

BBs,

but

it

increased

the

Fund’s

position

in

BBBs

in

late

2022

as

it

uncovered

opportunities

that

the

investment

adviser

believed

to

be

attractive

relative

value

opportunities

in

this

area.

Later

in

the

period,

it

trimmed

this

position

in

favor

of

short

duration

mid-

to

high-quality

high

yield

bonds.

(Duration

is

a

measure

of

interest

rate

sensitivity.)

The

investment

adviser

maintained

a

tactical

allocation

to

bank

loans

at

just

under

10%

of

the

portfolio.

Loans

meaningfully

outperformed

other

credit

sectors

in

2022

due

to

their

lower

duration,

but

they

lagged

somewhat

in

the

first

three

months

of

2023.

Describe

portfolio

positioning

at

period

end.

The

Fund

remained

underweight

in

BBs

and

overweight

in

Bs

and

CCCs,

and

it

maintained

the

out-of-benchmark

allocations

to

loans

and

investment-grade

corporates.

The

Fund

maintained

its

longstanding

overweight

in

the

information

technology

sector.

It

was

also

overweight

in

the

aerospace

and

defense

and

independent

energy

sectors,

and

it

was

underweight

in

the

retail,

auto

and

healthcare

sectors.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Performance

N/A

–

Not

applicable

as

share

class

and

Index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

7.74‌%

7.74‌%

8.18‌%

(3.09‌)%

N/A‌

3.30‌%

N/A‌

4.22‌%

N/A‌

Service

................

7.47‌

7.47‌

8.20‌

(3.21‌)

N/A‌

3.02‌

N/A‌

3.93‌

N/A‌

Investor

A

...............

7.09‌

7.08‌

8.17‌

(3.42‌)

(7.28‌)%

2.96‌

2.13‌%

3.89‌

3.46‌%

Investor

C

...............

6.72‌

6.72‌

7.81‌

(4.04‌)

(4.96‌)

2.26‌

2.26‌

3.28‌

3.28‌

Class

K

................

7.84‌

7.84‌

8.40‌

(2.85‌)

N/A‌

3.41‌

N/A‌

4.33‌

N/A‌

Class

R

................

7.16‌

7.16‌

8.04‌

(3.65‌)

N/A‌

2.69‌

N/A‌

3.58‌

N/A‌

Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index

(c)

........

—‌

—‌

7.88‌

(3.35‌)

N/A‌

3.19‌

N/A‌

4.09‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees.

(b)

The

Fund

invests

primarily

in

non-investment

grade

bonds

with

maturities

of

ten

years

or

less.

The

Fund

normally

invests

at

least

80%

of

its

assets

in

high

yield

bonds.

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

High

Yield

Bond

Portfolio

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

is

the

performance

and

accounting

survivor

of

the

Reorganization.

(c)

An

unmanaged

index

comprised

of

issues

that

meet

the

following

criteria:

at

least

$150

million

par

value

outstanding;

maximum

credit

rating

of

Ba1;

at

least

one

year

to

maturity;

and

no

issuer

represents

more

than

2%

of

the

index.

Fund

Summary

as

of

March

31,

2023

(continued)

7

Fund

Summary

BlackRock

High

Yield

Bond

Portfolio

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Portfolio

Information

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,081.80‌

$

3.01‌

$

1,000.00‌

$

1,022.04‌

$

2.92‌

0.58‌%

Service

..................................

1,000.00‌

1,082.00‌

4.36‌

1,000.00‌

1,020.74‌

4.23‌

0.84‌

Investor

A

................................

1,000.00‌

1,081.70‌

4.77‌

1,000.00‌

1,020.34‌

4.63‌

0.92‌

Investor

C

................................

1,000.00‌

1,078.10‌

8.19‌

1,000.00‌

1,017.05‌

7.95‌

1.58‌

Class

K

..................................

1,000.00‌

1,084.00‌

2.44‌

1,000.00‌

1,022.59‌

2.37‌

0.47‌

Class

R

..................................

1,000.00‌

1,080.40‌

6.02‌

1,000.00‌

1,019.15‌

5.84‌

1.16‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

Corporate

Bonds

...................................

89.0‌

%

Floating

Rate

Loan

Interests

...........................

9.8‌

Preferred

Securities

.................................

0.6‌

Common

Stocks

...................................

0.4‌

Asset-Backed

Securities

..............................

0.1‌

Foreign

Agency

Obligations

............................

0.1‌

Other

Interests

....................................

0.0‌

(b)

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(c)

Percent

of

Total

Investments

(a)

AA/Aa

.........................................

0.1‌

%

A

............................................

0.9‌

BBB/Baa

.......................................

11.7‌

BB/Ba

.........................................

35.0‌

B

............................................

40.5‌

CCC/Caa

.......................................

9.7‌

CC/Ca

........................................

0.0‌

(b)

NR

...........................................

2.1‌

(a)

Excludes

short-term

securities,

options

purchased,

options

written

and

investments

sold

short.

(b)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

(c)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

8

BlackRock

Low

Duration

Bond

Portfolio

Investment

Objective

BlackRock

Low

Duration

Bond

Portfolio’s

(the

“Fund”)

investment

objective

is

to

seek

total

return

in

excess

of

the

reference

benchmark

in

a

manner

that

is

consistent

with

preservation

of

capital.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

all

of

the

Fund’s

share

classes

outperformed

its

benchmark,

the

ICE

BofA

1-3

Year

U.S.

Corporate

&

Government

Index.

What

factors

influenced

performance?

Positive

contributions

to

the

Fund's

performance

relative

to

the

benchmark

were

led

by

allocations

to

sectors

that

trade

at

a

yield

spread

relative

to

U.S.

Treasuries,

including

both

investment

grade

and

high

yield

corporate

bonds.

Within

securitized

assets,

exposure

to

both

asset-backed

securities

(“ABS”)

and

residential

mortgage-backed

securities

(“MBS”)

contributed

to

performance.

Finally,

positioning

in

U.S.

Treasuries

and

emerging

market

debt

contributed

positively.

The

main

detractor

from

the

Fund’s

relative

performance

was

positioning

with

respect

to

interest

rates,

including

the

Fund’s

stance

with

respect

to

overall

duration

and

corresponding

interest

rate

sensitivity

and

positioning

along

the

yield

curve.

Holdings

of

cash

and

cash

equivalents

detracted

modestly

from

performance.

With

respect

to

derivatives,

the

Fund

utilized

Treasury

futures

to

hedge

interest

rate

risk,

which

detracted

from

performance.

The

Fund’s

cash

position

averaged

8.0%

over

the

six-month

period

and

was

5.7%

at

period

end.

The

cash

position

did

not

have

a

material

impact

on

performance.

Describe

recent

portfolio

activity.

Over

the

period,

the

Fund

tactically

traded

duration

on

the

back

of

large

interest

rate

swings

which

included

a

spiking

of

rates

in

September

2022,

an

easing

in

January

2023,

another

upward

shift

in

February

2023,

and

a

sharp

decline

in

March

2023.

The

Fund

maintained

a

bias

towards

high

quality

while

reducing

risk

exposure

at

the

margins.

In

this

vein,

the

Fund

maintained

an

elevated

allocation

to

U.S.

Treasuries.

The

Fund

also

increased

exposure

to

callable

agency

issues

for

incremental

income

and

held

agency

MBS

for

high

quality,

liquid

diversification.

Similarly,

the

Fund

reduced

its

allocation

to

high

yield

corporate

bonds

and

almost

fully

exited

emerging

market

debt.

Commercial

mortgage-backed

securities

(“CMBS”)

have

come

under

pressure

from

higher

rates

which

have

pressured

floating

rate

borrowers.

In

addition,

commercial

properties

are

seeing

higher

vacancies

due

to

work-from-home

policies.

As

a

result,

we

are

less

constructive

on

the

sector

and

reduced

the

CMBS

allocation

by

nearly

half.

Within

corporate

credit,

the

Fund

reduced

exposure

to

financials

in

favor

of

high

quality

sectors

with

predictable

cash

flows,

such

as

pharmaceuticals

and

technology.

Within

ABS,

the

Fund

rotated

away

from

consumer

backed

loans

on

the

view

that

the

consumer

may

come

under

pressure

with

higher

rates

and

a

slower

economy,

and

into

prime

credit

cards.

Describe

portfolio

positioning

at

period

end.

At

reporting

period

end,

the

Fund

had

a

below-benchmark

duration

on

the

view

that

the

front

end

of

the

Treasury

curve

could

move

higher

from

current

levels.

The

Fund

maintained

a

high

quality,

liquid

portfolio,

in

order

to

be

ready

to

take

advantage

of

opportunities

if

credit

spreads

widen

further.

The

Fund

had

a

somewhat

cautious

stance

on

credit

risk.

The

Fund

held

out

of

benchmark

allocations

to

securitized

assets

and

was

underweight

investment

grade

corporate

bonds

relative

to

the

benchmark.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

9

Fund

Summary

BlackRock

Low

Duration

Bond

Portfolio

Performance

N/A

–

Not

applicable

as

share

class

and

Index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

4.33‌%

4.31‌%

3.19‌%

0.11‌%

N/A‌

1.19‌%

N/A‌

1.28‌%

N/A‌

Investor

A

...............

3.99‌

3.97‌

3.06‌

(0.14‌)

(2.39‌)%

0.94‌

0.48‌%

0.99‌

0.76‌%

Investor

A1

..............

4.23‌

4.11‌

3.14‌

0.01‌

N/A‌

1.09‌

N/A‌

1.15‌

N/A‌

Investor

C

...............

3.34‌

3.29‌

2.68‌

(0.89‌)

(1.85‌)

0.19‌

0.19‌

0.38‌

0.38‌

Class

K

................

4.38‌

4.37‌

3.22‌

0.16‌

N/A‌

1.24‌

N/A‌

1.32‌

N/A‌

Class

R

................

3.83‌

3.70‌

2.93‌

(0.40‌)

N/A‌

0.69‌

N/A‌

0.72‌

N/A‌

ICE

BofA

1-3

Year

U.S.

Corporate

&

Government

Index

(c)

..............

—‌

—‌

2.40‌

0.30‌

N/A‌

1.27‌

N/A‌

1.02‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees,

and

how

performance

was

calculated

for

certain

classes.

(b)

The

Fund

invests

primarily

in

investment

grade

bonds

and

maintains

an

average

portfolio

duration

that

is

between

0-3

years.

The

Fund

normally

invests

at

least

80%

of

its

assets

in

debt

securities.

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

Low

Duration

Bond

Portfolio

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

is

the

performance

and

accounting

survivor

of

the

Reorganization.

(c)

An

unmanaged

index

comprised

of

investment

grade

corporate

bonds

and

U.S.

Government

Agency

and

U.S.

Treasury

securities

with

a

maturity

ranging

from

one

to

three

years.

On

March

1,

2021

the

Fund

began

to

track

the

4pm

pricing

variant

of

the

ICE

BofA

1-3

Year

U.S.

Corporate

&

Government

Index

(the

"Index").

Historical

index

data

prior

to

March

1,

2021

is

for

the

3pm

pricing

variant

of

the

Index.

Index

data

on

and

after

March

1,

2021

is

for

the

4pm

pricing

variant

of

the

Index.

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,031.90‌

$

2.03‌

$

1,000.00‌

$

1,022.94‌

$

2.02‌

0.40‌%

Investor

A

................................

1,000.00‌

1,030.60‌

3.29‌

1,000.00‌

1,021.69‌

3.28‌

0.65‌

Investor

A1

...............................

1,000.00‌

1,031.40‌

2.53‌

1,000.00‌

1,022.44‌

2.52‌

0.50‌

Investor

C

................................

1,000.00‌

1,026.80‌

7.07‌

1,000.00‌

1,017.95‌

7.04‌

1.40‌

Class

K

..................................

1,000.00‌

1,032.20‌

1.77‌

1,000.00‌

1,023.19‌

1.77‌

0.35‌

Class

R

..................................

1,000.00‌

1,029.30‌

4.55‌

1,000.00‌

1,020.44‌

4.53‌

0.90‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

Fund

Summary

as

of

March

31,

2023

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

10

BlackRock

Low

Duration

Bond

Portfolio

Portfolio

Information

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

Corporate

Bonds

...................................

32.5‌

%

U.S.

Treasury

Obligations

.............................

26.3‌

Asset-Backed

Securities

..............................

19.9‌

U.S.

Government

Sponsored

Agency

Securities

..............

10.6‌

Non-Agency

Mortgage-Backed

Securities

..................

10.0‌

Foreign

Agency

Obligations

............................

0.7‌

Floating

Rate

Loan

Interests

...........................

0.0‌

(b)

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(c)

Percent

of

Total

Investments

(a)

AAA/

Aaa

(d)

......................................

60.8‌

%

AA/Aa

.........................................

2.7‌

A

............................................

14.9‌

BBB/Baa

.......................................

15.5‌

BB/Ba

.........................................

1.9‌

B

............................................

1.0‌

CCC/

Caa

.......................................

0.0‌

(b)

D

............................................

0.0‌

(b)

NR

...........................................

3.2‌

(a)

Excludes

short-term

securities

and

TBA

sale

commitments.

(b)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

(c)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(d)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

The

Benefits

and

Risks

of

Leveraging

11

The

Benefits

and

Risks

of

Leveraging

The

Funds

may

utilize

leverage

to

seek

to

enhance

returns

and

net

asset

value

(“NAV”).

However,

there

is

no

guarantee

that

these

objectives

can

be

achieved

in

all

interest

rate

environments.  

In

general,

the

concept

of

leveraging

is

based

on

the

premise

that

the

financing

cost

of

leverage,

which

is

based

on

short-term

interest

rates,

is

normally

lower

than

the

income

earned

by

each

Fund

on

its

longer-term

portfolio

investments

purchased

with

the

proceeds

from

leverage.

To

the

extent

that

the

total

assets

of

each

Fund

(including

the

assets

obtained

from

leverage)

are

invested

in

higher-yielding

portfolio

investments, each

Fund’s

shareholders

benefit

from

the

incremental

net

income.

The

interest

earned

on

securities

purchased

with

the

proceeds

from

leverage

is

distributed

to each

Fund’s

shareholders,

and

the

value

of

these

portfolio

holdings

is

reflected

in each

Fund’s

per

share

NAV.

However,

in

order

to

benefit

shareholders,

the

return

on

assets

purchased

with

leverage

proceeds

must

exceed

the

ongoing

costs

associated

with

the

leverage.

If

interest

and

other

ongoing

costs

of

leverage

exceed

a

Fund’s

return

on

assets

purchased

with

leverage

proceeds,

income

to

shareholders

is

lower

than

if

the

Funds

had

not

used

leverage.  

Furthermore,

the

value

of

each

Fund’s

portfolio

investments

generally

varies

inversely

with

the

direction

of

long-term

interest

rates,

although

other

factors

can

also

influence

the

value

of

portfolio

investments.

As

a

result,

changes

in

interest

rates

can

influence

each

Fund’s

NAV

positively

or

negatively

in

addition

to

the

impact

on

each

Fund’s

performance

from

leverage.

Changes

in

the

direction

of

interest

rates

are

difficult

to

predict

accurately,

and

there

is

no

assurance

that

a

Fund’s

leveraging

strategy

will

be

successful.

The

use

of

leverage

also

generally

causes

greater

changes

in

each

Fund’s

NAV

and

dividend

rates

than

comparable

portfolios

without

leverage.

In

a

declining

market,

leverage

is

likely

to

cause

a

greater

decline

in

the

NAV

of a

Fund’s

shares

than

if the

Fund

were

not

leveraged.

In

addition,

each

Fund

may

be

required

to

sell

portfolio

securities

at

inopportune

times

or

at

distressed

values

in

order

to

comply

with

regulatory

requirements

applicable

to

the

use

of

leverage

or

as

required

by

the

terms

of

the

leverage

instruments,

which

may

cause

the

Fund

to

incur

losses.

The

use

of

leverage

may

limit a

Fund’s

ability

to

invest

in

certain

types

of

securities

or

use

certain

types

of

hedging

strategies.

Each

Fund

incurs

expenses

in

connection

with

the

use

of

leverage,

all

of

which

are

borne

by

each

Fund’s

shareholders

and

may

reduce

income.

About

Fund

Performance

2023

BlackRock

Semi-Annual

Report

to

Shareholders

12

Institutional

and

Class

K

Shares

 are

not

subject

to

any

sales

charge.

These

shares

bear

no

ongoing

distribution

or

service

fees

and

are

available

only

to

certain

eligible

investors.

Service

Shares

(available

only

in

BlackRock

High

Yield

Bond

Portfolio)

are

not

subject

to

any

sales

charge.

These

shares

are

subject

to

a

service

fee

of 

0.25%

per

year

(but

no

distribution

fee)

and

are

only

available

to

certain

eligible

investors.

Investor

A

Shares

are

subject

to

a

maximum

initial

sales

charge

(front-end

load)

of 4.00%

for

all

funds

included

in

this

report,

except

for

BlackRock

Low

Duration

Bond

Portfolio

which

is

subject

to

an

initial

sales

charge

of

2.25%.

These

shares

are

subject

to

a

service

fee

of

0.25%

per

year

(but

no

distribution

fee).

Certain

redemptions

of

these

shares

may

be

subject

to

a

contingent

deferred

sales

charge

(“CDSC”)

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

These

shares

are

generally

available

through

financial

intermediaries.

Investor

A1

Shares

(available

only

in

BlackRock

Low

Duration

Bond

Portfolio

)

are

subject

to

a

maximum

initial

sales

charge

(front-end

load)

of 

1.00%

 and

a

service

fee

of 

0.10

%

per

year

(but

no

distribution

fee).

The

maximum

initial

sales

charge

does

not

apply

to

current

eligible

shareholders

of

Investor

A1

Shares

of

the

Fund.

These

shares

are

only

available

for

dividend

and

capital

gain

reinvestment

by

existing

shareholders

and

for

purchase

by

certain

eligible

employer-sponsored

retirement

plans.

Certain

redemption

of

these

shares

may

be

subject

to

a

CDSC

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

However,

the

CDSC

does

not

apply

to

redemptions

by

certain

employer-sponsored

retirement

plans

or

to

redemptions

of

shares

acquired

through

the

reinvestment

of

dividends

and

capital

gains

by

existing

shareholders.

Investor

C

Shares

 are

subject

to

a 1.00%

CDSC

if

redeemed

within

one

year

of

purchase.

In

addition,

these

shares

are

subject

to

a

distribution

fee

of

0.75

%

per

year

and

a

service

fee

of 

0.25%

per

year.

These

shares

are

generally

available

through

financial

intermediaries.

These

shares

automatically

convert

to

Investor

A

Shares

after

approximately eight

years.

Class

R

Shares

are

not

subject

to

any

sales

charge.

These

shares

are

subject

to

a

distribution

fee

of 

0.25%

per

year

and

a

service

fee

of 

0.25%

per

year.

These

shares

are

available

only

to

certain

employer-sponsored

retirement

plans.

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

high

er

than

the

performance

data

quoted.

Refer

to

blackrock.com 

to

obtain

performance

data

current

to

the

most

recent

month-end.

Performance

results

do

not

reflect

the

deduction

of

taxes

that

a

shareholder

would

pay

on

Fund

distributions

or

the

redemption

of

Fund

shares.

Figures

shown

in

the

performance

table(s) assume

reinvestment

of

all

distributions,

if

any,

at

NAV

on

the

ex-dividend

date

or

payable

date,

as

applicable.

Investment

return

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Distributions

paid

to

each

class

of

shares

will

vary

because

of

the

different

levels

of

service,

distribution

and

transfer

agency

fees

applicable

to

each

class,

which

are

deducted

from

the

income

available

to

be

paid

to

shareholders. 

BlackRock

Advisors,

LLC

(the

“Manager”),

each

Fund’s

investment

adviser,

has

contractually

and/or

voluntarily

agreed

to

waive

and/or

reimburse

a

portion

of

each

Fund’s

expenses.

Without

such

waiver(s)

and/or

reimbursement(s),

each

Fund’s

performance

would

have

been

lower.

With

respect

to

each

Fund’s

voluntary

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

waive

and/or

reimburse

or

to

continue

waiving

and/or

reimbursing

its

fees

and

such

voluntary

waiver(s)

may

be

reduced

or

discontinued

at

any

time. With

respect

to

each

Fund’s

contractual

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

continue

waiving

and/or

reimbursing

its

fees

after

the

applicable

termination

date

of

such agreement.

See

the

Notes

to

Financial

Statements

for

additional

information

on

waivers

and/or

reimbursements. 

The

standardized

30-day

yield

includes

the

effects

of

any

waivers

and/or

reimbursements.

The

unsubsidized

30-day

yield

excludes

the

effects

of

any

waivers

and/or

reimbursements. 

Disclosure

of

Expenses

13

Disclosure

of

Expenses

/

Derivative

Financial

Instruments

Shareholders

of

each

Fund

may

incur

the

following

charges:

(a)

transactional

expenses,

such

as

sales

charges;

and

(b)

operating

expenses,

including

investment

advisory

fees,

administration

fees, service

and

distribution

fees,

including

12b-1

fees,

acquired

fund

fees

and

expenses, 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

mutual

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

corresponding

to

their

Fund and

share

class

under

the

heading

entitled

“Expenses

Paid

During

the

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

these

Funds

and

other

funds,

compare

the

5%

hypothetical

examples

with

the

5%

hypothetical

examples

that

appear

in

shareholder

reports

of

other

funds. 

The

expenses

shown

in

the

expense

examples

are

intended

to

highlight

shareholders’

ongoing

costs

only

and

do

not

reflect

transactional

expenses,

such

as

sales

charges,

if

any.

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.

Derivative

Financial

Instruments

The

Funds

may

invest

in

various

derivative

financial

instruments.

These

instruments

are

used

to

obtain

exposure

to

a

security,

commodity,

index,

market,

and/or

other

assets

without

owning

or

taking

physical

custody

of

securities,

commodities

and/or

other

referenced

assets

or

to

manage

market,

equity,

credit,

interest

rate,

foreign

currency

exchange

rate,

commodity

and/or

other

risks.

Derivative

financial

instruments

may

give

rise

to

a

form

of

economic

leverage

and

involve

risks,

including

the

imperfect

correlation

between

the

value

of

a

derivative

financial

instrument

and

the

underlying

asset,

possible

default

of

the

counterparty

to

the

transaction

or

illiquidity

of

the

instrument.

Pursuant

to

Rule

18f-4

under

the

1940

Act,

among

other

things,

the

Funds

must

either

use

derivative

financial

instruments

with

embedded

leverage

in

a

limited

manner

or

comply

with

an

outer

limit

on

fund

leverage

risk

based

on

value-at-risk. The

Funds’

successful

use

of

a

derivative

financial

instrument

depends

on

the

investment

adviser’s

ability

to

predict

pertinent

market

movements

accurately,

which

cannot

be

assured.

The

use

of

these

instruments

may

result

in

losses

greater

than

if

they

had

not

been

used,

may

limit

the

amount

of

appreciation a

Fund

can

realize

on

an

investment

and/or

may

result

in

lower

distributions

paid

to

shareholders.

The

Funds’

investments

in

these

instruments,

if

any,

are

discussed

in

detail

in

the

Notes

to

Financial

Statements.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

14

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

522

Funding

CLO

Ltd.

(a)(b)

Series

2019-4A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.65%

Floor

+

3.65%),

8.46%,

04/20/30

....................

USD

470

$

425,855

Series

2019-5A,

Class

AR,

(3-mo.

CME

Term

SOFR

at

1.33%

Floor

+

1.33%),

5.99%,

04/15/35

...............

250

243,069

ACREC

LLC,

Series

2023-FL2,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.23%

Floor

+

2.23%),

6.92%,

02/19/38

(a)(b)

...............

1,060

1,047,273

AGL

CLO

12

Ltd.,

Series

2021-12A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

07/20/34

(a)(b)

.........

1,730

1,690,824

AGL

CLO

14

Ltd.,

Series

2021-14A,

Class

A,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.97%,

12/02/34

(a)(b)

.........

1,530

1,494,155

AGL

CLO

7

Ltd.

(a)(b)

Series

2020-7A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

5.99%,

07/15/34

....................

540

527,803

Series

2020-7A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.10%

Floor

+

3.10%),

7.89%,

07/15/34

....................

250

230,816

AGL

Core

CLO

15

Ltd.,

Series

2021-15A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

01/20/35

(a)(b)

.........

250

244,016

AGL

Core

CLO

2

Ltd.,

Series

2019-2A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.39%

Floor

+

1.39%),

6.20%,

04/20/32

(a)(b)

.........

1,320

1,312,505

AGL

Core

CLO

4

Ltd.,

Series

2020-4A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/33

(a)(b)

.........

920

905,264

AGL

Static

CLO

18

Ltd.,

Series

2022-18A,

Class

B,

(3-mo.

CME

Term

SOFR

at

2.00%

Floor

+

2.00%),

6.65%,

04/21/31

(a)(b)

....

260

249,845

AIG

CLO

LLC,

Series

2018-1A,

Class

A1R,

(3-

mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.93%,

04/20/32

(a)(b)

...............

280

275,822

AIMCO

CLO

(a)(b)

Series

2017-AA,

Class

CR,

(3-mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.91%,

04/20/34

....................

250

236,264

Series

2018-BA,

Class

AR,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

01/15/32

....................

1,290

1,270,014

Ajax

Mortgage

Loan

Trust,

Series

2021-C,

Class

A,

2.12%,

01/25/61

(b)(c)

.........

7,180

6,712,948

Allegro

CLO

II-S

Ltd.,

Series

2014-1RA,

Class

A1,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.90%,

10/21/28

(a)(b)

.........

804

797,709

Allegro

CLO

IV

Ltd.,

Series

2016-1A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.55%

Floor

+

1.55%),

6.34%,

01/15/30

(a)(b)

.........

250

243,750

ALM

Ltd.,

Series

2020-1A,

Class

A2,

(3-mo.

LIBOR

USD

+

1.85%),

6.64%,

10/15/29

(a)(b)

1,660

1,625,824

AMMC

CLO

22

Ltd.,

Series

2018-22A,

Class

B,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.27%,

04/25/31

(a)(b)

.........

250

241,375

AMMC

CLO

XIII

Ltd.,

Series

2013-13A,

Class

A1R2,

(3-mo.

LIBOR

USD

+

1.05%),

5.87%,

07/24/29

(a)(b)

....................

405

401,884

AMSR

Trust,

Series

2020-SFR2,

Class

D,

3.28%,

07/17/37

(b)

................

557

521,143

Anchorage

Capital

CLO

16

Ltd.,

Series

2020-

16A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.00%,

01/19/35

(a)(b)

250

243,283

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Anchorage

Capital

CLO

17

Ltd.,

Series

2021-

17A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.96%,

07/15/34

(a)(b)

....

USD

2,495

$

2,432,654

Anchorage

Capital

CLO

3-R

Ltd.,

Series

2014-

3RA,

Class

B,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.30%,

01/28/31

(a)(b)

....

1,040

1,002,102

Anchorage

Capital

CLO

4-R

Ltd.,

Series

2014-

4RA,

Class

A,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.85%,

01/28/31

(a)(b)

....

900

889,682

Anchorage

Capital

CLO

5-R

Ltd.

(a)(b)

Series

2014-5RA,

Class

B,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

01/15/30

....................

420

412,731

Series

2014-5RA,

Class

C,

(3-mo.

LIBOR

USD

at

1.85%

Floor

+

1.85%),

6.64%,

01/15/30

....................

250

242,729

Anchorage

Capital

CLO

6

Ltd.,

Series

2015-6A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.84%,

07/15/30

(a)(b)

....

1,211

1,197,596

Anchorage

Capital

CLO

7

Ltd.

(a)(b)

Series

2015-7A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.89%,

01/28/31

....................

929

920,391

Series

2015-7A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.55%,

01/28/31

....................

1,640

1,596,046

Series

2015-7A,

Class

D1R2,

(3-mo.

LIBOR

USD

at

3.50%

Floor

+

3.50%),

8.30%,

01/28/31

....................

250

220,977

Anchorage

Capital

CLO

8

Ltd.,

Series

2016-8A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.61%,

10/27/34

(a)(b)

....

650

622,797

Anchorage

Capital

CLO

Ltd.

(a)(b)

Series

2013-1A,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.25%),

6.06%,

10/13/30

....

670

663,985

Series

2018-1RA,

Class

A1,

(3-mo.

LIBOR

USD

at

0.99%

Floor

+

0.99%),

5.81%,

04/13/31

....................

2,240

2,214,291

Anchorage

Capital

Europe

CLO

2

DAC,

Series

2A,

Class

B1R,

(3-mo.

EURIBOR

at

1.60%

Floor

+

1.60%),

2.98%,

04/15/34

(a)(b)

....

EUR

272

279,069

Apidos

CLO

XII,

Series

2013-12A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.87%,

04/15/31

(a)(b)

.........

USD

4,916

4,860,112

Apidos

CLO

XV,

Series

2013-15A,

Class

A1RR,

(3-mo.

LIBOR

USD

at

1.01%

Floor

+

1.01%),

5.82%,

04/20/31

(a)(b)

.........

500

494,894

Apidos

CLO

XVIII,

Series

2018-18A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.96%,

10/22/30

(a)(b)

.........

350

345,364

Apidos

CLO

XX,

Series

2015-20A,

Class

A1RA,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/16/31

(a)(b)

.........

250

246,638

Apidos

CLO

XXII

(a)(b)

Series

2015-22A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.31%,

04/20/31

....................

250

244,007

Series

2015-22A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.95%

Floor

+

2.95%),

7.76%,

04/20/31

....................

250

234,992

Aqua

Finance

Trust,

Series

2021-A,

Class

A,

1.54%,

07/17/46

(b)

................

92

82,815

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

15

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Arbor

Realty

Commercial

Real

Estate

Notes

Ltd.

(a)(b)

Series

2022-FL1,

Class

A,

(SOFR

30

Day

Average

at

1.45%

Floor

+

1.45%),

6.01%,

01/15/37

....................

USD

10,000

$

9,800,511

Series

2022-FL2,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.85%

Floor

+

1.85%),

6.68%,

05/15/37

....................

1,350

1,326,375

Ares

European

CLO

XII

DAC,

Series

12A,

Class

B1R,

(3-mo.

EURIBOR

at

1.70%

Floor

+

1.70%),

4.04%,

04/20/32

(a)(b)

........

EUR

297

307,710

Ares

LII

CLO

Ltd.,

Series

2019-52A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.87%,

04/22/31

(a)(b)

.........

USD

1,770

1,745,847

Ares

LIX

CLO

Ltd.,

Series

2021-59A,

Class

A,

(3-mo.

LIBOR

USD

at

1.03%

Floor

+

1.03%),

5.85%,

04/25/34

(a)(b)

.........

250

244,530

Ares

LVI

CLO

Ltd.,

Series

2020-56A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.98%,

10/25/34

(a)(b)

.........

410

399,513

Ares

XLVIII

CLO

Ltd.,

Series

2018-48A,

Class

B,

(3-mo.

LIBOR

USD

at

1.58%

Floor

+

1.58%),

6.39%,

07/20/30

(a)(b)

.........

250

243,855

Ares

XXXVII

CLO

Ltd.,

Series

2015-4A,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.17%),

5.96%,

10/15/30

(a)(b)

....................

310

307,174

Armada

Euro

CLO

III

DAC,

Series

3A,

Class

DR,

(3-mo.

EURIBOR

at

3.30%

Floor

+

3.30%),

5.64%,

07/15/31

(a)(b)

.........

EUR

287

281,933

Assurant

CLO

Ltd.,

Series

2018-2A,

Class

A,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.85%,

04/20/31

(a)(b)

.........

USD

250

247,005

Atrium

IX,

Series

9A,

Class

AR2,

(3-mo.

LIBOR

USD

at

0.99%

Floor

+

0.99%),

5.94%,

05/28/30

(a)(b)

....................

979

968,209

Avoca

CLO

XVIII

DAC,

Series

18X,

Class

C,

(3-mo.

EURIBOR

at

1.75%

Floor

+

1.75%),

4.04%,

04/15/31

(a)(d)

...............

EUR

100

101,167

Avoca

CLO

XXII

DAC,

Series

22X,

Class

B1,

(3-mo.

EURIBOR

at

1.30%

Floor

+

1.30%),

3.59%,

04/15/35

(a)(d)

...............

200

201,717

Babson

CLO

Ltd.,

Series

2015-IA,

Class

BR,

(3-mo.

LIBOR

USD

at

1.40%

Floor

+

1.40%),

6.21%,

01/20/31

(a)(b)

.........

USD

250

243,619

Bain

Capital

Credit

CLO

Ltd.

(a)(b)

Series

2017-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.31%,

07/20/30

....................

250

240,298

Series

2018-2A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.88%,

07/19/31

....................

330

326,884

Series

2018-2A,

Class

B,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.40%,

07/19/31

....................

250

239,137

Series

2021-3A,

Class

D,

(3-mo.

LIBOR

USD

at

3.10%

Floor

+

3.10%),

7.92%,

07/24/34

....................

250

214,073

Bardot

CLO

Ltd.,

Series

2019-2A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.00%

Floor

+

3.00%),

7.82%,

10/22/32

(a)(b)

.........

250

232,968

Barings

CLO

Ltd.

(a)(b)

Series

2018-3A,

Class

A1,

(3-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.76%,

07/20/29

....................

134

133,348

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2019-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/31

....................

USD

250

$

246,236

Battalion

CLO

18

Ltd.,

Series

2020-18A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.54%,

10/15/36

(a)(b)

.........

375

352,078

Battalion

CLO

VIII

Ltd.

(a)(b)

Series

2015-8A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

07/18/30

....................

1,305

1,291,016

Series

2015-8A,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.55%

Floor

+

1.55%),

6.34%,

07/18/30

....................

666

648,876

Battalion

CLO

X

Ltd.,

Series

2016-10A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.99%,

01/25/35

(a)(b)

.........

2,870

2,795,274

Battalion

CLO

XI

Ltd.,

Series

2017-11A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.72%

Floor

+

1.72%),

6.54%,

04/24/34

(a)(b)

.........

250

235,470

Battalion

CLO

XX

Ltd.,

Series

2021-20A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.97%,

07/15/34

(a)(b)

.........

1,000

974,518

BDS

LLC,

Series

2022-FL11,

Class

ATS,

(1-mo.

CME

Term

SOFR

at

1.80%

Floor

+

1.80%),

6.56%,

03/19/39

(a)(b)

...............

2,144

2,097,041

BDS

Ltd.,

Series

2021-FL7,

Class

A,

(1-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.83%,

06/16/36

(a)(b)

...............

9,610

9,341,058

Benefit

Street

Partners

CLO

II

Ltd.,

Series

2013-IIA,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

07/15/29

(a)(b)

1,250

1,230,045

Benefit

Street

Partners

CLO

III

Ltd.,

Series

2013-IIIA,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

07/20/29

(a)

(b)

...........................

400

396,225

Benefit

Street

Partners

CLO

V-B

Ltd.,

Series

2018-5BA,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.90%,

04/20/31

(a)

(b)

...........................

960

949,932

Benefit

Street

Partners

CLO

XII

Ltd.,

Series

2017-12A,

Class

B,

(3-mo.

LIBOR

USD

+

2.00%),

6.79%,

10/15/30

(a)(b)

.........

310

299,293

BHG

Securitization

Trust

(b)

Series

2022-A,

Class

C,

3.08%,

02/20/35

753

621,917

Series

2022-C,

Class

A,

5.32%,

10/17/35

790

783,561

Series

2022-C,

Class

B,

5.93%,

10/17/35

302

301,599

Birch

Grove

CLO

2

Ltd.,

Series

2021-2A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.26%

Floor

+

1.26%),

6.06%,

10/19/34

(a)(b)

.........

250

244,480

Birch

Grove

CLO

Ltd.

(a)(b)

Series

19A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.20%

Floor

+

2.20%),

7.07%,

06/15/31

....................

250

237,694

Series

19A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.35%

Floor

+

3.35%),

8.22%,

06/15/31

....................

250

236,243

BlueMountain

CLO

Ltd.

(a)(b)

Series

2013-2A,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.18%),

6.00%,

10/22/30

....

1,702

1,684,674

Series

2015-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.81%,

04/20/31

....................

250

246,192

BlueMountain

CLO

XXII

Ltd.,

Series

2018-22A,

Class

B,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.29%,

07/15/31

(a)(b)

........

870

836,027

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

16

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

BlueMountain

CLO

XXIII

Ltd.,

Series

2018-23A,

Class

B,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.51%,

10/20/31

(a)(b)

........

USD

250

$

239,190

BlueMountain

CLO

XXIX

Ltd.,

Series

2020-

29A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.57%,

07/25/34

(a)(b)

250

239,756

BlueMountain

CLO

XXVIII

Ltd.,

Series

2021-

28A,

Class

A,

(3-mo.

LIBOR

USD

at

1.26%

Floor

+

1.26%),

6.05%,

04/15/34

(a)(b)

....

130

127,219

Bluemountain

Euro

CLO

DAC,

Series

2021-2A,

Class

B1,

(3-mo.

EURIBOR

at

1.75%

Floor

+

1.75%),

4.08%,

10/15/35

(a)(b)

........

EUR

660

666,835

BPCRE

Ltd.,

Series

2022-FL2,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.40%

Floor

+

2.40%),

7.09%,

01/16/37

(a)(b)

...............

USD

829

820,481

Bridge

Street

CLO

II

Ltd.,

Series

2021-1A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.23%

Floor

+

1.23%),

6.04%,

07/20/34

(a)(b)

....

250

244,825

Bristol

Park

CLO

Ltd.,

Series

2016-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

04/15/29

(a)(b)

.........

250

242,967

Buttermilk

Park

CLO

Ltd.,

Series

2018-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

10/15/31

(a)(b)

....

250

246,478

Canyon

Capital

CLO

Ltd.,

Series

2019-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

04/15/32

(a)(b)

....

610

600,109

Canyon

CLO

Ltd.,

Series

2020-3A,

Class

B,

(3-

mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.49%,

01/15/34

(a)(b)

...............

350

336,141

Carlyle

C17

CLO

Ltd.,

Series

C17A,

Class

A1AR,

(3-mo.

LIBOR

USD

at

1.03%

Floor

+

1.03%),

5.83%,

04/30/31

(a)(b)

.........

1,860

1,840,440

Carlyle

Global

Market

Strategies

CLO

Ltd.,

Series

2014-1A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

0.97%

Floor

+

0.97%),

5.76%,

04/17/31

(a)(b)

....................

798

787,956

Carlyle

US

CLO

Ltd.

(a)(b)

Series

2016-4A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.26%,

10/20/27

....................

250

245,718

Series

2018-1A,

Class

A2,

(3-mo.

LIBOR

USD

+

1.50%),

6.31%,

04/20/31

....

250

243,568

Series

2018-4A,

Class

B,

(3-mo.

LIBOR

USD

at

2.07%

Floor

+

2.07%),

6.88%,

01/20/31

....................

250

242,740

Series

2021-6A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.95%,

07/15/34

....................

800

781,884

CBAM

Ltd.,

Series

2017-1A,

Class

A1,

(3-mo.

LIBOR

USD

+

1.25%),

6.06%,

07/20/30

(a)(b)

1,569

1,556,183

Cedar

Funding

II

CLO

Ltd.

(a)(b)

Series

2013-1A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.89%,

04/20/34

....................

710

692,460

Series

2013-1A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.16%,

04/20/34

....................

680

644,518

Cedar

Funding

VI

CLO

Ltd.,

Series

2016-6A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.86%,

04/20/34

(a)(b)

....

3,930

3,830,189

Cedar

Funding

XI

CLO

Ltd.,

Series

2019-11A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.30%,

05/29/32

(a)(b)

....

280

272,586

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

CIFC

Funding

Ltd.

(a)(b)

Series

2013-4A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.41%,

04/27/31

....................

USD

250

$

244,001

Series

2014-2RA,

Class

B1,

(3-mo.

LIBOR

USD

at

2.80%

Floor

+

2.80%),

7.62%,

04/24/30

....................

250

235,014

Series

2015-3A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.95%,

04/19/29

....................

330

321,040

Series

2017-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.01%

Floor

+

1.01%),

5.83%,

04/23/29

....................

1,006

996,522

Series

2017-1A,

Class

B,

(3-mo.

LIBOR

USD

+

1.70%),

6.52%,

04/23/29

....

340

334,485

Series

2018-1A,

Class

A,

(3-mo.

LIBOR

USD

+

1.00%),

5.79%,

04/18/31

....

2,380

2,351,831

Series

2019-5A,

Class

A1R1,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

01/15/35

....................

250

243,856

Series

2020-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/36

....................

300

293,149

Series

2020-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

07/15/36

....................

740

714,694

Series

2020-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.94%,

10/20/34

....................

1,350

1,317,206

Series

2021-4A,

Class

A,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.84%,

07/15/33

....................

1,450

1,429,433

Series

2021-5A,

Class

A,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

07/15/34

....................

330

322,361

Clontarf

Park

CLO

DAC,

Series

1X,

Class

CE,

(3-mo.

EURIBOR

at

3.05%

Floor

+

3.05%),

5.59%,

08/05/30

(a)(d)

...............

EUR

390

407,923

College

Avenue

Student

Loans

LLC

(b)

Series

2021-B,

Class

B,

2.42%,

06/25/52

USD

250

219,725

Series

2021-B,

Class

C,

2.72%,

06/25/52

100

84,575

Series

2021-C,

Class

D,

4.11%,

07/26/55

100

83,219

CVC

Cordatus

Loan

Fund

IV

DAC,

Series

4X,

Class

BR1,

(3-mo.

EURIBOR

at

1.30%

Floor

+

1.30%),

3.97%,

02/22/34

(a)(d)

........

EUR

260

264,092

Deer

Creek

CLO

Ltd.,

Series

2017-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.99%,

10/20/30

(a)(b)

.........

USD

1,404

1,388,857

Diameter

Capital

CLO

1

Ltd.,

Series

2021-1A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.03%,

07/15/36

(a)(b)

....

500

489,806

Diameter

Capital

CLO

3

Ltd.,

Series

2022-3A,

Class

A1A,

(3-mo.

CME

Term

SOFR

at

1.39%

Floor

+

1.39%),

6.05%,

04/15/37

(a)(b)

250

243,753

Dryden

43

Senior

Loan

Fund,

Series

2016-43A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.85%,

04/20/34

(a)(b)

....

1,180

1,154,838

Dryden

45

Senior

Loan

Fund,

Series

2016-45A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.49%,

10/15/30

(a)(b)

....

630

611,233

Dryden

50

Senior

Loan

Fund,

Series

2017-50A,

Class

B,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

07/15/30

(a)(b)

........

250

242,545

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

17

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Dryden

53

CLO

Ltd.,

Series

2017-53A,

Class

A,

(3-mo.

LIBOR

USD

+

1.12%),

5.91%,

01/15/31

(a)(b)

....................

USD

4,900

$

4,847,345

Dryden

65

CLO

Ltd.,

Series

2018-65A,

Class

B,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.39%,

07/18/30

(a)(b)

.........

250

243,191

Dryden

76

CLO

Ltd.,

Series

2019-76A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

10/20/34

(a)(b)

.........

250

242,964

Dryden

77

CLO

Ltd.,

Series

2020-77A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

6.04%,

05/20/34

(a)(b)

.........

810

790,747

Dryden

87

CLO

Ltd.,

Series

2021-87A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

6.02%,

05/20/34

(a)(b)

.........

520

507,296

Dryden

XXVI

Senior

Loan

Fund,

Series

2013-26A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.90%),

5.69%,

04/15/29

(a)(b)

.........

289

285,962

Dryden

XXVIII

Senior

Loan

Fund,

Series

2013-

28A,

Class

A1LR,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.06%,

08/15/30

(a)(b)

1,601

1,589,736

EDvestinU

Private

Education

Loan

Issue

No.

4

LLC,

Series

2022-A,

Class

A,

5.25%,

11/25/40

(b)

.....................

604

585,790

Elmwood

CLO

II

Ltd.

(a)(b)

Series

2019-2A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

04/20/34

....................

1,000

976,223

Series

2019-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

04/20/34

....................

250

242,374

Elmwood

CLO

V

Ltd.

(a)(b)

Series

2020-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

10/20/34

....................

620

600,068

Series

2020-2A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.81%,

10/20/34

....................

541

517,657

Elmwood

CLO

X

Ltd.

(a)(b)

Series

2021-3A,

Class

A,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.85%,

10/20/34

....................

1,620

1,594,477

Series

2021-3A,

Class

C,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.76%,

10/20/34

....................

250

241,455

Elmwood

CLO

XII

Ltd.,

Series

2021-5A,

Class

A,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

01/20/35

(a)(b)

.........

250

243,163

Fidelity

Grand

Harbour

CLO

DAC,

Series

2021-

1A,

Class

D,

(3-mo.

EURIBOR

at

3.60%

Floor

+

3.60%),

5.89%,

10/15/34

(a)(b)

....

EUR

250

237,222

Flatiron

CLO

21

Ltd.,

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.11%

Floor

+

1.11%),

5.91%,

07/19/34

(a)(b)

.........

USD

3,150

3,079,735

FS

Rialto,

Series

2021-FL3,

Class

A,

(1-mo.

LIBOR

USD

at

1.25%

Floor

+

1.25%),

5.98%,

11/16/36

(a)(b)

...............

3,097

3,041,029

FS

Rialto

Issuer

LLC

(a)(b)

Series

2022-FL4,

Class

A,

(SOFR

30

Day

Average

at

1.90%

Floor

+

1.90%),

6.46%,

01/19/39

....................

3,347

3,280,289

Series

2022-FL5,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.30%

Floor

+

2.30%),

6.99%,

06/19/37

....................

786

787,495

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2022-FL6,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.58%

Floor

+

2.58%),

7.27%,

08/17/37

....................

USD

1,469

$

1,473,334

Series

2022-FL7,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.90%

Floor

+

2.90%),

7.59%,

10/19/39

....................

955

945,995

Galaxy

XV

CLO

Ltd.,

Series

2013-15A,

Class

ARR,

(3-mo.

LIBOR

USD

at

0.97%

Floor

+

0.97%),

5.76%,

10/15/30

(a)(b)

.........

395

390,061

Galaxy

XVIII

CLO

Ltd.,

Series

2018-28A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/15/31

(a)(b)

.........

280

275,627

Galaxy

XXII

CLO

Ltd.,

Series

2016-22A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

5.99%,

04/16/34

(a)(b)

.........

910

888,980

Generate

CLO

2

Ltd.,

Series

2A,

Class

AR,

(3-

mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.97%,

01/22/31

(a)(b)

...............

1,250

1,234,645

Generate

CLO

3

Ltd.

(a)(b)

Series

3A,

Class

AR,

(3-mo.

LIBOR

USD

+

1.25%),

6.06%,

10/20/29

.........

430

426,278

Series

3A,

Class

BR,

(3-mo.

LIBOR

USD

+

1.75%),

6.56%,

10/20/29

.........

930

918,315

Generate

CLO

4

Ltd.,

Series

4A,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.09%),

5.90%,

04/20/32

(a)(b)

....................

1,050

1,036,945

Gilbert

Park

CLO

Ltd.,

Series

2017-1A,

Class

C,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.74%,

10/15/30

(a)(b)

.........

640

618,306

GoldenTree

Loan

Management

US

CLO

3

Ltd.,

Series

2018-3A,

Class

B1,

(3-mo.

LIBOR

USD

+

1.55%),

6.36%,

04/20/30

(a)(b)

....

250

244,865

GoldenTree

Loan

Opportunities

IX

Ltd.

(a)(b)

Series

2014-9A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.11%

Floor

+

1.11%),

5.91%,

10/29/29

....................

339

337,065

Series

2014-9A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.40%,

10/29/29

....................

500

491,792

GoldenTree

Loan

Opportunities

X

Ltd.,

Series

2015-10A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.86%,

07/20/31

(a)(b)

250

236,577

GoldentTree

Loan

Management

US

CLO

1

Ltd.,

Series

2021-11A,

Class

A,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.94%,

10/20/34

(a)(b)

....................

1,050

1,024,426

Golub

Capital

Partners

CLO

55B

Ltd.,

Series

2021-55A,

Class

A,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.01%,

07/20/34

(a)(b)

250

243,977

GoodLeap

Sustainable

Home

Solutions

Trust,

Series

2023-1GS,

Class

A,

5.52%,

02/22/55

(b)(e)

....................

938

915,251

Grippen

Park

CLO

Ltd.

(a)(b)

Series

2017-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.26%

Floor

+

1.26%),

6.07%,

01/20/30

....................

211

209,364

Series

2017-1A,

Class

D,

(3-mo.

LIBOR

USD

at

3.30%

Floor

+

3.30%),

8.11%,

01/20/30

....................

250

235,136

GSAA

Home

Equity

Trust,

Series

2006-5,

Class

2A1,

(1-mo.

LIBOR

USD

at

0.14%

Floor

+

0.14%),

4.99%,

03/25/36

(a)

..........

452

161,752

Gulf

Stream

Meridian

1

Ltd.,

Series

2020-IA,

Class

A1,

(3-mo.

LIBOR

USD

at

1.37%

Floor

+

1.37%),

6.16%,

04/15/33

(a)(b)

....

1,180

1,160,683

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

18

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Gulf

Stream

Meridian

3

Ltd.,

Series

2021-IIIA,

Class

A1,

(3-mo.

LIBOR

USD

at

1.32%

Floor

+

1.32%),

6.11%,

04/15/34

(a)(b)

....

USD

250

$

244,782

Gulf

Stream

Meridian

4

Ltd.,

Series

2021-4A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

5.99%,

07/15/34

(a)(b)

....

2,580

2,529,150

Gulf

Stream

Meridian

5

Ltd.,

Series

2021-5A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.59%,

07/15/34

(a)(b)

....

280

272,562

Gulf

Stream

Meridian

7

Ltd.,

Series

2022-7A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

1.36%

Floor

+

1.36%),

5.99%,

07/15/35

(a)(b)

....

360

350,105

Henley

CLO

IV

DAC,

Series

4X,

Class

B1,

(3-mo.

EURIBOR

at

1.35%

Floor

+

1.35%),

3.80%,

04/25/34

(a)(d)

...............

EUR

130

131,260

Highbridge

Loan

Management

Ltd.

(a)(b)

Series

12A-18,

Class

A1B,

(3-mo.

LIBOR

USD

+

1.25%),

6.04%,

07/18/31

....

USD

250

244,038

Series

3A-2014,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.18%),

5.97%,

07/18/29

....

610

605,677

HPS

Loan

Management

Ltd.

(a)(b)

Series

10A-16,

Class

A1RR,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.95%,

04/20/34

....................

1,540

1,504,975

Series

6A-2015,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.00%),

5.81%,

02/05/31

....

3,009

2,983,990

ICG

US

CLO

Ltd.,

Series

2015-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.94%,

10/19/28

(a)(b)

.........

539

535,341

KKR

CLO

10

Ltd.,

Series

10,

Class

BR,

(3-mo.

LIBOR

USD

+

1.70%),

6.57%,

09/15/29

(a)(b)

250

245,411

KREF

Ltd.,

Series

2022-FL3,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.45%

Floor

+

1.45%),

6.21%,

02/17/39

(a)(b)

...............

10,000

9,825,428

LCM

29

Ltd.,

Series

29A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

04/15/31

(a)(b)

...............

250

245,341

LCM

XIV

LP,

Series

14A,

Class

AR,

(3-mo.

LIBOR

USD

+

1.04%),

5.85%,

07/20/31

(a)(b)

250

245,427

LCM

XX

LP,

Series

20A,

Class

BR,

(3-mo.

LIBOR

USD

+

1.55%),

6.36%,

10/20/27

(a)(b)

250

247,097

LCM

XXI

LP,

Series

21A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.88%),

5.69%,

04/20/28

(a)(b)

140

139,813

Lendmark

Funding

Trust

(b)

Series

2021-2A,

Class

C,

3.09%,

04/20/32

380

309,803

Series

2022-1A,

Class

A,

5.12%,

07/20/32

1,696

1,668,135

LoanCore

Issuer

Ltd.,

Series

2022-CRE7,

Class

A,

(SOFR

30

Day

Average

at

1.55%

Floor

+

1.55%),

6.11%,

01/17/37

(a)(b)

....

4,099

3,965,250

Logan

CLO

I

Ltd.,

Series

2021-1A,

Class

A,

(3-

mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

07/20/34

(a)(b)

...............

1,010

986,364

Long

Point

Park

CLO

Ltd.,

Series

2017-1A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.38%

Floor

+

1.38%),

6.17%,

01/17/30

(a)(b)

....

250

240,325

Longfellow

Place

CLO

Ltd.,

Series

2013-1A,

Class

BR3,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.54%,

04/15/29

(a)(b)

....

250

248,127

Madison

Park

Funding

XI

Ltd.,

Series

2013-

11A,

Class

AR2,

(3-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.72%,

07/23/29

(a)(b)

2,109

2,085,745

Madison

Park

Funding

XIII

Ltd.

(a)(b)

Series

2014-13A,

Class

AR2,

(3-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.75%,

04/19/30

....................

923

916,501

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2014-13A,

Class

BR2,

(3-mo.

LIBOR

USD

+

1.50%),

6.30%,

04/19/30

....

USD

960

$

944,995

Madison

Park

Funding

XIX

Ltd.,

Series

2015-

19A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.74%,

01/22/28

(a)(b)

982

974,362

Madison

Park

Funding

XLI

Ltd.,

Series

12A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.83%),

5.65%,

04/22/27

(a)(b)

...............

224

222,319

Madison

Park

Funding

XLII

Ltd.,

Series

13A,

Class

C,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.62%,

11/21/30

(a)(b)

........

250

238,492

Madison

Park

Funding

XLV

Ltd.,

Series

2020-

45A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

07/15/34

(a)(b)

....

1,050

1,024,896

Madison

Park

Funding

XXIII

Ltd.

(a)(b)

Series

2017-23A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.55%

Floor

+

1.55%),

6.36%,

07/27/31

....................

250

244,650

Series

2017-23A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.81%,

07/27/31

....................

250

239,552

Madison

Park

Funding

XXIV

Ltd.,

Series

2016-

24A,

Class

BR,

(3-mo.

CME

Term

SOFR

+

2.01%),

6.65%,

10/20/29

(a)(b)

.........

250

247,040

Madison

Park

Funding

XXV

Ltd.,

Series

2017-

25A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.47%,

04/25/29

(a)(b)

320

312,640

Madison

Park

Funding

XXVI

Ltd.,

Series

2017-26A,

Class

AR,

(3-mo.

LIBOR

USD

+

1.20%),

6.00%,

07/29/30

(a)(b)

.........

1,658

1,647,480

Madison

Park

Funding

XXVII

Ltd.,

Series

2018-27A,

Class

A1A,

(3-mo.

LIBOR

USD

+

1.03%),

5.84%,

04/20/30

(a)(b)

.........

250

247,587

Madison

Park

Funding

XXXIII

Ltd.,

Series

2019-33A,

Class

AR,

(3-mo.

CME

Term

SOFR

at

1.29%

Floor

+

1.29%),

5.95%,

10/15/32

(a)(b)

....................

290

287,417

Madison

Park

Funding

XXXV

Ltd.,

Series

2019-35A,

Class

A1R,

(3-mo.

LIBOR

USD

at

0.99%

Floor

+

0.99%),

5.80%,

04/20/32

(a)(b)

730

716,458

Madison

Park

Funding

XXXVII

Ltd.,

Series

2019-37A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

07/15/33

(a)(b)

410

403,320

Madison

Park

Funding

XXXVIII

Ltd.,

Series

2021-38A,

Class

A,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

07/17/34

(a)(b)

1,130

1,102,638

Man

GLG

Euro

CLO

VI

DAC,

Series

6A,

Class

DR,

(3-mo.

EURIBOR

at

3.50%

Floor

+

3.50%),

5.79%,

10/15/32

(a)(b)

.........

EUR

320

313,967

Marble

Point

CLO

XI

Ltd.,

Series

2017-2A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.97%,

12/18/30

(a)(b)

........

USD

430

424,577

Mariner

CLO

LLC

(a)(b)

Series

2016-3A,

Class

AR2,

(3-mo.

LIBOR

USD

at

0.99%

Floor

+

0.99%),

5.81%,

07/23/29

....................

264

262,392

Series

2016-3A,

Class

CR2,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.87%,

07/23/29

....................

1,125

1,078,933

Mariner

Finance

Issuance

Trust

(b)

Series

2019-AA,

Class

B,

3.51%,

07/20/32

500

485,176

Series

2020-AA,

Class

B,

3.21%,

08/21/34

260

236,814

Series

2020-AA,

Class

C,

4.10%,

08/21/34

330

297,870

Series

2021-BA,

Class

D,

3.42%,

11/20/36

220

175,528

Series

2022-AA,

Class

A,

6.45%,

10/20/37

1,538

1,553,459

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

19

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

MF1

Multifamily

Housing

Mortgage

Loan

Trust

(a)

(b)

Series

2022-FL9,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.15%

Floor

+

2.15%),

6.91%,

06/19/37

....................

USD

857

$

848,122

Series

2022-FL10,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.64%

Floor

+

2.64%),

7.39%,

09/17/37

...............

668

670,845

MidOcean

Credit

CLO

III,

Series

2014-3A,

Class

A3A2,

(3-mo.

LIBOR

USD

at

0.97%

Floor

+

0.97%),

5.79%,

04/21/31

(a)(b)

....

472

467,694

Mosaic

Solar

Loan

Trust

(b)

Series

2022-3A,

Class

A,

6.10%,

06/20/53

311

323,040

Series

2023-1A,

Class

A,

5.32%,

06/20/53

1,099

1,080,561

MP

CLO

III

Ltd.,

Series

2013-1A,

Class

AR,

(3-mo.

LIBOR

USD

+

1.25%),

6.06%,

10/20/30

(a)(b)

....................

812

804,054

Navient

Private

Education

Loan

Trust

(b)

Series

2014-AA,

Class

A3,

(1-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.28%,

10/15/31

(a)

...................

592

590,132

Series

2015-AA,

Class

A3,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

11/15/30

(a)

...................

544

542,246

Series

2018-BA,

Class

A2A,

3.61%,

12/15/59

....................

190

183,718

Series

2020-A,

Class

A2B,

(1-mo.

LIBOR

USD

+

0.90%),

5.58%,

11/15/68

(a)

...

352

344,823

Navient

Private

Education

Refi

Loan

Trust

(b)

Series

2018-DA,

Class

A2A,

4.00%,

12/15/59

....................

592

570,462

Series

2019-CA,

Class

A2,

3.13%,

02/15/68

400

381,341

Series

2021-DA,

Class

B,

2.61%,

04/15/60

370

345,704

Series

2021-DA,

Class

C,

3.48%,

04/15/60

950

849,669

Series

2021-DA,

Class

D,

4.00%,

04/15/60

300

272,290

Navient

Student

Loan

Trust,

Series

2019-BA,

Class

A2A,

3.39%,

12/15/59

(b)

........

272

258,982

Neuberger

Berman

CLO

XVI-S

Ltd.,

Series

2017-16SA,

Class

AR,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.83%,

04/15/34

(a)

(b)

...........................

570

555,014

Neuberger

Berman

CLO

XX

Ltd.,

Series

2015-

20A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

07/15/34

(a)(b)

250

241,160

Neuberger

Berman

CLO

XXII

Ltd.,

Series

2016-22A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

10/17/30

(a)(b)

400

391,398

Neuberger

Berman

Loan

Advisers

CLO

26

Ltd.

(a)(b)

Series

2017-26A,

Class

AR,

(3-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.71%,

10/18/30

....................

1,430

1,415,852

Series

2017-26A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.40%

Floor

+

1.40%),

6.19%,

10/18/30

....................

250

243,619

Neuberger

Berman

Loan

Advisers

CLO

34

Ltd.,

Series

2019-34A,

Class

BR,

(3-mo.

CME

Term

SOFR

at

1.75%

Floor

+

1.75%),

6.39%,

01/20/35

(a)(b)

...............

250

243,136

Neuberger

Berman

Loan

Advisers

CLO

37

Ltd.,

Series

2020-37A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.26%,

07/20/31

(a)(b)

....................

250

243,632

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Neuberger

Berman

Loan

Advisers

CLO

42

Ltd.,

Series

2021-42A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/16/35

(a)(b)

....................

USD

880

$

858,279

OAK

Hill

European

Credit

Partners

V

DAC,

Series

2016-5A,

Class

BR,

(3-mo.

EURIBOR

at

1.90%

Floor

+

1.90%),

4.29%,

01/21/35

(a)(b)

....................

EUR

250

255,971

OCP

CLO

Ltd.

(a)(b)

Series

2013-4A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.72%,

04/24/29

....................

USD

945

920,591

Series

2014-5A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.90%,

04/26/31

....................

140

138,357

Series

2017-14A,

Class

B,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.87%,

11/20/30

....................

250

237,927

Series

2019-16A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.81%,

04/10/33

....................

280

275,025

Series

2020-18A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.90%,

07/20/32

....................

320

315,216

Series

2020-19A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.51%,

10/20/34

....................

250

239,681

Series

2021-22A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.99%,

12/02/34

....................

390

378,703

OCP

Euro

CLO

DAC,

Series

2017-2X,

Class

B,

(3-mo.

EURIBOR

at

1.35%

Floor

+

1.35%),

3.64%,

01/15/32

(a)(d)

...............

EUR

170

176,668

Octagon

Investment

Partners

18-R

Ltd.,

Series

2018-18A,

Class

A1A,

(3-mo.

LIBOR

USD

+

0.96%),

5.75%,

04/16/31

(a)(b)

.........

USD

1,780

1,756,599

Octagon

Investment

Partners

33

Ltd.,

Series

2017-1A,

Class

A1,

(3-mo.

LIBOR

USD

+

1.19%),

6.00%,

01/20/31

(a)(b)

.........

250

247,327

Octagon

Investment

Partners

46

Ltd.,

Series

2020-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

07/15/36

(a)(b)

710

674,343

Octagon

Investment

Partners

51

Ltd.,

Series

2021-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

07/20/34

(a)(b)

1,910

1,864,352

Octagon

Investment

Partners

XV

Ltd.,

Series

2013-1A,

Class

A2R,

(3-mo.

LIBOR

USD

+

1.35%),

6.15%,

07/19/30

(a)(b)

.........

320

316,042

Octagon

Investment

Partners

XVI

Ltd.,

Series

2013-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.02%

Floor

+

1.02%),

5.81%,

07/17/30

(a)(b)

2,755

2,719,643

Octagon

Investment

Partners

XVII

Ltd.,

Series

2013-1A,

Class

A1R2,

(3-mo.

LIBOR

USD

+

1.00%),

5.82%,

01/25/31

(a)(b)

.........

2,640

2,613,600

OHA

Credit

Funding

2

Ltd.,

Series

2019-2A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.97%,

04/21/34

(a)(b)

....

3,220

3,155,156

OHA

Credit

Funding

3

Ltd.

(a)(b)

Series

2019-3A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.95%,

07/02/35

....................

1,450

1,417,169

Series

2019-3A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

07/02/35

....................

668

647,398

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

20

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

OHA

Credit

Funding

4

Ltd.,

Series

2019-4A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.97%,

10/22/36

(a)(b)

....

USD

250

$

243,592

OHA

Loan

Funding

Ltd.

(a)(b)

Series

2013-2A,

Class

AR,

(3-mo.

LIBOR

USD

+

1.04%),

5.96%,

05/23/31

....

4,495

4,447,943

Series

2015-1A,

Class

AR3,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.95%,

01/19/37

....................

1,170

1,140,136

OneMain

Financial

Issuance

Trust

(b)

Series

2019-2A,

Class

A,

3.14%,

10/14/36

3,140

2,882,887

Series

2020-1A,

Class

A,

3.84%,

05/14/32

838

832,621

Series

2020-2A,

Class

C,

2.76%,

09/14/35

550

478,838

Series

2020-2A,

Class

D,

3.45%,

09/14/35

1,410

1,206,189

Series

2021-1A,

Class

A2,

(SOFR

30

Day

Average

+

0.76%),

5.32%,

06/16/36

(a)

.

660

637,211

Series

2021-1A,

Class

C,

2.22%,

06/16/36

100

82,930

Series

2022-2A,

Class

A,

4.89%,

10/14/34

1,766

1,735,528

Series

2022-2A,

Class

B,

5.24%,

10/14/34

1,471

1,437,927

Series

2022-3A,

Class

A,

5.94%,

05/15/34

3,369

3,376,217

OZLM

Funding

IV

Ltd.,

Series

2013-4A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.25%

Floor

+

1.25%),

6.07%,

10/22/30

(a)(b)

.........

8,446

8,377,020

OZLM

VIII

Ltd.,

Series

2014-8A,

Class

BR3,

(3-

mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.89%,

10/17/29

(a)(b)

...............

340

330,852

OZLM

XXII

Ltd.,

Series

2018-22A,

Class

A1,

(3-

mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

01/17/31

(a)(b)

...............

250

246,945

OZLM

XXIV

Ltd.,

Series

2019-24A,

Class

A2AR,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.51%,

07/20/32

(a)(b)

.........

250

238,566

Palmer

Square

CLO

Ltd.

(a)(b)

Series

2013-2A,

Class

A1A3,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.80%,

10/17/31

....................

650

641,882

Series

2015-1A,

Class

A1A4,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

6.05%,

05/21/34

....................

5,525

5,412,343

Series

2015-1A,

Class

A2R4,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.62%,

05/21/34

....................

250

240,912

Series

2015-2A,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.55%

Floor

+

1.55%),

6.36%,

07/20/30

....................

500

487,909

Series

2018-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.03%

Floor

+

1.03%),

5.82%,

04/18/31

....................

850

840,330

Series

2018-2A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/16/31

....................

1,070

1,056,599

Series

2020-3A,

Class

A1AR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.94%,

11/15/31

....................

250

246,126

Series

2021-3A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

01/15/35

....................

250

243,061

Palmer

Square

Loan

Funding

Ltd.

(a)(b)

Series

2020-1A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.03%,

02/20/28

....................

990

973,708

Series

2020-4A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.56%,

11/25/28

....................

560

552,074

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2021-2A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.25%

Floor

+

1.25%),

6.17%,

05/20/29

....................

USD

260

$

252,190

Series

2022-2A,

Class

A2,

(3-mo.

CME

Term

SOFR

at

1.90%

Floor

+

1.90%),

6.56%,

10/15/30

....................

340

331,100

Series

2022-2A,

Class

B,

(3-mo.

CME

Term

SOFR

at

2.20%

Floor

+

2.20%),

6.86%,

10/15/30

....................

250

240,172

Park

Avenue

Institutional

Advisers

CLO

Ltd.,

Series

2017-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.11%,

02/14/34

(a)(b)

....................

1,390

1,352,271

Penta

CLO

11

DAC,

Series

2022-11A,

Class

B,

(3-mo.

EURIBOR

at

2.45%

Floor

+

2.45%),

5.10%,

11/15/34

(a)(b)

...............

EUR

530

555,464

Pikes

Peak

CLO

1,

Series

2018-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

6.00%,

07/24/31

(a)(b)

.........

USD

275

271,614

Pikes

Peak

CLO

8,

Series

2021-8A,

Class

A,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.98%,

07/20/34

(a)(b)

.........

1,570

1,531,596

Post

CLO

Ltd.,

Series

2018-1A,

Class

D,

(3-

mo.

LIBOR

USD

at

2.95%

Floor

+

2.95%),

7.74%,

04/16/31

(a)(b)

...............

500

467,518

Prima

Capital

CRE

Securitization

Ltd.,

Series

2015-4A,

Class

C,

4.00%,

08/24/49

(b)

...

284

275,947

Prodigy

Finance

DAC

(a)(b)

Series

2021-1A,

Class

A,

(1-mo.

LIBOR

USD

+

1.25%),

6.10%,

07/25/51

....

747

728,326

Series

2021-1A,

Class

B,

(1-mo.

LIBOR

USD

+

2.50%),

7.35%,

07/25/51

....

150

147,421

Series

2021-1A,

Class

C,

(1-mo.

LIBOR

USD

+

3.75%),

8.60%,

07/25/51

....

250

247,572

Progress

Residential

Trust,

Series

2020-SFR2,

Class

D,

3.87%,

06/17/37

(b)

..........

400

378,470

Race

Point

IX

CLO

Ltd.,

Series

2015-9A,

Class

A1A2,

(3-mo.

LIBOR

USD

at

0.94%

Floor

+

0.94%),

5.73%,

10/15/30

(a)(b)

.........

1,006

992,236

Rad

CLO

15

Ltd.

(a)(b)

Series

2021-15A,

Class

A,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.90%,

01/20/34

....................

250

244,021

Series

2021-15A,

Class

B,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

01/20/34

....................

250

238,635

Rad

CLO

2

Ltd.,

Series

2018-2A,

Class

AR,

(3-

mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.87%,

10/15/31

(a)(b)

...............

710

699,255

Rad

CLO

5

Ltd.,

Series

2019-5A,

Class

AR,

(3-

mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.94%,

07/24/32

(a)(b)

...............

800

784,175

Ready

Capital

Mortgage

Financing

LLC,

Series

2023-FL11,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.37%

Floor

+

2.37%),

7.17%,

10/25/39

(a)(b)

....................

1,110

1,107,225

Recette

CLO

Ltd.,

Series

2015-1A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.40%

Floor

+

1.40%),

6.21%,

04/20/34

(a)(b)

.........

250

237,796

Regatta

VI

Funding

Ltd.,

Series

2016-1A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

04/20/34

(a)(b)

.........

1,040

1,015,575

Regatta

VII

Funding

Ltd.

(a)(b)

Series

2016-1A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

6.11%,

06/20/34

....................

720

701,411

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

21

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2016-1A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.56%,

06/20/34

....................

USD

250

$

242,117

Regatta

VIII

Funding

Ltd.,

Series

2017-1A,

Class

B,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.49%,

10/17/30

(a)(b)

........

250

244,265

Regatta

XVI

Funding

Ltd.,

Series

2019-2A,

Class

B,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.84%,

01/15/33

(a)(b)

........

250

245,358

Regatta

XVIII

Funding

Ltd.,

Series

2021-1A,

Class

B,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

01/15/34

(a)(b)

........

250

242,133

Regional

Management

Issuance

Trust

(b)

Series

2020-1,

Class

A,

2.34%,

10/15/30

.

500

478,951

Series

2020-1,

Class

C,

3.80%,

10/15/30

.

269

243,715

Series

2021-1,

Class

A,

1.68%,

03/17/31

.

830

774,737

Series

2021-2,

Class

B,

2.35%,

08/15/33

.

130

105,673

Series

2021-2,

Class

C,

3.23%,

08/15/33

.

323

259,781

Series

2022-1,

Class

A,

3.07%,

03/15/32

.

2,058

1,928,000

Series

2022-1,

Class

B,

3.71%,

03/15/32

.

151

136,099

Series

2022-1,

Class

C,

4.46%,

03/15/32

.

100

88,765

Series

2022-2B,

Class

A,

7.10%,

11/17/32

1,915

1,942,992

Riserva

CLO

Ltd.,

Series

2016-3A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.06%

Floor

+

1.06%),

5.85%,

01/18/34

(a)(b)

.........

1,220

1,189,763

Rockford

Tower

CLO

Ltd.

(a)(b)

Series

2017-1A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.91%,

04/20/34

....................

2,417

2,351,000

Series

2017-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.29%,

10/15/29

....................

1,945

1,892,332

Series

2017-2A,

Class

DR,

(3-mo.

LIBOR

USD

at

2.85%

Floor

+

2.85%),

7.64%,

10/15/29

....................

1,039

946,965

Series

2017-3A,

Class

A,

(3-mo.

LIBOR

USD

at

1.19%

Floor

+

1.19%),

6.00%,

10/20/30

....................

3,487

3,448,898

Series

2018-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

6.02%,

05/20/31

....................

297

291,682

Series

2018-2A,

Class

A,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

10/20/31

....................

250

246,914

Series

2019-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.57%,

08/20/32

....................

250

238,778

Rockford

Tower

Europe

CLO

DAC

(a)(d)

Series

2018-1X,

Class

B,

(3-mo.

EURIBOR

at

1.85%

Floor

+

1.85%),

4.66%,

12/20/31

....................

EUR

576

601,746

Series

2018-1X,

Class

C,

(3-mo.

EURIBOR

at

2.47%

Floor

+

2.47%),

5.29%,

12/20/31

....................

280

287,848

Romark

WM-R

Ltd.,

Series

2018-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.03%

Floor

+

1.03%),

5.84%,

04/20/31

(a)(b)

.........

USD

960

946,901

RR

3

Ltd.,

Series

2018-3A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.88%,

01/15/30

(a)(b)

...............

1,090

1,079,136

RR

5

Ltd.,

Series

2018-5A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

10/15/31

(a)(b)

...............

250

244,522

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

RR

LLC,

Series

2017-1A,

Class

A1AB,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/35

(a)(b)

...............

USD

2,140

$

2,087,669

Signal

Peak

CLO

1

Ltd.,

Series

2014-1A,

Class

AR3,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.95%,

04/17/34

(a)(b)

.........

5,180

5,030,268

Signal

Peak

CLO

2

LLC

(a)(b)

Series

2015-1A,

Class

AR2,

(3-mo.

LIBOR

USD

at

0.98%

Floor

+

0.98%),

5.79%,

04/20/29

....................

156

154,763

Series

2015-1A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.31%,

04/20/29

....................

1,466

1,433,603

Signal

Peak

CLO

8

Ltd.,

Series

2020-8A,

Class

A,

(3-mo.

LIBOR

USD

at

1.27%

Floor

+

1.27%),

6.08%,

04/20/33

(a)(b)

.........

640

626,600

Silver

Creek

CLO

Ltd.

(a)(b)

Series

2014-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.05%,

07/20/30

....................

362

359,255

Series

2014-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.30%

Floor

+

2.30%),

7.11%,

07/20/30

....................

500

481,858

Sixth

Street

CLO

XIX

Ltd.,

Series

2021-19A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.91%,

07/20/34

(a)(b)

........

3,815

3,718,424

Sixth

Street

CLO

XVI

Ltd.,

Series

2020-16A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.32%

Floor

+

1.32%),

6.13%,

10/20/32

(a)(b)

....

250

247,216

SLM

Private

Credit

Student

Loan

Trust,

Series

2004-B,

Class

A3,

(3-mo.

LIBOR

USD

at

0.33%

Floor

+

0.33%),

5.20%,

03/15/24

(a)

59

59,027

SLM

Private

Education

Loan

Trust,

Series

2010-C,

Class

A5,

(1-mo.

LIBOR

USD

at

4.75%

Floor

+

4.75%),

9.43%,

10/15/41

(a)(b)

3,010

3,270,149

SMB

Private

Education

Loan

Trust

(b)

Series

2015-B,

Class

B,

3.50%,

12/17/40

990

940,316

Series

2016-B,

Class

A2A,

2.43%,

02/17/32

567

546,037

Series

2020-PTA,

Class

A2A,

1.60%,

09/15/54

....................

2,882

2,576,212

Series

2020-PTA,

Class

B,

2.50%,

09/15/54

1,540

1,227,704

Series

2021-A,

Class

C,

2.99%,

01/15/53

2,870

2,507,996

Series

2021-A,

Class

D1,

3.86%,

01/15/53

1,064

974,464

Series

2021-A,

Class

D2,

3.86%,

01/15/53

730

668,571

Series

2021-C,

Class

B,

2.30%,

01/15/53

190

169,574

Series

2021-C,

Class

C,

3.00%,

01/15/53

160

140,230

Series

2021-C,

Class

D,

3.93%,

01/15/53

100

91,673

Sound

Point

CLO

XII

Ltd.,

Series

2016-2A,

Class

CR2,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.86%,

10/20/28

(a)(b)

....

900

875,316

Sound

Point

CLO

XV

Ltd.,

Series

2017-1A,

Class

ARR,

(3-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.72%,

01/23/29

(a)(b)

....

175

173,211

Sound

Point

CLO

XXVIII

Ltd.,

Series

2020-3A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.28%

Floor

+

1.28%),

6.10%,

01/25/32

(a)(b)

....

460

452,749

St.

Paul's

CLO

XII

DAC,

Series

12X,

Class

B1,

(3-mo.

EURIBOR

at

1.60%

Floor

+

1.60%),

3.89%,

04/15/33

(a)(d)

...............

EUR

310

316,767

Steele

Creek

CLO

Ltd.,

Series

2017-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.25%

Floor

+

1.25%),

6.04%,

10/15/30

(a)(b)

.........

USD

1,066

1,052,740

Sutton

Park

CLO

DAC,

Series

1X,

Class

BE,

(3-mo.

EURIBOR

at

2.35%

Floor

+

2.35%),

5.00%,

11/15/31

(a)(d)

...............

EUR

202

207,655

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

22

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Symphony

CLO

XVI

Ltd.,

Series

2015-16A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

10/15/31

(a)(b)

....

USD

250

$

246,725

Symphony

CLO

XVII

Ltd.,

Series

2016-17A,

Class

AR,

(3-mo.

LIBOR

USD

at

0.88%

Floor

+

0.88%),

5.67%,

04/15/28

(a)(b)

....

291

289,763

Symphony

CLO

XXIII

Ltd.,

Series

2020-23A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.39%,

01/15/34

(a)(b)

....

250

242,815

Symphony

CLO

XXVI

Ltd.,

Series

2021-26A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.89%,

04/20/33

(a)(b)

....

514

503,951

TCI-Flatiron

CLO

Ltd.,

Series

2017-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

0.96%

Floor

+

0.96%),

5.84%,

11/18/30

(a)(b)

.........

849

838,123

TCW

CLO

AMR

Ltd.,

Series

2019-1A,

Class

ASNR,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.09%,

08/16/34

(a)(b)

.........

250

244,851

TIAA

CLO

III

Ltd.,

Series

2017-2A,

Class

A,

(3-

mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

01/16/31

(a)(b)

...............

910

898,967

TICP

CLO

IX

Ltd.,

Series

2017-9A,

Class

A,

(3-

mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.95%,

01/20/31

(a)(b)

...............

670

663,612

TICP

CLO

VI

Ltd.,

Series

2016-6A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

01/15/34

(a)(b)

.........

1,060

1,036,166

Trestles

CLO

III

Ltd.,

Series

2020-3A,

Class

B1,

(3-mo.

LIBOR

USD

at

1.85%

Floor

+

1.85%),

6.66%,

01/20/33

(a)(b)

.........

530

507,519

Trestles

CLO

IV

Ltd.,

Series

2021-4A,

Class

A,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.99%,

07/21/34

(a)(b)

.........

1,550

1,514,105

Tricon

American

Homes,

Series

2020-SFR1,

Class

D,

2.55%,

07/17/38

(b)

..........

2,225

2,018,175

Trinitas

CLO

IV

Ltd.,

Series

2016-4A,

Class

A2L2,

(3-mo.

LIBOR

USD

at

1.40%

Floor

+

1.40%),

6.19%,

10/18/31

(a)(b)

.........

220

213,569

Trinitas

CLO

XIV

Ltd.,

Series

2020-14A,

Class

B,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.82%,

01/25/34

(a)(b)

.........

730

709,045

Venture

32

CLO

Ltd.,

Series

2018-32A,

Class

A2A,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

07/18/31

(a)(b)

.........

350

346,202

Venture

XVIII

CLO

Ltd.,

Series

2014-18A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.01%,

10/15/29

(a)(b)

....

2,890

2,867,654

Voya

CLO

Ltd.

(a)(b)

Series

2017-3A,

Class

A1R,

(3-mo.

LIBOR

USD

+

1.04%),

5.85%,

04/20/34

....

465

455,098

Series

2017-4A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.92%,

10/15/30

....................

1,601

1,588,017

Series

2019-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.06%

Floor

+

1.06%),

5.85%,

04/15/31

....................

2,064

2,039,347

Voya

Euro

CLO

II

DAC,

Series

2A,

Class

CR,

(3-mo.

EURIBOR

at

2.15%

Floor

+

2.15%),

4.48%,

07/15/35

(a)(b)

...............

EUR

250

248,125

Voya

Euro

CLO

V

DAC

(a)(b)

Series

5A,

Class

B1,

(3-mo.

EURIBOR

at

1.75%

Floor

+

1.75%),

4.04%,

04/15/35

440

448,655

Series

5A,

Class

D,

(3-mo.

EURIBOR

at

3.10%

Floor

+

3.10%),

5.39%,

04/15/35

250

237,655

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Whitebox

CLO

I

Ltd.,

Series

2019-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.87%,

07/24/32

(a)(b)

.........

USD

900

$

832,226

Whitebox

CLO

II

Ltd.

(a)(b)

Series

2020-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.57%,

10/24/34

....................

280

268,739

Series

2020-2A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.35%

Floor

+

3.35%),

8.17%,

10/24/34

....................

280

257,447

Whitebox

CLO

III

Ltd.,

Series

2021-3A,

Class

D,

(3-mo.

LIBOR

USD

at

3.35%

Floor

+

3.35%),

8.14%,

10/15/34

(a)(b)

.........

250

224,581

Total

Asset-Backed

Securities

—

9.7%

(Cost:

$357,768,275)

.............................

347,849,964

Corporate

Bonds

Aerospace

&

Defense

—

1.4%

BAE

Systems

plc

(b)

3.40%,

04/15/30

.................

6,377

5,854,060

1.90%,

02/15/31

.................

440

358,450

Boeing

Co.

(The)

3.85%,

11/01/48

.................

570

424,274

3.90%,

05/01/49

.................

1,247

940,977

3.95%,

08/01/59

.................

771

565,961

5.93%,

05/01/60

.................

908

906,916

General

Dynamics

Corp.,

2.25%,

06/01/31

.

511

440,183

Huntington

Ingalls

Industries,

Inc.

3.48%,

12/01/27

.................

1,095

1,026,264

4.20%,

05/01/30

.................

424

396,834

L3Harris

Technologies,

Inc.

4.40%,

06/15/28

.................

4,258

4,171,856

1.80%,

01/15/31

.................

4,407

3,562,078

Lockheed

Martin

Corp.

1.85%,

06/15/30

.................

1,015

861,381

3.90%,

06/15/32

.................

1,662

1,615,337

5.25%,

01/15/33

.................

2,862

3,056,003

3.60%,

03/01/35

.................

2,651

2,475,782

Series

B,

6.15%,

09/01/36

..........

589

667,587

Northrop

Grumman

Corp.

3.85%,

04/15/45

.................

1,154

965,761

4.03%,

10/15/47

.................

3,233

2,815,024

4.95%,

03/15/53

.................

1,995

1,989,042

Raytheon

Technologies

Corp.

7.00%,

11/01/28

.................

2,010

2,196,348

4.13%,

11/16/28

.................

3,295

3,247,607

4.20%,

12/15/44

.................

515

432,659

4.15%,

05/15/45

.................

580

507,076

3.75%,

11/01/46

.................

456

376,886

4.35%,

04/15/47

.................

400

362,267

4.05%,

05/04/47

.................

883

764,493

3.13%,

07/01/50

.................

456

339,977

2.82%,

09/01/51

.................

1,929

1,338,261

3.03%,

03/15/52

.................

4,868

3,523,048

5.38%,

02/27/53

.................

605

636,776

Textron,

Inc.

3.90%,

09/17/29

.................

2,448

2,307,217

2.45%,

03/15/31

.................

637

537,199

49,663,584

Automobile

Components

—

0.0%

Metalsa

S

A

P

I

De

Cv,

3.75%,

05/04/31

(d)

..

561

419,235

Automobiles

—

0.0%

Hyundai

Capital

America,

0.80%,

01/08/24

(b)

397

382,461

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

23

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Banks

—

1.7%

Bank

of

America

Corp.

(a)

(3-mo.

LIBOR

USD

+

0.87%),

2.46%,

10/22/25

....................

USD

789

$

751,090

(3-mo.

LIBOR

USD

+

1.37%),

3.59%,

07/21/28

....................

3,687

3,464,611

(1-Day

SOFR

+

1.32%),

2.69%,

04/22/32

3,518

2,935,856

(1-Day

SOFR

+

1.22%),

2.30%,

07/21/32

5,074

4,089,123

(1-Day

SOFR

+

1.21%),

2.57%,

10/20/32

1,365

1,115,632

(1-Day

SOFR

+

1.33%),

2.97%,

02/04/33

13,764

11,589,855

(1-Day

SOFR

+

1.83%),

4.57%,

04/27/33

9,874

9,399,060

Barclays

plc

(a)

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.00%),

5.75%,

08/09/33

....................

752

736,692

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.50%),

7.44%,

11/02/33

....................

1,686

1,863,549

Discover

Bank,

2.70%,

02/06/30

........

579

469,354

Grupo

Aval

Ltd.,

4.38%,

02/04/30

(b)

......

431

325,685

HSBC

Holdings

plc

(a)

(3-mo.

LIBOR

USD

+

1.53%),

4.58%,

06/19/29

....................

924

876,909

(1-Day

SOFR

+

2.87%),

5.40%,

08/11/33

2,291

2,264,437

(1-Day

SOFR

+

2.39%),

6.25%,

03/09/34

1,669

1,744,912

JPMorgan

Chase

&

Co.

(a)

(1-Day

SOFR

+

1.17%),

2.95%,

02/24/28

3,602

3,338,265

(3-mo.

LIBOR

USD

+

1.38%),

3.54%,

05/01/28

....................

736

695,842

(3-mo.

LIBOR

USD

+

1.16%),

3.70%,

05/06/30

....................

1,421

1,320,942

(1-Day

SOFR

+

1.75%),

4.57%,

06/14/30

809

787,514

(1-Day

SOFR

+

1.26%),

2.96%,

01/25/33

8,408

7,189,264

(1-Day

SOFR

+

1.80%),

4.59%,

04/26/33

4,267

4,131,843

Mitsubishi

UFJ

Financial

Group,

Inc.,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.08%),

5.72%,

02/20/26

(a)

....................

2,800

2,807,199

61,897,634

Beverages

—

0.1%

Anheuser-Busch

InBev

Finance,

Inc.,

4.63%,

02/01/44

.....................

570

538,422

Anheuser-Busch

InBev

Worldwide,

Inc.

4.75%,

01/23/29

.................

1,116

1,139,680

4.90%,

01/23/31

.................

459

472,885

4.35%,

06/01/40

.................

1,034

960,088

4.60%,

04/15/48

.................

449

423,642

3,534,717

Biotechnology

—

0.6%

AbbVie,

Inc.

4.55%,

03/15/35

.................

2,281

2,230,286

4.50%,

05/14/35

.................

2,826

2,739,385

4.75%,

03/15/45

.................

590

556,666

4.25%,

11/21/49

.................

1,998

1,763,186

Amgen,

Inc.

5.15%,

03/02/28

.................

200

204,204

4.05%,

08/18/29

.................

3,000

2,894,485

5.25%,

03/02/30

.................

2,006

2,051,701

4.40%,

02/22/62

.................

1,574

1,329,498

5.75%,

03/02/63

.................

1,751

1,816,898

Biogen,

Inc.,

2.25%,

05/01/30

.........

1,079

908,454

Gilead

Sciences,

Inc.

2.60%,

10/01/40

.................

1,502

1,107,595

4.80%,

04/01/44

.................

2,558

2,480,061

4.50%,

02/01/45

.................

491

456,968

Security

Par

(000)

Par

(000)

Value

Biotechnology

(continued)

4.15%,

03/01/47

.................

USD

411

$

361,381

20,900,768

Broadline

Retail

—

0.1%

Amazon.com,

Inc.,

4.05%,

08/22/47

.....

3,329

3,018,631

eBay,

Inc.,

6.30%,

11/22/32

...........

646

702,245

3,720,876

Building

Products

—

0.0%

Owens

Corning,

3.88%,

06/01/30

.......

380

351,747

Capital

Markets

—

2.1%

Credit

Suisse

AG

7.95%,

01/09/25

.................

744

756,283

3.70%,

02/21/25

.................

3,769

3,575,104

2.95%,

04/09/25

.................

750

696,030

5.00%,

07/09/27

.................

1,935

1,862,438

Credit

Suisse

USA,

Inc.,

7.13%,

07/15/32

..

413

457,397

Deutsche

Bank

AG

(a)

(1-Day

SOFR

+

1.13%),

1.45%,

04/01/25

618

574,905

(1-Day

SOFR

+

1.87%),

2.13%,

11/24/26

150

129,266

(1-Day

SOFR

+

1.22%),

2.31%,

11/16/27

150

127,115

FactSet

Research

Systems,

Inc.,

3.45%,

03/01/32

.....................

2,572

2,242,105

Gaci

First

Investment

Co.

(d)

5.00%,

10/13/27

.................

825

836,344

4.75%,

02/14/30

.................

965

971,031

Goldman

Sachs

Group,

Inc.

(The)

(1-Day

SOFR

+

0.51%),

0.66%,

09/10/24

(a)

4,652

4,546,789

3.50%,

04/01/25

.................

7,016

6,812,558

(3-mo.

LIBOR

USD

+

1.17%),

6.03%,

05/15/26

(a)

...................

871

863,684

(1-Day

SOFR

+

1.09%),

1.99%,

01/27/32

(a)

774

618,290

(1-Day

SOFR

+

1.26%),

2.65%,

10/21/32

(a)

9,181

7,585,818

(1-Day

SOFR

+

1.41%),

3.10%,

02/24/33

(a)

7,473

6,417,588

Moody's

Corp.

4.25%,

02/01/29

.................

536

522,563

3.25%,

05/20/50

.................

825

596,240

3.75%,

02/25/52

.................

447

357,248

3.10%,

11/29/61

.................

1,694

1,121,807

Morgan

Stanley

(a)

(3-mo.

LIBOR

USD

+

1.63%),

4.43%,

01/23/30

....................

2,867

2,765,267

(1-Day

SOFR

+

1.14%),

2.70%,

01/22/31

4,420

3,806,525

(1-Day

SOFR

+

1.03%),

1.79%,

02/13/32

4,319

3,390,675

(1-Day

SOFR

+

1.18%),

2.24%,

07/21/32

12,171

9,765,507

(1-Day

SOFR

+

1.20%),

2.51%,

10/20/32

3,285

2,690,967

(1-Day

SOFR

+

2.56%),

6.34%,

10/18/33

9,339

10,199,964

S&P

Global,

Inc.,

4.75%,

08/01/28

......

1,696

1,720,814

76,010,322

Chemicals

—

0.1%

DuPont

de

Nemours,

Inc.,

5.32%,

11/15/38

.

488

491,275

Ecolab,

Inc.,

2.75%,

08/18/55

.........

662

423,767

Sherwin-Williams

Co.

(The)

2.95%,

08/15/29

.................

442

396,873

2.30%,

05/15/30

.................

842

714,506

2,026,421

Commercial

Services

&

Supplies

—

0.0%

Waste

Management,

Inc.,

2.95%,

06/01/41

.

477

364,980

Communications

Equipment

—

0.3%

Juniper

Networks,

Inc.,

2.00%,

12/10/30

...

445

353,420

Motorola

Solutions,

Inc.

4.60%,

05/23/29

.................

1,072

1,042,805

2.75%,

05/24/31

.................

4,897

4,043,951

5.60%,

06/01/32

.................

2,892

2,908,850

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

24

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Communications

Equipment

(continued)

5.50%,

09/01/44

.................

USD

2,607

$

2,474,512

10,823,538

Construction

&

Engineering

—

0.0%

Mexico

City

Airport

Trust,

4.25%,

10/31/26

(d)

308

293,948

Consumer

Finance

—

0.5%

American

Express

Co.,

(1-Day

SOFR

+

1.76%),

4.42%,

08/03/33

(a)

...............

520

497,146

Capital

One

Financial

Corp.

(a)

(1-Day

SOFR

+

1.79%),

3.27%,

03/01/30

625

532,497

(1-Day

SOFR

+

2.60%),

5.82%,

02/01/34

4,333

4,187,068

General

Motors

Financial

Co.,

Inc.

3.70%,

05/09/23

.................

491

490,256

1.70%,

08/18/23

.................

1,257

1,237,630

4.00%,

01/15/25

.................

3,398

3,311,832

2.90%,

02/26/25

.................

3,910

3,731,684

4.35%,

04/09/25

.................

2,470

2,418,465

4.30%,

04/06/29

.................

1,260

1,171,073

3.60%,

06/21/30

.................

550

481,882

2.35%,

01/08/31

.................

448

353,735

18,413,268

Containers

&

Packaging

—

0.1%

Berry

Global,

Inc.,

5.50%,

04/15/28

(b)

.....

1,955

1,948,616

International

Paper

Co.,

6.00%,

11/15/41

..

656

682,731

2,631,347

Diversified

REITs

—

0.6%

Digital

Dutch

Finco

BV

(d)

1.50%,

03/15/30

.................

EUR

1,950

1,643,997

1.00%,

01/15/32

.................

1,070

813,845

GLP

Capital

LP

5.75%,

06/01/28

.................

USD

1,595

1,555,772

5.30%,

01/15/29

.................

377

359,714

4.00%,

01/15/30

.................

3,725

3,303,069

4.00%,

01/15/31

.................

1,248

1,070,548

3.25%,

01/15/32

.................

3,261

2,645,845

VICI

Properties

LP

5.75%,

02/01/27

(b)

................

858

842,240

3.75%,

02/15/27

(b)

................

2,043

1,886,027

4.75%,

02/15/28

.................

3,768

3,571,705

3.88%,

02/15/29

(b)

................

1,558

1,385,249

4.95%,

02/15/30

.................

2,908

2,728,771

4.13%,

08/15/30

(b)

................

1,143

1,009,596

WP

Carey,

Inc.,

2.40%,

02/01/31

.......

446

363,967

23,180,345

Diversified

Telecommunication

Services

—

0.7%

AT&T,

Inc.

4.30%,

02/15/30

.................

359

348,848

4.50%,

05/15/35

.................

3,557

3,332,058

4.85%,

03/01/39

.................

931

874,047

4.35%,

06/15/45

.................

397

340,179

3.55%,

09/15/55

.................

830

595,781

3.80%,

12/01/57

.................

1,945

1,443,987

3.85%,

06/01/60

.................

2,892

2,166,085

Verizon

Communications,

Inc.

1.50%,

09/18/30

.................

2,768

2,241,194

1.75%,

01/20/31

.................

5,026

4,053,926

2.55%,

03/21/31

.................

1,014

863,818

2.36%,

03/15/32

.................

7,623

6,253,896

4.40%,

11/01/34

.................

989

940,008

2.65%,

11/20/40

.................

2,966

2,117,735

2.99%,

10/30/56

.................

560

364,180

25,935,742

Security

Par

(000)

Par

(000)

Value

Electric

Utilities

—

2.9%

AEP

Texas,

Inc.

3.95%,

06/01/28

.................

USD

1,971

$

1,896,863

3.80%,

10/01/47

.................

505

391,192

Series

H,

3.45%,

01/15/50

..........

460

338,962

3.45%,

05/15/51

.................

1,005

737,300

AEP

Transmission

Co.

LLC

3.15%,

09/15/49

.................

536

389,809

Series

M,

3.65%,

04/01/50

..........

1,092

865,548

Series

O,

4.50%,

06/15/52

..........

2,850

2,606,118

5.40%,

03/15/53

.................

928

966,620

Alabama

Power

Co.

3.75%,

03/01/45

.................

643

517,224

Series

A,

4.30%,

07/15/48

..........

1,264

1,092,898

3.00%,

03/15/52

.................

556

383,918

American

Transmission

Systems,

Inc.,

2.65%,

01/15/32

(b)

....................

2,146

1,806,800

Baltimore

Gas

&

Electric

Co.

3.50%,

08/15/46

.................

458

353,678

3.75%,

08/15/47

.................

981

779,941

4.25%,

09/15/48

.................

831

725,886

3.20%,

09/15/49

.................

491

360,312

2.90%,

06/15/50

.................

540

371,243

4.55%,

06/01/52

.................

506

461,284

CenterPoint

Energy

Houston

Electric

LLC

Series

AE,

2.35%,

04/01/31

.........

741

631,947

4.95%,

04/01/33

.................

825

842,503

3.95%,

03/01/48

.................

1,262

1,063,661

Series

AD,

2.90%,

07/01/50

.........

620

431,108

Series

AF,

3.35%,

04/01/51

.........

555

422,662

Commonwealth

Edison

Co.

Series

127,

3.20%,

11/15/49

.........

529

387,794

Series

130,

3.13%,

03/15/51

.........

479

343,694

Series

131,

2.75%,

09/01/51

.........

1,338

887,399

DTE

Electric

Co.

Series

A,

4.05%,

05/15/48

..........

1,456

1,243,498

3.95%,

03/01/49

.................

1,281

1,077,644

Series

B,

3.25%,

04/01/51

..........

498

369,387

5.40%,

04/01/53

.................

264

276,585

Duke

Energy

Carolinas

LLC

2.85%,

03/15/32

.................

1,792

1,557,360

3.88%,

03/15/46

.................

942

768,988

3.95%,

03/15/48

.................

1,391

1,157,624

5.35%,

01/15/53

.................

1,544

1,605,461

Duke

Energy

Corp.

3.15%,

08/15/27

.................

1,508

1,417,388

4.30%,

03/15/28

.................

866

849,077

Duke

Energy

Florida

LLC

2.50%,

12/01/29

.................

3,292

2,899,612

3.40%,

10/01/46

.................

939

716,345

5.95%,

11/15/52

.................

777

864,539

Duke

Energy

Ohio,

Inc.,

5.65%,

04/01/53

..

415

435,167

Duke

Energy

Progress

LLC

3.45%,

03/15/29

.................

3,888

3,634,597

5.25%,

03/15/33

.................

1,610

1,672,706

4.00%,

04/01/52

.................

469

390,001

Edison

International

5.75%,

06/15/27

.................

701

715,702

4.13%,

03/15/28

.................

640

607,535

6.95%,

11/15/29

.................

1,470

1,590,263

Entergy

Louisiana

LLC,

4.20%,

09/01/48

..

1,581

1,370,444

Entergy

Mississippi

LLC,

3.85%,

06/01/49

..

1,413

1,119,877

Evergy

Kansas

Central,

Inc.,

5.70%,

03/15/53

885

928,534

Eversource

Energy

Series

M,

3.30%,

01/15/28

..........

381

357,235

5.45%,

03/01/28

.................

3,066

3,177,066

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

25

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Electric

Utilities

(continued)

Exelon

Corp.

5.10%,

06/15/45

.................

USD

312

$

295,220

4.70%,

04/15/50

.................

2,163

1,960,444

5.60%,

03/15/53

.................

1,174

1,195,597

FirstEnergy

Corp.

Series

B,

4.15%,

07/15/27

(c)

.........

1,839

1,751,648

Series

B,

2.25%,

09/01/30

..........

1,970

1,625,654

Series

C,

3.40%,

03/01/50

..........

411

281,852

FirstEnergy

Transmission

LLC

(b)

4.35%,

01/15/25

.................

2,346

2,313,685

4.55%,

04/01/49

.................

1,568

1,319,615

Florida

Power

&

Light

Co.,

3.99%,

03/01/49

.

2,391

2,072,726

Idaho

Power

Co.,

5.50%,

03/15/53

......

1,100

1,143,198

Kentucky

Utilities

Co.,

5.45%,

04/15/33

...

440

457,560

Louisville

Gas

&

Electric

Co.,

5.45%,

04/15/33

630

654,696

Metropolitan

Edison

Co.,

5.20%,

04/01/28

(b)

.

675

681,848

MidAmerican

Energy

Co.

3.15%,

04/15/50

.................

1,277

936,163

2.70%,

08/01/52

.................

1,108

750,314

Northern

States

Power

Co.

4.00%,

08/15/45

.................

669

568,895

2.90%,

03/01/50

.................

549

387,712

3.20%,

04/01/52

.................

1,480

1,085,514

NRG

Energy,

Inc.,

2.45%,

12/02/27

(b)

.....

1,303

1,114,783

NSTAR

Electric

Co.,

3.95%,

04/01/30

....

425

411,500

Ohio

Power

Co.

Series

Q,

1.63%,

01/15/31

..........

651

516,885

Series

G,

6.60%,

02/15/33

..........

441

488,826

4.00%,

06/01/49

.................

983

820,404

Oklahoma

Gas

&

Electric

Co.,

5.60%,

04/01/53

1,048

1,076,695

Oncor

Electric

Delivery

Co.

LLC

4.10%,

11/15/48

.................

894

776,816

3.10%,

09/15/49

.................

1,574

1,157,926

4.60%,

06/01/52

.................

558

515,265

Pacific

Gas

&

Electric

Co.

5.90%,

06/15/32

.................

1,319

1,317,768

3.50%,

08/01/50

.................

1,638

1,080,757

6.70%,

04/01/53

.................

410

421,586

PacifiCorp,

4.15%,

02/15/50

..........

605

518,347

PECO

Energy

Co.,

3.05%,

03/15/51

.....

1,450

1,028,979

Pennsylvania

Electric

Co.,

5.15%,

03/30/26

(b)

500

502,183

Public

Service

Co.

of

New

Hampshire,

5.15%,

01/15/53

.....................

847

858,269

Public

Service

Electric

&

Gas

Co.

3.65%,

09/01/28

.................

530

506,838

3.60%,

12/01/47

.................

688

552,449

3.15%,

01/01/50

.................

590

440,247

2.05%,

08/01/50

.................

1,317

780,777

Southern

California

Edison

Co.

Series

A,

4.20%,

03/01/29

..........

928

897,287

2.25%,

06/01/30

.................

2,987

2,537,246

5.95%,

11/01/32

.................

2,905

3,146,832

Southwestern

Electric

Power

Co.,

5.30%,

04/01/33

.....................

1,200

1,209,011

Southwestern

Public

Service

Co.

3.40%,

08/15/46

.................

634

470,836

Series

8,

3.15%,

05/01/50

..........

1,183

851,727

Tampa

Electric

Co.,

4.45%,

06/15/49

.....

394

343,440

Trans-Allegheny

Interstate

Line

Co.,

3.85%,

06/01/25

(b)

....................

3,318

3,227,522

Union

Electric

Co.,

5.45%,

03/15/53

.....

1,200

1,254,362

Virginia

Electric

&

Power

Co.

6.35%,

11/30/37

.................

964

1,072,494

Series

D,

4.65%,

08/15/43

..........

897

813,997

Security

Par

(000)

Par

(000)

Value

Electric

Utilities

(continued)

Wisconsin

Power

&

Light

Co.,

4.95%,

04/01/33

USD

1,582

$

1,591,805

102,645,199

Entertainment

—

0.0%

Walt

Disney

Co.

(The)

4.75%,

11/15/46

.................

377

363,485

2.75%,

09/01/49

.................

461

320,616

684,101

Financial

Services

—

0.3%

Global

Payments,

Inc.

4.80%,

04/01/26

.................

814

797,314

2.15%,

01/15/27

.................

2,084

1,845,604

4.95%,

08/15/27

.................

1,551

1,532,195

3.20%,

08/15/29

.................

1,374

1,208,600

5.30%,

08/15/29

.................

1,258

1,242,286

2.90%,

05/15/30

.................

2,227

1,885,774

Synchrony

Bank,

5.63%,

08/23/27

......

766

703,150

9,214,923

Food

Products

—

0.0%

Gruma

SAB

de

CV,

4.88%,

12/01/24

(d)

....

211

208,362

Gas

Utilities

—

0.1%

Atmos

Energy

Corp.,

5.75%,

10/15/52

....

320

348,974

Piedmont

Natural

Gas

Co.,

Inc.,

4.10%,

09/18/34

.....................

440

400,540

Promigas

SA

ESP

3.75%,

10/16/29

(b)

................

479

378,201

3.75%,

10/16/29

(d)

................

468

369,515

Southwest

Gas

Corp.,

5.45%,

03/23/28

...

1,490

1,504,038

3,001,268

Ground

Transportation

—

0.6%

Burlington

Northern

Santa

Fe

LLC

4.45%,

03/15/43

.................

427

395,568

3.05%,

02/15/51

.................

717

521,898

3.30%,

09/15/51

.................

1,423

1,085,695

2.88%,

06/15/52

.................

1,371

958,745

CSX

Corp.

4.30%,

03/01/48

.................

858

759,691

3.35%,

09/15/49

.................

825

621,260

3.80%,

04/15/50

.................

406

328,866

4.50%,

08/01/54

.................

414

367,825

4.65%,

03/01/68

.................

372

331,364

Norfolk

Southern

Corp.

2.30%,

05/15/31

.................

2,950

2,472,649

4.45%,

06/15/45

.................

461

404,968

3.05%,

05/15/50

.................

513

355,055

2.90%,

08/25/51

.................

574

381,447

3.70%,

03/15/53

.................

1,111

854,119

Penske

Truck

Leasing

Co.

LP

(b)

4.00%,

07/15/25

.................

1,090

1,055,753

4.20%,

04/01/27

.................

739

707,056

5.88%,

11/15/27

.................

2,694

2,751,018

5.70%,

02/01/28

.................

1,871

1,887,782

Ryder

System,

Inc.,

5.65%,

03/01/28

.....

2,229

2,258,381

Union

Pacific

Corp.

3.95%,

08/15/59

.................

455

371,614

3.84%,

03/20/60

.................

915

740,776

2.97%,

09/16/62

.................

1,892

1,251,112

3.85%,

02/14/72

.................

685

538,987

Union

Pacific

Railroad

Co.

Pass-Through

Trust,

Series

2014-1,

3.23%,

05/14/26

......

1,218

1,163,612

22,565,241

Health

Care

Equipment

&

Supplies

—

0.1%

Baxter

International,

Inc.,

1.92%,

02/01/27

.

510

456,330

Becton

Dickinson

&

Co.,

4.69%,

02/13/28

..

1,138

1,142,580

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

26

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Health

Care

Equipment

&

Supplies

(continued)

GE

HealthCare

Technologies,

Inc.,

5.60%,

11/15/25

(b)

....................

USD

340

$

344,103

1,943,013

Health

Care

Providers

&

Services

—

0.6%

Aetna,

Inc.,

4.75%,

03/15/44

..........

394

358,831

Centene

Corp.,

3.00%,

10/15/30

........

3,317

2,793,183

CVS

Health

Corp.

3.75%,

04/01/30

.................

5,730

5,360,383

5.63%,

02/21/53

.................

440

445,734

Elevance

Health,

Inc.,

3.60%,

03/15/51

...

1,458

1,134,719

HCA,

Inc.

5.88%,

02/15/26

.................

346

351,123

5.38%,

09/01/26

.................

2,472

2,480,804

3.13%,

03/15/27

(b)

................

669

621,820

4.13%,

06/15/29

.................

915

857,111

3.50%,

09/01/30

.................

3,289

2,929,479

3.63%,

03/15/32

(b)

................

834

735,197

Humana,

Inc.,

3.70%,

03/23/29

........

805

757,360

UnitedHealth

Group,

Inc.

3.70%,

08/15/49

.................

1,282

1,045,306

3.25%,

05/15/51

.................

552

414,723

3.88%,

08/15/59

.................

1,432

1,170,413

5.20%,

04/15/63

.................

588

595,340

22,051,526

Hotel

&

Resort

REITs

—

0.0%

Service

Properties

Trust,

4.35%,

10/01/24

..

990

946,945

Industrial

REITs

—

0.1%

Prologis

LP

2.25%,

04/15/30

.................

434

368,179

1.75%,

02/01/31

.................

2,045

1,653,260

2,021,439

Insurance

—

0.2%

American

International

Group,

Inc.,

4.75%,

04/01/48

.....................

377

338,369

Aon

Corp.

4.50%,

12/15/28

.................

1,804

1,767,688

3.75%,

05/02/29

.................

369

352,628

5.35%,

02/28/33

.................

2,427

2,513,901

Marsh

&

McLennan

Cos.,

Inc.

2.25%,

11/15/30

.................

1,126

950,308

5.45%,

03/15/53

.................

826

850,656

6,773,550

Interactive

Media

&

Services

—

0.0%

Meta

Platforms,

Inc.,

4.45%,

08/15/52

....

749

658,925

Life

Sciences

Tools

&

Services

—

0.1%

Agilent

Technologies,

Inc.,

2.10%,

06/04/30

.

526

439,587

Thermo

Fisher

Scientific,

Inc.,

4.95%,

11/21/32

2,760

2,864,034

3,303,621

Machinery

—

0.1%

CNH

Industrial

Capital

LLC,

4.20%,

01/15/24

2,385

2,358,849

Media

—

0.6%

Charter

Communications

Operating

LLC

5.38%,

05/01/47

.................

3,700

3,052,678

4.80%,

03/01/50

.................

1,298

989,327

3.90%,

06/01/52

.................

2,657

1,756,346

6.83%,

10/23/55

.................

589

572,243

3.85%,

04/01/61

.................

1,100

685,835

3.95%,

06/30/62

.................

1,389

880,116

Comcast

Corp.

2.65%,

02/01/30

.................

1,046

931,809

1.95%,

01/15/31

.................

1,999

1,663,352

1.50%,

02/15/31

.................

1,011

811,815

Security

Par

(000)

Par

(000)

Value

Media

(continued)

5.50%,

11/15/32

.................

USD

2,144

$

2,286,318

7.05%,

03/15/33

.................

290

343,743

3.25%,

11/01/39

.................

2,137

1,734,491

2.80%,

01/15/51

.................

1,148

775,267

Cox

Communications,

Inc.

(b)

3.15%,

08/15/24

.................

1,304

1,270,970

3.60%,

06/15/51

.................

1,198

859,685

Grupo

Televisa

SAB,

6.63%,

01/15/40

....

148

156,862

Omnicom

Group,

Inc.,

2.45%,

04/30/30

...

409

351,121

Paramount

Global

4.38%,

03/15/43

.................

667

473,975

4.90%,

08/15/44

.................

639

479,729

Time

Warner

Cable

LLC

6.55%,

05/01/37

.................

674

664,357

5.88%,

11/15/40

.................

994

900,895

21,640,934

Metals

&

Mining

—

0.2%

Anglo

American

Capital

plc

(b)

4.75%,

04/10/27

.................

794

775,103

4.50%,

03/15/28

.................

2,017

1,923,724

2.25%,

03/17/28

.................

910

782,771

3.88%,

03/16/29

.................

624

572,442

2.88%,

03/17/31

.................

409

340,441

AngloGold

Ashanti

Holdings

plc,

3.75%,

10/01/30

.....................

1,162

1,008,979

Freeport

Indonesia

PT,

4.76%,

04/14/27

(b)

..

380

369,859

GUSAP

III

LP,

4.25%,

01/21/30

(d)

.......

259

238,248

Newmont

Corp.,

2.25%,

10/01/30

.......

506

425,073

Nucor

Corp.,

3.95%,

05/01/28

.........

1,206

1,160,369

7,597,009

Multi-Utilities

—

0.3%

Ameren

Illinois

Co.,

5.90%,

12/01/52

.....

1,004

1,121,551

Consolidated

Edison

Co.

of

New

York,

Inc.

6.15%,

11/15/52

.................

438

493,650

4.63%,

12/01/54

.................

396

353,328

Consumers

Energy

Co.

4.63%,

05/15/33

.................

1,719

1,714,143

4.35%,

04/15/49

.................

582

525,965

3.75%,

02/15/50

.................

1,096

892,235

3.10%,

08/15/50

.................

513

369,597

4.20%,

09/01/52

.................

2,460

2,161,914

NiSource,

Inc.,

5.25%,

03/30/28

........

470

478,103

San

Diego

Gas

&

Electric

Co.,

5.35%,

04/01/53

1,270

1,307,906

9,418,392

Oil,

Gas

&

Consumable

Fuels

—

3.5%

Boardwalk

Pipelines

LP,

5.95%,

06/01/26

..

393

398,685

BP

Capital

Markets

America,

Inc.

2.72%,

01/12/32

.................

416

362,725

4.81%,

02/13/33

.................

490

497,528

2.77%,

11/10/50

.................

1,538

1,040,705

Cameron

LNG

LLC

(b)

2.90%,

07/15/31

.................

577

513,185

3.30%,

01/15/35

.................

3,817

3,284,408

3.40%,

01/15/38

.................

1,710

1,472,607

Cenovus

Energy,

Inc.

5.25%,

06/15/37

.................

1,319

1,245,764

6.75%,

11/15/39

.................

898

955,416

Cheniere

Corpus

Christi

Holdings

LLC

5.88%,

03/31/25

.................

343

345,452

5.13%,

06/30/27

.................

5,094

5,097,871

Cheniere

Energy

Partners

LP

4.50%,

10/01/29

.................

4,631

4,302,248

4.00%,

03/01/31

.................

954

849,003

3.25%,

01/31/32

.................

5,579

4,608,924

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

27

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

Devon

Energy

Corp.

8.25%,

08/01/23

.................

USD

300

$

301,277

5.25%,

10/15/27

.................

526

526,116

4.50%,

01/15/30

.................

680

649,438

Diamondback

Energy,

Inc.

3.25%,

12/01/26

.................

6,157

5,832,953

3.50%,

12/01/29

.................

12,490

11,412,910

3.13%,

03/24/31

.................

5,067

4,393,798

4.40%,

03/24/51

.................

730

587,452

EIG

Pearl

Holdings

SARL,

4.39%,

11/30/46

(b)

923

726,459

El

Paso

Natural

Gas

Co.

LLC,

3.50%,

02/15/32

(b)

....................

1,001

860,280

Enbridge,

Inc.,

5.70%,

03/08/33

........

1,258

1,308,501

Energy

Transfer

LP

3.90%,

05/15/24

(c)

................

2,504

2,451,317

4.90%,

03/15/35

.................

844

788,524

6.10%,

02/15/42

.................

541

529,028

5.15%,

02/01/43

.................

815

710,695

5.30%,

04/01/44

.................

781

690,974

5.35%,

05/15/45

.................

1,592

1,407,450

5.30%,

04/15/47

.................

2,556

2,239,783

5.00%,

05/15/50

.................

3,745

3,196,463

Enterprise

Products

Operating

LLC

4.15%,

10/16/28

.................

1,119

1,087,603

4.45%,

02/15/43

.................

769

684,504

3.30%,

02/15/53

.................

511

369,664

EQT

Corp.,

5.70%,

04/01/28

..........

528

527,427

Hess

Corp.,

7.13%,

03/15/33

..........

660

731,688

Kinder

Morgan

Energy

Partners

LP

6.50%,

02/01/37

.................

706

745,594

4.70%,

11/01/42

.................

1,529

1,309,480

5.00%,

03/01/43

.................

940

822,276

5.50%,

03/01/44

.................

1,278

1,200,881

Kinder

Morgan,

Inc.,

4.80%,

02/01/33

....

544

524,865

Marathon

Petroleum

Corp.,

5.00%,

09/15/54

529

454,955

MPLX

LP

5.00%,

03/01/33

.................

852

833,742

4.95%,

03/14/52

.................

418

363,317

5.65%,

03/01/53

.................

526

505,838

NGPL

PipeCo

LLC

(b)

4.88%,

08/15/27

.................

2,110

2,044,939

3.25%,

07/15/31

.................

4,051

3,437,856

Northwest

Pipeline

LLC,

4.00%,

04/01/27

..

2,916

2,821,731

Oleoducto

Central

SA,

4.00%,

07/14/27

(d)

..

200

171,975

Phillips

66,

4.95%,

12/01/27

..........

1,710

1,717,602

Pioneer

Natural

Resources

Co.,

5.10%,

03/29/26

.....................

727

730,024

Sabine

Pass

Liquefaction

LLC

5.75%,

05/15/24

.................

5,058

5,070,013

5.63%,

03/01/25

.................

10,089

10,153,047

5.88%,

06/30/26

.................

5,090

5,194,395

5.90%,

09/15/37

(b)

................

350

358,011

Targa

Resources

Corp.

5.20%,

07/01/27

.................

772

765,545

4.20%,

02/01/33

.................

395

355,378

Targa

Resources

Partners

LP

6.50%,

07/15/27

.................

2,214

2,257,316

5.00%,

01/15/28

.................

2,064

1,995,650

6.88%,

01/15/29

.................

255

259,901

5.50%,

03/01/30

.................

2,031

1,984,754

4.88%,

02/01/31

.................

1,240

1,160,249

4.00%,

01/15/32

.................

741

645,811

Texas

Eastern

Transmission

LP,

3.50%,

01/15/28

(b)

....................

2,271

2,133,573

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

Transcontinental

Gas

Pipe

Line

Co.

LLC

4.00%,

03/15/28

.................

USD

3,205

$

3,065,688

3.25%,

05/15/30

.................

2,057

1,862,874

4.60%,

03/15/48

.................

693

608,381

Western

Midstream

Operating

LP,

6.15%,

04/01/33

.....................

455

461,170

Williams

Cos.,

Inc.

(The),

3.50%,

10/15/51

.

956

679,097

123,684,753

Paper

&

Forest

Products

—

0.0%

Suzano

Austria

GmbH

5.00%,

01/15/30

.................

619

589,133

3.75%,

01/15/31

.................

295

254,895

Series

DM3N,

3.13%,

01/15/32

.......

568

462,920

1,306,948

Passenger

Airlines

—

0.4%

Air

Canada

Pass-Through

Trust

(b)

Series

2017-1,

Class

B,

3.70%,

01/15/26

6

5,243

Series

2017-1,

Class

AA,

3.30%,

01/15/30

391

344,288

American

Airlines

Pass-Through

Trust

Series

2015-2,

Class

B,

4.40%,

09/22/23

1,372

1,348,932

Series

2016-2,

Class

B,

4.38%,

06/15/24

(b)

497

481,698

Series

2015-2,

Class

AA,

3.60%,

09/22/27

281

257,752

Series

2016-1,

Class

AA,

3.58%,

01/15/28

1,920

1,765,724

Series

2016-2,

Class

AA,

3.20%,

06/15/28

407

365,332

Series

2017-1,

Class

AA,

3.65%,

02/15/29

141

128,634

Series

2017-2,

Class

AA,

3.35%,

10/15/29

612

546,461

Series

2019-1,

Class

AA,

3.15%,

02/15/32

950

831,157

Delta

Air

Lines

Pass-Through

Trust,

Series

2019-1,

Class

AA,

3.20%,

04/25/24

....

2,311

2,262,714

United

Airlines

Pass-Through

Trust

Series

2016-2,

Class

B,

3.65%,

10/07/25

71

66,338

Series

2020-1,

Class

B,

4.88%,

01/15/26

608

587,530

Series

2020-1,

Class

A,

5.88%,

10/15/27

2,110

2,103,307

Series

2015-1,

Class

AA,

3.45%,

12/01/27

826

751,155

Series

2019-2,

Class

B,

3.50%,

05/01/28

853

771,040

Series

2016-1,

Class

AA,

3.10%,

07/07/28

48

43,463

Series

2016-2,

Class

AA,

2.88%,

10/07/28

415

369,443

Series

2018-1,

Class

AA,

3.50%,

03/01/30

502

450,016

Series

2019-1,

Class

AA,

4.15%,

08/25/31

576

517,084

Series

2019-2,

Class

AA,

2.70%,

05/01/32

783

659,297

14,656,608

Personal

Care

Products

—

0.0%

Kenvue,

Inc.,

5.20%,

03/22/63

(b)

........

520

538,766

Pharmaceuticals

—

0.1%

Eli

Lilly

&

Co.,

4.95%,

02/27/63

........

671

690,389

Takeda

Pharmaceutical

Co.

Ltd.

5.00%,

11/26/28

.................

2,288

2,312,655

2.05%,

03/31/30

.................

2,608

2,202,179

5,205,223

Professional

Services

—

0.0%

Broadridge

Financial

Solutions,

Inc.,

3.40%,

06/27/26

.....................

719

687,043

Retail

REITs

—

0.0%

National

Retail

Properties,

Inc.

4.30%,

10/15/28

.................

419

394,288

3.50%,

04/15/51

.................

519

356,085

Realty

Income

Corp.,

3.25%,

01/15/31

....

676

595,478

1,345,851

Semiconductors

&

Semiconductor

Equipment

—

1.0%

Applied

Materials,

Inc.,

3.30%,

04/01/27

...

978

944,179

Broadcom,

Inc.

(b)

3.42%,

04/15/33

.................

9,661

8,083,450

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

28

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Semiconductors

&

Semiconductor

Equipment

(continued)

3.19%,

11/15/36

.................

USD

2,519

$

1,908,942

Intel

Corp.,

4.88%,

02/10/28

..........

6,620

6,726,437

KLA

Corp.

3.30%,

03/01/50

.................

2,148

1,641,919

4.95%,

07/15/52

.................

1,527

1,513,505

5.25%,

07/15/62

.................

1,733

1,754,343

NVIDIA

Corp.,

3.50%,

04/01/50

........

695

568,969

NXP

BV,

4.30%,

06/18/29

............

5,398

5,134,847

QUALCOMM,

Inc.

5.40%,

05/20/33

.................

2,457

2,637,589

4.30%,

05/20/47

.................

1,046

969,861

4.50%,

05/20/52

.................

2,254

2,100,668

33,984,709

Software

—

0.7%

Oracle

Corp.

4.30%,

07/08/34

.................

1,390

1,274,574

3.80%,

11/15/37

.................

4,956

4,114,660

6.13%,

07/08/39

.................

387

402,660

3.60%,

04/01/40

.................

2,205

1,711,391

5.38%,

07/15/40

.................

1,030

986,115

3.65%,

03/25/41

.................

1,700

1,311,569

4.50%,

07/08/44

.................

410

342,498

4.13%,

05/15/45

.................

3,335

2,618,936

4.00%,

07/15/46

.................

4,830

3,685,066

3.60%,

04/01/50

.................

965

684,469

3.95%,

03/25/51

.................

4,777

3,594,585

4.38%,

05/15/55

.................

1,650

1,298,750

Roper

Technologies,

Inc.,

2.95%,

09/15/29

.

691

620,456

Salesforce,

Inc.,

3.05%,

07/15/61

.......

913

626,531

VMware,

Inc.

1.80%,

08/15/28

.................

1,068

901,882

2.20%,

08/15/31

.................

2,794

2,212,036

26,386,178

Specialized

REITs

—

0.5%

American

Tower

Corp.

3.95%,

03/15/29

.................

378

354,013

3.80%,

08/15/29

.................

435

404,265

2.10%,

06/15/30

.................

3,182

2,599,771

1.88%,

10/15/30

.................

1,235

979,499

Crown

Castle,

Inc.

4.30%,

02/15/29

.................

2,662

2,567,039

3.10%,

11/15/29

.................

1,908

1,695,886

3.30%,

07/01/30

.................

2,846

2,566,386

2.25%,

01/15/31

.................

1,325

1,098,129

2.10%,

04/01/31

.................

1,477

1,206,895

2.50%,

07/15/31

.................

539

453,014

Equinix,

Inc.

2.15%,

07/15/30

.................

3,606

2,948,463

2.50%,

05/15/31

.................

695

572,276

17,445,636

Specialty

Retail

—

0.2%

Home

Depot,

Inc.

(The),

2.38%,

03/15/51

..

1,115

701,710

InRetail

Consumer,

3.25%,

03/22/28

(b)

....

635

542,004

Lowe's

Cos.,

Inc.

3.65%,

04/05/29

.................

1,845

1,746,788

4.50%,

04/15/30

.................

3,852

3,806,627

6,797,129

Technology

Hardware,

Storage

&

Peripherals

—

0.3%

Apple,

Inc.

2.70%,

08/05/51

.................

1,017

716,489

2.80%,

02/08/61

.................

1,749

1,190,294

Dell

International

LLC

6.02%,

06/15/26

.................

2,815

2,889,077

Security

Par

(000)

Par

(000)

Value

Technology

Hardware,

Storage

&

Peripherals

(continued)

4.90%,

10/01/26

.................

USD

352

$

351,108

6.10%,

07/15/27

.................

357

374,980

Hewlett

Packard

Enterprise

Co.,

5.90%,

10/01/24

.....................

3,830

3,878,291

HP,

Inc.,

2.65%,

06/17/31

............

1,297

1,057,911

10,458,150

Tobacco

—

0.4%

Altria

Group,

Inc.

3.13%,

06/15/31

.................

EUR

2,880

2,663,820

3.40%,

02/04/41

.................

USD

3,657

2,585,553

BAT

Capital

Corp.

3.98%,

09/25/50

.................

772

530,012

5.65%,

03/16/52

.................

458

401,985

Philip

Morris

International,

Inc.

5.13%,

11/17/27

.................

3,069

3,140,535

4.88%,

02/15/28

.................

2,946

2,973,344

1.45%,

08/01/39

.................

EUR

2,600

1,631,830

Reynolds

American,

Inc.,

5.85%,

08/15/45

..

USD

1,002

903,362

14,830,441

Wireless

Telecommunication

Services

—

0.2%

Rogers

Communications,

Inc.,

3.80%,

03/15/32

(b)

....................

3,863

3,466,851

T-Mobile

USA,

Inc.

3.88%,

04/15/30

.................

1,736

1,628,912

5.20%,

01/15/33

.................

1,262

1,287,139

6,382,902

Total

Corporate

Bonds

—

21.8%

(Cost:

$810,051,720)

.............................

781,294,567

Foreign

Agency

Obligations

Chile

—

0.0%

Empresa

Nacional

del

Petroleo,

3.75%

,

08/05/26

(d)

.....................

308

285,920

Colombia

—

0.1%

Ecopetrol

SA

4.13%,

01/16/25

.................

615

592,245

6.88%,

04/29/30

.................

1,358

1,242,624

Empresas

Publicas

de

Medellin

ESP,

4.25%

,

07/18/29

(b)

.....................

276

208,777

2,043,646

Mexico

—

0.1%

Comision

Federal

de

Electricidad,

4.88%

,

01/15/24

(d)

.....................

308

303,245

Petroleos

Mexicanos

4.88%,

01/18/24

.................

308

303,534

Series

13-2,

7.19%,

09/12/24

........

MXN

72

366,259

6.88%,

10/16/25

.................

USD

371

365,852

6.88%,

08/04/26

.................

185

174,807

6.50%,

03/13/27

.................

640

578,304

8.75%,

06/02/29

.................

1,513

1,398,617

6.70%,

02/16/32

.................

253

200,579

5.50%,

06/27/44

.................

167

99,031

6.75%,

09/21/47

.................

228

147,345

6.35%,

02/12/48

.................

447

276,581

4,214,154

Total

Foreign

Agency

Obligations

—

0.2%

(Cost:

$6,898,348)

..............................

6,543,720

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

29

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Foreign

Government

Obligations

Colombia

—

0.0%

Republic

of

Colombia

5.75%,

11/03/27

.................

COP

4,278,000

$

741,705

7.00%,

03/26/31

.................

1,290,500

213,193

8.00%,

04/20/33

.................

USD

257

263,554

7.25%,

10/18/34

.................

COP

2,248,000

348,553

4.13%,

05/15/51

.................

USD

284

175,512

1,742,517

Indonesia

—

0.1%

Republic

of

Indonesia

6.38%,

08/15/28

.................

IDR

8,786,000

585,538

9.00%,

03/15/29

.................

4,152,000

310,790

8.25%,

05/15/29

.................

6,360,000

460,504

2.85%,

02/14/30

.................

USD

298

268,721

3.05%,

03/12/51

.................

2,624

1,928,929

3,554,482

Mexico

—

0.4%

United

Mexican

States

5.00%,

03/06/25

.................

MXN

305

1,535,587

5.75%,

03/05/26

.................

213

1,067,419

7.50%,

06/03/27

.................

238

1,252,409

8.50%,

05/31/29

.................

256

1,396,343

2.66%,

05/24/31

.................

USD

4,749

3,974,913

8.50%,

11/18/38

.................

MXN

60

317,781

4.50%,

01/31/50

.................

USD

5,805

4,677,741

14,222,193

Panama

—

0.1%

Republic

of

Panama

3.88%,

03/17/28

.................

1,275

1,220,653

6.40%,

02/14/35

.................

458

476,549

6.85%,

03/28/54

.................

222

227,689

4.50%,

04/01/56

.................

2,439

1,809,890

3,734,781

Peru

—

0.1%

Republic

of

Peru

4.13%,

08/25/27

.................

536

525,046

3.55%,

03/10/51

.................

2,119

1,547,929

2,072,975

Philippines

—

0.1%

Republic

of

Philippines

3.00%,

02/01/28

.................

3,147

2,958,526

3.20%,

07/06/46

.................

2,747

2,036,516

4,995,042

Poland

—

0.1%

Republic

of

Poland

4.88%,

10/04/33

.................

1,547

1,540,395

4.25%,

02/14/43

(d)

................

EUR

585

615,228

2,155,623

Romania

—

0.0%

Romania

Government

Bond,

2.13%

,

03/07/28

(d)

367

337,887

Russia

—

0.0%

Russian

Federation,

6.10%

,

07/18/35

(f)(g)

...

RUB

102,831

66,214

Saudi

Arabia

—

0.0%

Kingdom

of

Saudi

Arabia,

3.45%

,

02/02/61

(d)

USD

551

389,247

Uruguay

—

0.1%

Oriental

Republic

of

Uruguay

4.38%,

10/27/27

.................

1,813

1,818,747

Security

Par

(000)

Par

(000)

Value

Uruguay

(continued)

5.10%,

06/18/50

.................

USD

1,369

$

1,372,727

3,191,474

Total

Foreign

Government

Obligations

—

1.0%

(Cost:

$43,294,473)

..............................

36,462,435

Municipal

Bonds

California

—

0.4%

Bay

Area

Toll

Authority

,

Series

2010S-1,

RB,

7.04%, 04/01/50

.................

1,925

2,533,001

Los

Angeles

Community

College

District

,

Series

2010E,

GO,

6.60%, 08/01/42

.........

980

1,232,415

Los

Angeles

Unified

School

District

,

Series

2010RY,

GO,

6.76%, 07/01/34

........

2,505

2,900,427

State

of

California

Series

2018,

GO,

4.60%, 04/01/38

.....

4,110

3,981,839

Series

2009,

GO,

7.55%, 04/01/39

.....

1,300

1,681,268

University

of

California

,

Series

2012AD,

RB,

4.86%, 05/15/12

.................

425

384,541

12,713,491

Georgia

—

0.0%

Municipal

Electric

Authority

of

Georgia

,

Series

2010-A,

RB,

6.64%, 04/01/57

........

674

743,589

Illinois

—

0.1%

State

of

Illinois

,

Series

2003,

GO,

5.10%, 06/01/33

.................

4,725

4,707,746

Massachusetts

—

0.0%

Massachusetts

Housing

Finance

Agency

,

Series

2015A,

RB,

AMT,

4.50%, 12/01/48

230

222,462

New

Jersey

—

0.0%

New

Jersey

Turnpike

Authority

,

Series

2009F,

RB,

7.41%, 01/01/40

..............

665

836,104

New

York

—

0.1%

Metropolitan

Transportation

Authority

Series

2010A,

RB,

6.67%, 11/15/39

....

270

291,117

Series

2010,

RB,

6.81%, 11/15/40

.....

730

791,854

New

York

City

Municipal

Water

Finance

Authority

,

Series

2011CC,

RB,

5.88%, 06/15/44

.................

440

501,086

New

York

State

Dormitory

Authority

,

Series

2010H,

RB,

5.39%, 03/15/40

.........

320

336,500

Port

Authority

of

New

York

&

New

Jersey

,

Series

2014-181,

RB,

4.96%, 08/01/46

..

1,665

1,702,093

3,622,650

Ohio

—

0.0%

American

Municipal

Power,

Inc.

,

Series

2010A,

RB,

8.08%, 02/15/50

..............

765

1,049,314

Texas

—

0.1%

City

of

San

Antonio

Electric

&

Gas

Systems

,

Series

2010A,

RB,

5.81%, 02/01/41

....

1,095

1,201,696

State

of

Texas

,

Series

2009A,

GO,

5.52%, 04/01/39

.................

1,235

1,358,425

2,560,121

Total

Municipal

Bonds

—

0.7%

(Cost:

$29,197,140)

..............................

26,455,477

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

30

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

1.5%

Angel

Oak

Mortgage

Trust

(a)(b)

Series

2020-3,

Class

A3,

2.87%,

04/25/65

USD

557

$

513,721

Series

2020-4,

Class

A3,

2.81%,

06/25/65

226

206,529

Angel

Oak

Mortgage

Trust

I

LLC,

Series

2019-

4,

Class

A3,

3.30%,

07/26/49

(a)(b)

......

27

26,403

Barclays

Mortgage

Loan

Trust,

Series

2022-

NQM1,

Class

A1,

4.55%,

07/25/52

(b)(c)

...

2,277

2,160,400

CHL

Mortgage

Pass-Through

Trust,

Series

2004-29,

Class

1A1,

(1-mo.

LIBOR

USD

at

0.54%

Floor

and

11.50%

Cap

+

0.54%),

5.39%,

02/25/35

(a)

................

145

124,978

COLT

Mortgage

Loan

Trust

(a)(b)

Series

2020-2,

Class

M1,

5.25%,

03/25/65

1,283

1,186,726

Series

2020-3,

Class

A3,

2.38%,

04/27/65

136

126,480

GCAT

Trust,

Series

2022-NQM4,

Class

A1,

5.27%,

08/25/67

(b)(c)

...............

2,337

2,288,674

Homeward

Opportunities

Fund

I

Trust,

Series

2020-2,

Class

A3,

3.20%,

05/25/65

(a)(b)

..

1,237

1,107,721

Homeward

Opportunities

Fund

Trust,

Series

2022-1,

Class

A1,

5.08%,

07/25/67

(b)(c)

...

2,296

2,249,157

JP

Morgan

Mortgage

Trust

(a)(b)

Series

2021-INV5,

Class

A2A,

2.50%,

12/25/51

....................

19,065

15,428,830

Series

2021-INV7,

Class

A3A,

2.50%,

02/25/52

....................

10,467

9,154,729

Series

2021-INV7,

Class

A4A,

2.50%,

02/25/52

....................

4,034

2,696,436

Series

2021-INV7,

Class

A5A,

2.50%,

02/25/52

....................

2,204

1,738,764

MFA

Trust,

Series

2020-NQM1,

Class

A3,

2.30%,

08/25/49

(a)(b)

...............

359

327,141

Morgan

Stanley

Residential

Mortgage

Loan

Trust,

Series

2014-1A,

Class

B3,

6.01%,

06/25/44

(a)(b)

....................

121

108,156

Mortgage

Loan

Resecuritization

Trust,

Series

2009-RS1,

Class

A85,

(1-mo.

LIBOR

USD

at

0.34%

Floor

and

9.00%

Cap

+

0.34%),

5.00%,

04/16/36

(a)(b)

...............

1,841

1,728,503

MortgageIT

Trust,

Series

2004-1,

Class

A1,

(1-

mo.

LIBOR

USD

at

0.78%

Floor

and

11.50%

Cap

+

0.78%),

5.63%,

11/25/34

(a)

......

236

217,173

New

Residential

Mortgage

Loan

Trust,

Series

2019-2A,

Class

A1,

4.25%,

12/25/57

(a)(b)

.

196

187,135

PRKCM

Trust

(a)(b)

Series

2021-AFC2,

Class

A1,

2.07%,

11/25/56

....................

285

236,811

Series

2022-AFC1,

Class

A1A,

4.10%,

04/25/57

....................

320

300,819

Series

2022-AFC2,

Class

A1,

5.33%,

08/25/57

....................

2,357

2,318,754

Residential

Mortgage

Loan

Trust,

Series

2020-

2,

Class

M1,

3.57%,

05/25/60

(a)(b)

......

1,680

1,406,095

SG

Residential

Mortgage

Trust,

Series

2022-2,

Class

A1,

5.35%,

08/25/62

(b)(c)

........

491

483,182

Structured

Asset

Securities

Corp.

Assistance

Loan

Trust,

Series

2003-AL1,

Class

A,

3.36%,

04/25/31

(b)

................

78

77,371

Verus

Securitization

Trust

(b)

Series

2019-INV2,

Class

M1,

3.50%,

07/25/59

(a)

...................

3,000

2,622,240

Series

2020-4,

Class

A3,

2.32%,

05/25/65

(c)

517

480,569

Series

2020-4,

Class

M1,

3.29%,

05/25/65

(a)

670

556,973

Series

2020-INV1,

Class

A2,

3.04%,

03/25/60

(a)

...................

902

860,192

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Series

2020-INV1,

Class

A3,

3.89%,

03/25/60

(a)

...................

USD

1,000

$

944,818

Visio

Trust,

Series

2020-1,

Class

M1,

4.45%,

08/25/55

(a)(b)

....................

2,000

1,737,472

Vista

Point

Securitization

Trust,

Series

2020-2,

Class

A3,

2.50%,

04/25/65

(a)(b)

........

522

459,869

54,062,821

Commercial

Mortgage-Backed

Securities

—

4.1%

1211

Avenue

of

the

Americas

Trust

(a)(b)

Series

2015-1211,

Class

C,

4.14%,

08/10/35

100

84,942

Series

2015-1211,

Class

D,

4.14%,

08/10/35

1,131

941,319

280

Park

Avenue

Mortgage

Trust,

Series

2017-

280P,

Class

D,

(1-mo.

LIBOR

USD

at

1.54%

Floor

+

1.54%),

6.12%,

09/15/34

(a)(b)

....

640

592,533

Alen

Mortgage

Trust,

Series

2021-ACEN,

Class

D,

(1-mo.

LIBOR

USD

at

3.10%

Floor

+

3.10%),

7.78%,

04/15/34

(a)(b)

.........

587

446,773

Arbor

Multifamily

Mortgage

Securities

Trust

(b)

Series

2020-MF1,

Class

D,

1.75%,

05/15/53

1,080

644,359

Series

2020-MF1,

Class

E,

1.75%,

05/15/53

600

303,638

Series

2021-MF3,

Class

A5,

2.57%,

10/15/54

....................

297

243,021

AREIT

LLC,

Series

2022-CRE7,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.24%

Floor

+

2.24%),

6.99%,

06/17/39

(a)(b)

.........

918

911,115

Ashford

Hospitality

Trust,

Series

2018-ASHF,

Class

D,

(1-mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.78%,

04/15/35

(a)(b)

........

174

161,301

Atrium

Hotel

Portfolio

Trust,

Series

2017-ATRM,

Class

D,

(1-mo.

LIBOR

USD

at

1.95%

Floor

+

2.20%),

6.88%,

12/15/36

(a)(b)

........

4,050

3,601,437

BAMLL

Commercial

Mortgage

Securities

Trust

(a)(b)

Series

2017-SCH,

Class

AF,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.69%,

11/15/33

....................

1,480

1,406,527

Series

2017-SCH,

Class

CL,

(1-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.19%,

11/15/32

....................

1,450

1,311,178

Series

2017-SCH,

Class

DL,

(1-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.68%,

11/15/32

....................

1,490

1,290,734

Series

2018-DSNY,

Class

C,

(1-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.04%,

09/15/34

....................

1,000

959,631

Series

2018-DSNY,

Class

D,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

09/15/34

....................

830

788,294

Banc

of

America

Commercial

Mortgage

Trust,

Series

2015-UBS7,

Class

B,

4.34%,

09/15/48

(a)

.....................

104

94,338

Bayview

Commercial

Asset

Trust

(a)(b)

Series

2005-3A,

Class

A1,

(1-mo.

LIBOR

USD

at

0.48%

Floor

and

10.80%

Cap

+

0.48%),

5.17%,

11/25/35

..........

208

188,232

Series

2005-4A,

Class

A1,

(1-mo.

LIBOR

USD

at

0.30%

Floor

+

0.45%),

5.30%,

01/25/36

....................

1,473

1,339,893

Series

2006-4A,

Class

A1,

(1-mo.

LIBOR

USD

at

0.23%

Floor

+

0.35%),

5.19%,

12/25/36

....................

316

291,601

BBCMS

Mortgage

Trust

Series

2017-C1,

Class

B,

4.09%,

02/15/50

2,000

1,808,586

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

31

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

2018-TALL,

Class

A,

(1-mo.

LIBOR

USD

at

0.72%

Floor

+

0.72%),

5.56%,

03/15/37

(a)(b)

..................

USD

232

$

212,279

BBCMS

Trust,

Series

2015-SRCH,

Class

A1,

3.31%,

08/10/35

(b)

................

750

709,540

BB-UBS

Trust,

Series

2012-SHOW,

Class

E,

4.03%,

11/05/36

(a)(b)

...............

260

232,208

Beast

Mortgage

Trust,

Series

2021-SSCP,

Class

A,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

0.75%),

5.43%,

04/15/36

(a)(b)

........

569

540,733

BLP

Commercial

Mortgage

Trust,

Series

2023-

IND,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.69%

Floor

+

1.69%),

6.52%,

03/15/40

(a)(b)

460

454,957

BOCA

Commercial

Mortgage

Trust,

Series

2022-BOCA,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.77%

Floor

+

1.77%),

6.60%,

05/15/39

(a)(b)

....................

472

457,958

BWAY

Mortgage

Trust

(b)

Series

2013-1515,

Class

A2,

3.45%,

03/10/33

....................

419

391,942

Series

2013-1515,

Class

C,

3.45%,

03/10/33

2,810

2,578,396

Series

2013-1515,

Class

E,

3.72%,

03/10/33

100

87,104

BX

Commercial

Mortgage

Trust

(b)

Series

2019-XL,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.03%

Floor

+

1.03%),

5.86%,

10/15/36

(a)

...................

413

408,522

Series

2019-XL,

Class

D,

(1-mo.

CME

Term

SOFR

at

1.56%

Floor

+

1.56%),

6.39%,

10/15/36

(a)

...................

3,604

3,501,786

Series

2020-VIV2,

Class

C,

3.54%,

03/09/44

(a)

...................

1,450

1,175,925

Series

2020-VIV3,

Class

B,

3.54%,

03/09/44

(a)

...................

1,157

1,011,732

Series

2020-VIV4,

Class

A,

2.84%,

03/09/44

3,049

2,482,634

Series

2020-VKNG,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.04%

Floor

+

1.04%),

5.87%,

10/15/37

(a)

..............

66

64,127

Series

2021-CIP,

Class

A,

(1-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.60%,

12/15/38

(a)

...................

104

100,219

Series

2021-VINO,

Class

D,

(1-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.04%,

05/15/38

(a)

...................

3,600

3,356,160

Series

2021-VIV5,

Class

A,

2.84%,

03/09/44

(a)

...................

914

744,244

Series

2022-CSMO,

Class

C,

(1-mo.

CME

Term

SOFR

at

3.89%

Floor

+

3.89%),

8.72%,

06/15/27

(a)

..............

322

313,122

BX

Trust

(b)

Series

2019-OC11,

Class

A,

3.20%,

12/09/41

....................

71

60,613

Series

2019-OC11,

Class

D,

3.94%,

12/09/41

(a)

...................

1,832

1,511,782

Series

2021-ARIA,

Class

A,

(1-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.58%,

10/15/36

(a)

...................

231

221,637

Series

2021-ARIA,

Class

D,

(1-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.58%,

10/15/36

(a)

...................

1,604

1,487,371

Series

2021-LBA,

Class

AJV,

(1-mo.

CME

Term

SOFR

at

0.91%

Floor

+

0.91%),

5.74%,

02/15/36

(a)

..............

1,126

1,072,940

Series

2021-LBA,

Class

AV,

(1-mo.

CME

Term

SOFR

at

0.91%

Floor

+

0.91%),

5.74%,

02/15/36

(a)

..............

243

231,549

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

2021-SDMF,

Class

A,

(1-mo.

LIBOR

USD

at

0.59%

Floor

+

0.59%),

5.27%,

09/15/34

(a)

...................

USD

174

$

167,909

Series

2021-VIEW,

Class

D,

(1-mo.

LIBOR

USD

at

2.90%

Floor

+

2.90%),

7.58%,

06/15/36

(a)

...................

2,110

1,934,870

Series

2022-GPA,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.17%

Floor

+

2.17%),

6.99%,

10/15/39

(a)

..............

3,610

3,564,753

Series

2022-GPA,

Class

D,

(1-mo.

CME

Term

SOFR

at

4.06%

Floor

+

4.06%),

8.89%,

10/15/39

(a)

..............

360

352,832

Series

2022-LBA6,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

1.00%),

5.83%,

01/15/39

(a)

..............

449

433,236

Series

2022-LBA6,

Class

D,

(1-mo.

CME

Term

SOFR

at

2.00%

Floor

+

2.00%),

6.83%,

01/15/39

(a)

..............

530

492,899

Series

2022-VAMF,

Class

A,

(1-mo.

CME

Term

SOFR

at

0.85%

Floor

+

0.85%),

5.68%,

01/15/39

(a)

..............

300

288,064

Series

2022-VAMF,

Class

B,

(1-mo.

CME

Term

SOFR

at

1.28%

Floor

+

1.28%),

6.11%,

01/15/39

(a)

..............

133

127,000

BXP

Trust

(a)(b)

Series

2017-CC,

Class

D,

(1-mo.

LIBOR

USD

+

0.00%),

3.55%,

08/13/37

....

210

151,114

Series

2017-GM,

Class

D,

3.42%,

06/13/39

140

106,511

Series

2021-601L,

Class

D,

2.78%,

01/15/44

758

490,769

CAMB

Commercial

Mortgage

Trust,

Series

2019-LIFE,

Class

D,

(1-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.43%,

12/15/37

(a)(b)

815

794,031

Cassia

SRL,

Series

2022-1A,

Class

A,

(3-mo.

EURIBOR

at

2.50%

Floor

+

2.50%),

5.15%,

05/22/34

(a)(b)

....................

EUR

1,468

1,511,106

CD

Mortgage

Trust

Series

2017-CD3,

Class

A4,

3.63%,

02/10/50

....................

USD

280

261,352

Series

2017-CD5,

Class

B,

3.96%,

08/15/50

(a)

...................

446

397,165

CFCRE

Commercial

Mortgage

Trust

Series

2016-C3,

Class

A3,

3.87%,

01/10/48

110

105,136

Series

2017-C8,

Class

B,

4.20%,

06/15/50

(a)

667

571,857

CHC

Commercial

Mortgage

Trust,

Series

2019-

CHC,

Class

B,

(1-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.18%,

06/15/34

(a)(b)

....

1,311

1,257,446

Citigroup

Commercial

Mortgage

Trust

Series

2013-375P,

Class

C,

3.52%,

05/10/35

(a)(b)

..................

245

215,600

Series

2014-GC19,

Class

C,

5.09%,

03/11/47

(a)

...................

120

117,111

Series

2015-GC27,

Class

B,

3.77%,

02/10/48

....................

240

222,644

Series

2019-PRM,

Class

D,

4.35%,

05/10/36

(b)

...................

1,800

1,763,584

Cold

Storage

Trust,

Series

2020-ICE5,

Class

A,

(1-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.58%,

11/15/37

(a)(b)

.........

1,142

1,112,835

Commercial

Mortgage

Trust

(a)

Series

2014-CR15,

Class

C,

4.67%,

02/10/47

....................

192

168,655

Series

2015-CR24,

Class

B,

4.35%,

08/10/48

....................

1,232

1,160,619

Series

2016-667M,

Class

D,

3.18%,

10/10/36

(b)

...................

440

341,916

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

32

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Credit

Suisse

Mortgage

Capital

Certificates

(a)(b)

Series

2019-ICE4,

Class

B,

(1-mo.

LIBOR

USD

at

1.23%

Floor

+

1.23%),

5.91%,

05/15/36

....................

USD

2,651

$

2,607,815

Series

2020-NET,

Class

D,

3.70%,

08/15/37

600

536,415

Series

2021-980M,

Class

D,

3.54%,

07/15/31

....................

5,810

4,743,466

CSAIL

Commercial

Mortgage

Trust

Series

2015-C4,

Class

D,

3.56%,

11/15/48

(a)

1,270

1,043,669

Series

2016-C5,

Class

B,

4.46%,

11/15/48

(a)

510

477,707

Series

2016-C5,

Class

C,

4.64%,

11/15/48

(a)

710

645,781

Series

2018-CX12,

Class

C,

4.74%,

08/15/51

(a)

...................

268

218,017

Series

2019-C15,

Class

A4,

4.05%,

03/15/52

....................

870

815,355

Series

2019-C16,

Class

C,

4.24%,

06/15/52

(a)

...................

649

510,464

Series

2019-C18,

Class

D,

2.50%,

12/15/52

(b)

...................

2,849

1,694,955

Series

2020-C19,

Class

A3,

2.56%,

03/15/53

....................

1,415

1,191,623

CSMC

Trust

(b)

Series

2017-CALI,

Class

C,

3.78%,

11/10/32

(a)

...................

370

277,500

Series

2017-PFHP,

Class

A,

(1-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.63%,

12/15/30

(a)

...................

530

499,988

Series

2017-TIME,

Class

A,

3.65%,

11/13/39

230

194,702

Series

2021-BHAR,

Class

A,

(1-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.83%,

11/15/38

(a)

...................

558

533,755

Series

2022-NWPT,

Class

A,

(1-mo.

CME

Term

SOFR

at

3.14%

Floor

+

3.14%),

7.97%,

09/09/24

(a)

..............

1,017

1,014,025

DBGS

Mortgage

Trust,

Series

2018-5BP,

Class

B,

(1-mo.

LIBOR

USD

at

0.83%

Floor

+

0.98%),

5.66%,

06/15/33

(a)(b)

.........

610

549,610

DBJPM

Mortgage

Trust,

Series

2016-C1,

Class

A4,

3.28%,

05/10/49

..............

240

225,714

DBUBS

Mortgage

Trust,

Series

2017-BRBK,

Class

D,

(1-mo.

LIBOR

USD

+

0.00%),

3.53%,

10/10/34

(a)(b)

...............

360

324,794

Extended

Stay

America

Trust

(a)(b)

Series

2021-ESH,

Class

B,

(1-mo.

LIBOR

USD

at

1.38%

Floor

+

1.38%),

6.06%,

07/15/38

....................

5,457

5,285,818

Series

2021-ESH,

Class

D,

(1-mo.

LIBOR

USD

at

2.25%

Floor

+

2.25%),

6.94%,

07/15/38

....................

2,042

1,944,876

Federal

Home

Loan

Mortgage

Corp.

Variable

Rate

Notes,

Series

2018-K80,

Class

B,

4.23%,

08/25/50

(a)(b)

...............

235

223,095

GCT

Commercial

Mortgage

Trust,

Series

2021-

GCT,

Class

C,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

02/15/38

(a)(b)

....

2,060

1,726,162

GS

Mortgage

Securities

Corp.

II,

Series

2005-

ROCK,

Class

A,

5.37%,

05/03/32

(b)

.....

800

788,200

GS

Mortgage

Securities

Corp.

Trust

(b)

Series

2017-GPTX,

Class

A,

2.86%,

05/10/34

....................

570

518,700

Series

2021-DM,

Class

A,

(1-mo.

LIBOR

USD

at

0.89%

Floor

+

0.89%),

5.57%,

11/15/36

(a)

...................

749

719,735

Series

2022-AGSS,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.79%

Floor

+

2.69%),

7.52%,

11/15/27

(a)

..............

1,650

1,634,500

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

2022-ECI,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.20%

Floor

+

2.19%),

7.02%,

08/15/39

(a)

...................

USD

980

$

980,000

Series

2022-SHIP,

Class

A,

(1-mo.

CME

Term

SOFR

at

0.73%

Floor

+

0.73%),

5.56%,

08/15/36

(a)

..............

1,188

1,176,222

Series

2023-FUN,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.09%

Floor

+

2.09%),

6.75%,

03/15/28

(a)

..............

1,350

1,346,639

GS

Mortgage

Securities

Trust

Series

2014-GC20,

Class

B,

4.53%,

04/10/47

(a)

...................

400

381,692

Series

2015-GC32,

Class

C,

4.41%,

07/10/48

(a)

...................

316

286,742

Series

2015-GS1,

Class

A3,

3.73%,

11/10/48

....................

150

142,709

Series

2019-GSA1,

Class

C,

3.81%,

11/10/52

(a)

...................

60

46,151

HMH

Trust,

Series

2017-NSS,

Class

A,

3.06%,

07/05/31

(b)

.....................

1,890

1,776,764

ILPT

Commercial

Mortgage

Trust,

Series

2022-

LPF2,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.25%

Floor

+

2.25%),

7.07%,

10/15/39

(a)(b)

1,830

1,825,454

IMT

Trust

(b)

Series

2017-APTS,

Class

AFX,

3.48%,

06/15/34

....................

440

425,189

Series

2017-APTS,

Class

DFX,

3.50%,

06/15/34

(a)

...................

730

688,440

INTOWN

Mortgage

Trust,

Series

2022-STAY,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.49%

Floor

+

2.49%),

7.32%,

08/15/39

(a)(b)

....

1,079

1,070,209

JPMBB

Commercial

Mortgage

Securities

Trust,

Series

2015-C33,

Class

D1,

4.12%,

12/15/48

(a)(b)

....................

553

459,699

JPMCC

Commercial

Mortgage

Securities

Trust

Series

2017-JP7,

Class

B,

4.05%,

09/15/50

90

79,999

Series

2019-COR5,

Class

A3,

3.12%,

06/13/52

....................

390

339,173

JPMorgan

Chase

Commercial

Mortgage

Securities

Corp.,

Series

2022-CGSS,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.97%

Floor

+

2.47%),

7.30%,

12/15/36

(a)(b)

.........

1,083

1,077,509

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

Series

2015-JP1,

Class

C,

4.73%,

01/15/49

(a)

...................

730

646,798

Series

2018-AON,

Class

A,

4.13%,

07/05/31

(b)

...................

413

371,700

Series

2018-PHH,

Class

A,

(1-mo.

LIBOR

USD

at

2.41%

Floor

+

1.21%),

5.89%,

06/15/35

(a)(b)

..................

1,832

1,680,621

Series

2020-609M,

Class

D,

(1-mo.

LIBOR

USD

at

2.77%

Floor

+

2.77%),

7.45%,

10/15/33

(a)(b)

..................

1,300

1,073,327

Series

2021-MHC,

Class

A,

(1-mo.

LIBOR

USD

at

0.80%

Floor

+

0.80%),

5.48%,

04/15/38

(a)(b)

..................

87

84,311

Series

2021-MHC,

Class

D,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

04/15/38

(a)(b)

..................

1,550

1,456,634

Series

2022-NXSS,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.18%

Floor

+

2.18%),

7.01%,

09/15/39

(a)(b)

.............

1,580

1,570,082

Series

2022-OPO,

Class

D,

3.45%,

01/05/39

(a)(b)

..................

684

501,312

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

33

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

MAD

Mortgage

Trust,

Series

2017-330M,

Class

D,

3.71%,

08/15/34

(a)(b)

.............

USD

300

$

253,287

MHC

Commercial

Mortgage

Trust,

Series

2021-

MHC,

Class

A,

(1-mo.

LIBOR

USD

at

0.80%

Floor

+

0.80%),

5.48%,

04/15/38

(a)(b)

....

114

110,222

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

(a)

Series

2015-C23,

Class

D,

4.14%,

07/15/50

(b)

...................

116

88,669

Series

2015-C25,

Class

B,

4.52%,

10/15/48

620

579,957

Series

2015-C25,

Class

C,

4.52%,

10/15/48

320

290,314

Morgan

Stanley

Capital

I

Trust

Series

2017-H1,

Class

B,

4.08%,

06/15/50

3,302

2,986,222

Series

2017-H1,

Class

C,

4.28%,

06/15/50

(a)

45

39,555

Series

2017-HR2,

Class

D,

2.73%,

12/15/50

(b)

...................

1,360

857,594

Series

2018-MP,

Class

A,

4.28%,

07/11/40

(a)

(b)

.........................

3,761

3,325,852

Series

2018-SUN,

Class

A,

(1-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.58%,

07/15/35

(a)(b)

..................

300

294,148

MTN

Commercial

Mortgage

Trust,

Series

2022-

LPFL,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.40%

Floor

+

1.40%),

6.22%,

03/15/39

(a)(b)

608

598,977

Natixis

Commercial

Mortgage

Securities

Trust

(b)

Series

2018-FL1,

Class

A,

(1-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.63%,

06/15/35

(a)

...................

74

71,474

Series

2018-SOX,

Class

A,

4.40%,

06/17/38

886

828,461

Series

2019-LVL,

Class

D,

4.44%,

08/15/38

310

250,916

RIAL

Issuer

Ltd.,

Series

2022-FL8,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.25%

Floor

+

2.25%),

6.99%,

01/19/37

(a)(b)

.........

2,052

2,007,222

Scorpio

European

Loan

Conduit

No.

34

DAC,

Series

34A,

Class

C,

(Sterling

Overnight

Index

Average

at

2.10%

Floor

and

7.10%

Cap

+

2.22%),

6.41%,

05/17/29

(a)(b)

.....

GBP

252

298,448

SG

Commercial

Mortgage

Securities

Trust,

Series

2019-PREZ,

Class

D,

3.48%,

09/15/39

(a)(b)

....................

USD

460

356,356

SLG

Office

Trust,

Series

2021-OVA,

Class

A,

2.59%,

07/15/41

(b)

................

3,398

2,705,711

SMRT

(a)(b)

Series

2022-MINI,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

1.00%),

5.83%,

01/15/39

...............

238

228,790

Series

2022-MINI,

Class

D,

(1-mo.

CME

Term

SOFR

at

1.95%

Floor

+

1.95%),

6.78%,

01/15/39

...............

4,049

3,693,660

SREIT

Trust,

Series

2021-MFP2,

Class

A,

(1-

mo.

LIBOR

USD

at

0.82%

Floor

+

0.82%),

5.51%,

11/15/36

(a)(b)

...............

229

219,813

Taubman

Centers

Commercial

Mortgage

Trust,

Series

2022-DPM,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.19%

Floor

+

2.19%),

7.01%,

05/15/37

(a)(b)

...............

1,831

1,762,530

Taurus

UK

DAC,

Series

2021-UK4A,

Class

D,

(Sterling

Overnight

Index

Average

at

2.10%

Floor

+

2.10%),

6.30%,

08/17/31

(a)(b)

....

GBP

732

826,837

TPGI

Trust,

Series

2021-DGWD,

Class

D,

(1-

mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.18%,

06/15/26

(a)(b)

...............

USD

3,400

3,144,154

UBS

Commercial

Mortgage

Trust,

Series

2018-

C12,

Class

B,

4.79%,

08/15/51

(a)

......

1,160

1,011,344

VNDO

Trust,

Series

2016-350P,

Class

D,

3.90%,

01/10/35

(a)(b)

...............

710

599,098

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Wells

Fargo

Commercial

Mortgage

Trust

Series

2016-C32,

Class

A3FL,

(1-mo.

LIBOR

USD

at

1.42%

Floor

+

1.42%),

6.13%,

01/15/59

(a)

..............

USD

633

$

619,384

Series

2016-C34,

Class

A3FL,

(1-mo.

LIBOR

USD

at

1.12%

Floor

+

1.04%),

5.75%,

06/15/49

(a)(b)

.............

390

376,128

Series

2017-C42,

Class

B,

4.00%,

12/15/50

(a)

...................

1,500

1,329,223

Series

2017-HSDB,

Class

A,

(1-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.91%,

12/13/31

(a)(b)

..................

501

496,430

Series

2018-1745,

Class

A,

3.75%,

06/15/36

(a)(b)

..................

110

95,814

Series

2018-C45,

Class

C,

4.73%,

06/15/51

309

263,103

Series

2018-C46,

Class

B,

4.63%,

08/15/51

429

387,581

Series

2018-C48,

Class

B,

4.90%,

01/15/52

(a)

...................

766

703,351

Series

2019-C49,

Class

B,

4.55%,

03/15/52

1,688

1,468,944

Series

2019-C50,

Class

B,

4.19%,

05/15/52

2,639

2,297,603

Series

2020-SDAL,

Class

D,

(1-mo.

LIBOR

USD

at

2.09%

Floor

+

2.09%),

6.77%,

02/15/37

(a)(b)

..................

720

685,459

Series

2021-FCMT,

Class

D,

(1-mo.

LIBOR

USD

at

3.50%

Floor

+

3.50%),

8.18%,

05/15/31

(a)(b)

..................

1,890

1,653,750

WMRK

Commercial

Mortgage

Trust,

Series

2022-WMRK,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.79%

Floor

+

2.79%),

7.62%,

11/15/27

(a)(b)

....................

1,218

1,205,781

148,375,925

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.3%

(a)

245

Park

Avenue

Trust,

Series

2017-245P,

Class

XA,

0.15%,

06/05/37

(b)

.........

11,000

75,812

BANK

Series

2019-BN20,

Class

XB,

0.37%,

09/15/62

....................

8,371

170,834

Series

2021-BN33,

Class

XA,

1.06%,

05/15/64

....................

12,259

708,393

Series

2021-BN33,

Class

XB,

0.48%,

05/15/64

....................

81,230

2,791,738

Bank

of

America

Merrill

Lynch

Commercial

Mortgage

Trust

Series

2017-BNK3,

Class

XB,

0.59%,

02/15/50

....................

4,185

86,279

Series

2017-BNK3,

Class

XD,

1.24%,

02/15/50

(b)

...................

2,000

82,912

BBCMS

Trust,

Series

2015-SRCH,

Class

XA,

0.91%,

08/10/35

(b)

................

6,744

203,160

BB-UBS

Trust,

Series

2012-SHOW,

Class

XA,

0.60%,

11/05/36

(b)

................

65,905

562,638

Benchmark

Mortgage

Trust

Series

2019-B9,

Class

XA,

(1-mo.

LIBOR

USD

+

0.00%),

1.03%,

03/15/52

....

3,020

139,540

Series

2020-B17,

Class

XB,

(1-mo.

LIBOR

USD

+

0.00%),

0.53%,

03/15/53

....

1,560

43,654

Series

2021-B23,

Class

XA,

1.27%,

02/15/54

....................

5,765

390,199

Series

2021-B24,

Class

XA,

1.15%,

03/15/54

....................

19,385

1,189,524

BX

Trust,

Series

2022-GPA,

Class

XCP,

1.03%,

10/15/39

(b)

.....................

19,914

76,183

CFCRE

Commercial

Mortgage

Trust,

Series

2016-C4,

Class

XB,

0.69%,

05/10/58

...

2,030

39,384

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

34

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Citigroup

Commercial

Mortgage

Trust,

Series

2020-420K,

Class

X,

0.80%,

11/10/42

(b)

..

USD

10,100

$

494,632

Commercial

Mortgage

Trust

(b)

Series

2015-3BP,

Class

XA,

0.06%,

02/10/35

....................

40,878

65,972

Series

2018-COR3,

Class

XD,

1.75%,

05/10/51

....................

770

52,810

CSAIL

Commercial

Mortgage

Trust

Series

2017-CX10,

Class

XB,

0.17%,

11/15/50

....................

3,170

33,414

Series

2019-C16,

Class

XA,

1.55%,

06/15/52

....................

6,692

470,320

Series

2019-C17,

Class

XA,

1.35%,

09/15/52

....................

2,045

121,414

Series

2019-C17,

Class

XB,

0.56%,

09/15/52

....................

4,040

118,474

DBGS

Mortgage

Trust,

Series

2019-1735,

Class

X,

0.29%,

04/10/37

(b)

..........

5,975

98,134

DBJPM

Mortgage

Trust,

Series

2017-C6,

Class

XD,

(1-mo.

LIBOR

USD

+

0.00%),

1.00%,

06/10/50

(b)

.....................

3,040

101,941

GS

Mortgage

Securities

Trust

Series

2019-GSA1,

Class

XA,

0.81%,

11/10/52

....................

5,204

215,780

Series

2020-GSA2,

Class

XA,

1.72%,

12/12/53

(b)

...................

4,073

373,206

JPMBB

Commercial

Mortgage

Securities

Trust,

Series

2014-C22,

Class

XA,

0.80%,

09/15/47

......................

831

6,110

JPMDB

Commercial

Mortgage

Securities

Trust,

Series

2016-C4,

Class

XC,

0.75%,

12/15/49

(b)

.....................

1,800

39,573

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

Series

2013-LC11,

Class

XB,

0.64%,

04/15/46

....................

4,040

41

Series

2016-JP3,

Class

XC,

0.75%,

08/15/49

(b)

...................

4,330

91,719

Ladder

Capital

Commercial

Mortgage

Mortgage

Trust,

Series

2013-GCP,

Class

XA,

1.16%,

02/15/36

(b)

.....................

2,806

124,770

Morgan

Stanley

Capital

I

Trust

Series

2017-H1,

Class

XD,

2.15%,

06/15/50

(b)

...................

3,030

220,647

Series

2019-H6,

Class

XB,

0.71%,

06/15/52

5,210

192,618

Series

2019-L2,

Class

XA,

1.00%,

03/15/52

2,002

90,338

Olympic

Tower

Mortgage

Trust,

Series

2017-

OT,

Class

XA,

0.38%,

05/10/39

(b)

......

10,700

153,319

One

Market

Plaza

Trust

(b)

Series

2017-1MKT,

Class

XCP,

0.00%,

02/10/32

....................

17,050

487

Series

2017-1MKT,

Class

XNCP,

0.09%,

02/10/32

....................

3,410

8,947

UBS

Commercial

Mortgage

Trust

Series

2019-C17,

Class

XA,

1.47%,

10/15/52

....................

6,643

459,145

Series

2019-C18,

Class

XA,

1.02%,

12/15/52

....................

7,114

320,194

Wells

Fargo

Commercial

Mortgage

Trust

Series

2016-BNK1,

Class

XD,

1.25%,

08/15/49

(b)

...................

1,180

40,649

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Series

2019-C50,

Class

XA,

1.41%,

05/15/52

....................

USD

11,959

$

713,735

11,168,639

Total

Non-Agency

Mortgage-Backed

Securities

—

5.9%

(Cost:

$241,021,787)

.............................

213,607,385

Beneficial

Interest

(000)

Other

Interests

(h)

Capital

Markets

—

0.0%

(e)(f)(g)

Lehman

Brothers

Holdings,

Capital

Trust

VII

.

1,630

—

Lehman

Brothers

Holdings,

Inc.

(a)

........

14,400

—

Total

Other

Interests

—

0.0%

(Cost:

$—)

....................................

—

Par

(000)

Pa

r

(

000)

Preferred

Securities

Capital

Trusts

—

0.1%

Capital

Markets

—

0.1%

State

Street

Corp.

(a)(i)

Series

F,

(3-mo.

LIBOR

USD

+

3.60%),

8.46%

......................

370

367,209

Series

H,

(3-mo.

LIBOR

USD

+

2.54%),

5.63%

......................

1,937

1,806,692

2,173,901

Total

Preferred

Securities

—

0.1%

(Cost:

$2,307,000)

..............................

2,173,901

U.S.

Government

Sponsored

Agency

Securities

Agency

Obligations

—

0.0%

Federal

National

Mortgage

Association,

6.63%, 11/15/30

.................

1,500

1,777,154

Collateralized

Mortgage

Obligations

—

0.0%

Federal

Home

Loan

Mortgage

Corp.

Series

1591,

Class

PK,

6.35%, 10/15/23

.

12

11,651

Series

2996,

Class

MK,

5.50%, 06/15/35

.

3

2,648

Federal

National

Mortgage

Association,

Series

2005-29,

Class

WB,

4.75%, 04/25/35

...

19

19,081

33,380

Commercial

Mortgage-Backed

Securities

—

0.0%

Federal

National

Mortgage

Association

ACES

Variable

Rate

Notes,

Series

2006-M2,

Class

A2A,

5.27%, 10/25/32

(a)

............

1,191

1,191,541

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.1%

(a)

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates

Variable

Rate

Notes

Series

K120,

Class

X1,

1.04%, 10/25/30

.

41,113

2,448,421

Series

K121,

Class

X1,

1.02%, 10/25/30

.

3,066

179,875

Series

KL05,

Class

X1P,

0.89%, 06/25/29

13,486

644,714

Series

KL06,

Class

XFX,

1.36%, 12/25/29

1,480

93,881

Government

National

Mortgage

Association

Variable

Rate

Notes

Series

2013-30,

0.52%, 09/16/53

......

668

9,542

Series

2013-78,

0.28%, 10/16/54

......

1,111

13,647

Series

2015-22,

0.52%, 03/16/55

......

1,012

17,028

Series

2015-37,

0.62%, 10/16/56

......

126

3,267

Series

2015-48,

0.91%, 02/16/50

......

121

2,815

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

35

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Series

2016-96,

0.77%, 12/16/57

......

USD

771

$

26,719

3,439,909

Mortgage-Backed

Securities

—

35.2%

Federal

Home

Loan

Mortgage

Corp.

2.50%, 01/01/29

-

04/01/31

..........

2,981

2,822,310

3.00%, 09/01/27

-

12/01/46

..........

3,744

3,534,250

3.50%, 04/01/42

-

01/01/48

..........

4,103

3,907,942

4.00%, 08/01/40

-

12/01/45

..........

1,594

1,574,073

4.50%, 02/01/39

-

04/01/49

..........

12,599

12,609,695

5.00%, 07/01/35

-

11/01/48

..........

1,916

1,957,691

5.50%, 05/01/36

-

06/01/41

..........

1,188

1,233,829

6.00%, 11/01/29

-

12/01/32

..........

2

2,512

Federal

National

Mortgage

Association

4.00%, 01/01/41

.................

76

73,852

7.00%, 06/01/32

.................

7

7,142

Government

National

Mortgage

Association

2.00%, 08/20/50

-

02/20/51

..........

28,840

24,632,803

2.00%, 04/15/53

(j)

................

24,412

20,737,217

2.50%, 04/20/51

-

01/20/53

..........

40,839

35,973,067

2.50%, 04/15/53

(j)

................

16,187

14,244,652

3.00%, 12/20/44

-

01/20/52

..........

23,892

21,854,059

3.00%, 04/15/53

(j)

................

15,869

14,454,140

3.50%, 01/15/42

-

04/20/48

..........

8,569

8,241,977

3.50%, 04/15/53

(j)

................

20,707

19,412,003

4.00%, 04/20/39

-

05/20/50

..........

8,678

8,457,148

4.00%, 04/15/53

(j)

................

11,262

10,842,358

4.50%, 12/20/39

-

04/20/50

..........

6,245

6,253,476

4.50%, 04/15/53

(j)

................

8,134

8,011,600

5.00%, 12/15/38

-

07/20/41

..........

2,139

2,201,178

5.00%, 04/15/53

(j)

................

6,592

6,600,240

5.50%, 03/15/32

-

11/15/33

..........

2

2,129

5.50%, 04/15/53

(j)

................

4,553

4,604,488

6.00%, 12/15/36

.................

40

40,285

6.00%, 04/15/53

(j)

................

3,456

3,520,395

7.50%, 11/15/29

.................

—

(k)

272

Uniform

Mortgage-Backed

Securities

1.50%, 12/01/35

-

03/01/51

..........

59,164

48,883,441

1.50%, 04/25/38

-

04/25/53

(j)

.........

2,564

2,210,725

2.00%, 10/01/31

-

03/01/52

..........

235,684

198,321,968

2.00%, 04/25/38

-

04/25/53

(j)

.........

39,730

34,290,353

2.50%, 09/01/27

-

04/01/52

..........

153,853

135,489,824

2.50%, 04/25/38

-

04/25/53

(j)

.........

29,463

25,574,007

2.50%, 01/01/52

(l)

................

34,501

30,065,925

3.00%, 04/01/28

-

08/01/52

..........

86,607

79,397,055

3.00%, 04/25/38

-

05/25/53

(j)

.........

72,099

64,729,792

3.50%, 08/01/27

-

01/01/51

..........

60,272

57,054,729

3.50%, 04/25/53

-

05/25/53

(j)

.........

37,210

34,581,280

4.00%, 08/01/33

-

06/01/52

..........

65,122

63,473,291

4.00%, 04/25/53

(j)

................

318

304,138

4.50%, 02/01/25

-

08/01/52

..........

38,304

38,245,894

4.50%, 04/25/38

-

04/25/53

(j)

.........

23,040

22,588,447

5.00%, 03/01/30

-

02/01/53

..........

13,730

13,787,807

5.00%, 04/25/53

(j)

................

108,428

108,139,567

5.50%, 12/01/31

-

03/01/53

..........

7,409

7,557,223

5.50%, 04/25/53

(j)

................

22,793

23,023,156

6.00%, 07/01/29

-

03/01/53

..........

14,116

14,654,076

6.00%, 04/25/53

(j)

................

20,049

20,462,885

6.50%, 05/01/40

.................

809

850,492

1,261,492,858

Total

U.S.

Government

Sponsored

Agency

Securities

—

35.3%

(Cost:

$1,330,633,919)

...........................

1,267,934,842

Security

Par

(000)

Par

(000)

Value

U.S.

Treasury

Obligations

U.S.

Treasury

Bonds

4.25%, 05/15/39

-

11/15/40

..........

USD

4,474

$

4,811,692

4.50%, 08/15/39

.................

19,132

21,245,044

4.38%, 11/15/39

-

05/15/40

..........

10,450

11,404,301

4.63%, 02/15/40

.................

2,710

3,049,809

1.13%, 05/15/40

-

08/15/40

..........

27,332

18,126,668

3.88%, 08/15/40

.................

2,710

2,779,020

1.38%, 11/15/40

.................

13,666

9,412,991

3.13%, 02/15/43

-

08/15/44

..........

15,468

13,847,348

2.88%, 05/15/43

-

11/15/46

..........

13,320

11,431,177

3.63%, 08/15/43

.................

6,784

6,584,720

3.75%, 11/15/43

.................

6,784

6,700,790

2.50%, 02/15/45

.................

36,899

29,442,808

3.00%, 05/15/47

-

08/15/52

..........

17,589

15,378,238

2.75%, 11/15/47

(m)

................

35,670

29,675,768

3.00%, 02/15/48

(l)

(m)

...............

42,206

36,814,843

3.38%, 11/15/48

.................

31,443

29,411,487

2.25%, 08/15

/49

-

02/15/52

..........

8,910

6,698,759

1.63%, 11/15/50

.................

8,630

5,534,325

2.38%, 05/15/51

.................

26,056

20,008,004

U.S.

Treasury

Inflation

Linked

Notes

1.63%, 10/15/27

.................

70,392

71,761,468

1.50%, 02/15/53

.................

72

73,016

U.S.

Treasury

Notes

1.50%, 10/31/24

-

02/15/30

..........

115,480

109,170,559

1.75%, 12/31/24

.................

85,581

82,104,272

2.00%, 02/15/25

-

11/15/26

..........

39,697

37,675,530

2.63%, 04/15/25

-

02/15/29

..........

25,518

24,605,827

0.38%, 04/30/25

-

09/30/27

..........

100,975

92,949,057

2.13%, 05/15/25

.................

14,360

13,804,672

2.75%, 05/15/25

-

08/15/32

..........

72,117

68,463,519

0.75%, 05/31/26

.................

10,210

9,287,112

1.25%, 11/30/26

-

08/15/31

..........

68,771

59,765,082

2.38%, 05/15/27

-

05/15/29

..........

20,263

19,052,336

0.50%, 05/31/27

-

08/31/27

..........

39,390

34,511,530

2.25%, 08/15/27

(m)

................

45,063

42,508,843

2.88%, 08/15/28

-

05/15/32

..........

4,894

4,701,768

3.13%, 11/15/28

.................

5,507

5,368,464

1.63%, 08/15/29

-

05/15/31

..........

25,587

22,402,530

3.88%, 09/30/29

-

12/31/29

..........

53,206

54,107,330

4.00%, 10/31/29

(m)

................

53,919

55,218,737

Total

U.S.

Treasury

Obligations

—

30.4%

(Cost:

$1,179,779,564)

...........................

1,089,889,444

Total

Long-Term

Investments

—

105.1%

(Cost:

$4,000,952,226)

...........................

3,772,211,735

Short-Term

Securities

Foreign

Government

Obligations

—

0.2%

Mexico

—

0.2%

United

Mexican

States

(n)

11.24%,

11/28/24

................

MXN

8,526

3,933,961

11.11%,

01/23/25

................

2,961

1,371,094

5,305,055

Total

Foreign

Government

Obligations

—

0.2%

(Cost:

$5,252,160)

..............................

5,305,055

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

36

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

Security

Shares

Shares

Value

Money

Market

Funds

—

6.4%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(o)(p)

.................

230,492,083

$

230,492,083

Total

Money

Market

Funds

—

6.4%

(Cost:

$230,492,083)

.............................

230,492,083

Total

Short-Term

Securities

—

6.6%

(Cost:

$235,744,243)

.............................

235,797,138

Total

Options

Purchased

—

0.2%

(Cost:

$9,803,594)

..............................

9,063,929

Total

Investments

Before

Options

Written

and

TBA

Sale

Commitments

—

111.9%

(Cost:

$4,246,500,063

)

...........................

4,017,072,802

Total

Options

Written

—

(0.3)%

(Premium

Received

—

$(13,393,969))

.................

(11,062,378)

Par

(000)

Pa

r

(

000)

TBA

Sale

Commitments

(j)

Mortgage-Backed

Securities

—

(6.7)%

Government

National

Mortgage

Association

2.00%

,

 04/15/53

.................

USD

(233)

(197,925)

Security

Par

(000)

Par

(000)

Value

Mortgage-Backed

Securities

(continued)

2.50%

,

 04/15/53

.................

USD

(3,140)

$

(2,762,760)

3.00%

,

 04/15/53

.................

(149)

(135,717)

3.50%

,

 04/15/53

.................

(144)

(134,995)

Uniform

Mortgage-Backed

Securities

1.50%

,

 04/25/38

-

04/25/53

..........

(1,801)

(1,579,994)

2.00%

,

 04/25/38

-

04/25/53

..........

(18,752)

(15,988,603)

2.50%

,

 04/25/38

-

05/25/53

..........

(15,320)

(13,208,634)

3.50%

,

 04/25/38

-

04/25/53

..........

(14,358)

(13,395,932)

4.00%

,

 04/25/38

-

04/25/53

..........

(16,778)

(16,064,756)

3.00%

,

 04/25/53

.................

(19,989)

(17,935,322)

4.50%

,

 04/25/53

.................

(50,937)

(49,908,153)

5.00%

,

 04/25/53

.................

(75,075)

(74,875,682)

5.50%

,

 04/25/53

.................

(18,117)

(18,299,939)

6.00%

,

 04/25/53

.................

(15,509)

(15,829,785)

Total

TBA

Sale

Commitments

—

(6.7)%

(Proceeds:

$(238,416,853))

........................

(240,318,197)

Total

Investments

Net

of

Options

Written

and

TBA

Sale

Commitments

—

104.9%

(Cost:

$3,994,689,241

)

...........................

3,765,692,227

Liabilities

in

Excess

of

Other

Assets

—

(4.9)%

............

(177,252,830)

Net

Assets

—

100.0%

..............................

$

3,588,439,397

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

Security

exempt

from

registration

pursuant

to

Rule

144A

under

the

Securities

Act

of

1933,

as

amended.

These

securities

may

be

resold

in

transactions

exempt

from

registration

to

qualified

institutional

investors.

(c)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(d)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

(e)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(f)

Issuer

filed

for

bankruptcy

and/or

is

in

default.

(g)

Non-income

producing

security.

(h)

Other

interests

represent

beneficial

interests

in

liquidation

trusts

and

other

reorganization

or

private

entities.

(i)

Perpetual

security

with

no

stated

maturity

date.

(j)

Represents

or

includes

a

TBA

transaction.

(k)

Rounds

to

less

than

1,000.

(l)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

TBA

commitments.

(m)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

OTC

derivatives.

(n)

Rates

are

discount

rates

or

a

range

of

discount

rates

as

of

period

end.

(o)

Annualized

7-day

yield

as

of

period

end.

(p)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

156,097,271

$

74,394,812

(a)

$

—

$

—

$

—

$

230,492,083

230,492,083

$

4,692,697

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

37

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

Euro-

Bobl

...............................................................

11

06/08/23

$

1,406

$

(21,572)

Euro-Bund

..............................................................

138

06/08/23

20,330

654,331

U.S.

Treasury

Long

Bond

.....................................................

434

06/21/23

57,017

1,435,420

U.S.

Treasury

Ultra

Bond

.....................................................

125

06/21/23

17,707

309,257

U.S.

Treasury

5

Year

Note

....................................................

2,488

06/30/23

272,805

4,479,829

3-mo.

Euro

Euribor

.........................................................

11

06/17/24

2,886

1,791

6,859,056

Short

Contracts

Euro-BTP

...............................................................

176

06/08/23

22,017

(730,852)

Euro-

Buxl

...............................................................

24

06/08/23

3,666

(164,565)

Japan

10

Year

Bond

........................................................

121

06/13/23

134,984

(2,400,873)

3-mo.

Euro

Euribor

.........................................................

11

06/19/23

2,880

(336)

U.S.

Treasury

10

Year

Note

...................................................

394

06/21/23

45,335

(144,062)

U.S.

Treasury

10

Year

Ultra

Note

...............................................

324

06/21/23

39,290

(199,880)

U.S.

Treasury

2

Year

Note

....................................................

604

06/30/23

124,787

(84,401)

3-mo.

SOFR

.............................................................

6

12/19/23

1,431

9,665

3-mo.

SOFR

.............................................................

132

03/19/24

31,589

29,025

(3,686,279)

$

3,172,777

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

BRL

2,054,317

USD

390,000

Goldman

Sachs

International

04/04/23

$

15,315

AUD

1,130,000

USD

754,214

Morgan

Stanley

&

Co.

International

plc

04/18/23

1,514

CAD

886,461

USD

650,000

HSBC

Bank

plc

04/18/23

6,038

COP

3,773,439,100

USD

790,000

Barclays

Bank

plc

04/18/23

18,176

EUR

840,000

USD

896,602

Deutsche

Bank

AG

04/18/23

15,086

IDR

6,153,000,000

USD

400,000

Barclays

Bank

plc

04/18/23

11,531

JPY

35,824,796

USD

270,000

Barclays

Bank

plc

04/18/23

407

JPY

87,206,275

USD

650,000

Goldman

Sachs

International

04/18/23

8,235

MXN

14,334,230

USD

790,000

Deutsche

Bank

AG

04/18/23

3,279

MXN

17,576,585

USD

930,000

Morgan

Stanley

&

Co.

International

plc

04/18/23

42,716

NOK

4,138,740

USD

390,000

Citibank

NA

04/18/23

5,560

THB

17,934,696

USD

520,000

UBS

AG

04/18/23

5,278

USD

534,319

EUR

490,000

Toronto

Dominion

Bank

04/18/23

2,501

USD

920,000

JPY

120,757,111

Morgan

Stanley

&

Co.

International

plc

04/18/23

8,522

USD

520,000

THB

17,691,960

Barclays

Bank

plc

04/18/23

1,831

USD

380,000

TWD

11,583,920

Barclays

Bank

plc

04/18/23

435

ZAR

7,141,894

USD

400,000

Barclays

Bank

plc

04/18/23

624

ZAR

7,435,813

USD

400,000

Morgan

Stanley

&

Co.

International

plc

04/18/23

17,112

BRL

2,014,588

USD

390,000

Goldman

Sachs

International

05/03/23

5,534

COP

2,324,186,022

USD

464,605

JPMorgan

Chase

Bank

NA

05/10/23

30,756

EUR

190,712

USD

204,437

Bank

of

New

York

Mellon

05/10/23

2,813

EUR

634,264

USD

670,514

Standard

Chartered

Bank

05/10/23

18,753

MXN

25,885,344

USD

1,403,145

Bank

of

New

York

Mellon

05/10/23

23,209

MXN

52,525,724

USD

2,810,353

JPMorgan

Chase

Bank

NA

05/10/23

83,959

EUR

1,824,000

USD

1,966,562

Standard

Chartered

Bank

06/21/23

20,475

IDR

6,272,008,556

USD

406,271

HSBC

Bank

plc

06/21/23

12,750

USD

2,150,152

JPY

281,705,000

Deutsche

Bank

AG

06/21/23

3,545

365,954

USD

390,000

BRL

2,005,747

Goldman

Sachs

International

04/04/23

(5,732)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

38

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Forward

Foreign

Currency

Exchange

Contracts

(continued)

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

CHF

483,748

USD

530,000

Toronto

Dominion

Bank

04/18/23

$

(489)

KRW

518,288,000

USD

400,000

Barclays

Bank

plc

04/18/23

(2,983)

KRW

505,837,800

USD

390,000

Citibank

NA

04/18/23

(2,521)

NOK

4,108,446

USD

400,000

BNP

Paribas

SA

04/18/23

(7,335)

NOK

4,161,674

USD

400,000

Goldman

Sachs

International

04/18/23

(2,248)

USD

650,000

CAD

894,508

Morgan

Stanley

&

Co.

International

plc

04/18/23

(11,993)

USD

400,000

COP

1,925,148,000

Barclays

Bank

plc

04/18/23

(12,319)

USD

898,136

EUR

840,000

Morgan

Stanley

&

Co.

International

plc

04/18/23

(13,552)

USD

268,008

GBP

220,000

State

Street

Bank

and

Trust

Co.

04/18/23

(3,463)

USD

647,767

GBP

540,000

UBS

AG

04/18/23

(18,571)

USD

400,000

IDR

6,076,000,000

Standard

Chartered

Bank

04/18/23

(6,381)

USD

390,000

KRW

513,630,000

Barclays

Bank

plc

04/18/23

(3,448)

USD

390,000

MXN

7,320,026

Citibank

NA

04/18/23

(15,102)

USD

1,441,010

MXN

27,625,236

Goldman

Sachs

International

04/18/23

(87,815)

USD

400,000

MXN

7,429,492

Morgan

Stanley

&

Co.

International

plc

04/18/23

(11,160)

USD

390,000

NOK

4,136,907

Deutsche

Bank

AG

04/18/23

(5,385)

USD

628,566

NZD

1,015,000

Morgan

Stanley

&

Co.

International

plc

04/18/23

(6,141)

USD

500,000

PLN

2,204,370

Goldman

Sachs

International

04/18/23

(10,259)

USD

1,184,881

COP

5,760,890,151

Bank

of

America

NA

05/10/23

(42,955)

USD

733,726

COP

3,518,804,730

JPMorgan

Chase

Bank

NA

05/10/23

(16,247)

USD

552,660

EUR

513,245

Citibank

NA

05/10/23

(5,093)

USD

1,325,579

EUR

1,229,594

JPMorgan

Chase

Bank

NA

05/10/23

(10,644)

USD

2,116,586

MXN

40,193,327

Barclays

Bank

plc

05/10/23

(98,178)

USD

7,858,930

MXN

147,869,701

JPMorgan

Chase

Bank

NA

05/10/23

(289,099)

USD

395,326

AUD

593,000

UBS

AG

06/21/23

(2,221)

USD

965,995

CAD

1,327,000

HSBC

Bank

plc

06/21/23

(17,155)

USD

5,687,852

EUR

5,264,974

Toronto

Dominion

Bank

06/21/23

(47,728)

USD

8,990,444

EUR

8,332,526

UBS

AG

06/21/23

(86,878)

USD

536,511

GBP

439,000

State

Street

Bank

and

Trust

Co.

06/21/23

(5,886)

USD

401,727

IDR

6,059,254,437

Deutsche

Bank

AG

06/30/23

(2,855)

USD

337,688

IDR

5,104,146,834

HSBC

Bank

plc

06/30/23

(3,121)

USD

228,717

IDR

3,429,616,202

JPMorgan

Chase

Bank

NA

06/30/23

(281)

USD

401,648

IDR

6,059,254,437

Standard

Chartered

Bank

06/30/23

(2,934)

USD

3,750,655

MXN

70,244,144

JPMorgan

Chase

Bank

NA

08/31/23

(34,509)

(892,681)

$

(526,727)

Exchange-Traded

Options

Purchased

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Call

U.S.

Treasury

2

Year

Note

......................

34

05/26/23

USD

104.00

USD

6,800

$

20,719

Put

3-mo.

SOFR

Interest

Futures

....................

2,581

04/14/23

USD

95.81

USD

645,250

64,525

$

85,244

OTC

Dual

Binary

Options

Purchased

Description

(a)

Counterparty

Units

Expiration

Date

Notional

Amount

(000)

Value

Put

Dual

Binary

Option

payout

at

expiry

if

USDJPY

<

128.506

and

JPY

TONAR

10

year

>

0.888

........

Citibank

NA

1,051,000

06/30/23

USD

135,064

$

105,100

(a)

Option

only

pays

if

both

terms

are

met

on

the

expiration

date.

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

39

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Interest

Rate

Swaptions

Purchased

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.29%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

02/14/24

3.29

%

USD

47,144

$

2,106,174

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.31%

Semi-Annual

Bank

of

America

NA

02/15/24

3.31

USD

22,686

1,033,395

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.32%

Semi-Annual

Bank

of

America

NA

02/15/24

3.32

USD

23,395

1,083,876

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.00%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/28/24

3.00

USD

25,522

897,080

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.09%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

USD

1,016

55,539

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.08%

Semi-Annual

Bank

of

America

NA

03/30/26

3.08

USD

3,467

187,960

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.10%

Semi-Annual

Citibank

NA

03/30/26

3.10

USD

1,164

64,132

5,428,156

Put

10-Year

Interest

Rate

Swap

(a)

3.29%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

02/14/24

3.29

USD

47,144

1,163,033

10-Year

Interest

Rate

Swap

(a)

3.32%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

02/15/24

3.32

USD

23,395

555,620

10-Year

Interest

Rate

Swap

(a)

3.31%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

02/15/24

3.31

USD

22,686

549,087

10-Year

Interest

Rate

Swap

(a)

3.00%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/28/24

3.00

USD

25,522

897,081

10-Year

Interest

Rate

Swap

(a)

3.09%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

USD

1,016

50,301

10-Year

Interest

Rate

Swap

(a)

3.08%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/30/26

3.08

USD

3,467

172,996

10-Year

Interest

Rate

Swap

(a)

3.10%

Semi-Annual

1-day

SOFR

Annual

Citibank

NA

03/30/26

3.10

USD

1,164

57,311

3,445,429

$

8,873,585

(a)

Forward

settling

swaption.

Exchange-Traded

Options

Written

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Call

U.S.

Treasury

2

Year

Note

.......................

34

04/21/23

USD

104.50

USD

6,800

$

(3,719)

U.S.

Treasury

5

Year

Note

.......................

15

04/21/23

USD

109.00

USD

1,500

(14,414)

(18,133)

Put

3-mo.

SOFR

Interest

Futures

.....................

3,441

04/14/23

USD

95.13

USD

860,250

(21,505)

U.S.

Treasury

2

Year

Note

.......................

34

04/21/23

USD

102.50

USD

6,800

(5,313)

U.S.

Treasury

5

Year

Note

.......................

15

04/21/23

USD

108.00

USD

1,500

(2,227)

U.S.

Treasury

10

Year

Note

......................

24

05/26/23

USD

114.50

USD

2,400

(30,375)

(59,420)

$

(77,553)

OTC

Interest

Rate

Swaptions

Written

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

3.11%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

12/19/23

3.11

%

USD

62,245

$

(2,018,038)

10-Year

Interest

Rate

Swap

(a)

3.16%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

01/04/24

3.16

USD

19,496

(702,972)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

40

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Interest

Rate

Swaptions

Written

(continued)

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

10-Year

Interest

Rate

Swap

(a)

3.15%

Semi-Annual

1-day

SOFR

Annual

JPMorgan

Chase

Bank

NA

01/08/24

3.15

%

USD

19,496

$

(696,791)

10-Year

Interest

Rate

Swap

(a)

3.11%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

01/10/24

3.11

USD

53,800

(1,818,393)

10-Year

Interest

Rate

Swap

(a)

2.95%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

1,261

(61,409)

10-Year

Interest

Rate

Swap

(a)

3.02%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.02

USD

2,999

(154,788)

10-Year

Interest

Rate

Swap

(a)

3.12%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.12

USD

2,620

(145,711)

10-Year

Interest

Rate

Swap

(a)

3.14%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.14

USD

3,493

(197,348)

10-Year

Interest

Rate

Swap

(a)

3.13%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/23/26

3.13

USD

1,164

(65,723)

(5,861,173)

Put

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.11%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

12/19/23

3.11

USD

62,245

(1,836,787)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.16%

Semi-Annual

Deutsche

Bank

AG

01/04/24

3.16

USD

19,496

(541,389)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.15%

Semi-Annual

JPMorgan

Chase

Bank

NA

01/08/24

3.15

USD

19,496

(552,335)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.11%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

01/10/24

3.11

USD

53,800

(1,619,844)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

2.95%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

1,261

(68,195)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.02%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.02

USD

2,999

(154,984)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.12%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.12

USD

2,620

(127,075)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.14%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.14

USD

3,493

(167,111)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.13%

Semi-Annual

Bank

of

America

NA

03/23/26

3.13

USD

1,164

(55,932)

(5,123,652)

$

(10,984,825)

(a)

Forward

settling

swaption.

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

0.20%

Annual

1-day

TONAR

Annual

02/03/25

JPY

583,318

$

(7,465)

$

—

$

(7,465)

0.21%

Annual

1-day

TONAR

Annual

02/03/25

JPY

583,318

(7,904)

—

(7,904)

3-mo.

JIBAR

Quarterly

7.20%

Quarterly

03/20/25

ZAR

74,455

(16,005)

—

(16,005)

28-day

MXIBTIIE

Monthly

10.20%

Monthly

03/27/25

MXN

45,836

7,379

—

7,379

3-mo.

JIBAR

Quarterly

7.70%

Quarterly

06/19/25

ZAR

83,220

(1)

1

(2)

4.45%

Annual

3-mo.

PRIBOR

Quarterly

06/19/25

CZK

52,561

7,132

—

7,132

5.53%

Annual

6-mo.

WIBOR

Semi-Annual

09/20/25

PLN

8,374

10,026

—

10,026

28-day

MXIBTIIE

Monthly

8.42%

Monthly

01/20/28

MXN

31,029

(12,530)

—

(12,530)

5.70%

Annual

6-mo.

WIBOR

Semi-Annual

09/20/28

PLN

9,738

(36,310)

—

(36,310)

6-mo.

EURIBOR

Semi-Annual

2.44%

Annual

07/14/32

EUR

2,606

(43,616)

—

(43,616)

3.15%

Annual

1-day

SOFR

Annual

02/14/33

USD

907

(5,593)

—

(5,593)

0.89%

Annual

1-day

TONAR

Annual

02/15/33

JPY

340,687

(63,141)

—

(63,141)

0.90%

Annual

1-day

TONAR

Annual

02/15/33

JPY

340,687

(66,279)

—

(66,279)

0.90%

Annual

1-day

TONAR

Annual

02/15/33

JPY

681,374

(133,813)

—

(133,813)

0.92%

Annual

1-day

TONAR

Annual

02/15/33

JPY

986,817

(206,523)

—

(206,523)

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

41

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Centrally

Cleared

Interest

Rate

Swaps

(continued)

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

ESTR

Annual

2.69%

Annual

02/15/33

EUR

810

$

518

$

—

$

518

3.46%

Annual

1-day

SOFR

Annual

02/15/33

USD

4,083

(84,739)

—

(84,739)

3.49%

Annual

1-day

SOFR

Annual

02/17/33

USD

12,251

(291,671)

—

(291,671)

3.62%

Annual

1-day

SOFR

Annual

02/23/33

USD

8,166

(281,904)

—

(281,904)

3.28%

Annual

1-day

SOFR

Annual

02/24/33

USD

904

(10,230)

—

(10,230)

1-day

ESTR

Annual

2.95%

Annual

03/02/33

EUR

408

4,884

—

4,884

3.45%

Annual

1-day

SOFR

Annual

03/02/33

USD

454

(8,242)

—

(8,242)

3.28%

Annual

1-day

SOFR

Annual

03/03/33

USD

419

(4,767)

—

(4,767)

3.35%

Annual

1-day

SOFR

Annual

03/03/33

USD

432

(6,106)

—

(6,106)

3.78%

Annual

1-day

SOFR

Annual

03/06/33

USD

12,250

(602,879)

—

(602,879)

1-day

SOFR

Annual

3.11%

Annual

03/14/33

USD

8,147

(63,753)

3,287

(67,040)

1-day

SOFR

Annual

3.31%

Annual

03/15/33

USD

5,513

50,019

—

50,019

1-day

SOFR

Annual

3.31%

Annual

03/15/33

USD

6,737

59,635

—

59,635

1-day

SOFR

Annual

3.21%

Annual

03/17/33

USD

6,125

6,692

—

6,692

1-day

SOFR

Annual

3.22%

Annual

03/17/33

USD

6,125

8,253

—

8,253

3.35%

Annual

1-day

SOFR

Annual

03/20/33

USD

1,854

(23,764)

—

(23,764)

1-day

ESTR

Annual

2.74%

Annual

03/22/33

EUR

398

1,116

—

1,116

3.13%

Annual

1-day

SOFR

Annual

03/22/33

USD

438

(2,288)

—

(2,288)

3-mo.

BA

Semi-Annual

3.30%

Semi-Annual

03/27/33

CAD

267

(359)

20

(379)

3-mo.

BA

Semi-Annual

3.35%

Semi-Annual

03/30/33

CAD

543

1,050

(1,135)

2,185

2.37%

Annual

1-day

SOFR

Annual

02/03/53

USD

374

(95)

—

(95)

2.37%

Annual

1-day

SOFR

Annual

02/09/53

USD

348

(43)

—

(43)

2.47%

Annual

1-day

SOFR

Annual

02/10/53

USD

458

(2,196)

—

(2,196)

2.41%

Annual

1-day

SOFR

Annual

02/17/53

USD

458

(1,021)

—

(1,021)

3.37%

Semi-Annual

3-mo.

BA

Semi-Annual

03/27/53

CAD

116

135

(20)

155

3.40%

Semi-Annual

3-mo.

BA

Semi-Annual

03/30/53

CAD

235

(772)

612

(1,384)

$

(1,827,170)

$

2,765

$

(1,829,935)

OTC

Credit

Default

Swap

s

—

Buy

Protection

Reference

Obligation/Index

Financing

Rate

Paid

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Abbott

Laboratories

........

1.00

%

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

USD

1,439

$

(37,546)

$

(28,345)

$

(9,201)

Republic

of

Colombia

.......

1.00

Quarterly

Barclays

Bank

plc

06/20/28

USD

3,752

304,725

377,508

(72,783)

United

Mexican

States

......

1.00

Quarterly

Barclays

Bank

plc

06/20/28

USD

2,919

26,193

55,906

(29,713)

CMBX.NA.9.AAA

..........

0.50

Monthly

Morgan

Stanley

&

Co.

International

plc

09/17/58

USD

854

4,769

9,082

(4,313)

CMBX.NA.9.AAA

..........

0.50

Monthly

Morgan

Stanley

&

Co.

International

plc

09/17/58

USD

18

100

205

(105)

CMBX.NA.9.BBB-

.........

3.00

Monthly

Citigroup

Global

Markets,

Inc.

09/17/58

USD

440

108,404

13,778

94,626

CMBX.NA.9.BBB-

.........

3.00

Monthly

Morgan

Stanley

&

Co.

International

plc

09/17/58

USD

288

70,956

14,743

56,213

CMBX.NA.6.AAA

..........

0.50

Monthly

Deutsche

Bank

AG

05/11/63

USD

2

(1)

(104)

103

CMBX.NA.6.AAA

..........

0.50

Monthly

Deutsche

Bank

AG

05/11/63

USD

5

(3)

(1,250)

1,247

$

–

$

–

$

–

$

477,597

$

441,523

$

36,074

$

–

$

–

$

–

OTC

Credit

Default

Swap

s

—

Sell

Protection

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

CMBX.NA.3.AM

.......

0.50

%

Monthly

Goldman

Sachs

International

12/13/49

AA

USD

—

$

—

$

(2)

$

2

CMBX.NA.9.BBB-

.....

3.00

Monthly

Deutsche

Bank

AG

09/17/58

BBB-

USD

197

(48,536)

(18,642)

(29,894)

CMBX.NA.9.BBB-

.....

3.00

Monthly

Deutsche

Bank

AG

09/17/58

BBB-

USD

531

(130,825)

(56,669)

(74,156)

CMBX.NA.10.A

.......

2.00

Monthly

Deutsche

Bank

AG

11/17/59

A

USD

4,050

(360,204)

(155,381)

(204,823)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

42

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Credit

Default

Swaps

—

Sell

Protection

(continued)

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

CMBX.NA.10.A

.......

2.00

%

Monthly

Deutsche

Bank

AG

11/17/59

A

USD

2,020

$

(179,658)

$

(78,827)

$

(100,831)

CMBX.NA.10.BBB-

....

3.00

Monthly

J.P.

Morgan

Securities

LLC

11/17/59

BBB-

USD

35

(9,988)

(2,676)

(7,312)

CMBX.NA.14.BBB-

....

3.00

Monthly

Goldman

Sachs

International

12/16/72

BBB-

USD

405

(113,704)

(68,078)

(45,626)

$

(842,915)

$

(380,275)

$

(462,640)

(a)

Using

the

rating

of

the

issuer

or

the

underlying

securities

of

the

index,

as

applicable,

provided

by

S&P

Global

Ratings.

(b)

The

maximum

potential

amount

the

Fund

may

pay

should

a

negative

credit

event

take

place

as

defined

under

the

terms

of

the

agreement.

OTC

Interest

Rate

Swaps

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1.42%

Semi-Annual

1-day

CLICP

Semi-Annual

Bank

of

America

NA

04/01/23

CLP

6,530,622

$

416,154

$

—

$

416,154

1-day

CLICP

Semi-Annual

1.65%

Semi-Annual

Bank

of

America

NA

05/28/23

CLP

6,530,622

(407,406)

—

(407,406)

1-day

BZDIOVER

At

Termination

12.60%

At

Termination

Bank

of

America

NA

07/01/24

BRL

12,868

2,900

—

2,900

1-day

BZDIOVER

At

Termination

12.97%

At

Termination

Citibank

NA

07/01/24

BRL

7,522

7,299

—

7,299

1-day

BZDIOVER

At

Termination

12.97%

At

Termination

Goldman

Sachs

International

07/01/24

BRL

4,549

4,360

—

4,360

1-day

BZDIOVER

At

Termination

11.65%

At

Termination

JPMorgan

Chase

Bank

NA

01/02/25

BRL

3,158

(11,009)

—

(11,009)

1-day

BZDIOVER

At

Termination

11.69%

At

Termination

Citibank

NA

01/02/25

BRL

4,423

(14,531)

—

(14,531)

1-day

BZDIOVER

At

Termination

12.85%

At

Termination

Citibank

NA

01/02/25

BRL

12,677

32,081

—

32,081

$

29,848

$

—

$

29,848

OTC

Total

Return

Swaps

Paid

by

the

Fund

Received

by

the

Fund

Rate/Reference

Frequency

Rate/Reference

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

minus

0.06%

.........

At

Termination

iShares

iBoxx

$

Investment

Grade

Corporate

Bond

ETF

At

Termination

JPMorgan

Chase

Bank

NA

06/16/23

USD

120

$

258,769

$

—

$

258,769

1-day

SOFR

minus

0.15%

.........

At

Termination

iShares

iBoxx

$

Investment

Grade

Corporate

Bond

ETF

At

Termination

JPMorgan

Chase

Bank

NA

06/16/23

USD

120

190,628

—

190,628

$

449,397

$

—

$

449,397

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

43

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1

-

day

BZDIOVER

.....................................

Overnight

Brazil

CETIP

—

Interbank

Rate

0.05

%

1-

day

CLICP

.........................................

Chile

Indice

de

Camara

Promedio

Interbank

Overnight

Index

0.97

1-

day

ESTR

.........................................

Euro

Short-Term

Rate

993.30

1-

day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

1-

day

TONAR

........................................

Tokyo

Overnight

Average

Rate

(0.03)

28-

day

MXIBTIIE

......................................

Mexico

Interbank

TIIE

28-Day

11.53

3-

mo

.

BA

...........................................

Canadian

Bankers

Acceptances

5.06

3

-

mo

.

JIBAR

.........................................

Johannesburg

Interbank

Average

Rate

7.96

3

-

mo

.

PRIBOR

.......................................

Update

BDFOnyX_RefernceIndex_Library

7.18

6-

mo

.

EURIBOR

......................................

Euro

Interbank

Offered

Rate

3.49

6

-

mo

.

WIBOR

........................................

Warsaw

Interbank

Offered

Rate

6.85

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps,

OTC

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

3,920

$

(1,155)

$

157,994

$

(1,987,929)

$

—

OTC

Swaps

.....................................................

471,222

(409,974)

1,064,382

(1,011,703)

—

Options

Written

...................................................

N/A

N/A

2,335,601

(4,010)

(11,062,378)

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

appreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

6,919,318

$

—

$

6,919,318

Forward

foreign

currency

exchange

contracts

Unrealized

appreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

365,954

—

—

365,954

Options

purchased

(b)

Investments

at

value

—

unaffiliated

(c)

...........

—

—

—

—

8,958,829

105,100

9,063,929

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

157,994

—

157,994

Swaps

—

OTC

Unrealized

appreciation

on

OTC

swaps;

Swap

premiums

paid

................................

—

623,413

449,397

—

462,794

—

1,535,604

$

—

$

623,413

$

449,397

$

365,954

$

16,498,935

$

105,100

$

18,042,799

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

3,746,541

$

—

$

3,746,541

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

892,681

—

—

892,681

Options

written

(b)

Options

written

at

value

.....................

—

—

—

—

11,062,378

—

11,062,378

Swaps

—

centrally

cleared

Unrealized

depreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

1,987,929

—

1,987,929

Swaps

—

OTC

Unrealized

depreciation

on

OTC

swaps;

Swap

premiums

received

.............................

—

988,731

—

—

432,946

—

1,421,677

$

—

$

988,731

$

—

$

892,681

$

17,229,794

$

—

$

19,111,206

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

44

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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).

(b)

Includes

forward

settling

swaptions.

(c)

Includes

options

purchased

at

value

as

reported

in

the

Schedule

of

Investments.

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

8,989,369

$

—

$

8,989,369

Forward

foreign

currency

exchange

contracts

....

—

—

—

(334,406)

—

—

(334,406)

Options

purchased

(a)

....................

—

—

—

—

3,142,985

—

3,142,985

Options

written

........................

—

—

—

—

(13,600,048)

—

(13,600,048)

Swaps

..............................

—

(1,048,999)

1,039,486

—

144,099

254,746

389,332

$

—

$

(1,048,999)

$

1,039,486

$

(334,406)

$

(1,323,595)

$

254,746

$

(1,412,768)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

11,197,747

$

—

$

11,197,747

Forward

foreign

currency

exchange

contracts

....

—

—

—

(1,918,381)

—

—

(1,918,381)

Options

purchased

(b)

....................

—

—

—

—

(5,543,072)

—

(5,543,072)

Options

written

........................

—

—

—

—

14,177,138

—

14,177,138

Swaps

..............................

—

(222,963)

449,397

—

423,906

—

650,340

$

—

$

(222,963)

$

449,397

$

(1,918,381)

$

20,255,719

$

—

$

18,563,772

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

721,399,619

Average

notional

value

of

contracts

—

short

.................................................................................

$

319,550,452

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

37,807,890

Average

amounts

sold

—

in

USD

........................................................................................

$

16,530,699

Options

Average

value

of

option

contracts

purchased

................................................................................

$

113,664

Average

value

of

option

contracts

written

...................................................................................

$

50,706

Average

notional

value

of

swaption

contracts

purchased

.........................................................................

$

593,685,500

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

1,113,299,667

Credit

default

swaps

Average

notional

value

—

buy

protection

...................................................................................

$

14,474,568

Average

notional

value

—

sell

protection

...................................................................................

$

10,483,139

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

148,863,956

Average

notional

value

—

receives

fixed

rate

................................................................................

$

44,841,631

Inflation

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

—

(a)

Average

notional

value

—

receives

fixed

rate

................................................................................

$

—

(a)

Total

return

swaps

Average

notional

value

...............................................................................................

$

120,000

(a)

Derivative

financial

instrument

not

held

at

any

quarter-end.

The

risk

exposure

table

serves

as

an

indicator

of

activity

during

the

period.

BlackRock

Core

Bond

Portfolio

Schedules

of

Investments

45

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

1,596,524

$

382,015

Forward

foreign

currency

exchange

contracts

.................................................................

365,954

892,681

Options

(a)(b)

........................................................................................

9,063,929

11,062,378

Swaps

—

centrally

cleared

..............................................................................

7,063

—

Swaps

—

OTC

(c)

.....................................................................................

1,535,604

1,421,677

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

12,569,074

$

13,758,751

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(1,688,831)

(459,568)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

10,880,243

$

13,299,183

(a)

Includes

options

purchased

at

value

which

is

included

in

Investments

at

value

–

unaffiliated

in

the

Statements

of

Assets

and

Liabilities

and

reported

in

the

Schedule

of

Investments.

(b)

Includes

forward

settling

swaptions.

(c)

Includes

unrealized

appreciation

(depreciation)

on

OTC

swaps

and

swap

premiums

paid/(received)

in

the

Statements

of

Assets

and

Liabilities.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

(b)

Net

Amount

of

Derivative

Assets

(c)(d)

Bank

of

America

NA

..............................

$

4,001,988

$

(572,016)

$

(3,279,869)

$

—

$

150,103

Bank

of

New

York

Mellon

...........................

26,022

—

—

—

26,022

Barclays

Bank

plc

................................

466,418

(219,424)

—

(246,994)

—

Citibank

NA

....................................

271,483

(37,247)

—

(20,000)

214,236

Citigroup

Global

Markets,

Inc.

........................

108,404

—

—

—

108,404

Deutsche

Bank

AG

...............................

23,260

(23,260)

—

—

—

Goldman

Sachs

International

........................

33,446

(33,446)

—

—

—

HSBC

Bank

plc

..................................

18,788

(18,788)

—

—

—

JPMorgan

Chase

Bank

NA

..........................

564,112

(564,112)

—

—

—

Morgan

Stanley

&

Co.

International

plc

..................

5,319,315

(5,319,315)

—

—

—

Standard

Chartered

Bank

...........................

39,228

(9,315)

—

—

29,913

Toronto

Dominion

Bank

............................

2,501

(2,501)

—

—

—

UBS

AG

......................................

5,278

(5,278)

—

—

—

$

10,880,243

$

(6,804,702)

$

(3,279,869)

$

(266,994)

$

528,678

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

(b)

Cash

Collateral

Pledged

Net

Amount

of

Derivative

Liabilities

(d)(e)

Bank

of

Amer

ica

NA

..............................

$

572,016

$

(572,016)

$

—

$

—

$

—

Barclays

Bank

plc

................................

219,424

(219,424)

—

—

—

BNP

Paribas

SA

.................................

7,335

—

—

—

7,335

Citibank

NA

....................................

37,247

(37,247)

—

—

—

Deutsche

Bank

AG

...............................

1,973,178

(23,260)

(1,921,883)

—

28,035

Goldman

Sachs

International

........................

1,166,777

(33,446)

(

1,070,975

)

—

62,356

HSBC

Bank

plc

..................................

20,276

(18,788)

—

—

1,488

J.P.

Morgan

Securities

LLC

..........................

9,988

—

—

—

9,988

JPMorgan

Chase

Bank

NA

..........................

1,648,461

(564,112)

(1,094,338)

—

(9,989)

Morgan

Stanley

&

Co.

International

plc

..................

7,469,930

(5,319,315)

(2,150,615)

—

—

Standard

Chartered

Bank

...........................

9,315

(9,315)

—

—

—

State

Street

Bank

and

Trust

Co.

......................

9,349

—

—

—

9,349

Toronto

Dominion

Bank

............................

48,217

(2,501)

—

—

45,716

UBS

AG

......................................

107,670

(5,278)

—

—

102,392

$

13,299,183

$

(6,804,702)

$

(6,237,811)

$

—

$

256,670

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Core

Bond

Portfolio

46

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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.

See

notes

to

financial

statements.

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Excess

of

collateral

received/pledged,

if

any,

from

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

(c)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(d)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(e)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

....................................

$

—

$

346,934,713

$

915,251

$

347,849,964

Corporate

Bonds

........................................

—

781,294,567

—

781,294,567

Foreign

Agency

Obligations

.................................

—

6,543,720

—

6,543,720

Foreign

Government

Obligations

..............................

—

36,462,435

—

36,462,435

Municipal

Bonds

.........................................

—

26,455,477

—

26,455,477

Non-Agency

Mortgage-Backed

Securities

........................

—

213,607,385

—

213,607,385

Other

Interests

..........................................

—

—

—

—

Capital

Trusts

...........................................

—

2,173,901

—

2,173,901

U.S.

Government

Sponsored

Agency

Securities

....................

—

1,267,934,842

—

1,267,934,842

U.S.

Treasury

Obligations

...................................

—

1,089,889,444

—

1,089,889,444

Short-Term

Securities

Foreign

Government

Obligations

..............................

—

5,305,055

—

5,305,055

Money

Market

Funds

......................................

230,492,083

—

—

230,492,083

Options

Purchased

Interest

rate

contracts

......................................

85,244

8,873,585

—

8,958,829

Other

contracts

..........................................

—

105,100

—

105,100

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(240,318,197)

—

(240,318,197)

$

230,577,327

$

3,545,262,027

$

915,251

$

3,776,754,605

Derivative

Financial

Instruments

(a)

Assets

Credit

contracts

...........................................

$

—

$

152,191

$

—

$

152,191

Equity

contracts

...........................................

—

449,397

—

449,397

Foreign

currency

exchange

contracts

............................

—

365,954

—

365,954

Interest

rate

contracts

.......................................

6,919,318

620,788

—

7,540,106

Liabilities

Credit

contracts

...........................................

—

(578,757)

—

(578,757)

Foreign

currency

exchange

contracts

............................

—

(892,681)

—

(892,681)

Interest

rate

contracts

.......................................

(3,824,094)

(13,405,700)

—

(17,229,794)

$

3,095,224

$

(13,288,808)

$

—

$

(10,193,584)

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts,

forward

foreign

currency

exchange

contracts

and

options

written.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

47

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

March

31,

2023

Consolidated

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

Aqueduct

European

CLO

DAC,

Series

2017-

2X,

Class

E,

(3-mo.

EURIBOR

at

4.40%

Floor

+

4.40%),

6.69%,

10/15/30

(a)(b)

....

EUR

884

$

835,552

Atrium

VIII,

Series

8A,

Class

SUB,

0.00%,

10/23/24

(a)(c)

....................

USD

11,500

8,625

Avoca

CLO

XV

DAC,

Series

15X,

Class

ER,

(3-mo.

EURIBOR

at

4.13%

Floor

+

4.13%),

6.42%,

04/15/31

(a)(b)

...............

EUR

620

559,339

BBAM

European

CLO

II

DAC,

Series

2X,

Class

E,

(3-mo.

EURIBOR

at

6.11%

Floor

+

6.11%),

8.40%,

10/15/34

(a)(b)

.........

1,400

1,280,582

Bilbao

CLO

I

DAC,

Series

1X,

Class

D,

(3-mo.

EURIBOR

at

4.73%

Floor

+

4.73%),

7.07%,

07/20/31

(a)(b)

....................

400

372,175

Bilbao

CLO

II

DAC,

Series

2X,

Class

DR,

(3-mo.

EURIBOR

at

5.97%

Floor

+

5.97%),

8.67%,

08/20/35

(a)(b)

...............

1,000

921,637

BlueMountain

Fuji

Eur

CLO

IV

DAC,

Series

4X,

Class

ER,

(3-mo.

EURIBOR

at

6.21%

Floor

+

6.21%),

8.90%,

02/25/34

(a)(b)

........

1,000

929,108

Cairn

CLO

XIV

DAC,

Series

2021-14X,

Class

E,

(3-mo.

EURIBOR

at

6.11%

Floor

+

6.11%),

8.58%,

10/29/34

(a)(b)

.........

1,400

1,279,383

Capital

Four

CLO

III

DAC,

Series

3X,

Class

E,

(3-mo.

EURIBOR

at

6.06%

Floor

+

6.06%),

8.39%,

10/15/34

(a)(b)

...............

1,020

919,379

Contego

CLO

VIII

DAC,

Series

8X,

Class

ER,

(3-mo.

EURIBOR

at

6.06%

Floor

+

6.06%),

7.60%,

01/25/34

(a)(b)

...............

1,400

1,270,744

CVC

Cordatus

Loan

Fund

XXII

DAC,

Series

22X,

Class

D,

(3-mo.

EURIBOR

at

3.15%

Floor

+

3.15%),

6.11%,

12/15/34

(a)(b)

....

300

282,608

Fair

Oaks

Loan

Funding

III

DAC,

Series

3X,

Class

ER,

(3-mo.

EURIBOR

at

6.11%

Floor

+

6.11%),

8.40%,

10/15/34

(a)(b)

........

587

541,238

Galaxy

XVIII

CLO

Ltd.,

Series

2018-28A,

Class

C,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.74%,

07/15/31

(a)(c)

.........

USD

250

234,412

Greene

King

Finance

plc,

Series

B2,  (Sterling

Overnight

Index

Average

+

2.20%),

6.38%,

03/15/36

(a)(b)

....................

GBP

100

92,520

Harvest

CLO

XVI

DAC,

Series

16X,

Class

ER,

(3-mo.

EURIBOR

at

5.57%

Floor

+

5.57%),

7.86%,

10/15/31

(a)(b)

...............

EUR

1,125

1,039,953

Invesco

Euro

CLO

III

DAC,

Series

3X,

Class

F,

(3-mo.

EURIBOR

at

8.07%

Floor

+

8.07%),

10.36%,

07/15/32

(a)(b)

..............

213

195,606

Jamestown

CLO

IV

Ltd.,

Series

2014-4A,

Class

SUB,

0.00%,

07/15/26

(a)(c)(d)

..........

USD

2,000

—

Neuberger

Berman

Loan

Advisers

Euro

CLO

2

DAC,

Series

2021-2X,

Class

E,

(3-mo.

EURIBOR

at

6.06%

Floor

+

6.06%),

8.39%,

04/15/34

(a)(b)

....................

EUR

1,223

1,124,881

OCP

Euro

CLO

DAC

(a)(b)

Series

2017-2X,

Class

E,

(3-mo.

EURIBOR

at

5.00%

Floor

+

5.00%),

7.29%,

01/15/32

....................

1,347

1,288,621

Series

2017-2X,

Class

F,

(3-mo.

EURIBOR

at

6.40%

Floor

+

6.40%),

8.69%,

01/15/32

....................

900

787,937

Providus

CLO

III

DAC,

Series

3X,

Class

ER,

(3-mo.

EURIBOR

at

6.26%

Floor

+

6.26%),

8.59%,

07/18/34

(a)(b)

...............

1,000

936,005

Rockfield

Park

CLO

DAC,

Series

1X,

Class

D,

(3-mo.

EURIBOR

at

5.95%

Floor

+

5.95%),

8.24%,

07/16/34

(a)(b)

...............

613

574,636

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Seneca

Park

CLO

Ltd.,

Series

2014-1A,

Class

SUB,

0.00%,

07/17/26

(a)(c)(d)

..........

USD

2,500

$

19,750

Unique

Pub

Finance

Co.

plc

(The),

Series

N,  6.46%,

03/30/32

(b)(e)

.............

GBP

1,395

1,733,746

Voya

Euro

CLO

II

DAC,

Series

2X,

Class

ER,

(3-mo.

EURIBOR

at

6.02%

Floor

+

6.02%),

8.35%,

07/15/35

(a)(b)

...............

EUR

670

619,221

Total

Asset-Backed

Securities

—

0.1%

(Cost:

$34,722,810)

..............................

17,847,658

Shares

Shares

Common

Stocks

Automobile

Components

—

0.0%

Lear

Corp.

.......................

1

140

Capital

Markets

—

0.1%

Ardagh

MP

USA,

Inc.,

(Acquired

08/02/21,

cost

$21,863,306)

(f)(g)

.................

2,223,387

8,915,782

Chemicals

—

0.1%

Element

Solutions,

Inc.

...............

522,707

10,093,472

Commercial

Services

&

Supplies

—

0.0%

Freedom

Pay

,

In

c.

(d)(f)

.................

314,534

3

Electrical

Equipment

—

0.0%

SunPower

Corp.

(f)

..................

1,369

18,947

Energy

Equipment

&

Services

—

0.0%

Nine

Energy

Service,

Inc.

(f)

............

24,780

137,777

Financial

Services

—

0.0%

Block,

Inc.,

Class

A

(f)

.................

53,398

3,665,773

Ground

Transportation

—

0.0%

Uber

Technologies,

Inc.

(f)

..............

175,084

5,550,163

Hotels,

Restaurants

&

Leisure

—

0.0%

Codere

New

Topco

SA

(d)(f)(h)

............

33,516

—

IT

Services

—

0.0%

Twilio,

Inc.,

Class

A

(f)

................

26,405

1,759,365

Metals

&

Mining

—

0.1%

Constellium

SE,

Class

A

(f)

.............

1,740,611

26,596,536

Oil,

Gas

&

Consumable

Fuels

—

0.0%

KCAD

Holdings

I

Ltd.

(d)(f)

..............

4,067,849,248

40,678

Semiconductors

&

Semiconductor

Equipment

—

0.0%

Maxeon

Solar

Technologies

Ltd.

(f)

........

171

4,538

Software

—

0.1%

Informatica,

Inc.,

Class

A

(f)(i)

............

609,758

10,000,031

Total

Common

Stocks

—

0.4%

(Cost:

$110,078,764)

.............................

66,783,205

Par

(000)

Par

(000)

Corporate

Bonds

Aerospace

&

Defense

—

4.9%

Boeing

Co.

(The)

5.15%,

05/01/30

.................

USD

22,765

22,907,328

5.81%,

05/01/50

.................

25,015

25,181,775

5.93%,

05/01/60

.................

17,668

17,646,902

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

48

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Aerospace

&

Defense

(continued)

Bombardier,

Inc.

(c)

7.50%,

03/15/25

.................

USD

1,730

$

1,729,817

7.13%,

06/15/26

.................

62,598

62,823,353

7.88%,

04/15/27

.................

45,746

46,310,002

6.00%,

02/15/28

.................

31,861

31,024,808

7.50%,

02/01/29

.................

25,100

25,641,156

7.45%,

05/01/34

.................

3,949

4,422,880

BWX

Technologies,

Inc.

(c)

4.13%,

06/30/28

.................

13,804

12,429,253

4.13%,

04/15/29

.................

12,854

11,398,769

F-Brasile

SpA,

Series

XR,

7.38%,

08/15/26

(c)

18,776

15,677,960

Howmet

Aerospace,

Inc.,

5.13%,

10/01/24

.

433

434,771

Huntington

Ingalls

Industries,

Inc.,

4.20%,

05/01/30

.....................

3,874

3,625,788

Rolls-Royce

plc

(c)

3.63%,

10/14/25

.................

8,950

8,480,125

5.75%,

10/15/27

.................

38,027

37,882,498

Spirit

AeroSystems,

Inc.

(c)

7.50%,

04/15/25

.................

10,650

10,650,000

9.38%,

11/30/29

.................

35,861

39,133,316

TransDigm,

Inc.

8.00%,

12/15/25

(c)

................

14,792

15,069,350

6.25%,

03/15/26

(c)

................

296,059

296,328,414

6.38%,

06/15/26

.................

961

939,377

7.50%,

03/15/27

.................

7,602

7,582,995

6.75%,

08/15/28

(c)

................

133,755

135,092,550

Triumph

Group,

Inc.,

9.00%,

03/15/28

(c)

...

47,920

47,970,316

880,383,503

Automobile

Components

—

1.7%

Adient

Global

Holdings

Ltd.,

3.50%,

08/15/24

(b)

EUR

254

274,014

Clarios

Global

LP

6.75%,

05/15/25

(c)

................

USD

23,948

24,203,046

4.38%,

05/15/26

(b)

................

EUR

8,351

8,632,174

6.25%,

05/15/26

(c)

................

USD

36,140

36,049,650

8.50%,

05/15/27

(c)

................

145,681

146,227,304

Dana

Financing

Luxembourg

SARL,

3.00%,

07/15/29

(b)

....................

EUR

489

408,092

Dealer

Tire

LLC,

8.00%,

02/01/28

(c)

......

USD

6,494

5,828,365

Dometic

Group

AB,

3.00%,

05/08/26

(b)

....

EUR

587

577,680

Faurecia

SE

(b)

7.25%,

06/15/26

.................

1,475

1,647,793

2.75%,

02/15/27

.................

1,800

1,732,641

3.75%,

06/15/28

.................

1,579

1,532,621

Goodyear

Europe

BV,

2.75%,

08/15/28

(b)

..

242

213,447

Goodyear

Tire

&

Rubber

Co.

(The)

9.50%,

05/31/25

.................

USD

4,574

4,700,214

5.00%,

07/15/29

.................

5,783

5,166,532

5.63%,

04/30/33

.................

2,655

2,296,575

Grupo

Antolin-Irausa

SA

(b)

3.38%,

04/30/26

.................

EUR

443

400,759

3.50%,

04/30/28

.................

2,196

1,715,444

Icahn

Enterprises

LP

4.75%,

09/15/24

.................

USD

7,437

7,254,117

6.25%,

05/15/26

.................

9,496

9,344,776

5.25%,

05/15/27

.................

31,634

29,682,499

4.38%,

02/01/29

.................

14,300

12,298,000

IHO

Verwaltungs

GmbH

(a)(b)(j)

3.88%,

(3.88%

Cash

or

4.63%

PIK),

05/15/27

....................

EUR

1,911

1,816,715

8.75%,

(8.75%

Cash

or

9.50%

PIK),

05/15/28

....................

442

489,721

ZF

Europe

Finance

BV,

2.50%,

10/23/27

(b)

..

2,100

1,979,879

ZF

Finance

GmbH

(b)

5.75%,

08/03/26

.................

2,900

3,152,799

Security

Par

(000)

Par

(000)

Value

Automobile

Components

(continued)

2.00%,

05/06/27

.................

EUR

1,200

$

1,119,639

308,744,496

Automobiles

—

0.3%

Ford

Motor

Co.

3.25%,

02/12/32

.................

USD

25,950

20,395,574

6.10%,

08/19/32

.................

11,527

11,170,309

General

Motors

Co.

5.60%,

10/15/32

.................

6,786

6,644,036

5.40%,

04/01/48

.................

9,082

7,795,915

Jaguar

Land

Rover

Automotive

plc,

7.75%,

10/15/25

(c)

....................

400

392,184

RCI

Banque

SA,

(5-Year

EUR

Swap

Annual

+

2.85%),

2.63%,

02/18/30

(a)(b)

.........

EUR

7,100

7,014,239

Renault

SA,

2.38%,

05/25/26

(b)

.........

1,400

1,387,347

Volvo

Car

AB,

2.50%,

10/07/27

(b)

.......

1,051

1,020,129

55,819,733

Banks

—

0.9%

Banco

Bilbao

Vizcaya

Argentaria

SA,

(5-Year

EUR

Swap

Annual

+

6.04%),

6.00%

(a)(b)(k)

.

600

611,879

Banco

BPM

SpA

(a)(b)

(5-Year

EUR

Swap

Annual

+

5.42%),

5.00%,

09/14/30

...............

882

912,289

(5-Year

EUR

Swap

Annual

+

3.17%),

2.88%,

06/29/31

...............

1,950

1,769,644

(5-Year

EUR

Swap

Annual

+

3.40%),

3.38%,

01/19/32

...............

1,249

1,126,978

Banco

de

Sabadell

SA

(a)(b)

(1-Year

EUR

Swap

Annual

+

2.40%),

5.25%,

02/07/29

...............

600

617,306

(5-Year

EUR

Swap

Annual

+

2.20%),

2.00%,

01/17/30

...............

900

834,328

(5-Year

EUR

Swap

Annual

+

2.95%),

2.50%,

04/15/31

...............

2,200

1,971,154

Banco

Espirito

Santo

SA

(b)(f)(l)

2.63%,

05/08/17

.................

10,400

1,297,062

4.75%,

01/15/18

.................

12,300

1,534,025

4.00%,

01/21/24

.................

12,000

1,496,610

Bank

of

America

Corp.,

(1-Day

SOFR

+

1.99%),

6.20%,

11/10/28

(a)

...............

USD

18,853

19,708,583

Bank

of

Cyprus

PCL,

(1-Year

EUR

Swap

Annual

+

2.79%),

2.50%,

06/24/27

(a)(b)

...

EUR

800

724,394

Bankinter

SA

(5-Year

EUR

Swap

Annual

+

4.71%),

7.38%

(a)(b)(k)

...................

1,000

1,010,455

Barclays

plc

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.87%),

6.13%

(a)(k)

....................

USD

800

679,213

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

6.02%),

6.38%

(a)(b)(k)

GBP

600

647,640

5.20%,

05/12/26

.................

USD

7,800

7,466,081

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.41%),

4.38%

(a)(k)

....................

7,990

5,462,064

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.43%),

8.00%

(a)(k)

....................

12,345

10,539,544

BNP

Paribas

SA

(a)(b)(k)

(5-Year

EUR

Swap

Annual

+

4.65%),

6.88%

EUR

800

802,584

(5-Year

EUR

Swap

Annual

+

4.63%),

7.38%

1,000

1,031,630

CaixaBank

SA

(a)(b)(k)

(5-Year

EUR

Swap

Annual

+

6.22%),

6.38%

600

640,094

(5-Year

EUR

Swap

Annual

+

6.50%),

6.75%

400

415,363

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

49

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Banks

(continued)

Commerzbank

AG

(a)(b)

(5-Year

EUR

Swap

Annual

+

6.36%),

6.13%

(k)

.....................

EUR

1,200

$

1,107,934

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

5.25%),

8.63%,

02/28/33

....................

GBP

200

246,156

Credit

Agricole

SA,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.24%),

4.75%

(a)(c)(k)

..............

USD

13,270

9,964,443

First-Citizens

Bank

&

Trust

Co.,

6.00%,

04/01/36

.....................

23,131

22,500,446

HSBC

Bank

plc,

Series

1M,

(6-mo.

LIBOR

USD

+

0.25%),

5.40%

(a)(k)

..............

1,120

808,497

HSBC

Holdings

plc

(a)

(1-Day

SOFR

+

3.35%),

7.39%,

11/03/28

14,860

15,815,994

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.65%),

4.60%

(k)

.....................

6,310

4,712,476

ING

Groep

NV,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.34%),

5.75%

(a)(k)

...............

1,105

956,002

Intesa

Sanpaolo

SpA

5.71%,

01/15/26

(c)

................

4,290

4,064,718

5.15%,

06/10/30

(b)

................

GBP

2,025

2,036,417

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.60%),

4.20%,

06/01/32

(a)(c)

..................

USD

10,505

7,641,542

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.75%),

4.95%,

06/01/42

(a)(c)

..................

7,665

5,081,003

Lloyds

Banking

Group

plc,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.91%),

8.00%

(a)(k)

...............

13,055

12,026,919

PNC

Financial

Services

Group,

Inc.

(The),

Series

W,

(7-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.81%),

6.25%

(a)(f)(k)

...................

17,052

15,858,360

Santander

UK

Group

Holdings

plc,

(BPSWS5

+

5.79%),

6.75%

(a)(b)(k)

..............

GBP

633

689,335

Societe

Generale

SA,

(5-Year

EUR

Swap

Annual

+

5.23%),

7.88%

(a)(b)(k)

........

EUR

800

788,466

UniCredit

SpA

(a)(b)

(5-Year

EUR

Swap

Annual

+

6.39%),

6.63%

(k)

.....................

1,400

1,486,349

(5-Year

EURIBOR

ICE

Swap

Rate

+

7.33%),

7.50%

(k)

...............

600

614,624

(5-Year

EUR

Swap

Annual

+

2.80%),

2.73%,

01/15/32

...............

700

646,732

168,345,333

Biotechnology

—

0.0%

Cidron

Aida

Finco

SARL

(b)

5.00%,

04/01/28

.................

2,204

2,103,510

6.25%,

04/01/28

.................

GBP

2,128

2,228,317

4,331,827

Broadline

Retail

—

0.3%

(c)

ANGI

Group

LLC,

3.88%,

08/15/28

......

USD

13,121

9,968,534

Go

Daddy

Operating

Co.

LLC

5.25%,

12/01/27

.................

6,055

5,892,211

3.50%,

03/01/29

.................

8,073

6,980,158

Match

Group

Holdings

II

LLC

4.63%,

06/01/28

.................

10,281

9,548,170

5.63%,

02/15/29

.................

72

67,698

4.13%,

08/01/30

.................

3,886

3,345,846

3.63%,

10/01/31

.................

8,705

7,083,911

Security

Par

(000)

Par

(000)

Value

Broadline

Retail

(continued)

NMG

Holding

Co.,

Inc.,

7.13%,

04/01/26

...

USD

8,149

$

7,650,852

50,537,380

Building

Products

—

0.8%

Advanced

Drainage

Systems,

Inc.

(c)

5.00%,

09/30/27

.................

14,250

13,542,128

6.38%,

06/15/30

.................

24,658

24,160,831

Camelot

Return

Merger

Sub,

Inc.,

8.75%,

08/01/28

(c)

....................

9,901

9,167,732

HT

Troplast

GmbH,

9.25%,

07/15/25

(b)

....

EUR

741

790,279

James

Hardie

International

Finance

DAC,

5.00%,

01/15/28

(c)

...............

USD

2,204

2,065,983

JELD-WEN,

Inc.

(c)

6.25%,

05/15/25

.................

9,275

9,251,812

4.63%,

12/15/25

.................

1,373

1,273,458

Masonite

International

Corp.

(c)

5.38%,

02/01/28

.................

1,189

1,135,495

3.50%,

02/15/30

.................

6,398

5,302,712

New

Enterprise

Stone

&

Lime

Co.,

Inc.

(c)

5.25%,

07/15/28

.................

6,433

5,686,091

9.75%,

07/15/28

.................

9,352

8,931,160

PCF

GmbH,

4.75%,

04/15/26

(b)

........

EUR

1,203

1,126,743

Smyrna

Ready

Mix

Concrete

LLC,

6.00%,

11/01/28

(c)

....................

USD

31,071

29,167,901

Standard

Industries,

Inc.

2.25%,

11/21/26

(b)

................

EUR

4,217

3,957,171

5.00%,

02/15/27

(c)

................

USD

2,165

2,056,144

4.75%,

01/15/28

(c)

................

1,492

1,393,796

4.38%,

07/15/30

(c)

................

19,560

17,017,200

3.38%,

01/15/31

(c)

................

9,735

7,823,869

Summit

Materials

LLC,

5.25%,

01/15/29

(c)

..

1,574

1,487,430

145,337,935

Capital

Markets

—

0.8%

AG

TTMT

Escrow

Issuer

LLC,

8.63%,

09/30/27

(c)

....................

8,264

8,317,799

Aretec

Escrow

Issuer,

Inc.,

7.50%,

04/01/29

(c)

3,734

3,052,545

Blackstone

Holdings

Finance

Co.

LLC

(c)

5.90%,

11/03/27

.................

6,154

6,276,006

6.20%,

04/22/33

.................

17,071

17,883,217

Blackstone

Private

Credit

Fund

7.05%,

09/29/25

(c)

................

5,372

5,297,101

3.25%,

03/15/27

.................

5,766

4,895,621

Codere

New

Holdco

SA

7.50%,

11/30/27

(c)

................

EUR

964

83,185

Compass

Group

Diversified

Holdings

LLC,

5.25%,

04/15/29

(c)

...............

USD

10,295

9,063,871

Drawbridge

Special

Opportunities

Fund

LP,

3.88%,

02/15/26

(c)

...............

1,189

1,052,347

Lehman

Brothers

Holdings,

Inc.

5.38%,

10/17/12

(f)(l)

...............

EUR

4,550

22,205

4.75%,

01/16/14

(f)(l)

...............

14,545

70,983

(3-mo.

EURIBOR

+

0.30%),

0.00%,

02/05/14

(a)(f)(l)

..................

22,800

111,270

0.00%,

12/31/49

.................

USD

1,000

2,000

Macquarie

Bank

Ltd.,

6.80%,

01/18/33

(c)

...

6,510

6,617,375

Morgan

Stanley,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.43%),

5.95%,

01/19/38

(a)

..........

5,555

5,523,985

MSCI,

Inc.

(c)

3.63%,

09/01/30

.................

3,095

2,690,515

3.25%,

08/15/33

.................

3,210

2,628,827

Northern

Trust

Corp.,

6.13%,

11/02/32

....

10,930

11,652,714

Owl

Rock

Capital

Corp.

3.75%,

07/22/25

.................

9,307

8,487,005

3.40%,

07/15/26

.................

3,430

3,028,516

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

50

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Capital

Markets

(continued)

OWL

Rock

Core

Income

Corp.

5.50%,

03/21/25

.................

USD

10,277

$

10,007,408

3.13%,

09/23/26

.................

4,472

3,879,609

7.75%,

09/16/27

(c)

................

18,688

18,410,211

Sherwood

Financing

plc,

6.00%,

11/15/26

(b)

.

GBP

313

321,099

UBS

Group

AG,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.31%),

4.38%

(a)(c)(k)

..............

USD

13,275

9,209,519

138,584,933

Chemicals

—

2.0%

Ashland

LLC,

3.38%,

09/01/31

(c)

........

8,222

6,720,912

Avient

Corp.,

7.13%,

08/01/30

(c)

........

4,421

4,559,156

Axalta

Coating

Systems

Dutch

Holding

B

BV,

3.75%,

01/15/25

(b)

...............

EUR

2,426

2,591,532

Axalta

Coating

Systems

LLC

(c)

4.75%,

06/15/27

.................

USD

14,075

13,374,065

3.38%,

02/15/29

.................

14,666

12,565,586

Celanese

US

Holdings

LLC,

6.17%,

07/15/27

4,998

5,026,510

Chemours

Co.

(The),

5.75%,

11/15/28

(c)

...

3,396

3,031,710

Element

Solutions,

Inc.,

3.88%,

09/01/28

(c)

.

90,006

78,992,866

FIS

Fabbrica

Italiana

Sintetici

SpA,

5.63%,

08/01/27

(b)

....................

EUR

1,661

1,591,309

Gates

Global

LLC,

6.25%,

01/15/26

(c)

.....

USD

22,177

21,788,903

HB

Fuller

Co.,

4.25%,

10/15/28

........

7,667

6,801,323

Herens

Holdco

SARL,

4.75%,

05/15/28

(c)

..

25,361

20,415,605

Herens

Midco

SARL,

5.25%,

05/15/29

(b)

...

EUR

1,743

1,253,258

Illuminate

Buyer

LLC,

9.00%,

07/01/28

(c)

...

USD

29,982

26,579,510

INEOS

Finance

plc

6.63%,

05/15/28

(b)

................

EUR

1,514

1,655,912

INEOS

Quattro

Finance

2

plc,

2.50%,

01/15/26

(b)

....................

1,700

1,650,989

Ingevity

Corp.,

3.88%,

11/01/28

(c)

.......

USD

4,329

3,708,997

Kobe

U.S.

Midco

2,

Inc.,

9.25%,

11/01/26

(a)(c)

16,476

11,862,720

Kronos

International,

Inc.,

3.75%,

09/15/25

(b)

EUR

1,262

1,252,833

LSF11

A5

HoldCo

LLC,

6.63%,

10/15/29

(c)

..

USD

8,757

7,363,500

Minerals

Technologies,

Inc.,

5.00%,

07/01/28

(c)

8,620

7,860,061

Monitchem

HoldCo

3

SA,

5.25%,

03/15/25

(b)

EUR

689

744,445

NOVA

Chemicals

Corp.,

4.88%,

06/01/24

(c)

.

USD

1,606

1,584,431

Olympus

Water

US

Holding

Corp.,

3.88%,

10/01/28

(b)

....................

EUR

497

436,082

SCIL

IV

LLC

4.38%,

11/01/26

(b)

................

477

475,296

5.38%,

11/01/26

(c)

................

USD

13,478

12,312,650

(3-mo.

EURIBOR

at

4.38%

Floor

+

4.38%),

6.86%,

11/01/26

(a)(b)

.............

EUR

512

545,547

Scotts

Miracle-Gro

Co.

(The)

4.00%,

04/01/31

.................

USD

4,853

3,871,062

4.38%,

02/01/32

.................

1,779

1,429,827

SK

Invictus

Intermediate

II

SARL,

5.00%,

10/30/29

(c)

....................

35,381

29,374,722

Synthomer

plc,

3.88%,

07/01/25

(b)

.......

EUR

791

787,044

WR

Grace

Holdings

LLC

(c)

4.88%,

06/15/27

.................

USD

8,077

7,785,501

5.63%,

08/15/29

.................

58,579

49,645,702

7.38%,

03/01/31

.................

8,683

8,715,822

358,355,388

Commercial

Services

&

Supplies

—

3.4%

ADT

Security

Corp.

(The)

(c)

4.13%,

08/01/29

.................

4,578

4,082,614

4.88%,

07/15/32

.................

899

793,179

Allied

Universal

Holdco

LLC

6.63%,

07/15/26

(c)

................

73,818

70,939,467

9.75%,

07/15/27

(c)

................

28,942

25,794,847

3.63%,

06/01/28

(b)

................

EUR

920

820,142

Security

Par

(000)

Par

(000)

Value

Commercial

Services

&

Supplies

(continued)

4.63%,

06/01/28

(c)

................

USD

81,555

$

68,743,200

4.88%,

06/01/28

(b)

................

GBP

827

838,039

6.00%,

06/01/29

(c)

................

USD

55,602

41,504,669

APi

Group

DE,

Inc.

(c)

4.13%,

07/15/29

.................

12,124

10,403,369

4.75%,

10/15/29

.................

6,702

5,896,551

APX

Group,

Inc.

(c)

6.75%,

02/15/27

.................

8,209

8,167,955

5.75%,

07/15/29

.................

13,584

12,157,680

Aramark

Services,

Inc.

(c)

5.00%,

04/01/25

.................

4,765

4,689,210

6.38%,

05/01/25

.................

15,132

15,243,372

5.00%,

02/01/28

.................

35,242

33,355,319

Brink's

Co.

(The),

5.50%,

07/15/25

(c)

.....

1,038

1,028,409

Clean

Harbors,

Inc.

(c)

4.88%,

07/15/27

.................

8,229

7,936,937

5.13%,

07/15/29

.................

4,198

3,999,217

6.38%,

02/01/31

.................

6,416

6,545,956

Covanta

Holding

Corp.

4.88%,

12/01/29

(c)

................

5,910

5,258,363

5.00%,

09/01/30

.................

4,765

4,098,853

Garda

World

Security

Corp.

(c)

4.63%,

02/15/27

.................

6,371

5,718,938

7.75%,

02/15/28

.................

18,860

18,588,473

GFL

Environmental,

Inc.

(c)

4.25%,

06/01/25

.................

6,270

6,117,827

3.75%,

08/01/25

.................

15,445

14,842,645

5.13%,

12/15/26

.................

23,593

23,068,410

4.00%,

08/01/28

.................

24,770

22,505,279

3.50%,

09/01/28

.................

3,962

3,585,610

4.75%,

06/15/29

.................

23,234

21,702,879

4.38%,

08/15/29

.................

11,444

10,244,669

Intrum

AB

(b)

3.13%,

07/15/24

.................

EUR

521

540,375

4.88%,

08/15/25

.................

1,446

1,442,732

9.25%,

03/15/28

.................

1,025

1,086,323

Legends

Hospitality

Holding

Co.

LLC,

5.00%,

02/01/26

(c)

....................

USD

6,421

5,745,896

Madison

IAQ

LLC,

5.88%,

06/30/29

(c)

.....

13,966

10,788,735

Neptune

Bidco

US,

Inc.,

9.29%,

04/15/29

(c)

.

17,578

16,296,564

Paprec

Holding

SA

(b)

4.00%,

03/31/25

.................

EUR

475

507,163

3.50%,

07/01/28

.................

1,240

1,169,313

Prime

Security

Services

Borrower

LLC

(c)

5.75%,

04/15/26

.................

USD

17,395

17,264,538

6.25%,

01/15/28

.................

24,068

22,503,580

Stericycle,

Inc.,

3.88%,

01/15/29

(c)

.......

7,877

6,876,487

Techem

Verwaltungsgesellschaft

674

mbH,

6.00%,

07/30/26

(b)

...............

EUR

2,110

2,162,323

Techem

Verwaltungsgesellschaft

675

mbH,

2.00%,

07/15/25

(b)

...............

600

605,914

Verisure

Holding

AB

(b)

3.88%,

07/15/26

.................

1,425

1,430,125

3.25%,

02/15/27

.................

2,381

2,285,242

9.25%,

10/15/27

.................

1,307

1,518,519

7.13%,

02/01/28

.................

146

158,060

Waste

Pro

USA,

Inc.,

5.50%,

02/15/26

(c)

...

USD

63,828

58,700,218

609,754,185

Communications

Equipment

—

0.7%

CommScope

Technologies

LLC,

6.00%,

06/15/25

(c)

....................

36,636

34,502,169

CommScope,

Inc.

(c)

6.00%,

03/01/26

.................

8,889

8,578,774

8.25%,

03/01/27

.................

6,543

5,359,371

7.13%,

07/01/28

.................

12,951

9,551,880

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

51

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Communications

Equipment

(continued)

4.75%,

09/01/29

.................

USD

31,882

$

26,574,285

Nokia

OYJ,

6.63%,

05/15/39

..........

7,083

7,069,755

Viasat,

Inc.,

5.63%,

09/15/25

(c)

.........

26,729

25,340,696

Viavi

Solutions,

Inc.,

3.75%,

10/01/29

(c)

...

19,053

16,293,492

133,270,422

Construction

&

Engineering

—

0.2%

Arcosa,

Inc.,

4.38%,

04/15/29

(c)

........

22,523

20,031,055

Azzurra

Aeroporti

SpA

(b)

2.13%,

05/30/24

.................

EUR

2,371

2,498,904

2.63%,

05/30/27

.................

694

663,464

Cellnex

Finance

Co.

SA

(b)

1.00%,

09/15/27

.................

500

462,463

1.50%,

06/08/28

.................

1,000

924,094

1.25%,

01/15/29

.................

900

798,345

Dycom

Industries,

Inc.,

4.50%,

04/15/29

(c)

..

USD

6,838

6,171,295

Gatwick

Airport

Finance

plc,

4.38%,

04/07/26

(b)

GBP

1,427

1,617,319

Heathrow

Finance

plc,

4.13%,

09/01/29

(b)(e)

.

1,042

1,066,891

MasTec,

Inc.,

4.50%,

08/15/28

(c)

........

USD

7,365

6,807,456

Promontoria

Holding

264

BV,

6.38%,

03/01/27

(b)

EUR

1,765

1,836,459

42,877,745

Consumer

Finance

—

1.5%

Discover

Financial

Services,

6.70%,

11/29/32

USD

4,950

5,103,166

Encore

Capital

Group,

Inc.

(b)

4.88%,

10/15/25

.................

EUR

532

524,111

5.38%,

02/15/26

.................

GBP

1,000

1,099,446

4.25%,

06/01/28

.................

2,373

2,276,001

Ford

Motor

Credit

Co.

LLC

3.81%,

01/09/24

.................

USD

1,844

1,822,204

5.58%,

03/18/24

.................

3,500

3,464,510

2.75%,

06/14/24

.................

GBP

619

725,418

3.66%,

09/08/24

.................

USD

13,142

12,609,544

4.54%,

03/06/25

.................

GBP

2,394

2,830,596

4.69%,

06/09/25

.................

USD

4,049

3,891,454

5.13%,

06/16/25

.................

13,706

13,416,052

4.13%,

08/04/25

.................

8,979

8,541,422

3.38%,

11/13/25

.................

6,710

6,289,216

4.39%,

01/08/26

.................

11,887

11,277,791

6.86%,

06/05/26

.................

GBP

1,382

1,697,760

2.70%,

08/10/26

.................

USD

17,658

15,715,443

4.27%,

01/09/27

.................

5,580

5,195,538

4.95%,

05/28/27

.................

15,531

14,813,701

4.87%,

08/03/27

.................

EUR

2,650

2,787,707

4.13%,

08/17/27

.................

USD

7,624

6,985,414

3.82%,

11/02/27

.................

2,510

2,249,588

2.90%,

02/16/28

.................

11,606

9,976,518

2.90%,

02/10/29

.................

1,734

1,435,701

5.11%,

05/03/29

.................

6,693

6,283,388

7.35%,

03/06/30

.................

21,065

21,644,288

4.00%,

11/13/30

.................

1,910

1,622,979

3.63%,

06/17/31

.................

15,218

12,540,092

Global

Aircraft

Leasing

Co.

Ltd.

(c)(j)

6.50%,

(6.50%

Cash

or

7.25%

PIK),

09/15/24

....................

6,772

6,110,467

Series

2021,

6.50%,

(6.50%

Cash

or

7.25%

PIK),

09/15/24

(a)

...............

12,476

11,258,000

Lincoln

Financing

SARL,

3.63%,

04/01/24

(b)

.

EUR

347

373,353

Navient

Corp.

7.25%,

09/25/23

.................

USD

126

125,573

6.13%,

03/25/24

.................

477

470,589

5.88%,

10/25/24

.................

1,709

1,660,076

5.50%,

03/15/29

.................

8,905

7,524,725

OneMain

Finance

Corp.

6.88%,

03/15/25

.................

15,547

15,065,121

7.13%,

03/15/26

.................

13,399

12,880,325

Security

Par

(000)

Par

(000)

Value

Consumer

Finance

(continued)

3.50%,

01/15/27

.................

USD

6,747

$

5,662,498

6.63%,

01/15/28

.................

8,223

7,538,929

5.38%,

11/15/29

.................

5,179

4,356,911

4.00%,

09/15/30

.................

12,709

9,531,750

SLM

Corp.,

3.13%,

11/02/26

..........

8,715

7,407,750

VistaJet

Malta

Finance

plc,

6.38%,

02/01/30

(c)

7,629

6,799,240

273,584,355

Consumer

Staples

Distribution

&

Retail

—

0.7%

Albertsons

Cos.,

Inc.

(c)

3.25%,

03/15/26

.................

18,245

17,168,454

4.63%,

01/15/27

.................

21,596

20,885,168

5.88%,

02/15/28

.................

2,444

2,428,982

6.50%,

02/15/28

.................

8,976

8,998,440

3.50%,

03/15/29

.................

13,469

11,719,296

4.88%,

02/15/30

.................

11,190

10,444,578

Bellis

Acquisition

Co.

plc

(b)

3.25%,

02/16/26

.................

GBP

1,500

1,512,887

4.50%,

02/16/26

.................

2,726

2,838,689

Casino

Guichard

Perrachon

SA,

(5-Year

EURIBOR

ICE

Swap

Rate

+

3.82%),

3.99%

(a)

(b)(k)

........................

EUR

1,800

126,262

Ocado

Group

plc,

3.88%,

10/08/26

(b)

.....

GBP

1,848

1,691,632

Performance

Food

Group,

Inc.

(c)

5.50%,

10/15/27

.................

USD

2,942

2,876,158

4.25%,

08/01/29

.................

20,521

18,427,287

Picard

Groupe

SAS,

3.88%,

07/01/26

(b)

...

EUR

500

482,088

United

Natural

Foods,

Inc.,

6.75%,

10/15/28

(c)

USD

4,464

4,148,886

US

Foods,

Inc.

(c)

6.25%,

04/15/25

.................

5,772

5,824,035

4.75%,

02/15/29

.................

9,453

8,732,209

4.63%,

06/01/30

.................

8,285

7,473,501

125,778,552

Containers

&

Packaging

—

2.9%

ARD

Finance

SA,

6.50%,

06/30/27

(c)

.....

44,014

33,666,474

Ardagh

Metal

Packaging

Finance

USA

LLC

6.00%,

06/15/27

(c)

................

22,128

21,929,401

3.25%,

09/01/28

(c)

................

1,840

1,583,435

3.00%,

09/01/29

(b)

................

EUR

4,204

3,385,234

4.00%,

09/01/29

(c)

................

USD

82,135

64,270,637

Ardagh

Packaging

Finance

plc

5.25%,

04/30/25

(c)

................

1,101

1,084,485

2.13%,

08/15/26

(b)

................

EUR

2,513

2,381,540

4.13%,

08/15/26

(c)

................

USD

3,900

3,636,750

4.75%,

07/15/27

(b)

................

GBP

1,149

1,083,366

Ball

Corp.,

3.13%,

09/15/31

..........

USD

10,946

9,057,815

Canpack

SA,

3.13%,

11/01/25

(c)

........

7,284

6,600,469

Clydesdale

Acquisition

Holdings,

Inc.

(c)

6.63%,

04/15/29

.................

35,056

33,741,400

8.75%,

04/15/30

.................

29,122

26,464,323

Crown

Americas

LLC

4.75%,

02/01/26

.................

69

67,194

4.25%,

09/30/26

.................

3,032

2,906,680

5.25%,

04/01/30

.................

942

907,061

Crown

Cork

&

Seal

Co.,

Inc.,

7.38%,

12/15/26

1,005

1,061,963

Fiber

Bidco

SpA,

11.00%,

10/25/27

(b)

.....

EUR

921

1,071,239

Graphic

Packaging

International

LLC

4.75%,

07/15/27

(c)

................

USD

2,203

2,096,607

3.50%,

03/15/28

(c)

................

269

246,189

2.63%,

02/01/29

(b)

................

EUR

4,253

3,993,953

Kleopatra

Finco

SARL,

4.25%,

03/01/26

(b)

..

2,422

2,185,207

LABL,

Inc.

(c)

5.88%,

11/01/28

.................

USD

13,947

12,392,821

9.50%,

11/01/28

.................

13,183

13,298,351

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

52

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Containers

&

Packaging

(continued)

Mauser

Packaging

Solutions

Holding

Co.

(c)

7.88%,

08/15/26

.................

USD

166,446

$

166,446,000

9.25%,

04/15/27

.................

2,255

2,083,598

Sealed

Air

Corp.

(c)

4.00%,

12/01/27

.................

3,065

2,860,258

6.13%,

02/01/28

.................

7,639

7,724,213

Trivium

Packaging

Finance

BV

3.75%,

08/15/26

(b)(e)

...............

EUR

696

695,212

5.50%,

08/15/26

(c)(e)

...............

USD

25,896

24,808,368

(3-mo.

EURIBOR

at

3.75%

Floor

+

3.75%),

6.40%,

08/15/26

(a)(b)

.............

EUR

927

982,712

8.50%,

08/15/27

(c)(e)

...............

USD

63,336

57,635,760

512,348,715

Distributors

—

0.2%

American

Builders

&

Contractors

Supply

Co.,

Inc.,

3.88%,

11/15/29

(c)

............

13,250

11,313,645

Azelis

Finance

NV,

5.75%,

03/15/28

(b)

....

EUR

100

109,697

BCPE

Empire

Holdings,

Inc.,

7.63%,

05/01/27

(c)

USD

18,416

16,827,620

Resideo

Funding,

Inc.,

4.00%,

09/01/29

(c)

..

3,756

3,122,779

Ritchie

Bros

Holdings,

Inc.,

6.75%,

03/15/28

(c)

4,247

4,373,688

35,747,429

Diversified

Consumer

Services

—

0.5%

Graham

Holdings

Co.,

5.75%,

06/01/26

(c)

..

2,623

2,570,930

Metis

Merger

Sub

LLC,

6.50%,

05/15/29

(c)

..

6,670

5,555,443

Rekeep

SpA,

7.25%,

02/01/26

(b)

........

EUR

1,502

1,433,449

Service

Corp.

International

5.13%,

06/01/29

.................

USD

1,427

1,376,609

3.38%,

08/15/30

.................

5,789

4,935,123

4.00%,

05/15/31

.................

18,376

16,137,803

Sotheby's

(c)

7.38%,

10/15/27

.................

44,689

42,272,666

5.88%,

06/01/29

.................

22,050

18,286,488

92,568,511

Diversified

REITs

—

0.9%

Global

Net

Lease,

Inc.,

3.75%,

12/15/27

(c)

..

5,881

4,653,161

GLP

Capital

LP,

3.25%,

01/15/32

.......

15,238

12,363,504

HAT

Holdings

I

LLC,

3.38%,

06/15/26

(c)

...

7,300

6,332,750

Iron

Mountain

Information

Management

Services,

Inc.,

5.00%,

07/15/32

(c)

......

6,069

5,211,641

Iron

Mountain

UK

plc,

3.88%,

11/15/25

(b)

...

GBP

3,232

3,782,107

Uniti

Group

LP,

10.50%,

02/15/28

(c)

......

USD

28,343

27,492,710

VICI

Properties

LP

5.63%,

05/01/24

(c)

................

3,086

3,059,013

3.50%,

02/15/25

(c)

................

6,210

5,885,302

4.63%,

06/15/25

(c)

................

2,625

2,537,887

4.25%,

12/01/26

(c)

................

2,859

2,667,493

4.50%,

01/15/28

(c)

................

3,828

3,544,911

3.88%,

02/15/29

(c)

................

2,854

2,537,549

4.63%,

12/01/29

(c)

................

29,616

26,959,878

4.95%,

02/15/30

.................

14,931

14,010,756

4.13%,

08/15/30

(c)

................

15,110

13,346,457

5.63%,

05/15/52

.................

20,299

18,278,640

152,663,759

Diversified

Telecommunication

Services

—

5.6%

Altice

France

Holding

SA,

10.50%,

05/15/27

(c)

40,751

31,174,515

Altice

France

SA

5.88%,

02/01/27

(b)

................

EUR

4,100

3,921,235

8.13%,

02/01/27

(c)

................

USD

19,703

18,239,067

5.13%,

01/15/29

(c)

................

10,979

8,366,328

5.13%,

07/15/29

(c)

................

37,134

27,943,335

5.50%,

10/15/29

(c)

................

34,346

26,262,872

Security

Par

(000)

Par

(000)

Value

Diversified

Telecommunication

Services

(continued)

British

Telecommunications

plc

(a)(c)

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.99%),

4.25%,

11/23/81

....................

USD

840

$

727,818

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.49%),

4.88%,

11/23/81

....................

628

494,679

CCO

Holdings

LLC

5.13%,

05/01/27

(c)

................

13,765

13,007,925

5.00%,

02/01/28

(c)

................

20,757

19,148,333

5.38%,

06/01/29

(c)

................

10,358

9,511,233

6.38%,

09/01/29

(c)

................

39,039

37,282,245

4.75%,

03/01/30

(c)

................

20,494

17,755,899

4.50%,

08/15/30

(c)

................

14,375

12,146,875

4.25%,

02/01/31

(c)

................

43,526

35,589,469

7.38%,

03/01/31

(c)

................

17,696

17,419,500

4.75%,

02/01/32

(c)

................

38,192

32,075,647

4.50%,

05/01/32

.................

1,813

1,482,708

4.50%,

06/01/33

(c)

................

15,251

12,277,817

4.25%,

01/15/34

(c)

................

41,739

32,644,907

Cellnex

Telecom

SA

(b)

1.75%,

10/23/30

.................

EUR

1,000

864,943

0.75%,

11/20/31

(m)

................

3,200

2,740,206

Frontier

Communications

Holdings

LLC

(c)

5.88%,

10/15/27

.................

USD

11,716

10,651,016

5.00%,

05/01/28

.................

27,017

23,444,272

8.75%,

05/15/30

.................

74,908

74,609,117

Global

Switch

Holdings

Ltd.,

2.25%,

05/31/27

(b)

EUR

1,501

1,527,371

Iliad

Holding

SASU

6.50%,

10/15/26

(c)

................

USD

53,441

50,930,325

5.63%,

10/15/28

(b)

................

EUR

1,140

1,148,941

7.00%,

10/15/28

(c)

................

USD

36,512

34,642,220

iliad

SA

(b)

5.38%,

06/14/27

.................

EUR

2,600

2,797,007

5.63%,

02/15/30

.................

800

841,572

Iliad

SA,

1.88%,

02/11/28

(b)

...........

400

363,850

Infrastrutture

Wireless

Italiane

SpA,

1.63%,

10/21/28

(b)

....................

757

728,616

Kaixo

Bondco

Telecom

SA,

5.13%,

09/30/29

(b)

357

338,585

Level

3

Financing,

Inc.

(c)

3.40%,

03/01/27

.................

USD

28,415

22,474,640

4.63%,

09/15/27

.................

7,389

4,442,636

4.25%,

07/01/28

.................

13,821

7,797,808

3.63%,

01/15/29

.................

14,391

7,957,072

3.75%,

07/15/29

.................

4,171

2,223,810

3.88%,

11/15/29

.................

14,334

10,373,946

Lorca

Telecom

Bondco

SA,

4.00%,

09/18/27

(b)

EUR

3,379

3,358,354

Lumen

Technologies,

Inc.

(c)

4.00%,

02/15/27

.................

USD

49,069

32,385,540

4.50%,

01/15/29

.................

22,816

10,210,160

5.38%,

06/15/29

.................

3,954

1,917,690

RCS

&

RDS

SA,

2.50%,

02/05/25

(b)

......

EUR

1,800

1,832,900

Sable

International

Finance

Ltd.,

5.75%,

09/07/27

(c)

....................

USD

2,250

2,096,437

Sprint

Capital

Corp.

6.88%,

11/15/28

.................

66,555

71,515,344

8.75%,

03/15/32

.................

71,597

87,169,348

Telecom

Italia

Capital

SA

6.38%,

11/15/33

.................

11,803

10,686,672

6.00%,

09/30/34

.................

10,437

8,949,728

7.20%,

07/18/36

.................

8,014

7,250,506

7.72%,

06/04/38

.................

8,383

7,761,193

Telecom

Italia

Finance

SA,

7.75%,

01/24/33

EUR

1,762

2,044,651

Telecom

Italia

SpA

4.00%,

04/11/24

(b)

................

1,664

1,787,013

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

53

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Diversified

Telecommunication

Services

(continued)

5.30%,

05/30/24

(c)

................

USD

1,907

$

1,868,860

2.75%,

04/15/25

(b)

................

EUR

1,013

1,047,404

3.00%,

09/30/25

(b)

................

1,000

1,028,540

3.63%,

05/25/26

(b)

................

1,900

1,970,401

2.38%,

10/12/27

(b)

................

1,012

946,450

6.88%,

02/15/28

(b)

................

100

110,619

1.63%,

01/18/29

(b)

................

100

84,857

Vantage

Towers

AG

(b)

0.00%,

03/31/25

.................

600

645,866

0.38%,

03/31/27

.................

200

215,547

Virgin

Media

Secured

Finance

plc

5.00%,

04/15/27

(b)

................

GBP

1,056

1,218,007

5.25%,

05/15/29

(b)

................

777

833,901

4.50%,

08/15/30

(c)

................

USD

1,160

997,380

Zayo

Group

Holdings,

Inc.

(c)

4.00%,

03/01/27

.................

103,137

78,384,120

6.13%,

03/01/28

.................

91,084

55,397,289

1,012,085,137

Electric

Utilities

—

0.7%

Edison

International,

Series

B,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.90%),

5.00%

(a)(k)

........

8,330

6,901,365

EDP

-

Energias

de

Portugal

SA

(a)(b)

(5-Year

EUR

Swap

Annual

+

1.84%),

1.70%,

07/20/80

...............

EUR

800

781,812

(5-Year

EUR

Swap

Annual

+

2.38%),

1.88%,

08/02/81

...............

1,700

1,599,366

(5-Year

EUR

Swap

Annual

+

3.18%),

5.94%,

04/23/83

...............

400

425,124

Enel

SpA,

(5-Year

EUR

Swap

Annual

+

3.49%),

6.38%

(a)(b)(k)

...................

775

844,690

FirstEnergy

Corp.,

Series

C,

3.40%,

03/01/50

USD

21,763

14,924,458

FirstEnergy

Transmission

LLC

(c)

5.45%,

07/15/44

.................

25,874

24,788,711

4.55%,

04/01/49

.................

9,970

8,390,662

Naturgy

Finance

BV,

(5-Year

EUR

Swap

Annual

+

2.44%),

2.37%

(a)(b)(k)

.............

EUR

2,100

1,976,052

NextEra

Energy

Operating

Partners

LP,

4.25%,

09/15/24

(c)

....................

USD

106

101,628

NRG

Energy,

Inc.

6.63%,

01/15/27

.................

3,000

2,993,520

5.75%,

01/15/28

.................

3,954

3,877,628

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.92%),

10.25%

(a)(c)(k)

..................

24,767

23,667,593

5.25%,

06/15/29

(c)

................

799

741,764

3.88%,

02/15/32

(c)

................

44

35,200

7.00%,

03/15/33

(c)

................

10,345

10,716,592

Pacific

Gas

&

Electric

Co.,

6.75%,

01/15/53

.

8,979

9,278,523

Pattern

Energy

Operations

LP,

4.50%,

08/15/28

(c)

....................

11,025

10,086,152

Vistra

Operations

Co.

LLC

(c)

5.50%,

09/01/26

.................

1,206

1,170,801

5.00%,

07/31/27

.................

1,206

1,140,273

4.38%,

05/01/29

.................

3,609

3,195,464

127,637,378

Electrical

Equipment

—

0.6%

Nexans

SA,

5.50%,

04/05/28

(b)

.........

EUR

800

884,154

Regal

Rexnord

Corp.

(c)

6.05%,

02/15/26

.................

USD

4,975

4,996,808

6.05%,

04/15/28

.................

32,040

32,054,264

6.30%,

02/15/30

.................

11,435

11,513,956

6.40%,

04/15/33

.................

11,535

11,542,126

Sensata

Technologies

BV

(c)

5.63%,

11/01/24

.................

2,862

2,853,483

Security

Par

(000)

Par

(000)

Value

Electrical

Equipment

(continued)

5.00%,

10/01/25

.................

USD

2,784

$

2,763,607

4.00%,

04/15/29

.................

4,683

4,230,973

5.88%,

09/01/30

.................

12,275

12,167,594

Vertiv

Group

Corp.,

4.13%,

11/15/28

(c)

....

34,776

30,684,777

113,691,742

Electronic

Equipment,

Instruments

&

Components

—

0.4%

CDW

LLC

3.28%,

12/01/28

.................

907

798,976

3.25%,

02/15/29

.................

11,119

9,779,050

Coherent

Corp.,

5.00%,

12/15/29

(c)

......

21,852

19,835,060

Sensata

Technologies,

Inc.

(c)

4.38%,

02/15/30

.................

32,693

29,788,516

3.75%,

02/15/31

.................

14,268

12,484,500

72,686,102

Energy

Equipment

&

Services

—

2.0%

Archrock

Partners

LP

(c)

6.88%,

04/01/27

.................

9,607

9,426,869

6.25%,

04/01/28

.................

51,516

49,455,360

Enerflex

Ltd.,

9.00%,

10/15/27

(c)

........

14,913

14,502,892

Nabors

Industries

Ltd.

(c)

7.25%,

01/15/26

.................

8,865

8,454,994

7.50%,

01/15/28

.................

17,095

15,777,009

Nabors

Industries,

Inc.

5.75%,

02/01/25

.................

39,403

38,171,656

7.38%,

05/15/27

(c)

................

35,387

34,657,320

Nine

Energy

Service,

Inc.,

13.00%,

02/01/28

4,956

4,708,200

Precision

Drilling

Corp.,

6.88%,

01/15/29

(c)

.

703

637,973

Tervita

Corp.,

11.00%,

12/01/25

(c)

.......

5,460

5,855,850

Transocean

Titan

Financing

Ltd.,

8.38%,

02/01/28

(c)

....................

10,255

10,553,113

Transocean,

Inc.

(c)

7.50%,

01/15/26

.................

14,425

13,097,323

11.50%,

01/30/27

................

8,907

9,199,150

8.75%,

02/15/30

.................

57,138

58,280,760

USA

Compression

Partners

LP

6.88%,

04/01/26

.................

33,857

32,907,202

6.88%,

09/01/27

.................

9,499

9,077,054

Vallourec

SA,

8.50%,

06/30/26

(b)

........

EUR

1,007

1,086,631

Vantage

Drilling

International,

9.50%,

02/15/28

(c)

....................

USD

16,723

16,392,052

Weatherford

International

Ltd.

(c)

11.00%,

12/01/24

................

444

455,578

6.50%,

09/15/28

.................

12,043

12,063,594

8.63%,

04/30/30

.................

19,623

20,075,506

364,836,086

Entertainment

—

1.3%

Lions

Gate

Capital

Holdings

LLC,

5.50%,

04/15/29

(c)

....................

15,042

9,890,115

Live

Nation

Entertainment,

Inc.

(c)

4.88%,

11/01/24

.................

1,420

1,391,600

5.63%,

03/15/26

.................

923

893,003

6.50%,

05/15/27

.................

80,535

81,400,268

4.75%,

10/15/27

.................

17,840

16,502,000

3.75%,

01/15/28

.................

8,973

8,030,835

Netflix,

Inc.,

3.63%,

06/15/30

(b)

.........

EUR

1,427

1,483,592

Odeon

Finco

plc,

12.75%,

11/01/27

(c)

.....

USD

3,721

3,421,748

Pinewood

Finance

Co.

Ltd.,

3.63%,

11/15/27

(b)

GBP

560

612,237

Warnermedia

Holdings,

Inc.

6.41%,

03/15/26

.................

USD

4,565

4,588,047

5.14%,

03/15/52

(c)

................

89,220

72,289,025

5.39%,

03/15/62

(c)

................

33,791

27,313,848

227,816,318

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

54

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Financial

Services

—

2.1%

Agps

Bondco

plc

(b)

3.25%,

08/05/25

(f)(l)

...............

EUR

1,400

$

602,006

2.75%,

11/13/26

(f)(l)

...............

2,100

880,462

2.25%,

01/14/29

.................

1,000

387,709

Block,

Inc.

2.75%,

06/01/26

.................

USD

22,418

20,439,948

3.50%,

06/01/31

.................

69,465

57,048,131

Enact

Holdings,

Inc.,

6.50%,

08/15/25

(c)

...

21,501

20,963,475

Garfunkelux

Holdco

3

SA

(b)

6.75%,

11/01/25

.................

EUR

1,568

1,295,778

7.75%,

11/01/25

.................

GBP

777

721,277

Global

Payments,

Inc.

3.20%,

08/15/29

.................

USD

3,805

3,346,961

2.90%,

05/15/30

.................

5,782

4,896,068

5.40%,

08/15/32

.................

32,964

32,320,422

5.95%,

08/15/52

.................

15,957

15,179,556

Home

Point

Capital,

Inc.,

5.00%,

02/01/26

(c)

.

12,247

9,188,986

Jefferies

Finance

LLC,

5.00%,

08/15/28

(c)

..

18,235

15,437,569

Jerrold

Finco

plc,

4.88%,

01/15/26

(b)

.....

GBP

461

488,931

MGIC

Investment

Corp.,

5.25%,

08/15/28

..

USD

7,434

7,066,017

Nationstar

Mortgage

Holdings,

Inc.

(c)

6.00%,

01/15/27

.................

3,788

3,437,610

5.13%,

12/15/30

.................

3,825

2,939,225

5.75%,

11/15/31

.................

3,029

2,349,484

Nationwide

Building

Society,

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

5.63%),

5.75%

(a)(b)(k)

..............

GBP

1,135

1,122,497

Nexi

SpA,

0.00%,

02/24/28

(b)(m)(n)

........

EUR

2,500

2,003,071

Rocket

Mortgage

LLC,

2.88%,

10/15/26

(c)

..

USD

34,730

31,083,350

Sabre

GLBL,

Inc.

(c)

9.25%,

04/15/25

.................

12,420

11,699,640

7.38%,

09/01/25

.................

9,253

8,267,509

11.25%,

12/15/27

................

7,520

7,007,437

Shift4

Payments

LLC,

4.63%,

11/01/26

(c)

...

33,951

31,913,940

Stena

International

SA,

7.25%,

02/15/28

(b)

..

EUR

550

598,205

Verscend

Escrow

Corp.,

9.75%,

08/15/26

(c)

.

USD

90,159

90,159,000

382,844,264

Food

Products

—

1.1%

Chobani

LLC

(c)

7.50%,

04/15/25

.................

67,694

66,003,107

4.63%,

11/15/28

.................

47,987

43,728,154

Darling

Global

Finance

BV,

3.63%,

05/15/26

(b)

EUR

4,402

4,626,902

Darling

Ingredients,

Inc.

(c)

5.25%,

04/15/27

.................

USD

1,783

1,738,425

6.00%,

06/15/30

.................

23,123

23,044,382

JBS

USA

LUX

SA,

3.75%,

12/01/31

(c)

.....

6,281

5,186,925

Lamb

Weston

Holdings,

Inc.

(c)

4.88%,

05/15/28

.................

17,294

16,774,301

4.13%,

01/31/30

.................

15,659

14,327,985

4.38%,

01/31/32

.................

19,531

17,712,817

Pilgrim's

Pride

Corp.,

3.50%,

03/01/32

....

1,978

1,609,697

Post

Holdings,

Inc.

(c)

5.75%,

03/01/27

.................

98

95,629

5.50%,

12/15/29

.................

2,000

1,884,668

4.63%,

04/15/30

.................

1,183

1,060,264

Premier

Foods

Finance

plc,

3.50%,

10/15/26

(b)

GBP

469

524,993

Simmons

Foods,

Inc.,

4.63%,

03/01/29

(c)

...

USD

4,175

3,392,730

Tereos

Finance

Groupe

I

SA,

7.25%,

04/15/28

(b)

EUR

1,325

1,409,896

203,120,875

Gas

Utilities

—

0.0%

Suburban

Propane

Partners

LP,

5.00%,

06/01/31

(c)

....................

USD

4,099

3,581,501

UGI

International

LLC,

2.50%,

12/01/29

(b)

..

EUR

1,913

1,617,313

5,198,814

Security

Par

(000)

Par

(000)

Value

Ground

Transportation

—

1.3%

Albion

Financing

1

SARL,

6.13%,

10/15/26

(c)

USD

11,529

$

10,261,290

BCP

V

Modular

Services

Finance

II

plc

(b)

4.75%,

11/30/28

.................

EUR

2,400

2,210,084

6.13%,

11/30/28

.................

GBP

1,900

1,992,264

EC

Finance

plc,

3.00%,

10/15/26

(b)

......

EUR

1,774

1,767,586

Hertz

Corp.

(The)

(c)

4.63%,

12/01/26

.................

USD

5,759

5,214,774

5.00%,

12/01/29

.................

5,757

4,768,063

Loxam

SAS

(b)

3.25%,

01/14/25

.................

EUR

467

491,108

3.75%,

07/15/26

.................

1,102

1,107,051

4.50%,

02/15/27

.................

1,305

1,326,444

5.75%,

07/15/27

.................

989

919,729

National

Express

Group

plc,

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

4.14%),

4.25%

(a)(b)(k)

..............

GBP

300

324,893

NESCO

Holdings

II,

Inc.,

5.50%,

04/15/29

(c)

.

USD

10,396

9,405,053

Uber

Technologies,

Inc.

7.50%,

05/15/25

(c)

................

15,444

15,642,035

0.00%,

12/15/25

(m)(n)

..............

25,622

22,541,750

8.00%,

11/01/26

(c)

................

21,561

22,104,984

7.50%,

09/15/27

(c)

................

47,520

48,998,347

6.25%,

01/15/28

(c)

................

18,610

18,563,475

4.50%,

08/15/29

(c)

................

56,469

51,457,376

Williams

Scotsman

International,

Inc.

(c)

6.13%,

06/15/25

.................

7,960

7,910,046

4.63%,

08/15/28

.................

7,264

6,607,925

XPO

Escrow

Sub

LLC,

7.50%,

11/15/27

(c)

..

3,359

3,493,360

237,107,637

Health

Care

Equipment

&

Supplies

—

0.8%

Avantor

Funding,

Inc.

2.63%,

11/01/25

(b)

................

EUR

5,701

5,934,102

3.88%,

07/15/28

(b)

................

1,235

1,245,603

4.63%,

07/15/28

(c)

................

USD

27,310

25,876,225

3.88%,

11/01/29

(c)

................

15,639

13,996,905

Embecta

Corp.,

6.75%,

02/15/30

(c)

......

4,499

4,094,090

Garden

Spinco

Corp.,

8.63%,

07/20/30

(c)

...

11,428

12,209,968

Medline

Borrower

LP

(c)

3.88%,

04/01/29

.................

25,728

22,319,040

5.25%,

10/01/29

.................

68,815

59,704,754

Teleflex,

Inc.

4.63%,

11/15/27

.................

3,408

3,328,849

4.25%,

06/01/28

(c)

................

3,023

2,874,616

151,584,152

Health

Care

Providers

&

Services

—

2.6%

Acadia

Healthcare

Co.,

Inc.

(c)

5.50%,

07/01/28

.................

3,633

3,519,469

5.00%,

04/15/29

.................

3,136

2,947,840

AdaptHealth

LLC

(c)

6.13%,

08/01/28

.................

2,859

2,624,991

5.13%,

03/01/30

.................

3,371

2,859,704

AHP

Health

Partners,

Inc.,

5.75%,

07/15/29

(c)

20,497

17,217,480

Cano

Health

LLC,

6.25%,

10/01/28

(c)

.....

5,520

3,022,200

Centene

Corp.

2.45%,

07/15/28

.................

7,443

6,475,410

3.00%,

10/15/30

.................

46,398

39,070,875

2.50%,

03/01/31

.................

39,426

31,927,175

2.63%,

08/01/31

.................

4,896

3,967,278

Community

Health

Systems,

Inc.

(c)

5.63%,

03/15/27

.................

18,483

16,225,856

6.00%,

01/15/29

.................

26,175

22,140,909

5.25%,

05/15/30

.................

27,299

21,414,701

4.75%,

02/15/31

.................

14,663

10,825,253

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

55

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Health

Care

Providers

&

Services

(continued)

Encompass

Health

Corp.

4.50%,

02/01/28

.................

USD

1,364

$

1,271,371

4.75%,

02/01/30

.................

25,410

23,102,645

4.63%,

04/01/31

.................

12,889

11,259,121

HCA,

Inc.,

4.63%,

03/15/52

(c)

..........

10,010

8,311,223

HealthEquity,

Inc.,

4.50%,

10/01/29

(c)

.....

33,997

30,205,265

Korian

SA,

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

9.08%),

4.13%

(a)(b)(k)

GBP

2,500

2,405,520

Legacy

LifePoint

Health

LLC

(c)

6.75%,

04/15/25

.................

USD

18,442

17,500,720

4.38%,

02/15/27

.................

6,982

5,710,328

ModivCare,

Inc.,

5.88%,

11/15/25

(c)

......

7,840

7,516,600

Molina

Healthcare,

Inc.

(c)

4.38%,

06/15/28

.................

8,312

7,732,570

3.88%,

11/15/30

.................

5,310

4,633,068

3.88%,

05/15/32

.................

6,274

5,272,677

Option

Care

Health,

Inc.,

4.38%,

10/31/29

(c)

.

12,986

11,467,803

Surgery

Center

Holdings,

Inc.

(c)

6.75%,

07/01/25

.................

18,239

18,043,814

10.00%,

04/15/27

................

13,098

13,354,790

Tenet

Healthcare

Corp.

4.63%,

07/15/24

.................

3,502

3,454,443

4.63%,

09/01/24

.................

11,186

10,988,714

4.88%,

01/01/26

.................

32,373

31,737,194

6.25%,

02/01/27

.................

18,739

18,427,745

5.13%,

11/01/27

.................

12,858

12,344,332

4.63%,

06/15/28

.................

923

851,338

6.13%,

10/01/28

.................

2,508

2,403,717

4.25%,

06/01/29

.................

2,479

2,242,776

4.38%,

01/15/30

.................

4,042

3,627,695

6.13%,

06/15/30

(c)

................

28,973

28,581,865

466,686,475

Health

Care

REITs

—

0.3%

MPT

Operating

Partnership

LP

2.55%,

12/05/23

.................

GBP

5,455

6,367,252

3.33%,

03/24/25

.................

EUR

651

585,536

0.99%,

10/15/26

.................

379

276,303

4.63%,

08/01/29

.................

USD

28,752

21,240,540

3.50%,

03/15/31

.................

44,566

30,001,831

58,471,462

Health

Care

Technology

—

0.1%

IQVIA,

Inc.

1.75%,

03/15/26

(b)

................

EUR

2,964

2,990,925

5.00%,

10/15/26

(c)

................

USD

10,786

10,543,315

5.00%,

05/15/27

(c)

................

2,717

2,669,697

2.25%,

03/15/29

(b)

................

EUR

600

553,095

16,757,032

Hotel

&

Resort

REITs

—

0.2%

RHP

Hotel

Properties

LP

4.75%,

10/15/27

.................

USD

28,110

26,344,622

4.50%,

02/15/29

(c)

................

10,358

9,356,174

RLJ

Lodging

Trust

LP

(c)

3.75%,

07/01/26

.................

3,645

3,336,641

4.00%,

09/15/29

.................

4,143

3,459,914

42,497,351

Hotels,

Restaurants

&

Leisure

—

6.3%

1011778

BC

ULC

(c)

5.75%,

04/15/25

.................

4,262

4,277,535

3.88%,

01/15/28

.................

6,368

5,922,240

4.38%,

01/15/28

.................

13,148

12,137,576

4.00%,

10/15/30

.................

8,537

7,320,478

Accor

SA,

0.70%,

12/07/27

(b)(m)

.........

EUR

2,453

1,197,507

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

Aramark

International

Finance

SARL,

3.13%,

04/01/25

(b)

....................

EUR

7,876

$

8,261,428

Boyd

Gaming

Corp.

4.75%,

12/01/27

.................

USD

6,842

6,562,162

4.75%,

06/15/31

(c)

................

8,988

8,162,902

Boyne

USA,

Inc.,

4.75%,

05/15/29

(c)

.....

20,030

17,882,273

Caesars

Entertainment,

Inc.

(c)

6.25%,

07/01/25

.................

68,977

68,980,225

8.13%,

07/01/27

.................

61,830

63,066,600

4.63%,

10/15/29

.................

51,771

45,273,740

7.00%,

02/15/30

.................

70,431

71,663,542

Caesars

Resort

Collection

LLC,

5.75%,

07/01/25

(c)

....................

6,345

6,346,357

Carnival

Corp.

10.13%,

02/01/26

(b)

...............

EUR

2,776

3,161,101

10.50%,

02/01/26

(c)

...............

USD

29,019

30,235,476

7.63%,

03/01/26

(c)

................

5,263

4,802,487

7.63%,

03/01/26

(b)

................

EUR

1,009

973,892

5.75%,

03/01/27

(c)

................

USD

54,148

44,419,229

9.88%,

08/01/27

(c)

................

17,271

17,790,771

4.00%,

08/01/28

(c)

................

21,246

18,289,194

6.00%,

05/01/29

(c)

................

28,005

22,263,975

Carnival

Holdings

Bermuda

Ltd.,

10.38%,

05/01/28

(c)

....................

110,927

119,330,830

CCM

Merger,

Inc.,

6.38%,

05/01/26

(c)

.....

13,107

12,797,151

CDI

Escrow

Issuer,

Inc.,

5.75%,

04/01/30

(c)

.

33,754

32,600,963

Cedar

Fair

LP

5.50%,

05/01/25

(c)

................

11,410

11,402,812

5.38%,

04/15/27

.................

2,031

1,940,952

6.50%,

10/01/28

.................

3,917

3,800,352

5.25%,

07/15/29

.................

1,701

1,585,842

Churchill

Downs,

Inc.

(c)

5.50%,

04/01/27

.................

23,359

22,870,447

4.75%,

01/15/28

.................

24,344

22,796,330

Cirsa

Finance

International

SARL,

4.75%,

05/22/25

(b)

....................

EUR

1,557

1,629,467

Codere

Finance

2

Luxembourg

SA

(j)

11.00%,

(11.00%

Cash

or

11.00%

PIK),

09/30/26

(b)(e)

..................

1,356

1,267,807

2.00%,

(2.00%

Cash

or

13.63%

PIK),

11/30/27

(a)(c)

..................

USD

350

146,559

12.75%,

(12.75%

Cash

or

12.75%

PIK),

11/30/27

(a)(b)

..................

EUR

672

292,032

CPUK

Finance

Ltd.

(b)

4.88%,

08/28/25

.................

GBP

1,750

2,042,764

4.50%,

08/28/27

.................

200

207,635

Elior

Group

SA,

3.75%,

07/15/26

(b)

......

EUR

540

510,683

Fertitta

Entertainment

LLC

(c)

4.63%,

01/15/29

.................

USD

1,463

1,284,075

6.75%,

01/15/30

.................

2,788

2,293,771

Hilton

Domestic

Operating

Co.,

Inc.

5.38%,

05/01/25

(c)

................

5,562

5,551,571

5.75%,

05/01/28

(c)

................

9,971

9,971,000

3.75%,

05/01/29

(c)

................

7,595

6,797,525

4.88%,

01/15/30

.................

15,081

14,445,487

4.00%,

05/01/31

(c)

................

2,177

1,906,399

3.63%,

02/15/32

(c)

................

7,490

6,319,687

Hilton

Worldwide

Finance

LLC,

4.88%,

04/01/27

.....................

2,120

2,091,210

Inter

Media

&

Communication

SpA,

6.75%,

02/09/27

(b)

....................

EUR

1,390

1,406,456

IRB

Holding

Corp.,

7.00%,

06/15/25

(c)

....

USD

7,718

7,741,463

KFC

Holding

Co.,

4.75%,

06/01/27

(c)

.....

2,000

1,942,500

Life

Time,

Inc.

(c)

5.75%,

01/15/26

.................

17,707

17,201,023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

56

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

8.00%,

04/15/26

.................

USD

13,619

$

12,991,300

Lindblad

Expeditions

LLC,

6.75%,

02/15/27

(c)

17,701

17,136,250

Lottomatica

SpA

(b)

5.13%,

07/15/25

.................

EUR

400

427,293

6.25%,

07/15/25

.................

2,472

2,670,831

9.75%,

09/30/27

.................

1,035

1,188,339

MajorDrive

Holdings

IV

LLC,

6.38%,

06/01/29

(c)

USD

10,924

8,088,449

Melco

Resorts

Finance

Ltd.

(c)

4.88%,

06/06/25

.................

1,356

1,267,012

5.75%,

07/21/28

.................

2,800

2,368,800

5.38%,

12/04/29

.................

12,000

9,810,000

Merlin

Entertainments

Ltd.,

5.75%,

06/15/26

(c)

15,847

15,030,490

MGM

Resorts

International,

5.75%,

06/15/25

744

742,209

Midwest

Gaming

Borrower

LLC,

4.88%,

05/01/29

(c)

....................

12,007

10,438,089

Motion

Bondco

DAC,

6.63%,

11/15/27

(c)

...

4,784

4,414,303

NCL

Corp.

Ltd.

(c)

3.63%,

12/15/24

.................

1,448

1,346,640

5.88%,

03/15/26

.................

16,375

13,936,435

8.38%,

02/01/28

.................

7,856

7,882,927

7.75%,

02/15/29

.................

2,548

2,184,744

NCL

Finance

Ltd.,

6.13%,

03/15/28

(c)

.....

8,852

7,172,244

Premier

Entertainment

Sub

LLC

(c)

5.63%,

09/01/29

.................

5,317

3,924,531

5.88%,

09/01/31

.................

5,871

4,220,368

Raptor

Acquisition

Corp.,

4.88%,

11/01/26

(c)

.

9,076

8,440,680

Royal

Caribbean

Cruises

Ltd.

(c)

11.50%,

06/01/25

................

10,107

10,776,842

4.25%,

07/01/26

.................

4,604

4,132,090

5.50%,

08/31/26

.................

8,901

8,327,330

5.38%,

07/15/27

.................

8,648

7,702,774

11.63%,

08/15/27

................

11,332

12,171,078

5.50%,

04/01/28

.................

4,489

3,963,271

8.25%,

01/15/29

.................

11,137

11,650,694

9.25%,

01/15/29

.................

22,642

24,057,125

7.25%,

01/15/30

.................

15,773

15,871,581

Scientific

Games

International,

Inc.

(c)

8.63%,

07/01/25

.................

8,429

8,629,189

7.00%,

05/15/28

.................

8,053

7,972,470

7.25%,

11/15/29

.................

4,781

4,790,227

Six

Flags

Theme

Parks,

Inc.,

7.00%,

07/01/25

(c)

7,275

7,350,187

Station

Casinos

LLC

(c)

4.50%,

02/15/28

.................

11,401

10,289,402

4.63%,

12/01/31

.................

11,586

9,784,377

Stonegate

Pub

Co.

Financing

plc,

8.00%,

07/13/25

(b)

....................

GBP

2,291

2,592,939

Vail

Resorts,

Inc.,

6.25%,

05/15/25

(c)

.....

USD

10,406

10,430,347

Viking

Ocean

Cruises

Ship

VII

Ltd.,

5.63%,

02/15/29

(c)

....................

8,628

7,405,628

Wyndham

Hotels

&

Resorts,

Inc.,

4.38%,

08/15/28

(c)

....................

3,416

3,146,930

Wynn

Resorts

Finance

LLC

(c)

5.13%,

10/01/29

.................

34,566

31,398,372

7.13%,

02/15/31

.................

15,137

15,354,518

Yum!

Brands,

Inc.,

4.75%,

01/15/30

(c)

.....

1,103

1,053,795

1,137,698,583

Household

Durables

—

0.7%

Ashton

Woods

USA

LLC

(c)

6.63%,

01/15/28

.................

1,575

1,427,955

4.63%,

08/01/29

.................

4,879

3,951,990

4.63%,

04/01/30

.................

5,214

4,293,051

Brookfield

Residential

Properties,

Inc.

(c)

5.00%,

06/15/29

.................

12,607

9,644,355

4.88%,

02/15/30

.................

12,851

9,691,582

CD&R

Smokey

Buyer,

Inc.,

6.75%,

07/15/25

(c)

13,315

11,417,612

Security

Par

(000)

Par

(000)

Value

Household

Durables

(continued)

Installed

Building

Products,

Inc.,

5.75%,

02/01/28

(c)

....................

USD

6,390

$

5,884,306

K.

Hovnanian

Enterprises,

Inc.,

7.75%,

02/15/26

(c)

....................

13,640

13,367,200

KB

Home,

7.25%,

07/15/30

...........

3,904

3,959,582

Mattamy

Group

Corp.

(c)

5.25%,

12/15/27

.................

8,399

7,905,559

4.63%,

03/01/30

.................

6,067

5,276,960

Meritage

Homes

Corp.,

5.13%,

06/06/27

...

2,751

2,675,348

SWF

Escrow

Issuer

Corp.,

6.50%,

10/01/29

(c)

22,509

13,843,035

Taylor

Morrison

Communities,

Inc.

(c)

5.88%,

06/15/27

.................

7,382

7,241,961

5.13%,

08/01/30

.................

4,190

3,867,695

Tempur

Sealy

International,

Inc.

(c)

4.00%,

04/15/29

.................

9,341

8,218,025

3.88%,

10/15/31

.................

4,959

4,140,765

TRI

Pointe

Homes,

Inc.

5.25%,

06/01/27

.................

4,958

4,710,100

5.70%,

06/15/28

.................

3,737

3,595,741

125,112,822

Household

Products

—

0.1%

Central

Garden

&

Pet

Co.

5.13%,

02/01/28

.................

3,050

2,935,625

4.13%,

10/15/30

.................

6,992

6,178,131

4.13%,

04/30/31

(c)

................

9,077

7,837,627

Spectrum

Brands,

Inc.

5.75%,

07/15/25

.................

61

60,218

5.00%,

10/01/29

(c)

................

3,830

3,323,951

3.88%,

03/15/31

(c)

................

3,450

2,821,468

23,157,020

Independent

Power

and

Renewable

Electricity

Producers

—

0.3%

Calpine

Corp.

(c)

5.25%,

06/01/26

.................

1,197

1,166,956

5.13%,

03/15/28

.................

24,391

22,331,675

4.63%,

02/01/29

.................

629

543,027

5.00%,

02/01/31

.................

1,528

1,293,479

Clearway

Energy

Operating

LLC

(c)

4.75%,

03/15/28

.................

7,023

6,706,965

3.75%,

01/15/32

.................

18,429

15,315,995

TransAlta

Corp.,

7.75%,

11/15/29

.......

5,511

5,791,427

53,149,524

Insurance

—

3.0%

Acrisure

LLC,

6.00%,

08/01/29

(c)

........

9,864

8,150,834

Alliant

Holdings

Intermediate

LLC

(c)

4.25%,

10/15/27

.................

70,322

62,986,712

6.75%,

10/15/27

.................

122,841

113,935,027

6.75%,

04/15/28

.................

35,622

35,221,253

5.88%,

11/01/29

.................

80,753

68,098,428

AmWINS

Group,

Inc.,

4.88%,

06/30/29

(c)

...

14,774

13,074,990

Ardonagh

Midco

2

plc,

11.50%,

(11.50%

Cash

or

12.75%

PIK),

01/15/27

(c)(j)

.........

7,649

6,960,877

BUPA

Finance

plc,

(5-Year

U.K.

Government

Bonds

Note

Generic

Bid

Yield

+

3.17%),

4.00%

(a)(b)(k)

...................

GBP

700

552,696

Galaxy

Bidco

Ltd.,

6.50%,

07/31/26

(b)

.....

1,910

2,108,777

GTCR

AP

Finance,

Inc.,

8.00%,

05/15/27

(c)

.

USD

8,330

7,949,269

HUB

International

Ltd.

(c)

7.00%,

05/01/26

.................

44,456

43,691,700

5.63%,

12/01/29

.................

3,315

2,888,276

Jones

Deslauriers

Insurance

Management,

Inc.

(c)

8.50%,

03/15/30

.................

15,211

15,765,745

10.50%,

12/15/30

................

16,341

16,458,780

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

57

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Insurance

(continued)

Liberty

Mutual

Group,

Inc.,

(5-Year

EUR

Swap

Annual

+

3.70%),

3.63%,

05/23/59

(a)(b)

...

EUR

1,870

$

1,855,634

NFP

Corp.

(c)

4.88%,

08/15/28

.................

USD

36,205

32,656,910

6.88%,

08/15/28

.................

101,696

87,269,406

7.50%,

10/01/30

.................

6,736

6,508,525

Ryan

Specialty

Group

LLC,

4.38%,

02/01/30

(c)

10,414

9,105,769

535,239,608

IT

Services

—

1.0%

Acuris

Finance

US,

Inc.,

5.00%,

05/01/28

(c)

.

29,161

22,891,385

Ahead

DB

Holdings

LLC,

6.63%,

05/01/28

(c)

.

9,671

8,008,962

Arches

Buyer,

Inc.,

4.25%,

06/01/28

(c)

....

1,505

1,257,804

Atos

SE

(b)

0.00%,

11/06/24

(m)(n)

..............

EUR

800

734,547

1.75%,

05/07/25

.................

1,300

1,252,731

2.50%,

11/07/28

.................

1,100

900,856

Booz

Allen

Hamilton,

Inc.

(c)

3.88%,

09/01/28

.................

USD

8,098

7,389,749

4.00%,

07/01/29

.................

15,104

13,630,053

CA

Magnum

Holdings,

5.38%,

10/31/26

(c)

..

32,633

28,798,623

Cablevision

Lightpath

LLC

(c)

3.88%,

09/15/27

.................

8,260

6,647,070

5.63%,

09/15/28

.................

6,738

4,649,557

Gartner,

Inc.

(c)

4.50%,

07/01/28

.................

8,864

8,413,709

3.63%,

06/15/29

.................

3,574

3,189,098

ION

Trading

Technologies

SARL,

5.75%,

05/15/28

(c)

....................

9,886

7,895,652

Northwest

Fiber

LLC

(c)

4.75%,

04/30/27

.................

13,961

11,927,248

6.00%,

02/15/28

.................

1,758

1,300,725

Presidio

Holdings,

Inc.,

4.88%,

02/01/27

(c)

..

2,724

2,603,163

Tempo

Acquisition

LLC,

5.75%,

06/01/25

(c)

.

20,514

20,339,449

Twilio,

Inc.

3.63%,

03/15/29

.................

7,443

6,419,587

3.88%,

03/15/31

.................

18,940

16,070,969

United

Group

BV,

4.88%,

07/01/24

(b)

.....

EUR

745

783,919

175,104,856

Leisure

Products

—

0.2%

Mattel,

Inc.

3.38%,

04/01/26

(c)

................

USD

1,800

1,694,403

3.75%,

04/01/29

(c)

................

2,954

2,654,095

6.20%,

10/01/40

.................

12,474

11,234,460

5.45%,

11/01/41

.................

22,266

18,748,083

34,331,041

Life

Sciences

Tools

&

Services

—

0.2%

(c)

Charles

River

Laboratories

International,

Inc.

4.25%,

05/01/28

.................

3,643

3,409,429

4.00%,

03/15/31

.................

3,131

2,739,607

PRA

Health

Sciences,

Inc.,

2.88%,

07/15/26

21,234

19,586,454

25,735,490

Machinery

—

1.4%

Amsted

Industries,

Inc.,

5.63%,

07/01/27

(c)

.

10,691

10,396,998

ATS

Corp.,

4.13%,

12/15/28

(c)

.........

5,818

5,160,042

Chart

Industries,

Inc.

(c)

7.50%,

01/01/30

.................

37,452

38,696,156

9.50%,

01/01/31

.................

4,621

4,875,155

EnPro

Industries,

Inc.,

5.75%,

10/15/26

...

5,448

5,298,180

GrafTech

Finance,

Inc.,

4.63%,

12/15/28

(c)

..

9,037

7,535,593

Husky

III

Holding

Ltd.,

13.00%,

(13.00%

Cash

or

13.75%

PIK),

02/15/25

(c)(j)

.........

19,436

16,423,420

IMA

Industria

Macchine

Automatiche

SpA,

3.75%,

01/15/28

(b)

...............

EUR

1,230

1,168,786

Security

Par

(000)

Par

(000)

Value

Machinery

(continued)

Mueller

Water

Products,

Inc.,

4.00%,

06/15/29

(c)

USD

3,374

$

3,013,901

Novafives

SAS,

5.00%,

06/15/25

(b)

......

EUR

1,000

949,046

OT

Merger

Corp.,

7.88%,

10/15/29

(c)

.....

USD

7,687

4,535,582

Renk

AG,

5.75%,

07/15/25

(b)

..........

EUR

621

658,258

Roller

Bearing

Co.

of

America,

Inc.,

4.38%,

10/15/29

(c)

....................

USD

7,964

7,111,135

Terex

Corp.,

5.00%,

05/15/29

(c)

........

19,771

18,397,113

Titan

Acquisition

Ltd.,

7.75%,

04/15/26

(c)

...

33,584

28,126,600

Titan

International,

Inc.,

7.00%,

04/30/28

..

4,434

3,995,167

TK

Elevator

Holdco

GmbH,

7.63%,

07/15/28

(c)

13,812

11,936,867

TK

Elevator

Midco

GmbH

4.38%,

07/15/27

(b)

................

EUR

8,054

7,882,943

TK

Elevator

US

Newco,

Inc.,

5.25%,

07/15/27

(c)

USD

68,690

64,850,229

Wabash

National

Corp.,

4.50%,

10/15/28

(c)

.

12,338

10,696,652

251,707,823

Marine

Transportation

—

0.0%

Danaos

Corp.,

8.50%,

03/01/28

(c)

.......

2,242

2,177,465

Media

—

4.7%

Adelphia

Communications

Corp.,

Escrow,

Series

B,

10.50%,

12/31/49

(d)(f)(l)

.......

800

—

Altice

Financing

SA

2.25%,

01/15/25

(b)

................

EUR

1,601

1,632,097

3.00%,

01/15/28

(b)

................

949

819,394

5.00%,

01/15/28

(c)

................

USD

13,351

10,857,033

4.25%,

08/15/29

(b)

................

EUR

1,932

1,681,207

5.75%,

08/15/29

(c)

................

USD

71,670

56,977,650

AMC

Networks,

Inc.

4.75%,

08/01/25

.................

5,644

5,005,325

4.25%,

02/15/29

.................

4,970

3,055,606

Block

Communications,

Inc.,

4.88%,

03/01/28

(c)

4,483

3,873,688

Cable

One,

Inc.

0.00%,

03/15/26

(m)(n)

..............

5,319

4,196,691

1.13%,

03/15/28

(m)

...............

16,595

12,130,945

4.00%,

11/15/30

(c)

................

23,303

18,967,958

Century

Communications

Corp.

Escrow,

0.00%,

12/31/49

(d)(f)(l)

..................

625

—

Charter

Communications

Operating

LLC

4.40%,

04/01/33

.................

3,737

3,316,256

5.50%,

04/01/63

.................

8,569

6,953,579

Clear

Channel

International

BV,

6.63%,

08/01/25

(c)

....................

25,126

24,449,674

Clear

Channel

Outdoor

Holdings,

Inc.

(c)

5.13%,

08/15/27

.................

70,231

63,032,323

7.75%,

04/15/28

.................

46,348

34,761,000

7.50%,

06/01/29

.................

46,052

32,729,156

CMG

Media

Corp.,

8.88%,

12/15/27

(c)

....

19,126

14,459,256

CSC

Holdings

LLC

5.25%,

06/01/24

.................

15,360

14,822,400

5.50%,

04/15/27

(c)

................

22,945

19,321,985

4.13%,

12/01/30

(c)

................

56,446

40,538,953

3.38%,

02/15/31

(c)

................

11,899

8,229,943

4.50%,

11/15/31

(c)

................

38,239

27,570,701

DirecTV

Financing

LLC,

5.88%,

08/15/27

(c)

.

10,337

9,362,221

DISH

DBS

Corp.

5.25%,

12/01/26

(c)

................

73,247

58,443,415

5.75%,

12/01/28

(c)

................

31,997

23,877,761

5.13%,

06/01/29

.................

16,871

8,983,808

DISH

Network

Corp.,

11.75%,

11/15/27

(c)

..

38,048

36,906,560

GCI

LLC,

4.75%,

10/15/28

(c)

..........

4,436

3,827,070

LCPR

Senior

Secured

Financing

DAC,

6.75%,

10/15/27

(c)

....................

24,241

22,895,624

Midcontinent

Communications,

5.38%,

08/15/27

(c)

....................

7,651

6,924,155

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

58

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Media

(continued)

Outfront

Media

Capital

LLC

(c)

5.00%,

08/15/27

.................

USD

21,316

$

19,202,092

4.25%,

01/15/29

.................

17,833

14,801,390

4.63%,

03/15/30

.................

9,353

7,800,106

Radiate

Holdco

LLC

(c)

4.50%,

09/15/26

.................

17,765

13,901,112

6.50%,

09/15/28

.................

65,984

27,053,440

SES

SA

(a)(b)(k)

(5-Year

EUR

Swap

Annual

+

5.40%),

5.63%

EUR

1,200

1,272,118

(5-Year

EUR

Swap

Annual

+

3.19%),

2.88%

1,000

878,445

Sinclair

Television

Group,

Inc.,

4.13%,

12/01/30

(c)

....................

USD

38,743

31,236,544

Sirius

XM

Radio,

Inc.

(c)

3.13%,

09/01/26

.................

23,577

21,266,454

5.00%,

08/01/27

.................

44,845

41,984,338

4.00%,

07/15/28

.................

4,926

4,231,138

Stagwell

Global

LLC,

5.63%,

08/15/29

(c)

...

4,853

4,255,776

Summer

BC

Holdco

B

SARL,

5.75%,

10/31/26

(b)

....................

EUR

3,351

3,161,719

Summer

BidCo

BV

(b)(j)

9.00%,

(9.00%

Cash

or

9.75%

PIK),

11/15/25

(a)

...................

1,071

852,239

9.00%,

(9.00%

Cash

or

9.75%

PIK),

11/15/25

....................

1,282

1,023,104

TEGNA,

Inc.,

4.75%,

03/15/26

(c)

........

USD

2,499

2,370,556

Tele

Columbus

AG,

3.88%,

05/02/25

(b)

....

EUR

2,890

2,325,580

Telenet

Finance

Luxembourg

Notes

SARL,

5.50%,

03/01/28

(c)

...............

USD

5,200

4,784,000

Univision

Communications,

Inc.

(c)

5.13%,

02/15/25

.................

7,513

7,379,118

6.63%,

06/01/27

.................

10,022

9,502,860

7.38%,

06/30/30

.................

10,863

10,270,315

UPC

Broadband

Finco

BV,

4.88%,

07/15/31

(c)

10,224

8,841,000

Virgin

Media

Vendor

Financing

Notes

III

DAC,

4.88%,

07/15/28

(b)

...............

GBP

2,473

2,588,848

Virgin

Media

Vendor

Financing

Notes

IV

DAC,

5.00%,

07/15/28

(c)

...............

USD

23,420

20,814,525

VZ

Secured

Financing

BV,

3.50%,

01/15/32

(b)

EUR

1,737

1,498,676

VZ

Vendor

Financing

II

BV,

2.88%,

01/15/29

(b)

857

740,048

Ziggo

Bond

Co.

BV

(c)

6.00%,

01/15/27

.................

USD

3,625

3,344,461

5.13%,

02/28/30

.................

3,680

2,958,923

Ziggo

BV

2.88%,

01/15/30

(b)

................

EUR

500

444,645

4.88%,

01/15/30

(c)

................

USD

2,105

1,794,512

853,181,516

Metals

&

Mining

—

2.3%

Arconic

Corp.

(c)

6.00%,

05/15/25

.................

1,118

1,118,000

6.13%,

02/15/28

.................

21,439

21,089,702

ATI,

Inc.

5.88%,

12/01/27

.................

9,526

9,305,949

4.88%,

10/01/29

.................

7,847

7,141,179

5.13%,

10/01/31

.................

13,354

12,152,140

Big

River

Steel

LLC,

6.63%,

01/31/29

(c)

...

74,350

73,781,966

Carpenter

Technology

Corp.

6.38%,

07/15/28

.................

4,372

4,264,480

7.63%,

03/15/30

.................

22,223

22,986,249

Commercial

Metals

Co.

4.13%,

01/15/30

.................

2,203

1,944,491

4.38%,

03/15/32

.................

2,746

2,362,179

Constellium

SE

4.25%,

02/15/26

(b)

................

EUR

5,607

5,899,827

5.88%,

02/15/26

(c)

................

USD

11,277

11,289,405

5.63%,

06/15/28

(c)

................

20,260

19,125,966

Security

Par

(000)

Par

(000)

Value

Metals

&

Mining

(continued)

3.75%,

04/15/29

(c)

................

USD

45,390

$

39,317,272

ERO

Copper

Corp.,

6.50%,

02/15/30

(c)

....

11,155

9,711,822

Kaiser

Aluminum

Corp.

(c)

4.63%,

03/01/28

.................

10,412

9,266,904

4.50%,

06/01/31

.................

18,557

15,239,194

New

Gold,

Inc.,

7.50%,

07/15/27

(c)

......

18,535

17,841,235

Novelis

Corp.

(c)

3.25%,

11/15/26

.................

50,130

45,812,053

4.75%,

01/30/30

.................

36,776

33,789,605

3.88%,

08/15/31

.................

36,793

30,988,536

Novelis

Sheet

Ingot

GmbH,

3.38%,

04/15/29

(b)

EUR

13,100

12,352,005

Vedanta

Resources

Finance

II

plc,

8.95%,

03/11/25

(c)

....................

USD

6,297

3,841,170

410,621,329

Mortgage

Real

Estate

Investment

Trusts

(REITs)

—

0.1%

(c)

Ladder

Capital

Finance

Holdings

LLLP

5.25%,

10/01/25

.................

2,449

2,154,618

4.25%,

02/01/27

.................

2,906

2,295,740

4.75%,

06/15/29

.................

2,924

2,113,555

Starwood

Property

Trust,

Inc.

5.50%,

11/01/23

.................

2,231

2,235,194

3.75%,

12/31/24

.................

5,000

4,606,669

4.38%,

01/15/27

.................

5,032

4,158,747

17,564,523

Oil,

Gas

&

Consumable

Fuels

—

11.1%

Aethon

United

BR

LP,

8.25%,

02/15/26

(c)

...

44,689

43,849,741

Antero

Midstream

Partners

LP

(c)

5.75%,

03/01/27

.................

6,650

6,497,183

5.38%,

06/15/29

.................

11,538

10,858,880

Antero

Resources

Corp.,

7.63%,

02/01/29

(c)

.

3,969

4,058,302

Apache

Corp.

4.25%,

01/15/30

.................

7,361

6,716,912

5.10%,

09/01/40

.................

12,153

10,299,668

5.35%,

07/01/49

.................

13,072

10,102,544

Ascent

Resources

Utica

Holdings

LLC

9.00%,

11/01/27

(c)

................

41,470

50,375,977

9.00%,

11/01/27

(b)

................

215

261,173

8.25%,

12/31/28

(c)

................

1,027

993,345

5.88%,

06/30/29

(c)

................

9,527

8,407,578

Buckeye

Partners

LP

4.13%,

03/01/25

(c)

................

361

341,476

5.85%,

11/15/43

.................

5,448

4,113,730

5.60%,

10/15/44

.................

5,428

3,843,797

Callon

Petroleum

Co.

8.25%,

07/15/25

.................

2,508

2,490,441

6.38%,

07/01/26

.................

17,450

16,577,500

8.00%,

08/01/28

(c)

................

44,319

43,906,834

7.50%,

06/15/30

(c)

................

42,306

39,767,640

Cheniere

Energy

Partners

LP

4.50%,

10/01/29

.................

29,874

27,753,265

4.00%,

03/01/31

.................

35,672

31,745,940

3.25%,

01/31/32

.................

41,685

34,436,812

Chesapeake

Energy

Corp.,

6.75%,

04/15/29

(c)

25,459

25,274,677

CITGO

Petroleum

Corp.

(c)

7.00%,

06/15/25

.................

12,750

12,579,150

6.38%,

06/15/26

.................

19,872

19,375,200

Civitas

Resources,

Inc.,

5.00%,

10/15/26

(c)

.

5,912

5,557,346

CNX

Midstream

Partners

LP,

4.75%,

04/15/30

(c)

6,886

5,921,960

CNX

Resources

Corp.

(c)

6.00%,

01/15/29

.................

4,872

4,555,320

7.38%,

01/15/31

.................

12,928

12,734,080

Comstock

Resources,

Inc.

(c)

6.75%,

03/01/29

.................

36,411

33,317,522

5.88%,

01/15/30

.................

36,870

31,676,779

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

59

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

CQP

Holdco

LP,

5.50%,

06/15/31

(c)

......

USD

54,302

$

48,809,353

Crescent

Energy

Finance

LLC

(c)

7.25%,

05/01/26

.................

35,182

33,071,080

9.25%,

02/15/28

.................

16,019

15,358,216

Crestwood

Midstream

Partners

LP

(c)

5.63%,

05/01/27

.................

3,801

3,661,921

6.00%,

02/01/29

.................

17,014

16,197,158

8.00%,

04/01/29

.................

2,867

2,924,340

7.38%,

02/01/31

.................

5,684

5,684,000

CrownRock

LP

(c)

5.63%,

10/15/25

.................

43,542

42,673,718

5.00%,

05/01/29

.................

5,169

4,815,492

Cullinan

Holdco

SCSp,

4.63%,

10/15/26

(b)

..

EUR

1,818

1,730,295

DCP

Midstream

Operating

LP

(c)

6.45%,

11/03/36

.................

USD

7,688

7,973,532

6.75%,

09/15/37

.................

7,679

8,329,642

Diamondback

Energy,

Inc.

6.25%,

03/15/33

.................

24,107

25,475,745

4.25%,

03/15/52

.................

16,924

13,278,142

DT

Midstream,

Inc.

(c)

4.13%,

06/15/29

.................

15,216

13,339,904

4.38%,

06/15/31

.................

14,138

12,316,884

Earthstone

Energy

Holdings

LLC,

8.00%,

04/15/27

(c)

....................

18,732

18,176,180

El

Paso

Natural

Gas

Co.

LLC,

3.50%,

02/15/32

(c)

....................

8,292

7,126,320

Energy

Transfer

LP

Series

H,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.69%),

6.50%

(a)(k)

....................

30,369

26,724,720

3.75%,

05/15/30

.................

8,007

7,388,945

5.30%,

04/15/47

.................

6,715

5,884,251

5.00%,

05/15/50

.................

29,337

25,039,959

EnLink

Midstream

LLC

5.63%,

01/15/28

(c)

................

19,999

19,599,020

5.38%,

06/01/29

.................

10,779

10,374,788

6.50%,

09/01/30

(c)

................

12,863

13,007,194

EnLink

Midstream

Partners

LP

4.15%,

06/01/25

.................

150

145,498

4.85%,

07/15/26

.................

1,658

1,595,825

5.60%,

04/01/44

.................

9,729

7,940,518

5.45%,

06/01/47

.................

3,656

2,913,759

EnQuest

plc,

11.63%,

11/01/27

(c)

.......

718

664,978

EQM

Midstream

Partners

LP

6.00%,

07/01/25

(c)

................

7,539

7,452,980

4.13%,

12/01/26

.................

1,043

947,190

6.50%,

07/01/27

(c)

................

10,727

10,397,467

4.50%,

01/15/29

(c)

................

1,431

1,216,350

7.50%,

06/01/30

(c)

................

4,802

4,651,937

4.75%,

01/15/31

(c)

................

11,271

9,354,930

Genesis

Energy

LP

6.50%,

10/01/25

.................

5,442

5,271,383

8.00%,

01/15/27

.................

922

911,729

7.75%,

02/01/28

.................

4,266

4,136,179

8.88%,

04/15/30

.................

8,088

8,189,100

Gulfport

Energy

Corp.,

8.00%,

05/17/26

(c)

..

2,222

2,199,285

Harbour

Energy

plc,

5.50%,

10/15/26

(c)

....

5,192

4,543,000

Harvest

Midstream

I

LP,

7.50%,

09/01/28

(c)

.

1,866

1,860,999

Hess

Midstream

Operations

LP,

4.25%,

02/15/30

(c)

....................

13,308

11,885,375

Hilcorp

Energy

I

LP

(c)

6.25%,

11/01/28

.................

7,517

7,133,550

5.75%,

02/01/29

.................

16,055

14,779,354

6.00%,

02/01/31

.................

2,002

1,843,319

ITT

Holdings

LLC,

6.50%,

08/01/29

(c)

.....

20,728

17,501,065

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

Kinder

Morgan,

Inc.,

4.80%,

02/01/33

....

USD

6,786

$

6,547,310

Kinetik

Holdings

LP,

5.88%,

06/15/30

(c)

....

30,964

29,802,850

Magnolia

Oil

&

Gas

Operating

LLC,

6.00%,

08/01/26

(c)

....................

1,879

1,827,046

Matador

Resources

Co.,

5.88%,

09/15/26

..

14,186

13,996,191

MPLX

LP,

4.95%,

03/14/52

...........

17,393

15,117,625

Murphy

Oil

Corp.

5.75%,

08/15/25

.................

373

368,372

5.88%,

12/01/27

.................

3,769

3,670,755

6.13%,

12/01/42

(e)

................

1,714

1,420,083

Neptune

Energy

Bondco

plc,

6.63%,

05/15/25

(c)

4,626

4,483,799

New

Fortress

Energy,

Inc.

(c)

6.75%,

09/15/25

.................

51,979

50,029,787

6.50%,

09/30/26

.................

75,179

69,164,680

NGL

Energy

Operating

LLC,

7.50%,

02/01/26

(c)

11,784

11,370,187

NGPL

PipeCo

LLC,

7.77%,

12/15/37

(c)

....

9,239

10,181,057

Northern

Oil

&

Gas,

Inc.,

8.13%,

03/01/28

(c)

.

71,297

70,723,059

NuStar

Logistics

LP

5.75%,

10/01/25

.................

4,919

4,783,896

6.00%,

06/01/26

.................

5,812

5,696,981

6.38%,

10/01/30

.................

1,866

1,790,427

Occidental

Petroleum

Corp.

6.95%,

07/01/24

.................

846

856,651

5.88%,

09/01/25

.................

6,869

6,922,382

7.20%,

03/15/29

.................

5,695

5,978,668

8.88%,

07/15/30

.................

16,794

19,533,773

6.63%,

09/01/30

.................

39,038

41,113,651

6.13%,

01/01/31

.................

1,488

1,543,800

7.50%,

05/01/31

.................

4,628

5,104,221

6.45%,

09/15/36

.................

30,615

32,189,530

6.20%,

03/15/40

.................

29,184

29,341,594

4.63%,

06/15/45

.................

1,635

1,309,645

6.60%,

03/15/46

.................

17,362

18,254,146

4.40%,

04/15/46

.................

6,080

4,818,400

4.20%,

03/15/48

.................

1,974

1,529,850

ONEOK,

Inc.,

4.95%,

07/13/47

.........

6,704

5,617,410

Ovintiv,

Inc.,

6.63%,

08/15/37

.........

5,406

5,452,924

Parkland

Corp.,

5.88%,

07/15/27

(c)

......

5,300

5,141,477

PDC

Energy,

Inc.

6.13%,

09/15/24

.................

2,601

2,587,995

5.75%,

05/15/26

.................

1,197

1,165,220

Permian

Resources

Operating

LLC

(c)

5.38%,

01/15/26

.................

5,784

5,482,262

7.75%,

02/15/26

.................

29,840

29,914,600

6.88%,

04/01/27

.................

9,852

9,638,416

5.88%,

07/01/29

.................

26,544

25,134,248

Plains

All

American

Pipeline

LP

3.55%,

12/15/29

.................

4,569

4,084,915

5.15%,

06/01/42

.................

12,911

10,875,011

Range

Resources

Corp.,

4.88%,

05/15/25

..

1,830

1,794,155

Repsol

International

Finance

BV

(a)(b)(k)

(5-Year

EUR

Swap

Annual

+

4.00%),

3.75%

EUR

150

152,934

(5-Year

EUR

Swap

Annual

+

4.41%),

4.25%

2,310

2,244,454

Rockcliff

Energy

II

LLC,

5.50%,

10/15/29

(c)

.

USD

14,014

12,420,118

Rockies

Express

Pipeline

LLC

(c)

3.60%,

05/15/25

.................

2,000

1,869,986

4.95%,

07/15/29

.................

2,239

1,994,606

SM

Energy

Co.

5.63%,

06/01/25

.................

10,434

10,116,763

6.75%,

09/15/26

.................

13,570

13,307,556

6.63%,

01/15/27

.................

3,325

3,194,179

6.50%,

07/15/28

.................

10,525

10,043,583

Southwestern

Energy

Co.

5.38%,

02/01/29

.................

19,066

17,969,705

4.75%,

02/01/32

.................

40

35,320

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

60

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

Sunoco

LP,

6.00%,

04/15/27

..........

USD

637

$

628,902

Tallgrass

Energy

Partners

LP

(c)

7.50%,

10/01/25

.................

748

747,667

6.00%,

03/01/27

.................

2,844

2,692,118

5.50%,

01/15/28

.................

2,472

2,260,306

6.00%,

12/31/30

.................

3,830

3,422,986

6.00%,

09/01/31

.................

6,973

6,165,995

Tap

Rock

Resources

LLC,

7.00%,

10/01/26

(c)

55,898

48,969,892

Targa

Resources

Corp.,

6.25%,

07/01/52

..

8,715

8,591,185

Targa

Resources

Partners

LP,

4.00%,

01/15/32

10,794

9,407,403

TerraForm

Power

Operating

LLC

(c)

5.00%,

01/31/28

.................

63

59,852

4.75%,

01/15/30

.................

5,660

5,075,240

Venture

Global

Calcasieu

Pass

LLC

(c)

3.88%,

08/15/29

.................

46,498

41,941,196

4.13%,

08/15/31

.................

44,661

39,238,261

3.88%,

11/01/33

.................

81,983

68,865,720

Vermilion

Energy,

Inc.,

6.88%,

05/01/30

(c)

..

8,400

7,649,813

Western

Midstream

Operating

LP

6.15%,

04/01/33

.................

3,695

3,745,108

5.45%,

04/01/44

.................

18,187

15,859,428

5.30%,

03/01/48

.................

8,789

7,447,007

5.50%,

08/15/48

.................

6,422

5,530,434

5.50%,

02/01/50

(e)

................

46,323

39,305,065

1,992,199,172

Paper

&

Forest

Products

—

0.0%

Ahlstrom-Munksjo

Holding

3

Oy,

4.88%,

02/04/28

(c)

....................

1,164

984,401

Passenger

Airlines

—

1.8%

Air

Canada,

3.88%,

08/15/26

(c)

.........

13,848

12,574,005

Air

France-KLM,

8.13%,

05/31/28

(b)

......

EUR

700

763,697

Allegiant

Travel

Co.,

7.25%,

08/15/27

(c)

....

USD

6,238

6,209,929

American

Airlines,

Inc.

(c)

11.75%,

07/15/25

................

74,726

81,753,233

5.50%,

04/20/26

.................

7,674

7,551,842

7.25%,

02/15/28

.................

3,241

3,151,873

5.75%,

04/20/29

.................

43,838

42,051,004

Delta

Air

Lines,

Inc.,

4.75%,

10/20/28

(c)

....

1,984

1,913,414

Deutsche

Lufthansa

AG

(b)

3.75%,

02/11/28

.................

EUR

1,500

1,480,304

3.50%,

07/14/29

.................

2,000

1,896,773

Hawaiian

Brand

Intellectual

Property

Ltd.,

5.75%,

01/20/26

(c)

...............

USD

10,982

10,425,716

International

Consolidated

Airlines

Group

SA

(b)

1.50%,

07/04/27

.................

EUR

1,200

1,069,556

1.13%,

05/18/28

(m)

...............

3,100

2,673,759

3.75%,

03/25/29

.................

400

358,969

Mileage

Plus

Holdings

LLC,

6.50%,

06/20/27

(c)

USD

35,952

35,836,683

Spirit

Loyalty

Cayman

Ltd.

8.00%,

09/20/25

(c)

................

12,330

12,397,832

United

Airlines

Pass-Through

Trust

Series

2020-1,

Class

B,

4.88%,

01/15/26

3,198

3,091,526

Series

2020-1,

Class

A,

5.88%,

10/15/27

31,678

31,581,951

United

Airlines,

Inc.

(c)

4.38%,

04/15/26

.................

28,747

27,502,634

4.63%,

04/15/29

.................

35,588

32,189,396

316,474,096

Personal

Care

Products

—

0.1%

Coty,

Inc.

3.88%,

04/15/26

(b)

................

EUR

2,009

2,091,610

4.75%,

04/15/26

(b)

................

400

420,309

4.75%,

01/15/29

(c)

................

USD

1,042

972,955

Security

Par

(000)

Par

(000)

Value

Personal

Care

Products

(continued)

Prestige

Brands,

Inc.,

3.75%,

04/01/31

(c)

...

USD

6,708

$

5,685,631

9,170,505

Pharmaceuticals

—

0.8%

Bayer

AG,

(5-Year

EUR

Swap

Annual

+

3.75%),

4.50%,

03/25/82

(a)(b)

..............

EUR

3,800

3,811,688

Catalent

Pharma

Solutions,

Inc.

(c)

5.00%,

07/15/27

.................

USD

5,833

5,696,187

3.13%,

02/15/29

.................

9,563

8,406,911

3.50%,

04/01/30

.................

15,897

13,970,760

Cheplapharm

Arzneimittel

GmbH,

5.50%,

01/15/28

(c)

....................

13,983

12,448,086

Gruenenthal

GmbH

(b)

3.63%,

11/15/26

.................

EUR

1,502

1,535,256

4.13%,

05/15/28

.................

1,289

1,265,118

Jazz

Securities

DAC,

4.38%,

01/15/29

(c)

...

USD

6,181

5,686,520

Nidda

Healthcare

Holding

GmbH,

7.50%,

08/21/26

(b)

....................

EUR

253

267,876

Organon

&

Co.

(c)

4.13%,

04/30/28

.................

USD

19,929

18,217,298

5.13%,

04/30/31

.................

21,493

19,078,101

Rossini

SARL,

6.75%,

10/30/25

(b)

.......

EUR

300

326,446

Teva

Pharmaceutical

Finance

Netherlands

II

BV

4.50%,

03/01/25

.................

211

225,154

3.75%,

05/09/27

.................

551

539,223

7.38%,

09/15/29

.................

2,834

3,103,163

4.38%,

05/09/30

.................

100

91,389

7.88%,

09/15/31

.................

748

832,857

Teva

Pharmaceutical

Finance

Netherlands

III

BV

7.13%,

01/31/25

.................

USD

1,245

1,261,341

3.15%,

10/01/26

.................

15,913

14,311,754

4.75%,

05/09/27

.................

9,159

8,517,870

7.88%,

09/15/29

.................

13,881

14,470,943

8.13%,

09/15/31

.................

5,930

6,207,227

140,271,168

Professional

Services

—

0.4%

AMN

Healthcare,

Inc.,

4.00%,

04/15/29

(c)

..

5,115

4,526,775

CoreLogic,

Inc.,

4.50%,

05/01/28

(c)

......

27,421

20,805,684

Dun

&

Bradstreet

Corp.

(The),

5.00%,

12/15/29

(c)

....................

28,270

24,478,169

KBR,

Inc.,

4.75%,

09/30/28

(c)

..........

16,751

14,968,877

La

Financiere

Atalian

SASU

(b)

5.13%,

05/15/25

.................

EUR

2,248

1,639,340

6.63%,

05/15/25

.................

GBP

100

82,011

Science

Applications

International

Corp.,

4.88%,

04/01/28

(c)

...............

USD

7,878

7,335,349

73,836,205

Real

Estate

Management

&

Development

—

0.3%

ADLER

Real

Estate

AG,

1.88%,

04/27/23

(b)

.

EUR

300

297,695

Aroundtown

SA,

(5-Year

GBP

Swap

+

4.38%),

4.75%

(a)(b)(k)

...................

GBP

2,736

1,178,730

ATF

Netherlands

BV,

(5-Year

EUR

Swap

Annual

+

4.38%),

7.08%

(a)(b)(k)

........

EUR

400

205,144

Cushman

&

Wakefield

US

Borrower

LLC,

6.75%,

05/15/28

(c)

...............

USD

16,029

14,350,367

DEMIRE

Deutsche

Mittelstand

Real

Estate

AG,

1.88%,

10/15/24

(b)

...............

EUR

1,800

1,366,470

DIC

Asset

AG,

2.25%,

09/22/26

(b)

.......

1,100

752,275

Fastighets

AB

Balder,

(5-Year

EUR

Swap

Annual

+

3.19%),

2.87%,

06/02/81

(a)(b)

...

478

347,161

Heimstaden

Bostad

AB,

(5-Year

EUR

Swap

Annual

+

3.15%),

2.63%

(a)(b)(k)

........

5,725

3,104,381

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

61

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Real

Estate

Management

&

Development

(continued)

Howard

Hughes

Corp.

(The)

(c)

5.38%,

08/01/28

.................

USD

719

$

654,729

4.13%,

02/01/29

.................

6,258

5,300,088

4.38%,

02/01/31

.................

8,001

6,440,805

Realogy

Group

LLC

(c)

5.75%,

01/15/29

.................

17,554

13,138,467

5.25%,

04/15/30

.................

10,049

7,324,515

SBB

Treasury

OYJ

(b)

0.75%,

12/14/28

.................

EUR

100

60,650

1.13%,

11/26/29

.................

600

352,202

54,873,679

Retail

REITs

—

0.0%

Brookfield

Property

REIT,

Inc.,

4.50%,

04/01/27

(c)

....................

USD

7,746

6,216,165

Semiconductors

&

Semiconductor

Equipment

—

1.0%

ams-OSRAM

AG,

0.00%,

03/05/25

(b)(m)(n)

...

EUR

2,000

1,730,233

Broadcom,

Inc.

4.30%,

11/15/32

.................

USD

19,562

18,023,288

3.42%,

04/15/33

(c)

................

20,582

17,221,153

3.14%,

11/15/35

(c)

................

13,272

10,206,955

Entegris

Escrow

Corp.

(c)

4.75%,

04/15/29

.................

104,945

99,215,277

5.95%,

06/15/30

.................

3,522

3,413,875

Entegris,

Inc.

(c)

4.38%,

04/15/28

.................

4,616

4,170,221

3.63%,

05/01/29

.................

6,933

5,984,288

Marvell

Technology,

Inc.,

2.95%,

04/15/31

..

7,339

6,128,436

Synaptics,

Inc.,

4.00%,

06/15/29

(c)

.......

8,512

7,329,989

173,423,715

Software

—

4.2%

ACI

Worldwide,

Inc.,

5.75%,

08/15/26

(c)

...

8,476

8,391,240

Alteryx,

Inc.,

8.75%,

03/15/28

(c)

........

12,737

12,819,408

AthenaHealth

Group,

Inc.,

6.50%,

02/15/30

(c)

83,782

67,935,431

Black

Knight

InfoServ

LLC,

3.63%,

09/01/28

(c)

11,534

10,481,522

Boxer

Parent

Co.,

Inc.

6.50%,

10/02/25

(b)

................

EUR

2,121

2,273,128

7.13%,

10/02/25

(c)

................

USD

17,349

17,266,304

9.13%,

03/01/26

(c)

................

35,633

34,554,040

Camelot

Finance

SA,

4.50%,

11/01/26

(c)

...

14,662

13,855,590

Cedacri

Mergeco

SpA,

(3-mo.

EURIBOR

at

4.63%

Floor

+

4.63%),

7.28%,

05/15/28

(a)(b)

EUR

1,069

1,136,144

Central

Parent,

Inc.,

7.25%,

06/15/29

(c)

....

USD

32,471

31,915,057

Clarivate

Science

Holdings

Corp.

(c)

3.88%,

07/01/28

.................

62,919

56,153,276

4.88%,

07/01/29

.................

39,922

36,104,259

Cloud

Software

Group

Holdings,

Inc.,

6.50%,

03/31/29

(c)

....................

145,721

128,905,375

Consensus

Cloud

Solutions,

Inc.

(c)

6.00%,

10/15/26

.................

4,772

4,145,737

6.50%,

10/15/28

.................

4,321

3,583,401

Crowdstrike

Holdings,

Inc.,

3.00%,

02/15/29

2,389

2,084,943

Elastic

NV,

4.13%,

07/15/29

(c)

.........

22,109

18,875,559

Fair

Isaac

Corp.,

4.00%,

06/15/28

(c)

......

10,253

9,509,657

Helios

Software

Holdings,

Inc.,

4.63%,

05/01/28

(c)

....................

208

168,993

McAfee

Corp.,

7.38%,

02/15/30

(c)

.......

50,319

42,192,195

MicroStrategy,

Inc.,

6.13%,

06/15/28

(c)

....

21,603

19,172,662

NCR

Corp.

(c)

5.00%,

10/01/28

.................

3,065

2,694,028

5.13%,

04/15/29

.................

523

452,527

6.13%,

09/01/29

.................

4,012

3,957,156

Open

Text

Corp.,

6.90%,

12/01/27

(c)

......

51,651

53,283,172

Oracle

Corp.

2.88%,

03/25/31

.................

10,993

9,406,731

Security

Par

(000)

Par

(000)

Value

Software

(continued)

3.60%,

04/01/50

.................

USD

12,215

$

8,664,033

3.95%,

03/25/51

.................

27,888

20,985,091

6.90%,

11/09/52

.................

30,353

34,021,655

PTC,

Inc.

(c)

3.63%,

02/15/25

.................

734

707,886

4.00%,

02/15/28

.................

725

677,488

SS&C

Technologies,

Inc.,

5.50%,

09/30/27

(c)

52,265

50,712,651

TeamSystem

SpA,

3.50%,

02/15/28

(b)

.....

EUR

618

589,780

Veritas

US,

Inc.,

7.50%,

09/01/25

(c)

......

USD

7,753

5,836,147

ZoomInfo

Technologies

LLC,

3.88%,

02/01/29

(c)

43,962

38,059,002

751,571,268

Specialized

REITs

—

0.4%

Iron

Mountain,

Inc.

(c)

5.00%,

07/15/28

.................

1,880

1,749,340

5.25%,

07/15/30

.................

5,499

4,958,348

5.63%,

07/15/32

.................

4,420

4,037,847

SBA

Communications

Corp.

3.88%,

02/15/27

.................

37,365

35,273,808

3.13%,

02/01/29

.................

36,293

31,572,732

77,592,075

Specialty

Retail

—

1.7%

Arko

Corp.,

5.13%,

11/15/29

(c)

.........

10,050

8,318,272

Asbury

Automotive

Group,

Inc.

4.50%,

03/01/28

.................

1,110

1,010,100

4.75%,

03/01/30

.................

412

368,740

5.00%,

02/15/32

(c)

................

5,764

5,049,293

Constellation

Automotive

Financing

plc,

4.88%,

07/15/27

(b)

....................

GBP

2,096

1,881,043

eG

Global

Finance

plc

3.63%,

02/07/24

(b)

................

EUR

1,046

1,107,502

6.75%,

02/07/25

(c)

................

USD

21,259

19,676,055

8.50%,

10/30/25

(c)

................

16,076

15,047,457

Goldstory

SASU,

5.38%,

03/01/26

(b)

.....

EUR

2,571

2,561,007

GYP

Holdings

III

Corp.,

4.63%,

05/01/29

(c)

..

USD

20,375

17,420,625

Ken

Garff

Automotive

LLC,

4.88%,

09/15/28

(c)

6,880

5,848,806

LCM

Investments

Holdings

II

LLC,

4.88%,

05/01/29

(c)

....................

9,999

8,365,163

Lithia

Motors,

Inc.,

3.88%,

06/01/29

(c)

.....

4,995

4,320,675

Murphy

Oil

USA,

Inc.,

4.75%,

09/15/29

....

3,526

3,211,869

Penske

Automotive

Group,

Inc.

3.50%,

09/01/25

.................

6,848

6,439,754

3.75%,

06/15/29

(c)

................

3,793

3,274,611

PetSmart,

Inc.

(c)

4.75%,

02/15/28

.................

4,438

4,166,173

7.75%,

02/15/29

.................

36,325

35,656,983

Specialty

Building

Products

Holdings

LLC,

6.38%,

09/30/26

(c)

...............

4,541

4,173,270

SRS

Distribution,

Inc.

(c)

4.63%,

07/01/28

.................

37,092

32,941,220

6.13%,

07/01/29

.................

31,665

26,716,077

6.00%,

12/01/29

.................

28,540

23,564,631

Staples,

Inc.,

7.50%,

04/15/26

(c)

........

16,214

14,205,572

White

Cap

Buyer

LLC,

6.88%,

10/15/28

(c)

..

58,078

50,380,257

White

Cap

Parent

LLC,

8.25%,

(8.25%

Cash

or

9.00%

PIK),

03/15/26

(c)(j)

...........

18,316

16,656,294

312,361,449

Textiles,

Apparel

&

Luxury

Goods

—

0.3%

Crocs,

Inc.

(c)

4.25%,

03/15/29

.................

4,926

4,320,718

4.13%,

08/15/31

.................

7,127

5,871,959

European

TopSoho

SARL,

Series

SMCP,

4.00%,

09/21/21

(b)(f)(l)(m)

............

EUR

2,700

2,591,413

Hanesbrands,

Inc.,

9.00%,

02/15/31

(c)

....

USD

16,723

17,120,171

Kontoor

Brands,

Inc.,

4.13%,

11/15/29

(c)

...

6,372

5,468,344

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

62

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Textiles,

Apparel

&

Luxury

Goods

(continued)

Levi

Strauss

&

Co.,

3.50%,

03/01/31

(c)

....

USD

11,182

$

9,532,655

William

Carter

Co.

(The),

5.63%,

03/15/27

(c)

.

1,686

1,638,725

46,543,985

Trading

Companies

&

Distributors

—

1.4%

(c)

Beacon

Roofing

Supply,

Inc.,

4.13%,

05/15/29

7,144

6,303,651

Fortress

Transportation

&

Infrastructure

Investors

LLC

6.50%,

10/01/25

.................

28,695

28,714,082

9.75%,

08/01/27

.................

8,195

8,646,463

5.50%,

05/01/28

.................

17,851

16,286,181

Foundation

Building

Materials,

Inc.,

6.00%,

03/01/29

.....................

4,138

3,279,851

H&E

Equipment

Services,

Inc.,

3.88%,

12/15/28

.....................

1,225

1,073,511

Herc

Holdings,

Inc.,

5.50%,

07/15/27

.....

11,394

10,995,210

Imola

Merger

Corp.,

4.75%,

05/15/29

.....

23,481

21,005,868

United

Rentals

North

America,

Inc.,

6.00%,

12/15/29

.....................

97,675

99,019,985

WESCO

Distribution,

Inc.

7.13%,

06/15/25

.................

29,356

29,838,906

7.25%,

06/15/28

.................

22,511

23,114,295

248,278,003

Transportation

Infrastructure

—

0.0%

Abertis

Infraestructuras

Finance

BV,

(5-Year

EUR

Swap

Annual

+

3.69%),

3.25%

(a)(b)(k)

.

EUR

1,800

1,735,417

Water

Utilities

—

0.0%

Thames

Water

Kemble

Finance

plc,

4.63%,

05/19/26

(b)

....................

GBP

779

845,692

Wireless

Telecommunication

Services

—

0.8%

Connect

Finco

SARL,

6.75%,

10/01/26

(c)

...

USD

81,886

76,972,840

Liberty

Costa

Rica

Senior

Secured

Finance,

10.88%,

01/15/31

(c)

..............

7,063

6,633,923

Ligado

Networks

LLC,

15.50%,

(15.50%

Cash

or

15.50%

PIK),

11/01/23

(a)(c)(j)

........

14,408

3,457,719

Matterhorn

Telecom

SA,

4.00%,

11/15/27

(b)

.

EUR

1,116

1,116,368

SoftBank

Group

Corp.

(b)

(5-Year

USD

Swap

Rate

+

4.23%),

6.00%

(a)

(k)

.........................

USD

800

772,000

2.13%,

07/06/24

.................

EUR

2,741

2,809,121

4.50%,

04/20/25

.................

1,755

1,824,234

4.75%,

07/30/25

.................

1,409

1,459,298

3.13%,

09/19/25

.................

533

528,813

Sprint

LLC,

7.63%,

03/01/26

..........

USD

16,450

17,395,548

Telefonica

Europe

BV

(a)(b)(k)

(6-Year

EUR

Swap

Annual

+

4.32%),

7.13%

EUR

1,900

2,094,034

(7-Year

EUR

Swap

Annual

+

3.35%),

6.14%

4,600

4,816,310

Vmed

O2

UK

Financing

I

plc

4.00%,

01/31/29

(b)

................

GBP

1,463

1,488,925

4.25%,

01/31/31

(c)

................

USD

1,235

1,050,713

4.50%,

07/15/31

(b)

................

GBP

2,742

2,689,112

4.75%,

07/15/31

(c)

................

USD

15,154

12,990,312

Vodafone

Group

plc

(a)

(5-Year

EUR

Swap

Annual

+

3.43%),

4.20%,

10/03/78

(b)

..............

EUR

1,200

1,185,836

(5-Year

GBP

Swap

+

3.27%),

4.88%,

10/03/78

(b)

...................

GBP

2,583

3,025,795

(5-Year

EUR

Swap

Annual

+

3.00%),

2.63%,

08/27/80

(b)

..............

EUR

1,400

1,362,750

Series

NC10,

(5-Year

EUR

Swap

Annual

+

3.48%),

3.00%,

08/27/80

(b)

........

1,300

1,137,458

Security

Par

(000)

Par

(000)

Value

Wireless

Telecommunication

Services

(continued)

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.45%),

3.25%,

06/04/81

....................

USD

720

$

610,226

145,421,335

Total

Corporate

Bonds

—

86.4%

(Cost:

$16,577,656,191)

...........................

15,568,634,956

Floating

Rate

Loan

Interests

Aerospace

&

Defense

—

0.4%

(a)

Peraton

Corp.,

1st

Lien

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.59%

,

 02/01/28

.................

36,977

36,437,592

Peraton

Corp.,

2nd

Lien

Term

Loan

B1,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

7.75%),

12.65%

,

 02/01/29

................

34,253

33,225,330

69,662,922

Beverages

—

0.0%

Naked

Juice

LLC,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

6.00%),

11.00%

,

 01/24/30

(a)

...............

1,936

1,443,927

Broadline

Retail

—

0.0%

Pug

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

3.50%),

8.34%

,

 02/12/27

(a)

..........

5,436

3,917,524

Capital

Markets

—

0.1%

Mercury

Borrower,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

6.50%),

11.31%

,

 08/02/29

(a)

..........

12,959

11,576,691

Chemicals

—

0.4%

(a)

ARC

Falcon

I,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.59%

,

 09/30/28

.................

12,472

11,226,747

Aruba

Investments

Holdings

LLC,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

7.75%),

12.59%

,

 11/24/28

.....

5,230

4,680,850

Ascend

Performance

Materials

Operations

LLC,

Term

Loan,

(6-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.75%),

9.71%

,

 08/27/26

.

10,580

10,385,105

Discovery

Purchaser

Corp.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.38%),

8.96%

,

 10/04/29

......

32,403

30,634,246

Momentive

Performance

Materials,

Inc.

Term

Loan,

03/29/28

(d)(o)

................

12,152

11,878,580

WR

Grace

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.94%

,

 09/22/28

.................

5,313

5,260,079

74,065,607

Commercial

Services

&

Supplies

—

0.2%

(a)

PECF

USS

Intermediate

Holding

III

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

9.09%

,

 12/15/28

...........

28,479

23,875,843

TruGreen

LP,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

8.50%),

13.33%

,

 11/02/28

(d)

...............

12,384

8,049,600

31,925,443

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

63

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Construction

&

Engineering

—

0.7%

(a)

Brand

Industrial

Services,

Inc.,

Term

Loan,

(3-

mo.

LIBOR

USD

at

1.00%

Floor

+

4.25%),

9.06%

-

9.41%

,

 06/21/24

...........

USD

121,448

$

112,972,561

Propulsion

(BC)

Finco,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.90%

,

 09/14/29

.................

4,998

4,893,189

117,865,750

Containers

&

Packaging

—

0.0%

Mauser

Packaging

Solutions

Holding

Co.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

4.00%),

8.78%

,

 08/14/26

(a)

................

7,885

7,808,989

Diversified

Consumer

Services

—

0.0%

Ascend

Learning

LLC,

2nd

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.75%),

10.66%

,

 12/10/29

(a)

..........

8,164

7,007,406

Diversified

Telecommunication

Services

—

0.2%

(a)

Frontier

Communications

Holdings

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.63%

,

 05/01/28

..........

3,920

3,712,187

Zayo

Group

Holdings,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.00%),

7.84%

,

 03/09/27

.

38,196

30,925,901

34,638,088

Energy

Equipment

&

Services

—

0.0%

Lealand

Finance

Co.

BV,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.00%),

7.84%

,

 06/28/24

(a)

758

511,493

Financial

Services

—

0.2%

(a)

Deerfield

Dakota

Holding

LLC,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

6.75%),

11.91%

,

 04/07/28

...........

16,090

14,735,705

White

Cap

Supply

Holdings

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.56%

,

 10/19/27

...........

13,908

13,730,227

28,465,932

Food

Products

—

0.0%

Chobani

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

3.50%),

8.42%

,

 10/25/27

(a)(d)

...............

2,793

2,764,866

Ground

Transportation

—

0.0%

AIT

Worldwide

Logistics

Holdings,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.45%

,

 04/06/28

(a)

.....

7,886

7,596,734

Health

Care

Equipment

&

Supplies

—

0.1%

(a)

Bausch

+

Lomb

Corp.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.46%

,

 05/10/27

.................

825

800,214

Chariot

Buyer

LLC,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 11/03/28

.................

11,538

11,067,915

11,868,129

Health

Care

Providers

&

Services

—

0.1%

(a)

Envision

Healthcare

Corp.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

7.88%),

12.92%

,

 03/31/27

................

3,015

2,502,207

Quorum

Health

Corp.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

8.25%),

12.98%

,

 04/29/25

................

12,964

7,778,463

Security

Par

(000)

Par

(000)

Value

Health

Care

Providers

&

Services

(continued)

Surgery

Center

Holdings,

Inc.,

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.46%

,

 08/31/26

.................

USD

9,704

$

9,633,246

19,913,916

Health

Care

Technology

—

1.3%

(a)

Athenahealth

Group,

Inc.,

Delayed

Draw

Term

Loan,

02/15/29

(o)

.................

11,196

10,468,396

Athenahealth

Group,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.26%

,

 02/15/29

.................

91,139

85,214,523

Polaris

Newco

LLC,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

4.00%),

9.16%

,

 06/02/28

.................

16,406

14,925,002

Verscend

Holding

Corp.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

7.00%),

11.84%

,

 04/02/29

(d)

..........

63,271

63,270,509

Verscend

Holding

Corp.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

4.00%),

8.84%

,

 08/27/25

.

54,180

54,056,149

227,934,579

Hotels,

Restaurants

&

Leisure

—

0.2%

(a)

Fertitta

Entertainment

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.81%

,

 01/27/29

...........

19,514

19,179,573

IRB

Holding

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.00%),

7.91%

,

 12/15/27

.................

7,127

6,996,363

26,175,936

Household

Durables

—

0.2%

(a)

Hunter

Douglas

Holding

BV,

Term

Loan

B1,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.37%

,

 02/26/29

...........

13,165

11,784,906

SWF

Holdings

I

Corp.,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.75%

,

 10/06/28

.................

25,135

21,071,517

32,856,423

Insurance

—

0.0%

Hub

International

Ltd.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

8.73%

,

 11/10/29

(a)

................

7,661

7,629,213

Interactive

Media

&

Services

—

0.0%

(a)

Acuris

Finance

US,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

9.05%

,

 02/16/28

.................

3,385

3,259,785

Grab

Holdings,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

4.50%),

9.35%

,

 01/29/26

.................

1,486

1,477,115

4,736,900

IT

Services

—

0.2%

(a)

Epicor

Software

Corp.,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

1.00%

Floor

+

7.75%),

12.59%

,

 07/31/28

................

6,927

6,833,209

Gainwell

Acquisition

Corp.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

9.00%

,

 10/01/27

...........

25,299

24,097,244

30,930,453

Leisure

Products

—

0.0%

Peloton

Interactive,

Inc.,

Term

Loan,

(6-mo.

CME

Term

SOFR

at

0.50%

Floor

+

7.00%),

11.76%

,

 05/25/27

(a)

...............

5,851

5,816,677

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

64

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Machinery

—

0.4%

(a)

Husky

Injection

Molding

Systems

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

+

3.00%),

8.15%

,

 03/28/25

.................

USD

51,427

$

48,619,862

Indicor

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.40%

,

 11/22/29

.................

16,791

16,641,056

SPX

Flow,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.41%

,

 04/05/29

.................

12,433

11,834,721

77,095,639

Media

—

0.7%

(a)

AVSC

Holding

Corp.,

2nd

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

1.00%

Floor

+

7.25%),

12.06%

,

 09/01/25

................

7,771

6,891,958

Clear

Channel

Outdoor

Holdings,

Inc.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

+

3.50%),

8.33%

,

 08/21/26

.................

52,528

48,807,427

DirecTV

Financing

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

5.00%),

9.84%

,

 08/02/27

.................

51,772

49,719,100

Intelsat

Jackson

Holdings

SA,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.08%

,

 02/01/29

...........

20,333

20,079,267

Promotora

de

Informaciones

SA,

Facility

Term

Loan

B,

(3-mo.

EURIBOR

+

5.22%),

7.56%

,

 12/31/26

.................

EUR

307

305,739

125,803,491

Oil,

Gas

&

Consumable

Fuels

—

0.9%

(a)

Ascent

Resources

Utica

Holdings

LLC,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

9.00%),

13.82%

,

 11/01/25

.

USD

141,095

149,443,510

Freeport

LNG

investments

LLLP,

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.31%

,

 12/21/28

...........

16,687

16,126,921

M6

ETX

Holdings

II

Midco

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.36%

,

 09/19/29

...........

3,189

3,147,524

168,717,955

Passenger

Airlines

—

0.5%

(a)

AAdvantage

Loyalty

IP

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.56%

,

 04/20/28

.................

39,699

40,256,211

Air

Canada,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.37%

,

 08/11/28

..

6,549

6,522,880

Mileage

Plus

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

5.25%),

10.21%

,

 06/21/27

................

5,166

5,353,843

SkyMiles

IP

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

3.75%),

8.56%

,

 10/20/27

.................

14,033

14,522,885

United

AirLines,

Inc.,

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.57%

,

 04/21/28

.................

29,336

29,079,056

95,734,875

Pharmaceuticals

—

0.0%

Amneal

Pharmaceuticals

LLC,

Term

Loan,

05/04/25

(a)(o)

....................

3,997

3,789,405

Security

Par

(000)

Par

(000)

Value

Professional

Services

—

0.1%

(a)

CoreLogic,

Inc.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

6.50%),

11.38%

,

 06/04/29

................

USD

15,642

$

11,506,849

Galaxy

US

Opco,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.75%),

9.56%

,

 04/29/29

...........

9,497

8,381,205

19,888,054

Software

—

2.2%

(a)

Banff

Guarantor,

Inc.,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

5.50%),

10.34%

,

 02/27/26

................

27,676

26,551,801

Boxer

Parent

Co.,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.75%),

8.59%

,

 10/02/25

.

3,644

3,593,143

Cloud

Software

Group,

Inc.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.50%

,

 03/30/29

...........

35,945

32,590,253

Cloudera,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.66%

,

 10/08/28

(d)

................

10,456

9,959,573

Cloudera,

Inc.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

6.00%),

10.91%

,

 10/08/29

................

23,214

20,467,114

Delta

Topco,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.66%

,

 12/01/27

.................

9,852

9,108,504

Helios

Software

Holdings,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.75%),

8.66%

,

 03/11/28

.................

3,276

3,183,940

Magenta

Buyer

LLC,

1st

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.58%

,

 07/27/28

.................

45,382

37,262,194

Magenta

Buyer

LLC,

2nd

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

8.25%),

13.08%

,

 07/27/29

................

30,053

22,239,220

McAfee

Corp.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.52%

,

 03/01/29

.................

38,798

36,373,251

MH

Sub

I

LLC,

2nd

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

+

6.25%),

11.06%

,

 02/23/29

................

4,143

3,783,926

Planview

Parent,

Inc.,

2nd

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

7.25%),

12.41%

,

 12/18/28

................

12,161

10,721,989

Proofpoint,

Inc.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

6.25%),

11.09%

,

 08/31/29

................

27,151

25,544,240

RealPage,

Inc.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

6.50%),

11.34%

,

 04/23/29

................

51,502

48,476,058

Sabre

GLBL,

Inc.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 12/17/27

.................

3,543

2,987,702

Sabre

GLBL,

Inc.,

Term

Loan

B2,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 12/17/27

.................

5,673

4,784,463

Sophia

LP,

1st

Lien

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.66%

,

 10/07/27

.................

19,431

19,175,772

Sophia

LP,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

8.00%),

13.16%

,

 10/09/28

................

61,702

61,162,107

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

65

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Software

(continued)

UKG,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.25%),

10.03%

,

 05/03/27

................

USD

26,958

$

25,757,993

403,723,243

Textiles,

Apparel

&

Luxury

Goods

—

0.1%

(a)

Crocs,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.41%

,

 02/20/29

.................

8,888

8,848,937

Hanesbrands,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.56%

,

 03/08/30

(d)

................

6,153

6,122,235

14,971,172

Trading

Companies

&

Distributors

—

0.1%

SRS

Distribution,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%

,

 06/02/28

(a)

................

9,667

9,302,164

Transportation

Infrastructure

—

0.1%

(a)

Brown

Group

Holdings

LLC,

Facility

Term

Loan

B2,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.43%

-

8.56%

,

 07/02/29

....

5,971

5,959,912

KKR

Apple

Bidco

LLC,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

5.75%),

10.59%

,

 09/21/29

................

1,328

1,297,619

MHI

Holdings

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

5.00%),

9.84%

,

 09/21/26

......

14,233

14,206,691

21,464,222

Wireless

Telecommunication

Services

—

0.1%

Digicel

International

Finance

Ltd.,

1st

Lien

Term

Loan

B,

(1-mo.

LIBOR

USD

+

3.25%),

8.08%

,

 05/27/24

(a)

................

12,460

11,195,253

Total

Floating

Rate

Loan

Interests

—

9.5%

(Cost:

$1,801,436,002)

...........................

1,718,799,071

Foreign

Agency

Obligations

Finland

—

0.0%

Finnair

OYJ,

4.25%

,

05/19/25

(b)

.........

EUR

1,100

1,058,743

France

—

0.1%

Electricite

de

France

SA

(a)(b)(k)

(13-Year

GBP

Swap

Semi

+

4.23%),

6.00%

GBP

3,400

3,726,179

(5-Year

EUR

Swap

Annual

+

3.20%),

3.00%

EUR

400

354,302

(5-Year

EUR

Swap

Annual

+

4.86%),

7.50%

600

635,721

(5-Year

EUR

Swap

Annual

+

3.97%),

3.38%

3,600

2,904,725

7,620,927

Ireland

—

0.0%

AIB

Group

plc,

(5-Year

EUR

Swap

Annual

+

5.70%),

5.25%

(a)(b)(k)

...............

3,600

3,504,020

Italy

—

0.0%

Banca

Monte

dei

Paschi

di

Siena

SpA,

(3-mo.

EURIBOR

+

3.21%),

6.75%

,

03/02/26

(a)(b)

.

2,000

2,124,861

Total

Foreign

Agency

Obligations

—

0.1%

(Cost:

$16,531,860)

..............................

14,308,551

Security

Beneficial

Interest

(000)

Value

Other

Interests

(p)

Capital

Markets

—

0.0%

Lehman

Brothers

Holdings

Capital

Trust

Escrow

Bonds

(f)(l)

.................

USD

11,550

$

23,100

Lehman

Brothers

Holdings

Capital

Trust

Escrow

Bonds

(a)

..................

5,500

11,000

Lehman

Brothers

Holdings,

Inc.

(d)(l)

.......

7,598

—

Lehman

Brothers

Holdings,

Inc.

(f)(l)

.......

5,675

11,350

45,450

Independent

Power

and

Renewable

Electricity

Producers

—

0.0%

GenOn

Energy

Holdings

LLC

(a)(d)(f)

(l)

.......

5,134

—

Media

—

0.0%

Adelphia

Communications

Corp.,

Escrow

(a)(d)(f)(l)

325

—

Total

Other

Interests

—

0.0%

(Cost:

$—)

....................................

45,450

Par

(000)

Pa

r

(

000)

Preferred

Securities

Capital

Trusts

—

0.4%

Banks

—

0.1%

(a)(f)(k)

Banco

Bilbao

Vizcaya

Argentaria

SA,

(5-Year

EUR

Swap

Annual

+

6.46%),

6.00%

(b)

...

EUR

800

802,179

PNC

Financial

Services

Group,

Inc.

(The),

Series

V,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.24%),

6.20%

........................

USD

17,549

16,510,977

17,313,156

Capital

Markets

—

0.0%

Goldman

Sachs

Group,

Inc.

(The),

Series

R,

(5-

Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.22%),

4.95%

(a)(f)(k)

..

9,899

9,064,939

Consumer

Finance

—

0.0%

General

Motors

Financial

Co.,

Inc.,

Series

C,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.00%),

5.70%

(a)(f)

(k)

...........................

10,625

9,144,406

Electric

Utilities

—

0.2%

Edison

International,

Series

A,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.70%),

5.38%

(a)(f)(k)

........

34,000

30,067,253

Independent

Power

and

Renewable

Electricity

Producers

—

0.1%

Vistra

Corp.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.74%),

7.00%

(a)(c)(f)(k)

....................

15,109

13,295,920

Total

Capital

Trusts

—

0.4%

(Cost:

$88,245,036)

..............................

78,885,674

Shares

Shares

Preferred

Stocks

—

0.2%

Commercial

Services

&

Supplies

—

0.1%

Verscend

Intermediate

Holding

Corp.,

12.25%

(d)

(f)

............................

9,756

12,414,629

Financial

Services

—

0.0%

CF-B

L2

(D)

LLC,

(Acquired

04/08/15-12/15/15,

cost

$3,668,648)

(f)(g)

...............

3,746,909

80,184

Insurance

—

0.1%

Alliant

Holdings

I,

Inc.,

9.75%

(d)(f)

.........

20,162

18,821,040

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

66

(Percentages

shown

are

based

on

Net

Assets)

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Shares

Shares

Value

Wireless

Telecommunication

Services

—

0.0%

Ligado

Networks

LLC

(f)(q)

..............

235,644

$

1,178,218

Total

Preferred

Stocks

—

0.2%

(Cost:

$68,657,340)

..............................

32,494,071

Total

Preferred

Securities

—

0.6%

(Cost:

$156,902,376)

.............................

111,379,745

Total

Long-Term

Investments

—

97.1%

(Cost:

$18,697,328,003)

...........................

17,497,798,636

Short-Term

Securities

Money

Market

Funds

—

1.8%

(r)(s)

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

...................

327,864,377

327,864,377

SL

Liquidity

Series,

LLC,

Money

Market

Series,

5.01%

(t)

.......................

1,902,211

1,902,402

Total

Short-Term

Securities

—

1.8%

(Cost:

$329,766,187)

.............................

329,766,779

Total

Options

Purchased

—

0.0%

(Cost:

$9,429,015)

..............................

3,537,342

Total

Investments

Before

Options

Written

and

Investments

Sold

Short

—

98.9%

(Cost:

$19,036,523,205

)

...........................

17,831,102,757

Total

Options

Written

—

(0.0)%

(Premium

Received

—

$(4,227,852))

..................

(737,358)

Investments

Sold

Short

Common

Stocks

Diversified

Telecommunication

Services

—

(0.0)%

Telesat

Corp.

(f)

.....................

(388)

(3,337)

Total

Common

Stocks

—

(0.0)%

(Proceeds:

$(5,919))

.............................

(3,337)

Total

Investments

Sold

Short

—

(0.0)%

(Proceeds:

$(5,919))

.............................

(3,337)

Total

Investments

Net

of

Options

Written

and

Investments

Sold

Short

—

98.9%

(Cost:

$19,032,289,434

)

...........................

17,830,362,062

Other

Assets

Less

Liabilities

—

1.1%

...................

195,701,451

Net

Assets

—

100.0%

..............................

$

18,026,063,513

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

(c)

Security

exempt

from

registration

pursuant

to

Rule

144A

under

the

Securities

Act

of

1933,

as

amended.

These

securities

may

be

resold

in

transactions

exempt

from

registration

to

qualified

institutional

investors.

(d)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(e)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(f)

Non-income

producing

security.

(g)

Restricted

security

as

to

resale,

excluding

144A

securities.

The

Fund

held

restricted

securities

with

a

current

value

of

$8,995,966,

representing

0.05%

of

its

net

assets

as

of

period

end,

and

an

original

cost

of

$25,531,954.

(h)

A

security

contractually

bound

to

one

or

more

other

securities

to

form

a

single

saleable

unit

which

cannot

be

sold

separately.

(i)

All

or

a

portion

of

this

security

is

on

loan.

(j)

Payment-in-kind

security

which

may

pay

interest/dividends

in

additional

par/shares

and/or

in

cash.

Rates

shown

are

the

current

rate

and

possible

payment

rates.

(k)

Perpetual

security

with

no

stated

maturity

date.

(l)

Issuer

filed

for

bankruptcy

and/or

is

in

default.

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

67

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

(m)

Convertible

security.

(n)

Zero-coupon

bond.

(o)

Represents

an

unsettled

loan

commitment

at

period

end.

Certain

details

associated

with

this

purchase

are

not

known

prior

to

the

settlement

date,

including

coupon

rate.

(p)

Other

interests

represent

beneficial

interests

in

liquidation

trusts

and

other

reorganization

or

private

entities.

(q)

All

or

a

portion

of

the

security

is

held

by

a

wholly-owned

subsidiary.

See

Note

1

of

the

Notes

to

Financial

Statements

for

details

on

the

wholly-owned

subsidiary.

(r)

Affiliate

of

the

Fund.

(s)

Annualized

7-day

yield

as

of

period

end.

(t)

All

or

a

portion

of

this

security

was

purchased

with

the

cash

collateral

from

loaned

securities.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

921,378,283

$

—

$

(593,513,906)

(a)

$

—

$

—

$

327,864,377

327,864,377

$

10,492,202

$

—

SL

Liquidity

Series,

LLC,

Money

Market

Series

...........

9,777,201

—

(7,912,236)

(a)

40,708

(3,271)

1,902,402

1,902,211

253,684

(b)

—

iShares

Broad

USD

High

Yield

Corporate

Bond

ETF

(c)

.....

—

124,504,000

(122,452,896)

(2,051,104)

—

—

—

582,815

—

iShares

iBoxx

$

High

Yield

Corporate

Bond

ETF

(c)

.....

—

1,512,475,685

(1,514,824,024)

2,348,339

—

—

—

7,199,941

—

$

337,943

$

(3,271)

$

329,766,779

$

18,528,642

$

—

—

—

(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.

(c)

As

of

period

end,

the

entity

is

no

longer

held.

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

68

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Outstanding

as

of

Period

End

Futures

Contracts

Description

Number

of

Contracts

Expiration

Date

Notional

Amount

(000)

Value/

Unrealized

Appreciation

(Depreciation)

Short

Contracts

S&P

500

E-Mini

Index

.......................................................

1,162

06/16/23

$

240,403

$

(14,117,106)

U.S.

Treasury

10

Year

Note

...................................................

329

06/21/23

37,856

(1,074,309)

U.S.

Treasury

Long

Bond

.....................................................

291

06/21/23

38,230

(1,187,493)

U.S.

Treasury

Ultra

Bond

.....................................................

1,600

06/21/23

226,650

(11,784,062)

U.S.

Treasury

5

Year

Note

....................................................

122

06/30/23

13,377

(300,309)

$

(28,463,279)

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

USD

4,503,515

EUR

4,131,000

Bank

of

America

NA

06/21/23

$

3,269

USD

1,102,229

EUR

1,005,000

Morgan

Stanley

&

Co.

International

plc

06/21/23

7,398

10,667

EUR

868,000

USD

942,012

Bank

of

America

NA

04/05/23

(615)

USD

576,484

EUR

535,000

Standard

Chartered

Bank

06/21/23

(6,337)

USD

135,931,677

EUR

125,825,494

Toronto

Dominion

Bank

06/21/23

(1,140,628)

USD

213,286,671

EUR

197,678,006

UBS

AG

06/21/23

(2,060,625)

USD

70,052,594

GBP

58,325,000

BNP

Paribas

SA

06/21/23

(2,009,670)

USD

463,503

GBP

376,000

Commonwealth

Bank

of

Australia

06/21/23

(1,056)

USD

627,850

GBP

515,000

Deutsche

Bank

AG

06/21/23

(8,448)

(5,227,379)

$

(5,216,712)

Exchange-Traded

Options

Purchased

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

.........................

2,475

04/14/23

USD

292.00

USD

79,430

$

89,100

Deutsche

Bank

AG

..........................

1,504

04/21/23

EUR

8.40

EUR

1,407

27,729

EURO

STOXX

50

Index

.......................

88

04/21/23

EUR

3,800.00

EUR

3,797

4,533

iShares

Russell

2000

ETF

......................

3,948

04/21/23

USD

185.00

USD

70,432

2,899,806

SPDR

S&P

500

ETF

Trust

......................

8,296

04/21/23

USD

376.00

USD

339,630

506,056

EURO

STOXX

50

Index

.......................

47

05/19/23

EUR

3,800.00

EUR

2,028

10,118

$

3,537,342

Exchange-Traded

Options

Written

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

..........................

2,475

04/14/23

USD

270.00

USD

79,430

$

(21,038)

Deutsche

Bank

AG

...........................

1,504

04/21/23

EUR

6.50

EUR

1,407

(6,524)

iShares

Russell

2000

ETF

.......................

3,948

04/21/23

USD

170.00

USD

70,432

(481,656)

SPDR

S&P

500

ETF

Trust

.......................

8,296

04/21/23

USD

360.00

USD

339,630

(228,140)

$

(737,358)

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

69

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Centrally

Cleared

Credit

Defa

ul

t

Swaps

—

Sell

Protection

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Markit

CDX

North

American

High

Yield

Index

Series

40.V1

...........

5.00

%

Quarterly

06/20/28

B+

USD

104,914

$

1,750,298

$

62,817

$

1,687,481

(a)

Using

the

rating

of

the

issuer

or

the

underlying

securities

of

the

index,

as

applicable,

provided

by

S&P

Global

Ratings.

(b)

The

maximum

potential

amount

the

Fund

may

pay

should

a

negative

credit

event

take

place

as

defined

under

the

terms

of

the

agreement.

OTC

Credit

Default

Swap

s

—

Sell

Protection

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Casino

Guichard

Perrachon

SA

.............

5.00

%

Quarterly

JPMorgan

Chase

Bank

NA

06/20/23

CCC+

EUR

1,140

$

(125,239)

$

(44,349)

$

(80,890)

Casino

Guichard

Perrachon

SA

.............

5.00

Quarterly

JPMorgan

Chase

Bank

NA

06/20/23

CCC+

EUR

1,100

(120,845)

(22,084)

(98,761)

CenturyLink,

Inc.

......

1.00

Quarterly

Barclays

Bank

plc

06/20/23

NR

USD

20,000

(142,353)

(99,413)

(42,940)

Novafives

SAS

.......

5.00

Quarterly

Citibank

NA

06/20/23

B-

EUR

740

(3,356)

(12,669)

9,313

Novafives

SAS

.......

5.00

Quarterly

Goldman

Sachs

International

06/20/23

B-

EUR

229

(1,037)

(3,784)

2,747

Novafives

SAS

.......

5.00

Quarterly

Goldman

Sachs

International

06/20/23

B-

EUR

401

(1,820)

(6,197)

4,377

Casino

Guichard

Perrachon

SA

.............

5.00

Quarterly

BNP

Paribas

SA

12/20/23

CCC+

EUR

754

(263,266)

(58,759)

(204,507)

Casino

Guichard

Perrachon

SA

.............

5.00

Quarterly

JPMorgan

Chase

Bank

NA

12/20/23

CCC+

EUR

26

(9,078)

(3,966)

(5,112)

CenturyLink,

Inc.

......

1.00

Quarterly

Barclays

Bank

plc

12/20/23

NR

USD

1,316

(31,699)

(14,892)

(16,807)

Virgin

Media

Finance

plc

.

5.00

Quarterly

JPMorgan

Chase

Bank

NA

12/20/25

B

EUR

1,050

66,555

82,952

(16,397)

Jaguar

Land

Rover

Automotive

plc

.....

5.00

Quarterly

Barclays

Bank

plc

12/20/26

B+

EUR

515

(35,070)

17,106

(52,176)

Jaguar

Land

Rover

Automotive

plc

.....

5.00

Quarterly

Credit

Suisse

International

12/20/26

B+

EUR

528

(35,941)

18,541

(54,482)

Jaguar

Land

Rover

Automotive

plc

.....

5.00

Quarterly

Credit

Suisse

International

12/20/26

B+

EUR

1,405

(95,647)

46,435

(142,082)

K+S

AG

............

5.00

Quarterly

JPMorgan

Chase

Bank

NA

12/20/26

BB+

EUR

1,220

135,126

82,802

52,324

CMA

CGM

SA

........

5.00

Quarterly

Credit

Suisse

International

06/20/27

NR

EUR

1,725

185,513

67,430

118,083

Ladbrokes

Group

Finance

plc

.............

1.00

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

BB

EUR

237

(11,691)

(22,305)

10,614

Ladbrokes

Group

Finance

plc

.............

1.00

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

BB

EUR

473

(23,382)

(44,609)

21,227

Ladbrokes

Group

Finance

plc

.............

1.00

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

BB

EUR

403

(19,926)

(51,938)

32,012

Ladbrokes

Group

Finance

plc

.............

1.00

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

BB

EUR

1,637

(80,845)

(246,975)

166,130

Novafives

SAS

.......

5.00

Quarterly

Credit

Suisse

International

06/20/27

B-

EUR

—

705

—

705

ADLER

Real

Estate

AG

.

5.00

Quarterly

Bank

of

America

NA

12/20/27

CCC-

EUR

491

(156,022)

(109,406)

(46,616)

ADLER

Real

Estate

AG

.

5.00

Quarterly

Barclays

Bank

plc

12/20/27

CCC-

EUR

830

(263,603)

(181,715)

(81,888)

ADLER

Real

Estate

AG

.

5.00

Quarterly

Barclays

Bank

plc

12/20/27

CCC-

EUR

295

(93,782)

(64,648)

(29,134)

ADLER

Real

Estate

AG

.

5.00

Quarterly

Citibank

NA

12/20/27

CCC-

EUR

241

(76,489)

(54,278)

(22,211)

ADLER

Real

Estate

AG

.

5.00

Quarterly

JPMorgan

Chase

Bank

NA

12/20/27

CCC-

EUR

504

(160,073)

(111,229)

(48,844)

ADLER

Real

Estate

AG

.

5.00

Quarterly

Morgan

Stanley

&

Co.

International

plc

12/20/27

CCC-

EUR

365

(116,062)

(80,579)

(35,483)

Loxam

SAS

.........

5.00

Quarterly

Bank

of

America

NA

12/20/27

B

EUR

1,130

(117,354)

(83,287)

(34,067)

United

Group

BV

......

5.00

Quarterly

Bank

of

America

NA

12/20/27

B

EUR

945

(186,315)

(139,309)

(47,006)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

70

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Credit

Default

Swaps

—

Sell

Protection

(continued)

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

United

Group

BV

......

5.00

%

Quarterly

JPMorgan

Chase

Bank

NA

12/20/27

B

EUR

1,145

$

(225,813)

$

(180,903)

$

(44,910)

$

(2,008,809)

$

(1,322,028)

$

(686,781)

(a)

Using

the

rating

of

the

issuer

or

the

underlying

securities

of

the

index,

as

applicable,

provided

by

S&P

Global

Ratings.

(b)

The

maximum

potential

amount

the

Fund

may

pay

should

a

negative

credit

event

take

place

as

defined

under

the

terms

of

the

agreement.

OTC

Total

Return

Swaps

Paid

by

the

Fund

Received

by

the

Fund

Rate/Reference

Frequency

Rate/Reference

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

BNP

Paribas

SA

06/20/23

USD

100,000

$

3,069,398

$

(310,540)

$

3,379,938

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

BNP

Paribas

SA

06/20/23

USD

40,705

1,200,139

(123,924)

1,324,063

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

BNP

Paribas

SA

06/20/23

USD

46,190

1,246,489

(133,088)

1,379,577

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

JPMorgan

Chase

Bank

NA

06/20/23

USD

41,802

1,174,814

(127,264)

1,302,078

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

06/20/23

USD

64,531

656,126

(224,913)

881,039

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

06/20/23

USD

40,570

899,841

(134,209)

1,034,050

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

06/20/23

USD

212,333

6,113,830

(646,433)

6,760,263

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

JPMorgan

Chase

Bank

NA

09/20/23

USD

84,326

794,405

(702,665)

1,497,070

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

09/20/23

USD

50,000

833,174

(371,895)

1,205,069

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

09/20/23

USD

50,000

833,174

(371,895)

1,205,069

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

BNP

Paribas

SA

12/20/23

USD

50,000

770,245

(415,768)

1,186,013

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

High

Yield

Total

Return

Index

At

Termination

Morgan

Stanley

&

Co.

International

plc

12/20/23

USD

50,000

1,350,979

(352,214)

1,703,193

$

18,942,614

$

(3,914,808)

$

22,857,422

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1-day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

%

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

71

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps,

OTC

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

62,817

$

—

$

1,687,481

$

—

$

—

OTC

Swaps

.....................................................

315,266

(5,552,102)

23,274,954

(1,104,313)

—

Options

Written

...................................................

N/A

N/A

3,490,494

—

(737,358)

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Consolidated

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Forward

foreign

currency

exchange

contracts

Unrealized

appreciation

on

forward

foreign

currency

exchange

contracts

......................

$

—

$

—

$

—

$

10,667

$

—

$

—

$

10,667

Options

purchased

Investments

at

value

—

unaffiliated

(a)

............

—

—

3,537,342

—

—

—

3,537,342

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(b)

.

—

1,687,481

—

—

—

—

1,687,481

Swaps

—

OTC

Unrealized

appreciation

on

OTC

swaps;

Swap

premiums

paid

................................

—

732,798

—

—

22,857,422

—

23,590,220

$

—

$

2,420,279

$

3,537,342

$

10,667

$

22,857,422

$

—

$

28,825,710

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(b)

......

$

—

$

—

$

14,117,106

$

—

$

14,346,173

$

—

$

28,463,279

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

5,227,379

—

—

5,227,379

Options

written

Options

written

at

value

.....................

—

—

737,358

—

—

—

737,358

Swaps

—

OTC

Unrealized

depreciation

on

OTC

swaps;

Swap

premiums

received

.............................

—

2,741,607

—

—

3,914,808

—

6,656,415

$

—

$

2,741,607

$

14,854,464

$

5,227,379

$

18,260,981

$

—

$

41,084,431

(a)

Includes

options

purchased

at

value

as

reported

in

the

Consolidated

Schedule

of

Investments.

(b)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

are

reported

in

the

Consolidated

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).

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

72

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

3,868,831

$

—

$

1,733,342

$

—

$

5,602,173

Forward

foreign

currency

exchange

contracts

....

—

—

—

(21,208,548)

—

—

(21,208,548)

Options

purchased

(a)

....................

—

(242,666)

(12,947,673)

—

—

—

(13,190,339)

Options

written

........................

—

(165,448)

6,168,121

—

—

—

6,002,673

Swaps

..............................

—

13,167,035

1,098,142

—

(44,084,610)

—

(29,819,433)

$

—

$

12,758,921

$

(1,812,579)

$

(21,208,548)

$

(42,351,268)

$

—

$

(52,613,474)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

(14,117,106)

$

—

$

(36,182,707)

$

—

$

(50,299,813)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(12,856,781)

—

—

(12,856,781)

Options

purchased

(b)

....................

—

140,150

(6,085,505)

—

—

—

(5,945,355)

Options

written

........................

—

(18,178)

3,560,015

—

—

—

3,541,837

Swaps

..............................

—

3,231,242

—

—

96,206,935

—

99,438,177

$

—

$

3,353,214

$

(16,642,596)

$

(12,856,781)

$

60,024,228

$

—

$

33,878,065

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

short

.................................................................................

$

605,884,811

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

419,586,778

Average

amounts

sold

—

in

USD

........................................................................................

$

471,006

Options

Average

value

of

option

contracts

purchased

................................................................................

$

6,760,861

Average

value

of

option

contracts

written

...................................................................................

$

1,475,061

Average

notional

value

of

swaption

contracts

purchased

.........................................................................

$

—

(a)

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

—

(a)

Credit

default

swaps

Average

notional

value

—

sell

protection

...................................................................................

$

168,297,575

Total

return

swaps

Average

notional

value

...............................................................................................

$

830,457,000

(a)

Derivative

financial

instrument

not

held

at

any

quarter-end.

The

risk

exposure

table

serves

as

an

indicator

of

activity

during

the

period.

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

—

$

6,914,063

Forward

foreign

currency

exchange

contracts

.................................................................

10,667

5,227,379

Options

(a)

.........................................................................................

3,537,342

737,358

Swaps

—

centrally

cleared

..............................................................................

1,024,780

—

Swaps

—

OTC

(b)

.....................................................................................

23,590,220

6,656,415

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

28,163,009

$

19,535,215

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(4,562,122)

(7,651,421)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

23,600,887

$

11,883,794

(a)

Includes

options

purchased

at

value

which

is

included

in

Investments

at

value

–

unaffiliated

in

the

Statements

of

Assets

and

Liabilities

and

reported

in

the

Consolidated

Schedule

of

Investments.

(b)

Includes

unrealized

appreciation

(depreciation)

on

OTC

swaps

and

swap

premiums

paid/(received)

in

the

Statements

of

Assets

and

Liabilities.

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

73

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

Consolidated

Schedule

of

Investments

above.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

Net

Amount

of

Derivative

Assets

(b)(c)

Bank

of

America

NA

..............................

$

3,269

$

(3,269)

$

—

$

—

$

—

Barclays

Bank

plc

................................

17,106

(17,106)

—

—

—

BNP

Paribas

SA

.................................

7,269,591

(3,256,256)

—

—

4,013,335

Citibank

NA

....................................

9,313

(9,313)

—

—

—

Credit

Suisse

International

..........................

251,194

(196,564)

—

—

54,630

Goldman

Sachs

International

........................

7,124

(7,124)

—

—

—

JPMorgan

Chase

Bank

NA

..........................

3,247,209

(1,853,201)

—

—

1,394,008

Morgan

Stanley

&

Co.

International

plc

..................

12,796,081

(2,217,621)

—

(3,841,000)

6,737,460

$

23,600,887

$

(7,560,454)

$

—

$

(3,841,000)

$

12,199,433

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

(d)

Net

Amount

of

Derivative

Liabilities

(c)(e)

Bank

of

America

NA

..............................

$

460,306

$

(3,269)

$

—

$

(440,000)

$

17,037

Barclays

Bank

plc

................................

583,613

(17,106)

—

(566,507)

—

BNP

Paribas

SA

.................................

3,256,256

(3,256,256)

—

—

—

Citibank

NA

....................................

89,158

(9,313)

—

—

79,845

Commonwealth

Bank

of

Australia

.....................

1,056

—

—

—

1,056

Credit

Suisse

International

..........................

196,564

(196,564)

—

—

—

Deutsche

Bank

AG

...............................

8,448

—

—

—

8,448

Goldman

Sachs

International

........................

9,981

(7,124)

—

(2,857)

—

JPMorgan

Chase

Bank

NA

..........................

1,853,201

(1,853,201)

—

—

—

Morgan

Stanley

&

Co.

International

plc

..................

2,217,621

(2,217,621)

—

—

—

Standard

Chartered

Bank

...........................

6,337

—

—

—

6,337

Toronto

Dominion

Bank

............................

1,140,628

—

—

—

1,140,628

UBS

AG

......................................

2,060,625

—

—

—

2,060,625

$

11,8

83,794

$

(7,560,454)

$

—

$

(1,009,364)

$

3,313,976

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(c)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(d)

Excess

of

collateral

received/pledged,

if

any,

from

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

(e)

Net

amount

represents

the

net

amount

payable

from

the

counterparty

in

the

event

of

default.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

....................................

$

—

$

17,827,908

$

19,750

$

17,847,658

Common

Stocks

Automobile

Components

..................................

140

—

—

140

Capital

Markets

........................................

—

8,915,782

—

8,915,782

Chemicals

............................................

10,093,472

—

—

10,093,472

Commercial

Services

&

Supplies

.............................

—

—

3

3

Electrical

Equipment

.....................................

18,947

—

—

18,947

Energy

Equipment

&

Services

..............................

137,777

—

—

137,777

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

74

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Level

1

Level

2

Level

3

Total

Financial

Services

......................................

$

3,665,773

$

—

$

—

$

3,665,773

Ground

Transportation

...................................

5,550,163

—

—

5,550,163

Hotels

,

Restaurants

&

Leisure

..............................

—

—

—

—

IT

Services

...........................................

1,759,365

—

—

1,759,365

Metals

&

Mining

........................................

26,596,536

—

—

26,596,536

Oil,

Gas

&

Consumable

Fuels

...............................

—

—

40,678

40,678

Semiconductors

&

Semiconductor

Equipment

....................

4,538

—

—

4,538

Software

.............................................

10,000,031

—

—

10,000,031

Corporate

Bonds

Aerospace

&

Defense

....................................

—

880,383,503

—

880,383,503

Automobile

Components

..................................

—

308,744,496

—

308,744,496

Automobiles

..........................................

—

55,819,733

—

55,819,733

Banks

...............................................

—

168,345,333

—

168,345,333

Biotechnology

.........................................

—

4,331,827

—

4,331,827

Broadline

Retail

........................................

—

50,537,380

—

50,537,380

Building

Products

.......................................

—

145,337,935

—

145,337,935

Capital

Markets

........................................

—

138,584,933

—

138,584,933

Chemicals

............................................

—

358,355,388

—

358,355,388

Commercial

Services

&

Supplies

.............................

—

609,754,185

—

609,754,185

Communications

Equipment

................................

—

133,270,422

—

133,270,422

Construction

&

Engineering

................................

—

42,877,745

—

42,877,745

Consumer

Finance

......................................

—

273,584,355

—

273,584,355

Consumer

Staples

Distribution

&

Retail

........................

—

125,778,552

—

125,778,552

Containers

&

Packaging

..................................

—

512,348,715

—

512,348,715

Distributors

...........................................

—

35,747,429

—

35,747,429

Diversified

Consumer

Services

..............................

—

92,568,511

—

92,568,511

Diversified

REITs

.......................................

—

152,663,759

—

152,663,759

Diversified

Telecommunication

Services

........................

—

1,012,085,137

—

1,012,085,137

Electric

Utilities

........................................

—

127,637,378

—

127,637,378

Electrical

Equipment

.....................................

—

113,691,742

—

113,691,742

Electronic

Equipment,

Instruments

&

Components

.................

—

72,686,102

—

72,686,102

Energy

Equipment

&

Services

..............................

—

364,836,086

—

364,836,086

Entertainment

.........................................

—

227,816,318

—

227,816,318

Financial

Services

......................................

—

382,844,264

—

382,844,264

Food

Products

.........................................

—

203,120,875

—

203,120,875

Gas

Utilities

...........................................

—

5,198,814

—

5,198,814

Ground

Transportation

...................................

—

237,107,637

—

237,107,637

Health

Care

Equipment

&

Supplies

...........................

—

151,584,152

—

151,584,152

Health

Care

Providers

&

Services

............................

—

466,686,475

—

466,686,475

Health

Care

REITs

......................................

—

58,471,462

—

58,471,462

Health

Care

Technology

..................................

—

16,757,032

—

16,757,032

Hotel

&

Resort

REITs

....................................

—

42,497,351

—

42,497,351

Hotels,

Restaurants

&

Leisure

..............................

—

1,137,698,583

—

1,137,698,583

Household

Durables

.....................................

—

125,112,822

—

125,112,822

Household

Products

.....................................

—

23,157,020

—

23,157,020

Independent

Power

and

Renewable

Electricity

Producers

............

—

53,149,524

—

53,149,524

Insurance

............................................

—

535,239,608

—

535,239,608

IT

Services

...........................................

—

175,104,856

—

175,104,856

Leisure

Products

.......................................

—

34,331,041

—

34,331,041

Life

Sciences

Tools

&

Services

..............................

—

25,735,490

—

25,735,490

Machinery

............................................

—

251,707,823

—

251,707,823

Marine

Transportation

....................................

—

2,177,465

—

2,177,465

Media

...............................................

—

853,181,516

—

853,181,516

Metals

&

Mining

........................................

—

410,621,329

—

410,621,329

Mortgage

Real

Estate

Investment

Trusts

(REITs)

..................

—

17,564,523

—

17,564,523

Oil,

Gas

&

Consumable

Fuels

...............................

—

1,992,199,172

—

1,992,199,172

Paper

&

Forest

Products

..................................

—

984,401

—

984,401

Passenger

Airlines

......................................

—

316,474,096

—

316,474,096

Personal

Care

Products

..................................

—

9,170,505

—

9,170,505

Pharmaceuticals

.......................................

—

140,271,168

—

140,271,168

Professional

Services

....................................

—

73,836,205

—

73,836,205

Real

Estate

Management

&

Development

.......................

—

54,873,679

—

54,873,679

Retail

REITs

..........................................

—

6,216,165

—

6,216,165

Semiconductors

&

Semiconductor

Equipment

....................

—

173,423,715

—

173,423,715

Fair

Value

Hierarchy

as

of Period

End

(continued)

BlackRock

High

Yield

Bond

Portfolio

Consolidated

Schedules

of

Investments

75

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Level

1

Level

2

Level

3

Total

Software

.............................................

$

—

$

751,571,268

$

—

$

751,571,268

Specialized

REITs

......................................

—

77,592,075

—

77,592,075

Specialty

Retail

........................................

—

312,361,449

—

312,361,449

Textiles,

Apparel

&

Luxury

Goods

............................

—

46,543,985

—

46,543,985

Trading

Companies

&

Distributors

............................

—

248,278,003

—

248,278,003

Transportation

Infrastructure

...............................

—

1,735,417

—

1,735,417

Water

Utilities

.........................................

—

845,692

—

845,692

Wireless

Telecommunication

Services

.........................

—

145,421,335

—

145,421,335

Floating

Rate

Loan

Interests

Aerospace

&

Defense

....................................

—

69,662,922

—

69,662,922

Beverages

...........................................

—

1,443,927

—

1,443,927

Broadline

Retail

........................................

—

3,917,524

—

3,917,524

Capital

Markets

........................................

—

11,576,691

—

11,576,691

Chemicals

............................................

—

62,187,027

11,878,580

74,065,607

Commercial

Services

&

Supplies

.............................

—

23,875,843

8,049,600

31,925,443

Construction

&

Engineering

................................

—

117,865,750

—

117,865,750

Containers

&

Packaging

..................................

—

7,808,989

—

7,808,989

Diversified

Consumer

Services

..............................

—

7,007,406

—

7,007,406

Diversified

Telecommunication

Services

........................

—

34,638,088

—

34,638,088

Energy

Equipment

&

Services

..............................

—

511,493

—

511,493

Financial

Services

......................................

—

28,465,932

—

28,465,932

Food

Products

.........................................

—

—

2,764,866

2,764,866

Ground

Transportation

...................................

—

7,596,734

—

7,596,734

Health

Care

Equipment

&

Supplies

...........................

—

11,868,129

—

11,868,129

Health

Care

Providers

&

Services

............................

—

19,913,916

—

19,913,916

Health

Care

Technology

..................................

—

164,664,070

63,270,509

227,934,579

Hotels,

Restaurants

&

Leisure

..............................

—

26,175,936

—

26,175,936

Household

Durables

.....................................

—

32,856,423

—

32,856,423

Insurance

............................................

—

7,629,213

—

7,629,213

Interactive

Media

&

Services

...............................

—

4,736,900

—

4,736,900

IT

Services

...........................................

—

30,930,453

—

30,930,453

Leisure

Products

.......................................

—

5,816,677

—

5,816,677

Machinery

............................................

—

77,095,639

—

77,095,639

Media

...............................................

—

125,803,491

—

125,803,491

Oil,

Gas

&

Consumable

Fuels

...............................

—

168,717,955

—

168,717,955

Passenger

Airlines

......................................

—

95,734,875

—

95,734,875

Pharmaceuticals

.......................................

—

3,789,405

—

3,789,405

Professional

Services

....................................

—

19,888,054

—

19,888,054

Software

.............................................

—

393,763,670

9,959,573

403,723,243

Textiles,

Apparel

&

Luxury

Goods

............................

—

8,848,937

6,122,235

14,971,172

Trading

Companies

&

Distributors

............................

—

9,302,164

—

9,302,164

Transportation

Infrastructure

...............................

—

21,464,222

—

21,464,222

Wireless

Telecommunication

Services

.........................

—

11,195,253

—

11,195,253

Foreign

Agency

Obligations

.................................

—

14,308,551

—

14,308,551

Other

Interests

..........................................

—

45,450

—

45,450

Preferred

Securities

Banks

...............................................

—

17,313,156

—

17,313,156

Capital

Markets

........................................

—

9,064,939

—

9,064,939

Commercial

Services

&

Supplies

.............................

—

—

12,414,629

12,414,629

Consumer

Finance

......................................

—

9,144,406

—

9,144,406

Electric

Utilities

........................................

—

30,067,253

—

30,067,253

Independent

Power

and

Renewable

Electricity

Producers

............

—

13,295,920

—

13,295,920

Insurance

............................................

—

—

18,821,040

18,821,040

Wireless

Telecommunication

Services

.........................

—

1,178,218

—

1,178,218

Short-Term

Securities

Money

Market

Funds

......................................

327,864,377

—

—

327,864,377

Options

Purchased

Equity

contracts

..........................................

3,537,342

—

—

3,537,342

Liabilities

Investment

Sold

Short

Common

Stocks

.........................................

(3,337)

—

—

(3,337)

$

389,225,124

$

17,306,550,247

$

133,341,463

$

17,829,116,834

Fair

Value

Hierarchy

as

of Period

End

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

High

Yield

Bond

Portfolio

76

Consolidated

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Investments

valued

at

NAV

(a)

......................................

1,982,586

$

—

$

17,831,099,420

$

—

Derivative

Financial

Instruments

(b)

Assets

Credit

contracts

...........................................

$

—

$

2,105,013

$

—

$

2,105,013

Foreign

currency

exchange

contracts

............................

—

10,667

—

10,667

Interest

rate

contracts

.......................................

—

22,857,422

—

22,857,422

Liabilities

Credit

contracts

...........................................

—

(1,104,313)

—

(1,104,313)

Equity

contracts

...........................................

(14,854,464)

—

—

(14,854,464)

Foreign

currency

exchange

contracts

............................

—

(5,227,379)

—

(5,227,379)

Interest

rate

contracts

.......................................

(14,346,173)

—

—

(14,346,173)

$

(29,200,637)

$

18,641,410

$

—

$

(10,559,227)

(a)

Certain

investments

of

the

Fund

were

fair

valued

using

NAV

as

a

practical

expedient

as

no

quoted

market

value

is

available

and

therefore

have

been

excluded

from

the

fair

value

hierarchy.

(b)

Derivative

financial

instruments

are

swaps,

futures

contracts,

forward

foreign

currency

exchange

contracts

and

options

written.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

A

reconciliation

of

Level

3

financial

instruments

is

presented

when

the

Fund

had

a

significant

amount

of

Level

3

investments

and

derivative

financial

instruments

at

the

beginning

and/or

end

of

the

period

in

relation

to

net

assets.

The

following

table

is

a

reconciliation

of

Level

3

investments

for

which

significant

unobservable

inputs

were

used

in

determining

fair

value:

Asset-

Backed

Securities

Common

Stocks

Corporate

Bonds

Floating

Rate

Loan

Interests

Preferred

Securities

Total

Investments

Assets

Opening

balance,

as

of

September

30,

2022

...........................................

$

—

$

40,681

$

78,403

$

219,581,388

$

29,150,143

$

248,850,615

Transfers

into

Level

3

.........................................................

1,225

—

—

2,549,226

—

2,550,451

Transfers

out

of

Level

3

........................................................

—

—

(78,403)

(141,193,386)

—

(141,271,789)

Accrued

discounts/premiums

.....................................................

—

—

—

134,978

—

134,978

Net

realized

loss

.............................................................

—

—

—

(307,174)

—

(307,174)

Net

change

in

unrealized

appreciation

(a)(b)

.............................................

18,525

—

—

1,252,462

2,085,526

3,356,513

Purchases

.................................................................

—

—

—

29,311,811

—

29,311,811

Sales

....................................................................

—

—

—

(9,283,942)

—

(9,283,942)

Closing

balance,

as

of

March

31,

2023

..............................................

$

19,750

$

40,681

$

—

$

102,045,363

$

31,235,669

$

133,341,463

Net

change

in

unrealized

appreciation

on

investments

still

held

at

March

31,

2023

(b)

.................

$

18,525

$

—

$

—

$

1,252,462

$

2,085,526

$

3,356,513

(a)

Included

in

the

related

net

change

in

unrealized

appreciation

(depreciation)

in

the

Statements

of

Operations.

(b)

Any

difference

between

net

change

in

unrealized

appreciation

(depreciation)

and

net

change

in

unrealized

appreciation

(depreciation)

on

investments

still

held

at

March

31,

2023

is

generally

due

to

investments

no

longer

held

or

categorized

as

Level

3

at

period

end.

Fair

Value

Hierarchy

as

of Period

End

(continued)

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

77

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

AGL

CLO

12

Ltd.,

Series

2021-12A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

07/20/34

(a)(b)

.........

USD

5,500

$

5,375,451

AGL

Core

CLO

2

Ltd.,

Series

2019-2A,

Class

B,

(3-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.71%,

04/20/32

(a)(b)

.........

1,000

973,103

AIG

CLO

LLC,

Series

2018-1A,

Class

A1R,

(3-

mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.93%,

04/20/32

(a)(b)

...............

1,400

1,379,108

AIMCO

CLO

(a)(b)

Series

2017-AA,

Class

AR,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.86%,

04/20/34

....................

8,000

7,832,566

Series

2018-BA,

Class

AR,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

01/15/32

....................

3,500

3,445,775

Ajax

Mortgage

Loan

Trust

(b)(c)

Series

2019-G,

Class

A,

3.00%,

09/25/59

801

790,104

Series

2021-C,

Class

A,

2.12%,

01/25/61

1,795

1,678,237

Allegro

CLO

II-S

Ltd.,

Series

2014-1RA,

Class

A1,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.90%,

10/21/28

(a)(b)

.........

3,983

3,953,247

American

Express

Credit

Account

Master

Trust

Series

2022-2,

Class

A,

3.39%,

05/15/27

.

28,044

27,386,937

Series

2022-3,

Class

A,

3.75%,

08/15/27

.

649

637,459

AmeriCredit

Automobile

Receivables

Trust,

Series

2020-2,

Class

B,

0.97%,

02/18/26

.

3,597

3,541,073

AMMC

CLO

XIII

Ltd.,

Series

2013-13A,

Class

A1R2,

(3-mo.

LIBOR

USD

+

1.05%),

5.87%,

07/24/29

(a)(b)

....................

5,531

5,494,510

Anchorage

Capital

CLO

16

Ltd.,

Series

2020-

16A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.00%,

01/19/35

(a)(b)

1,750

1,702,979

Anchorage

Capital

CLO

7

Ltd.,

Series

2015-7A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.89%,

01/28/31

(a)(b)

....

14,508

14,372,940

Anchorage

Capital

CLO

LLC,

Series

2019-13A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

04/15/34

(a)(b)

....

4,260

4,149,243

Apidos

CLO

XX,

Series

2015-20A,

Class

A1RA,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/16/31

(a)(b)

.........

1,500

1,479,829

Aqua

Finance

Trust,

Series

2021-A,

Class

A,

1.54%,

07/17/46

(b)

................

2,098

1,882,165

ARI

Fleet

Lease

Trust

(b)

Series

2020-A,

Class

B,

2.06%,

11/15/28

.

1,470

1,456,297

Series

2022-A,

Class

A2,

3.12%,

01/15/31

13,902

13,676,245

Arm

Master

Trust

LLC,

Series

2021-T1,

Class

A,

2.43%,

11/15/27

(b)

..............

730

681,236

Assurant

CLO

Ltd.,

Series

2018-2A,

Class

A,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.85%,

04/20/31

(a)(b)

.........

1,750

1,729,038

Atlas

Senior

Loan

Fund

III

Ltd.,

Series

2013-

1A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.83%),

5.71%,

11/17/27

(a)(b)

...............

1,323

1,315,770

Autoflorence

SRL

(a)(d)

Series

2,

Class

C,

(1-mo.

EURIBOR

+

1.15%),

4.05%,

12/24/44

.........

EUR

348

354,693

Series

2,

Class

D,

(1-mo.

EURIBOR

+

2.35%),

5.25%,

12/24/44

.........

186

192,127

Autonoria

Spain

(a)(d)

Series

2021-SP,

Class

C,

(1-mo.

EURIBOR

+

1.05%),

3.95%,

01/31/39

........

1,578

1,658,907

Series

2021-SP,

Class

D,

(1-mo.

EURIBOR

+

1.55%),

4.45%,

01/31/39

........

601

630,839

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2021-SP,

Class

E,

(1-mo.

EURIBOR

+

2.65%),

5.55%,

01/31/39

........

EUR

451

$

465,558

Series

2021-SP,

Class

F,

(1-mo.

EURIBOR

+

3.90%),

6.80%,

01/31/39

........

75

77,597

Azure

Finance

No.

2

plc,

Series

2,

Class

C,

(Sterling

Overnight

Index

Average

+

3.00%),

7.18%,

07/20/30

(a)(d)

...............

GBP

1,055

1,299,069

BA

Credit

Card

Trust,

Series

2022-A1,

Class

A1,

3.53%,

11/15/27

...............

USD

5,347

5,224,403

Bain

Capital

Credit

CLO

Ltd.,

Series

2017-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.31%,

07/20/30

(a)(b)

....

1,350

1,297,608

Barings

CLO

Ltd.

(a)(b)

Series

2019-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/31

....................

900

886,448

Series

2019-4A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.33%

Floor

+

1.33%),

6.12%,

01/15/33

....................

550

542,152

Battalion

CLO

X

Ltd.,

Series

2016-10A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.99%,

01/25/35

(a)(b)

.........

5,500

5,356,798

Battalion

CLO

XX

Ltd.,

Series

2021-20A,

Class

A,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.97%,

07/15/34

(a)(b)

.........

4,500

4,385,333

BDS

Ltd.,

Series

2021-FL10,

Class

A,

(1-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.11%,

12/16/36

(a)(b)

...............

870

857,532

Benefit

Street

Partners

CLO

II

Ltd.,

Series

2013-IIA,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

07/15/29

(a)(b)

8,400

8,265,903

Benefit

Street

Partners

CLO

III

Ltd.,

Series

2013-IIIA,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

07/20/29

(a)

(b)

...........................

1,350

1,337,260

Benefit

Street

Partners

CLO

V-B

Ltd.,

Series

2018-5BA,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.90%,

04/20/31

(a)

(b)

...........................

2,230

2,206,613

BHG

Securitization

Trust

(b)

Series

2021-A,

Class

A,

1.42%,

11/17/33

.

256

239,443

Series

2022-B,

Class

A,

3.75%,

06/18/35

.

1,371

1,348,164

BL

Consumer

Credit

(a)(d)

Series

2021-1,

Class

C,

(1-mo.

EURIBOR

+

1.10%),

4.00%,

09/25/38

.........

EUR

528

558,690

Series

2021-1,

Class

D,

(1-mo.

EURIBOR

+

1.65%),

4.55%,

09/25/38

.........

681

715,465

Series

2021-1,

Class

E,

(1-mo.

EURIBOR

+

2.85%),

5.75%,

09/25/38

.........

356

368,860

BlueMountain

CLO

XXII

Ltd.,

Series

2018-22A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.87%,

07/15/31

(a)(b)

....

USD

6,990

6,887,088

BlueMountain

Fuji

US

CLO

III

Ltd.,

Series

2017-3A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

01/15/30

(a)(b)

250

242,182

Brignole

Co.

SRL,

Series

2021,

Class

D,

(1-mo.

EURIBOR

+

1.60%),

4.50%,

07/24/36

(a)(d)

.

EUR

100

105,708

BSPRT

Issuer

Ltd.,

Series

2021-FL7,

Class

A,

(1-mo.

LIBOR

USD

at

1.32%

Floor

+

1.32%),

6.00%,

12/15/38

(a)(b)

.........

USD

6,890

6,722,354

Capital

One

Multi-Asset

Execution

Trust

Series

2022-A2,

Class

A,

3.49%,

05/15/27

24,357

23,784,262

Series

2022-A3,

Class

A,

4.95%,

10/15/27

29,264

29,566,373

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

78

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Carlyle

Global

Market

Strategies

CLO

Ltd.

(a)(b)

Series

2014-1A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

0.97%

Floor

+

0.97%),

5.76%,

04/17/31

....................

USD

3,988

$

3,939,780

Series

2014-5A,

Class

A1RR,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

07/15/31

....................

5,996

5,921,031

CarMax

Auto

Owner

Trust,

Series

2022-2,

Class

A3,

3.49%,

02/16/27

..........

15,234

14,904,259

Cascade

MH

Asset

Trust,

Series

2021-MH1,

Class

A1,

1.75%,

02/25/46

(b)

.........

2,252

1,930,868

CBAM

Ltd.,

Series

2019-9A,

Class

B2,

(3-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.69%,

02/12/30

(a)(b)

...............

3,500

3,441,651

Cedar

Funding

II

CLO

Ltd.,

Series

2013-1A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.89%,

04/20/34

(a)(b)

....

8,750

8,533,834

Cedar

Funding

IX

CLO

Ltd.,

Series

2018-9A,

Class

A1,

(3-mo.

LIBOR

USD

at

0.98%

Floor

+

0.98%),

5.79%,

04/20/31

(a)(b)

....

1,940

1,915,831

Cedar

Funding

X

CLO

Ltd.,

Series

2019-10A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.41%,

10/20/32

(a)(b)

....

570

550,021

Cedar

Funding

XI

CLO

Ltd.,

Series

2019-11A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.30%,

05/29/32

(a)(b)

....

1,500

1,460,281

Chesapeake

Funding

II

LLC

(b)

Series

2020-1A,

Class

B,

1.24%,

08/15/32

1,170

1,142,283

Series

2020-1A,

Class

C,

2.14%,

08/15/32

720

705,081

CIFC

Funding

2013-III-R

Ltd.,

Series

2013-

3RA,

Class

A1,

(3-mo.

LIBOR

USD

at

0.98%

Floor

+

0.98%),

5.80%,

04/24/31

(a)(b)

....

3,770

3,724,473

CIFC

Funding

Ltd.

(a)(b)

Series

2012-2RA,

Class

A1,

(3-mo.

LIBOR

USD

at

0.80%

Floor

+

0.80%),

5.61%,

01/20/28

....................

420

417,018

Series

2013-2A,

Class

A1L2,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.79%,

10/18/30

....................

2,176

2,153,683

Series

2015-3A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.95%,

04/19/29

....................

8,500

8,269,213

Series

2021-4A,

Class

A,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.84%,

07/15/33

....................

5,000

4,929,080

Series

2021-4A,

Class

B,

(3-mo.

LIBOR

USD

at

1.58%

Floor

+

1.58%),

6.37%,

07/15/33

....................

500

485,647

College

Avenue

Student

Loans

LLC

(a)(b)

Series

2021-A,

Class

A1,

(1-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.95%,

07/25/51

....................

324

315,068

Series

2021-B,

Class

A1,

(1-mo.

LIBOR

USD

at

0.80%

Floor

+

0.80%),

5.65%,

06/25/52

....................

4,327

4,141,322

Concord

Music

Royalties

LLC,

Series

2022-1A,

Class

A2,

6.50%,

01/20/73

(b)

.........

2,849

2,810,459

Credit

Acceptance

Auto

Loan

Trust

(b)

Series

2020-2A,

Class

A,

1.37%,

07/16/29

1,225

1,219,038

Series

2021-2A,

Class

A,

0.96%,

02/15/30

16,995

16,523,033

Series

2022-1A,

Class

A,

4.60%,

06/15/32

11,180

10,966,935

Discover

Card

Execution

Note

Trust,

Series

2022-A2,

Class

A,

3.32%,

05/15/27

.....

42,146

41,010,465

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Dowson

plc

(a)(d)

Series

2021-2,

Class

C,

(Sterling

Overnight

Index

Average

+

1.60%),

5.78%,

10/20/28

....................

GBP

1,300

$

1,582,141

Series

2022-1,

Class

C,

(Sterling

Overnight

Index

Average

+

2.25%),

6.43%,

01/20/29

....................

1,151

1,400,989

Series

2022-1,

Class

D,

(Sterling

Overnight

Index

Average

+

2.70%),

6.88%,

01/20/29

....................

601

721,682

Dryden

30

Senior

Loan

Fund,

Series

2013-30A,

Class

AR,

(3-mo.

LIBOR

USD

at

0.82%

Floor

+

0.82%),

5.68%,

11/15/28

(a)(b)

....

USD

1,233

1,222,594

Dryden

36

Senior

Loan

Fund,

Series

2014-36A,

Class

AR3,

(3-mo.

LIBOR

USD

at

1.02%

Floor

+

1.02%),

5.81%,

04/15/29

(a)(b)

....

2,468

2,456,308

Dryden

43

Senior

Loan

Fund,

Series

2016-43A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.04%

Floor

+

1.04%),

5.85%,

04/20/34

(a)(b)

....

5,750

5,627,389

Dryden

45

Senior

Loan

Fund,

Series

2016-45A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.49%,

10/15/30

(a)(b)

....

3,150

3,056,167

Dryden

49

Senior

Loan

Fund,

Series

2017-49A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.39%,

07/18/30

(a)(b)

....

3,250

3,152,513

Dryden

65

CLO

Ltd.,

Series

2018-65A,

Class

B,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.39%,

07/18/30

(a)(b)

.........

500

486,383

Dryden

77

CLO

Ltd.,

Series

2020-77A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

6.04%,

05/20/34

(a)(b)

.........

1,000

976,231

Dryden

83

CLO

Ltd.,

Series

2020-83A,

Class

A,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.01%,

01/18/32

(a)(b)

.........

450

443,836

Dryden

87

CLO

Ltd.,

Series

2021-87A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

6.02%,

05/20/34

(a)(b)

.........

750

731,677

Dryden

XXVI

Senior

Loan

Fund,

Series

2013-26A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.90%),

5.69%,

04/15/29

(a)(b)

.........

12,083

11,958,419

EDvestinU

Private

Education

Loan

Issue

No.

1

LLC,

Series

2019-A,

Class

A,

3.58%,

11/25/38

(b)

.....................

3,744

3,520,219

EDvestinU

Private

Education

Loan

Issue

No.

3

LLC,

Series

2021-A,

Class

B,

3.50%,

11/25/50

(b)

.....................

640

512,123

ELFI

Graduate

Loan

Program

LLC,

Series

2022-A,

Class

A,

4.51%,

08/26/47

(b)

....

8,758

8,393,448

Elmwood

CLO

II

Ltd.,

Series

2019-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

04/20/34

(a)(b)

.........

4,200

4,071,878

Enterprise

Fleet

Financing

LLC,

Series

2022-1,

Class

A2,

3.03%,

01/20/28

(b)

.........

17,394

16,958,122

Fairstone

Financial

Issuance

Trust

I,

Series

2020-1A,

Class

A,

2.51%,

10/20/39

(b)

...

CAD

9,610

6,935,167

FCT

Autonoria,

Series

2019-1,

Class

E,

(1-mo.

EURIBOR

+

2.70%),

5.60%,

09/25/35

(a)(d)

.

EUR

107

112,942

FCT

Noria,

Series

2021-1,

Class

D,

(1-mo.

EURIBOR

+

1.50%),

4.40%,

10/25/49

(a)(d)

.

644

676,225

FCT

Pixel,

Series

2021-1,

Class

D,

(3-mo.

EURIBOR

+

1.75%),

4.44%,

02/25/38

(a)(d)

.

263

273,557

Flatiron

CLO

21

Ltd.,

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.11%

Floor

+

1.11%),

5.91%,

07/19/34

(a)(b)

.........

USD

8,500

8,310,395

FNA

VI

LLC,

Series

2021-1A,

Class

A,

1.35%,

01/10/32

(b)

.....................

332

302,562

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

79

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Ford

Credit

Auto

Owner

Trust

Series

2023-1,

Class

A,

4.85%,

08/15/35

(b)

USD

17,585

$

17,626,383

Series

2023-A,

Class

A3,

4.65%,

02/15/28

2,656

2,655,723

Foundation

Finance

Trust,

Series

2021-2A,

Class

A,

2.19%,

01/15/42

(b)

..........

1,577

1,450,711

FS

Rialto,

Series

2021-FL2,

Class

A,

(1-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

5.95%,

05/16/38

(a)(b)

...............

6,690

6,539,475

FS

Rialto

Issuer

LLC

(a)(b)

Series

2022-FL4,

Class

A,

(SOFR

30

Day

Average

at

1.90%

Floor

+

1.90%),

6.46%,

01/19/39

....................

6,365

6,238,135

Series

2022-FL6,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.58%

Floor

+

2.58%),

7.27%,

08/17/37

....................

5,450

5,466,082

FT

Santander

Consumer

Spain

Auto

(d)

Series

2020-1,

Class

B,

(3-mo.

EURIBOR

+

0.95%),

3.70%,

03/21/33

(a)

........

EUR

429

452,591

Series

2020-1,

Class

C,

(3-mo.

EURIBOR

+

1.95%),

4.70%,

03/21/33

(a)

........

129

134,108

Series

2020-1,

Class

D,

3.50%,

03/21/33

.

215

211,839

Galaxy

XXIV

CLO

Ltd.,

Series

2017-24A,

Class

A,

(3-mo.

LIBOR

USD

+

1.12%),

5.91%,

01/15/31

(a)(b)

....................

USD

3,500

3,455,463

Galaxy

XXVII

CLO

Ltd.,

Series

2018-27A,

Class

A,

(3-mo.

LIBOR

USD

at

1.02%

Floor

+

1.02%),

5.89%,

05/16/31

(a)(b)

........

10,500

10,338,303

GM

Financial

Consumer

Automobile

Receivables

Trust,

Series

2022-3,

Class

A3,

3.64%,

04/16/27

.................

13,597

13,324,959

GoldenTree

Loan

Opportunities

X

Ltd.,

Series

2015-10A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.93%,

07/20/31

(a)(b)

5,275

5,217,352

GoldenTree

Loan

Opportunities

XI

Ltd.,

Series

2015-11A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

01/18/31

(a)(b)

3,065

3,034,809

GoldentTree

Loan

Management

US

CLO

1

Ltd.,

Series

2021-11A,

Class

A,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.94%,

10/20/34

(a)(b)

....................

655

639,046

Goldman

Home

Improvement

Trust

Issuer

Trust,

Series

2022-GRN2,

Class

A,

6.80%,

10/25/52

(b)

.....................

4,304

4,296,129

GoodLeap

Sustainable

Home

Solutions

Trust

(b)

Series

2021-4GS,

Class

A,

1.93%,

07/20/48

3,273

2,524,787

Series

2021-5CS,

Class

A,

2.31%,

10/20/48

2,602

2,059,708

Series

2022-1GS,

Class

A,

2.70%,

01/20/49

2,566

2,103,785

Series

2022-2CS,

Class

A,

4.00%,

04/20/49

1,367

1,224,818

Series

2022-3CS,

Class

A,

4.95%,

07/20/49

5,766

5,494,180

GPMT

Ltd.,

Series

2021-FL4,

Class

A,

(1-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.10%,

12/15/36

(a)(b)

...............

9,045

8,847,558

Gracie

Point

International

Funding,

Series

2022-2A,

Class

A,

(SOFR

30

Day

Average

+

2.75%),

7.27%,

07/01/24

(a)(b)

.........

11,000

11,003,260

Hipgnosis

Music

Assets

LP,

Series

2022-1,

Class

A,

5.00%,

05/16/62

(b)

..........

3,063

2,872,848

Hyundai

Auto

Receivables

Trust,

Series

2022-

B,

Class

A3,

3.72%,

11/16/26

.........

8,353

8,208,282

Jamestown

CLO

XII

Ltd.,

Series

2019-1A,

Class

A2,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.96%,

04/20/32

(a)(b)

....

1,000

973,988

LCM

XXIII

Ltd.,

Series

23A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

10/20/29

(a)(b)

...............

485

469,552

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

LendingPoint

Pass-Through

Trust,

Series

2022-

ST1,

Class

A,

2.50%,

03/15/28

(b)

......

USD

319

$

305,270

Lendmark

Funding

Trust,

Series

2019-2A,

Class

A,

2.78%,

04/20/28

(b)

..........

3,453

3,394,064

Litigation

Systems,

Inc.,  

4.00%,

10/30/27

(e)

.

2,579

2,485,946

LoanCore

Issuer

Ltd.

(a)(b)

Series

2021-CRE5,

Class

A,

(1-mo.

LIBOR

USD

at

1.30%

Floor

+

1.30%),

5.98%,

07/15/36

....................

5,310

5,232,693

Series

2021-CRE6,

Class

A,

(1-mo.

LIBOR

USD

at

1.30%

Floor

+

1.30%),

5.98%,

11/15/38

....................

7,230

7,067,481

Loanpal

Solar

Loan

Ltd.

(b)

Series

2020-2GF,

Class

A,

2.75%,

07/20/47

1,855

1,528,429

Series

2021-1GS,

Class

A,

2.29%,

01/20/48

2,887

2,278,157

Series

2021-2GS,

Class

A,

2.22%,

03/20/48

5,714

4,485,553

Logan

CLO

I

Ltd.,

Series

2021-1A,

Class

A,

(3-

mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

07/20/34

(a)(b)

...............

1,755

1,713,929

Long

Point

Park

CLO

Ltd.,

Series

2017-1A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.38%

Floor

+

1.38%),

6.17%,

01/17/30

(a)(b)

....

1,140

1,095,884

Longfellow

Place

CLO

Ltd.,

Series

2013-1A,

Class

BR3,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.54%,

04/15/29

(a)(b)

....

5,000

4,962,535

Madison

Park

Funding

LXII

Ltd.,

Series

2022-

62A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

2.25%

Floor

+

2.25%),

6.91%,

07/17/33

(a)(b)

13,160

13,165,664

Madison

Park

Funding

XIX

Ltd.

(a)(b)

Series

2015-19A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.74%,

01/22/28

...............

6,390

6,342,468

Series

2015-19A,

Class

A2R2,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.32%,

01/22/28

...............

15,900

15,601,940

Madison

Park

Funding

XLI

Ltd.,

Series

12A,

Class

AR,

(3-mo.

LIBOR

USD

+

0.83%),

5.65%,

04/22/27

(a)(b)

...............

5,716

5,674,974

Madison

Park

Funding

XXV

Ltd.,

Series

2017-

25A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.47%,

04/25/29

(a)(b)

5,550

5,422,347

Madison

Park

Funding

XXVII

Ltd.,

Series

2018-27A,

Class

A1A,

(3-mo.

LIBOR

USD

+

1.03%),

5.84%,

04/20/30

(a)(b)

.........

1,400

1,386,490

Madison

Park

Funding

XXVIII

Ltd.,

Series

2018-28A,

Class

B,

(3-mo.

LIBOR

USD

at

1.60%

Floor

+

1.60%),

6.39%,

07/15/30

(a)(b)

1,000

970,123

Madison

Park

Funding

XXXVII

Ltd.,

Series

2019-37A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

07/15/33

(a)(b)

2,900

2,852,748

Madison

Park

Funding

XXXVIII

Ltd.,

Series

2021-38A,

Class

A,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

07/17/34

(a)(b)

3,000

2,927,356

Mariner

Finance

Issuance

Trust

(b)

Series

2019-AA,

Class

A,

2.96%,

07/20/32

2,313

2,286,815

Series

2020-AA,

Class

A,

2.19%,

08/21/34

3,020

2,890,218

Series

2022-AA,

Class

A,

6.45%,

10/20/37

1,250

1,262,564

Mill

City

Solar

Loan

Ltd.,

Series

2019-2GS,

Class

A,

3.69%,

07/20/43

(b)

..........

8,533

7,775,034

Mosaic

Solar

Loan

Trust

(b)

Series

2019-2A,

Class

A,

2.88%,

09/20/40

221

196,828

Series

2020-2A,

Class

B,

2.21%,

08/20/46

1,016

869,547

Series

2021-1A,

Class

B,

2.05%,

12/20/46

625

505,310

Series

2022-1A,

Class

B,

3.16%,

01/20/53

4,484

3,753,913

Series

2022-2A,

Class

A,

4.38%,

01/21/53

2,603

2,476,372

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

80

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2022-3A,

Class

A,

6.10%,

06/20/53

USD

3,108

$

3,224,421

Navient

Private

Education

Loan

Trust,

Series

2020-A,

Class

A2B,

(1-mo.

LIBOR

USD

+

0.90%),

5.58%,

11/15/68

(a)(b)

.........

1,064

1,041,507

Navient

Private

Education

Refi

Loan

Trust

(b)

Series

2019-CA,

Class

A2,

3.13%,

02/15/68

1,849

1,762,204

Series

2019-EA,

Class

A2B,

(1-mo.

LIBOR

USD

+

0.92%),

5.60%,

05/15/68

(a)

...

6,770

6,658,580

Series

2019-GA,

Class

A,

2.40%,

10/15/68

720

670,190

Series

2020-IA,

Class

A1B,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.68%,

04/15/69

(a)

...................

10,524

10,294,366

Series

2021-A,

Class

A,

0.84%,

05/15/69

.

1,146

1,001,958

Series

2021-DA,

Class

A,

(US

Prime

Rate

-

1.99%),

5.76%,

04/15/60

(a)

........

8,811

8,087,726

Series

2021-FA,

Class

A,

1.11%,

02/18/70

13,104

11,051,779

Navient

Student

Loan

Trust,

Series

2018-EA,

Class

A2,

4.00%,

12/15/59

(b)

.........

731

709,299

Nelnet

Student

Loan

Trust

(b)

Series

2021-A,

Class

APT2,

1.36%,

04/20/62

....................

14,240

12,771,487

Series

2021-A,

Class

D,

4.93%,

04/20/62

1,150

978,540

Series

2021-BA,

Class

AFL,

(1-mo.

LIBOR

USD

+

0.78%),

5.54%,

04/20/62

(a)

...

9,289

9,080,915

Series

2021-BA,

Class

AFX,

1.42%,

04/20/62

....................

7,535

6,774,455

Series

2021-CA,

Class

AFL,

(1-mo.

LIBOR

USD

+

0.74%),

5.50%,

04/20/62

(a)

...

10,054

9,805,014

Neuberger

Berman

CLO

XV,

Series

2013-15A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.71%,

10/15/29

(a)(b)

....

5,036

4,977,857

Neuberger

Berman

Loan

Advisers

CLO

42

Ltd.,

Series

2021-42A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/16/35

(a)(b)

....................

4,000

3,901,267

Newday

Funding

Master

Issuer

plc

(a)(d)

Series

2021-1X,

Class

B,

(Sterling

Overnight

Index

Average

+

1.55%),

5.73%,

03/15/29

....................

GBP

775

949,094

Series

2021-3X,

Class

B,

(Sterling

Overnight

Index

Average

+

1.35%),

5.53%,

11/15/29

....................

677

819,932

OCP

CLO

Ltd.

(a)(b)

Series

2014-7A,

Class

A1RR,

(3-mo.

LIBOR

USD

+

1.12%),

5.93%,

07/20/29

....

USD

2,592

2,567,434

Series

2017-13A,

Class

A1AR,

(3-mo.

LIBOR

USD

at

0.96%

Floor

+

0.96%),

5.75%,

07/15/30

...............

4,000

3,940,222

Octagon

66

Ltd.,

Series

2022-1A,

Class

A,

(3-mo.

CME

Term

SOFR

at

1.94%

Floor

+

1.94%),

6.71%,

08/16/33

(a)(b)

.........

13,325

13,277,823

Octagon

Investment

Partners

30

Ltd.,

Series

2017-1A,

Class

BR,

(3-mo.

LIBOR

USD

+

1.95%),

6.76%,

03/17/30

(a)(b)

.........

4,200

3,977,143

Octagon

Investment

Partners

33

Ltd.,

Series

2017-1A,

Class

A1,

(3-mo.

LIBOR

USD

+

1.19%),

6.00%,

01/20/31

(a)(b)

.........

2,400

2,374,343

Octagon

Investment

Partners

35

Ltd.,

Series

2018-1A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.06%

Floor

+

1.06%),

5.87%,

01/20/31

(a)(b)

1,000

988,597

Octagon

Investment

Partners

XV

Ltd.,

Series

2013-1A,

Class

A2R,

(3-mo.

LIBOR

USD

+

1.35%),

6.15%,

07/19/30

(a)(b)

.........

1,750

1,728,354

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Octagon

Investment

Partners

XVII

Ltd.,

Series

2013-1A,

Class

A2R2,

(3-mo.

LIBOR

USD

+

1.10%),

5.92%,

01/25/31

(a)(b)

.........

USD

1,750

$

1,691,742

OHA

Credit

Funding

3

Ltd.,

Series

2019-3A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.95%,

07/02/35

(a)(b)

....

850

830,754

Oportun

Funding

LLC,

Series

2022-1,

Class

A,

3.25%,

06/15/29

(b)

................

1,902

1,866,521

Oportun

Issuance

Trust

(b)

Series

2021-C,

Class

A,

2.18%,

10/08/31

5,450

4,907,107

Series

2022-2,

Class

A,

5.94%,

10/09/29

.

1,673

1,664,505

Palmer

Square

CLO

Ltd.

(a)(b)

Series

2013-2A,

Class

A1A3,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.80%,

10/17/31

....................

3,300

3,258,788

Series

2014-1A,

Class

A1R2,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.92%,

01/17/31

....................

15,000

14,885,334

Park

Avenue

Institutional

Advisers

CLO

Ltd.,

Series

2018-1A,

Class

A1BR,

(3-mo.

LIBOR

USD

at

1.25%

Floor

+

1.25%),

6.06%,

10/20/31

(a)(b)

....................

10,000

9,729,918

PCL

Funding

V

plc,

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.70%),

5.88%,

10/15/25

(a)(d)

...............

GBP

116

140,202

PCL

Funding

VI

plc,

Series

2022-1,

Class

B,

(Sterling

Overnight

Index

Average

+

3.10%),

7.28%,

07/15/26

(a)(d)

...............

1,400

1,693,316

PFS

Financing

Corp.

(b)

Series

2020-G,

Class

A,

0.97%,

02/15/26

USD

6,800

6,538,384

Series

2021-A,

Class

A,

0.71%,

04/15/26

.

4,740

4,512,450

Series

2023-A,

Class

A,

5.80%,

03/15/28

.

14,796

15,039,600

Pikes

Peak

CLO

11,

Series

2022-11A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

1.95%

Floor

+

1.95%),

6.61%,

07/25/34

(a)(b)

........

7,000

6,996,964

Prodigy

Finance

DAC,

Series

2021-1A,

Class

A,

(1-mo.

LIBOR

USD

+

1.25%),

6.10%,

07/25/51

(a)(b)

....................

1,801

1,756,115

Progress

Residential

Trust,

Series

2021-

SFR10,

Class

A,

2.39%,

12/17/40

(b)

....

3,567

3,074,342

Rad

CLO

15

Ltd.,

Series

2021-15A,

Class

A,

(3-mo.

LIBOR

USD

at

1.09%

Floor

+

1.09%),

5.90%,

01/20/34

(a)(b)

.........

2,650

2,586,624

Recette

CLO

Ltd.,

Series

2015-1A,

Class

ARR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.89%,

04/20/34

(a)(b)

.........

10,000

9,748,617

Red

&

Black

Auto

Germany

8

UG,

Series

8,

Class

C,

(1-mo.

EURIBOR

+

0.95%),

3.60%,

09/15/30

(a)(d)

....................

EUR

373

397,498

Red

&

Black

Auto

Italy

Srl,

Series

1,

Class

D,

(1-mo.

EURIBOR

+

2.85%),

5.78%,

12/28/31

(a)(d)

....................

599

620,138

Regional

Management

Issuance

Trust

(b)

Series

2020-1,

Class

A,

2.34%,

10/15/30

.

USD

2,430

2,327,704

Series

2021-2,

Class

A,

1.90%,

08/15/33

.

5,706

4,913,070

Series

2022-2B,

Class

A,

7.10%,

11/17/32

1,450

1,471,195

RMIT

Cash

Management

LLC,

Series

2021-

3,  3.88%,

10/17/33

(b)(e)

.............

4,470

3,883,536

Rockford

Tower

CLO

Ltd.

(a)(b)

Series

2017-3A,

Class

A,

(3-mo.

LIBOR

USD

at

1.19%

Floor

+

1.19%),

6.00%,

10/20/30

....................

2,400

2,373,775

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.98%,

07/20/34

....................

10,750

10,484,025

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

81

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

RR

LLC,

Series

2017-1A,

Class

A1AB,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/35

(a)(b)

...............

USD

5,500

$

5,365,505

Santander

Drive

Auto

Receivables

Trust,

Series

2020-2,

Class

C,

1.46%,

09/15/25

.....

76

75,522

Satus

plc

(a)(d)

Series

2021-1,

Class

D,

(Sterling

Overnight

Index

Average

+

1.90%),

6.08%,

08/17/28

....................

GBP

200

241,874

Series

2021-1,

Class

E,

(Sterling

Overnight

Index

Average

+

3.20%),

7.38%,

08/17/28

....................

167

199,809

SC

Germany

SA

Compartment

Consumer

(a)(d)

Series

2020-1,

Class

C,

(1-mo.

EURIBOR

+

1.75%),

4.38%,

11/14/34

..........

EUR

1,914

2,058,634

Series

2020-1,

Class

D,

(1-mo.

EURIBOR

+

2.50%),

5.13%,

11/14/34

..........

785

833,895

Service

Experts

Issuer

LLC,

Series

2021-1A,

Class

A,

2.67%,

02/02/32

(b)

..........

USD

1,609

1,477,764

Sesac

Finance

LLC

(b)

Series

2019-1,

Class

A2,

5.22%,

07/25/49

2,953

2,774,731

Series

2022-1,

Class

A2,

5.50%,

07/25/52

216

202,295

Shackleton

CLO

Ltd.,

Series

2015-7RA,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/31

(a)(b)

.........

4,550

4,482,827

Signal

Peak

CLO

12

Ltd.,

Series

2022-12A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

1.54%

Floor

+

1.54%),

6.17%,

07/18/34

(a)(b)

....

7,250

7,102,766

Signal

Peak

CLO

8

Ltd.,

Series

2020-8A,

Class

B,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

04/20/33

(a)(b)

.........

2,500

2,406,372

Silver

Creek

CLO

Ltd.,

Series

2014-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.05%,

07/20/30

(a)(b)

.........

3,618

3,592,547

SLM

Private

Credit

Student

Loan

Trust

(a)

Series

2004-A,

Class

A3,

(3-mo.

LIBOR

USD

at

0.40%

Floor

+

0.40%),

5.27%,

06/15/33

....................

615

594,980

Series

2004-B,

Class

A3,

(3-mo.

LIBOR

USD

at

0.33%

Floor

+

0.33%),

5.20%,

03/15/24

....................

161

160,981

Series

2005-A,

Class

A4,

(3-mo.

LIBOR

USD

at

0.31%

Floor

+

0.31%),

5.18%,

12/15/38

....................

5,712

5,434,508

Series

2005-B,

Class

A4,

(3-mo.

LIBOR

USD

at

0.33%

Floor

+

0.33%),

5.20%,

06/15/39

....................

5,023

4,748,474

Series

2007-A,

Class

A4A,

(3-mo.

LIBOR

USD

at

0.24%

Floor

+

0.24%),

5.11%,

12/16/41

....................

3,327

3,155,072

SLM

Private

Education

Loan

Trust,

Series

2010-C,

Class

A5,

(1-mo.

LIBOR

USD

at

4.75%

Floor

+

4.75%),

9.43%,

10/15/41

(a)(b)

15,223

16,541,644

SLM

Student

Loan

Trust,

Series

2013-4,

Class

A,

(1-mo.

LIBOR

USD

at

0.55%

Floor

+

0.55%),

5.40%,

06/25/43

(a)

..........

3,719

3,603,414

SMB

Private

Education

Loan

Trust

(b)

Series

2018-B,

Class

A2B,

(1-mo.

LIBOR

USD

+

0.72%),

5.40%,

01/15/37

(a)

...

4,969

4,881,288

Series

2020-A,

Class

A2B,

(1-mo.

LIBOR

USD

+

0.83%),

5.51%,

09/15/37

(a)

...

913

886,432

Series

2021-A,

Class

APL,

(1-mo.

LIBOR

USD

+

0.73%),

5.41%,

01/15/53

(a)

...

12,405

12,010,852

Series

2021-A,

Class

B,

2.31%,

01/15/53

3,930

3,524,930

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2021-C,

Class

APT1,

1.39%,

01/15/53

....................

USD

5,513

$

4,849,958

Series

2021-C,

Class

D,

3.93%,

01/15/53

400

366,691

Series

2022-C,

Class

A1A,

4.48%,

05/16/50

9,140

8,851,803

Series

2022-C,

Class

A1B,

(SOFR

30

Day

Average

at

1.85%

Floor

+

1.85%),

6.41%,

05/16/50

(a)

...................

5,828

5,802,533

Series

2023-A,

Class

A1B,

(SOFR

30

Day

Average

at

1.50%

Floor

+

1.50%),

6.06%,

01/15/53

(a)

...................

5,226

5,146,350

SoFi

Professional

Loan

Program

LLC

(b)

Series

2016-D,

Class

A2B,

2.34%,

04/25/33

217

213,632

Series

2018-A,

Class

A2B,

2.95%,

02/25/42

1,722

1,665,298

Series

2019-A,

Class

A2FX,

3.69%,

06/15/48

....................

2,090

2,007,700

SoFi

Professional

Loan

Program

Trust

(b)

Series

2018-C,

Class

A2FX,

3.59%,

01/25/48

....................

1,418

1,369,108

Series

2020-A,

Class

A2FX,

2.54%,

05/15/46

....................

7,755

7,230,696

Series

2021-A,

Class

AFX,

1.03%,

08/17/43

2,637

2,214,517

Sound

Point

CLO

XV

Ltd.,

Series

2017-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.87%,

01/23/29

(a)(b)

....

1,500

1,447,373

Soundview

Home

Loan

Trust,

Series

2003-2,

Class

A2,

(1-mo.

LIBOR

USD

at

1.30%

Floor

+

1.30%),

6.15%,

11/25/33

(a)

.....

124

121,158

Southwick

Park

CLO

LLC,

Series

2019-4A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.06%

Floor

+

1.06%),

5.87%,

07/20/32

(a)(b)

....

5,650

5,553,797

SpringCastle

America

Funding

LLC,

Series

2020-AA,

Class

A,

1.97%,

09/25/37

(b)

...

4,851

4,413,956

Stratus

CLO

Ltd.,

Series

2022-2A,

Class

B,

(3-mo.

CME

Term

SOFR

at

2.70%

Floor

+

2.70%),

7.34%,

07/20/30

(a)(b)

.........

3,040

2,992,108

TAGUS

-

Sociedade

de

Titularizacao

de

Creditos

SA,

Series

2,

Class

D,

(1-mo.

EURIBOR

+

2.85%),

5.67%,

09/23/38

(a)(d)

.

EUR

780

823,117

Trestles

CLO

V

Ltd.,

Series

2021-5A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.98%,

10/20/34

(a)(b)

.........

USD

9,500

9,262,628

Trinitas

CLO

IV

Ltd.,

Series

2016-4A,

Class

A2L2,

(3-mo.

LIBOR

USD

at

1.40%

Floor

+

1.40%),

6.19%,

10/18/31

(a)(b)

.........

1,250

1,213,461

Turbo

Finance

plc,

Series

9,

Class

B,

(Sterling

Overnight

Index

Average

+

1.65%),

5.83%,

08/20/28

(a)(d)

....................

GBP

1,590

1,955,967

Unique

Pub

Finance

Co.

plc

(The),

Series

M,  7.39%,

03/28/24

(c)(d)

.............

2,181

2,661,625

Upstart

Pass-Through

Trust

(b)

Series

2021-ST7,

Class

A,

1.85%,

09/20/29

USD

2,155

2,079,007

Series

2021-ST9,

Class

A,

1.70%,

11/20/29

1,894

1,801,612

Verizon

Owner

Trust,

Series

2020-A,

Class

A1A,

1.85%,

07/22/24

.............

297

296,860

Volkswagen

Auto

Loan

Enhanced

Trust,

Series

2021-1,

Class

A3,

1.02%,

06/22/26

.....

25,048

23,946,186

Voya

CLO

Ltd.

(a)(b)

Series

2017-1A,

Class

A1R,

(3-mo.

LIBOR

USD

+

0.95%),

5.74%,

04/17/30

....

1,962

1,935,844

Series

2018-4A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

01/15/32

....................

750

736,070

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

82

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Wind

River

CLO

Ltd.,

Series

2013-1A,

Class

A1RR,

(3-mo.

LIBOR

USD

at

0.98%

Floor

+

0.98%),

5.79%,

07/20/30

(a)(b)

.........

USD

2,469

$

2,446,103

Total

Asset-Backed

Securities

—

18.6%

(Cost:

$1,140,921,493)

...........................

1,104,147,593

Corporate

Bonds

Aerospace

&

Defense

—

0.5%

Boeing

Co.

(The),

2.20%,

02/04/26

......

4,734

4,392,384

Bombardier,

Inc.

(b)

7.13%,

06/15/26

.................

702

704,527

7.88%,

04/15/27

.................

407

412,018

6.00%,

02/15/28

.................

392

381,712

7.50%,

02/01/29

.................

185

188,989

BWX

Technologies,

Inc.

(b)

4.13%,

06/30/28

.................

174

156,671

4.13%,

04/15/29

.................

172

152,528

L3Harris

Technologies,

Inc.,

3.85%,

06/15/23

795

791,873

Lockheed

Martin

Corp.,

5.10%,

11/15/27

...

3,264

3,389,686

Northrop

Grumman

Corp.

2.93%,

01/15/25

.................

316

305,975

3.25%,

01/15/28

.................

1,828

1,736,900

Raytheon

Technologies

Corp.,

3.13%,

05/04/27

11,214

10,641,063

Rolls-Royce

plc,

5.75%,

10/15/27

(b)

......

800

796,960

Spirit

AeroSystems,

Inc.

(b)

7.50%,

04/15/25

.................

34

34,000

9.38%,

11/30/29

.................

260

283,725

TransDigm,

Inc.

8.00%,

12/15/25

(b)

................

906

922,987

6.25%,

03/15/26

(b)

................

1,508

1,509,372

6.38%,

06/15/26

.................

65

63,538

7.50%,

03/15/27

.................

117

116,708

6.75%,

08/15/28

(b)

................

988

997,880

27,979,496

Automobile

Components

—

0.2%

Aptiv

plc,

2.40%,

02/18/25

...........

4,992

4,755,154

Clarios

Global

LP

(b)

6.75%,

05/15/25

.................

1,375

1,389,644

6.25%,

05/15/26

.................

134

133,665

Conti-Gummi

Finance

BV,

1.13%,

09/25/24

(d)

EUR

2,240

2,340,490

Goodyear

Tire

&

Rubber

Co.

(The),

9.50%,

05/31/25

.....................

USD

123

126,394

Icahn

Enterprises

LP

4.75%,

09/15/24

.................

181

176,549

6.25%,

05/15/26

.................

295

290,302

5.25%,

05/15/27

.................

82

76,941

4.38%,

02/01/29

.................

51

43,860

ZF

Finance

GmbH,

3.00%,

09/21/25

(d)

....

EUR

2,700

2,780,747

12,113,746

Automobiles

—

0.8%

BMW

Finance

NV,

0.00%,

04/14/23

(d)

.....

6,120

6,630,768

General

Motors

Co.,

6.13%,

10/01/25

....

USD

296

301,589

Hyundai

Capital

America,

1.65%,

09/17/26

(b)

8,370

7,409,017

Mercedes-Benz

International

Finance

BV,

0.25%,

11/06/23

(d)

...............

EUR

1,970

2,098,094

Nissan

Motor

Acceptance

Co.

LLC,

1.85%,

09/16/26

(b)

....................

USD

7,333

6,346,565

Nissan

Motor

Co.

Ltd.

3.04%,

09/15/23

(b)

................

12,483

12,296,288

2.65%,

03/17/26

(d)

................

EUR

2,440

2,485,753

4.35%,

09/17/27

(b)

................

USD

6,200

5,849,417

Stellantis

NV,

3.38%,

07/07/23

(d)

........

EUR

3,250

3,524,449

46,941,940

Security

Par

(000)

Par

(000)

Value

Banks

—

6.0%

Australia

&

New

Zealand

Banking

Group

Ltd.,

5.09%,

12/08/25

................

USD

5,095

$

5,135,885

Banco

de

Sabadell

SA

(d)

0.88%,

07/22/25

.................

EUR

1,500

1,506,559

(1-Year

EUR

Swap

Annual

+

0.97%),

0.63%,

11/07/25

(a)

..............

1,900

1,938,153

(1-Year

EUR

Swap

Annual

+

1.55%),

1.13%,

03/11/27

(a)

..............

700

684,971

Bank

of

America

Corp.

(a)

(1-Day

SOFR

+

0.41%),

0.52%,

06/14/24

USD

1,125

1,113,668

(1-Day

SOFR

+

0.67%),

1.84%,

02/04/25

15,810

15,338,692

(1-Day

SOFR

+

0.91%),

0.98%,

09/25/25

11,863

11,069,241

(1-Day

SOFR

+

0.65%),

1.53%,

12/06/25

8,592

8,032,923

(1-Day

SOFR

+

1.15%),

1.32%,

06/19/26

9,487

8,672,157

(1-Day

SOFR

+

1.01%),

1.20%,

10/24/26

5,940

5,334,613

(1-Day

SOFR

+

1.29%),

5.08%,

01/20/27

397

395,769

Series

N,

(1-Day

SOFR

+

0.91%),

1.66%,

03/11/27

....................

4,836

4,378,386

(1-Day

SOFR

+

0.96%),

1.73%,

07/22/27

8,325

7,465,114

(3-mo.

LIBOR

USD

+

1.58%),

3.82%,

01/20/28

....................

1,285

1,227,694

(1-Day

SOFR

+

1.58%),

4.38%,

04/27/28

2,100

2,030,651

(1-Day

SOFR

+

1.99%),

6.20%,

11/10/28

2,080

2,174,394

Bank

of

Montreal,

5.20%,

12/12/24

......

371

371,466

Bank

of

Nova

Scotia

(The),

5.25%,

12/06/24

7,445

7,462,121

Banque

Federative

du

Credit

Mutuel

SA

(d)

2.63%,

03/18/24

.................

EUR

500

536,552

0.75%,

06/08/26

.................

1,700

1,676,958

Barclays

plc

(a)

(3-mo.

LIBOR

USD

+

1.61%),

3.93%,

05/07/25

....................

USD

4,328

4,210,407

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.05%),

2.28%,

11/24/27

....................

365

320,560

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.65%),

5.50%,

08/09/28

....................

8,960

8,834,782

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.30%),

7.39%,

11/02/28

....................

3,108

3,294,304

(3-mo.

LIBOR

USD

+

1.90%),

4.97%,

05/16/29

....................

331

319,263

BNP

Paribas

SA,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.45%),

5.13%,

01/13/29

(a)(b)

.........

1,994

1,998,084

BPCE

SA

0.63%,

04/28/25

(d)

................

EUR

1,700

1,729,805

(1-Day

SOFR

+

1.09%),

2.05%,

10/19/27

(a)

(b)

.........................

USD

4,581

4,012,283

3.25%,

01/11/28

(b)

................

469

425,842

Citigroup,

Inc.

(a)

(1-Day

SOFR

+

0.67%),

0.98%,

05/01/25

13,490

12,815,657

(1-Day

SOFR

+

1.55%),

5.61%,

09/29/26

985

992,341

(1-Day

SOFR

+

0.77%),

1.46%,

06/09/27

31,455

27,928,034

Commerzbank

AG,

(3-mo.

EURIBOR

+

1.30%),

0.75%,

03/24/26

(a)(d)

..............

EUR

800

797,635

HSBC

Holdings

plc

(a)

(1-Day

SOFR

+

1.10%),

2.25%,

11/22/27

USD

1,378

1,221,980

(3-mo.

LIBOR

USD

+

1.55%),

4.04%,

03/13/28

....................

1,593

1,493,803

(1-Day

SOFR

+

2.11%),

4.76%,

06/09/28

800

774,803

(1-Day

SOFR

+

2.61%),

5.21%,

08/11/28

507

501,831

(1-Day

SOFR

+

3.35%),

7.39%,

11/03/28

2,175

2,314,925

(3-mo.

LIBOR

USD

+

1.53%),

4.58%,

06/19/29

....................

1,400

1,328,651

HSBC

USA,

Inc.,

5.63%,

03/17/25

......

22,300

22,341,934

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

83

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Banks

(continued)

ING

Groep

NV

1.00%,

09/20/23

(d)

................

EUR

4,500

$

4,825,494

(3-mo.

EURIBOR

+

0.60%),

0.10%,

09/03/25

(a)(d)

..................

1,700

1,738,665

(1-Day

SOFR

+

1.01%),

1.73%,

04/01/27

(a)

USD

3,415

3,033,715

JPMorgan

Chase

&

Co.

1.50%,

01/27/25

(d)

................

EUR

1,855

1,941,055

(1-Day

SOFR

+

0.54%),

0.82%,

06/01/25

(a)

USD

12,000

11,371,329

(1-Day

SOFR

+

0.61%),

1.56%,

12/10/25

(a)

686

643,323

(3-mo.

CME

Term

SOFR

+

1.59%),

2.01%,

03/13/26

(a)

...................

5,383

5,073,204

(1-Day

SOFR

+

1.85%),

2.08%,

04/22/26

(a)

377

352,771

(1-Day

SOFR

+

0.80%),

1.05%,

11/19/26

(a)

13,528

12,071,957

(1-Day

SOFR

+

0.89%),

1.58%,

04/22/27

(a)

8,215

7,380,967

(3-mo.

LIBOR

USD

+

1.34%),

3.78%,

02/01/28

(a)

...................

2,372

2,267,997

(1-Day

SOFR

+

1.99%),

4.85%,

07/25/28

(a)

12,860

12,836,975

(3-mo.

LIBOR

USD

+

0.95%),

3.51%,

01/23/29

(a)

...................

4,255

3,981,210

Lloyds

Banking

Group

plc,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.70%),

5.87%,

03/06/29

(a)

..........

9,130

9,205,195

Mitsubishi

UFJ

Financial

Group,

Inc.

(a)

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.70%),

4.79%,

07/18/25

....................

8,120

8,040,153

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.08%),

5.72%,

02/20/26

....................

7,500

7,519,284

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.30%),

4.08%,

04/19/28

....................

3,950

3,781,632

Mizuho

Financial

Group,

Inc.

0.52%,

06/10/24

(d)

................

EUR

4,565

4,757,594

3.66%,

02/28/27

.................

USD

748

713,999

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

0.67%),

1.23%,

05/22/27

(a)

...................

1,210

1,064,763

National

Australia

Bank

Ltd.,

4.94%,

01/12/28

1,275

1,290,925

NatWest

Group

plc

(a)

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.15%),

2.36%,

05/22/24

....................

9,520

9,470,141

(3-mo.

LIBOR

USD

+

1.76%),

4.27%,

03/22/25

....................

622

610,390

NatWest

Markets

plc,

1.60%,

09/29/26

(b)

...

4,165

3,635,173

Nordea

Bank

Abp,

1.50%,

09/30/26

(b)

.....

338

296,788

PSA

Banque

France

SA,

0.00%,

01/22/25

(d)

.

EUR

2,100

2,129,552

Royal

Bank

of

Canada,

6.00%,

11/01/27

...

USD

8,000

8,345,054

Santander

Holdings

USA,

Inc.,

3.50%,

06/07/24

3,000

2,911,515

Standard

Chartered

plc,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

0.78%),

0.99%,

01/12/25

(a)(b)

.........

1,509

1,449,776

Sumitomo

Mitsui

Financial

Group,

Inc.,

5.46%,

01/13/26

.....................

8,358

8,438,355

Svenska

Handelsbanken

AB,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

0.63%),

1.42%,

06/11/27

(a)(b)

..

424

376,094

Swedbank

AB,

5.34%,

09/20/27

(b)

.......

300

300,068

Toronto-Dominion

Bank

(The)

0.38%,

04/25/24

(d)

................

EUR

2,625

2,747,982

5.16%,

01/10/28

.................

USD

10,689

10,801,551

Virgin

Money

UK

plc,

(1-Year

EUR

Swap

Annual

+

0.85%),

0.38%,

05/27/24

(a)(d)

...

EUR

2,350

2,529,461

Wells

Fargo

&

Co.

(a)

(1-Day

SOFR

+

1.51%),

3.53%,

03/24/28

USD

14,092

13,295,662

Security

Par

(000)

Par

(000)

Value

Banks

(continued)

(1-Day

SOFR

+

1.98%),

4.81%,

07/25/28

USD

525

$

518,418

355,951,078

Beverages

—

0.4%

Anheuser-Busch

InBev

Worldwide,

Inc.,

4.00%,

04/13/28

.....................

12,742

12,596,964

Asahi

Group

Holdings

Ltd.

(d)

0.01%,

04/19/24

.................

EUR

2,062

2,150,444

0.16%,

10/23/24

.................

1,200

1,230,799

1.15%,

09/19/25

.................

1,700

1,730,129

Pernod

Ricard

SA,

0.00%,

10/24/23

(d)

....

3,600

3,829,083

21,537,419

Biotechnology

—

0.8%

AbbVie,

Inc.

1.50%,

11/15/23

.................

5,760

6,171,270

1.25%,

06/01/24

.................

1,305

1,378,292

2.95%,

11/21/26

.................

USD

7,306

6,951,570

Amgen,

Inc.

2.60%,

08/19/26

.................

622

585,735

2.20%,

02/21/27

.................

621

572,161

5.15%,

03/02/28

.................

22,540

23,013,817

Gilead

Sciences,

Inc.

3.65%,

03/01/26

.................

6,862

6,717,066

1.20%,

10/01/27

.................

2,137

1,866,659

47,256,570

Broadline

Retail

—

0.1%

Amazon.com,

Inc.,

1.65%,

05/12/28

.....

3,455

3,063,290

ANGI

Group

LLC,

3.88%,

08/15/28

(b)

.....

101

76,734

Go

Daddy

Operating

Co.

LLC,

3.50%,

03/01/29

(b)

....................

159

137,476

Match

Group

Holdings

II

LLC,

4.63%,

06/01/28

(b)

....................

426

395,635

3,673,135

Building

Products

—

0.1%

Advanced

Drainage

Systems,

Inc.,

5.00%,

09/30/27

(b)

....................

481

457,106

Camelot

Return

Merger

Sub,

Inc.,

8.75%,

08/01/28

(b)

....................

141

130,558

CRH

Finland

Services

OYJ,

0.88%,

11/05/23

(d)

EUR

1,670

1,783,840

JELD-WEN,

Inc.

(b)

6.25%,

05/15/25

.................

USD

129

128,678

4.63%,

12/15/25

.................

10

9,275

Masonite

International

Corp.,

5.38%,

02/01/28

(b)

23

21,965

New

Enterprise

Stone

&

Lime

Co.,

Inc.,

5.25%,

07/15/28

(b)

....................

111

98,112

Smyrna

Ready

Mix

Concrete

LLC,

6.00%,

11/01/28

(b)

....................

640

600,800

Standard

Industries,

Inc.

(b)

5.00%,

02/15/27

.................

26

24,692

4.75%,

01/15/28

.................

732

683,820

3,938,846

Capital

Markets

—

3.0%

AG

TTMT

Escrow

Issuer

LLC,

8.63%,

09/30/27

(b)

....................

192

193,250

Charles

Schwab

Corp.

(The)

3.20%,

03/02/27

.................

605

558,191

3.30%,

04/01/27

.................

18,018

16,646,418

Credit

Suisse

AG

Series

FXD,

0.52%,

08/09/23

........

7,000

6,798,750

3.70%,

02/21/25

.................

6,200

5,881,041

Deutsche

Bank

AG

(a)

(1-Day

SOFR

+

1.13%),

1.45%,

04/01/25

7,039

6,548,144

(3-mo.

EURIBOR

+

1.60%),

1.00%,

11/19/25

(d)

...................

EUR

2,700

2,702,858

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

84

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Capital

Markets

(continued)

(1-Day

SOFR

+

3.19%),

6.12%,

07/14/26

USD

5,184

$

5,019,376

Goldman

Sachs

Group,

Inc.

(The)

(a)

(1-Day

SOFR

+

0.51%),

0.66%,

09/10/24

4,800

4,691,442

(1-Day

SOFR

+

0.80%),

1.43%,

03/09/27

7,500

6,710,997

(1-Day

SOFR

+

0.91%),

1.95%,

10/21/27

2,905

2,595,396

(1-Day

SOFR

+

1.11%),

2.64%,

02/24/28

12,845

11,716,355

(1-Day

SOFR

+

1.85%),

3.62%,

03/15/28

5,825

5,510,233

(1-Day

SOFR

+

1.73%),

4.48%,

08/23/28

3,995

3,907,317

Intercontinental

Exchange,

Inc.,

4.00%,

09/15/27

.....................

2,774

2,740,457

Morgan

Stanley

(a)

(1-Day

SOFR

+

0.47%),

5.37%,

11/10/23

9,300

9,277,931

(1-Day

SOFR

+

0.46%),

5.37%,

01/25/24

20,515

20,451,814

(1-Day

SOFR

+

0.62%),

0.73%,

04/05/24

7,580

7,577,803

(1-Day

SOFR

+

0.53%),

0.79%,

05/30/25

1,395

1,320,465

(1-Day

SOFR

+

0.88%),

1.59%,

05/04/27

4,773

4,277,384

(1-Day

SOFR

+

0.86%),

1.51%,

07/20/27

1,059

941,105

(1-Day

SOFR

+

2.24%),

6.30%,

10/18/28

19,781

20,800,631

(1-Day

SOFR

+

1.73%),

5.12%,

02/01/29

6,102

6,150,475

Nomura

Holdings,

Inc.

2.65%,

01/16/25

.................

1,430

1,354,687

1.85%,

07/16/25

.................

459

420,057

5.71%,

01/09/26

.................

622

623,718

OWL

Rock

Core

Income

Corp.

3.13%,

09/23/26

.................

32

27,761

7.75%,

09/16/27

(b)

................

241

237,418

State

Street

Corp.,

(1-Day

SOFR

+

0.60%),

4.86%,

01/26/26

(a)

...............

1,645

1,633,697

UBS

Group

AG

(a)

(1-Year

EURIBOR

ICE

Swap

Rate

+

0.55%),

0.25%,

01/29/26

(d)

........

EUR

2,640

2,633,175

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.55%),

5.71%,

01/12/27

(b)

...................

USD

2,344

2,322,626

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.08%),

1.36%,

01/30/27

(b)

...................

653

573,404

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.05%),

4.70%,

08/05/27

(b)

...................

10,130

9,693,666

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

0.85%),

1.49%,

08/10/27

(b)

...................

7,780

6,699,013

179,237,055

Chemicals

—

0.3%

Air

Products

&

Chemicals,

Inc.,

1.50%,

10/15/25

.....................

422

392,547

Arkema

SA,

0.13%,

10/14/26

(d)

.........

EUR

800

776,573

Axalta

Coating

Systems

LLC

(b)

4.75%,

06/15/27

.................

USD

449

426,640

3.38%,

02/15/29

.................

652

558,623

BASF

SE,

0.10%,

06/05/23

(d)

..........

EUR

3,500

3,775,708

Covestro

AG,

0.88%,

02/03/26

(d)

........

1,430

1,449,615

Element

Solutions,

Inc.,

3.88%,

09/01/28

(b)

.

USD

911

799,530

Gates

Global

LLC,

6.25%,

01/15/26

(b)

.....

104

102,180

Herens

Holdco

SARL,

4.75%,

05/15/28

(b)

..

253

203,665

LYB

International

Finance

III

LLC,

1.25%,

10/01/25

.....................

4,206

3,808,799

NOVA

Chemicals

Corp.,

4.88%,

06/01/24

(b)

.

105

103,590

Sherwin-Williams

Co.

(The),

4.25%,

08/08/25

1,809

1,788,773

WR

Grace

Holdings

LLC,

4.88%,

06/15/27

(b)

639

615,939

14,802,182

Security

Par

(000)

Par

(000)

Value

Commercial

Services

&

Supplies

—

0.1%

ADT

Security

Corp.

(The),

4.13%,

06/15/23

.

USD

15

$

14,927

Allied

Universal

Holdco

LLC

(b)

6.63%,

07/15/26

.................

888

853,372

4.63%,

06/01/28

.................

1,115

938,817

APX

Group,

Inc.,

6.75%,

02/15/27

(b)

......

238

236,810

Aramark

Services,

Inc.

(b)

5.00%,

04/01/25

.................

62

61,014

6.38%,

05/01/25

.................

286

288,105

5.00%,

02/01/28

.................

313

296,243

Brink's

Co.

(The),

5.50%,

07/15/25

(b)

.....

40

39,630

Clean

Harbors,

Inc.,

4.88%,

07/15/27

(b)

....

316

304,785

Garda

World

Security

Corp.

(b)

4.63%,

02/15/27

.................

126

113,104

7.75%,

02/15/28

.................

144

141,927

GFL

Environmental,

Inc.

(b)

4.25%,

06/01/25

.................

6

5,854

3.75%,

08/01/25

.................

171

164,331

5.13%,

12/15/26

.................

300

293,330

4.00%,

08/01/28

.................

433

393,411

3.50%,

09/01/28

.................

23

20,815

Legends

Hospitality

Holding

Co.

LLC,

5.00%,

02/01/26

(b)

....................

81

72,484

Neptune

Bidco

US,

Inc.,

9.29%,

04/15/29

(b)

.

136

126,086

Prime

Security

Services

Borrower

LLC

(b)

5.25%,

04/15/24

.................

81

80,089

5.75%,

04/15/26

.................

43

42,677

3.38%,

08/31/27

.................

221

198,071

6.25%,

01/15/28

.................

185

172,975

4,858,857

Communications

Equipment

—

0.0%

(b)

CommScope

Technologies

LLC,

6.00%,

06/15/25

.....................

88

82,875

CommScope,

Inc.

6.00%,

03/01/26

.................

396

382,180

8.25%,

03/01/27

.................

36

29,487

Viasat,

Inc.,

5.63%,

04/15/27

..........

217

203,763

Viavi

Solutions,

Inc.,

3.75%,

10/01/29

....

109

93,213

791,518

Construction

&

Engineering

—

0.1%

Arcosa,

Inc.,

4.38%,

04/15/29

(b)

........

242

215,225

Cellnex

Finance

Co.

SA,

2.25%,

04/12/26

(d)

.

EUR

2,300

2,341,242

Dycom

Industries,

Inc.,

4.50%,

04/15/29

(b)

..

USD

55

49,637

Heathrow

Funding

Ltd.,

1.50%,

10/12/25

(d)

.

EUR

6,045

6,180,968

8,787,072

Consumer

Finance

—

1.9%

AerCap

Ireland

Capital

DAC

2.88%,

08/14/24

.................

USD

8,150

7,785,966

1.65%,

10/29/24

.................

850

795,122

2.45%,

10/29/26

.................

10,210

9,165,648

American

Express

Co.,

2.55%,

03/04/27

...

10,977

10,132,863

Capital

One

Financial

Corp.

(1-Day

SOFR

+

0.69%),

1.34%,

12/06/24

(a)

673

649,902

(1-Day

SOFR

+

0.69%),

5.58%,

12/06/24

(a)

10,000

9,783,914

3.75%,

03/09/27

.................

1,265

1,150,755

3.65%,

05/11/27

.................

923

840,638

(1-Day

SOFR

+

0.86%),

1.88%,

11/02/27

(a)

1,317

1,133,803

(1-Day

SOFR

+

2.08%),

5.47%,

02/01/29

(a)

9,198

8,964,116

FCA

Bank

SpA

(d)

0.50%,

09/18/23

.................

EUR

2,474

2,648,898

0.13%,

11/16/23

.................

810

860,542

0.00%,

04/16/24

.................

1,250

1,302,213

Ford

Motor

Credit

Co.

LLC

3.37%,

11/17/23

.................

USD

7,087

6,951,621

5.13%,

06/16/25

.................

239

233,944

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

85

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Consumer

Finance

(continued)

4.13%,

08/04/25

.................

USD

370

$

351,969

2.70%,

08/10/26

.................

2,860

2,545,372

4.27%,

01/09/27

.................

200

186,220

4.95%,

05/28/27

.................

200

190,763

4.13%,

08/17/27

.................

200

183,248

3.82%,

11/02/27

.................

200

179,250

2.90%,

02/16/28

.................

292

251,003

5.11%,

05/03/29

.................

390

366,132

General

Motors

Financial

Co.,

Inc.

4.00%,

01/15/25

.................

3,800

3,703,637

4.35%,

04/09/25

.................

1,773

1,736,007

6.05%,

10/10/25

.................

6,006

6,104,073

2.35%,

02/26/27

.................

3,702

3,313,673

6.00%,

01/09/28

.................

975

997,927

John

Deere

Capital

Corp.

0.70%,

01/15/26

.................

1,300

1,179,783

2.65%,

06/10/26

.................

3,128

2,973,139

2.35%,

03/08/27

.................

7,200

6,687,580

Navient

Corp.

7.25%,

09/25/23

.................

38

37,871

6.13%,

03/25/24

.................

181

178,568

OneMain

Finance

Corp.

6.88%,

03/15/25

.................

210

203,491

7.13%,

03/15/26

.................

13

12,497

3.50%,

01/15/27

.................

146

122,532

6.63%,

01/15/28

.................

147

134,771

SLM

Corp.,

3.13%,

11/02/26

..........

108

91,800

Synchrony

Financial,

4.88%,

06/13/25

....

5,678

5,256,079

Toyota

Motor

Finance

Netherlands

BV,

0.00%,

10/27/25

(d)

....................

EUR

1,960

1,943,161

Volkswagen

Bank

GmbH,

1.88%,

01/31/24

(d)

7,000

7,466,802

Volkswagen

Financial

Services

AG,

0.88%,

01/31/28

(d)

....................

1,815

1,688,758

Volkswagen

Leasing

GmbH,

0.38%,

07/20/26

(d)

1,020

987,750

111,473,801

Consumer

Staples

Distribution

&

Retail

—

0.4%

7-Eleven,

Inc.,

0.80%,

02/10/24

(b)

.......

USD

25,967

24,863,939

Albertsons

Cos.,

Inc.

(b)

3.25%,

03/15/26

.................

21

19,761

4.63%,

01/15/27

.................

390

377,163

5.88%,

02/15/28

.................

173

171,937

6.50%,

02/15/28

.................

62

62,155

3.50%,

03/15/29

.................

153

133,124

Performance

Food

Group,

Inc.,

5.50%,

10/15/27

(b)

....................

227

221,920

Target

Corp.,

2.50%,

04/15/26

.........

387

371,509

United

Natural

Foods,

Inc.,

6.75%,

10/15/28

(b)

38

35,317

US

Foods,

Inc.

(b)

6.25%,

04/15/25

.................

220

221,983

4.75%,

02/15/29

.................

54

49,883

26,528,691

Containers

&

Packaging

—

0.5%

Ardagh

Metal

Packaging

Finance

USA

LLC

(b)

6.00%,

06/15/27

.................

821

813,632

3.25%,

09/01/28

.................

200

172,112

4.00%,

09/01/29

.................

200

156,500

Ardagh

Packaging

Finance

plc,

5.25%,

04/30/25

(b)

....................

200

197,000

Ball

Corp.,

5.25%,

07/01/25

..........

12,214

12,132,434

Canpack

SA,

3.13%,

11/01/25

(b)

........

200

181,232

Clydesdale

Acquisition

Holdings,

Inc.,

6.63%,

04/15/29

(b)

....................

363

349,387

Crown

Americas

LLC,

4.75%,

02/01/26

...

162

157,760

Crown

Cork

&

Seal

Co.,

Inc.,

7.38%,

12/15/26

165

174,352

Security

Par

(000)

Par

(000)

Value

Containers

&

Packaging

(continued)

LABL,

Inc.

(b)

5.88%,

11/01/28

.................

USD

146

$

129,731

9.50%,

11/01/28

.................

111

111,971

Mauser

Packaging

Solutions

Holding

Co.,

7.88%,

08/15/26

(b)

...............

1,271

1,271,000

Sealed

Air

Corp.

(b)

5.13%,

12/01/24

.................

5,330

5,293,780

4.00%,

12/01/27

.................

259

241,699

6.13%,

02/01/28

.................

64

64,714

SIG

Combibloc

PurchaseCo

SARL,

2.13%,

06/18/25

(d)

....................

EUR

1,295

1,351,761

Sonoco

Products

Co.,

2.25%,

02/01/27

...

USD

6,640

6,018,058

Trivium

Packaging

Finance

BV,

5.50%,

08/15/26

(b)(c)

...................

747

715,626

29,532,749

Distributors

—

0.0%

Ritchie

Bros

Holdings,

Inc.,

6.75%,

03/15/28

(b)

32

32,955

Diversified

Consumer

Services

—

0.0%

(b)

Graham

Holdings

Co.,

5.75%,

06/01/26

...

135

132,320

Sotheby's

7.38%,

10/15/27

.................

738

698,096

5.88%,

06/01/29

.................

200

165,864

996,280

Diversified

REITs

—

0.2%

Digital

Dutch

Finco

BV,

0.63%,

07/15/25

(d)

..

EUR

6,335

6,241,290

Global

Net

Lease,

Inc.,

3.75%,

12/15/27

(b)

..

USD

195

154,288

HAT

Holdings

I

LLC,

3.38%,

06/15/26

(b)

...

146

126,655

Simon

Property

Group

LP

3.50%,

09/01/25

.................

1,153

1,111,699

3.30%,

01/15/26

.................

817

779,852

Uniti

Group

LP,

10.50%,

02/15/28

(b)

......

218

211,460

VICI

Properties

LP,

4.38%,

05/15/25

.....

6,232

6,032,922

14,658,166

Diversified

Telecommunication

Services

—

0.5%

Altice

France

SA

(b)

5.50%,

01/15/28

.................

299

245,644

5.13%,

01/15/29

.................

404

307,860

AT&T,

Inc.

1.05%,

09/05/23

.................

EUR

3,815

4,097,864

1.70%,

03/25/26

.................

USD

15,929

14,654,678

CCO

Holdings

LLC

(b)

5.13%,

05/01/27

.................

372

351,540

5.00%,

02/01/28

.................

645

595,012

5.38%,

06/01/29

.................

879

807,142

6.38%,

09/01/29

.................

375

358,125

Frontier

Communications

Holdings

LLC

(b)

5.88%,

10/15/27

.................

252

229,093

5.00%,

05/01/28

.................

391

339,294

8.75%,

05/15/30

.................

70

69,721

Iliad

Holding

SASU

(b)

6.50%,

10/15/26

.................

400

381,208

7.00%,

10/15/28

.................

644

611,021

Level

3

Financing,

Inc.

(b)

3.40%,

03/01/27

.................

193

152,652

4.63%,

09/15/27

.................

178

107,022

4.25%,

07/01/28

.................

179

100,992

3.63%,

01/15/29

.................

17

9,400

3.88%,

11/15/29

.................

158

114,349

Lumen

Technologies,

Inc.

(b)

4.00%,

02/15/27

.................

428

282,480

4.50%,

01/15/29

.................

90

40,275

Sprint

Capital

Corp.,

6.88%,

11/15/28

.....

810

870,369

Telecom

Italia

SpA,

5.30%,

05/30/24

(b)

....

447

438,060

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

86

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Diversified

Telecommunication

Services

(continued)

Verizon

Communications,

Inc.,

2.10%,

03/22/28

USD

5,242

$

4,669,684

Virgin

Media

Secured

Finance

plc,

5.50%,

05/15/29

(b)

....................

368

342,697

Zayo

Group

Holdings,

Inc.,

4.00%,

03/01/27

(b)

1,716

1,304,160

31,480,342

Electric

Utilities

—

1.7%

Alliant

Energy

Finance

LLC,

3.75%,

06/15/23

(b)

8,085

8,057,707

Duke

Energy

Corp.,

5.00%,

12/08/25

.....

3,842

3,867,819

Edison

International,

4.70%,

08/15/25

....

12,108

11,939,836

Enel

Finance

International

NV,

0.00%,

06/17/24

(d)

....................

EUR

5,190

5,395,319

ESB

Finance

DAC,

3.49%,

01/12/24

(d)

....

2,185

2,366,334

Eversource

Energy

2.90%,

03/01/27

.................

USD

9,066

8,456,072

5.45%,

03/01/28

.................

4,145

4,295,153

Exelon

Corp.

2.75%,

03/15/27

.................

1,849

1,729,086

5.15%,

03/15/28

.................

6,135

6,241,843

FirstEnergy

Corp.,

Series

B,

4.15%,

07/15/27

(c)

470

447,675

Florida

Power

&

Light

Co.,

5.05%,

04/01/28

.

6,185

6,390,744

NextEra

Energy

Capital

Holdings,

Inc.

4.26%,

09/01/24

.................

3,995

3,957,534

1.88%,

01/15/27

.................

1,896

1,713,964

3.55%,

05/01/27

.................

1,267

1,211,086

4.63%,

07/15/27

.................

5,338

5,323,627

1.90%,

06/15/28

.................

1,069

938,692

NextEra

Energy

Operating

Partners

LP,

4.25%,

07/15/24

(b)

....................

106

104,651

NRG

Energy,

Inc.

6.63%,

01/15/27

.................

156

155,663

5.75%,

01/15/28

.................

45

44,131

5.25%,

06/15/29

(b)

................

10

9,284

Pacific

Gas

&

Electric

Co.,

3.45%,

07/01/25

.

4,820

4,593,767

Pattern

Energy

Operations

LP,

4.50%,

08/15/28

(b)

....................

265

242,434

Southern

Co.

(The),

4.48%,

08/01/24

(c)

....

12,464

12,311,691

Texas

Electric

Market

Stabilization

Funding

N

LLC,

Series

A-1,

4.27%,

08/01/34

(b)

....

5,679

5,500,327

Virginia

Electric

&

Power

Co.,

Series

B,

3.75%,

05/15/27

.....................

5,067

4,914,922

Vistra

Operations

Co.

LLC,

5.63%,

02/15/27

(b)

374

362,916

100,572,277

Electrical

Equipment

—

0.1%

Regal

Rexnord

Corp.

(b)

6.05%,

02/15/26

.................

35

35,153

6.05%,

04/15/28

.................

217

217,097

Schneider

Electric

SE,

0.25%,

09/09/24

(d)

..

EUR

2,900

3,020,468

Sensata

Technologies

BV

(b)

5.00%,

10/01/25

.................

USD

239

237,249

4.00%,

04/15/29

.................

340

307,182

Vertiv

Group

Corp.,

4.13%,

11/15/28

(b)

....

356

314,118

4,131,267

Electronic

Equipment,

Instruments

&

Components

—

0.0%

Sensata

Technologies,

Inc.,

4.38%,

02/15/30

(b)

20

18,223

Energy

Equipment

&

Services

—

0.0%

Archrock

Partners

LP

(b)

6.88%,

04/01/27

.................

489

479,831

6.25%,

04/01/28

.................

258

247,680

Enerflex

Ltd.,

9.00%,

10/15/27

(b)

........

110

106,975

Nabors

Industries,

Inc.,

7.38%,

05/15/27

(b)

..

339

332,010

Precision

Drilling

Corp.,

6.88%,

01/15/29

(b)

.

31

28,132

Transocean

Titan

Financing

Ltd.,

8.38%,

02/01/28

(b)

....................

80

82,326

Transocean,

Inc.,

8.75%,

02/15/30

(b)

.....

288

293,760

Security

Par

(000)

Par

(000)

Value

Energy

Equipment

&

Services

(continued)

USA

Compression

Partners

LP

6.88%,

04/01/26

.................

USD

728

$

707,577

6.88%,

09/01/27

.................

99

94,603

Weatherford

International

Ltd.

(b)

11.00%,

12/01/24

................

6

6,157

6.50%,

09/15/28

.................

123

123,210

2,502,261

Entertainment

—

0.2%

Lions

Gate

Capital

Holdings

LLC,

5.50%,

04/15/29

(b)

....................

90

59,175

Live

Nation

Entertainment,

Inc.

(b)

4.88%,

11/01/24

.................

65

63,700

5.63%,

03/15/26

.................

5

4,838

6.50%,

05/15/27

.................

500

505,372

4.75%,

10/15/27

.................

108

99,900

3.75%,

01/15/28

.................

305

272,975

Netflix,

Inc.,

4.38%,

11/15/26

..........

10,000

9,887,500

TWDC

Enterprises

18

Corp.,

1.85%,

07/30/26

1,061

979,507

11,872,967

Financial

Services

—

1.1%

Block,

Inc.,

2.75%,

06/01/26

..........

767

699,324

Enact

Holdings,

Inc.,

6.50%,

08/15/25

(b)

...

313

305,175

Fidelity

National

Information

Services,

Inc.,

4.50%,

07/15/25

................

2,600

2,569,935

Fiserv,

Inc.

2.75%,

07/01/24

.................

468

454,088

3.20%,

07/01/26

.................

448

425,222

5.45%,

03/02/28

.................

8,300

8,477,316

Global

Payments,

Inc.

1.20%,

03/01/26

.................

19,108

16,995,117

2.15%,

01/15/27

.................

3,910

3,462,721

4.95%,

08/15/27

.................

451

445,532

Home

Point

Capital,

Inc.,

5.00%,

02/01/26

(b)

.

151

113,296

Jefferies

Finance

LLC,

5.00%,

08/15/28

(b)

..

396

335,250

LSEGA

Financing

plc,

1.38%,

04/06/26

(b)

..

11,120

9,924,272

National

Rural

Utilities

Cooperative

Finance

Corp.,

4.80%,

03/15/28

............

7,260

7,329,296

Nationstar

Mortgage

Holdings,

Inc.,

6.00%,

01/15/27

(b)

....................

191

173,332

NTT

Finance

Corp.,

4.37%,

07/27/27

(b)

....

4,175

4,137,725

Operadora

de

Servicios

Mega

SA

de

CV

Sofom

ER,

8.25%,

02/11/25

(b)

............

286

137,334

Rocket

Mortgage

LLC,

2.88%,

10/15/26

(b)

..

346

309,670

Sabre

GLBL,

Inc.

(b)

9.25%,

04/15/25

.................

98

92,316

7.38%,

09/01/25

.................

102

91,137

11.25%,

12/15/27

................

55

51,251

Shift4

Payments

LLC,

4.63%,

11/01/26

(b)

...

291

273,540

Siemens

Financieringsmaatschappij

NV,

0.38%,

09/06/23

(d)

...............

EUR

5,710

6,118,086

Visa,

Inc.,

1.90%,

04/15/27

...........

USD

660

607,083

63,528,018

Food

Products

—

0.1%

Chobani

LLC,

4.63%,

11/15/28

(b)

........

583

531,259

Darling

Ingredients,

Inc.,

5.25%,

04/15/27

(b)

.

268

261,300

General

Mills,

Inc.

5.24%,

11/18/25

.................

2,078

2,084,239

0.45%,

01/15/26

.................

EUR

1,420

1,412,008

Lamb

Weston

Holdings,

Inc.,

4.88%,

05/15/28

(b)

USD

335

324,933

Post

Holdings,

Inc.,

5.75%,

03/01/27

(b)

....

88

85,871

Simmons

Foods,

Inc.,

4.63%,

03/01/29

(b)

..

191

155,212

4,854,822

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

87

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Gas

Utilities

—

0.1%

ONE

Gas,

Inc.,

1.10%,

03/11/24

........

USD

5,200

$

4,993,817

Redexis

Gas

Finance

BV,

1.88%,

05/28/25

(d)

EUR

900

932,622

Snam

SpA,

0.00%,

08/15/25

(d)

.........

1,400

1,396,298

7,322,737

Ground

Transportation

—

0.7%

Albion

Financing

1

SARL,

6.13%,

10/15/26

(b)

USD

241

214,500

Canadian

Pacific

Railway

Co.

1.75%,

12/02/26

.................

973

881,962

4.00%,

06/01/28

.................

3,064

3,009,810

Norfolk

Southern

Corp.,

3.80%,

08/01/28

..

3,578

3,442,759

Penske

Truck

Leasing

Co.

LP

(b)

1.20%,

11/15/25

.................

5,012

4,503,810

1.70%,

06/15/26

.................

4,295

3,836,957

4.40%,

07/01/27

.................

485

465,273

Ryder

System,

Inc.

1.75%,

09/01/26

.................

362

324,742

2.90%,

12/01/26

.................

709

655,405

2.85%,

03/01/27

.................

7,747

7,122,764

SMBC

Aviation

Capital

Finance

DAC

(b)

1.90%,

10/15/26

.................

12,895

11,308,288

2.30%,

06/15/28

.................

2,835

2,390,813

Uber

Technologies,

Inc.

(b)

7.50%,

05/15/25

.................

336

340,308

8.00%,

11/01/26

.................

493

505,438

7.50%,

09/15/27

.................

400

412,444

6.25%,

01/15/28

.................

407

405,983

4.50%,

08/15/29

.................

151

137,599

Union

Pacific

Corp.,

3.00%,

04/15/27

.....

309

294,789

Williams

Scotsman

International,

Inc.,

6.13%,

06/15/25

(b)

....................

386

383,577

XPO

Escrow

Sub

LLC,

7.50%,

11/15/27

(b)

..

74

76,960

40,714,181

Health

Care

Equipment

&

Supplies

—

0.4%

Avantor

Funding,

Inc.

(b)

4.63%,

07/15/28

.................

637

603,557

3.88%,

11/01/29

.................

9

8,055

Becton

Dickinson

&

Co.,

1.40%,

05/24/23

..

EUR

1,325

1,432,870

GE

HealthCare

Technologies,

Inc.,

5.60%,

11/15/25

(b)

....................

USD

15,130

15,312,571

Medline

Borrower

LP,

3.88%,

04/01/29

(b)

...

508

440,690

Medtronic

Global

Holdings

SCA,

4.25%,

03/30/28

.....................

4,610

4,602,654

Teleflex,

Inc.

4.63%,

11/15/27

.................

20

19,536

4.25%,

06/01/28

(b)

................

277

263,403

22,683,336

Health

Care

Providers

&

Services

—

1.5%

Acadia

Healthcare

Co.,

Inc.,

5.00%,

04/15/29

(b)

23

21,620

Centene

Corp.,

2.45%,

07/15/28

........

661

575,070

Cigna

Group

(The),

4.13%,

11/15/25

.....

1,870

1,839,571

Community

Health

Systems,

Inc.

(b)

5.63%,

03/15/27

.................

66

57,940

6.00%,

01/15/29

.................

146

123,498

CVS

Health

Corp.

1.30%,

08/21/27

.................

4,565

3,975,480

4.30%,

03/25/28

.................

2,740

2,690,804

Elevance

Health,

Inc.

5.35%,

10/15/25

.................

4,307

4,344,767

3.65%,

12/01/27

.................

16,435

15,881,722

Encompass

Health

Corp.,

4.50%,

02/01/28

.

402

374,700

Fresenius

Finance

Ireland

plc,

0.00%,

10/01/25

(d)

....................

EUR

2,830

2,796,749

HCA,

Inc.

5.38%,

02/01/25

.................

USD

13,597

13,602,688

Security

Par

(000)

Par

(000)

Value

Health

Care

Providers

&

Services

(continued)

5.25%,

04/15/25

.................

USD

7,000

$

6,995,500

7.69%,

06/15/25

.................

363

375,385

5.88%,

02/15/26

.................

10,280

10,432,219

5.38%,

09/01/26

.................

2,090

2,097,444

HealthEquity,

Inc.,

4.50%,

10/01/29

(b)

.....

274

243,440

Legacy

LifePoint

Health

LLC

(b)

6.75%,

04/15/25

.................

262

248,628

4.38%,

02/15/27

.................

11

8,996

ModivCare,

Inc.,

5.88%,

11/15/25

(b)

......

53

50,814

Molina

Healthcare,

Inc.,

4.38%,

06/15/28

(b)

.

363

337,695

PeaceHealth

Obligated

Group,

Series

2020,

1.38%,

11/15/25

................

2,185

1,988,054

Tenet

Healthcare

Corp.

4.63%,

07/15/24

.................

124

122,316

4.63%,

09/01/24

.................

277

272,115

4.88%,

01/01/26

.................

289

283,324

6.25%,

02/01/27

.................

236

232,080

5.13%,

11/01/27

.................

9

8,640

4.63%,

06/15/28

.................

128

118,062

UnitedHealth

Group,

Inc.

5.15%,

10/15/25

.................

1,660

1,691,309

3.10%,

03/15/26

.................

316

305,461

4.25%,

01/15/29

.................

14,200

14,095,180

86,191,271

Health

Care

REITs

—

0.1%

Healthpeak

OP

LLC,

1.35%,

02/01/27

....

2,753

2,419,063

MPT

Operating

Partnership

LP

5.25%,

08/01/26

.................

258

231,899

4.63%,

08/01/29

.................

114

84,218

Nationwide

Health

Properties,

Inc.,

6.59%,

07/07/38

.....................

1,400

1,459,067

4,194,247

Health

Care

Technology

—

0.0%

IQVIA,

Inc.,

5.00%,

05/15/27

(b)

.........

523

513,895

Hotel

&

Resort

REITs

—

0.0%

RHP

Hotel

Properties

LP

4.75%,

10/15/27

.................

211

197,748

4.50%,

02/15/29

(b)

................

217

196,012

RLJ

Lodging

Trust

LP,

3.75%,

07/01/26

(b)

..

166

151,957

545,717

Hotels,

Restaurants

&

Leisure

—

0.2%

1011778

BC

ULC

(b)

3.88%,

01/15/28

.................

222

206,460

4.38%,

01/15/28

.................

455

420,033

Booking

Holdings,

Inc.,

0.10%,

03/08/25

...

EUR

3,610

3,666,330

Boyne

USA,

Inc.,

4.75%,

05/15/29

(b)

.....

USD

189

168,734

Caesars

Entertainment,

Inc.

(b)

6.25%,

07/01/25

.................

1,114

1,114,052

7.00%,

02/15/30

.................

696

708,180

Caesars

Resort

Collection

LLC,

5.75%,

07/01/25

(b)

....................

220

220,047

Carnival

Corp.

(b)

10.50%,

02/01/26

................

337

351,127

7.63%,

03/01/26

.................

65

59,312

5.75%,

03/01/27

.................

243

199,340

9.88%,

08/01/27

.................

176

181,297

4.00%,

08/01/28

.................

91

78,336

6.00%,

05/01/29

.................

256

203,520

Carnival

Holdings

Bermuda

Ltd.,

10.38%,

05/01/28

(b)

....................

896

963,881

Cedar

Fair

LP,

5.50%,

05/01/25

(b)

.......

229

228,856

Churchill

Downs,

Inc.

(b)

5.50%,

04/01/27

.................

739

723,544

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

88

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

4.75%,

01/15/28

.................

USD

440

$

412,027

Fertitta

Entertainment

LLC,

4.63%,

01/15/29

(b)

253

222,058

Hilton

Domestic

Operating

Co.,

Inc.

(b)

5.38%,

05/01/25

.................

288

287,460

5.75%,

05/01/28

.................

15

15,000

3.75%,

05/01/29

.................

134

119,930

Hilton

Worldwide

Finance

LLC,

4.88%,

04/01/27

.....................

186

183,474

Life

Time,

Inc.,

5.75%,

01/15/26

(b)

.......

140

136,000

Lindblad

Expeditions

LLC,

6.75%,

02/15/27

(b)

130

125,852

Melco

Resorts

Finance

Ltd.,

4.88%,

06/06/25

(b)

200

186,875

MGM

Resorts

International,

5.75%,

06/15/25

208

207,499

NCL

Corp.

Ltd.,

8.38%,

02/01/28

(b)

......

61

61,209

Raptor

Acquisition

Corp.,

4.88%,

11/01/26

(b)

.

126

117,180

Royal

Caribbean

Cruises

Ltd.

(b)

4.25%,

07/01/26

.................

67

60,132

5.50%,

08/31/26

.................

142

132,848

5.38%,

07/15/27

.................

126

112,228

11.63%,

08/15/27

................

57

61,221

5.50%,

04/01/28

.................

19

16,775

8.25%,

01/15/29

.................

156

163,196

9.25%,

01/15/29

.................

176

187,000

7.25%,

01/15/30

.................

124

124,775

Six

Flags

Theme

Parks,

Inc.,

7.00%,

07/01/25

(b)

179

180,850

Station

Casinos

LLC,

4.50%,

02/15/28

(b)

...

190

171,475

Vail

Resorts,

Inc.,

6.25%,

05/15/25

(b)

.....

111

111,260

Viking

Ocean

Cruises

Ship

VII

Ltd.,

5.63%,

02/15/29

(b)

....................

34

29,183

Wynn

Las

Vegas

LLC,

5.25%,

05/15/27

(b)

..

216

204,120

Wynn

Resorts

Finance

LLC,

5.13%,

10/01/29

(b)

45

40,876

13,163,552

Household

Durables

—

0.2%

Brookfield

Residential

Properties,

Inc.,

5.00%,

06/15/29

(b)

....................

292

223,380

CD&R

Smokey

Buyer,

Inc.,

6.75%,

07/15/25

(b)

123

105,472

DR

Horton,

Inc.,

1.30%,

10/15/26

.......

3,158

2,785,949

Meritage

Homes

Corp.,

5.13%,

06/06/27

...

183

177,968

Newell

Brands,

Inc.,

4.45%,

04/01/26

(c)

....

8,000

7,700,000

PulteGroup,

Inc.,

5.00%,

01/15/27

.......

781

774,524

Taylor

Morrison

Communities,

Inc.,

5.88%,

06/15/27

(b)

....................

100

98,103

Tempur

Sealy

International,

Inc.,

4.00%,

04/15/29

(b)

....................

310

272,732

TRI

Pointe

Homes,

Inc.,

5.25%,

06/01/27

..

276

262,200

12,400,328

Household

Products

—

0.0%

Central

Garden

&

Pet

Co.,

5.13%,

02/01/28

.

250

240,625

Independent

Power

and

Renewable

Electricity

Producers

—

0.1%

(b)

Alexander

Funding

Trust,

1.84%,

11/15/23

.

8,395

8,142,998

Calpine

Corp.,

5.13%,

03/15/28

........

348

318,618

Clearway

Energy

Operating

LLC,

4.75%,

03/15/28

.....................

208

198,640

8,660,256

Insurance

—

0.2%

Alliant

Holdings

Intermediate

LLC

(b)

4.25%,

10/15/27

.................

1,143

1,023,774

6.75%,

04/15/28

.................

279

275,861

American

International

Group,

Inc.,

3.90%,

04/01/26

.....................

332

322,951

AmWINS

Group,

Inc.,

4.88%,

06/30/29

(b)

...

176

155,760

Aon

Corp.,

2.85%,

05/28/27

..........

7,404

6,874,703

E.ON

International

Finance

BV,

1.00%,

04/13/25

(d)

....................

EUR

300

309,886

Security

Par

(000)

Par

(000)

Value

Insurance

(continued)

NFP

Corp.,

4.88%,

08/15/28

(b)

.........

USD

768

$

692,736

Ryan

Specialty

Group

LLC,

4.38%,

02/01/30

(b)

62

54,211

9,709,882

IT

Services

—

0.1%

Acuris

Finance

US,

Inc.,

5.00%,

05/01/28

(b)

.

237

186,045

Booz

Allen

Hamilton,

Inc.,

3.88%,

09/01/28

(b)

336

306,613

CA

Magnum

Holdings,

5.38%,

10/31/26

(b)

..

200

176,500

Cablevision

Lightpath

LLC,

3.88%,

09/15/27

(b)

200

160,946

Capgemini

SE,

0.63%,

06/23/25

(d)

.......

EUR

2,400

2,441,916

Gartner,

Inc.,

4.50%,

07/01/28

(b)

........

USD

191

181,297

International

Business

Machines

Corp.

4.50%,

02/06/26

.................

448

447,174

3.45%,

02/19/26

.................

313

304,277

3.30%,

05/15/26

.................

2,042

1,969,480

ION

Trading

Technologies

SARL,

5.75%,

05/15/28

(b)

....................

269

214,842

Northwest

Fiber

LLC,

4.75%,

04/30/27

(b)

...

346

295,597

Presidio

Holdings,

Inc.,

4.88%,

02/01/27

(b)

..

18

17,202

Tempo

Acquisition

LLC,

5.75%,

06/01/25

(b)

.

141

139,800

Twilio,

Inc.,

3.63%,

03/15/29

..........

348

300,150

VeriSign,

Inc.,

5.25%,

04/01/25

........

1,523

1,521,523

8,663,362

Life

Sciences

Tools

&

Services

—

0.1%

Charles

River

Laboratories

International,

Inc.,

4.25%,

05/01/28

(b)

...............

137

128,216

Danaher

Corp.,

1.70%,

03/30/24

.......

EUR

1,600

1,705,317

PRA

Health

Sciences,

Inc.,

2.88%,

07/15/26

(b)

USD

400

368,964

Thermo

Fisher

Scientific,

Inc.,

2.00%,

04/15/25

EUR

2,550

2,683,517

4,886,014

Machinery

—

0.2%

EnPro

Industries,

Inc.,

5.75%,

10/15/26

...

USD

156

151,710

Illinois

Tool

Works,

Inc.,

0.25%,

12/05/24

..

EUR

5,360

5,506,916

Mueller

Water

Products,

Inc.,

4.00%,

06/15/29

(b)

USD

91

81,288

Parker-Hannifin

Corp.,

2.70%,

06/14/24

...

652

633,571

Terex

Corp.,

5.00%,

05/15/29

(b)

........

141

131,202

Titan

International,

Inc.,

7.00%,

04/30/28

..

59

53,161

TK

Elevator

US

Newco,

Inc.,

5.25%,

07/15/27

(b)

684

645,764

Traton

Finance

Luxembourg

SA

(d)

0.00%,

06/14/24

.................

EUR

2,400

2,492,639

0.13%,

11/10/24

.................

2,200

2,254,127

4.13%,

11/22/25

.................

1,300

1,415,729

Wabash

National

Corp.,

4.50%,

10/15/28

(b)

.

USD

195

169,059

13,535,166

Media

—

0.8%

Altice

Financing

SA,

5.00%,

01/15/28

(b)

....

700

569,240

Charter

Communications

Operating

LLC,

4.20%,

03/15/28

................

7,209

6,822,971

Clear

Channel

International

BV,

6.63%,

08/01/25

(b)

....................

610

593,580

Clear

Channel

Outdoor

Holdings,

Inc.,

5.13%,

08/15/27

(b)

....................

854

766,465

Comcast

Corp.

5.25%,

11/07/25

.................

596

608,979

2.35%,

01/15/27

.................

756

704,200

3.30%,

02/01/27

.................

918

885,357

3.30%,

04/01/27

.................

630

605,437

5.35%,

11/15/27

.................

830

864,177

3.55%,

05/01/28

.................

13,187

12,672,824

4.15%,

10/15/28

.................

2,412

2,386,011

1.95%,

01/15/31

.................

549

456,819

CSC

Holdings

LLC

5.25%,

06/01/24

.................

705

680,325

5.38%,

02/01/28

(b)

................

381

312,139

DirecTV

Financing

LLC,

5.88%,

08/15/27

(b)

.

286

259,030

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

89

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Media

(continued)

DISH

DBS

Corp.

(b)

5.25%,

12/01/26

.................

USD

642

$

512,249

5.75%,

12/01/28

.................

122

91,042

DISH

Network

Corp.,

11.75%,

11/15/27

(b)

..

259

251,230

GCI

LLC,

4.75%,

10/15/28

(b)

..........

117

100,939

Informa

plc

(d)

1.50%,

07/05/23

.................

EUR

2,951

3,182,137

2.13%,

10/06/25

.................

4,305

4,445,091

LCPR

Senior

Secured

Financing

DAC,

6.75%,

10/15/27

(b)

....................

USD

502

474,139

Outfront

Media

Capital

LLC

(b)

5.00%,

08/15/27

.................

405

364,836

4.25%,

01/15/29

.................

111

92,130

Radiate

Holdco

LLC,

4.50%,

09/15/26

(b)

...

274

214,405

Sinclair

Television

Group,

Inc.,

5.13%,

02/15/27

(b)

....................

212

185,500

Sirius

XM

Radio,

Inc.

(b)

3.13%,

09/01/26

.................

48

43,296

5.00%,

08/01/27

.................

499

467,169

4.00%,

07/15/28

.................

107

91,906

TCI

Communications,

Inc.,

7.13%,

02/15/28

.

772

862,931

TEGNA,

Inc.,

4.75%,

03/15/26

(b)

........

19

18,023

Telenet

Finance

Luxembourg

Notes

SARL,

5.50%,

03/01/28

(b)

...............

200

184,000

Univision

Communications,

Inc.,

6.63%,

06/01/27

(b)

....................

264

250,325

Videotron

Ltd.,

5.13%,

04/15/27

(b)

.......

240

231,653

Virgin

Media

Vendor

Financing

Notes

IV

DAC,

5.00%,

07/15/28

(b)

...............

500

444,375

WPP

Finance

2013,

3.00%,

11/20/23

(d)

....

EUR

3,960

4,278,240

Ziggo

Bond

Co.

BV,

6.00%,

01/15/27

(b)

....

USD

300

276,783

46,249,953

Metals

&

Mining

—

0.1%

Arconic

Corp.

(b)

6.00%,

05/15/25

.................

172

172,000

6.13%,

02/15/28

.................

312

306,917

ATI,

Inc.,

5.88%,

12/01/27

...........

262

255,948

Big

River

Steel

LLC,

6.63%,

01/31/29

(b)

...

586

581,523

Carpenter

Technology

Corp.,

6.38%,

07/15/28

54

52,672

Constellium

SE

(b)

5.88%,

02/15/26

.................

305

305,336

5.63%,

06/15/28

.................

387

365,338

3.75%,

04/15/29

.................

368

318,765

Kaiser

Aluminum

Corp.,

4.63%,

03/01/28

(b)

.

451

401,400

New

Gold,

Inc.,

7.50%,

07/15/27

(b)

......

179

172,300

Novelis

Corp.,

3.25%,

11/15/26

(b)

.......

1,025

936,711

3,868,910

Mortgage

Real

Estate

Investment

Trusts

(REITs)

—

0.0%

(b)

Ladder

Capital

Finance

Holdings

LLLP

5.25%,

10/01/25

.................

17

14,956

4.25%,

02/01/27

.................

118

93,220

Starwood

Property

Trust,

Inc.

5.50%,

11/01/23

.................

97

97,183

4.38%,

01/15/27

.................

94

77,687

283,046

Multi-Utilities

—

0.3%

E.ON

SE,

0.88%,

01/08/25

(d)

..........

EUR

1,120

1,160,445

National

Grid

Electricity

Transmission

plc,

0.19%,

01/20/25

(d)

...............

1,490

1,520,486

National

Grid

North

America,

Inc.,

0.41%,

01/20/26

(d)

....................

2,120

2,099,952

Sempra

Energy,

3.30%,

04/01/25

.......

USD

3,984

3,855,817

WEC

Energy

Group,

Inc.,

4.75%,

01/09/26

.

10,300

10,302,576

18,939,276

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

—

1.3%

Aethon

United

BR

LP,

8.25%,

02/15/26

(b)

...

USD

537

$

526,915

Antero

Midstream

Partners

LP

(b)

7.88%,

05/15/26

.................

110

112,006

5.75%,

03/01/27

.................

244

238,393

5.75%,

01/15/28

.................

48

46,080

Antero

Resources

Corp.,

8.38%,

07/15/26

(b)

.

136

141,622

Ascent

Resources

Utica

Holdings

LLC,

5.88%,

06/30/29

(b)

....................

539

475,668

Blue

Racer

Midstream

LLC,

7.63%,

12/15/25

(b)

230

227,700

BP

Capital

Markets

America,

Inc.,

3.59%,

04/14/27

.....................

316

305,798

BP

Capital

Markets

plc,

3.28%,

09/19/27

...

1,102

1,060,498

Buckeye

Partners

LP

(b)

4.13%,

03/01/25

.................

185

174,995

4.50%,

03/01/28

.................

134

120,966

Callon

Petroleum

Co.

8.25%,

07/15/25

.................

17

16,881

6.38%,

07/01/26

.................

272

258,400

8.00%,

08/01/28

(b)

................

428

424,020

Cheniere

Energy

Partners

LP,

4.50%,

10/01/29

861

799,878

Chesapeake

Energy

Corp.

(b)

5.50%,

02/01/26

.................

119

117,106

6.75%,

04/15/29

.................

337

334,560

CITGO

Petroleum

Corp.,

7.00%,

06/15/25

(b)

.

276

272,302

Civitas

Resources,

Inc.,

5.00%,

10/15/26

(b)

.

122

114,681

CNX

Resources

Corp.,

6.00%,

01/15/29

(b)

..

126

117,810

Comstock

Resources,

Inc.,

6.75%,

03/01/29

(b)

468

428,239

Crescent

Energy

Finance

LLC

(b)

7.25%,

05/01/26

.................

684

642,960

9.25%,

02/15/28

.................

128

122,720

Crestwood

Midstream

Partners

LP,

6.00%,

02/01/29

(b)

....................

101

96,151

CrownRock

LP

(b)

5.63%,

10/15/25

.................

949

930,076

5.00%,

05/01/29

.................

40

37,264

DT

Midstream,

Inc.,

4.13%,

06/15/29

(b)

....

395

346,298

Earthstone

Energy

Holdings

LLC,

8.00%,

04/15/27

(b)

....................

163

158,163

Enbridge,

Inc.

2.50%,

01/15/25

.................

1,710

1,638,566

2.50%,

02/14/25

.................

9,177

8,789,155

Energy

Transfer

LP

5.88%,

01/15/24

.................

10,287

10,283,026

4.25%,

04/01/24

.................

566

558,733

4.50%,

04/15/24

.................

1,433

1,415,791

EnLink

Midstream

LLC

5.63%,

01/15/28

(b)

................

181

177,380

5.38%,

06/01/29

.................

160

154,000

EnLink

Midstream

Partners

LP

4.15%,

06/01/25

.................

152

147,439

4.85%,

07/15/26

.................

176

169,400

EQM

Midstream

Partners

LP

6.00%,

07/01/25

(b)

................

132

130,494

4.13%,

12/01/26

.................

193

175,271

6.50%,

07/01/27

(b)

................

180

174,470

Genesis

Energy

LP,

7.75%,

02/01/28

.....

23

22,300

Gulfport

Energy

Corp.,

8.00%,

05/17/26

(b)

..

41

40,095

Hilcorp

Energy

I

LP

(b)

6.25%,

11/01/28

.................

120

113,879

5.75%,

02/01/29

.................

171

157,413

Magnolia

Oil

&

Gas

Operating

LLC,

6.00%,

08/01/26

(b)

....................

32

31,115

Matador

Resources

Co.,

5.88%,

09/15/26

..

244

240,735

MPLX

LP

1.75%,

03/01/26

.................

1,168

1,065,932

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

90

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

4.25%,

12/01/27

.................

USD

1,700

$

1,646,138

New

Fortress

Energy,

Inc.

(b)

6.75%,

09/15/25

.................

607

584,238

6.50%,

09/30/26

.................

493

453,560

NGL

Energy

Operating

LLC,

7.50%,

02/01/26

(b)

134

129,294

Northern

Oil

&

Gas,

Inc.,

8.13%,

03/01/28

(b)

.

433

429,514

NuStar

Logistics

LP,

5.75%,

10/01/25

.....

257

249,941

Occidental

Petroleum

Corp.

6.95%,

07/01/24

.................

82

83,032

5.88%,

09/01/25

.................

110

110,855

5.55%,

03/15/26

.................

206

207,545

8.50%,

07/15/27

.................

624

686,400

Parkland

Corp.,

5.88%,

07/15/27

(b)

......

138

133,872

PDC

Energy,

Inc.,

5.75%,

05/15/26

......

120

116,814

Permian

Resources

Operating

LLC

(b)

7.75%,

02/15/26

.................

326

326,815

6.88%,

04/01/27

.................

368

360,022

5.88%,

07/01/29

.................

304

287,855

Pioneer

Natural

Resources

Co.

0.55%,

05/15/23

.................

3,747

3,726,091

1.13%,

01/15/26

.................

5,244

4,765,620

5.10%,

03/29/26

.................

3,250

3,263,517

Rockies

Express

Pipeline

LLC,

4.95%,

07/15/29

(b)

....................

88

78,395

Sabine

Pass

Liquefaction

LLC,

5.75%,

05/15/24

.....................

5,579

5,592,250

SM

Energy

Co.

5.63%,

06/01/25

.................

88

85,324

6.75%,

09/15/26

.................

118

115,718

6.63%,

01/15/27

.................

10

9,607

6.50%,

07/15/28

.................

201

191,806

Southwestern

Energy

Co.,

5.70%,

01/23/25

(c)

9

9,004

Spectra

Energy

Partners

LP,

3.50%,

03/15/25

390

378,105

Sunoco

LP,

6.00%,

04/15/27

..........

54

53,314

Tallgrass

Energy

Partners

LP

(b)

7.50%,

10/01/25

.................

4

3,998

6.00%,

03/01/27

.................

46

43,543

5.50%,

01/15/28

.................

82

74,978

Tap

Rock

Resources

LLC,

7.00%,

10/01/26

(b)

548

480,080

Venture

Global

Calcasieu

Pass

LLC,

3.88%,

08/15/29

(b)

....................

1,397

1,260,094

Western

Midstream

Operating

LP,

3.95%,

06/01/25

.....................

300

287,121

Williams

Cos.,

Inc.

(The)

4.50%,

11/15/23

.................

794

790,757

5.40%,

03/02/26

.................

17,670

18,001,471

79,150,032

Passenger

Airlines

—

0.1%

Air

Canada,

3.88%,

08/15/26

(b)

.........

361

327,788

Allegiant

Travel

Co.,

7.25%,

08/15/27

(b)

...

105

104,527

American

Airlines,

Inc.

(b)

11.75%,

07/15/25

................

874

956,191

5.50%,

04/20/26

.................

218

214,518

Hawaiian

Brand

Intellectual

Property

Ltd.,

5.75%,

01/20/26

(b)

...............

242

229,744

Mileage

Plus

Holdings

LLC,

6.50%,

06/20/27

(b)

233

232,150

Spirit

Loyalty

Cayman

Ltd.

8.00%,

09/20/25

(b)

................

181

181,963

United

Airlines

Pass-Through

Trust

Series

2020-1,

Class

B,

4.88%,

01/15/26

734

709,932

Series

2020-1,

Class

A,

5.88%,

10/15/27

3,939

3,926,775

United

Airlines,

Inc.

(b)

4.38%,

04/15/26

.................

355

339,633

Security

Par

(000)

Par

(000)

Value

Passenger

Airlines

(continued)

4.63%,

04/15/29

.................

USD

297

$

268,637

7,491,858

Personal

Care

Products

—

0.0%

Coty,

Inc.,

4.75%,

01/15/29

(b)

..........

20

18,675

GSK

Consumer

Healthcare

Capital

NL

BV,

1.25%,

03/29/26

(d)

...............

EUR

1,130

1,137,735

Haleon

US

Capital

LLC,

3.02%,

03/24/24

..

USD

402

390,794

1,547,204

Pharmaceuticals

—

0.2%

Bayer

AG,

0.05%,

01/12/25

(d)

..........

EUR

2,900

2,953,894

Bayer

Capital

Corp.

BV,

1.50%,

06/26/26

(d)

.

2,600

2,630,103

Bristol-Myers

Squibb

Co.

1.13%,

11/13/27

.................

USD

491

430,263

3.90%,

02/20/28

.................

1,300

1,275,080

Catalent

Pharma

Solutions,

Inc.,

3.13%,

02/15/29

(b)

....................

328

288,347

Cheplapharm

Arzneimittel

GmbH,

5.50%,

01/15/28

(b)

....................

200

178,046

Jazz

Securities

DAC,

4.38%,

01/15/29

(b)

...

276

253,920

Organon

&

Co.,

4.13%,

04/30/28

(b)

......

600

548,466

Takeda

Pharmaceutical

Co.

Ltd.,

4.40%,

11/26/23

.....................

1,176

1,171,470

Teva

Pharmaceutical

Finance

Netherlands

III

BV

3.15%,

10/01/26

.................

64

57,560

4.75%,

05/09/27

.................

200

186,000

9,973,149

Professional

Services

—

0.0%

(b)

CoreLogic,

Inc.,

4.50%,

05/01/28

.......

213

161,614

Dun

&

Bradstreet

Corp.

(The),

5.00%,

12/15/29

17

14,720

Korn

Ferry,

4.63%,

12/15/27

..........

193

182,385

358,719

Real

Estate

Management

&

Development

—

0.0%

Fantasia

Holdings

Group

Co.

Ltd.

(d)(f)(g)

10.88%,

01/09/23

................

1,167

119,618

11.88%,

06/01/23

................

667

68,367

9.25%,

07/28/23

.................

667

68,368

9.88%,

10/19/23

.................

333

34,132

Howard

Hughes

Corp.

(The),

5.38%,

08/01/28

(b)

229

208,530

Modern

Land

China

Co.

Ltd.

(a)(d)(f)(g)(h)

8.00%,

(8.00%

Cash

or

10.00%

PIK),

12/30/24

....................

273

12,885

9.00%,

(9.00%

Cash

or

11.00%

PIK),

12/30/26

....................

195

8,706

9.00%,

(9.00%

Cash

or

11.00%

PIK),

12/30/27

....................

284

12,084

Redco

Properties

Group

Ltd.,

9.90%,

02/17/24

(d)(f)(g)

..................

200

24,062

556,752

Retail

REITs

—

0.0%

Brookfield

Property

REIT,

Inc.,

4.50%,

04/01/27

(b)

....................

121

97,103

Realty

Income

Corp.,

3.00%,

01/15/27

....

395

368,908

466,011

Semiconductors

&

Semiconductor

Equipment

—

0.7%

Broadcom

Corp.

3.88%,

01/15/27

.................

10,184

9,844,899

3.50%,

01/15/28

.................

482

452,197

Broadcom,

Inc.

3.15%,

11/15/25

.................

7,195

6,884,088

3.46%,

09/15/26

.................

435

415,695

Entegris

Escrow

Corp.,

4.75%,

04/15/29

(b)

..

641

606,003

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

91

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Semiconductors

&

Semiconductor

Equipment

(continued)

Entegris,

Inc.

(b)

4.38%,

04/15/28

.................

USD

134

$

121,059

3.63%,

05/01/29

.................

34

29,348

Intel

Corp.,

4.88%,

02/10/28

..........

10,805

10,978,723

Lam

Research

Corp.

3.80%,

03/15/25

.................

2,779

2,730,323

3.75%,

03/15/26

.................

6,024

5,923,071

NXP

BV,

2.70%,

05/01/25

............

3,101

2,937,810

QUALCOMM,

Inc.,

3.25%,

05/20/27

.....

3,500

3,386,141

Synaptics,

Inc.,

4.00%,

06/15/29

(b)

.......

172

148,115

44,457,472

Software

—

1.3%

Alteryx,

Inc.,

8.75%,

03/15/28

(b)

........

106

106,686

Black

Knight

InfoServ

LLC,

3.63%,

09/01/28

(b)

305

277,169

Boxer

Parent

Co.,

Inc.,

7.13%,

10/02/25

(b)

..

881

876,801

Camelot

Finance

SA,

4.50%,

11/01/26

(b)

...

282

266,490

Central

Parent,

Inc.,

7.25%,

06/15/29

(b)

....

298

292,898

Clarivate

Science

Holdings

Corp.,

3.88%,

07/01/28

(b)

....................

859

766,631

Cloud

Software

Group

Holdings,

Inc.,

6.50%,

03/31/29

(b)

....................

1,093

966,872

Consensus

Cloud

Solutions,

Inc.

(b)

6.00%,

10/15/26

.................

98

85,139

6.50%,

10/15/28

.................

12

9,951

Crowdstrike

Holdings,

Inc.,

3.00%,

02/15/29

18

15,709

Fair

Isaac

Corp.,

4.00%,

06/15/28

(b)

......

129

119,648

Gen

Digital,

Inc.,

6.75%,

09/30/27

(b)

......

214

215,113

Microsoft

Corp.,

2.40%,

08/08/26

.......

340

323,584

MicroStrategy,

Inc.,

6.13%,

06/15/28

(b)

....

199

176,612

NCR

Corp.,

5.00%,

10/01/28

(b)

.........

315

276,874

Oracle

Corp.

2.95%,

05/15/25

.................

343

330,225

5.80%,

11/10/25

.................

1,566

1,605,095

1.65%,

03/25/26

.................

11,701

10,749,565

2.65%,

07/15/26

.................

10,365

9,683,975

3.25%,

11/15/27

.................

8,420

7,914,624

4.50%,

05/06/28

.................

630

622,419

PTC,

Inc.,

3.63%,

02/15/25

(b)

..........

163

157,201

SS&C

Technologies,

Inc.,

5.50%,

09/30/27

(b)

569

552,100

Veritas

US,

Inc.,

7.50%,

09/01/25

(b)

......

269

202,492

VMware,

Inc.

1.00%,

08/15/24

.................

8,055

7,601,923

1.40%,

08/15/26

.................

10,817

9,567,596

3.90%,

08/21/27

.................

22,116

21,171,388

Workday,

Inc.,

3.50%,

04/01/27

........

2,590

2,478,024

ZoomInfo

Technologies

LLC,

3.88%,

02/01/29

(b)

339

293,481

77,706,285

Specialized

REITs

—

0.6%

American

Tower

Corp.

1.30%,

09/15/25

.................

896

820,290

1.60%,

04/15/26

.................

6,121

5,535,515

0.45%,

01/15/27

.................

EUR

3,155

2,985,484

3.65%,

03/15/27

.................

USD

2,140

2,032,633

5.50%,

03/15/28

.................

8,800

8,971,882

Crown

Castle,

Inc.,

1.05%,

07/15/26

.....

7,936

6,992,980

Equinix,

Inc.,

1.80%,

07/15/27

.........

9,919

8,632,864

Iron

Mountain,

Inc.,

5.00%,

07/15/28

(b)

....

327

304,273

SBA

Communications

Corp.

3.88%,

02/15/27

.................

313

295,483

3.13%,

02/01/29

.................

276

240,103

36,811,507

Specialty

Retail

—

0.1%

eG

Global

Finance

plc

(b)

6.75%,

02/07/25

.................

312

288,769

Security

Par

(000)

Par

(000)

Value

Specialty

Retail

(continued)

8.50%,

10/30/25

.................

USD

200

$

187,204

GYP

Holdings

III

Corp.,

4.63%,

05/01/29

(b)

..

79

67,545

Home

Depot,

Inc.

(The)

3.35%,

09/15/25

.................

853

834,318

2.13%,

09/15/26

.................

743

696,549

2.80%,

09/14/27

.................

325

307,686

Lowe's

Cos.,

Inc.,

4.40%,

09/08/25

......

1,451

1,443,879

Penske

Automotive

Group,

Inc.,

3.50%,

09/01/25

.....................

141

132,594

Specialty

Building

Products

Holdings

LLC,

6.38%,

09/30/26

(b)

...............

60

55,141

SRS

Distribution,

Inc.,

4.63%,

07/01/28

(b)

..

579

514,207

Staples,

Inc.,

7.50%,

04/15/26

(b)

........

237

207,643

4,735,535

Technology

Hardware,

Storage

&

Peripherals

—

0.1%

Dell

International

LLC,

4.00%,

07/15/24

...

5,165

5,095,161

HP,

Inc.,

4.75%,

01/15/28

............

314

310,384

5,405,545

Textiles,

Apparel

&

Luxury

Goods

—

0.0%

(b)

Crocs,

Inc.,

4.25%,

03/15/29

..........

196

171,917

William

Carter

Co.

(The),

5.63%,

03/15/27

..

91

88,448

260,365

Tobacco

—

0.7%

BAT

Capital

Corp.

1.13%,

11/16/23

(d)

................

EUR

2,350

2,509,235

3.22%,

08/15/24

.................

USD

16,545

16,045,011

2.79%,

09/06/24

.................

16,833

16,227,277

BAT

International

Finance

plc,

0.88%,

10/13/23

(d)

....................

EUR

2,124

2,268,903

Philip

Morris

International,

Inc.

5.13%,

11/15/24

.................

USD

579

582,719

5.00%,

11/17/25

.................

489

492,719

4.88%,

02/13/26

.................

812

817,948

2.88%,

03/03/26

.................

EUR

1,550

1,638,823

0.13%,

08/03/26

.................

730

707,553

5.13%,

11/17/27

.................

USD

599

612,962

41,903,150

Trading

Companies

&

Distributors

—

0.2%

Air

Lease

Corp.

3.88%,

07/03/23

.................

4,178

4,158,345

1.88%,

08/15/26

.................

5,265

4,664,394

Beacon

Roofing

Supply,

Inc.,

4.13%,

05/15/29

(b)

49

43,236

Fortress

Transportation

&

Infrastructure

Investors

LLC

(b)

6.50%,

10/01/25

.................

236

236,157

9.75%,

08/01/27

.................

116

122,390

5.50%,

05/01/28

.................

78

71,163

Herc

Holdings,

Inc.,

5.50%,

07/15/27

(b)

....

179

172,735

Imola

Merger

Corp.,

4.75%,

05/15/29

(b)

....

341

305,055

WESCO

Distribution,

Inc.

(b)

7.13%,

06/15/25

.................

670

681,021

7.25%,

06/15/28

.................

22

22,590

10,477,086

Transportation

Infrastructure

—

0.1%

ASTM

SpA,

1.00%,

11/25/26

(d)

.........

EUR

4,240

4,086,078

Wireless

Telecommunication

Services

—

0.7%

Connect

Finco

SARL,

6.75%,

10/01/26

(b)

...

USD

954

896,760

Rogers

Communications,

Inc.

2.90%,

11/15/26

.................

1,951

1,829,616

3.20%,

03/15/27

(b)

................

11,523

10,841,728

Sprint

LLC,

7.63%,

03/01/26

..........

174

184,002

Sprint

Spectrum

Co.

LLC,

4.74%,

03/20/25

(b)

4,055

4,024,133

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

92

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Wireless

Telecommunication

Services

(continued)

T-Mobile

USA,

Inc.

2.25%,

02/15/26

.................

USD

4,621

$

4,297,811

2.63%,

04/15/26

.................

3,010

2,809,516

3.75%,

04/15/27

.................

16,552

15,910,993

4.95%,

03/15/28

.................

852

860,142

41,654,701

Total

Corporate

Bonds

—

30.3%

(Cost:

$1,864,922,547)

...........................

1,799,858,936

Floating

Rate

Loan

Interests

Chemicals

—

0.0%

Lummus

Technology

Holdings

V

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

3.50%),

8.34%

,

 06/30/27

(a)

................

34

33,795

Total

Floating

Rate

Loan

Interests

—

0.0%

(Cost:

$33,825)

................................

33,795

Foreign

Agency

Obligations

Canada

—

0.6%

(b)

CPPIB

Capital,

Inc.,

0.50%

,

09/16/24

.....

22,650

21,368,196

OMERS

Finance

Trust,

1.10%

,

03/26/26

...

17,380

15,778,386

37,146,582

Italy

—

0.0%

ACEA

SpA,

0.00%

,

09/28/25

(d)

..........

EUR

1,885

1,856,826

Saudi

Arabia

—

0.1%

Saudi

Arabian

Oil

Co.,

2.88%

,

04/16/24

(b)

...

USD

3,245

3,159,413

Total

Foreign

Agency

Obligations

—

0.7%

(Cost:

$45,464,650)

..............................

42,162,821

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

3.0%

Angel

Oak

Mortgage

Trust,

Series

2022-2,

Class

A1,

3.35%,

01/25/67

(a)(b)

........

6,837

6,252,039

Angel

Oak

Mortgage

Trust

I

LLC,

Series

2019-

1,

Class

A2,

4.02%,

11/25/48

(a)(b)

.......

2

1,634

Arroyo

Mortgage

Trust,

Series

2022-2,

Class

A1,

4.95%,

07/25/57

(b)(c)

............

4,885

4,767,396

Atlas

Funding

plc

(a)

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.70%),

5.90%,

07/25/58

(d)

...................

GBP

125

152,496

Series

2021-1,

Class

D,

(Sterling

Overnight

Index

Average

+

2.25%),

6.45%,

07/25/58

(d)

...................

110

133,728

Banc

of

America

Mortgage

Trust,

Series

2003-

J,

Class

2A1,

3.79%,

11/25/33

(a)

.......

USD

138

121,000

Barley

Hill

No.

2

plc,

Series

2,

Class

C,

(Sterling

Overnight

Index

Average

+

1.70%),

5.88%,

08/27/58

(a)(d)

...............

GBP

520

615,900

Bear

Stearns

ARM

Trust,

Series

2004-5,

Class

2A,

3.18%,

07/25/34

(a)

.............

USD

212

185,146

BlackRock

Capital

Finance

LP,

Series

1997-R2,

Class

AP,

0.00%,

12/25/35

(a)(b)(e)(i)

......

16

—

Canada

Square

Funding

plc

(a)

Series

2021-2,

Class

C,

(Sterling

Overnight

Index

Average

+

1.60%),

5.78%,

06/17/58

(d)

...................

GBP

102

119,971

Series

6,

Class

C,

(Sterling

Overnight

Index

Average

+

1.45%),

5.66%,

01/17/59

(d)

.

318

365,533

Series

6,

Class

D,

(Sterling

Overnight

Index

Average

+

1.85%),

6.06%,

01/17/59

(d)

.

178

203,371

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Chase

Home

Lending

Mortgage

Trust

(a)(b)

Series

2019-ATR2,

Class

A11,

(1-mo.

LIBOR

USD

at

6.50%

Cap

+

0.90%),

5.52%,

07/25/49

...............

USD

746

$

704,283

Series

2019-ATR2,

Class

A3,

3.50%,

07/25/49

....................

1,596

1,436,889

CHL

Mortgage

Pass-Through

Trust

Series

2004-29,

Class

1A1,

(1-mo.

LIBOR

USD

at

0.54%

Floor

and

11.50%

Cap

+

0.54%),

5.39%,

02/25/35

(a)

........

165

142,857

Series

2005-17,

Class

1A6,

5.50%,

09/25/35

236

215,156

Series

2005-HYB8,

Class

2A1,

3.78%,

12/20/35

(a)

...................

518

464,290

CIM

Trust,

Series

2021-R6,

Class

A1,

1.42%,

07/25/61

(a)(b)

....................

2,125

1,825,939

CMF

plc

(a)

Series

2020-1,

Class

B,

(Sterling

Overnight

Index

Average

+

1.00%),

5.18%,

01/16/57

(d)

...................

GBP

220

268,032

Series

2020-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.25%),

5.43%,

01/16/57

(d)

...................

105

127,733

COLT

Mortgage

Loan

Trust,

Series

2022-3,

Class

A1,

3.90%,

02/25/67

(a)(b)

........

USD

4,531

4,203,467

Credit

Suisse

Mortgage

Capital

Certificates,

Series

2022-ATH1,

Class

A1A,

2.87%,

01/25/67

(a)(b)

....................

6,817

6,310,253

CSMC

Trust

(a)(b)

Series

2013-HYB1,

Class

B2,

5.91%,

04/25/43

....................

502

496,351

Series

2013-HYB1,

Class

B4,

5.91%,

04/25/43

....................

1,583

1,540,721

Series

2015-1,

Class

A1,

2.50%,

01/25/45

5,729

4,938,631

Series

2019-RP10,

Class

A1,

3.00%,

12/26/59

....................

2,737

2,739,100

Dutch

Property

Finance

BV

(a)

Series

2021-1,

Class

B,

(3-mo.

EURIBOR

+

1.10%),

3.57%,

07/28/58

(d)

........

EUR

740

776,297

Series

2021-2,

Class

B,

(3-mo.

EURIBOR

+

0.80%),

3.27%,

04/28/59

(d)

........

820

846,661

Series

2021-2,

Class

C,

(3-mo.

EURIBOR

+

1.05%),

3.52%,

04/28/59

(d)

........

503

513,945

Finsbury

Square,

Series

2021-1GRX,

Class

C,

(Sterling

Overnight

Index

Average

+

1.25%),

5.43%,

12/16/67

(a)(d)

...............

GBP

1,045

1,219,443

Finsbury

Square

plc

(a)

Series

2021-2X,

Class

C,

(Sterling

Overnight

Index

Average

+

1.40%),

5.58%,

12/16/71

(d)

...................

371

431,779

Series

2021-2X,

Class

D,

(Sterling

Overnight

Index

Average

+

1.70%),

5.88%,

12/16/71

(d)

...................

200

227,547

Gemgarto

plc,

Series

2021-1X,

Class

C,

(Sterling

Overnight

Index

Average

+

1.30%),

5.48%,

12/16/67

(a)(d)

...............

218

261,329

GS

Mortgage-Backed

Securities

Corp.

Trust

(a)(b)

Series

2019-PJ1,

Class

B1,

4.08%,

08/25/49

USD

2,162

2,025,170

Series

2020-PJ4,

Class

A2,

3.00%,

01/25/51

3,556

3,038,983

Series

2022-PJ2,

Class

A4,

2.50%,

06/25/52

12,560

10,163,911

Harben

Finance

(a)

Series

2017-1RX,

Class

C,

(Sterling

Overnight

Index

Average

+

1.15%),

5.33%,

09/28/55

(d)

..............

GBP

741

858,040

Series

2017-1RX,

Class

D,

(Sterling

Overnight

Index

Average

+

1.50%),

5.68%,

09/28/55

(d)

..............

441

500,616

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

93

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Homeward

Opportunities

Fund

Trust,

Series

2022-1,

Class

A1,

5.08%,

07/25/67

(b)(c)

...

USD

2,969

$

2,907,881

Hops

Hill

No.

1

plc

(a)

Series

1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.85%),

6.03%,

05/27/54

(d)

.

GBP

200

242,969

Series

1,

Class

D,

(Sterling

Overnight

Index

Average

+

2.35%),

6.53%,

05/27/54

(d)

.

100

120,752

JP

Morgan

Mortgage

Trust

(a)(b)

Series

2021-3,

Class

A12,

5.50%,

07/25/51

USD

8,086

8,008,359

Series

2021-6,

Class

A12,

5.00%,

10/25/51

8,194

7,850,795

Series

2021-7,

Class

A12,

5.00%,

11/25/51

4,721

4,586,966

Series

2022-INV3,

Class

A3B,

3.00%,

09/25/52

....................

8,172

6,942,301

Series

2022-LTV1,

Class

A1,

3.25%,

07/25/52

....................

4,947

4,140,381

JPMorgan

Mortgage

Trust

(a)(b)

Series

2016-2,

Class

A1,

6.00%,

06/25/46

2,032

1,879,712

Series

2020-7,

Class

A3,

3.00%,

01/25/51

2,705

2,317,936

Series

2020-LTV1,

Class

A11,

(1-mo.

LIBOR

USD

at

6.00%

Cap

+

1.00%),

5.62%,

06/25/50

....................

496

485,237

Jubilee

Place,

Series

3,

Class

C,

(3-mo.

EURIBOR

+

1.60%),

3.94%,

01/17/59

(a)(d)

.

EUR

201

205,165

Lanebrook

Mortgage

Transaction

plc

(a)

Series

2020-1,

Class

C,

(Sterling

Overnight

Index

Average

+

2.25%),

6.43%,

06/12/57

(d)

...................

GBP

370

449,186

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.25%),

5.46%,

07/20/58

(d)

...................

158

183,624

Mello

Mortgage

Capital

Acceptance,

Series

2022-INV2,

Class

A3,

3.00%,

04/25/52

(a)(b)

USD

10,103

8,531,530

MortgageIT

Trust,

Series

2004-1,

Class

A1,

(1-

mo.

LIBOR

USD

at

0.78%

Floor

and

11.50%

Cap

+

0.78%),

5.63%,

11/25/34

(a)

......

435

400,140

Mortimer

BTL

plc,

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.45%),

5.63%,

06/23/53

(a)(d)

...............

GBP

111

129,735

New

Residential

Mortgage

Loan

Trust

(a)(b)

Series

2016-3A,

Class

A1B,

3.25%,

09/25/56

....................

USD

1,132

1,031,265

Series

2018-1A,

Class

A1A,

4.00%,

12/25/57

....................

4,121

3,900,991

Series

2020-1A,

Class

A1B,

3.50%,

10/25/59

....................

9,721

8,942,950

OBX

Trust,

Series

2022-INV3,

Class

A1,

3.00%,

02/25/52

(a)(b)

...............

4,512

3,810,611

Polaris

plc,

Series

2022-1,

Class

E,

(Sterling

Overnight

Index

Average

+

3.40%),

7.58%,

10/23/59

(a)(d)

....................

GBP

538

633,683

PRPM

LLC,

Series

2023-1,

Class

A1,

6.88%,

02/25/28

(a)(b)

....................

USD

2,690

2,679,721

Residential

Mortgage

Securities

32

plc,

Series

32X,

Class

C,

(Sterling

Overnight

Index

Average

+

2.20%),

6.38%,

06/20/70

(a)(d)

..

GBP

1,025

1,249,244

RMAC

Securities

No.

1

plc,

Series

2007-

NS1X,

Class

A2A,

(Sterling

Overnight

Index

Average

+

0.27%),

4.45%,

06/12/44

(a)(d)

..

304

358,100

Seasoned

Credit

Risk

Transfer

Trust

Series

2018-2,

Class

MA,

3.50%,

11/25/57

USD

3,922

3,766,110

Series

2018-3,

Class

MA,

3.50%,

08/25/57

(a)

11,337

10,888,168

Series

2019-4,

Class

MA,

3.00%,

02/25/59

11,759

11,032,044

Sequoia

Mortgage

Trust,

Series

2017-CH1,

Class

A2,

3.50%,

08/25/47

(a)(b)

........

347

322,206

SG

Residential

Mortgage

Trust,

Series

2022-2,

Class

A1,

5.35%,

08/25/62

(b)(c)

........

2,486

2,444,694

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Stanlington

No.

2

plc

(a)

Series

2,

Class

C,

(Sterling

Overnight

Index

Average

at

8.00%

Cap

+

1.75%),

5.93%,

06/12/45

(d)

...................

GBP

535

$

635,974

Series

2,

Class

D,

(Sterling

Overnight

Index

Average

at

8.00%

Cap

+

2.20%),

6.38%,

06/12/45

(d)

...................

329

387,406

Series

2,

Class

E,

(Sterling

Overnight

Index

Average

at

8.00%

Cap

+

3.30%),

7.48%,

06/12/45

(d)

...................

450

511,001

Starwood

Mortgage

Residential

Trust,

Series

2020-INV1,

Class

A1,

1.03%,

11/25/55

(a)(b)

USD

2,442

2,146,344

Structured

Adjustable

Rate

Mortgage

Loan

Trust,

Series

2004-13,

Class

A2,

(1-mo.

LIBOR

USD

at

0.30%

Floor

+

0.30%),

5.15%,

09/25/34

(a)

................

501

419,855

Together

Asset-Backed

Securitisation

plc,

Series

2021-1ST1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.25%),

5.46%,

07/12/63

(a)(d)

....................

GBP

108

127,212

Tower

Bridge

Funding

plc

(a)

Series

2020-1,

Class

C,

(Sterling

Overnight

Index

Average

+

2.45%),

6.63%,

09/20/63

(d)

...................

145

178,654

Series

2020-1,

Class

D,

(Sterling

Overnight

Index

Average

+

3.45%),

7.63%,

09/20/63

(d)

...................

120

148,666

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.85%),

6.06%,

07/21/64

(d)

...................

365

444,383

Series

2021-1,

Class

D,

(Sterling

Overnight

Index

Average

+

2.15%),

6.36%,

07/21/64

(d)

...................

252

304,652

Series

2021-2,

Class

C,

(Sterling

Overnight

Index

Average

+

1.50%),

5.69%,

11/20/63

(d)

...................

140

166,306

Series

2021-2,

Class

D,

(Sterling

Overnight

Index

Average

+

1.80%),

5.99%,

11/20/63

(d)

...................

169

197,724

Twin

Bridges

plc

(a)

Series

2020-1,

Class

C,

(Sterling

Overnight

Index

Average

+

2.25%),

6.43%,

12/12/54

(d)

...................

395

483,510

Series

2020-1,

Class

D,

(Sterling

Overnight

Index

Average

+

3.00%),

7.18%,

12/12/54

(d)

...................

225

274,785

Series

2021-1,

Class

C,

(Sterling

Overnight

Index

Average

+

1.60%),

5.78%,

03/12/55

(d)

...................

436

515,921

Series

2021-1,

Class

D,

(Sterling

Overnight

Index

Average

+

2.10%),

6.28%,

03/12/55

(d)

...................

220

256,972

Series

2021-2,

Class

C,

(Sterling

Overnight

Index

Average

+

1.15%),

5.33%,

09/12/55

(d)

...................

435

503,176

Series

2021-2,

Class

D,

(Sterling

Overnight

Index

Average

+

1.50%),

5.68%,

09/12/55

(d)

...................

187

212,074

Series

2022-1,

Class

D,

(Sterling

Overnight

Index

Average

+

1.70%),

5.88%,

12/01/55

(d)

...................

365

410,419

Verus

Securitization

Trust,

Series

2022-3,

Class

A1,

4.13%,

02/25/67

(b)(c)

............

USD

8,677

8,112,941

Walsh

Acceptance,

Series

1997-2,

Class

A,

(1-

mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.63%,

03/01/27

(a)(b)

...............

2

1,502

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

94

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Wells

Fargo

Mortgage

Backed

Securities

Trust

(a)(b)

Series

2019-4,

Class

A2,

3.00%,

09/25/49

USD

821

$

721,857

Series

2020-RR1,

Class

A1,

3.00%,

05/25/50

....................

1,420

1,223,286

178,022,713

Commercial

Mortgage-Backed

Securities

—

6.4%

Alen

Mortgage

Trust,

Series

2021-ACEN,

Class

A,

(1-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.83%,

04/15/34

(a)(b)

.........

8,030

7,091,206

Atom

Mortgage

Securities

DAC,

Series

1X,

Class

D,

(Sterling

Overnight

Index

Average

at

1.90%

Floor

+

1.90%),

6.11%,

07/22/31

(a)

(d)

...........................

GBP

1,542

1,678,421

BAMLL

Commercial

Mortgage

Securities

Trust

(a)(b)

Series

2017-SCH,

Class

AF,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.69%,

11/15/33

....................

USD

3,270

3,107,665

Series

2018-DSNY,

Class

A,

(1-mo.

LIBOR

USD

at

0.85%

Floor

+

0.85%),

5.54%,

09/15/34

....................

12,495

12,211,104

BANK

Series

2018-BN14,

Class

A2,

4.13%,

09/15/60

....................

2,765

2,728,991

Series

2019-BN16,

Class

A2,

3.93%,

02/15/52

....................

10,770

10,607,757

Series

2019-BN18,

Class

A2,

3.47%,

05/15/62

....................

15,479

14,990,933

Bear

Stearns

Commercial

Mortgage

Securities

Trust,

Series

2005-PW10,

Class

AJ,

5.62%,

12/11/40

(a)(e)

....................

—

(j)

1

BX

Commercial

Mortgage

Trust,

Series

2019-

XL,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.03%

Floor

+

1.03%),

5.86%,

10/15/36

(a)(b)

19,920

19,693,868

BX

Trust

(a)(b)

Series

2021-SDMF,

Class

A,

(1-mo.

LIBOR

USD

at

0.59%

Floor

+

0.59%),

5.27%,

09/15/34

....................

7,130

6,880,400

Series

2021-VIEW,

Class

A,

(1-mo.

LIBOR

USD

at

1.28%

Floor

+

1.28%),

5.96%,

06/15/36

....................

3,450

3,268,494

Cassia

SRL

(a)

Series

2022-1X,

Class

A,

(3-mo.

EURIBOR

at

2.50%

Floor

+

2.50%),

5.15%,

05/22/34

(d)

...................

EUR

4,583

4,717,225

Series

2022-1X,

Class

B,

(3-mo.

EURIBOR

at

3.50%

Floor

+

3.50%),

6.15%,

05/22/34

(d)

...................

2,190

2,194,130

Citigroup

Commercial

Mortgage

Trust

Series

2015-GC31,

Class

A4,

3.76%,

06/10/48

....................

USD

9,000

8,636,967

Series

2015-P1,

Class

A4,

3.46%,

09/15/48

13,173

12,647,447

Series

2016-P3,

Class

A2,

2.74%,

04/15/49

1,184

1,127,108

Commercial

Mortgage

Trust

Series

2013-CR13,

Class

A4,

4.19%,

11/10/46

(a)

...................

4,515

4,446,694

Series

2014-UBS5,

Class

ASB,

3.55%,

09/10/47

....................

1,721

1,693,199

Series

2014-UBS6,

Class

ASB,

3.39%,

12/10/47

....................

591

577,782

Series

2015-CR22,

Class

A3,

3.21%,

03/10/48

....................

11,549

11,528,857

Series

2015-CR23,

Class

A4,

3.50%,

05/10/48

....................

7,750

7,426,517

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

2015-CR24,

Class

ASB,

3.45%,

08/10/48

....................

USD

3,181

$

3,102,828

Series

2015-PC1,

Class

B,

4.30%,

07/10/50

(a)

...................

4,175

3,815,634

Credit

Suisse

Mortgage

Capital

Certificates

(b)

Series

2020-NET,

Class

A,

2.26%,

08/15/37

6,966

6,260,498

Series

2021-980M,

Class

A,

2.39%,

07/15/31

....................

6,240

5,366,131

Series

2021-980M,

Class

C,

3.20%,

07/15/31

....................

3,450

2,883,474

CSAIL

Commercial

Mortgage

Trust,

Series

2015-C2,

Class

A4,

3.50%,

06/15/57

....

2,458

2,351,803

Extended

Stay

America

Trust,

Series

2021-

ESH,

Class

A,

(1-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.77%,

07/15/38

(a)(b)

....

2,177

2,110,018

GS

Mortgage

Securities

Corp.

II,

Series

2005-

ROCK,

Class

F,

5.52%,

05/03/32

(b)

.....

2,000

1,858,076

GS

Mortgage

Securities

Corp.

Trust

(a)(b)

Series

2021-STAR,

Class

A,

(1-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.63%,

12/15/36

....................

12,850

12,379,166

Series

2023-FUN,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.09%

Floor

+

2.09%),

6.75%,

03/15/28

...............

5,890

5,875,337

Series

2023-FUN,

Class

B,

(1-mo.

CME

Term

SOFR

at

2.79%

Floor

+

2.79%),

7.45%,

03/15/28

...............

5,065

5,052,390

GS

Mortgage

Securities

Trust

Series

2011-GC5,

Class

AS,

5.16%,

08/10/44

(a)(b)

..................

5,246

5,154,722

Series

2013-GC12,

Class

A4,

3.14%,

06/10/46

....................

5,041

5,029,867

Series

2013-GC13,

Class

AAB,

3.72%,

07/10/46

(a)

...................

—

(j)

86

Series

2014-GC24,

Class

AAB,

3.65%,

09/10/47

....................

2,558

2,512,153

Series

2015-GS1,

Class

A3,

3.73%,

11/10/48

....................

5,900

5,613,198

Haus

European

Loan

Conduit

No.

39

DAC,

Series

39X,

Class

C,

(3-mo.

EURIBOR

at

1.40%

Floor

+

1.40%),

3.87%,

07/28/51

(a)(d)

EUR

841

761,331

Hawaii

Hotel

Trust,

Series

2019-MAUI,

Class

A,

(1-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.83%,

05/15/38

(a)(b)

.........

USD

9,675

9,432,047

JPMBB

Commercial

Mortgage

Securities

Trust,

Series

2014-C23,

Class

ASB,

3.66%,

09/15/47

......................

1,995

1,955,497

JPMCC

Commercial

Mortgage

Securities

Trust,

Series

2017-JP6,

Class

A3,

3.11%,

07/15/50

8,404

8,127,732

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

Series

2013-C16,

Class

A4,

4.17%,

12/15/46

....................

13,920

13,757,316

Series

2018-WPT,

Class

AFX,

4.25%,

07/05/33

(b)

...................

7,070

6,363,000

Series

2019-BKWD,

Class

A,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

1.25%),

5.93%,

09/15/29

(a)(b)

..................

1,604

1,482,707

Series

2022-OPO,

Class

D,

3.45%,

01/05/39

(a)(b)

..................

1,000

732,912

KNDL

Mortgage

Trust,

Series

2019-KNSQ,

Class

D,

(1-mo.

LIBOR

USD

at

1.35%

Floor

+

1.35%),

6.03%,

05/15/36

(a)(b)

........

2,972

2,898,661

Last

Mile

Logistics

Pan

Euro

Finance

DAC

(a)

Series

1X,

Class

C,

(3-mo.

EURIBOR

at

1.40%

Floor

+

1.40%),

4.08%,

08/17/33

(d)

EUR

1,331

1,327,390

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

95

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

1X,

Class

D,

(3-mo.

EURIBOR

at

1.90%

Floor

+

1.90%),

4.58%,

08/17/33

(d)

EUR

1,031

$

1,008,340

Last

Mile

Securities

PE

DAC

(a)

Series

2021-1X,

Class

B,

(3-mo.

EURIBOR

at

1.20%

Floor

and

5.20%

Cap

+

1.20%),

3.88%,

08/17/31

(d)

..............

939

952,123

Series

2021-1X,

Class

C,

(3-mo.

EURIBOR

at

1.60%

Floor

and

5.60%

Cap

+

1.60%),

4.28%,

08/17/31

(d)

..............

1,061

1,054,580

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

Series

2013-C13,

Class

A4,

4.04%,

11/15/46

USD

11,900

11,722,463

Series

2014-C15,

Class

A4,

4.05%,

04/15/47

....................

16,435

16,172,140

Series

2014-C18,

Class

ASB,

3.62%,

10/15/47

....................

2,368

2,333,097

Series

2014-C19,

Class

ASB,

3.33%,

12/15/47

....................

2,443

2,392,953

Series

2015-C24,

Class

A4,

3.73%,

05/15/48

....................

15,544

14,922,248

Series

2015-C25,

Class

A5,

3.64%,

10/15/48

....................

8,717

8,330,865

Morgan

Stanley

Capital

I

Trust

(a)(b)

Series

2018-BOP,

Class

A,

(1-mo.

LIBOR

USD

at

0.85%

Floor

+

0.85%),

5.53%,

08/15/33

....................

1,799

1,529,025

Series

2018-SUN,

Class

A,

(1-mo.

LIBOR

USD

at

0.90%

Floor

+

0.90%),

5.58%,

07/15/35

....................

1,300

1,274,641

MTN

Commercial

Mortgage

Trust,

Series

2022-

LPFL,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.40%

Floor

+

1.40%),

6.22%,

03/15/39

(a)(b)

7,000

6,896,112

Natixis

Commercial

Mortgage

Securities

Trust,

Series

2018-FL1,

Class

A,

(1-mo.

LIBOR

USD

at

0.95%

Floor

+

0.95%),

5.63%,

06/15/35

(a)(b)

....................

2,529

2,448,918

Pearl

Finance

DAC

(a)

Series

2020-1,

Class

A2,

(3-mo.

EURIBOR

at

1.90%

Floor

+

1.90%),

4.58%,

11/17/32

(d)

...................

EUR

1,128

1,190,881

Series

2020-1,

Class

B,

(3-mo.

EURIBOR

at

2.50%

Floor

+

2.50%),

5.18%,

11/17/32

(d)

1,355

1,425,697

PKHL

Commercial

Mortgage

Trust,

Series

2021-MF,

Class

A,

(1-mo.

LIBOR

USD

at

0.88%

Floor

+

0.88%),

5.56%,

07/15/38

(a)(b)

USD

15,473

14,536,958

Ready

Capital

Mortgage

Financing

LLC,

Series

2022-FL9,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.47%

Floor

+

2.47%),

7.26%,

06/25/37

(a)

(b)

...........................

1,546

1,542,031

Sage

AR

Funding

plc,

Series

1X,

Class

C,

(Sterling

Overnight

Index

Average

+

2.15%),

6.35%,

11/17/30

(a)(d)

...............

GBP

535

621,137

Taubman

Centers

Commercial

Mortgage

Trust,

Series

2022-DPM,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.19%

Floor

+

2.19%),

7.01%,

05/15/37

(a)(b)

...............

USD

4,580

4,408,731

Taurus

UK

DAC

(a)

Series

2021-UK1X,

Class

B,

(Sterling

Overnight

Index

Average

at

1.30%

Floor

+

1.30%),

5.50%,

05/17/31

(d)

.......

GBP

880

1,020,110

Series

2021-UK1X,

Class

C,

(Sterling

Overnight

Index

Average

at

1.65%

Floor

+

1.65%),

5.85%,

05/17/31

(d)

.......

536

610,702

Series

2021-UK1X,

Class

D,

(Sterling

Overnight

Index

Average

at

2.60%

Floor

+

2.60%),

6.80%,

05/17/31

(d)

.......

547

632,475

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Series

2021-UK4X,

Class

D,

(Sterling

Overnight

Index

Average

at

2.10%

Floor

+

2.10%),

6.30%,

08/17/31

(d)

.......

GBP

1,392

$

1,572,051

UBS

Commercial

Mortgage

Trust,

Series

2019-

C18,

Class

A4,

3.04%,

12/15/52

.......

USD

283

246,702

Velocity

Commercial

Capital

Loan

Trust

(b)

Series

2018-1,

Class

A,

3.59%,

04/25/48

.

422

400,950

Series

2019-3,

Class

A,

3.03%,

10/25/49

(a)

2,533

2,405,904

Wells

Fargo

Commercial

Mortgage

Trust

Series

2014-LC16,

Class

ASB,

3.48%,

08/15/50

....................

2,492

2,453,195

Series

2015-C27,

Class

A5,

3.45%,

02/15/48

....................

10,140

9,701,953

Series

2015-C28,

Class

ASB,

3.31%,

05/15/48

....................

2,266

2,202,301

WFRBS

Commercial

Mortgage

Trust

Series

2014-C21,

Class

ASB,

3.39%,

08/15/47

....................

2,675

2,637,488

Series

2014-C21,

Class

ASBF,

(1-mo.

LIBOR

USD

at

0.56%

Floor

+

0.56%),

5.27%,

08/15/47

(a)(b)

.............

692

690,120

Series

2014-C24,

Class

ASB,

3.32%,

11/15/47

....................

3,084

3,012,101

375,807,732

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.0%

Commercial

Mortgage

Trust,

Series

2015-

CR23,

Class

XA,

0.85%,

05/10/48

(a)

....

29,403

401,910

Total

Non-Agency

Mortgage-Backed

Securities

—

9.4%

(Cost:

$593,920,777)

.............................

554,232,355

U.S.

Government

Sponsored

Agency

Securities

Agency

Obligations

—

2.4%

Federal

Farm

Credit

Bank

Bonds

1.68%, 09/17/35

.................

30,000

22,152,722

2.17%, 10/29/29

.................

6,500

5,737,758

2.25%, 08/15/29

.................

23,500

20,894,082

Federal

Home

Loan

Bank

Bonds

0.60%, 12/30/26

.................

15,000

13,214,591

2.06%, 09/27/29

.................

19,250

16,903,507

2.18%, 11/06/29

.................

9,700

8,568,746

Federal

Home

Loan

Mortgage

Corp.

0.65%, 05/28/26

.................

15,000

13,501,831

5.68%, 04/03/25

.................

16,000

16,022,602

Federal

National

Mortgage

Association

0.74%, 08/25/27

.................

15,000

13,032,035

0.81%, 09/25/28

.................

15,000

12,724,932

142,752,806

Collateralized

Mortgage

Obligations

—

2.0%

Federal

Home

Loan

Mortgage

Corp.

Series

3710,

Class

MG,

4.00%, 08/15/25

(c)

165

163,208

Series

3959,

Class

MA,

4.50%, 11/15/41

.

831

826,836

Series

3986,

Class

M,

4.50%, 09/15/41

..

280

277,982

Series

4459,

Class

BN,

3.00%, 08/15/43

.

4,043

3,746,072

Series

4569,

Class

JA,

3.00%, 03/15/42

.

3,897

3,778,296

Series

4752,

Class

PL,

3.00%, 09/15/46

.

5,479

5,194,975

Series

4941,

Class

MB,

3.00%, 07/25/49

.

4,650

4,217,894

Series

5000,

Class

MA,

2.00%, 06/25/44

.

3,604

3,270,387

Series

5006,

Class

KA,

2.00%, 06/25/45

.

10,182

9,143,095

Series

5105,

Class

LA,

1.50%, 04/15/44

.

28,458

26,818,940

Federal

Home

Loan

Mortgage

Corp.

STACR

Trust

Variable

Rate

Notes,

Series

2019-

FTR2,

Class

M1,

(1-mo.

LIBOR

USD

+

0.95%),

5.80%, 11/25/48

(a)(b)

.........

362

360,093

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

96

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Collateralized

Mortgage

Obligations

(continued)

Federal

National

Mortgage

Association

(c)

Series

2011-48,

Class

MG,

4.00%, 06/25/26

USD

408

$

401,668

Series

2011-84,

Class

MG,

4.00%, 09/25/26

547

538,380

Federal

National

Mortgage

Association

Variable

Rate

Notes

(a)

Series

1997-20,

Class

FB,

2.61%, 03/25/27

6

5,651

Series

2022-65,

Class

FB,

(SOFR

30

Day

Average

at

0.80%

Floor

and

6.00%

Cap

+

0.80%),

5.36%, 09/25/52

........

47,702

46,609,612

Government

National

Mortgage

Association

Series

2013-131,

Class

PA,

3.50%, 06/16/42

686

672,459

Series

2017-136,

Class

GB,

3.00%, 03/20/47

...............

3,823

3,551,622

Series

2018-36,

Class

AM,

3.00%, 07/20/45

9,435

9,068,208

118,645,378

Commercial

Mortgage-Backed

Securities

—

0.1%

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates,

Series

KIR2,

Class

A1,

2.75%, 03/25/27

.

4,320

4,165,418

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.0%

(a)

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates

Variable

Rate

Notes,

Series

K121,

Class

X1,

1.02%, 10/25/30

.................

11,868

696,290

Government

National

Mortgage

Association

Variable

Rate

Notes,

Series

2012-120,

0.64%, 02/16/53

.................

10,110

161,120

857,410

Mortgage-Backed

Securities

—

5.4%

Federal

Home

Loan

Mortgage

Corp.

3.00%, 02/01/36

.................

2,550

2,392,452

4.00%, 02/01/34

-

06/01/37

..........

13,950

13,787,689

4.50%, 07/01/47

.................

764

764,374

4.50%, 03/01/49

(k)

................

42,798

42,461,091

(12-mo.

LIBOR

USD

at

1.63%

Floor

and

7.97%

Cap

+

1.63%),

5.63%, 10/01/45

(a)

1,136

1,156,233

Federal

National

Mortgage

Association

Variable

Rate

Notes

(a)

(12-mo.

LIBOR

USD

at

1.59%

Floor

and

7.97%

Cap

+

1.59%),

2.97%, 06/01/45

1,469

1,424,269

(12-mo.

LIBOR

USD

at

1.75%

Floor

and

8.68%

Cap

+

1.75%),

3.69%, 09/01/42

1,592

1,605,421

(12-mo.

LIBOR

USD

at

1.58%

Floor

and

7.88%

Cap

+

1.58%),

5.01%, 09/01/45

2,080

2,119,715

(12-mo.

LIBOR

USD

at

1.59%

Floor

and

7.90%

Cap

+

1.59%),

5.59%, 11/01/45

125

127,108

Uniform

Mortgage-Backed

Securities

1.50%, 07/01/31

.................

21,629

19,830,741

2.50%, 12/01/27

-

04/01/32

..........

20,899

19,771,384

3.00%, 12/01/26

-

09/01/35

..........

28,745

27,403,109

3.00%, 04/25/53

(l)

................

129,545

116,235,491

3.50%, 04/01/34

.................

2,154

2,094,768

4.00%, 04/01/26

-

03/01/38

..........

16,574

16,365,710

4.50%, 03/01/47

-

01/01/50

..........

35,973

36,065,043

5.50%, 04/25/53

(l)

................

16,246

16,410,046

320,014,644

Total

U.S.

Government

Sponsored

Agency

Securities

—

9.9%

(Cost:

$601,201,350)

.............................

586,435,656

Security

Par

(000)

Par

(000)

Value

U.S.

Treasury

Obligations

U.S.

Treasury

Notes

0.75%, 12/31/23

.................

USD

225,000

$

218,416,993

0.88%, 01/31/24

.................

200,000

193,679,688

1.50%, 02/29/24

.................

150,000

145,798,828

3.50%, 09/15/25

.................

168,560

166,946,829

4.25%, 10/15/25

.................

127,410

128,395,437

4.00%, 12/15/25

-

02/15/26

..........

186,770

187,518,529

3.88%, 01/15/26

.................

275,245

275,331,014

4.63%, 03/15/26

.................

136,680

139,798,012

Total

U.S.

Treasury

Obligations

—

24.5%

(Cost:

$1,449,318,774)

...........................

1,455,885,330

Total

Long-Term

Investments

—

93.4%

(Cost:

$5,695,783,416)

...........................

5,542,756,486

Short-Term

Securities

Certificates

of

Deposit

—

0.5%

Domestic

—

0.5%

Citibank

NA,

5.00%, 09/21/23

..........

30,000

29,932,441

Total

Certificates

of

Deposit

—

0.5%

(Cost:

$30,000,000)

..............................

29,932,441

Commercial

Paper

—

2.5%

(m)

AT&T,

Inc.,

5.93%

,

02/21/24

...........

20,000

18,969,769

Enel

Finance

America

LLC

4.76%,

08/09/23

.................

5,000

4,885,157

5.26%,

08/18/23

.................

21,000

20,483,050

5.54%,

09/01/23

.................

25,000

24,321,437

General

Motors

Financial

Co.,

Inc.,

5.73%

,

04/13/23

(b)

.....................

6,000

5,988,042

HSBC

USA,

Inc.

4.01%,

06/14/23

.................

24,325

24,069,081

4.50%,

08/23/23

.................

8,600

8,418,838

NatWest

Markets

plc,

5.74%

,

02/26/24

....

30,000

28,450,113

Societe

Generale

SA,

5.70%

,

03/06/24

....

15,000

14,309,820

Total

Commercial

Paper

—

2.5%

(Cost:

$150,252,412)

.............................

149,895,307

Shares

Shares

Money

Market

Funds

—

0.3%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(i)(n)

.................

17,345,909

17,345,909

Total

Money

Market

Funds

—

0.3%

(Cost:

$17,345,909)

..............................

17,345,909

Par

(000)

Pa

r

(

000)

U.S.

Treasury

Obligations

—

5.0%

U.S.

Treasury

Bills

(m)

4.95%, 01/25/24

.................

157,000

151,286,329

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

97

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

Security

Par

(000)

Par

(000)

Value

U.S.

Treasury

Obligations

(continued)

5.05%, 02/22/24

.................

USD

150,000

$

143,990,886

Total

U.S.

Treasury

Obligations

—

5.0%

(Cost:

$294,285,399)

.............................

295,277,215

Total

Short-Term

Securities

—

8.3%

(Cost:

$491,883,720)

.............................

492,450,872

Total

Investments

Before

TBA

Sale

Commitments

—

101.7%

(Cost:

$6,187,667,136

)

...........................

6,035,207,358

Security

Par

(000)

Pa

r

(

000)

Value

TBA

Sale

Commitments

Mortgage-Backed

Securities

—

(2.2)%

Uniform

Mortgage-Backed

Securities

(l)

3.00%

,

 04/25/53

.................

USD

(129,545)

$

(116,235,491)

5.50%

,

 04/25/53

.................

(16,246)

(16,410,046)

Total

TBA

Sale

Commitments

—

(2.2)%

(Proceeds:

$(131,883,705))

........................

(132,645,537)

Total

Investments

Net

of

TBA

Sale

Commitments

—

99.5%

(Cost:

$6,055,783,431

)

...........................

5,902,561,821

Other

Assets

Less

Liabilities

—

0.5%

...................

29,965,164

Net

Assets

—

100.0%

..............................

$

5,932,526,985

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

Security

exempt

from

registration

pursuant

to

Rule

144A

under

the

Securities

Act

of

1933,

as

amended.

These

securities

may

be

resold

in

transactions

exempt

from

registration

to

qualified

institutional

investors.

(c)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(d)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

(e)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(f)

Issuer

filed

for

bankruptcy

and/or

is

in

default.

(g)

Non-income

producing

security.

(h)

Payment-in-kind

security

which

may

pay

interest/dividends

in

additional

par/shares

and/or

in

cash.

Rates

shown

are

the

current

rate

and

possible

payment

rates.

(i)

Affiliate

of

the

Fund.

(j)

Rounds

to

less

than

1,000.

(k)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

TBA

commitments.

(l)

Represents

or

includes

a

TBA

transaction.

(m)

Rates

are

discount

rates

or

a

range

of

discount

rates

as

of

period

end.

(n)

Annualized

7-day

yield

as

of

period

end.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Par/Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

119,082,389

$

—

$

(101,736,480)

(a)

$

—

$

—

$

17,345,909

17,345,909

$

1,953,565

$

—

BlackRock

Capital

Finance

LP,

Series

1997-R2,

Class

AP

...

14,139

—

—

—

(14,139)

—

15,614

263

—

$

—

$

(14,139)

$

17,345,909

$

1,953,828

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

98

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

Euro-Schatz

.............................................................

271

06/08/23

$

31,064

$

281,916

U.S.

Treasury

2

Year

Note

....................................................

12,132

06/30/23

2,506,490

21,778,231

22,060,147

Short

Contracts

Euro-

Bobl

...............................................................

860

06/08/23

109,943

(2,438,350)

Euro-Bund

..............................................................

7

06/08/23

1,031

(36,581)

Japan

10

Year

Bond

........................................................

112

06/13/23

124,944

(2,490,683)

U.S.

Treasury

10

Year

Note

...................................................

1,009

06/21/23

116,098

738,914

U.S.

Treasury

10

Year

Ultra

Note

...............................................

718

06/21/23

87,069

(2,642,901)

U.S.

Treasury

Long

Bond

.....................................................

371

06/21/23

48,740

(1,688,767)

U.S.

Treasury

Ultra

Bond

.....................................................

66

06/21/23

9,349

(468,826)

U.S.

Treasury

5

Year

Note

....................................................

5,813

06/30/23

637,386

(6,497,061)

(15,524,255)

$

6,535,892

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

EUR

343,993

USD

368,457

Standard

Chartered

Bank

06/14/23

$

6,138

EUR

4,875,000

USD

5,225,990

Commonwealth

Bank

of

Australia

06/21/23

84,758

EUR

4,629,000

USD

5,012,227

JPMorgan

Chase

Bank

NA

06/21/23

30,533

USD

1,178,210

JPY

154,560,000

Deutsche

Bank

AG

06/21/23

455

121,884

USD

373,042

EUR

343,993

Morgan

Stanley

&

Co.

International

plc

06/14/23

(1,553)

EUR

1,095,000

USD

1,198,809

State

Street

Bank

and

Trust

Co.

06/21/23

(5,934)

USD

6,761,235

CAD

9,288,000

HSBC

Bank

plc

06/21/23

(120,074)

USD

6,458,077

EUR

5,991,000

Bank

of

America

NA

06/21/23

(68,424)

USD

91,111,452

EUR

84,337,542

Toronto

Dominion

Bank

06/21/23

(764,533)

USD

144,031,103

EUR

133,490,958

UBS

AG

06/21/23

(1,391,837)

USD

34,150,672

GBP

28,304,000

Deutsche

Bank

AG

06/21/23

(819,758)

(3,172,113)

$

(3,050,229)

Centrally

Cleared

Credit

Default

Swaps

—

Buy

Protection

Reference

Obligation/Index

Financing

Rate

Paid

by

the

Fund

Payment

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Markit

CDX

North

American

High

Yield

Index

Series

40.V1

.....................

5.00

%

Quarterly

06/20/28

USD

7,280

$

(121,453)

$

7,265

$

(128,718)

Markit

CDX

North

American

Investment

Grade

Index

Series

40.V1

................

1.00

Quarterly

06/20/28

USD

124,350

(1,463,658)

(915,802)

(547,856)

$

(1,585,111)

$

(908,537)

$

(676,574)

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

99

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Effective

Date

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

Annual

4.35%

Annual

04/05/23

(a)

12/31/24

USD

159,730

$

394,505

$

26,769

$

367,736

3.59%

Annual

1-day

SOFR

Annual

04/05/23

(a)

05/31/27

USD

159,730

(849,322)

5,789

(855,111)

$

(454,817)

$

32,558

$

(487,375)

(a)

Forward

swap.

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1-day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

%

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

39,823

$

(915,802)

$

367,736

$

(1,531,685)

$

—

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

appreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

22,799,061

$

—

$

22,799,061

Forward

foreign

currency

exchange

contracts

Unrealized

appreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

121,884

—

—

121,884

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

367,736

—

367,736

$

—

$

—

$

—

$

121,884

$

23,166,797

$

—

$

23,288,681

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

16,263,169

$

—

$

16,263,169

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

3,172,113

—

—

3,172,113

Swaps

—

centrally

cleared

Unrealized

depreciation

on

centrally

cleared

swaps

(a)

.

—

676,574

—

—

855,111

—

1,531,685

$

—

$

676,574

$

—

$

3,172,113

$

17,118,280

$

—

$

20,966,967

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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).

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Low

Duration

Bond

Portfolio

100

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

(24,274,524)

$

—

$

(24,274,524)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(20,500,627)

—

—

(20,500,627)

Swaps

..............................

—

(1,232,481)

—

—

487,330

—

(745,151)

$

—

$

(1,232,481)

$

—

$

(20,500,627)

$

(23,787,194)

$

—

$

(45,520,302)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

6,152,758

$

—

$

6,152,758

Forward

foreign

currency

exchange

contracts

....

—

—

—

(10,671,751)

—

—

(10,671,751)

Swaps

..............................

—

(909,948)

—

—

(2,749,895)

—

(3,659,843)

$

—

$

(909,948)

$

—

$

(10,671,751)

$

3,402,863

$

—

$

(8,178,836)

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

2,650,681,929

Average

notional

value

of

contracts

—

short

.................................................................................

$

1,131,196,460

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

331,727,359

Average

amounts

sold

—

in

USD

........................................................................................

$

15,099,168

Credit

default

swaps

Average

notional

value

—

buy

protection

...................................................................................

$

108,755,000

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

159,730,000

Average

notional

value

—

receives

fixed

rate

................................................................................

$

159,730,000

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

2,023,725

$

1,977,090

Forward

foreign

currency

exchange

contracts

.................................................................

121,884

3,172,113

Swaps

—

centrally

cleared

..............................................................................

—

489,384

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

2,145,609

$

5,638,587

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(2,023,725)

(2,466,474)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

121,884

$

3,172,113

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

Net

Amount

of

Derivative

Assets

(b)(c)

Commonwealth

Bank

of

Australia

.....................

$

84,758

$

—

$

—

$

—

$

84,758

Deutsche

Bank

AG

...............................

455

(455)

—

—

—

JPMorgan

Chase

Bank

NA

..........................

30,533

—

—

—

30,533

Standard

Chartered

Bank

...........................

6,138

—

—

—

6,138

$

121,884

$

(455)

$

—

$

—

$

121,429

BlackRock

Low

Duration

Bond

Portfolio

Schedules

of

Investments

101

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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.

See

notes

to

financial

statements.

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

Net

Amount

of

Derivative

Liabilities

(c)(d)

Bank

of

America

NA

..............................

$

68,424

$

—

$

—

$

—

$

68,424

Deutsche

Bank

AG

...............................

819,75

8

(455)

—

—

819,30

3

HSBC

Bank

plc

..................................

120,074

—

—

—

120,074

Morgan

Stanley

&

Co.

International

plc

..................

1,553

—

—

—

1,553

State

Street

Bank

and

Trust

Co.

......................

5,934

—

—

—

5,934

Toronto

Dominion

Bank

............................

764,533

—

—

—

764,533

UBS

AG

......................................

1,391,83

7

—

—

—

1,391,83

7

$

3,172,113

$

(455)

$

—

$

—

$

3,171,658

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(c)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(d)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

....................................

$

—

$

1,097,778,111

$

6,369,482

$

1,104,147,593

Corporate

Bonds

........................................

—

1,799,858,936

—

1,799,858,936

Floating

Rate

Loan

Interests

.................................

—

33,795

—

33,795

Foreign

Agency

Obligations

.................................

—

42,162,821

—

42,162,821

Non-Agency

Mortgage-Backed

Securities

........................

—

554,232,354

1

554,232,355

U.S.

Government

Sponsored

Agency

Se

curities

....................

—

586,435,656

—

586,435,656

U.S.

Treasury

Obligations

...................................

—

1,455,885,330

—

1,455,885,330

Short-Term

Securities

Certificates

of

Deposit

.....................................

—

29,932,441

—

29,932,441

Commercial

Paper

.......................................

—

149,895,307

—

149,895,307

Money

Market

Funds

......................................

17,345,909

—

—

17,345,909

U.S.

Treasury

Obligations

...................................

—

295,277,215

—

295,277,215

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(132,645,537)

—

(132,645,537)

$

17,345,909

$

5,878,846,429

$

6,369,483

$

5,902,561,821

Derivative

Financial

Instruments

(a)

Assets

Foreign

currency

exchange

contracts

............................

$

—

$

121,884

$

—

$

121,884

Interest

rate

contracts

.......................................

22,799,061

367,736

—

23,166,797

Liabilities

Credit

contracts

...........................................

—

(676,574)

—

(676,574)

Foreign

currency

exchange

contracts

............................

—

(3,172,113)

—

(3,172,113)

Interest

rate

contracts

.......................................

(16,263,169)

(855,111)

—

(17,118,280)

$

6,535,892

$

(4,214,178)

$

—

$

2,321,714

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument.

Statements

of

Assets

and

Liabilities

(unaudited)

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

102

BlackRock

Core

Bond

Portfolio

BlackRock

High

Yield

Bond

Portfolio

(a)

BlackRock

Low

Duration

Bond

Portfolio

ASSETS

Investments,

at

value

—

unaffiliated

(b)

(c)

.........................................................

$

3,786,580,719‌

$

17,501,335,978‌

$

6,017,861,449‌

Investments,

at

value

—

affiliated

(d)

............................................................

230,492,083‌

329,766,779‌

17,345,909‌

Cash  

...............................................................................

—‌

13,824,510‌

2,042,714‌

Cash

pledged:

Collateral

—

exchange-traded

options

written

....................................................

—‌

875,000‌

—‌

Collateral

—

OTC

derivatives

..............................................................

—‌

3,240,000‌

—‌

Futures

contracts

......................................................................

7,891,520‌

28,425,000‌

13,575,000‌

Centrally

cleared

swaps

..................................................................

1,174,778‌

10,963,000‌

11,512,000‌

Foreign

currency,

at

value

(e)

.................................................................

5,134,324‌

1,495,563‌

1,195,239‌

Receivables:

–‌

–‌

–‌

Investments

sold

......................................................................

51,371,255‌

18,285,332‌

148,554,641‌

Securities

lending

income

—

affiliated

........................................................

—‌

11,361‌

—‌

Swaps  

............................................................................

554‌

—‌

131‌

TBA

sale

commitments

..................................................................

238,416,853‌

—‌

131,883,705‌

Capital

shares

sold

.....................................................................

9,514,089‌

119,404,861‌

7,027,710‌

Dividends

—

unaffiliated

.................................................................

—‌

185,520‌

—‌

Dividends

—

affiliated

...................................................................

922,193‌

1,486,704‌

121,460‌

Interest

—

unaffiliated

...................................................................

22,509,552‌

272,183,121‌

33,246,867‌

From

the

Manager

.....................................................................

284,206‌

—‌

45,973‌

Variation

margin

on

futures

contracts

.........................................................

1,596,524‌

—‌

2,023,725‌

Variation

margin

on

centrally

cleared

swaps

....................................................

7,063‌

1,024,780‌

—‌

Swap

premiums

paid

.....................................................................

471,222‌

315,266‌

—‌

Unrealized

appreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

365,954‌

10,667‌

121,884‌

OTC

swaps

..........................................................................

1,064,382‌

23,274,954‌

—‌

Prepaid

expenses

.......................................................................

161,343‌

990,585‌

183,616‌

Total

assets

...........................................................................

4,357,958,614‌

18,327,098,981‌

6,386,742,023‌

LIABILITIES

Investments

sold

short,

at

value

(f)

.............................................................

—‌

3,337‌

—‌

Bank

overdraft

..........................................................................

329,831‌

—‌

—‌

Cash

received:

Collateral

—

OTC

derivatives

..............................................................

450,000‌

3,841,000‌

—‌

Collateral

—

TBA

commitments

.............................................................

1,690,000‌

—‌

—‌

Collateral

on

securities

loaned

...............................................................

—‌

1,342,426‌

—‌

Options

written,

at

value

(g)

..................................................................

11,062,378‌

737,358‌

—‌

TBA

sale

commitments,

at

value

(h)

............................................................

240,318,197‌

—‌

132,645,537‌

Payables:

–‌

–‌

–‌

Investments

purchased

..................................................................

502,052,944‌

126,463,782‌

292,743,861‌

Swaps  

............................................................................

—‌

209,125‌

—‌

Accounting

services

fees

.................................................................

68,646‌

265,730‌

119,344‌

Administration

fees

.....................................................................

211,838‌

1,541,101‌

349,054‌

Capital

shares

redeemed

.................................................................

5,980,763‌

120,086,319‌

15,914,548‌

Custodian

fees

........................................................................

39,285‌

79,381‌

59,850‌

Deferred

foreign

capital

gain

tax

............................................................

3‌

—‌

—‌

Income

dividend

distributions

..............................................................

1,877,093‌

9,833,825‌

2,023,285‌

Investment

advisory

fees

.................................................................

1,797,181‌

12,041,687‌

2,788,409‌

Trustees'

and

Officer's

fees

...............................................................

3,465‌

209,722‌

80,901‌

Other

affiliate

fees

.....................................................................

—‌

90,111‌

873‌

Professional

fees

......................................................................

54,836‌

241,721‌

81,904‌

Registration

fees

......................................................................

—‌

—‌

193,137‌

Service

and

distribution

fees

...............................................................

94,282‌

413,070‌

211,246‌

Transfer

agent

fees

....................................................................

776,255‌

4,713,347‌

1,318,320‌

Other

accrued

expenses

.................................................................

15,847‌

124,569‌

46,182‌

Variation

margin

on

futures

contracts

.........................................................

382,015‌

6,914,063‌

1,977,090‌

Variation

margin

on

centrally

cleared

swaps

....................................................

—‌

—‌

489,384‌

Swap

premiums

received

..................................................................

409,974‌

5,552,102‌

—‌

Unrealized

depreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

892,681‌

5,227,379‌

3,172,113‌

OTC

swaps

..........................................................................

1,011,703‌

1,104,313‌

—‌

Total

liabilities

..........................................................................

769,519,217‌

301,035,468‌

454,215,038‌

NET

ASSETS

..........................................................................

$

3,588,439,397‌

$

18,026,063,513‌

$

5,932,526,985‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

103

Financial

Statements

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

BlackRock

High

Yield

Bond

Portfolio

(a)

BlackRock

Low

Duration

Bond

Portfolio

NET

ASSETS

CONSIST

OF:

Paid-in

capital

..........................................................................

$

4,127,587,899‌

$

20,160,787,040‌

$

6,568,648,068‌

Accumulated

loss

.......................................................................

(539,148,502‌)

(2,134,723,527‌)

(636,121,083‌)

NET

ASSETS

..........................................................................

$

3,588,439,397‌

$

18,026,063,513‌

$

5,932,526,985‌

(a)

  Consolidated

Statement

of

Assets

and

Liabilities.

(b)

  Investments,

at

cost

—

unaffiliated

..........................................................

$

4,016,007,980‌

$

18,706,757,018‌

$

6,170,305,684‌

(c)

  Securities

loaned,

at

value

................................................................

$

—‌

$

1,298,880‌

$

—‌

(d)

  Investments,

at

cost

—

affiliated

............................................................

$

230,492,083‌

$

329,766,187‌

$

17,361,452‌

(e)

  Foreign

currency,

at

cost

.................................................................

$

5,071,449‌

$

1,490,054‌

$

1,203,663‌

(f)

  Proceeds

received

from

short

sales

.........................................................

$

—‌

$

5,919‌

$

—‌

(g)

  Premiums

received

....................................................................

$

13,393,969‌

$

4,227,852‌

$

—‌

(h)

  Proceeds

received

from

TBA

sale

commitments

.................................................

$

238,416,853‌

$

—‌

$

131,883,705‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

104

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

BlackRock

High

Yield

Bond

Portfolio

(a)

BlackRock

Low

Duration

Bond

Portfolio

NET

ASSET

VALUE

Institutional

Net

assets

...........................................................................

$

2,526,500,398‌

$

10,264,018,020‌

$

4,337,326,168‌

Shares

outstanding

....................................................................

298,976,403‌

1,511,287,129‌

484,840,646‌

Net

asset

value

.......................................................................

$

8.45‌

$

6.79‌

$

8.95‌

Shares

authorized

.....................................................................

Unlimited

Unlimited

Unlimited

Par

value

...........................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Service

Net

assets

...........................................................................

—‌

$

87,592,356‌

—‌

Shares

outstanding

....................................................................

—‌

12,890,089‌

—‌

Net

asset

value

.......................................................................

—‌

$

6.80‌

—‌

Shares

authorized

.....................................................................

—

Unlimited

—

Par

value

...........................................................................

$

—‌

$

0.001‌

$

—‌

Investor

A

Net

assets

...........................................................................

$

371,340,622‌

$

1,109,940,995‌

$

797,218,695‌

Shares

outstanding

....................................................................

43,882,338‌

163,503,645‌

89,143,954‌

Net

asset

value

.......................................................................

$

8.46‌

$

6.79‌

$

8.94‌

Shares

authorized

.....................................................................

Unlimited

Unlimited

Unlimited

Par

value

...........................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Investor

A1

Net

assets

...........................................................................

—‌

—‌

$

4,950,011‌

Shares

outstanding

....................................................................

—‌

—‌

553,072‌

Net

asset

value

.......................................................................

—‌

—‌

$

8.95‌

Shares

authorized

.....................................................................

—

—

Unlimited

Par

value

...........................................................................

$

—‌

$

—‌

$

0.001‌

Investor

C

Net

assets

...........................................................................

$

14,954,534‌

$

87,138,256‌

$

30,724,783‌

Shares

outstanding

....................................................................

1,775,429‌

12,814,477‌

3,437,341‌

Net

asset

value

.......................................................................

$

8.42‌

$

6.80‌

$

8.94‌

Shares

authorized

.....................................................................

Unlimited

Unlimited

Unlimited

Par

value

...........................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Class

K

Net

assets

...........................................................................

$

674,512,316‌

$

6,383,034,159‌

$

759,710,643‌

Shares

outstanding

....................................................................

79,566,386‌

939,359,714‌

84,996,220‌

Net

asset

value

.......................................................................

$

8.48‌

$

6.80‌

$

8.94‌

Shares

authorized

.....................................................................

Unlimited

Unlimited

Unlimited

Par

value

...........................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Class

R

Net

assets

...........................................................................

$

1,131,527‌

$

94,339,727‌

$

2,596,685‌

Shares

outstanding

....................................................................

133,658‌

13,894,343‌

290,390‌

Net

asset

value

.......................................................................

$

8.47‌

$

6.79‌

$

8.94‌

Shares

authorized

.....................................................................

Unlimited

Unlimited

Unlimited

Par

value

...........................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Statements

of

Operations

(unaudited)

Six

Months

Ended

March

31,

2023

105

Financial

Statements

BlackRock

Core

Bond

Portfolio

BlackRock

High

Yield

Bond

Portfolio

(a)

BlackRock

Low

Duration

Bond

Portfolio

INVESTMENT

INCOME

–

–

–

Dividends

—

unaffiliated

.................................................................

$

—‌

$

2,528,342‌

$

—‌

Dividends

—

affiliated

...................................................................

4,692,697‌

18,274,958‌

1,953,565‌

Interest

—

affiliated

....................................................................

—‌

—‌

263‌

Interest

—

unaffiliated

...................................................................

58,264,449‌

629,812,308‌

117,576,764‌

Securities

lending

income

—

affiliated

—

net

...................................................

—‌

253,684‌

—‌

Foreign

taxes

withheld

..................................................................

(954‌)

—‌

—‌

Total

investment

income

...................................................................

62,956,192‌

650,869,292‌

119,530,592‌

EXPENSES

Investment

advisory

....................................................................

5,742,362‌

38,296,171‌

8,865,304‌

Transfer

agent

—

class

specific

............................................................

1,550,737‌

7,128,049‌

1,839,314‌

Administration

.......................................................................

638,978‌

3,062,316‌

1,100,593‌

Service

and

distribution

—

class

specific

......................................................

529,452‌

2,212,010‌

1,260,307‌

Administration

—

class

specific

............................................................

340,199‌

1,871,178‌

619,754‌

Accounting

services

....................................................................

125,914‌

537,471‌

159,563‌

Professional

.........................................................................

82,090‌

153,906‌

73,372‌

Registration

.........................................................................

71,362‌

328,239‌

154,389‌

Custodian

...........................................................................

58,119‌

141,980‌

59,764‌

Printing

and

postage

...................................................................

19,949‌

7,670‌

1,534‌

Trustees

and

Officer

....................................................................

17,743‌

82,553‌

33,463‌

Miscellaneous

........................................................................

44,402‌

159,435‌

75,615‌

Total

expenses

.........................................................................

9,221,307‌

53,980,978‌

14,242,972‌

Less:

–‌

–‌

–‌

Administration

fees

waived

by

the

Manager

—

class

specific

.........................................

(340,199‌)

(41,995‌)

(593,174‌)

Fees

waived

and/or

reimbursed

by

the

Manager

.................................................

(338,759‌)

(696,453‌)

(38,483‌)

Transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific

............................

(857,168‌)

(56‌)

(153,085‌)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

7,685,181‌

53,242,474‌

13,458,230‌

Net

investment

income

....................................................................

55,271,011‌

597,626,818‌

106,072,362‌

REALIZED

AND

UNREALIZED

GAIN

(LOSS)

$

140,207,893‌

$

871,598,445‌

$

86,894,937‌

Net

realized

gain

(loss)

from:

Investments

—

unaffiliated

.............................................................

$

(91,158,275‌)

$

(505,921,130‌)

$

(180,245,901‌)

Investments

—

affiliated

...............................................................

—‌

337,943‌

—‌

Forward

foreign

currency

exchange

contracts

.................................................

(334,406‌)

(21,208,548‌)

(20,500,627‌)

Foreign

currency

transactions

...........................................................

380,497‌

254,844‌

(1,462,362‌)

Futures

contracts

....................................................................

8,989,369‌

5,602,173‌

(24,274,524‌)

Options

written

.....................................................................

(13,600,048‌)

6,002,673‌

—‌

Swaps  

..........................................................................

389,332‌

(29,819,433‌)

(745,151‌)

(95,333,531‌)

(544,751,478‌)

(227,228,565‌)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments

—

unaffiliated

(b)

............................................................

211,090,599‌

1,376,056,136‌

321,837,612‌

Investments

—

affiliated

...............................................................

—‌

(3,271‌)

(14,139‌)

Forward

foreign

currency

exchange

contracts

.................................................

(1,918,381‌)

(12,856,781‌)

(10,671,751‌)

Foreign

currency

translations

............................................................

343,981‌

473,945‌

478,865‌

Futures

contracts

....................................................................

11,197,747‌

(50,299,813‌)

6,152,758‌

Options

written

.....................................................................

14,177,138‌

3,541,837‌

—‌

Short

sales

—

unaffiliated

..............................................................

—‌

(307‌)

—‌

Swaps  

..........................................................................

650,340‌

99,438,177‌

(3,659,843‌)

235,541,424‌

1,416,349,923‌

314,123,502‌

Net

realized

and

unrealized

gain

.............................................................

140,207,893‌

871,598,445‌

86,894,937‌

NET

INCREASE

IN

NET

ASSETS

RESULTING

FROM

OPERATIONS

....................................

$

195,478,904‌

$

1,469,225,263‌

$

192,967,299‌

(a)

  Consolidated

Statement

of

Operations.

(b)

N

et

of

increase

in

deferred

foreign

capital

gain

tax

of

..............................................

$

(3‌)

$

—‌

$

—‌

See

notes

to

financial

statements.

Statements

of

Changes

in

Net

Assets

2023

BlackRock

Semi-Annual

Report

to

Shareholders

106

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

..................................................................................

$

55,271,011‌

$

68,444,359‌

Net

realized

loss

......................................................................................

(95,333,531‌)

(195,629,508‌)

Net

change

in

unrealized

appreciation

(depreciation)

..............................................................

235,541,424‌

(507,920,126‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.........................................................

195,478,904‌

(635,105,275‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(a)

From

net

investment

income

and

net

realized

gain:

  Institutional

.........................................................................................

(40,408,835‌)

(62,446,394‌)

  Investor

A

..........................................................................................

(5,688,251‌)

(8,948,162‌)

  Investor

C

..........................................................................................

(175,527‌)

(291,649‌)

  Class

K

............................................................................................

(10,902,723‌)

(19,159,824‌)

  Class

R

............................................................................................

(15,025‌)

(23,765‌)

Return

of

capital:

–

–

  Institutional

.........................................................................................

—‌

(5,461,539‌)

  Investor

A

..........................................................................................

—‌

(782,603‌)

  Investor

C

..........................................................................................

—‌

(25,508‌)

  Class

K

............................................................................................

—‌

(1,675,711‌)

  Class

R

............................................................................................

—‌

(2,079‌)

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.......................................................

(57,190,361‌)

(98,817,234‌)

CAPITAL

SHARE

TRANSACTIONS

Net

increase

(decrease)

in

net

assets

derived

from

capital

share

transactions

...............................................

141,167,661‌

(280,887,706‌)

NET

ASSETS

Total

increase

(decrease)

in

net

assets

.........................................................................

279,456,204‌

(1,014,810,215‌)

Beginning

of

period

......................................................................................

3,308,983,193‌

4,323,793,408‌

End

of

period

..........................................................................................

$

3,588,439,397‌

$

3,308,983,193‌

(a)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Statements

of

Changes

in

Net

Assets

(continued)

107

Financial

Statements

See

notes

to

financial

statements.

BlackRock

High

Yield

Bond

Portfolio

(a)

BlackRock

Low

Duration

Bond

Portfolio

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

....................................................

$

597,626,818‌

$

1,055,071,550‌

$

106,072,362‌

$

121,837,897‌

Net

realized

loss

........................................................

(544,751,478‌)

(296,171,535‌)

(227,228,565‌)

(134,613,179‌)

Net

change

in

unrealized

appreciation

(depreciation)

................................

1,416,349,923‌

(3,662,640,813‌)

314,123,502‌

(532,528,590‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

...........................

1,469,225,263‌

(2,903,740,798‌)

192,967,299‌

(545,303,872‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(b)

From

net

investment

income

and

net

realized

gain:

  Institutional

...........................................................

(346,172,614‌)

(648,420,024‌)

(121,596,098‌)

(105,334,082‌)

  Service

..............................................................

(2,663,024‌)

(5,525,246‌)

—‌

—‌

  Investor

A

............................................................

(34,344,443‌)

(63,032,833‌)

(22,441,963‌)

(17,313,124‌)

  Investor

A1

...........................................................

—‌

—‌

(132,011‌)

(101,876‌)

  Investor

C

............................................................

(2,519,381‌)

(5,550,480‌)

(735,420‌)

(353,906‌)

  Class

K

..............................................................

(214,408,398‌)

(377,264,057‌)

(21,570,800‌)

(16,803,485‌)

  Class

R

..............................................................

(2,730,142‌)

(4,748,562‌)

(64,278‌)

(31,797‌)

Return

of

capital:

–

–

–

–

  Institutional

...........................................................

—‌

(28,490,662‌)

—‌

—‌

  Service

..............................................................

—‌

(242,772‌)

—‌

—‌

  Investor

A

............................................................

—‌

(2,769,574‌)

—‌

—‌

  Investor

C

............................................................

—‌

(243,880‌)

—‌

—‌

  Class

K

..............................................................

—‌

(16,576,451‌)

—‌

—‌

  Class

R

..............................................................

—‌

(208,645‌)

—‌

—‌

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.........................

(602,838,002‌)

(1,153,073,186‌)

(166,540,570‌)

(139,938,270‌)

CAPITAL

SHARE

TRANSACTIONS

Net

decrease

in

net

assets

derived

from

capital

share

transactions

.........................

(545,822,200‌)

(2,128,992,022‌)

(658,401,263‌)

(1,349,659,595‌)

NET

ASSETS

Total

increase

(decrease)

in

net

assets

...........................................

320,565,061‌

(6,185,806,006‌)

(631,974,534‌)

(2,034,901,737‌)

Beginning

of

period

........................................................

17,705,498,452‌

23,891,304,458‌

6,564,501,519‌

8,599,403,256‌

End

of

period

............................................................

$

18,026,063,513‌

$

17,705,498,452‌

$

5,932,526,985‌

$

6,564,501,519‌

(a)

Consolidated

Statements

of

Changes

in

Net

Assets.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi

-

Annual

Report

to

Shareholders

108

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(f)

Annualized.

(g)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.12

‌

$

9.88

‌

$

10.43

‌

$

9.92

‌

$

9.25

‌

$

9.65

‌

Net

investment

income

(a)

........................

0.14

‌

0.17

‌

0.14

‌

0.20

‌

0.28

‌

0.25

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.33

‌

(1.69

)

(0.14

)

0.53

‌

0.68

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.47

‌

(1.52

)

(0.00

)

0.73

‌

0.96

‌

(0.14

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.14

)

(0.16

)

(0.19

)

(0.22

)

(0.29

)

(0.26

)

From

net

realized

gain

..........................

—

‌

(0.06

)

(0.36

)

—

‌

—

‌

—

‌

Return

of

capital

..............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

..............................

(0.14

)

(0.24

)

(0.55

)

(0.22

)

(0.29

)

(0.26

)

Net

asset

value,

end

of

period

.....................

$

8.45

‌

$

8.12

‌

$

9.88

‌

$

10.43

‌

$

9.92

‌

$

9.25

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

5.83

%

(d)

(15.67

)%

(0.04

)%

7.42

%

10.52

%

(1.50

)%

Ratios

to

Average

Net

Assets

(e)

Total

expenses

................................

0.53

%

(f)

0.54

%

0.53

%

0.54

%

0.60

%

0.62

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.43

%

(f)

0.44

%

0.44

%

0.43

%

0.51

%

0.54

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.43

%

(f)

0.44

%

0.44

%

0.43

%

0.43

%

0.44

%

Net

investment

income

..........................

3.27

%

(f)

1.82

%

1.35

%

1.98

%

2.94

%

2.61

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

2,526,500

‌

$

2,350,703

‌

$

2,892,879

‌

$

2,608,893

‌

$

1,935,102

‌

$

1,762,677

‌

Portfolio

turnover

rate

(g)

...........................

207

%

533

%

585

%

692

%

684

%

658

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

155%

337%

387%

488%

481%

455%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

109

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(f)

Annualized.

(g)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.13

‌

$

9.89

‌

$

10.44

‌

$

9.93

‌

$

9.26

‌

$

9.66

‌

Net

investment

income

(a)

........................

0.12

‌

0.14

‌

0.11

‌

0.18

‌

0.26

‌

0.22

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.34

‌

(1.69

)

(0.14

)

0.52

‌

0.67

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.46

‌

(1.55

)

(0.03

)

0.70

‌

0.93

‌

(0.17

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.13

)

(0.13

)

(0.16

)

(0.19

)

(0.26

)

(0.23

)

From

net

realized

gain

..........................

—

‌

(0.06

)

(0.36

)

—

‌

—

‌

—

‌

Return

of

capital

..............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

..............................

(0.13

)

(0.21

)

(0.52

)

(0.19

)

(0.26

)

(0.23

)

Net

asset

value,

end

of

period

.....................

$

8.46

‌

$

8.13

‌

$

9.89

‌

$

10.44

‌

$

9.93

‌

$

9.26

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

5.69

%

(d)

(15.86

)%

(0.29

)%

7.15

%

10.24

%

(1.74

)%

Ratios

to

Average

Net

Assets

(e)

Total

expenses

................................

0.77

%

(f)

0.81

%

0.80

%

0.81

%

0.93

%

0.97

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.68

%

(f)

0.69

%

0.69

%

0.68

%

0.76

%

0.79

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.68

%

(f)

0.69

%

0.69

%

0.68

%

0.68

%

0.69

%

Net

investment

income

..........................

3.02

%

(f)

1.56

%

1.10

%

1.75

%

2.69

%

2.36

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

371,341

‌

$

358,179

‌

$

451,800

‌

$

532,706

‌

$

492,426

‌

$

427,610

‌

Portfolio

turnover

rate

(g)

...........................

207

%

533

%

585

%

692

%

684

%

658

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

155%

337%

387%

488%

481%

455%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi

-

Annual

Report

to

Shareholders

110

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(f)

Annualized.

(g)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.09

‌

$

9.84

‌

$

10.40

‌

$

9.89

‌

$

9.22

‌

$

9.62

‌

Net

investment

income

(a)

........................

0.09

‌

0.07

‌

0.04

‌

0.10

‌

0.19

‌

0.15

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.34

‌

(1.68

)

(0.16

)

0.53

‌

0.67

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.43

‌

(1.61

)

(0.12

)

0.63

‌

0.86

‌

(0.24

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.10

)

(0.06

)

(0.08

)

(0.12

)

(0.19

)

(0.16

)

From

net

realized

gain

..........................

—

‌

(0.06

)

(0.36

)

—

‌

—

‌

—

‌

Return

of

capital

..............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

..............................

(0.10

)

(0.14

)

(0.44

)

(0.12

)

(0.19

)

(0.16

)

Net

asset

value,

end

of

period

.....................

$

8.42

‌

$

8.09

‌

$

9.84

‌

$

10.40

‌

$

9.89

‌

$

9.22

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

5.32

%

(d)

(16.48

)%

(1.14

)%

6.37

%

9.45

%

(2.49

)%

Ratios

to

Average

Net

Assets

(e)

Total

expenses

................................

1.55

%

(f)

1.56

%

1.53

%

1.57

%

1.68

%

1.68

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

1.43

%

(f)

1.44

%

1.44

%

1.43

%

1.51

%

1.54

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

1.43

%

(f)

1.44

%

1.44

%

1.43

%

1.43

%

1.44

%

Net

investment

income

..........................

2.27

%

(f)

0.77

%

0.36

%

1.02

%

1.96

%

1.63

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

14,955

‌

$

14,300

‌

$

25,319

‌

$

36,599

‌

$

49,848

‌

$

61,437

‌

Portfolio

turnover

rate

(g)

...........................

207

%

533

%

585

%

692

%

684

%

658

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

155%

337%

387%

488%

481%

455%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

111

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(f)

Annualized.

(g)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Core

Bond

Portfolio

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.14

‌

$

9.91

‌

$

10.46

‌

$

9.95

‌

$

9.28

‌

$

9.68

‌

Net

investment

income

(a)

........................

0.14

‌

0.17

‌

0.14

‌

0.21

‌

0.29

‌

0.25

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.34

‌

(1.70

)

(0.14

)

0.52

‌

0.67

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.48

‌

(1.53

)

0.00

‌

0.73

‌

0.96

‌

(0.14

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.14

)

(0.16

)

(0.19

)

(0.22

)

(0.29

)

(0.26

)

From

net

realized

gain

..........................

—

‌

(0.06

)

(0.36

)

—

‌

—

‌

—

‌

Return

of

capital

..............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

..............................

(0.14

)

(0.24

)

(0.55

)

(0.22

)

(0.29

)

(0.26

)

Net

asset

value,

end

of

period

.....................

$

8.48

‌

$

8.14

‌

$

9.91

‌

$

10.46

‌

$

9.95

‌

$

9.28

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

5.97

%

(d)

(15.68

)%

0.02

%

7.46

%

10.55

%

(1.44

)%

Ratios

to

Average

Net

Assets

(e)

Total

expenses

................................

0.43

%

(f)

0.43

%

0.42

%

0.42

%

0.51

%

0.54

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.38

%

(f)

0.39

%

0.39

%

0.38

%

0.46

%

0.49

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.38

%

(f)

0.39

%

0.39

%

0.38

%

0.38

%

0.39

%

Net

investment

income

..........................

3.33

%

(f)

1.81

%

1.40

%

2.04

%

2.99

%

2.66

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

674,512

‌

$

584,718

‌

$

952,547

‌

$

1,029,002

‌

$

829,549

‌

$

701,197

‌

Portfolio

turnover

rate

(g)

...........................

207

%

533

%

585

%

692

%

684

%

658

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

155%

337%

387%

488%

481%

455%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi

-

Annual

Report

to

Shareholders

112

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(f)

Annualized.

(g)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Core

Bond

Portfolio

Class

R

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.13

‌

$

9.89

‌

$

10.45

‌

$

9.94

‌

$

9.27

‌

$

9.67

‌

Net

investment

income

(a)

........................

0.11

‌

0.12

‌

0.09

‌

0.16

‌

0.23

‌

0.20

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.35

‌

(1.69

)

(0.15

)

0.52

‌

0.68

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.46

‌

(1.57

)

(0.06

)

0.68

‌

0.91

‌

(0.19

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.12

)

(0.11

)

(0.14

)

(0.17

)

(0.24

)

(0.21

)

From

net

realized

gain

..........................

—

‌

(0.06

)

(0.36

)

—

‌

—

‌

—

‌

Return

of

capital

..............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

..............................

(0.12

)

(0.19

)

(0.50

)

(0.17

)

(0.24

)

(0.21

)

Net

asset

value,

end

of

period

.....................

$

8.47

‌

$

8.13

‌

$

9.89

‌

$

10.45

‌

$

9.94

‌

$

9.27

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

5.69

%

(d)

(16.07

)%

(0.64

)%

6.88

%

9.95

%

(1.98

)%

Ratios

to

Average

Net

Assets

(e)

Total

expenses

................................

1.19

%

(f)

1.20

%

1.13

%

1.08

%

1.21

%

1.25

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.93

%

(f)

0.94

%

0.94

%

0.93

%

1.01

%

1.04

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.93

%

(f)

0.94

%

0.94

%

0.93

%

0.93

%

0.94

%

Net

investment

income

..........................

2.77

%

(f)

1.32

%

0.87

%

1.54

%

2.45

%

2.13

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

1,132

‌

$

1,084

‌

$

1,249

‌

$

2,023

‌

$

2,712

‌

$

2,921

‌

Portfolio

turnover

rate

(g)

...........................

207

%

533

%

585

%

692

%

684

%

658

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

155%

337%

387%

488%

481%

455%

See

notes

to

financial

statements.

Consolidated

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

113

Financial

Highlights

BlackRock

High

Yield

Bond

Portfolio

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.48

‌

$

7.89

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

$

7.85

‌

Net

investment

income

(a)

.........................

0.21

‌

0.37

‌

0.37

‌

0.40

‌

0.44

‌

0.42

‌

Net

realized

and

unrealized

gain

(loss)

................

0.32

‌

(1.38

)

0.48

‌

(0.24

)

0.02

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

........

0.53

‌

(1.01

)

0.85

‌

0.16

‌

0.46

‌

0.26

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.22

)

(0.38

)

(0.38

)

(0.42

)

(0.45

)

(0.44

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.22

)

(0.40

)

(0.38

)

(0.42

)

(0.45

)

(0.44

)

Net

asset

value,

end

of

period

......................

$

6.79

‌

$

6.48

‌

$

7.89

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

8.18

%

(e)

(13.21

)%

11.58

%

2.21

%

6.34

%

3.48

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.................................

0.58

%

(g)

0.58

%

0.57

%

0.59

%

0.60

%

0.61

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

0.58

%

(g)

0.57

%

0.56

%

0.58

%

0.60

%

0.61

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

....................

0.58

%

(g)

0.57

%

0.56

%

0.58

%

0.60

%

0.61

%

Net

investment

income

...........................

6.38

%

(g)

5.03

%

4.73

%

5.37

%

5.89

%

5.49

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

10,264,018

‌

$

10,232,728

‌

$

14,197,255

‌

$

11,680,175

‌

$

10,693,110

‌

$

9,680,691

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

See

notes

to

financial

statements.

Consolidated

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

114

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees.

Excluding

the

recoupment

of

past

waived

and/or

reimbursed

fees,

the

expense

ratios

were

as

follows:

(h)

Annualized.

See

notes

to

financial

statements.

BlackRock

High

Yield

Bond

Portfolio

Service

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.48

‌

$

7.89

‌

$

7.43

‌

$

7.68

‌

$

7.67

‌

$

7.85

‌

Net

investment

income

(a)

.........................

0.20

‌

0.34

‌

0.35

‌

0.38

‌

0.42

‌

0.40

‌

Net

realized

and

unrealized

gain

(loss)

................

0.33

‌

(1.37

)

0.46

‌

(0.23

)

0.02

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

........

0.53

‌

(1.03

)

0.81

‌

0.15

‌

0.44

‌

0.24

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.21

)

(0.36

)

(0.35

)

(0.40

)

(0.43

)

(0.42

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.21

)

(0.38

)

(0.35

)

(0.40

)

(0.43

)

(0.42

)

Net

asset

value,

end

of

period

......................

$

6.80

‌

$

6.48

‌

$

7.89

‌

$

7.43

‌

$

7.68

‌

$

7.67

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

8.20

%

(e)

(13.46

)%

11.11

%

2.08

%

6.06

%

3.19

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

(g)

................................

0.85

%

(h)

0.87

%

0.86

%

0.86

%

0.87

%

0.90

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

0.84

%

(h)

0.86

%

0.85

%

0.85

%

0.87

%

0.89

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

....................

0.84

%

(h)

0.86

%

0.85

%

0.85

%

0.87

%

0.89

%

Net

investment

income

...........................

6.11

%

(h)

4.64

%

4.45

%

5.13

%

5.64

%

5.20

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

87,592

‌

$

80,995

‌

$

133,295

‌

$

125,536

‌

$

154,658

‌

$

176,188

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Expense

ratios

................................................

N/A  

N/A  

N/A  

N/A  

N/A  

0.90%

Consolidated

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

115

Financial

Highlights

BlackRock

High

Yield

Bond

Portfolio

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.47

‌

$

7.88

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

$

7.85

‌

Net

investment

income

(a)

.........................

0.20

‌

0.35

‌

0.34

‌

0.38

‌

0.42

‌

0.40

‌

Net

realized

and

unrealized

gain

(loss)

................

0.32

‌

(1.38

)

0.47

‌

(0.25

)

0.02

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

........

0.52

‌

(1.03

)

0.81

‌

0.13

‌

0.44

‌

0.24

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.20

)

(0.36

)

(0.35

)

(0.39

)

(0.43

)

(0.42

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.20

)

(0.38

)

(0.35

)

(0.39

)

(0.43

)

(0.42

)

Net

asset

value,

end

of

period

......................

$

6.79

‌

$

6.47

‌

$

7.88

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

8.17

%

(e)

(13.52

)%

11.06

%

1.90

%

6.00

%

3.15

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.................................

0.93

%

(g)

0.92

%

0.91

%

0.90

%

0.94

%

0.96

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

0.92

%

(g)

0.91

%

0.90

%

0.89

%

0.92

%

0.93

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

....................

0.92

%

(g)

0.91

%

0.90

%

0.89

%

0.92

%

0.93

%

Net

investment

income

...........................

6.04

%

(g)

4.72

%

4.40

%

5.09

%

5.58

%

5.17

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

1,109,941

‌

$

1,088,100

‌

$

1,408,666

‌

$

1,298,176

‌

$

1,329,156

‌

$

1,326,541

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

See

notes

to

financial

statements.

Consolidated

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

116

BlackRock

High

Yield

Bond

Portfolio

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.48

‌

$

7.90

‌

$

7.43

‌

$

7.69

‌

$

7.68

‌

$

7.86

‌

Net

investment

income

(a)

.........................

0.18

‌

0.29

‌

0.29

‌

0.33

‌

0.37

‌

0.35

‌

Net

realized

and

unrealized

gain

(loss)

................

0.32

‌

(1.38

)

0.48

‌

(0.25

)

0.02

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

........

0.50

‌

(1.09

)

0.77

‌

0.08

‌

0.39

‌

0.19

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.18

)

(0.31

)

(0.30

)

(0.34

)

(0.38

)

(0.37

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.18

)

(0.33

)

(0.30

)

(0.34

)

(0.38

)

(0.37

)

Net

asset

value,

end

of

period

......................

$

6.80

‌

$

6.48

‌

$

7.90

‌

$

7.43

‌

$

7.69

‌

$

7.68

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

7.81

%

(e)

(14.18

)%

10.46

%

1.19

%

5.25

%

2.43

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.................................

1.58

%

(g)

1.58

%

1.57

%

1.61

%

1.64

%

1.64

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

1.58

%

(g)

1.58

%

1.56

%

1.60

%

1.64

%

1.63

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

....................

1.58

%

(g)

1.58

%

1.56

%

1.60

%

1.64

%

1.63

%

Net

investment

income

...........................

5.38

%

(g)

3.98

%

3.74

%

4.39

%

4.87

%

4.47

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

87,138

‌

$

95,815

‌

$

159,580

‌

$

186,558

‌

$

262,204

‌

$

329,005

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

See

notes

to

financial

statements.

Consolidated

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

117

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees.

Excluding

the

recoupment

of

past

waived

and/or

reimbursed

fees,

the

expense

ratios

were

as

follows:

(h)

Annualized.

See

notes

to

financial

statements.

BlackRock

High

Yield

Bond

Portfolio

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.48

‌

$

7.89

‌

$

7.43

‌

$

7.68

‌

$

7.68

‌

$

7.85

‌

Net

investment

income

(a)

.........................

0.22

‌

0.37

‌

0.38

‌

0.40

‌

0.45

‌

0.43

‌

Net

realized

and

unrealized

gain

(loss)

................

0.32

‌

(1.37

)

0.46

‌

(0.22

)

0.01

‌

(0.15

)

Net

increase

(decrease)

from

investment

operations

........

0.54

‌

(1.00

)

0.84

‌

0.18

‌

0.46

‌

0.28

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.22

)

(0.39

)

(0.38

)

(0.43

)

(0.46

)

(0.45

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.22

)

(0.41

)

(0.38

)

(0.43

)

(0.46

)

(0.45

)

Net

asset

value,

end

of

period

......................

$

6.80

‌

$

6.48

‌

$

7.89

‌

$

7.43

‌

$

7.68

‌

$

7.68

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

8.40

%

(e)

(13.12

)%

11.53

%

2.46

%

6.32

%

3.73

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

(g)

................................

0.48

%

(h)

0.49

%

0.48

%

0.48

%

0.49

%

0.50

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

0.47

%

(h)

0.48

%

0.47

%

0.47

%

0.49

%

0.50

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

...................

0.47

%

(h)

0.48

%

0.47

%

0.47

%

0.49

%

0.50

%

Net

investment

income

...........................

6.49

%

(h)

5.09

%

4.86

%

5.40

%

5.99

%

5.59

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

6,383,034

‌

$

6,116,737

‌

$

7,883,370

‌

$

11,470,944

‌

$

4,644,939

‌

$

4,312,394

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Expense

ratios

................................................

N/A  

N/A  

N/A  

N/A  

0.49%

0.50%

Consolidated

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

118

BlackRock

High

Yield

Bond

Portfolio

Class

R

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

6.47

‌

$

7.89

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

$

7.85

‌

Net

investment

income

(a)

.........................

0.19

‌

0.33

‌

0.32

‌

0.36

‌

0.40

‌

0.38

‌

Net

realized

and

unrealized

gain

(loss)

................

0.33

‌

(1.39

)

0.48

‌

(0.25

)

0.02

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

........

0.52

‌

(1.06

)

0.80

‌

0.11

‌

0.42

‌

0.22

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.20

)

(0.34

)

(0.33

)

(0.37

)

(0.41

)

(0.40

)

From

net

realized

gain

...........................

—

‌

(0.00

)

(c)

—

‌

—

‌

—

‌

—

‌

Return

of

capital

...............................

—

‌

(0.02

)

—

‌

—

‌

—

‌

—

‌

Total

distributions

...............................

(0.20

)

(0.36

)

(0.33

)

(0.37

)

(0.41

)

(0.40

)

Net

asset

value,

end

of

period

......................

$

6.79

‌

$

6.47

‌

$

7.89

‌

$

7.42

‌

$

7.68

‌

$

7.67

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

8.04

%

(e)

(13.84

)%

10.94

%

1.64

%

5.69

%

2.83

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.................................

1.17

%

(g)

1.16

%

1.15

%

1.16

%

1.22

%

1.24

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

1.16

%

(g)

1.16

%

1.14

%

1.15

%

1.21

%

1.24

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

and

income

tax

....................

1.16

%

(g)

1.16

%

1.14

%

1.15

%

1.21

%

1.24

%

Net

investment

income

...........................

5.80

%

(g)

4.51

%

4.16

%

4.84

%

5.28

%

4.86

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

94,340

‌

$

91,124

‌

$

109,138

‌

$

110,465

‌

$

125,710

‌

$

128,584

‌

Portfolio

turnover

rate

.............................

35

%

67

%

76

%

119

%

102

%

90

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

See

notes

to

financial

statements.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

119

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees

with

no

financial

impact

to

the

expense

ratios.

(j)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Low

Duration

Bond

Portfolio

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.91

‌

$

9.72

‌

$

9.71

‌

$

9.64

‌

$

9.47

‌

$

9.63

‌

Net

investment

income

(a)

........................

0.15

‌

0.15

‌

0.12

‌

0.19

‌

0.25

‌

0.21

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.13

‌

(0.79

)

0.02

‌

0.09

‌

0.18

‌

(0.14

)

Net

increase

(decrease)

from

investment

operations

.......

0.28

‌

(0.64

)

0.14

‌

0.28

‌

0.43

‌

0.07

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.24

)

(0.17

)

(0.13

)

(0.21

)

(0.26

)

(0.21

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

..............................

(0.24

)

(0.17

)

(0.13

)

(0.21

)

(0.26

)

(0.23

)

Net

asset

value,

end

of

period

.....................

$

8.95

‌

$

8.91

‌

$

9.72

‌

$

9.71

‌

$

9.64

‌

$

9.47

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

3.19

%

(e)

(6.61

)%

1.47

%

3.00

%

4.59

%

(f)

0.69

%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

................................

0.42

%

(h)

0.43

%

0.44

%

0.45

%

0.45

%

0.52

%

(i)

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.40

%

(h)

0.40

%

0.40

%

0.41

%

0.40

%

0.48

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.40

%

(h)

0.40

%

0.40

%

0.40

%

0.40

%

0.40

%

Net

investment

income

..........................

3.46

%

(h)

1.58

%

1.20

%

2.03

%

2.60

%

2.21

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

4,337,326

‌

$

4,789,552

‌

$

6,395,606

‌

$

5,375,701

‌

$

5,374,564

‌

$

4,274,410

‌

Portfolio

turnover

rate

(j)

...........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

120

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Low

Duration

Bond

Portfolio

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.90

‌

$

9.72

‌

$

9.17

‌

$

9.63

‌

$

9.47

‌

$

9.63

‌

Net

investment

income

(a)

........................

0.14

‌

0.13

‌

0.09

‌

0.17

‌

0.22

‌

0.18

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.13

‌

(0.80

)

0.03

‌

0.10

‌

0.17

‌

(0.14

)

Net

increase

(decrease)

from

investment

operations

.......

0.27

‌

(0.67

)

0.12

‌

0.27

‌

0.39

‌

0.04

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.23

)

(0.15

)

(0.11

)

(0.19

)

(0.23

)

(0.18

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

..............................

(0.23

)

(0.15

)

(0.11

)

(0.19

)

(0.23

)

(0.20

)

Net

asset

value,

end

of

period

.....................

$

8.94

‌

$

8.90

‌

$

9.72

‌

$

9.71

‌

$

9.63

‌

$

9.47

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

3.06

%

(e)

(6.95

)%

1.22

%

2.85

%

4.23

%

(f)

0.43

%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

................................

0.69

%

(h)

0.74

%

0.74

%

0.76

%

0.78

%

0.88

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.65

%

(h)

0.65

%

0.65

%

0.66

%

0.65

%

0.74

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.65

%

(h)

0.65

%

0.65

%

0.65

%

0.65

%

0.66

%

Net

investment

income

..........................

3.21

%

(h)

1.34

%

0.96

%

1.77

%

2.35

%

1.94

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

797,219

‌

$

916,865

‌

$

1,199,702

‌

$

1,412,985

‌

$

1,318,473

‌

$

1,267,494

‌

Portfolio

turnover

rate

(

i

)

...........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

121

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Low

Duration

Bond

Portfolio

Investor

A1

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.91

‌

$

9.73

‌

$

9.71

‌

$

9.64

‌

$

9.48

‌

$

9.64

‌

Net

investment

income

(a)

........................

0.15

‌

0.14

‌

0.11

‌

0.19

‌

0.24

‌

0.20

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.13

‌

(0.80

)

0.03

‌

0.09

‌

0.17

‌

(0.14

)

Net

increase

(decrease)

from

investment

operations

.......

0.28

‌

(0.66

)

0.14

‌

0.28

‌

0.41

‌

0.06

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.24

)

(0.16

)

(0.12

)

(0.21

)

(0.25

)

(0.20

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

..............................

(0.24

)

(0.16

)

(0.12

)

(0.21

)

(0.25

)

(0.22

)

Net

asset

value,

end

of

period

.....................

$

8.95

‌

$

8.91

‌

$

9.73

‌

$

9.71

‌

$

9.64

‌

$

9.48

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

3.14

%

(e)

(6.80

)%

1.48

%

2.90

%

4.38

%

(f)

0.59

%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

................................

0.62

%

(h)

0.62

%

0.59

%

0.60

%

0.59

%

0.70

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.50

%

(h)

0.50

%

0.50

%

0.51

%

0.50

%

0.59

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.50

%

(h)

0.50

%

0.50

%

0.50

%

0.50

%

0.51

%

Net

investment

income

..........................

3.36

%

(h)

1.50

%

1.13

%

1.93

%

2.51

%

2.09

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

4,950

‌

$

5,134

‌

$

6,710

‌

$

8,141

‌

$

8,621

‌

$

9,492

‌

Portfolio

turnover

rate

(

i

)

...........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

122

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Low

Duration

Bond

Portfolio

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

...............

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.46

‌

$

9.63

‌

Net

investment

income

(a)

.......................

0.11

‌

0.05

‌

0.02

‌

0.10

‌

0.15

‌

0.11

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.13

‌

(0.79

)

0.04

‌

0.09

‌

0.18

‌

(0.15

)

Net

increase

(decrease)

from

investment

operations

......

0.24

‌

(0.74

)

0.06

‌

0.19

‌

0.33

‌

(0.04

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

....................

(0.20

)

(0.08

)

(0.04

)

(0.12

)

(0.16

)

(0.11

)

Return

of

capital

.............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

.............................

(0.20

)

(0.08

)

(0.04

)

(0.12

)

(0.16

)

(0.13

)

Net

asset

value,

end

of

period

....................

$

8.94

‌

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.46

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

........................

2.68

%

(e)

(7.65

)%

0.57

%

1.98

%

3.56

%

(f)

(0.42

)%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

...............................

1.45

%

(h)

1.45

%

1.45

%

1.50

%

1.52

%

1.62

%

Total

expenses

after

fees

waived

and/or

reimbursed

......

1.40

%

(h)

1.40

%

1.40

%

1.41

%

1.40

%

1.49

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

1.40

%

(h)

1.40

%

1.40

%

1.40

%

1.40

%

14.10

%

Net

investment

income

.........................

2.45

%

(h)

0.58

%

0.23

%

1.05

%

1.61

%

1.18

%

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

30,725

‌

$

36,103

‌

$

51,625

‌

$

69,913

‌

$

152,890

‌

$

172,631

‌

Portfolio

turnover

rate

(

i

)

..........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

123

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

Low

Duration

Bond

Portfolio

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.46

‌

$

9.62

‌

Net

investment

income

(a)

........................

0.16

‌

0.15

‌

0.12

‌

0.20

‌

0.25

‌

0.22

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.12

‌

(0.79

)

0.04

‌

0.09

‌

0.18

‌

(0.15

)

Net

increase

(decrease)

from

investment

operations

.......

0.28

‌

(0.64

)

0.16

‌

0.29

‌

0.43

‌

0.07

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.24

)

(0.18

)

(0.14

)

(0.22

)

(0.26

)

(0.21

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

..............................

(0.24

)

(0.18

)

(0.14

)

(0.22

)

(0.26

)

(0.23

)

Net

asset

value,

end

of

period

.....................

$

8.94

‌

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.46

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

3.22

%

(e)

(6.67

)%

1.63

%

3.05

%

4.65

%

(f)

0.73

%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

................................

0.37

%

(h)

0.37

%

0.37

%

0.38

%

0.37

%

0.46

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.35

%

(h)

0.35

%

0.36

%

0.36

%

0.35

%

0.44

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.35

%

(h)

0.35

%

0.36

%

0.35

%

0.35

%

0.35

%

Net

investment

income

..........................

3.51

%

(h)

1.65

%

1.23

%

2.07

%

2.64

%

2.27

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

759,711

‌

$

814,127

‌

$

943,607

‌

$

557,997

‌

$

512,940

‌

$

258,340

‌

Portfolio

turnover

rate

(

i

)

...........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

124

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Annualized.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Low

Duration

Bond

Portfolio

Class

R

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.47

‌

$

9.63

‌

Net

investment

income

(a)

........................

0.13

‌

0.11

‌

0.07

‌

0.15

‌

0.20

‌

0.16

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.13

‌

(0.80

)

0.03

‌

0.09

‌

0.17

‌

(0.14

)

Net

increase

(decrease)

from

investment

operations

.......

0.26

‌

(0.69

)

0.10

‌

0.24

‌

0.37

‌

0.02

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.22

)

(0.13

)

(0.08

)

(0.17

)

(0.21

)

(0.16

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

(0.00

)

(c)

(0.00

)

(c)

(0.02

)

Total

distributions

..............................

(0.22

)

(0.13

)

(0.08

)

(0.17

)

(0.21

)

(0.18

)

Net

asset

value,

end

of

period

.....................

$

8.94

‌

$

8.90

‌

$

9.72

‌

$

9.70

‌

$

9.63

‌

$

9.47

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

2.93

%

(e)

(7.18

)%

1.07

%

2.49

%

3.97

%

(f)

0.18

%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

................................

1.07

%

(h)

1.09

%

1.07

%

1.08

%

1.18

%

1.24

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

0.90

%

(h)

0.90

%

0.91

%

0.91

%

0.90

%

0.99

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.90

%

(h)

0.90

%

0.91

%

0.90

%

0.90

%

0.91

%

Net

investment

income

..........................

2.96

%

(h)

1.17

%

0.72

%

1.54

%

2.10

%

1.69

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

2,597

‌

$

2,721

‌

$

2,153

‌

$

2,405

‌

$

3,949

‌

$

4,493

‌

Portfolio

turnover

rate

(

i

)

...........................

104

%

163

%

129

%

213

%

182

%

218

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

91%

153%

125%

170%

144%

169%

See

notes

to

financial

statements.

Notes

to

Financial

Statements

(unaudited)

125

Notes

to

Financial

Statements

1.

ORGANIZATION 

BlackRock

Funds

V (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

Massachusetts

business trust.

The

following,

each

of

which

is

a

series

of

the

Trust, are

referred

to

herein

collectively

as

the

“Funds”

or

individually

as

a

“Fund”:

Each

Fund

offers

multiple

classes

of

shares.

All

classes

of

shares

have

identical

voting,

dividend,

liquidation

and

other

rights

and

are

subject

to

the

same

terms

and

conditions,

except

that

certain

classes

bear

expenses

related

to

the

shareholder

servicing

and

distribution

of

such

shares.

Institutional,

Service

and

Class

K

shares

are

sold

only

to

certain

eligible

investors.

Service,

Investor

A,

Investor

A1,

Investor C

and

Class

R

Shares

bear

certain

expenses

related

to

shareholder

servicing

of

such

shares,

and

Investor

C

and

Class R

Shares

also

bear

certain

expenses

related

to

the

distribution

of

such

shares.

Investor

A

and

Investor

C

Shares

are

generally

available

through

financial

intermediaries.

Investor

A1

Shares

are

only

available

for

dividend

and

capital

gain

reinvestment

by

existing

shareholders,

and

for

purchase

by

certain

employer-

sponsored

retirement

plans.

Class

R

Shares

are

sold

without

a

sales

charge

and

only

to

certain

employer-sponsored

retirement

plans.

Each

class

has

exclusive

voting

rights

with

respect

to

matters

relating

to

its

shareholder

servicing

and

distribution

expenditures

(except

that

Investor

C

shareholders

may

vote

on

material

changes

to

the

Investor

A

Shares

distribution

and

service

plan).

The

Funds,

together

with

certain

other

registered

investment

companies

advised

by

BlackRock

Advisors,

LLC

(the

“Manager”) or

its

affiliates,

are

included

in

a

complex

of

funds

referred

to

as

the BlackRock

Fixed-Income

Complex.

Basis

of

Consolidation:

 The

accompanying

consolidated

financial

statements

of

High

Yield

Bond

include

the

accounts

of

BR-HIYLD

Subsidiary

II,

LLC

(the

“Subsidiary”),

which

is

a

wholly-owned

taxable

subsidiary

of

High

Yield

Bond.

The

Subsidiary

enables

High

Yield

Bond

to

hold

investments

that

may

produce

non-qualifying

income

for

tax

purposes

and

satisfy

regulated

investment

company

tax

requirements.

Income

earned

and

gains

realized

on

the

investments

held

by

the

Subsidiary

are

taxable

to

such

subsidiary.

A

tax

provision

for

income,

if

any,

is

shown

as

income

tax

in

the

Consolidated

Statement

of

Operations

for

High

Yield

Bond.

A

tax

provision

for

realized

and

unrealized

gains,

if

any,

is

included

as

a

reduction

of

realized

and/or

unrealized

gain

(loss)

in

the

Consolidated

Statement

of

Operations

for

High

Yield

Bond.

Taxes

payable

or

deferred

as

of

March

31,

2023,

if

any,

are

disclosed

in

the

Consolidated

Statement

of

Assets

and

Liabilities.

High

Yield

Bond

may

invest

up

to

25%

of

its

total

assets

in

the

Subsidiary.

The

net

assets

of

the

Subsidiary

as

of

period

end

were

$1,177,388,

which

is

less

than

0.1%

of

High

Yield

Bond’s

consolidated

net

assets.

Intercompany

accounts

and

transactions,

if

any,

have

been

eliminated.

The

Subsidiary

is

subject

to

the

same

investment

policies

and

restrictions

that

apply

to

High

Yield

Bond.

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

(the

“trade

dates”).

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

dates.

Non-cash

dividends,

if

any,

are

recorded

on

the

ex-dividend

dates

at

fair

value.

Dividends

from

foreign

securities

where

the

ex-dividend

dates

may

have

passed

are

subsequently

recorded

when

the

Funds

are

informed

of

the

ex-dividend

dates.

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,

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.

Interest

income,

including

amortization

and

accretion

of

premiums

and

discounts

on

debt

securities,

and

payment-in-kind

interest

are

recognized

daily

on

an

accrual

basis.

Income,

expenses

and

realized

and

unrealized

gains

and

losses

are

allocated

daily

to

each

class

based

on

its

relative

net

assets. For

convertible

securities,

premiums

attributable

to

the

debt

instrument

are

amortized,

but

premiums

attributable

to

the

conversion

feature

are

not

amortized.

Fund

Name

Herein

Referred

To

As

Diversification

Classification

BlackRock

Core

Bond

Portfolio

...............................................

Core

Bond

Diversified

BlackRock

High

Yield

Bond

Portfolio

............................................

High

Yield

Bond

Diversified

BlackRock

Low

Duration

Bond

Portfolio

..........................................

Low

Duration

Bond

Diversified

Share

Class

Initial

Sales

Charge

Contingent

Deferred

Sales

Charge

("CDSC")

Conversion

Privilege

Institutional,

Service,

Class

K

and

Class

R

Shares

..........................

No

No

None

Investor

A

Shares

..............................................

Yes

No

(a)

None

Investor

A1

Shares

.............................................

No

(b)

No

(c)

None

Investor

C

Shares

.............................................

No

Yes

(d)

To

Investor

A

Shares

after

approximately

8

years

(a)

Investor

A

Shares

may

be

subject

to

a

CDSC

for

certain

redemptions

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

(b)

Investor

A1

Shares

are

subject

to

a

maximum

sales

charge

on

purchases

of

1.00%.

The

sales

charge

does

not

apply

to

dividend

and

capital

gain

reinvestments

by

existing

shareholders

and

new

purchases

for

certain

employer-sponsored

retirement

plans,

which

are

currently

the

only

investors

who

may

invest

in

Investor

A1

Shares.

(c)

Investor

A1

Shares

may

be

subject

to

CDSC

for

certain

redemptions

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

However,

the

CDSC

does

not

apply

to

redemptions

by

certain

employer-sponsored

retirement

plans

or

to

redemptions

of

shares

acquired

through

reinvestment

of

dividends

and

capital

gains

by

existing

shareholders.

(d)

A

CDSC

of

1.00%

is

assessed

on

certain

redemptions

of

Investor

C

Shares

made

within

one

year

after

purchase.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

126

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

exchange

rates

determined

as

of

the

close

of

trading

on

the

New

York

Stock

Exchange

(“NYSE”).

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

“Foreign

taxes

withheld”,

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

March

31,

2023

,

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

include

tax

reclaims

recorded

as

well

as

professional

and

other

fees,

if

any,

associated

with

recovery

of

foreign

withholding

taxes. 

Collateralization:

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.  

Distributions:

Distributions

from

net

investment

income

are

declared

daily

and

paid

monthly.

Distributions

of

capital

gains

are

recorded

on

the

ex-dividend

dates

and

made

at

least

annually. The

portion

of

distributions,

if

any,

that

exceeds

a

fund’s

current

and

accumulated

earnings

and

profits,

as

measured

on

a

tax

basis,

constitute

a

non-taxable

return

of

capital.

The

character

and

timing

of

distributions

are

determined

in

accordance

with

U.S.

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP

.

Deferred

Compensation

Plan:

Under

the

Deferred

Compensation

Plan

(the

“Plan”)

approved

by

the

Board

of

Trustees

of

the

Trust

(the

“Board”), the 

trustees

who

are

not

“interested

persons”

of

the

Funds,

as

defined

in

the

1940

Act

(“Independent

Trustees

”),

may

defer

a

portion

of

their

annual

complex-wide

compensation.

Deferred

amounts

earn

an

approximate

return

as

though

equivalent

dollar

amounts

had

been

invested

in

common

shares

of

certain

funds

in

the

BlackRock

Fixed-Income

Complex

selected

by

the

Independent

Trustees

.

This

has

the

same

economic

effect

for

the

Independent 

Trustees

as

if

the

Independent 

Trustees

had

invested

the

deferred

amounts

directly

in

certain

funds

in

the

BlackRock

Fixed-Income

Complex.  

The

Plan

is

not

funded

and

obligations

thereunder

represent

general

unsecured

claims

against

the

general

assets

of

each

Fund,

as

applicable.

Deferred

compensation

liabilities,

if

any, are

included

in

the

Trustees’

and

Officer’s

fees

payable

in

the

Statements

of

Assets

and

Liabilities

and

will

remain

as

a

liability

of

the

Funds

until

such

amounts

are

distributed

in

accordance

with

the

Plan. Net

appreciation

(depreciation)

in

the

value

of

participants’

deferral

accounts

is

allocated

among

the

participating

funds

in

the

BlackRock

Fixed-Income

Complex

and

reflected

as

Trustee

and

Officer

expense

on

the

Statements

of

Operations.

The

Trustee

and

Officer

expense

may

be

negative

as

a

result

of

a

decrease

in

value

of

the

deferred

accounts.

Indemnifications:

In

the

normal

course

of

business,

a

Fund

enters

into

contracts

that

contain

a

variety

of

representations

that

provide

general

indemnification.

A

Fund’s

maximum

exposure

under

these

arrangements

is

unknown

because

it

involves

future

potential

claims

against

a

Fund,

which

cannot

be

predicted

with

any

certainty.

Other:

Expenses

directly

related

to

a

Fund

or

its

classes

are

charged

to

that

Fund

or

the

applicable

class.

Expenses

directly

related

to

the

Funds

and

other

shared

expenses

prorated

to

the

Funds

are

allocated

daily

to

each

class

based

on

their

relative

net

assets

or

other

appropriate

methods.

Other

operating

expenses

shared

by

several

funds,

including

other

funds

managed

by

the

Manager,

are

prorated

among

those

funds

on

the

basis

of

relative

net

assets

or

other

appropriate

methods. 

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

is

open

for

business

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.

The

Board

of

each

Fund

has

approved

the

designation

of

each

Fund’s

Manager

as

the

valuation

designee

for

each

Fund.

Each

Fund

determines

the

fair

values

of

its

financial

instruments

using

various

independent

dealers

or

pricing

services

under

the

Manager’s

policies.

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

the

Manager’s

policies

and

procedures

as

reflecting

fair

value.

The

Manager

has

formed

a

committee

(the

“Valuation

Committee”)

to

develop

pricing

policies

and

procedures

and

to

oversee

the

pricing

function

for

all

financial

instruments,

with

assistance

from

other

BlackRock

pricing

committees.

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

may

be

valued

at

the

last

available

bid

(long

positions)

or

ask

(short

positions)

price.  

Fixed-income investments

for

which

market

quotations

are

readily

available

are

generally

valued

using

the

last

available

bid

price

or

current

market

quotations

provided

by

independent

dealers

or

third-party

pricing

services. Floating

rate

loan

interests

are

valued

at

the

mean

of

the

bid

prices

from

one

or

more

independent

brokers

or

Notes

to

Financial

Statements

(unaudited)

(continued)

127

Notes

to

Financial

Statements

dealers

as

obtained

from

a

third-party

pricing

service. Pricing

services

generally

value

fixed-income

securities

assuming

orderly

transactions

of

an

institutional

round

lot

size,

but

a

fund

may

hold

or

transact

in

such

securities

in

smaller,

odd

lot

sizes.

Odd

lots

may

trade

at

lower

prices

than

institutional

round

lots.

The

pricing

services

may

use

matrix

pricing

or

valuation

models

that

utilize

certain

inputs

and

assumptions

to

derive

values,

including

transaction

data

(e.g.,

recent

representative

bids

and

offers),

market

data, credit

quality

information,

perceived

market

movements,

news,

and

other

relevant

information.

Certain

fixed-income

securities,

including

asset-

backed

and

mortgage

related

securities

may

be

valued

based

on

valuation

models

that

consider

the

estimated

cash

flows

of

each

tranche

of

the

entity,

establish

a

benchmark

yield

and

develop

an

estimated

tranche

specific

spread

to

the

benchmark

yield

based

on

the

unique

attributes

of

the

tranche.

The

amortized

cost

method

of

valuation

may

be

used

with

respect

to

debt

obligations

with

sixty

days

or

less

remaining

to

maturity

unless

the

Manager

determines

such

method

does

not

represent

fair

value.

Investments

in

open-end

U.S.

mutual

funds

(including

money

market

funds) are

valued

at

that

day’s

published net

asset

value

(“NAV”).

High

Yield

Bond

values

its

investment

in

SL

Liquidity

Series,

LLC,

Money

Market

Series

(the

“Money

Market

Series”)

at

fair

value,

which

is

ordinarily

based

upon

its

pro

rata

ownership

in

the

underlying

fund’s

net

assets.

Futures

contracts

are valued

based

on

that

day’s

last

reported

settlement

or

trade price

on

the

exchange

where

the

contract

is

traded.

Forward

foreign

currency

exchange

contracts

are

valued

at

the

mean

between

the

bid

and

ask

prices

and

are

determined

as

of

the

close

of

trading

on

the

NYSE

based

on

that

day’s

prevailing

forward

exchange

rate

for

the

underlying

currencies.

Exchange-traded

options

are

valued

at

the

mean

between

the

last bid

and

ask

prices

at

the

close

of

the

options

market in

which

the

options

trade.

An

exchange-

traded

option

for

which there

is

no

mean

price

is

valued

at

the

last

bid

(long

positions)

or

ask

(short

positions)

price.

If

no

bid

or

ask

price

is

available,

the

prior

day’s

price will

be

used,

unless

it

is

determined

that

the

prior

day’s

price

no

longer

reflects

the

fair

value

of

the

option.

Over-the-counter

(“OTC”)

options

and

options

on

swaps

(“swaptions”)

are

valued

by

an

independent

pricing

service

using

a

mathematical

model,

which

incorporates

a

number

of

market

data

factors,

such

as

the

trades

and

prices

of

the

underlying

instruments.

Swap

agreements

are

valued

utilizing

quotes

received

daily

by

independent pricing

services

or

through

brokers,

which

are

derived

using

daily

swap

curves

and

models

that

incorporate

a

number

of

market

data

factors,

such

as

discounted

cash

flows,

trades

and

values

of

the

underlying

reference

instruments. 

Generally,

trading

in

foreign

instruments

is

substantially

completed

each

day

at

various

times

prior

to

the

close

of

trading

on

the

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

Valuation

Committee

in

accordance

with

the

Manager’s

policies

and

procedures

as

reflecting

fair

value

(“Fair

Valued

Investments”).

The

fair

valuation

approaches

that

may

be

used

by

the

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

Valuation

Committee

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

Valuation

Committee

deems

relevant

and

consistent

with

the

principles

of

fair

value

measurement.

For

investments

in

equity

or

debt

issued

by

privately

held

companies

or

funds

(“Private

Company”

or

collectively,

the

“Private

Companies”)

and

other

Fair

Valued

Investments,

the

fair

valuation

approaches

that

are

used

by

the

Valuation

Committee

and

third-party

pricing

services

utilized

by

the

Valuation

Committee

include one

or

a

combination

of,

but

not

limited

to,

the

following

inputs.  

Investments

in

series

of

preferred

stock

issued

by

Private

Companies

are

typically

valued

utilizing

market

approach

in

determining

the

enterprise

value

of

the

company.

Such

investments

often

contain

rights

and

preferences

that

differ

from

other

series

of

preferred

and

common

stock

of

the

same

issuer.

Enterprise

valuation

techniques

such

as

an

option

pricing

model

(“OPM”),

a

probability

weighted

expected

return

model

(“PWERM”),

current

value

method or

a

hybrid

of

those

techniques

are

used

as

deemed

appropriate

under

the

circumstances.

The

use

of these

valuation techniques

involve

a

determination

of

the

exit

scenarios

of

the

investment

in

order

to

appropriately

allocate

the

enterprise

value

of

the

company

among

the

various

parts

of

its

capital

structure. 

Standard

Inputs

Generally

Considered

By

The

Valuation

Committee

And

Third-Party

Pricing

Services

Market

approach

........................

(i)        

recent

market

transactions,

including

subsequent

rounds

of

financing,

in

the

underlying

investment

or

comparable  

            issuers;

(ii)        recapitalizations

and

other

transactions

across

the

capital

structure;

and

(iii)      

market

multiples

of

comparable

issuers.

Income

approach

..........................

(i)        

future

cash

flows

discounted

to

present

and

adjusted

as

appropriate

for

liquidity,

credit,

and/or

market

risks;

(ii)        quoted

prices

for

similar

investments

or

assets

in

active

markets;

and

(iii)      

other

risk

factors,

such

as

interest

rates,

yield

curves,

volatilities,

prepayment

speeds,

loss

severities,

credit

risks,

            recovery

rates,

liquidation

amounts

and/or

default

rates.

Cost

approach

............................

(i)        

audited

or

unaudited

financial

statements,

investor

communications

and

financial

or

operational

metrics

            issued

by

the

Private

Company;

(ii)        changes

in

the

valuation

of

relevant

indices

or

publicly

traded

companies

comparable

to

the

Private

Company;

(iii)      

relevant

news

and

other

public

sources;

and

(iv)      

known

secondary

market

transactions

in

the

Private

Company’s

interests

and

merger

or

acquisition

activity

            in

companies

comparable

to

the

Private

Company.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

128

The

Private

Companies

are

not

subject

to

the

public

company

disclosure,

timing,

and

reporting

standards

applicable

to other

investments

held

by

a

Fund.

Typically,

the

most

recently

available

information

by

a

Private

Company

is

as

of

a

date

that

is

earlier

than

the

date

a

Fund

is

calculating

its

NAV.

This

factor

may

result

in

a

difference

between

the

value

of

the

investment

and

the

price

a

Fund

could

receive

upon

the

sale

of

the

investment. 

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

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

Valuation

Committee

in

determining

the

price

for

Fair

Valued

Investments.

Level

3

investments

include

equity

or

debt

issued

by

Private

Companies

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.

As

of

March

31,

2023,

certain

investments

of

High

Yield

Bond were fair valued

using

NAV as

a

practical

expedient as

no

quoted

market

value

is

available

and

therefore

have

been

excluded

from

the

fair

value

hierarchy.

4.

SECURITIES

AND

OTHER

INVESTMENTS 

Asset-Backed

and

Mortgage-Backed

Securities:

Asset-backed

securities

are

generally

issued

as

pass-through

certificates

or

as

debt

instruments.

Asset-backed

securities

issued

as

pass-through

certificates

represent

undivided

fractional

ownership

interests

in

an

underlying

pool

of

assets.

Asset-backed

securities

issued

as

debt

instruments,

which

are

also

known

as

collateralized

obligations,

are

typically

issued

as

the

debt

of

a

special

purpose

entity

organized

solely

for

the

purpose

of

owning

such

assets

and

issuing

such

debt.

Asset-backed

securities

are

often

backed

by

a

pool

of

assets

representing

the

obligations

of

a

number

of

different

parties.

The

yield

characteristics

of

certain

asset-backed

securities

may

differ

from

traditional

debt

securities.

One

such

major

difference

is

that

all

or

a

principal

part

of

the

obligations

may

be

prepaid

at

any

time

because

the

underlying

assets

(i.e.,

loans)

may

be

prepaid

at

any

time.

As

a

result,

a

decrease

in

interest

rates

in

the

market

may

result

in

increases

in

the

level

of

prepayments

as

borrowers,

particularly

mortgagors,

refinance

and

repay

their

loans.

An

increased

prepayment

rate

with

respect

to

an

asset-backed

security

will

have

the

effect

of

shortening

the

maturity

of

the

security.

In

addition,

a

fund

may

subsequently

have

to

reinvest

the

proceeds

at

lower

interest

rates.

If

a

fund

has

purchased

such

an

asset-backed

security

at

a

premium,

a

faster

than

anticipated

prepayment

rate

could

result

in

a

loss

of

principal

to

the

extent

of

the

premium

paid. 

For

mortgage

pass-through

securities

(the

“Mortgage

Assets”)

there

are

a

number

of

important

differences

among

the

agencies

and

instrumentalities

of

the

U.S.

Government

that

issue

mortgage-related

securities

and

among

the

securities

that

they

issue.

For

example,

mortgage-related

securities

guaranteed

by

Ginnie

Mae

are

guaranteed

as

to

the

timely

payment

of

principal

and

interest

by

Ginnie

Mae

and

such

guarantee

is

backed

by

the

full

faith

and

credit

of

the

United

States.

However,

mortgage-related

securities

issued

by

Freddie

Mac

and

Fannie

Mae,

including

Freddie

Mac

and

Fannie

Mae

guaranteed

mortgage

pass-through

certificates,

which

are

solely

the

obligations

of

Freddie

Mac

and

Fannie

Mae,

are

not

backed

by

or

entitled

to

the

full

faith

and

credit

of

the

United

States,

but

are

supported

by

the

right

of

the

issuer

to

borrow

from

the

U.S.

Treasury. 

Non-agency

mortgage-backed

securities

are

securities

issued

by

non-governmental

issuers

and

have

no

direct

or

indirect

government

guarantees

of

payment

and

are

subject

to

various

risks.

Non-agency

mortgage

loans

are

obligations

of

the

borrowers

thereunder

only

and

are

not

typically

insured

or

guaranteed

by

any

other

person

or

entity.

The

ability

of

a

borrower

to

repay

a

loan

is

dependent

upon

the

income

or

assets

of

the

borrower.

A

number

of

factors,

including

a

general

economic

downturn,

acts

of

God,

terrorism,

social

unrest

and

civil

disturbances,

may

impair

a

borrower’s

ability

to

repay

its

loans.

Collateralized

Debt

Obligations:

Collateralized

debt

obligations

(“CDOs”),

including

collateralized

bond

obligations

(“CBOs”)

and

collateralized

loan

obligations

(“CLOs”),

are

types

of

asset-backed

securities.

A

CDO

is

an

entity

that

is

backed

by

a

diversified

pool

of

debt

securities

(CBOs)

or

syndicated

bank

loans

(CLOs).

The

cash

flows

of

the

CDO

can

be

split

into

multiple

segments,

called

“tranches,”

which

will

vary

in

risk

profile

and

yield.

The

riskiest

segment

is

the

subordinated

or

“equity”

tranche.

This

tranche

bears

the

greatest

risk

of

defaults

from

the

underlying

assets

in

the

CDO

and

serves

to

protect

the

other,

more

senior,

tranches

from

default

in

all

but

the

most

severe

circumstances.

Since

it

is

shielded

from

defaults

by

the

more

junior

tranches,

a

“senior”

tranche

will

typically

have

higher

credit

ratings

and

lower

yields

than

their

underlying

securities,

and

often

receive

investment

grade

ratings

from

one

or

more

of

the

nationally

recognized

rating

agencies.

Despite

the

protection

from

the

more

junior

tranches,

senior

tranches

can

experience

substantial

losses

due

to

actual

defaults,

increased

sensitivity

to

future

defaults

and

the

disappearance

of

one

or

more

protecting

tranches

as

a

result

of

changes

in

the

credit

profile

of

the

underlying

pool

of

assets. 

Multiple

Class

Pass-Through

Securities:

Multiple

class

pass-through

securities,

including

collateralized

mortgage

obligations

(“CMOs”)

and

commercial

mortgage-backed

securities,

may

be

issued

by

Ginnie

Mae,

U.S.

Government

agencies

or

instrumentalities

or

by

trusts

formed

by

private

originators

of,

or

investors

in,

mortgage

loans.

In

general,

CMOs

are

debt

obligations

of

a

legal

entity

that

are

collateralized

by

a

pool

of

residential

or

commercial

mortgage

loans

or

Mortgage

Assets.

The

payments

on

these

are

used

to

make

payments

on

the

CMOs

or

multiple

pass-through

securities.

Multiple

class

pass-through

securities

represent

direct

ownership

interests

in

the

Mortgage

Assets.

Classes

of

CMOs

include

interest

only

(“IOs”),

principal

only

(“POs”),

planned

amortization

classes

and

targeted

amortization

classes.

IOs

and

POs

are

stripped

mortgage-backed

securities

representing

interests

in

a

pool

of

mortgages,

the

cash

flow

from

which

has

been

separated

into

interest

and

principal

components.

IOs

receive

the

interest

portion

of

the

cash

flow

while

POs

receive

the

principal

portion.

IOs

and

POs

can

be

extremely

volatile

in

response

to

changes

in

interest

rates.

As

interest

rates

Notes

to

Financial

Statements

(unaudited)

(continued)

129

Notes

to

Financial

Statements

rise

and

fall,

the

value

of

IOs

tends

to

move

in

the

same

direction

as

interest

rates.

POs

perform

best

when

prepayments

on

the

underlying

mortgages

rise

since

this

increases

the

rate

at

which

the

principal

is

returned

and

the

yield

to

maturity

on

the

PO.

When

payments

on

mortgages

underlying

a

PO

are

slower

than

anticipated,

the

life

of

the

PO

is

lengthened

and

the

yield

to

maturity

is

reduced.

If

the

underlying

Mortgage

Assets

experience

greater

than

anticipated

prepayments

of

principal,

a

fund’s

initial

investment

in

the

IOs

may

not

fully

recoup. 

Stripped

Mortgage-Backed

Securities:

Stripped

mortgage-backed

securities

are

typically

issued

by

the

U.S.

Government,

its

agencies

and

instrumentalities.

Stripped

mortgage-backed

securities

are

usually

structured

with

two

classes

that

receive

different

proportions

of

the

interest

(IOs)

and

principal

(POs)

distributions

on

a

pool

of

Mortgage

Assets.

Stripped

mortgage-backed

securities

may

be

privately

issued.

Zero-Coupon

Bonds:

Zero-coupon

bonds

are

normally

issued

at

a

significant

discount

from

face

value

and

do

not

provide

for

periodic

interest

payments.

These

bonds

may

experience

greater

volatility

in

market

value

than

other

debt

obligations

of

similar

maturity

which

provide

for

regular

interest

payments. 

Capital

Securities

and

Trust

Preferred

Securities:

Capital

securities,

including

trust

preferred

securities,

are

typically

issued

by

corporations,

generally

in

the

form

of

interest-bearing

notes

with

preferred

securities

characteristics.

In

the

case

of

trust

preferred

securities,

an

affiliated

business

trust

of

a

corporation

issues

these

securities,

generally

in

the

form

of

beneficial

interests

in

subordinated

debentures

or

similarly

structured

securities.

The

securities

can

be

structured

with

either

a

fixed

or

adjustable

coupon

that

can

have

either

a

perpetual

or

stated

maturity

date.

For

trust

preferred

securities,

the

issuing

bank

or

corporation

pays

interest

to

the

trust,

which

is

then

distributed

to

holders

of

these

securities

as

a

dividend.

Dividends

can

be

deferred

without

creating

an

event

of

default

or

acceleration,

although

maturity

cannot

take

place

unless

all

cumulative

payment

obligations

have

been

met.

The

deferral

of

payments

does

not

affect

the

purchase

or

sale

of

these

securities

in

the

open

market.

These

securities

generally

are

rated

below

that

of

the

issuing

company’s

senior

debt

securities

and

are

freely

callable

at

the

issuer’s

option. 

Preferred

Stocks:

Preferred

stock

has

a

preference

over

common

stock

in

liquidation

(and

generally

in

receiving

dividends

as

well),

but

is

subordinated

to

the

liabilities

of

the

issuer

in

all

respects.

As

a

general

rule,

the

market

value

of

preferred

stock

with

a

fixed

dividend

rate

and

no

conversion

element

varies

inversely

with

interest

rates

and

perceived

credit

risk,

while

the

market

price

of

convertible

preferred

stock

generally

also

reflects

some

element

of

conversion

value.

Because

preferred

stock

is

junior

to

debt

securities

and

other

obligations

of

the

issuer,

deterioration

in

the

credit

quality

of

the

issuer

will

cause

greater

changes

in

the

value

of

a

preferred

stock

than

in

a

more

senior

debt

security

with

similar

stated

yield

characteristics.

Unlike

interest

payments

on

debt

securities,

preferred

stock

dividends

are

payable

only

if

declared

by

the

issuer’s

board

of

directors.

Preferred

stock

also

may

be

subject

to

optional

or

mandatory

redemption

provisions. 

Floating

Rate

Loan

Interests:

Floating

rate

loan

interests

are

typically

issued

to

companies

(the

“borrower”)

by

banks,

other

financial

institutions,

or

privately

and

publicly

offered

corporations

(the

“lender”).

Floating

rate

loan

interests

are

generally

non-investment

grade,

often

involve

borrowers

whose

financial

condition

is

troubled

or

uncertain

and

companies

that

are

highly

leveraged

or

in

bankruptcy

proceedings.

In

addition,

transactions

in

floating

rate

loan

interests

may

settle

on

a

delayed

basis,

which

may

result

in

proceeds

from

the

sale

not

being

readily

available

for

a

fund

to

make

additional

investments

or

meet

its

redemption

obligations.

Floating

rate

loan

interests

may

include

fully

funded

term

loans

or

revolving

lines

of

credit.

Floating

rate

loan

interests

are

typically

senior

in

the

corporate

capital

structure

of

the

borrower.

Floating

rate

loan

interests

generally

pay

interest

at

rates

that

are

periodically

determined

by

reference

to

a

base

lending

rate

plus

a

premium.

Since

the

rates

reset

only

periodically,

changes

in

prevailing

interest

rates

(and

particularly

sudden

and

significant

changes)

can

be

expected

to

cause

some

fluctuations

in

the

NAV

of

a

fund

to

the

extent

that

it

invests

in

floating

rate

loan

interests.

The

base

lending

rates

are

generally

the

lending

rate

offered

by

one

or

more

European

banks,

such

as

the

London

Interbank

Offered

Rate

(“LIBOR”),

the

prime

rate

offered

by

one

or

more

U.S.

banks

or

the

certificate

of

deposit

rate.

Floating

rate

loan

interests

may

involve

foreign

borrowers,

and

investments

may

be

denominated

in

foreign

currencies.

These

investments

are

treated

as

investments

in

debt

securities

for

purposes

of

a

fund’s

investment

policies. 

When

a

fund

purchases

a

floating

rate

loan

interest,

it

may

receive

a

facility

fee

and

when

it

sells

a

floating

rate

loan

interest,

it

may

pay

a

facility

fee.

On

an

ongoing

basis,

a

fund

may

receive

a

commitment

fee

based

on

the

undrawn

portion

of

the

underlying

line

of

credit

amount

of

a

floating

rate

loan

interest.

Facility

and

commitment

fees

are

typically

amortized

to

income

over

the

term

of

the

loan

or

term

of

the

commitment,

respectively.

Consent

and

amendment

fees

are

recorded

to

income

as

earned.

Prepayment

penalty

fees,

which

may

be

received

by

a

fund

upon

the

prepayment

of

a

floating

rate

loan

interest

by

a

borrower,

are

recorded

as

realized

gains.

A

fund

may

invest

in

multiple

series

or

tranches

of

a

loan.

A

different

series

or

tranche

may

have

varying

terms

and

carry

different

associated

risks.

Floating

rate

loan

interests

are

usually

freely

callable

at

the

borrower’s

option.

A

fund

may

invest

in

such

loans

in

the

form

of

participations

in

loans

(“Participations”)

or

assignments

(“Assignments”)

of

all

or

a

portion

of

loans

from

third

parties.

Participations

typically

will

result

in

a

fund

having

a

contractual

relationship

only

with

the

lender,

not

with

the

borrower.

A

fund

has

the

right

to

receive

payments

of

principal,

interest

and

any

fees

to

which

it

is

entitled

only

from

the

lender

selling

the

Participation

and

only

upon

receipt

by

the

lender

of

the

payments

from

the

borrower.

In

connection

with

purchasing

Participations,

a

fund

generally

will

have

no

right

to

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement,

nor

any

rights

of

offset

against

the

borrower.

A

fund

may

not

benefit

directly

from

any

collateral

supporting

the

loan

in

which

it

has

purchased

the

Participation.

As

a

result,

a

fund

assumes

the

credit

risk

of

both

the

borrower

and

the

lender

that

is

selling

the

Participation.

A

fund’s

investment

in

loan

participation

interests

involves

the

risk

of

insolvency

of

the

financial

intermediaries

who

are

parties

to

the

transactions.

In

the

event

of

the

insolvency

of

the

lender

selling

the

Participation,

a

fund

may

be

treated

as

a

general

creditor

of

the

lender

and

may

not

benefit

from

any

offset

between

the

lender

and

the

borrower.

Assignments

typically

result

in

a

fund

having

a

direct

contractual

relationship

with

the

borrower,

and

a

fund

may

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement.

In

connection

with

floating

rate

loan

interests,

certain

Funds

may

also

enter

into

unfunded

floating

rate

loan

interests

(“commitments”).

In

connection

with

these

commitments,

a

fund

earns

a

commitment

fee,

typically

set

as

a

percentage

of

the

commitment

amount.

Such

fee

income,

which

is

included

in

interest

income

in

the

Statements

of

Operations,

is

recognized

ratably

over

the

commitment

period.

Unfunded

floating

rate

loan

interests

are

marked-to-market

daily,

and

any

unrealized

appreciation

(depreciation)

is

included

in

the

Statements

of

Assets

and

Liabilities

and

Statements

of

Operations.

As

of

period

end,

the

Funds

had

no

outstanding

unfunded

floating

rate

loan

interests.

TBA

Commitments:

TBA

commitments

are

forward

agreements

for

the

purchase

or

sale

of

securities,

including

mortgage-backed

securities

for

a

fixed

price,

with

payment

and

delivery

on

an

agreed

upon

future

settlement

date.

The

specific

securities

to

be

delivered

are

not

identified

at

the

trade

date.

However,

delivered

securities

must

meet

specified

terms,

including

issuer,

rate

and

mortgage

terms.

When

entering

into

TBA

commitments,

a

fund

may

take

possession

of

or

deliver

the

underlying

mortgage-backed

securities

but

can

extend

the

settlement

or

roll

the

transaction.

TBA

commitments

involve

a

risk

of

loss

if

the

value

of

the

security

to

be

purchased

or

sold

declines

or

increases,

respectively,

prior

to

settlement

date,

if

there

are

expenses

or

delays

in

connection

with

the

TBA

transactions,

or

if

the

counterparty

fails

to

complete

the

transaction.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

130

In

order

to

better

define

contractual

rights

and

to

secure

rights

that

will

help

a

fund

mitigate its

counterparty

risk,

TBA

commitments

may

be

entered

into

by

a

fund

under

Master

Securities

Forward

Transaction

Agreements

(each,

an

“MSFTA”).

An

MSFTA

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

default

and/or

termination

event. The

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

the

collateral

currently

pledged

by

a

fund

and

the

counterparty. Cash

collateral

that

has

been

pledged

to

cover

the

obligations

of

a

fund

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

for

TBA

commitments

or

cash

received

as

collateral

for

TBA

commitments,

respectively.

Non-cash

collateral

pledged

by

a

fund,

if

any,

is

noted

in

the

Schedules

of

Investments. Typically,

a

fund

is

permitted

to

sell,

re-pledge

or

use

the

collateral

it

receives;

however,

the

counterparty

is

not

permitted

to

do

so.

To

the

extent

amounts

due

to

a

fund

are

not

fully

collateralized,

contractually

or

otherwise,

a

fund

bears

the

risk

of

loss

from

counterparty

non-performance.

Mortgage

Dollar

Roll

Transactions

:

The

Funds

may

sell

TBA

mortgage-backed

securities

and

simultaneously

contract

to

repurchase

substantially

similar

(i.e.,

same

type,

coupon

and

maturity)

securities

on

a

specific

future

date

at

an

agreed

upon

price.

During

the

period

between

the

sale

and

repurchase,

a

fund

is

not

entitled

to

receive

interest

and

principal

payments

on

the

securities

sold.

Mortgage

dollar

roll

transactions

are

treated

as

purchases

and

sales

and

a

fund realizes

gains

and

losses

on

these

transactions.

Mortgage

dollar

rolls

involve

the

risk

that

the

market

value

of

the

securities

that

a

fund

is

required

to

purchase

may

decline

below

the

agreed

upon

repurchase

price

of

those

securities. 

Short

Sale

Transactions:

In

short

sale

transactions,

a

fund

sells

a

security

it

does

not

hold

in

anticipation

of

a

decline

in

the

market

price

of

that

security.

When

a

fund

makes

a

short

sale,

it

will

borrow

the

security

sold

short

from

a

broker/counterparty

and

deliver

the

security

to

the

purchaser.

To

close

out

a

short

position,

a

fund

delivers

the

same

security

to

the

broker

and

records

a

liability

to

reflect

the

obligation

to

return

the

security

to

the

broker.

The

amount

of

the

liability

is

subsequently

marked-to-market

to

reflect

the

market

value

of

the

short

sale.

A

fund

maintains

a

segregated

account

of

securities

or

deposits

cash

with

the

broker-dealer

as

collateral

for

the

short

sales.

Cash

deposited

with

the

broker

is

recorded

as

an

asset

in

the

Statements

of

Assets

and

Liabilities.

Securities

segregated

as

collateral

are

denoted

in

the

Schedules

of

Investments.

A

fund

may

pay

a

financing

fee

for

the

difference

between

the

market

value

of

the

short

position

and

the

cash

collateral

deposited

with

the

broker

which

would

be

recorded

as

interest

expense.

A

fund

is

required

to

repay

the

counterparty

any

dividends

received

on

the

security

sold

short,

which,

if

applicable,

is

shown

as

dividend

expense

in

the

Statements

of

Operations.

A

fund

may

pay

a

fee

on

the

assets

borrowed

from

the

counterparty,

which,

if

applicable,

is

shown

as

broker

fees

and

expenses

on

short

sales

in

the

Statements

of

Operations.

A

fund

is

exposed

to

market

risk

based

on

the

amount,

if

any,

that

the

market

value

of

the

security

increases

beyond

the

market

value

at

which

the

position

was

sold.

Thus,

a

short

sale

of

a

security

involves

the

risk

that

instead

of

declining,

the

price

of

the

security

sold

short

will

rise.

The

short

sale

of

securities

involves

the

possibility

of

an

unlimited

loss

since

there

is

an

unlimited

potential

for

the

market

price

of

the

security

sold

short

to

increase.

A

gain

is, limited

to

the

price

at

which

a

fund

sold

the

security

short.

A

realized

gain

or

loss

is

recognized

upon

the

termination

of

a

short

sale

if

the

market

price

is

either

less

than

or

greater

than

the

proceeds

originally

received.

There

is

no

assurance

that

a

fund

will

be

able

to

close

out

a

short

position

at

a

particular

time

or

at

an

acceptable

price.

Securities

Lending:

 Certain

Funds

may

lend

their

securities

to

approved

borrowers,

such

as

brokers,

dealers

and

other

financial

institutions.

The

borrower

pledges

and

maintains

with

the

Funds

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

securities.

The

collateral

is

maintained

thereafter

at

a

value

equal

to

at

least

100%

of

the

current

market

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 returned

by

the

Fund,

on

the

next

business

day.

During

the

term

of

the

loan,

the

Funds

are

entitled

to

all

distributions

made

on

or in

respect

of

the

loaned

securities,

but

do

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

by

the

securities

lending

agent,

BlackRock

Investment

Management,

LLC

(“BIM”),

if

any,

is

disclosed

in

the

Schedules

of

Investments.

Any

non-cash

collateral

received

cannot

be

sold,

re-invested

or

pledged

by

the

Fund,

except

in

the

event

of

borrower

default.

The

securities

on

loan,

if

any,

are

disclosed

in

the

Funds’

Schedules

of

Investments.

The

market

value

of

any

securities

on

loan

and

the

value

of

related

collateral,

if

any,  are

shown

separately

in

the

Statements

of

Assets

and

Liabilities

as

a

component

of

investments

at

value

–

unaffiliated

and

collateral

on

securities

loaned,

respectively.

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,

the

Funds

benefit

from

a

borrower

default

indemnity

provided

by

BIM.

BIM’s

indemnity

allows

for

full

replacement

of

the

securities

loaned

to

the

extent the

As

of

period

end,

the

following

table

is

a

summary

of

High

Yield

Bond’s

securities

on

loan

by

counterparty

which

are

subject

to

offset

under

an

MSLA:

Fund

Name/Counterparty  

Securities

Loaned

at

Value

Cash

Collateral

Received

(a)

Non-Cash

Collateral

Received,

at

Fair

V

alue

Net

Amount

High

Yield

Bond

Morgan

Stanley

..............................

$

1,298,880‌

$

(1,298,880‌)

$

—‌

$

—‌

(a)

Collateral

received,

if

any,

in

excess

of

the

market

value

of

securities

on

loan

is

not

presented

in

this

table.

The

total

cash

collateral

received

by

the

Fund

is

disclosed

in

the

Fund's

Consolidated

Statement

of

Assets

and

Liabilities.

Notes

to

Financial

Statements

(unaudited)

(continued)

131

Notes

to

Financial

Statements

collateral

received

does

not

cover

the

value

on

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

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

the

Funds.

5.

Derivative

Financial

Instruments

The

Funds

engage

in

various

portfolio

investment

strategies

using

derivative

contracts

both

to

increase

the

returns

of

the

Funds

and/or

to

manage

their

exposure

to

certain

risks

such

as

credit

risk,

equity

risk,

interest

rate

risk,

foreign

currency

exchange

rate

risk,

commodity

price

risk

or

other

risks

(e.g.,

inflation

risk).

Derivative

financial

instruments

categorized

by

risk

exposure

are

included

in

the

Schedules

of

Investments.

These

contracts

may

be

transacted

on

an

exchange

or

OTC.

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

Schedules

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.

Forward

Foreign

Currency

Exchange

Contracts

:

Forward

foreign

currency

exchange

contracts

are

entered

into

to

gain

or

reduce

exposure

to

foreign

currencies

(foreign

currency

exchange

rate

risk).

A

forward

foreign

currency

exchange

contract

is

an

agreement

between

two

parties

to

buy

and

sell

a

currency

at

a

set

exchange

rate

on

a

specified

date.

These

contracts

help

to

manage

the

overall

exposure

to

the

currencies

in

which

some

of

the

investments

held

by

the

Funds

are

denominated

and

in

some

cases,

may

be

used

to

obtain

exposure

to

a

particular

market.

The

contracts

are

traded

OTC

and

not

on

an

organized

exchange.

The

contract

is

marked-to-market

daily

and

the

change

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

in

the

Statements

of

Assets

and

Liabilities.

When

a

contract

is

closed,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

value

at

the

time

it

was

opened

and

the

value

at

the

time

it

was

closed.

Non-deliverable

forward

foreign

currency

exchange

contracts

are

settled

with

the

counterparty

in

cash

without

the

delivery

of

foreign

currency.

The

use

of

forward

foreign

currency

exchange

contracts

involves

the

risk

that

the

value

of

a

forward

foreign

currency

exchange

contract

changes

unfavorably

due

to

movements

in

the

value

of

the

referenced

foreign

currencies,

and

such

value

may

exceed

the

amount(s)

reflected

in

the Statements

of

Assets

and

Liabilities. Cash

amounts

pledged

for

forward

foreign

currency

exchange

contracts

are

considered

restricted

and

are

included

in

cash

pledged

as

collateral

for

OTC

derivatives

in

the

Statements

of

Assets

and

Liabilities.

A

Fund’s

risk

of

loss

from

counterparty

credit

risk

on

OTC

derivatives

is

generally

limited

to

the

aggregate

unrealized

gain

netted

against

any

collateral

held

by

the

Fund.

Options:

The

Funds

may purchase

and

write

call

and

put

options

to

increase

or

decrease

their

exposure

to

the

risks

of

underlying

instruments,

including

equity

risk,

interest

rate

risk

and/or

commodity

price

risk

and/or,

in

the

case

of

options

written,

to

generate

gains

from

options

premiums.

A

call

option

gives

the

purchaser

(holder)

of

the

option

the

right

(but

not

the

obligation)

to

buy,

and

obligates

the

seller

(writer)

to

sell

(when

the

option

is

exercised)

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

A

put

option

gives

the

holder

the

right

to

sell

and

obligates

the

writer

to

buy

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

Premiums

paid

on

options

purchased

and

premiums

received

on

options

written,

as

well

as

the

daily

fluctuation

in

market

value,

are

included

in

investments

at

value

–

unaffiliated

and

options

written

at

value,

respectively,

in

the

Statements

of

Assets

and

Liabilities.

When

an

instrument

is

purchased

or

sold

through

the

exercise

of

an

option,

the

premium

is

offset

against

the

cost

or

proceeds

of

the

underlying

instrument.

When

an

option

expires,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

of

the

premiums

received

or

paid.

When

an

option

is

closed

or

sold,

a

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

the

cost

of

the

closing

transaction

exceeds

the

premiums

received

or

paid.

When

the

Funds

write

a

call

option,

such

option

is

typically

“covered,”

meaning

that

they

hold

the

underlying

instrument

subject

to

being

called

by

the

option

counterparty.

When

the

Funds

write

a

put

option,

cash

is

segregated

in

an

amount

sufficient

to

cover

the

obligation.

These

amounts,

which

are

considered

restricted,

are

included

in

cash

pledged

as

collateral

for

options

written

in

the

Statements

of

Assets

and

Liabilities.

Swaptions

–

The

Funds

may purchase

and

write

swaptions

primarily

to

preserve

a

return

or

spread

on

a

particular

investment

or

portion

of

the

Funds’

holdings,

as

a

duration

management

technique

or

to

protect

against

an

increase

in

the

price

of

securities

it

anticipates

purchasing

at

a

later

date.

The

purchaser

and

writer

of

a

swaption

is

buying

or

granting

the

right

to

enter

into

a

previously

agreed

upon

interest

rate

or

credit

default

swap

agreement

(interest

rate

risk

and/or

credit

risk)

at

any

time

before

the

expiration

of

the

option.

Foreign

currency

options

– The

Funds

may purchase

and

write

foreign

currency

options,

foreign

currency

futures

and

options

on

foreign

currency

futures

to

gain

or

reduce

exposure

to

foreign

currencies

(foreign

currency

exchange

rate

risk).

Foreign

currency

options

give

the

purchaser

the

right

to

buy

from

or

sell

to

the

writer

a

foreign

currency

at

any

time

before

the

expiration

of

the

option.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

132

In

purchasing

and

writing

options,

the

Funds

bear

the

risk

of

an

unfavorable

change

in

the

value

of

the

underlying

instrument

or

the

risk

that

they

may

not

be

able

to

enter

into

a

closing

transaction

due

to

an

illiquid

market.

Exercise

of

a

written

option

could

result

in

the

Funds

purchasing

or

selling

a

security

when they

otherwise

would

not,

or

at

a

price

different

from

the

current

market

value.

Swaps:

Swap

contracts

are

entered

into

to

manage

exposure

to

issuers,

markets

and

securities.

Such

contracts

are

agreements

between

the

Funds

and

a

counterparty

to

make

periodic

net

payments

on

a

specified

notional

amount

or

a

net

payment

upon

termination.

Swap

agreements

are

privately

negotiated

in

the

OTC

market

and

may

be

entered

into

as

a

bilateral

contract

(“OTC

swaps”)

or

centrally

cleared

(“centrally

cleared

swaps”).

For

OTC

swaps,

any

upfront

premiums

paid

and

any

upfront

fees

received

are

shown

as

swap

premiums

paid

and

swap

premiums

received,

respectively,

in

the

Statements

of

Assets

and

Liabilities

and

amortized

over

the

term

of

the

contract.

The

daily

fluctuation

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

on

OTC

Swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

or

paid

are

recorded

in

the

Statements

of

Operations

as

realized

gains

or

losses,

respectively.

When

an

OTC

swap

is

terminated,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

proceeds

from

(or

cost

of)

the

closing

transaction

and

the

Funds’

basis

in

the

contract,

if

any.

Generally,

the

basis

of

the

contract

is

the

premium

received

or

paid.

In

a

centrally

cleared

swap,

immediately

following

execution

of

the

swap

contract,

the

swap

contract

is

novated

to

a

central

counterparty

(the

“CCP”)

and

the

CCP

becomes

the Funds’

counterparty

on

the

swap. Each

Fund is

required

to

interface

with

the

CCP

through

the

broker.

Upon

entering

into

a

centrally

cleared

swap, each

Fund is

required

to

deposit

initial

margin

with

the

broker

in

the

form

of

cash

or

securities

in

an

amount

that

varies

depending

on

the

size

and

risk

profile

of

the

particular

swap.

Securities

deposited

as

initial

margin

are

designated

in

the

Schedules

of

Investments

and

cash

deposited

is

shown

as

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Amounts

pledged,

which

are

considered

restricted

cash,

are

included

in

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Pursuant

to

the

contract, each

Fund

agrees

to

receive

from

or

pay

to

the

broker

variation

margin.

Variation

margin

is

recorded

as

unrealized

appreciation

(depreciation)

and

shown

as

variation

margin

receivable

(or

payable)

on

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

from

(paid

to)

the

counterparty

are

amortized

over

the

term

of

the

contract

and recorded

as

realized

gains

(losses)

in

the

Statements

of

Operations,

including

those

at

termination.

Credit

default

swaps

—

Credit

default

swaps

are

entered

into

to

manage

exposure

to

the

market

or

certain

sectors

of

the

market,

to

reduce

risk

exposure

to

defaults

of

corporate

and/or

sovereign

issuers

or

to

create

exposure

to

corporate

and/or

sovereign

issuers

to

which

a

fund

is

not

otherwise

exposed

(credit

risk).

The

Funds

may

either

buy

or

sell

(write)

credit

default

swaps

on

single-name

issuers

(corporate

or

sovereign),

a

combination

or

basket

of

single-name

issuers

or

traded

indexes.

Credit

default

swaps

are

agreements

in

which

the

protection

buyer

pays

fixed

periodic

payments

to

the

seller

in

consideration

for

a

promise

from

the

protection

seller

to

make

a

specific

payment

should

a

negative

credit

event

take

place

with

respect

to

the

referenced

entity

(e.g.,

bankruptcy,

failure

to

pay,

obligation

acceleration,

repudiation,

moratorium

or

restructuring).

As

a

buyer,

if

an

underlying

credit

event

occurs,

the

Funds

will

either

(i)

receive

from

the

seller

an

amount

equal

to

the

notional

amount

of

the

swap

and

deliver

the

referenced

security

or

underlying

securities

comprising

the

index,

or

(ii)

receive

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

As

a

seller

(writer),

if

an

underlying

credit

event

occurs,

the

Funds

will

either

pay

the

buyer

an

amount

equal

to

the

notional

amount

of

the

swap

and

take

delivery

of

the

referenced

security

or

underlying

securities

comprising

the

index

or

pay

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

Total

return

swaps

—

Total

return

swaps

are

entered

into

to

obtain

exposure

to

a

security

or

market

without

owning

such

security

or

investing

directly

in

such

market

or

to

exchange

the

risk/return

of

one

security

or

market

(e.g.,

fixed-income)

with

another

security

or

market

(e.g.,

equity

or

commodity

prices)

(equity

risk,

commodity

price

risk

and/or

interest

rate

risk).

Total

return

swaps

are

agreements

in

which

there

is

an

exchange

of

cash

flows

whereby

one

party

commits

to

make

payments

based

on

the

total

return

(distributions

plus

capital

gains/losses)

of

an

underlying

instrument,

or

basket

of

underlying

instruments,

in

exchange

for

fixed

or

floating

rate

interest

payments.

If

the

total

return

of

the

instrument(s)

or

index

underlying

the

transaction

exceeds

or

falls

short

of

the

offsetting

fixed

or

floating

interest

rate

obligation,

the

Funds

receive

payment

from

or

make

a

payment

to

the

counterparty.

Interest

rate

swaps

—

Interest

rate

swaps

are

entered

into

to

gain

or

reduce

exposure

to

interest

rates

or

to

manage

duration,

the

yield

curve

or

interest

rate

(interest

rate

risk).

Interest

rate

swaps

are

agreements

in

which

one

party

pays

a

stream

of

interest

payments,

either

fixed

or

floating,

in

exchange

for

another

party’s

stream

of

interest

payments,

either

fixed

or

floating,

on

the

same

notional

amount

for

a

specified

period

of

time.

In

more

complex

interest

rate

swaps,

the

notional

principal

amount

may

decline

(or

amortize)

over

time.

Forward

swaps

— The

Funds

may enter

into

forward

interest

rate

swaps

and

forward

total

return

swaps.

In

a

forward

swap,

each

Fund

and

the

counterparty

agree

to

make

periodic

net

payments

beginning

on

a

specified

date

or

a

net

payment

at

termination.

Inflation

swaps

—

Inflation

swaps

are

entered

into

to

gain

or

reduce

exposure

to

inflation

(inflation

risk).

In

an

inflation

swap,

one

party

makes

fixed

interest

payments

on

a

notional

principal

amount

in

exchange

for

another

party’s

variable

payments

based

on

an

inflation

index,

such

as

the

Consumer

Price

Index.

Swap

transactions

involve,

to

varying

degrees,

elements

of

interest

rate,

credit

and

market

risks

in

excess

of

the

amounts

recognized

in

the

Statements

of

Assets

and

Liabilities.

Such

risks

involve

the

possibility

that

there

will

be

no

liquid

market

for

these

agreements,

that

the

counterparty

to

the

agreements

may

default

on

its

obligation

to

perform

or

disagree

as

to

the

meaning

of

the

contractual

terms

in

the

agreements,

and

that

there

may

be

unfavorable

changes

in

interest

rates

and/or

market

values

associated

with

these

transactions.

Master

Netting

Arrangements:

In

order

to

define

its

contractual

rights

and

to

secure

rights

that

will

help

it mitigate its

counterparty

risk, a

Fund

may

enter

into

an

International

Swaps

and

Derivatives

Association,

Inc.

Master

Agreement

(“ISDA

Master

Agreement”)

or

similar

agreement

with

its

counterparties.

An

ISDA

Master

Agreement

is

a

bilateral

agreement

between a

Fund

and

a

counterparty

that

governs

certain

OTC

derivatives

and

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

a

default

and/or

termination

event.

Under

an

ISDA

Master

Agreement, a

Fund

may,

under

certain

circumstances,

offset

with

the

counterparty

Notes

to

Financial

Statements

(unaudited)

(continued)

133

Notes

to

Financial

Statements

certain

derivative

financial

instruments’

payables

and/or

receivables

with

collateral

held

and/or

posted

and

create

one

single

net

payment.

The

provisions

of

the

ISDA

Master

Agreement

typically

permit

a

single

net

payment

in

the

event

of

default

including

the

bankruptcy

or

insolvency

of

the

counterparty.

However,

bankruptcy

or

insolvency

laws

of

a

particular

jurisdiction

may

impose

restrictions

on

or

prohibitions

against

the

right

of

offset

in

bankruptcy,

insolvency

or

other

events.

Collateral

Requirements:

For

derivatives

traded

under

an

ISDA

Master

Agreement,

the

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

any

collateral

currently

pledged

by

the

Fund(s)

and

the

counterparty.

Cash

collateral

that

has

been

pledged

to

cover

obligations

of

the

Funds

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

and

cash

received

as

collateral,

respectively.

Non-cash

collateral

pledged

by

the

Funds,

if

any,

is

noted

in

the

Schedules

of

Investments.

Generally,

the

amount

of

collateral

due

from

or

to

a

counterparty

is

subject

to

a

certain

minimum

transfer

amount

threshold

before

a

transfer

is

required,

which

is

determined

at

the

close

of

business

of

the

Funds.

Any

additional

required

collateral

is

delivered

to/pledged

by

the

Funds

on

the

next

business

day.

Typically,

the

counterparty

is

not

permitted

to

sell,

re-pledge

or

use

cash

and

non-cash

collateral

it

receives.

A

Fund

generally

agrees

not

to

use

non-cash

collateral

that

it

receives

but

may,

absent

default

or

certain

other

circumstances

defined

in

the

underlying

ISDA

Master

Agreement,

be

permitted

to

use

cash

collateral

received.

In

such

cases,

interest

may

be

paid

pursuant

to

the

collateral

arrangement

with

the

counterparty.

To

the

extent

amounts

due

to

the

Funds

from the

counterparties

are

not

fully

collateralized, each

Fund bears

the

risk

of

loss

from

counterparty

non-performance.

Likewise,

to

the

extent

the

Funds have

delivered

collateral

to

a

counterparty

and

stand

ready

to

perform

under

the

terms

of

their

agreement

with

such

counterparty, each

Fund bears

the

risk

of

loss

from

a

counterparty

in

the

amount

of

the

value

of

the

collateral

in

the

event

the

counterparty

fails

to

return

such

collateral.

Based

on

the

terms

of

agreements,

collateral

may

not

be

required

for

all

derivative

contracts.

For

financial

reporting

purposes,

the

Funds

do

not

offset

derivative

assets

and

derivative

liabilities

that

are

subject

to

netting

arrangements,

if

any,

in

the

Statements

of

Assets

and

Liabilities.

6.

INVESTMENT

ADVISORY

AGREEMENT

AND

OTHER

TRANSACTIONS

WITH

AFFILIATES 

Investment

Advisory:

The

Trust,

on

behalf

of

the

Funds,

entered

into

an

Investment

Advisory

Agreement

with

the

Manager,

the

Funds’

investment

adviser

and

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

Inc.

(“BlackRock”),

to

provide

investment

advisory

services.

The

Manager

is

responsible

for

the

management

of each

Fund’s

portfolio

and

provides

the

personnel,

facilities,

equipment

and

certain

other

services

necessary

to

the

operations

of each

Fund.

For

such

services,

each

Fund

pays

the

Manager

a

monthly

fee

at

an

annual

rate

equal

to

the

following

percentages

of

the

average

daily

value

of

each

Fund’s

net

assets:

The

Manager

provides

investment

management

and

other

services

to

the

Taxable

Subsidiary.

The

Manager

does

not

receive

separate

compensation

from

the

Taxable

Subsidiary

for

providing

investment

management

or

administrative

services.

However, High

Yield

Bond

pays

the

Manager

based

on

the

Fund's

net

assets,

which

includes

the

assets

of

the

Taxable

Subsidiary.

With

respect

to

High

Yield

Bond,

the

Manager

entered

into

a

sub-advisory

agreement

with

BlackRock

International

Limited

(“BIL”)

(the

"Sub-Adviser"),

an

affiliate

of

the

Manager.

The

Manager

pays

BIL

for

services

it

provides

for

that

portion

of the

Fund

for

which

BIL

acts

as

sub-adviser,

a

monthly

fee

that

is

equal

to

a

percentage

of

the

investment

advisory

fees

paid

by

the

Fund

to

the

Manager.

With

respect

to Core

Bond

and

Low

Duration

Bond,

the

Manager

entered

into

separate

sub-advisory

agreements

with

each

of BIL

and

BlackRock

(Singapore)

Limited

(“BSL”)

(collectively,

the

“Sub-Advisers”),

each

an

affiliate

of

the

Manager.

The

Manager

pays

BIL

and

BSL

for

services

they

provide

for

that

portion

of

each

Fund

for

which

BIL

and

BSL,

as

applicable,

acts

as

sub-adviser,

a

monthly

fee

that

is

equal

to

a

percentage

of

the

investment

advisory

fees

paid

by

each

Fund

to

the

Manager.

Core

Bond

Average

Daily

Net

Assets

Investment

Advisory

Fees

First

$1

billion

.........................................................................................................

0.350%

$1

billion

-

$2

billion

.....................................................................................................

0.340

$2

billion

-

$

3

billion

.....................................................................................................

0.330

Greater

than

$3

billion

...................................................................................................

0.320

High

Yield

Bond

Average

Daily

Net

Assets

Investment

Advisory

Fees

First

$1

billion

.........................................................................................................

0.500%

$1

billion

-

$2

billion

.....................................................................................................

0.450

$2

billion

-

$3

billion

.....................................................................................................

0.425

$3

billion

-

$25

billion

....................................................................................................

0.400

$25

billion

-

$30

billion

...................................................................................................

0.375

Greater

than

$30

billion

...................................................................................................

0.350

Low

Duration

Bond

Average

Daily

Net

Assets

Investment

Advisory

Fees

First

$1

billion

.........................................................................................................

0.310%

$1

billion

-

$3

billion

.....................................................................................................

0.290

$3

billion

-

$5

billion

.....................................................................................................

0.280

$5

billion

-

$10

billion

....................................................................................................

0.270

Greater

than

$10

billion

...................................................................................................

0.260

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

134

Service

and

Distribution

Fees:

The

Trust,

on behalf

of the

Funds,

entered

into

a

Distribution

Agreement

and

a Distribution and

Service

Plan

with

BlackRock

Investments,

LLC

(“BRIL”),

an

affiliate

of

the

Manager.

Pursuant

to

the

Distribution

and

Service

Plan

and

in

accordance

with

Rule

12b-1

under

the

1940

Act,

each

Fund

pays

BRIL

ongoing

service

and

distribution

fees.

The

fees

are

accrued

daily

and

paid

monthly

at

annual

rates

based

upon

the

average

daily

net

assets

of

the

relevant

share

class

of

each

Fund

as

follows:

BRIL

and

broker-dealers,

pursuant

to

sub-agreements

with

BRIL,

provide

shareholder

servicing

and

distribution

services to the

Funds.

The

ongoing

service

and/or

distribution

fee compensates

BRIL

and

each

broker-dealer

for

providing

shareholder

servicing

and/or

distribution related

services

to

shareholders.

For

the six

months

ended

March

31,

2023,

the

following

table

shows

the

class

specific

service

and

distribution

fees

borne

directly

by

each

share

class

of

each

Fund:

Administration:

The

Trust,

on

behalf

of the

Funds, entered

into

an

Administration

Agreement

with

the

Manager,

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

to

provide

administrative

services.

For

these

services,

the

Manager

receives

an

administration

fee

computed

daily

and

payable

monthly,

based

on

a

percentage

of

the

average

daily

net

assets

of

each

Fund.

The

administration

fee,

which

is

shown

as

administration

in

the

Statements

of

Operations,

is

paid

at

the

annual

rates

below.

In

addition,

the

Manager

charges

each

of

the

share

classes

an

administration

fee,

which

is

shown

as

administration —

class

specific

in

the

Statements

of

Operations,

at

an

annual

rate

of

0.02% of

the

average

daily

net

assets

of

each

respective

class.

For

the

six

months

ended

March

31,

2023, the

following

table

shows

the

class

specific

administration

fees

borne

directly

by

each

share

class

of

each

Fund:

Transfer

Agent:

Pursuant

to

written

agreements,

certain

financial

intermediaries,

some

of

which

may

be

affiliates,

provide

the

Funds

with

sub-accounting,

recordkeeping,

sub-transfer

agency

and

other

administrative

services

with

respect

to

servicing

of

underlying

investor

accounts.

For

these

services,

these

entities

receive

an

asset-based

fee

or

an

annual

fee

per

shareholder

account,

which

will

vary

depending

on

share

class

and/or

net

assets.

For

the six

months ended March

31,

2023,

the

Funds paid

the

following

amounts

to

affiliates

of

BlackRock

in

return

for

these

services,

which

are

included

in

transfer

agent

—

class

specific

in

the

Statements

of

Operations:

The

Manager

maintains

a

call

center

that

is

responsible

for

providing

certain

shareholder

services

to

the

Funds.

Shareholder

services

include

responding

to

inquiries

and

processing

purchases

and

sales

based

upon

instructions

from

shareholders.

For

the six

months

ended

March

31,

2023,

each

Fund

reimbursed

the

Manager

the

following

amounts

for

costs

incurred

in

running

the

call

center,

which

are

included

in

transfer

agent

—

class

specific

in

the

Statements

of

Operations:

For

the

six

months ended

March

31,

2023,

the

following

table

shows

the

class

specific

transfer

agent

fees

borne

directly

by

each

share

class

of

each

Fund:

Share

Class

Service

Fees

Distribution

Fees

Service

..................................................................................................

0.25‌%

—‌

Investor

A

.................................................................................................

0.25‌

—‌

Investor

A1

................................................................................................

0.10‌

—‌

Investor

C

.................................................................................................

0.25‌

0.75‌

%

Class

R

..................................................................................................

0.25‌

0.25‌

Fund

Name

Service

Investor

A

Investor

A1

Investor

C

Class

R

Total

Core

Bond

..................................................

$

—‌

$

453,413‌

$

—‌

$

73,435‌

$

2,604‌

$

529,452‌

High

Yield

Bond

...............................................

107,933‌

1,407,775‌

—‌

463,080‌

233,222‌

2,212,010‌

Low

Duration

Bond

............................................

—‌

1,084,370‌

2,494‌

166,885‌

6,558‌

1,260,307‌

Average

Daily

Net

Assets

Administration

Fees

First

$500

million

......................................................................................................

0.0425%

$500

million

-

$1

billion

..................................................................................................

0.0400

$1

billion

-

$2

billion

....................................................................................................

0.0375

$2

billion

-

$4

billion

....................................................................................................

0.0350

$4

billion

-

$13

billion

...................................................................................................

0.0325

Greater

than

$13

billion

..................................................................................................

0.0300

Fund

Name

Institutional

Service

Investor

A

Investor

A1

Investor

C

Class

K

Class

R

Total

Core

Bond

....................................

$

238,927‌

$

—‌

$

36,273‌

$

—‌

$

1,469‌

$

63,426‌

$

104‌

$

340,199‌

High

Yield

Bond

.................................

1,075,82

4‌

8,635‌

112,622‌

—‌

9,26

2‌

655,506‌

9,329‌

1,871,17

8‌

Low

Duration

Bond

..............................

450,034‌

—‌

86,750‌

499‌

3,338‌

78,871‌

262‌

619,754‌

Fund

Name

Institutional

Investor

A

Total

Core

Bond

......................................................................................

$

494,526‌

$

2‌

$

494,528‌

High

Yield

Bond

...................................................................................

156,587‌

—‌

156,587‌

Low

Duration

Bond

................................................................................

734,693‌

—‌

734,693‌

Fund

Name

Institutional

Service

Investor

A

Investor

A1

Investor

C

Class

K

Class

R

Total

Core

Bond

....................................

$

2,920‌

$

—‌

$

6,001‌

$

—‌

$

963‌

$

934‌

$

46‌

$

10,864‌

High

Yield

Bond

.................................

21,237‌

406‌

35,778‌

—‌

3,369‌

10,101‌

874‌

71,765‌

Low

Duration

Bond

..............................

6,725‌

—‌

4,894‌

149‌

711‌

1,193‌

63‌

13,735‌

Fund

Name

Institutional

Service

Investor

A

Investor

A1

Investor

C

Class

K

Class

R

Total

Core

Bond

....................................

$

1,336,314‌

$

—‌

$

176,156‌

$

—‌

$

9,647‌

$

27,232‌

$

1,388‌

$

1,550,737‌

High

Yield

Bond

.................................

5,685,635‌

53,807‌

1,161,197‌

—‌

49,106‌

88,589‌

89,715‌

7,128,049‌

Low

Duration

Bond

..............................

1,445,504‌

—‌

342,085‌

4,000‌

14,860‌

30,068‌

2,797‌

1,839,314‌

Notes

to

Financial

Statements

(unaudited)

(continued)

135

Notes

to

Financial

Statements

Other

Fees:

For

the six

months

ended March

31,

2023,

affiliates

earned

underwriting

discounts,

direct

commissions

and

dealer

concessions

on

sales

of each

Fund’s Investor

A

Shares as

follows:

For

the six

months

ended

March

31,

2023,

affiliates

received

CDSCs

as

follows:

Expense

Limitations,

Waivers,

and

Reimbursements:

With

respect

to

each

Fund,

the

Manager

contractually

agreed

to

waive

its

investment

advisory

fees

by

the

amount

of

investment

advisory

fees

each

Fund

pays

to

the

Manager

indirectly

through

its

investment

in

affiliated

money

market

funds

(the

“affiliated

money

market

fund

waiver”)

through

June

30,

2024.

The

contractual

agreement

may

be

terminated

upon

90

days’

notice

by

a

majority

of

the

Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

The

amount

of

waivers

and/or

reimbursements

of

fees

and

expenses

made

pursuant

to

the

expense

limitation

described

below

will

be

reduced

by

the

amount

of

the

affiliated

money

market

fund

waiver.

These

amounts

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations.

For

the

six

months

ended

March

31,

2023,

the

amounts

waived

were

as

follows.

The

Manager

has

contractually

agreed

to

waive

its

investment

advisory

fee

with

respect

to

any

portion

of each

Fund’s

assets

invested

in

affiliated

equity

and

fixed-

income mutual

funds

and

affiliated

exchange-traded

funds

that

have

a

contractual

management

fee

through

June

30,

2024.

The

contractual

agreement

may

be

terminated

upon

90

days’

notice

by

a

majority

of

the

Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

These

amounts

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations. 

For

the

six

months

ended

March

31,

2023,

the

amounts

waived

in

investment

advisory

fees

pursuant

to

these

arrangements

were

as

follows:

With

respect

to

each

Fund,

the

Manager

contractually

agreed

to

waive

and/or

reimburse

fees

or

expenses

in

order

to

limit

expenses,

excluding

interest

expense,

dividend

expense,

tax

expense,

acquired

fund

fees

and

expenses,

and

certain

other

fund

expenses,

which

constitute

extraordinary

expenses

not

incurred

in

the

ordinary

course

of each

Fund’s

business

(“expense

limitation”).

The

expense

limitations

as

a

percentage

of

average

daily

net

assets

are

as

follows:

The

Manager

has

agreed

not

to

reduce

or

discontinue

the

contractual

expense

limitations

through

June

30,

2024,

unless

approved

by

the

Board,

including

a

majority

of

Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

For

the

period

ended

March

31,

2023,

the

amounts

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations

were

as

follows:

Fund

Name

Other

Fees

Core

Bond

.............................................................................................................

$

5,818‌

High

Yield

Bond

..........................................................................................................

15,823‌

Low

Duration

Bond

.......................................................................................................

10,632‌

Fund

Name

Investor

A

Investor

C

Core

Bond

..................................................................................................

$

6,553‌

$

102‌

High

Yield

Bond

...............................................................................................

2,706‌

2,322‌

Low

Duration

Bond

............................................................................................

28,424‌

4,622‌

Fund

Name

Amounts

Waived

Core

Bond

.........................................................................................................

$

85,686‌

High

Yield

Bond

......................................................................................................

211,224‌

Low

Duration

Bond

...................................................................................................

38,157‌

Fund

Name

Amount

Waived

High

Yield

Bond

..........................................................................................................

$

485,229‌

Fund

Name

Institutional

Service

Investor

A

Investor

A1

Investor

C

Class

K

Class

R

Core

Bond

.......................................

0.43‌%

N/A‌

0.68‌%

N/A‌

1.43‌%

0.38‌%

0.93‌%

High

Yield

Bond

....................................

0.67‌

1.02‌%

0.92‌

N/A‌

1.72‌

0.58‌

1.28‌

Low

Duration

Bond

.................................

0.40‌

N/A‌

0.65‌

0.50‌%

1.40‌

0.35‌

0.90‌

Fund

Name

Fees

waived

and/or

Reimbursed

by

the

Manager

Core

Bond

...............................................................................................................

$

253,073‌

Low

Duration

Bond

.........................................................................................................

326‌

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

136

In

addition,

these

amounts

waived

and/or

reimbursed

by

the

Manager are

included

in administration

fees

waived

by

the

Manager

—

class

specific

and

transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific,

respectively,

in

the

Statements

of

Operations.

For

the

six

months ended

March

31,

2023,

class

specific

expense

waivers

and/or

reimbursements were

as

follows: 

Securities

Lending:

 The

U.S.

Securities

and

Exchange

Commission

(“SEC”)

has

issued

an

exemptive

order

which

permits

BIM,

an

affiliate

of

the

Manager,

to

serve

as

securities

lending

agent

for

the

Funds,

subject

to

applicable

conditions.

As

securities

lending

agent,

BIM

bears

all

operational

costs

directly

related

to

securities

lending.

The

Funds

are

responsible

for

expenses

in

connection

with

the

investment

of

cash

collateral

received

for

securities

on

loan

(the

“collateral

investment

expenses”).

The

cash

collateral

is

invested

in

a

private

investment

company,

Money

Market

Series,

managed

by

the

Manager

or

its

affiliates.

However,

BIM

has

agreed

to

cap

the

collateral

investment

expenses

of

the Money

Market

Series to

an

annual

rate

of

0.04%.

The

investment

adviser

to

the

Money

Market

Series

will

not

charge

any

advisory

fees

with

respect

to

shares

purchased

by

the

Funds.

The

Money

Market

Series

may,

under

certain

circumstances,

impose

a

liquidity

fee

of

up

to

2%

of

the

value

withdrawn

or

temporarily

restrict

withdrawals

for

up

to

10

business

days

during

a

90

day

period,

in

the

event

that

the

private

investment

company’s

weekly

liquid

assets

fall

below

certain

thresholds. The

Money

Market

Series

seeks

current

income

consistent

with

maintaining

liquidity

and

preserving

capital.

Although

the

Money

Market

Series

is

not

registered

under

the

1940

Act,

its

investments

may

follow

the

parameters

of

investments

by

a

money

market

fund

that

is

subject

to

Rule

2a-7

under

the

1940

Act.

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

expenses.

Each

Fund

retains

a

portion

of

securities

lending

income

and

remits

a

remaining

portion

to

BIM

as

compensation

for

its

services

as

securities

lending

agent.

Pursuant

to

the

current

securities

lending

agreement,

High

Yield

Bond retains

81%

of

securities

lending

income

(which

excludes

collateral

investment

expenses),

and

this

amount

retained

can

never

be

less

than

70%

of

the

total

of

securities

lending

income

plus

the

collateral

investment

expenses.  

In

addition,

commencing

the

business

day

following

the

date

that

the

aggregate

securities

lending

income

earned

across

the

BlackRock Fixed-Income

Complex

in

a

calendar

year

exceeds

a

specified

threshold,

High

Yield

Bond,

pursuant

to

the

securities

lending

agreement,

will

retain

for

the

remainder

of

that

calendar

year

securities

lending

income

in

an

amount

equal

to

81%

of

securities

lending

income

(which

excludes

collateral

investment

expenses),

and

this

amount

retained

can

never

be

less

than

70%

of

the

total

of

securities

lending

income

plus

the

collateral

investment

expenses.

The

share

of

securities

lending

income

earned

by

High

Yield

Bond

is

shown

as

securities

lending

income

—

affiliated

—

net

in

the

Statements

of

Operations.

For

the six

months

ended March

31,

2023,

the

Fund

paid

BIM $59,479

for

securities

lending agent

services. 

Interfund

Lending:

In

accordance

with

an

exemptive

order

(the

“Order”)

from

the

SEC, each

Fund

may

participate

in

a

joint

lending

and

borrowing

facility

for

temporary

purposes

(the

“Interfund

Lending

Program”),

subject

to

compliance

with

the

terms

and

conditions

of

the

Order,

and

to

the

extent

permitted

by

the

Fund’s

investment

policies

and

restrictions. High

Yield

Bond

is

currently

permitted

to

borrow

under

the

Interfund

Lending

Program.

Core

Bond

and

Low

Duration

Bond

are

each

currently

permitted

to

borrow

and

lend

under

the

Interfund

Lending

Program.

A

lending

BlackRock

fund

may

lend

in

aggregate

up

to

15%

of

its

net

assets

but

may

not

lend

more

than

5%

of

its

net

assets

to

any

one

borrowing

fund

through

the

Interfund

Lending

Program.

A

borrowing

BlackRock

fund

may

not

borrow

through

the

Interfund

Lending

Program

or

from

any

other

source

more

than

33

1/3%

of

its

total

assets

(or

any

lower

threshold

provided

for

by

the fund’s

investment

restrictions).

If

a

borrowing

BlackRock

fund’s

total

outstanding

borrowings

exceed

10%

of

its

total

assets,

each

of

its

outstanding

interfund

loans

will

be

subject

to

collateralization

of

at

least

102%

of

the

outstanding

principal

value

of

the

loan.

All

interfund

loans

are

for

temporary

or

emergency

purposes

and

the

interest

rate

to

be

charged

will

be

the

average

of

the

highest

current

overnight

repurchase

agreement

rate

available

to

a

lending

fund

and

the

bank

loan

rate,

as

calculated

according

to

a

formula

established

by

the

Board. 

During

the six

months

ended

March

31,

2023,

the

Funds

did

not

participate

in

the

Interfund

Lending

Program.

Fund

Name/Share

Class

Administration

Fees

Waived

by

the

Manager

-

Class

Specific

Transfer

Agent

Fees

Waived

and/or

Reimbursed

by

the

Manager

-

Class

Specific

Core

Bond

Institutional

....................................................................................

$

238,927‌

$

737,031‌

Investor

A

.....................................................................................

36,273‌

85,789‌

Investor

C

.....................................................................................

1,469‌

5,992‌

Class

K

......................................................................................

63,426‌

27,232‌

Class

R

......................................................................................

104‌

1,124‌

$

340,199‌

$

857,168‌

High

Yield

Bond

Investor

A

.....................................................................................

$

41,995‌

$

56‌

Low

Duration

Bond

Institutional

....................................................................................

439,561‌

67,707‌

Investor

A

.....................................................................................

86,592‌

75,587‌

Investor

A1

....................................................................................

499‌

2,453‌

Investor

C

.....................................................................................

3,338‌

4,585‌

Class

K

......................................................................................

62,922‌

775‌

Class

R

......................................................................................

262‌

1,978‌

$

593,174‌

$

153,085‌

Notes

to

Financial

Statements

(unaudited)

(continued)

137

Notes

to

Financial

Statements

Trustees

and

Officers: 

Certain

trustees

and/or

officers

of

the Trust are directors and/or

officers

of BlackRock

or

its

affiliates.

The

Funds

reimburse

the

Manager

for

a

portion

of

the

compensation

paid

to

the Fund’s

Chief

Compliance

Officer,

which

is

included

in

Trustees and

Officer

in

the

Statements

of

Operations. 

7.

PURCHASES

AND

SALES 

For

the six

months ended

March

31,

2023,

purchases

and

sales

of

investments,

including

paydowns/payups,

mortgage

dollar

rolls and

excluding

short-term

securities,

were

as

follows:

For

the six

months ended

March

31,

2023,

purchases

and

sales

related

to

mortgage

dollar

rolls

were

as

follows:

8.

INCOME

TAX

INFORMATION 

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. 

Each Fund

files

U.S.

federal

and

various

state

and

local

tax

returns.

No

income

tax

returns

are

currently

under

examination.

The

statute

of

limitations

on

each

Fund’s

U.S.

federal

tax

returns

generally

remains

open

for

a

period

of

three

years

after

they

are

filed.

The

statutes

of

limitations

on

each

Fund’s

state

and

local

tax

returns

may

remain

open

for

an

additional

year

depending

upon

the

jurisdiction. 

Management

has

analyzed

tax

laws

and

regulations

and

their

application

to

the Funds

as

of

March

31,

2023,

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.

As

of

September

30,

2022, the

Funds

had

non-expiring

capital

loss

carryforwards

available

to

offset

future

realized

capital

gains

and

qualified

late-year

losses

as

follows: 

As

of

March

31,

2023, 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: 

9.

BANK

BORROWINGS 

The

Trust,

on

behalf

of

the

Funds,

along

with

certain

other

funds

managed

by

the

Manager

and

its

affiliates

(“Participating

Funds”), is

party

to

a

364-day,

$2.50

billion

credit

agreement

with

a

group

of

lenders.

Under

this

agreement,

the

Funds

may

borrow

to

fund

shareholder

redemptions.

Excluding

commitments

designated

for

certain

individual

funds,

the

Participating

Funds,

including

the

Funds,

can

borrow

up

to

an

aggregate

commitment

amount

of

$1.75

billion

at

any

time

outstanding,

subject

to

asset

coverage

and

other

limitations

as

specified

in

the

agreement.

The

credit

agreement

has

the

following

terms:

a

fee

of

0.10%

per

annum

on

unused

commitment

amounts

and

interest

at

a

rate

equal

to

the

higher

of

(a)

Overnight

Bank

Funding

Rate

(“OBFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.80%

per

annum

or

(b)

the

Fed

Funds

rate

(but,

in

any

event,

not

less

than

0.00%)

in

effect

from

time

to

time

plus

0.80%

per

annum

on

amounts

borrowed

or

(c)

the

sum

of

(x)

Daily

Simple

Secured

Overnight

Financing

Rate

(“SOFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.10%

and

(y) 0.80%

per

annum.

The

agreement

expires

in

April

2023

unless

extended

or

renewed.

These

fees

were

allocated

among

such

funds

based

upon

portions

of

the

aggregate

commitment

available

to

them

and

relative

net

assets

of

Participating

Funds.

During

the

six

months ended

March

31,

2023,

the

Funds

did

not

borrow

under

the

credit

agreement.

10.

 PRINCIPAL

RISKS 

In

the

normal

course

of

business, the

Funds

invest

in

securities

or

other

instruments

and

may

enter

into

certain

transactions,

and

such

activities

subject

each

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

and

price

fluctuations.

Local,

regional

or

global

events

such

as

war,

U.S.

Government

Securities

Other

Securities

Fund

Name

Purchases

Sales

Purchases

Sales

Core

Bond

..........................................................

$

634,050,155‌

$

257,061,312‌

$

6,400,183,920‌

$

6,640,870,666‌

High

Yield

Bond

.......................................................

—‌

—‌

6,336,771,687‌

6,299,460,998‌

Low

Duration

Bond

....................................................

2,865,854,279‌

3,129,042,923‌

3,187,777,905‌

4,319,409,409‌

Fund

Name

Purchases

Sales

Core

Bond

..........................................................................................

$

1,747,144,820‌

$

1,746,785,277‌

Low

Duration

Bond

....................................................................................

758,444,051‌

758,872,393‌

Fund

Name

Non-expiring

Capital

Loss

Carryforwards

Qualified

Late-year

Losses

Core

Bond

........................................................................................

$

208,220,514‌

$

3,919,292‌

High

Yield

Bond

....................................................................................

—‌

350,639,305‌

Low

Duration

Bond

..................................................................................

241,389,968‌

—‌

Fund

Name

Tax

Cost

Gross

Unrealized

Appreciation

Gross

Unrealized

Depreciation

Net

Unrealized

Appreciation

(Depreciation)

Core

Bond

......................................................

$

4,253,733,535‌

$

28,738,888‌

$

(264,100,580‌)

$

(235,361,692‌)

High

Yield

Bond

..................................................

19,091,223,691‌

160,761,822‌

(1,427,211,549‌)

(1,266,449,727‌)

Low

Duration

Bond

................................................

6,201,299,493‌

39,879,928‌

(204,412,181‌)

(164,532,253‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

138

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

each

Fund

is

subject. 

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

:

Each

Fund

may

be

exposed

to

prepayment

risk,

which

is

the

risk

that

borrowers

may

exercise

their

option

to

prepay

principal

earlier

than

scheduled

during

periods

of

declining

interest

rates,

which

would

force

each

Fund

to

reinvest

in

lower

yielding

securities. Each

Fund

may

also

be

exposed

to

reinvestment

risk,

which

is

the

risk

that

income

from

each

Fund’s

portfolio

will

decline

if

each

Fund

invests

the

proceeds

from

matured,

traded

or

called

fixed-income

securities

at

market

interest

rates

that

are

below

each

Fund

portfolio’s

current

earnings

rate.

Municipal

securities

are

subject

to

the

risk

that

litigation,

legislation

or

other

political

events,

local

business

or

economic

conditions,

credit

rating

downgrades,

or

the

bankruptcy

of

the

issuer

could

have

a

significant

effect

on

an

issuer’s

ability

to

make

payments

of

principal

and/or

interest

or

otherwise

affect

the

value

of

such

securities.

Municipal

securities

can

be

significantly

affected

by

political

or

economic

changes,

including

changes

made

in

the

law

after

issuance

of

the

securities,

as

well

as

uncertainties

in

the

municipal

market

related

to,

taxation,

legislative

changes

or

the

rights

of

municipal

security

holders,

including

in

connection

with

an

issuer

insolvency.

Municipal

securities

backed

by

current

or

anticipated

revenues

from

a

specific

project

or

specific

assets

can

be

negatively

affected

by

the

discontinuance

of

the

tax

benefits

supporting

the

project

or

assets

or

the

inability

to

collect

revenues

for

the

project

or

from

the

assets.

Municipal

securities

may

be

less

liquid

than

taxable

bonds,

and

there

may

be

less

publicly

available

information

on

the

financial

condition

of

municipal

security

issuers

than

for

issuers

of

other

securities.

Infectious

Illness

Risk:

An

outbreak

of

an

infectious

illness,

such

as

the

COVID-19

pandemic,

may

adversely

impact

the

economies

of

many

nations

and

the

global

economy,

and

may

impact

individual

issuers

and

capital

markets

in

ways

that

cannot

be

foreseen.

An

infectious

illness

outbreak

may

result

in,

among

other

things,

closed

international

borders,

prolonged

quarantines,

supply

chain

disruptions,

market

volatility

or

disruptions

and

other

significant

economic,

social

and

political

impacts.

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

each

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 a

Fund

could

receive

upon

the

sale

of

any

particular

portfolio

investment

may

differ

from a

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

may

significantly

impact

the

resulting

fair

value

and

therefore a

Fund’s

results

of

operations.

As

a

result,

the

price

received

upon

the

sale

of

an

investment

may

be

less

than

the

value

ascribed

by a

Fund,

and a

Fund

could

realize

a

greater

than

expected

loss

or

lesser

than

expected

gain

upon

the

sale

of

the

investment.

A

Fund’s

ability

to

value

its

investments

may

also

be

impacted

by

technological

issues

and/or

errors

by

pricing

services

or

other

third-party

service

providers. 

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.

For

OTC

options

purchased,

each

Fund

bears

the

risk

of

loss

in

the

amount

of

the

premiums

paid

plus

the

positive

change

in

market

values

net

of

any

collateral

held

by

the

Funds

should

the

counterparty

fail

to

perform

under

the

contracts.

Options

written

by

the

Funds

do

not

typically

give

rise

to

counterparty

credit

risk,

as

options

written

generally

obligate

the

Funds,

and

not

the

counterparty,

to

perform.

The

Funds

may

be

exposed

to

counterparty

credit

risk

with

respect

to

options

written

to

the

extent

each

Fund

deposits

collateral

with

its

counterparty

to

a

written

option. 

With

exchange-traded

options

purchased,

exchange-traded

futures

and

centrally

cleared

swaps,

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

and

centrally

cleared

swaps

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.

Notes

to

Financial

Statements

(unaudited)

(continued)

139

Notes

to

Financial

Statements

Certain

Funds

invest

a

significant

portion

of their

assets

in

high

yield

securities.

High

yield

securities

that

are

rated

below

investment-grade

(commonly

referred

to

as

“junk

bonds”)

or

are

unrated

may

be

deemed

speculative,

involve

greater

levels

of

risk

than

higher-rated

securities

of

similar

maturity

and

are

more

likely

to

default.

High

yield

securities

may

be

issued

by

less

creditworthy

issuers,

and

issuers

of

high

yield

securities

may

be

unable

to

meet

their

interest

or

principal

payment

obligations.

High

yield

securities

are

subject

to

extreme

price

fluctuations,

may

be

less

liquid

than

higher

rated

fixed-income

securities,

even

under

normal

economic

conditions,

and

frequently

have

redemption

features.

The

Funds

invest

a

significant

portion

of

their

assets

in fixed-income securities and/or use

derivatives tied

to

the

fixed-income

markets.

Changes

in

market

interest

rates

or

economic

conditions

may affect

the

value

and/or

liquidity

of

such investments.

Interest

rate

risk

is

the

risk

that

prices

of

bonds

and

other

fixed-income

securities

will

decrease

as

interest

rates

rise

and

increase

as

interest

rates

fall.

The

Funds

may

be

subject

to

a

greater

risk

of

rising

interest

rates

due

to

the

recent

period

of

historically

low

interest rates. The

Federal

Reserve

has

recently

begun

to

raise

the

federal

funds

rate

as

part

of

its

efforts

to

address

inflation.

There

is

a

risk

that

interest

rates

will

continue

to

rise,

which

will

likely

drive

down

the

prices

of

bonds

and

other

fixed-income

securities,

and

could

negatively

impact

the

Funds'

performance.

Certain

Funds

invest

a

significant

portion

of their

assets

in

securities

backed

by

commercial

or

residential

mortgage

loans

or

in

issuers

that

hold

mortgage

and

other

asset-

backed

securities.

When

a

Fund

concentrates

its

investments

in

this

manner,

it

assumes

a

greater

risk

of

prepayment

or

payment

extension

by

securities

issuers.

Changes

in

economic

conditions,

including

delinquencies

and/or

defaults

on

assets

underlying

these

securities,

can

affect

the

value,

income

and/or

liquidity

of

such

positions.

Investment

percentages

in

these

securities

are

presented

in

the

Schedules

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

Funds

may

be

exposed

to

financial

instruments

that

are

tied

to

LIBOR

to

determine

payment

obligations,

financing

terms,

hedging

strategies

or

investment

value.

The

United

Kingdom’s

Financial

Conduct

Authority,

which

regulates

LIBOR,

announced

that

a

majority

of

USD

LIBOR

settings

will

no

longer

be

published

after

June

30,

2023.

All

other

LIBOR

settings

and

certain

other

interbank

offered

rates

ceased

to

be

published

after

December

31,

2021.

SOFR

has

been

used

increasingly

on

a

voluntary

basis

in

new

instruments

and

transactions.

The

Federal

Reserve

Board

adopted

regulations

that

provide

a

fallback

mechanism

by

identifying

benchmark

rates

based

on

SOFR

that

will

replace

LIBOR

in

different

categories

of

financial

contracts

after

June

30,

2023.

The

ultimate

effect

of

the

LIBOR

transition

process

on

the

Funds

is

uncertain.

11.

CAPITAL

SHARE

TRANSACTIONS 

Transactions

in

capital

shares

for

each

class

were

as

follows:

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Core

Bond

Institutional

Shares

sold

..........................................

60,267,567‌

$

498,224,465‌

110,405,739‌

$

990,658,359‌

Shares

issued

in

reinvestment

of

distributions

.....................

4,093,030‌

33,955,191‌

6,161,533‌

56,576,464‌

Shares

redeemed

......................................

(54,958,228‌)

(453,567,789‌)

(119,921,933‌)

(1,088,380,863‌)

9,402,369‌

$

78,611,867‌

(3,354,661‌)

$

(41,146,040‌)

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

5,848,072‌

$

48,577,585‌

10,200,394‌

$

94,656,100‌

Shares

issued

in

reinvestment

of

distributions

.....................

654,906‌

5,439,272‌

1,014,598‌

9,337,644‌

Shares

redeemed

......................................

(6,682,747‌)

(55,382,572‌)

(12,838,536‌)

(117,194,077‌)

(179,769‌)

$

(1,365,715‌)

(1,623,544‌)

$

(13,200,333‌)

Investor

C

Shares

sold

..........................................

350,240‌

$

2,899,149‌

187,938‌

$

1,693,765‌

Shares

issued

in

reinvestment

of

distributions

.....................

21,024‌

173,908‌

33,837‌

313,239‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(363,137‌)

(2,999,397‌)

(1,026,445‌)

(9,376,597‌)

8,127‌

$

73,660‌

(804,670‌)

$

(7,369,593‌)

Class

K

Shares

sold

..........................................

18,973,042‌

$

157,433,515‌

18,096,207‌

$

166,487,408‌

Shares

issued

in

reinvestment

of

distributions

.....................

1,166,477‌

9,708,611‌

2,105,280‌

19,543,124‌

Shares

redeemed

......................................

(12,373,800‌)

(103,305,481‌)

(44,550,656‌)

(405,282,743‌)

7,765,719‌

$

63,836,645‌

(24,349,169‌)

$

(219,252,211‌)

Class

R

Shares

sold

..........................................

23,589‌

$

198,241‌

38,343‌

$

354,956‌

Shares

issued

in

reinvestment

of

distributions

.....................

1,789‌

14,866‌

2,767‌

25,451‌

Shares

redeemed

......................................

(24,990‌)

(201,903‌)

(34,070‌)

(299,936‌)

388‌

$

11,204‌

7,040‌

$

80,471‌

16,996,834‌

$

141,167,661‌

(30,125,004‌)

$

(280,887,706‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

140

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

High

Yield

Bond

Institutional

Shares

sold

..........................................

520,181,107‌

$

3,481,915,419‌

1,138,548,212‌

$

8,202,656,262‌

Shares

issued

in

reinvestment

of

distributions

.....................

48,014,904‌

323,185,440‌

85,576,808‌

621,610,066‌

Shares

redeemed

......................................

(636,863,669‌)

(4,264,617,490‌)

(1,444,371,612‌)

(10,400,328,995‌)

(68,667,658‌)

$

(459,516,631‌)

(220,246,592‌)

$

(1,576,062,667‌)

Service

Shares

sold

..........................................

2,490,056‌

$

16,617,096‌

5,353,719‌

$

39,744,030‌

Shares

issued

in

reinvestment

of

distributions

.....................

390,328‌

2,629,424‌

781,120‌

5,708,250‌

Shares

redeemed

......................................

(2,490,580‌)

(16,728,000‌)

(10,527,000‌)

(77,232,274‌)

389,804‌

$

2,518,520‌

(4,392,161‌)

$

(31,779,994‌)

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

29,918,828‌

$

200,760,756‌

50,285,263‌

$

369,649,622‌

Shares

issued

in

reinvestment

of

distributions

.....................

4,619,191‌

31,076,227‌

8,203,186‌

59,544,442‌

Shares

redeemed

......................................

(39,116,742‌)

(262,645,189‌)

(69,091,386‌)

(504,878,029‌)

(4,578,723‌)

$

(30,808,206‌)

(10,602,937‌)

$

(75,683,965‌)

Investor

C

Shares

sold

..........................................

963,687‌

$

6,487,276‌

2,623,445‌

$

19,382,669‌

Shares

issued

in

reinvestment

of

distributions

.....................

356,155‌

2,398,801‌

755,467‌

5,521,393‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(3,282,899‌)

(22,063,021‌)

(8,811,320‌)

(64,375,562‌)

(1,963,057‌)

$

(13,176,944‌)

(5,432,408‌)

$

(39,471,500‌)

Class

K

Shares

sold

..........................................

194,695,980‌

$

1,297,885,784‌

447,318,572‌

$

3,229,587,783‌

Shares

issued

in

reinvestment

of

distributions

.....................

29,347,900‌

197,620,533‌

49,202,259‌

357,550,162‌

Shares

redeemed

......................................

(228,625,228‌)

(1,539,158,924‌)

(551,535,579‌)

(3,994,893,443‌)

(4,581,348‌)

$

(43,652,607‌)

(55,014,748‌)

$

(407,755,498‌)

Class

R

Shares

sold

..........................................

899,303‌

$

6,041,784‌

3,463,496‌

$

25,342,218‌

Shares

issued

in

reinvestment

of

distributions

.....................

405,426‌

2,727,516‌

683,318‌

4,953,874‌

Shares

redeemed

......................................

(1,483,812‌)

(9,955,632‌)

(3,914,325‌)

(28,534,490‌)

(179,083‌)

$

(1,186,332‌)

232,489‌

$

1,761,602‌

(79,580,065‌)

$

(545,822,200‌)

(295,456,357‌)

$

(2,128,992,022‌)

Low

Duration

Bond

Institutional

Shares

sold

..........................................

87,049,701‌

$

774,370,070‌

217,791,445‌

$

2,038,591,967‌

Shares

issued

in

reinvestment

of

distributions

.....................

12,769,339‌

113,626,550‌

10,730,336‌

99,505,228‌

Shares

redeemed

......................................

(152,753,216‌)

(1,359,355,380‌)

(348,516,501‌)

(3,236,111,469‌)

(52,934,176‌)

$

(471,358,760‌)

(119,994,720‌)

$

(1,098,014,274‌)

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

12,890,399‌

$

114,730,971‌

32,690,173‌

$

306,466,451‌

Shares

issued

in

reinvestment

of

distributions

.....................

2,368,513‌

21,072,949‌

1,741,946‌

16,123,027‌

Shares

redeemed

......................................

(29,092,064‌)

(259,239,200‌)

(54,874,888‌)

(510,300,908‌)

(13,833,152‌)

$

(123,435,280‌)

(20,442,769‌)

$

(187,711,430‌)

Investor

A1

Shares

sold

..........................................

71‌

$

627‌

423‌

$

3,923‌

Shares

issued

in

reinvestment

of

distributions

.....................

10,296‌

91,677‌

7,482‌

69,366‌

Shares

redeemed

......................................

(33,463‌)

(298,289‌)

(121,445‌)

(1,133,215‌)

(23,096‌)

$

(205,985‌)

(113,540‌)

$

(1,059,926‌)

Investor

C

Shares

sold

..........................................

611,601‌

$

5,439,939‌

1,311,344‌

$

12,219,407‌

Shares

issued

in

reinvestment

of

distributions

.....................

79,773‌

709,055‌

36,869‌

338,902‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(1,310,919‌)

(11,656,595‌)

(2,604,856‌)

(24,284,714‌)

(619,545‌)

$

(5,507,601‌)

(1,256,643‌)

$

(11,726,405‌)

Class

K

Shares

sold

..........................................

15,145,249‌

$

134,760,378‌

56,631,659‌

$

532,543,702‌

Shares

issued

in

reinvestment

of

distributions

.....................

2,231,808‌

19,839,918‌

1,653,236‌

15,305,219‌

Shares

redeemed

......................................

(23,866,920‌)

(212,358,875‌)

(63,921,319‌)

(599,769,631‌)

(6,489,863‌)

$

(57,758,579‌)

(5,636,424‌)

$

(51,920,710‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

141

Notes

to

Financial

Statements

12.

SUBSEQUENT

EVENTS 

Management’s

evaluation

of

the

impact

of

all

subsequent

events

on

the

Funds’

financial

statements

was

completed

through

the

date

the

financial

statements

were

issued

and

the

following

items

were

noted:

Effective

April

13,

2023,

the

credit

agreement

was

extended

until

April

2024

under

the

same

terms.

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Class

R

Shares

sold

..........................................

29,620‌

$

263,664‌

203,589‌

$

1,899,990‌

Shares

issued

in

reinvestment

of

distributions

.....................

7,140‌

63,527‌

3,385‌

31,176‌

Shares

redeemed

......................................

(51,971‌)

(462,249‌)

(122,861‌)

(1,158,016‌)

(15,211‌)

$

(135,058‌)

84,113‌

$

773,150‌

(73,915,043‌)

$

(658,401,263‌)

(147,359,983‌)

$

(1,349,659,595‌)

Statement

Regarding

Liquidity

Risk

Management

Program

2023

BlackRock

Semi-Annual

Report

to

Shareholders

142

In

compliance

with

Rule

22e-4

under

the

Investment

Company

Act

of

1940,

as

amended

(the

“Liquidity

Rule”),

BlackRock

Funds

V

(the

"Trust")

has

adopted

and

implemented

a

liquidity

risk

management

program

(the

“Program”)

for

the

BlackRock

Core

Bond

Portfolio,

BlackRock

High

Yield

Bond

Portfolio

and

BlackRock

Low

Duration

Bond

Portfolio

(the

“Funds”),

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

November

10-11,

2022

(the

“Meeting”)

to

review

the

Program.

The

Board

previously

appointed

BlackRock

Advisors,

LLC,

the

investment

adviser

to

each

Fund,

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,

2021

through

September

30,

2022

(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

the

imposition

of

capital

controls

in

certain

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.

Where

a

fund

participated

in

borrowings

for

investment

purposes

(such

as

tender

option

bonds

or

reverse

repurchase

agreements),

such

borrowings

were

factored

into

the

Program’s

calculation

of

a

fund’s

liquidity

bucketing.

A

fund’s

derivative

exposure

was

also

considered

in

such

calculation.

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

Fund’s

reasonably

anticipated

trading

size

utilized

for

liquidity

classifications.

Each

Fund

has

adopted

an

in-kind

redemption

policy

which

may

be

utilized

to

meet

larger

redemption

requests.

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

the

terms

of

the

credit

facility

committed

to

each

Fund,

the

financial

health

of

the

institution

providing

the

facility

and

the

fact

that

the

credit

facility

is

shared

among

multiple

funds

(including

that

a

portion

of

the

aggregate

commitment

amount

is

specifically

designated

for

BlackRock

Floating

Rate

Income

Portfolio,

a

series

of

BlackRock

Funds

V,

and

BlackRock

Floating

Rate

Loan

ETF,

a

series

of

BlackRock

ETF

Trust

II).

The

Committee

also

considered

other

types

of

borrowing

available

to

the

funds,

such

as

the

ability

to

use

reverse

repurchase

agreements

and

interfund

lending,

as

applicable.

There

were

no

material

changes

to

the

Program

during

the

Program

Reporting

Period

other

than

the

enhancement

of

certain

model

components

in

the

Program’s

classification

methodology.

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.

Additional

Information

143

Additional

Information

General

Information 

Quarterly

performance,

semi-annual

and

annual

reports,

current

net

asset

value

and

other

information

regarding

the

Funds

may

be

found

on

BlackRock’s

website,

which

can

be

accessed

at

blackrock.com

.

Any

reference

to

BlackRock’s

website

in

this

report

is

intended

to

allow

investors

public

access

to

information

regarding

the

Funds

and

does

not,

and

is

not

intended

to,

incorporate

BlackRock’s

website

in

this

report.

Householding

The

Funds

will

mail

only

one

copy

of

shareholder

documents,

including

prospectuses,

annual

and

semi-annual

reports,

Rule

30e-3

notices

and

proxy

statements,

to

shareholders

with

multiple

accounts

at

the

same

address.

This

practice

is

commonly

called

“householding”

and

is

intended

to

reduce

expenses

and

eliminate

duplicate

mailings

of

shareholder

documents.

Mailings

of

your

shareholder

documents

may

be

householded

indefinitely

unless

you

instruct

us

otherwise.

If

you

do

not

want

the

mailing

of

these

documents

to

be

combined

with

those

for

other

members

of

your

household,

please

call

the

Funds at

(800)

441-7762.

Availability

of

Quarterly

Schedule

of

Investments

The

Funds

file

their

complete

schedules

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

blackrock.com/

fundreports

.

Availability

of

Proxy

Voting

Policies,

Procedures

and

Voting

Records

A

description

of

the

policies

and

procedures

that

the

Funds

use

to

determine

how

to

vote

proxies

relating

to

portfolio

securities

and

information

about

how

the

Funds

voted

proxies

relating

to

securities

held

in

the

Funds'

portfolios

during

the

most

recent

12-month

period

ended

June

30 is

available

without

charge,

upon

request (1)

by

calling

(800)

441-

7762

;

(2)

on

the

BlackRock

website

at

blackrock.com

;

and

(3)

on

the

SEC’s

website

at

sec.gov

.

BlackRock’s

Mutual

Fund

Family

BlackRock

offers

a

diverse

lineup

of

open-end

mutual

funds

crossing

all

investment

styles

and

managed

by

experts

in

equity,

fixed-income

and

tax-exempt

investing.

Visit

blackrock.com

for

more

information.

Shareholder

Privileges

Account

Information

Call

us

at

(800) 

441-7762

from

8:00

AM

to

6:00

PM

ET

on

any

business

day

to

get

information

about

your

account

balances,

recent

transactions

and

share

prices.

You

can

also

visit

blackrock.com

for

more

information.

Automatic

Investment

Plans

Investor

class

shareholders

who

want

to

invest

regularly

can

arrange

to

have

$50

or

more

automatically

deducted

from

their

checking

or

savings

account

and

invested

in

any

of

the

BlackRock

funds.

Systematic

Withdrawal

Plans

Investor

class

shareholders

can

establish

a

systematic

withdrawal

plan

and

receive

periodic

payments

of

$50

or

more

from

their

BlackRock

funds,

as

long

as

their

account

balance

is

at

least

$10,000.

Retirement

Plans

Shareholders

may

make

investments

in

conjunction

with

Traditional,

Rollover,

Roth,

Coverdell,

Simple

IRAs,

SEP

IRAs

and

403(b)

Plans.

Additional

Information

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

144

BlackRock

Privacy

Principles

BlackRock

is

committed

to

maintaining

the

privacy

of

its

current

and

former

fund

investors

and

individual

clients

(collectively,

“Clients”)

and

to

safeguarding

their

non-public

personal

information.

The

following

information

is

provided

to

help

you

understand

what

personal

information

BlackRock

collects,

how

we

protect

that

information

and

why

in

certain

cases

we

share

such

information

with

select

parties.

If

you

are

located

in

a

jurisdiction

where

specific

laws,

rules

or

regulations

require

BlackRock

to

provide

you

with

additional

or

different

privacy-related

rights

beyond

what

is

set

forth

below,

then

BlackRock

will

comply

with

those

specific

laws,

rules

or

regulations.

BlackRock

obtains

or

verifies

personal

non-public

information

from

and

about

you

from

different

sources,

including

the

following:

(i)

information

we

receive

from

you

or,

if

applicable,

your

financial

intermediary,

on

applications,

forms

or

other

documents;

(ii)

information

about

your

transactions

with

us,

our

affiliates,

or

others;

(iii)

information

we

receive

from

a

consumer

reporting

agency;

and

(iv)

from

visits

to

our

websites.

BlackRock

does

not

sell

or

disclose

to

non-affiliated

third

parties

any

non-public

personal

information

about

its

Clients,

except

as

permitted

by

law

or

as

is

necessary

to

respond

to

regulatory

requests

or

to

service

Client

accounts.

These

non-affiliated

third

parties

are

required

to

protect

the

confidentiality

and

security

of

this

information

and

to

use

it

only

for

its

intended

purpose.

We

may

share

information

with

our

affiliates

to

service

your

account

or

to

provide

you

with

information

about

other

BlackRock

products

or

services

that

may

be

of

interest

to

you.

In

addition,

BlackRock

restricts

access

to

non-public

personal

information

about

its

Clients

to

those

BlackRock

employees

with

a

legitimate

business

need

for

the

information.

BlackRock

maintains

physical,

electronic

and

procedural

safeguards

that

are

designed

to

protect

the

non-public

personal

information

of

its

Clients,

including

procedures

relating

to

the

proper

storage

and

disposal

of

such

information.

Fund

and

Service

Providers

Investment

Adviser

and

Administrator

BlackRock

Advisors,

LLC

Wilmington,

DE

19809

Sub-Advisers

BlackRock

International

Limited

Edinburgh,

EH3

8BL

United

Kingdom

BlackRock

(Singapore)

Limited

(a)

079912

Singapore

Accounting

Agent

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

Transfer

Agent

BNY

Mellon

Investment

Servicing

(US)

Inc.

Wilmington,

DE

19809

Custodian

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

(a)

For

BlackRock

Core

Bond

Portfolio

and

BlackRock

Low

Duration

Bond

Portfolio.

Independent

Registered

Public

Accounting

Firm

Deloitte

&

Touche

LLP

Boston,

MA

02116

Distributor

BlackRock

Investments,

LLC

New

York,

NY

10001

Legal

Counsel

Willkie

Farr

&

Gallagher

LLP

New

York,

NY

10019

Address

of

the

Trust

100

Bellevue

Parkway

Wilmington,

DE

19809

Glossary

of

Terms

Used

in

this

Report

145

Glossary

of

Terms

Used

in

this

Report

Currency

Abbreviation

AUD

Australian

Dollar

BRL

Brazilian

Real

CAD

Canadian

Dollar

CHF

Swiss

Franc

CLP

Chilean

Peso

COP

Colombian

Peso

CZK

Czech

Koruna

EUR

Euro

GBP

British

Pound

IDR

Indonesian

Rupiah

JPY

Japanese

Yen

KRW

South

Korean

Won

MXN

Mexican

Peso

NOK

Norwegian

Krone

NZD

New

Zealand

Dollar

PLN

Polish

Zloty

RUB

New

Russian

Ruble

THB

Thai

Baht

TWD

Taiwan

New

Dollar

USD

United

States

Dollar

ZAR

South

African

Rand

Portfolio

Abbreviation

BA

Canadian

Bankers

Acceptances

BZDIOVER

Overnight

Brazil

CETIP

—

Interbank

Rate

CDI

Crest

Depository

Interests

CLO

Collateralized

Loan

Obligation

CSMC

Credit

Suisse

Mortgage

Capital

DAC

Designated

Activity

Company

ETF

Exchange-Traded

Fund

ESTR

Euro

Short-Term

Rate

EURIBOR

Euro

Interbank

Offered

Rate

GO

General

Obligation

Bonds

JIBAR

Johannesburg

Interbank

Average

Rate

LIBOR

London

Interbank

Offered

Rate

MSCI

Morgan

Stanley

Capital

International

MXIBTIIE

Mexico

Interbank

TIIE

28-Day

OTC

Over-the-counter

PCL

Public

Company

Limited

PIK

Payment-In-Kind

PRIBOR

Prague

Interbank

Offered

Rate

RB

Revenue

Bonds

REIT

Real

Estate

Investment

Trust

S&P

Standard

&

Poor's

SCA

Svenska

Cellulosa

Aktiebolaget

SOFR

Secured

Overnight

Financing

Rate

SPDR

Standard

&

Poor’s

Depositary

Receipts

TBA

To-be-announced

TONAR

Tokyo

Overnight

Average

Rate

WIBOR

Warsaw

Interbank

Offered

Rate

Want

to

know

more?

blackrock.com

|

800-441-7762

This

report

is

intended

for

current

holders.

It

is

not

authorized

for

use

as

an

offer

of

sale

or

a

solicitation

of

an

offer

to

buy

shares

of

the

Funds

unless

preceded

or

accompanied

by

the

Funds’

current

prospectus.

Past

performance

results

shown

in

this

report

should

not

be

considered

a

representation

of

future

performance.

Investment

returns

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Statements

and

other

information

herein

are

as

dated

and

are

subject

to

change.

Taxable3-3/23-SAR

MARCH

31,

2023

Not

FDIC

Insured

-

May

Lose

Value

-

No

Bank

Guarantee

2023

Semi-Annual

Report

(Unaudited)

BlackRock

Funds

V

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

BlackRock

Income

Fund

Dear

Shareholder,

Significant

economic

headwinds

emerged

during

the

12-month

reporting

period

ended

March

31,

2023,

as

investors

navigated

changing

economic

conditions

and

volatile

markets.

The

U.S.

economy

shrank

in

the

first

half

of

2022

before

returning

to

modest

growth

in

the

second

half

of

the

year,

marking

a

shift

to

a

more

challenging

post-reopening

economic

environment.

Changes

in

consumer

spending

patterns

and

a

tight

labor

market

led

to

elevated

inflation,

which

reached

a

40-year

high

before

beginning

to

moderate.

Equity

prices

fell

as

interest

rates

rose,

particularly

during

the

first

half

of

the

reporting

period.

Both

large-

and

small-capitalization

U.S.

stocks

declined,

although

equities

began

to

recover

in

the

second

half

of

the

period

as

inflation

eased

and

economic

growth

resumed.

Emerging

market

stocks

and

international

equities

from

developed

markets

declined

overall,

pressured

by

rising

interest

rates

and

volatile

commodities

prices.

The

10-year

U.S.

Treasury

yield

rose

during

the

reporting

period,

driving

its

price

down,

as

investors

reacted

to

fluctuating

inflation

data

and

attempted

to

anticipate

its

impact

on

future

interest

rate

changes.

The

corporate

bond

market

also

faced

inflationary

headwinds,

and

higher

interest

rates

led

to

rising

borrowing

costs

for

corporate

issuers.

The

U.S.

Federal

Reserve

(the

“Fed”),

acknowledging

that

inflation

has

been

more

persistent

than

expected,

raised

interest

rates

eight

times.

Furthermore,

the

Fed

wound

down

its

bond-buying

programs

and

accelerated

the

reduction

of

its

balance

sheet.

Restricted

labor

supply

kept

inflation

elevated

even

as

other

inflation

drivers,

such

as

goods

prices

and

energy

costs,

moderated.

While

economic

growth

slowed

in

the

last

year,

we

believe

that

taming

inflation

requires

a

more

substantial

decline

that

lowers

demand

to

a

level

more

in

line

with

the

economy’s

productive

capacity.

Although

the

Fed

has

decelerated

the

pace

of

interest

rate

hikes,

we

believe

that

it

still

seems

determined

to

get

inflation

back

to

target.

With

this

in

mind,

we

believe

the

possibility

of

a

U.S.

recession

in

the

near-term

is

high,

but

the

dimming

economic

outlook

has

not

yet

been

fully

reflected

in

current

market

prices.

We

believe

investors

should

expect

a

period

of

higher

volatility

as

markets

adjust

to

the

new

economic

reality

and

policymakers

attempt

to

adapt

to

rapidly

changing

conditions.

Turmoil

in

the

banking

sector

late

in

the

period

highlighted

the

potential

for

the

knock-on

effects

of

substantially

higher

interest

rates

to

disrupt

markets

with

little

warning.

While

we

favor

an

overweight

to

equities

in

the

long

term,

we

prefer

an

underweight

stance

on

equities

overall

in

the

near

term.

Expectations

for

corporate

earnings

remain

elevated,

which

seems

inconsistent

with

the

possibility

of

a

recession.

Nevertheless,

we

are

overweight

on

emerging

market

stocks

as

we

believe

a

weakening

U.S.

dollar

provides

a

supportive

backdrop.

We

also

see

long-term

opportunities

in

credit,

where

we

believe

that

valuations

are

appealing

and

higher

yields

provide

attractive

income,

although

we

are

neutral

on

credit

in

the

near

term,

as

we’re

concerned

about

tightening

credit

and

financial

conditions.

However,

we

believe

there

are

still

some

strong

opportunities

for

a

six-

to

twelve-month

horizon,

particularly

short-term

U.S.

Treasuries,

global

inflation-linked

bonds,

and

emerging

market

bonds

denominated

in

local

currency.

Overall,

our

view

is

that

investors

need

to

think

globally,

position

themselves

to

be

prepared

for

a

decarbonizing

economy,

and

be

nimble

as

market

conditions

change.

We

encourage

you

to

talk

with

your

financial

advisor

and

visit

blackrock.com

for

further

insight

about

investing

in

today’s

markets.

Sincerely,

Rob

Kapito

President,

BlackRock

Advisors,

LLC

The

Markets

in

Review

Rob

Kapito

President,

BlackRock

Advisors,

LLC

Past

performance

is

not

an

indication

of

future

results.

Index

performance

is

shown

for

illustrative

purposes

only.

You

cannot

invest

directly

in

an

index.

Total

Returns

as

of

March

31,

2023

6-Month

12-Month

U.S.

large

cap

equities

(S&P

500

®

Index)

15.62

%

(7.73

)%

U.S.

small

cap

equities

(Russell

2000

®

Index)

9.14

(11.61

)

International

equities

(MSCI

Europe,

Australasia,

Far

East

Index)

27.27

(1.38

)

Emerging

market

equities

(MSCI

Emerging

Markets

Index)

14.04

(10.70

)

3-month

Treasury

bills

(ICE

BofA

3-Month

U.S.

Treasury

Bill

Index)

1.93

2.52

U.S.

Treasury

securities

(ICE

BofA

10-Year

U.S.

Treasury

Index)

4.38

(6.90

)

U.S.

investment

grade

bonds

(Bloomberg

U.S.

Aggregate

Bond

Index)

4.89

(4.78

)

Tax-exempt

municipal

bonds

(Bloomberg

Municipal

Bond

Index)

7.00

0.26

U.S.

high

yield

bonds

(Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index)

7.88

(3.35

)

This

Page

is

not

Part

of

Your

Fund

Report

2

Table

of

Contents

Page

3

The

Markets

in

Review

...................................................................................................

2

Semi-Annual

Report:

Fund

Summary

........................................................................................................

4

The

Benefits

and

Risks

of

Leveraging

..........................................................................................

12

About

Fund

Performance

.................................................................................................

13

Disclosure

of

Expenses

...................................................................................................

14

Derivative

Financial

Instruments

.............................................................................................

14

Financial

Statements:

Schedules

of

Investments

...............................................................................................

15

Statements

of

Assets

and

Liabilities

.........................................................................................

69

Statements

of

Operations

................................................................................................

72

Statements

of

Changes

in

Net

Assets

........................................................................................

73

Statements

of

Cash

Flows

...............................................................................................

75

Financial

Highlights

.....................................................................................................

77

Notes

to

Financial

Statements

...............................................................................................

90

Statement

Regarding

Liquidity

Risk

Management

Program

.............................................................................

105

Additional

Information

....................................................................................................

106

Glossary

of

Terms

Used

in

this

Report

..........................................................................................

108

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

4

BlackRock

GNMA

Portfolio

Investment

Objective

BlackRock

GNMA

Portfolio’s

(the

“Fund”)

investment

objective

is

to

seek

to

maximize

total

return,

consistent

with

income

generation

and

prudent

investment

management.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

the

Fund

underperformed

its

benchmark,

the

Bloomberg

GNMA

Total

Return

Index

Value

Unhedged

USD.

What

factors

influenced

performance?

The

most

significant

detractor

from

the

Fund’s

performance

relative

to

the

benchmark

over

the

reporting

period

was

active

positioning

with

respect

to

duration

and

corresponding

interest

rate

sensitivity

against

a

backdrop

of

volatile

Treasury

yields.

The

Fund’s

use

of

derivatives,

future

contracts

specifically,

marginally

detracted

from

performance.

The

Fund’s

allocation

to

higher

coupon,

deeply

seasoned

conventional

and

Government

National

Mortgage

Association

("GNMA")

30-year

mortgage-backed

securities

(“MBS”)

was

the

leading

positive

contributor

to

relative

performance

over

the

period.

Interest

rate

volatility

strategies

were

also

additive.

Finally,

allocations

to

fixed

rate

agency

collateralized

mortgage

obligations

(“CMOs”)

and

agency

mortgage

derivatives

contributed

positively.

Describe

recent

portfolio

activity.

The

Fund

continues

to

favor

well-seasoned,

higher

coupon

pools

offering

favorable

prepayment

protection.

The

Fund

also

continues

to

hold

a

structural

allocation

to

agency

CMOs

and

agency

mortgage

derivatives.

The

Fund

held

a

small

percentage

of

assets

in

derivatives

as

a

hedge

to

allocations

in

MBS

and

securitized

assets.

Describe

portfolio

positioning

at

period

end.

The

Fund

was

constructively

positioned

with

respect

to

agency

MBS

based

on

attractive

coupon

spreads

relative

to

Treasuries

and

an

outlook

for

improved

bank

demand

for

GNMAs.

The

Fund

is

long

very

low

coupons

such

as

2.5s,

underweight

middle

coupons

that

are

currently

in

production

such

as

4.0s

and

4.5s,

and

overweight

high

coupon

seasoned

pools.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

2.95‌%

2.78‌%

4.54‌%

(5.54‌)%

N/A‌

0.07‌%

N/A‌

0.65‌%

N/A‌

Investor

A

...............

2.59‌

2.41‌

4.26‌

(5.85‌)

(9.62‌)%

(0.17‌)

(0.98‌)%

0.36‌

(0.05‌)%

Investor

C

...............

1.96‌

1.79‌

4.02‌

(6.47‌)

(7.39‌)

(0.90‌)

(0.90‌)

(0.24‌)

(0.24‌)

Class

K

................

3.00‌

2.87‌

4.44‌

(5.52‌)

N/A‌

0.13‌

N/A‌

0.69‌

N/A‌

Bloomberg

GNMA

Total

Return

Index

Value

Unhedged

USD

(c)

—‌

—‌

4.75‌

(4.48‌)

N/A‌

0.26‌

N/A‌

0.87‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees.

(b)

Under

normal

circumstances,

the

Fund

invests

at

least

80%

of

its

assets

in

GNMA

securities.

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

GNMA

Portfolio

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

is

the

performance

and

accounting

survivor

of

the

Reorganization.

(c)

An

unmanaged

index

comprised

of

mortgage-backed

pass

through

securities

of

GNMA.

Fund

Summary

as

of

March

31,

2023

(continued)

5

Fund

Summary

BlackRock

GNMA

Portfolio

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Portfolio

Information

Actual

Hypothetical

5%

Return

Expenses

Paid

During

the

Period

Including

Interest

Expense

Excluding

Interest

Expense

Annualized

Expense

Ratio

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Including

Interest

Expense

(a)

Excluding

Interest

Expense

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Including

Interest

Expense

Excluding

Interest

Expense

Institutional

.......

$

1,000.00‌

$

1,045.40‌

$

6.37‌

$

2.14‌

$

1,000.00‌

$

1,018.70‌

$

6.29‌

$

1,022.84‌

$

2.12‌

1.25‌%

0.42‌%

Investor

A

........

1,000.00‌

1,042.60‌

7.64‌

3.41‌

1,000.00‌

1,017.45‌

7.54‌

1,021.59‌

3.38‌

1.50‌

0.67‌

Investor

C

........

1,000.00‌

1,040.20‌

11.44‌

7.22‌

1,000.00‌

1,013.71‌

11.30‌

1,017.85‌

7.14‌

2.25‌

1.42‌

Class

K

.........

1,000.00‌

1,044.40‌

6.12‌

1.89‌

1,000.00‌

1,018.95‌

6.04‌

1,023.09‌

1.87‌

1.20‌

0.37‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

U.S.

Government

Sponsored

Agency

Securities

..............

99.8‌

%

Non-Agency

Mortgage-Backed

Securities

..................

0.2‌

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(b)

Percent

of

Total

Investments

(a)

AAA/

Aaa

(c)

......................................

99.8‌

%

AA/Aa

.........................................

0.2‌

(a)

Excludes

short-term

securities,

options

written

and

TBA

sale

commitments.

(b)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(c)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

6

BlackRock

Impact

Mortgage

Fund

Investment

Objective

BlackRock

Impact

Mortgage

Fund’s

(the

“Fund”)

investment

objective

is

to

seek

to

maximize

total

return,

consistent

with

income

generation

and

prudent

investment

management,

while

investing

in

a

portfolio

of

fixed-income

securities

that

Fund

management

views

as

generating

positive

social

and/or

environmental

impacts.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

the

Fund’s

Class

K

shares

outperformed

its

benchmark,

the

Bloomberg

U.S.

MBS

Index,

while

the

Fund’s

Investor

C

and

Class

R

shares

underperformed

its

benchmark,

and

Institutional

and

Investor

A

shares

performed

in

line.

What

factors

influenced

performance?

The

Fund’s

use

of

agency

mortgage

derivatives

proved

additive

to

performance

relative

to

the

benchmark,

including

interest-only

structures

featuring

Government

National

Mortgage

Association

("GNMA")

and

rural

housing

collateral

with

lower

coupons.

Within

the

impact

mortgage-backed

security

(“MBS”)

universe,

the

strongest

performers

included

relatively

low

coupon

foreclosure

prevention

and

state

housing

finance

agency

securities.

Underweight

exposure

to

15-year

MBS

relative

to

GNMAs

across

various

coupons

also

contributed

positively.

Within

30-year

MBS,

the

Fund’s

tilt

toward

GNMAs

relative

to

conventional

MBS

was

beneficial.

Finally,

interest

rate

volatility

strategies

contributed

positively.

The

most

significant

detractor

from

the

Fund’s

performance

relative

to

the

benchmark

over

the

reporting

period

was

active

positioning

with

respect

to

duration

and

corresponding

interest

rate

sensitivity

against

a

backdrop

of

volatile

Treasury

yields.

An

out-of-benchmark

allocation

to

agency

commercial

mortgage-backed

securities

detracted

modestly.

The

Fund’s

use

of

derivatives

marginally

detracted

from

performance.

Describe

recent

portfolio

activity.

With

the

agency

MBS,

the

Fund

maintained

a

preference

for

lower

coupon

conventional

30-year

MBS

as

well

as

slightly

higher

coupon

GNMAs.

Within

impact

pools,

the

Fund

increased

its

allocation

to

Down

Payment

Assistance

stories

over

the

first

quarter

of

2023.

The

Fund’s

cash

position

was

13.7%

at

period-end

and

averaged

7.1%

for

the

six-months

period

as

the

investment

adviser

sought

to

navigate

a

highly

volatile

interest

rate

environment.

The

cash

position

did

not

have

a

material

impact

on

performance.

The

Fund

held

a

small

percentage

of

assets

in

derivatives

as

a

hedge

to

allocations

in

MBS

and

securitized

assets.

Describe

portfolio

positioning

at

period

end.

The

Fund

was

constructively

positioned

with

respect

to

agency

MBS

based

on

attractive

coupon

spreads

relative

to

Treasuries.

Positioning

with

respect

to

duration

was

essentially

neutral

relative

to

the

Fund’s

benchmark.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

7

Fund

Summary

BlackRock

Impact

Mortgage

Fund

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

3.47‌%

3.14‌%

4.70‌%

(5.54‌)%

N/A‌

0.42‌%

N/A‌

0.82‌%

N/A‌

Investor

A

...............

3.10‌

2.81‌

4.68‌

(5.66‌)

(9.43‌)%

0.20‌

(0.62‌)%

0.57‌

0.16‌%

Investor

C

...............

2.49‌

2.25‌

4.18‌

(6.47‌)

(7.39‌)

(0.57‌)

(0.57‌)

(0.06‌)

(0.06‌)

Class

K

................

3.53‌

3.34‌

4.84‌

(5.39‌)

N/A‌

0.50‌

N/A‌

0.86‌

N/A‌

Class

R

................

2.98‌

2.66‌

4.55‌

(5.89‌)

N/A‌

(0.05‌)

N/A‌

0.30‌

N/A‌

Bloomberg

U.S.

MBS

Index

(c)

.

—‌

—‌

4.72‌

(4.85‌)

N/A‌

0.20‌

N/A‌

1.00‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees,

and

how

performance

was

calculated

for

certain

share

classes.

(b)

Under

normal

circumstances,

the

Fund

invests

at

least

80%

of

its

net

assets,

plus

any

borrowings

for

investment

purposes,

in

mortgage-backed

and

other

mortgage-related

securities

that

are

issued

or

guaranteed

by

the

U.S.

Government

and

its

agencies.

The

Fund

invests

primarily

in

the

highest

rated

government

and

agency

bonds

and

maintains

an

average

portfolio

duration

that

is

within

±1

year

of

the

duration

of

the

Bloomberg

U.S.

MBS

Index.

The

Fund's

total

returns

prior

to

September

1,

2022

are

the

returns

of

the

Fund

when

it

followed

a

different

investment

objective

and

different

investment

strategies

and

process

under

the

name

"BlackRock

U.S.

Government

Bond

Portfolio."

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

U.S.

Government

Bond

Portfolio

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

was

the

performance

and

accounting

survivor

of

the

Reorganization.

(c)

An

unmanaged

index

that

tracks

fixed-rate

agency

mortgage

backed

pass-through

securities

guaranteed

by

Ginnie

Mae,

Fannie

Mae

and

Freddie

Mac.

Actual

Hypothetical

5%

Return

Expenses

Paid

During

the

Period

Including

Interest

Expense

Excluding

Interest

Expense

Annualized

Expense

Ratio

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Including

Interest

Expense

(a)

Excluding

Interest

Expense

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Including

Interest

Expense

Excluding

Interest

Expense

Institutional

......

$

1,000.00‌

$

1,047.00‌

$

8.57‌

$

2.30‌

$

1,000.00‌

$

1,016.55‌

$

8.45‌

$

1,022.69‌

$

2.27‌

1.68‌%

0.45‌%

Investor

A

.......

1,000.00‌

1,046.80‌

9.85‌

3.57‌

1,000.00‌

1,015.31‌

9.70‌

1,021.44‌

3.53‌

1.93‌

0.70‌

Investor

C

.......

1,000.00‌

1,041.80‌

13.64‌

7.38‌

1,000.00‌

1,011.57‌

13.44‌

1,017.70‌

7.29‌

2.68‌

1.45‌

Class

K

........

1,000.00‌

1,048.40‌

8.32‌

2.04‌

1,000.00‌

1,016.80‌

8.20‌

1,022.94‌

2.02‌

1.63‌

0.40‌

Class

R

........

1,000.00‌

1,045.50‌

11.12‌

4.84‌

1,000.00‌

1,014.06‌

10.95‌

1,020.19‌

4.78‌

2.18‌

0.95‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

Fund

Summary

as

of

March

31,

2023

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

8

BlackRock

Impact

Mortgage

Fund

Portfolio

Information

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

U.S.

Government

Sponsored

Agency

Securities

..............

98.7‌

%

Non-Agency

Mortgage-Backed

Securities

..................

1.1‌

Asset-Backed

Securities

..............................

0.2‌

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(b)

Percent

of

Total

Investments

(a)

AAA/Aaa

(c)

......................................

99.1‌

%

AA/Aa

.........................................

0.4‌

A

............................................

0.1‌

BBB/Baa

.......................................

0.0‌

(d)

NR

...........................................

0.4‌

(a)

Excludes

short-term

securities,

options

purchased,

options

written

and

TBA

sale

commitments.

(b)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(c)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

(d)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

Fund

Summary

as

of

March

31,

2023

9

Fund

Summary

BlackRock

Income

Fund

Investment

Objective

BlackRock

Income

Fund’s

(the

“Fund”)

investment

objective

is

to

seek

to

provide

high

current

income,

with

a

secondary

objective

of

long-term

capital

appreciation.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six-month

period

ended

March

31,

2023,

all

of

the

Fund’s

share

classes

underperformed

its

Customized

Reference

Benchmark.

The

Customized

Reference

Benchmark

is

comprised

of

the

returns

of

the

Bloomberg

Global

High

Yield

100%

Hedged

USD

Index

(25%),

Morningstar

LSTA

Leveraged

Loan

Index

(25%),

Bloomberg

U.S.

CMBS

Investment

Grade

Index

(25%),

and

JPMorgan

Corporate

Emerging

Markets

Bond

Index

Broad

Diversified

(CEMBI

Broad

Diversified)

(25%).

The

Fund

is

not

managed

with

reference

to

the

current

performance

benchmark

and

its

exposures

may

deviate

meaningfully.

What

factors

influenced

performance?

Detractors

from

the

Fund’s

performance

for

the

reporting

period

were

limited.

The

Fund’s

positioning

with

respect

to

interest

rates

detracted

marginally.

The

Fund’s

use

of

equity

hedges

also

detracted

modestly.

Positive

contributions

to

the

Fund’s

relative

performance

were

highlighted

by

exposure

to

U.S.

investment

grade

and

high

yield

corporate

bonds.

The

Fund’s

cash

position

averaged

7.9%

of

portfolio

assets

over

the

reporting

period

and

was

6.6%

at

period

end.

The

Fund

remains

selective

as

the

team

seeks

the

best

opportunities

to

generate

income.

The

Fund’s

cash

position

did

not

have

a

material

impact

on

performance.

Describe

recent

portfolio

activity.

The

reporting

period

was

characterized

by

elevated

market

volatility

and

uncertainty

with

respect

to

inflation,

growth

and

central

bank

policy.

In

addition,

hawkish

monetary

policy

led

to

a

disruption

in

the

banking

system

which

reverberated

across

markets

late

in

the

period.

Against

this

backdrop,

the

Fund

increased

its

overall

quality

profile

by

adding

exposure

to

collateralized

loan

obligations

(“CLOs”),

predominantly

in

AAA-rated

CLOs.

The

Fund

also

increased

exposure

to

investment

grade

corporate

bonds

earlier

in

the

period

based

on

the

sector’s

attractive

relative

value,

and

tactically

traded

in

uniform

mortgage-backed

securities.

The

Fund

used

market

strength

to

trim

some

positioning

in

U.S.

high

yield

corporate

bonds

where

spreads

looked

tight

against

the

macro

backdrop,

while

reducing

U.S.

Treasuries

to

a

greater

extent

given

interest

rate

volatility.

Describe

portfolio

positioning

at

period

end.

Given

continued

uncertainty

in

the

macro

backdrop

for

inflation,

growth,

central

bank

policy

and

geopolitics,

the

Fund

was

positioned

relatively

defensively

at

period-end,

with

a

regional

overweight

to

the

United

States

and

significant

allocations

to

investment

grade

corporate

bonds,

AAA-rated

CLOs

and

cash.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

10

BlackRock

Income

Fund

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Average

Annual

Total

Returns

(a)(b)

1

Year

5

Years

10

Years

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

..............

5.97‌%

5.71‌%

6.03‌%

(3.25‌)%

N/A‌

1.88‌%

N/A‌

2.98‌%

N/A‌

Investor

A

...............

5.58‌

5.47‌

5.90‌

(3.50‌)

(5.91‌)%

1.63‌

1.11‌%

2.73‌

2.47‌%

Investor

C

...............

4.96‌

4.85‌

5.50‌

(4.32‌)

(5.24‌)

0.87‌

0.87‌

2.12‌

2.12‌

Class

K

................

6.02‌

5.92‌

6.05‌

(3.21‌)

N/A‌

1.93‌

N/A‌

3.02‌

N/A‌

Morningstar

LSTA

Leveraged

Loan

Index

(c)

..........

—‌

—‌

5.94‌

2.54‌

N/A‌

3.63‌

N/A‌

3.76‌

N/A‌

Bloomberg

Global

High

Yield

100%

Hedged

USD

Index

(d)

—‌

—‌

9.45‌

(3.45‌)

N/A‌

1.96‌

N/A‌

3.84‌

N/A‌

Bloomberg

U.S.

CMBS

Investment

Grade

Index

(e)

.

—‌

—‌

2.85‌

(3.93‌)

N/A‌

1.40‌

N/A‌

1.72‌

N/A‌

JPMorgan

CEMBI

Broad

Diversified

Index

(f)

......

—‌

—‌

7.06‌

(1.62‌)

N/A‌

1.75‌

N/A‌

2.95‌

N/A‌

Customized

Reference

Benchmark

(g)

..........

—‌

—‌

6.34‌

(1.55‌)

N/A‌

2.26‌

N/A‌

3.11‌

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

fees,

and

how

performance

was

calculated

for

certain

share

classes.

(b)

Under

normal

market

conditions,

the

Fund

invests

at

least

80%

of

its

net

assets

(plus

the

amount

of

any

borrowing

for

investment

purposes)

in

fixed-income

securities.

On

September

17,

2018,

the

Fund

acquired

all

of

the

assets,

subject

to

the

liabilities,

of

BlackRock

Credit

Strategies

Income

Fund

(the

“Predecessor

Fund”),

a

series

of

BlackRock

Funds

II,

through

a

tax-free

reorganization

(the

“Reorganization”).

The

Predecessor

Fund

is

the

performance

and

accounting

survivor

of

the

Reorganization.

The

Predecessor

Fund’s

returns

between

July

2,

2012

and

July

1,

2016

are

the

returns

of

the

Predecessor

Fund

when

it

followed

different

investment

objectives

and

different

investment

strategies

under

the

name

BlackRock

Secured

Credit

Portfolio.

(c)

An

unmanaged

market

value-weighted

index

designed

to

measure

the

performance

of

the

U.S.

leveraged

loan

market

based

upon

spreads,

interest

payments

and

market

weightings

subject

to

a

single

loan

facility

weight

cap

of

2%.

(d)

A

“hedged”

version

of

the

Bloomberg

Global

High

Yield

Index,

which

is

a

multi-currency

flagship

measure

of

the

global

high

yield

debt

market.

The

index

represents

the

union

of

the

U.S.

High

Yield,

the

Pan-European

High

Yield,

and

Emerging

Markets

H

ard

Currency

High

Yield

Indices.

The

high

yield

and

emerging

markets

sub-components

are

mutually

exclusive.

(e)

An

index

that

measures

the

market

of

conduit

and

fusion

CMBS

deals

with

a

minimum

current

deal

size

of

$300mn.

The

index

is

divided

into

two

subcomponents:

the

U.S.

Aggregate-eligible

component,

which

contains

bonds

that

are

Employee

Retirement

Income

Security

Act

of

1974,

as

amended

(“ERISA”)

eligible

under

the

underwriter’s

exemption,

and

the

non-U.S.

Aggregate-

eligible

component,

which

consists

of

bonds

that

are

not

ERISA

eligible.

(f)

An

expansion

of

the

JPMorgan

Corporate

Emerging

Markets

Bond

Index

(CEMBI).

The

CEMBI

is

a

market

capitalization

weighted

index

consisting

of

U.S.

dollar

denominated

emerging

market

corporate

bonds.

(g)

A

customized

reference

benchmark

comprised

of

the

returns

of

the

Bloomberg

Global

High

Yield

100%

Hedged

USD

Index

(25%),

the

Morningstar

LSTA

Leveraged

Loan

Index

(25%),

the

Bloomberg

U.S.

CMBS

Investment

Grade

Index

(25%)

and

the

JPMorgan

Corporate

Emerging

Markets

Bond

Index

Broad

Diversified

(CEMBI

Broad

Diversified)

(25%).

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,060.30‌

$

3.18‌

$

1,000.00‌

$

1,021.84‌

$

3.13‌

0.62‌%

Investor

A

................................

1,000.00‌

1,059.00‌

4.47‌

1,000.00‌

1,020.59‌

4.38‌

0.87‌

Investor

C

................................

1,000.00‌

1,055.00‌

8.30‌

1,000.00‌

1,016.85‌

8.15‌

1.62‌

Class

K

..................................

1,000.00‌

1,060.50‌

2.93‌

1,000.00‌

1,022.09‌

2.87‌

0.57‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

Fund

Summary

as

of

March

31,

2023

(continued)

11

Fund

Summary

BlackRock

Income

Fund

Portfolio

Information

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

U.S.

Government

Sponsored

Agency

Securities

..............

34.8‌

%

Corporate

Bonds

...................................

31.2‌

Asset-Backed

Securities

..............................

17.2‌

Floating

Rate

Loan

Interests

...........................

9.3‌

Investment

Companies

...............................

2.6‌

Foreign

Government

Obligations

........................

2.5‌

Non-Agency

Mortgage-Backed

Securities

..................

0.9‌

Preferred

Securities

.................................

0.8‌

Foreign

Agency

Obligations

............................

0.7‌

Common

Stocks

...................................

0.0‌

(b)

Warrants

........................................

0.0‌

(b)

Other

Interests

....................................

0.0‌

(b)

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(c)

Percent

of

Total

Investments

(a)

AAA/

Aaa

(d)

......................................

44.7‌

%

AA/Aa

.........................................

2.4‌

A

............................................

10.3‌

BBB/Baa

.......................................

18.4‌

BB/Ba

.........................................

8.3‌

B

............................................

9.3‌

CCC/

Caa

.......................................

2.0‌

CC/Ca

........................................

0.1‌

C

............................................

0.0‌

(b)

NR

...........................................

4.5‌

(a)

Excludes

short-term

securities,

options

purchased,

options

written

and

TBA

sale

commitments.

(b)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

(c)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(d)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

The

Benefits

and

Risks

of

Leveraging

2023

BlackRock

Semi-Annual

Report

to

Shareholders

12

The

Funds

may

utilize

leverage

to

seek

to

enhance

returns

and

net

asset

value

(“NAV”).

However,

there

is

no

guarantee

that

these

objectives

can

be

achieved

in

all

interest

rate

environments.  

The

Funds

may

utilize

leverage

by

entering

into

reverse

repurchase

agreements. 

In

general,

the

concept

of

leveraging

is

based

on

the

premise

that

the

financing

cost

of

leverage,

which

is

based

on

short-term

interest

rates,

is

normally

lower

than

the

income

earned

by

each

Fund

on

its

longer-term

portfolio

investments

purchased

with

the

proceeds

from

leverage.

To

the

extent

that

the

total

assets

of

each

Fund

(including

the

assets

obtained

from

leverage)

are

invested

in

higher-yielding

portfolio

investments, each

Fund’s

shareholders

benefit

from

the

incremental

net

income.

The

interest

earned

on

securities

purchased

with

the

proceeds

from

leverage

is

distributed

to each

Fund’s

shareholders,

and

the

value

of

these

portfolio

holdings

is

reflected

in each

Fund’s

per

share

NAV.

However,

in

order

to

benefit

shareholders,

the

return

on

assets

purchased

with

leverage

proceeds

must

exceed

the

ongoing

costs

associated

with

the

leverage.

If

interest

and

other

ongoing

costs

of

leverage

exceed

a

Fund’s

return

on

assets

purchased

with

leverage

proceeds,

income

to

shareholders

is

lower

than

if

the

Funds

had

not

used

leverage.  

Furthermore,

the

value

of

each

Fund’s

portfolio

investments

generally

varies

inversely

with

the

direction

of

long-term

interest

rates,

although

other

factors

can

also

influence

the

value

of

portfolio

investments.

As

a

result,

changes

in

interest

rates

can

influence

each

Fund’s

NAV

positively

or

negatively

in

addition

to

the

impact

on

each

Fund’s

performance

from

leverage.

Changes

in

the

direction

of

interest

rates

are

difficult

to

predict

accurately,

and

there

is

no

assurance

that

a

Fund’s

leveraging

strategy

will

be

successful.

The

use

of

leverage

also

generally

causes

greater

changes

in

each

Fund’s

NAV

and

dividend

rates

than

comparable

portfolios

without

leverage.

In

a

declining

market,

leverage

is

likely

to

cause

a

greater

decline

in

the

NAV

of a

Fund’s

shares

than

if the

Fund

were

not

leveraged.

In

addition,

each

Fund

may

be

required

to

sell

portfolio

securities

at

inopportune

times

or

at

distressed

values

in

order

to

comply

with

regulatory

requirements

applicable

to

the

use

of

leverage

or

as

required

by

the

terms

of

the

leverage

instruments,

which

may

cause

the

Fund

to

incur

losses.

The

use

of

leverage

may

limit a

Fund’s

ability

to

invest

in

certain

types

of

securities

or

use

certain

types

of

hedging

strategies.

Each

Fund

incurs

expenses

in

connection

with

the

use

of

leverage,

all

of

which

are

borne

by

each

Fund’s

shareholders

and

may

reduce

income.

About

Fund

Performance

13

About

Fund

Performance

Institutional

and

Class

K Shares

are

not

subject

to

any

sales

charge.

These

shares

bear

no

ongoing

distribution

or

service

fees

and

are

available

only

to

certain

eligible

investors. Class

K

Shares

performance

shown

prior

to

the

BlackRock

Income Fund’s

(“Income

Fund”) Class

K

Shares

inception

date

of

August

1,

2016

and

BlackRock

Impact

Mortgage

Fund’s

(“Impact

Mortgage”)

Class

K

Shares

inception

date

of

January

25,

2018

is

that

of

Institutional

Shares.

The

performance

of

each

Fund’s

Class

K

Shares

would

be

substantially

similar

to

Institutional

Shares

because Class

K

Shares

and

Institutional

Shares

invest

in

the

same

portfolio

of

securities

and

performance

would

only

differ

to

the

extent

that

Class

K

Shares

and

Institutional

Shares have

different

expenses.

The

actual

returns

of

Class

K

Shares

would

have

been

higher

than

those

of

the Institutional

Shares

because

Class

K

Shares

have

lower

expenses

than

the

Institutional Shares.

Investor

A

Shares

are

subject

to

a

maximum

initial

sales

charge

(front-end

load)

of 4.00%

for

all

Funds

included

in

this

report,

except

for

Income

Fund

(which

is

subject

to

an

initial

sales

charge

of

2.50%)

and

a

service

fee

of

0.25%

per

year

(but

no

distribution

fee).

Certain

redemptions

of

these

shares

may

be

subject

to

a

contingent

deferred

sales

charge

(“CDSC”)

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

These

shares

are

generally

available

through

financial

intermediaries.

Investor

C

Shares

 are

subject

to

a 1.00%

CDSC

if

redeemed

within

one

year

of

purchase.

In

addition,

these

shares

are

subject

to

a

distribution

fee

of

0.75%

per

year

and

a

service

fee

of 

0.25%

per

year.

These

shares

are

generally

available

through

financial

intermediaries.

These

shares

automatically

convert

to

Investor

A

Shares

after

approximately eight

years.

Class

R

Shares

(available

only

in

Impact

Mortgage)

are

not

subject

to

any

sales

charge.

These

shares

are

subject

to

a

distribution

fee

of 

0.25%

per

year

and

a

service

fee

of 

0.25%

per

year.

These

shares

are

available

only

to

certain

employer-sponsored

retirement

plans.

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.

Refer

to

blackrock.com 

to

obtain

performance

data

current

to

the

most

recent

month-end.

Performance

results

do

not

reflect

the

deduction

of

taxes

that

a

shareholder

would

pay

on

Fund

distributions

or

the

redemption

of

Fund

shares.

Figures

shown

in

the

performance

table(s) assume

reinvestment

of

all

distributions,

if

any,

at

NAV

on

the

ex-dividend

date

or

payable

date,

as

applicable.

Investment

return

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Distributions

paid

to

each

class

of

shares

will

vary

because

of

the

different

levels

of

service,

distribution

and

transfer

agency

fees

applicable

to

each

class,

which

are

deducted

from

the

income

available

to

be

paid

to

shareholders. 

BlackRock

Advisors,

LLC

(the

"Manager”),

each

Fund’s

investment

adviser,

has

contractually

and/or

voluntarily

agreed

to

waive

and/or

reimburse

a

portion

of

each

Fund’s

expenses.

Without

such

waiver(s)

and/or

reimbursement(s),

each

Fund’s

performance

would

have

been

lower.

With

respect

to

each

Fund’s

voluntary

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

waive

and/or

reimburse

or

to

continue

waiving

and/or

reimbursing

its

fees

and

such

voluntary

waiver(s)

may

be

reduced

or

discontinued

at

any

time. With

respect

to

each

Fund’s

contractual

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

continue

waiving

and/or

reimbursing

its

fees

after

the

applicable

termination

date

of

such agreement.

See

the

Notes

to

Financial

Statements

for

additional

information

on

waivers

and/or

reimbursements. 

The

standardized

30-day

yield

includes

the

effects

of

any

waivers

and/or

reimbursements.

The

unsubsidized

30-day

yield

excludes

the

effects

of

any

waivers

and/or

reimbursements. 

Disclosure

of

Expenses

2023

BlackRock

Semi-Annual

Report

to

Shareholders

14

Shareholders

of

each

Fund

may

incur

the

following

charges:

(a)

transactional

expenses,

such

as

sales

charges;

and

(b)

operating

expenses,

including

investment

advisory

fees,

administration

fees, service

and

distribution

fees,

including

12b-1

fees,

acquired

fund

fees

and

expenses, 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

mutual

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

corresponding

to

their

Fund and

share

class

under

the

heading

entitled

“Expenses

Paid

During

the

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

these

Funds

and

other

funds,

compare

the

5%

hypothetical

examples

with

the

5%

hypothetical

examples

that

appear

in

shareholder

reports

of

other

funds. 

The

expenses

shown

in

the

expense

examples

are

intended

to

highlight

shareholders’

ongoing

costs

only

and

do

not

reflect

transactional

expenses,

such

as

sales

charges,

if

any.

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.

Derivative

Financial

Instruments

The

Funds

may

invest

in

various

derivative

financial

instruments.

These

instruments

are

used

to

obtain

exposure

to

a

security,

commodity,

index,

market,

and/or

other

assets

without

owning

or

taking

physical

custody

of

securities,

commodities

and/or

other

referenced

assets

or

to

manage

market,

equity,

credit,

interest

rate,

foreign

currency

exchange

rate,

commodity

and/or

other

risks.

Derivative

financial

instruments

may

give

rise

to

a

form

of

economic

leverage

and

involve

risks,

including

the

imperfect

correlation

between

the

value

of

a

derivative

financial

instrument

and

the

underlying

asset,

possible

default

of

the

counterparty

to

the

transaction

or

illiquidity

of

the

instrument.

Pursuant

to

Rule

18f-4

under

the

1940

Act,

among

other

things,

the

Funds

must

either

use

derivative

financial

instruments

with

embedded

leverage

in

a

limited

manner

or

comply

with

an

outer

limit

on

fund

leverage

risk

based

on

value-at-risk. The

Funds’

successful

use

of

a

derivative

financial

instrument

depends

on

the

investment

adviser’s

ability

to

predict

pertinent

market

movements

accurately,

which

cannot

be

assured.

The

use

of

these

instruments

may

result

in

losses

greater

than

if

they

had

not

been

used,

may

limit

the

amount

of

appreciation a

Fund

can

realize

on

an

investment

and/or

may

result

in

lower

distributions

paid

to

shareholders.

The

Funds’

investments

in

these

instruments,

if

any,

are

discussed

in

detail

in

the

Notes

to

Financial

Statements.

BlackRock

GNMA

Portfolio

Schedules

of

Investments

15

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

0.2%

Seasoned

Credit

Risk

Transfer

Trust

Series

2018-3,

Class

MA,

3.50%,

08/25/57

(a)

USD

472

$

452,939

Series

2018-4,

Class

MA,

3.50%,

03/25/58

522

500,676

953,615

Total

Non-Agency

Mortgage-Backed

Securities

—

0.2%

(Cost:

$1,006,795)

..............................

953,615

U.S.

Government

Sponsored

Agency

Securities

Collateralized

Mortgage

Obligations

—

8.4%

Federal

Home

Loan

Mortgage

Corp.

Series

3745,

Class

ZA,

4.00%, 10/15/40

.

352

342,501

Series

3780,

Class

ZA,

4.00%, 12/15/40

.

1,339

1,305,391

Series

3960,

Class

PL,

4.00%, 11/15/41

.

900

878,554

Series

4161,

Class

BW,

2.50%, 02/15/43

.

500

437,508

Series

4325,

Class

ZX,

4.50%, 04/15/44

.

2,836

2,780,487

Series

4384,

Class

LB,

3.50%, 08/15/43

.

1,242

1,202,611

Federal

National

Mortgage

Association

Series

1996-48,

Class

Z,

7.00%, 11/25/26

28

28,593

Series

2010-134,

Class

KZ,

4.50%, 12/25/40

68

64,693

Series

2010-141,

Class

LZ,

4.50%, 12/25/40

121

120,295

Series

2011-8,

Class

ZA,

4.00%, 02/25/41

772

748,235

Series

2011-131,

Class

LZ,

4.50%, 12/25/41

114

112,746

Series

2017-76,

Class

PB,

3.00%, 10/25/57

1,125

900,300

Series

2022-25,

Class

KL,

4.00%, 05/25/52

200

185,420

Federal

National

Mortgage

Association

Variable

Rate

Notes,

Series

2018-32,

Class

PS,

(1-mo.

LIBOR

USD

at

7.23%

Cap

+

7.23%),

1.58%, 05/25/48

(a)

................

1,224

1,085,968

Government

National

Mortgage

Association

Series

2015-79,

Class

MY,

3.50%, 05/20/45

3,278

3,009,300

Series

2015-106,

Class

DY,

3.50%, 07/20/45

2,411

2,169,371

Series

2016-123,

Class

LM,

3.00%, 09/20/46

...............

400

344,292

Government

National

Mortgage

Association

Variable

Rate

Notes

(a)

Series

2009-31,

Class

PT,

3.31%, 05/20/39

140

140,504

Series

2014-107,

Class

WX,

6.72%, 07/20/39

...............

570

595,686

Series

2015-55,

Class

A,

5.39%, 03/16/36

4,682

4,693,460

Series

2015-103,

Class

B,

6.89%, 01/20/40

2,749

2,894,416

Series

2015-187,

Class

C,

5.37%, 03/20/41

5,954

6,123,995

30,164,326

Interest

Only

Collateralized

Mortgage

Obligations

—

3.6%

Federal

Home

Loan

Mortgage

Corp.

Series

4062,

Class

GI,

4.00%, 02/15/41

.

39

2,156

Series

4533,

Class

JI,

5.00%, 12/15/45

..

362

65,471

Series

5159,

Class

KI,

3.00%, 11/25/51

..

755

96,467

Series

5159,

Class

PI,

3.00%, 11/25/51

..

1,282

172,549

Series

5176,

Class

QI,

3.00%, 12/25/51

.

685

99,747

Federal

Home

Loan

Mortgage

Corp.

Variable

Rate

Notes

(a)

Series

4119,

Class

SC,

(1-mo.

LIBOR

USD

at

6.15%

Cap

+

6.15%),

1.47%, 10/15/42

918

102,670

Series

4901,

Class

CS,

(1-mo.

LIBOR

USD

at

6.10%

Cap

+

6.10%),

1.25%, 07/25/49

1,965

204,874

Series

4941,

Class

SH,

(1-mo.

LIBOR

USD

at

5.95%

Cap

+

5.95%),

1.10%, 12/25/49

1,340

127,110

Federal

National

Mortgage

Association

Series

2013-10,

Class

PI,

3.00%, 02/25/43

64

7,763

Series

2014-68,

Class

YI,

4.50%, 11/25/44

74

15,388

Series

2015-74,

Class

IA,

6.00%, 10/25/45

2,067

486,702

Series

2015-77,

6.00%, 10/25/45

......

2,476

506,725

Security

Par

(000)

Par

(000)

Value

Interest

Only

Collateralized

Mortgage

Obligations

(continued)

Series

2017-68,

Class

IE,

4.50%, 09/25/47

USD

1,749

$

312,829

Series

2020-32,

4.00%, 05/25/50

......

992

192,105

Series

2020-32,

Class

PI,

4.00%, 05/25/50

986

191,060

Series

2021-23,

Class

CI,

3.50%, 07/25/46

846

149,046

Series

2021-41,

3.50%, 07/25/51

......

1,625

274,887

Federal

National

Mortgage

Association

Variable

Rate

Notes

(a)

Series

2015-66,

Class

AS,

(1-mo.

LIBOR

USD

at

6.25%

Cap

+

6.25%),

1.40%, 09/25/45

...............

3,499

260,306

Series

2016-60,

Class

SD,

(1-mo.

LIBOR

USD

at

6.10%

Cap

+

6.10%),

1.25%, 09/25/46

...............

510

40,110

Series

2016-78,

Class

CS,

(1-mo.

LIBOR

USD

at

6.10%

Cap

+

6.10%),

1.25%, 05/25/39

...............

642

49,365

Series

2017-70,

Class

SA,

(1-mo.

LIBOR

USD

at

6.15%

Cap

+

6.15%),

1.30%, 09/25/47

(b)

..............

666

71,211

Series

2019-5,

Class

SA,

(1-mo.

LIBOR

USD

at

6.10%

Cap

+

6.10%),

1.25%, 03/25/49

(b)

..............

2,730

238,871

Series

2019-25,

Class

SA,

(1-mo.

LIBOR

USD

at

6.05%

Cap

+

6.05%),

1.20%, 06/25/49

...............

2,295

262,178

Series

2019-35,

Class

SA,

(1-mo.

LIBOR

USD

at

6.10%

Cap

+

6.10%),

1.25%, 07/25/49

...............

1,152

120,267

Government

National

Mortgage

Association

Series

2017-139,

Class

IB,

4.50%, 09/20/47

255

48,104

Series

2017-144,

Class

DI,

4.50%, 09/20/47

184

33,122

Series

2020-115,

Class

IM,

3.50%, 08/20/50

1,225

205,248

Series

2020-146,

Class

DI,

2.50%, 10/20/50

(b)

..............

1,637

211,920

Series

2020-149,

Class

IA,

2.50%, 10/20/50

15,499

2,154,286

Series

2020-151,

Class

MI,

2.50%, 10/20/50

18,709

2,497,870

Series

2020-175,

Class

DI,

2.50%, 11/20/50

569

76,081

Series

2020-185,

Class

MI,

2.50%, 12/20/50

2,088

279,610

Series

2021-104,

Class

IH,

3.00%, 06/20/51

1,259

192,136

Series

2021-149,

Class

KI,

3.00%, 08/20/51

2,079

316,500

Series

2021-159,

Class

IH,

3.00%, 09/20/51

8,449

1,249,236

Series

2022-127,

Class

IA,

3.50%, 03/20/52

(b)

..............

7,131

1,356,091

Government

National

Mortgage

Association

Variable

Rate

Notes,

Series

2017-101,

Class

SL,

(1-mo.

LIBOR

USD

at

6.20%

Cap

+

6.20%),

1.44%, 07/20/47

(a)

.........

1,150

138,304

12,808,365

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.4%

(a)

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates

Variable

Rate

Notes

Series

K105,

Class

X1,

1.52%, 01/25/30

.

1

80

Series

K116,

Class

X1,

1.42%, 07/25/30

.

1,124

89,032

Series

K119,

Class

X1,

0.93%, 09/25/30

.

1,788

96,922

Series

K120,

Class

X1,

1.04%, 10/25/30

.

1,581

94,159

Series

K122,

Class

X1,

0.88%, 11/25/30

.

2,763

142,324

Federal

National

Mortgage

Association

ACES

Variable

Rate

Notes,

Series

2020-M21,

Class

AX,

1.56%, 01/25/58

..........

2,649

361,748

Government

National

Mortgage

Association

Variable

Rate

Notes

Series

2016-22,

0.72%, 11/16/55

......

11,199

266,134

Series

2016-151,

0.81%, 06/16/58

.....

6,874

250,783

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

GNMA

Portfolio

16

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Series

2017-61,

0.75%, 05/16/59

......

USD

1,683

$

62,771

1,363,953

Mortgage-Backed

Securities

—

116.1%

Federal

Home

Loan

Mortgage

Corp.

3.00%, 06/01/35

-

07/01/35

..........

526

493,647

3.50%, 07/01/26

-

09/01/26

..........

12

11,401

4.00%, 06/01/25

-

05/01/26

..........

47

46,279

5.00%, 05/01/35

-

12/01/38

..........

44

45,384

5.65%, 05/01/37

-

12/01/37

..........

715

726,290

5.75%, 08/01/37

-

04/01/38

..........

841

853,958

7.50%, 03/01/27

.................

—

(c)

33

Federal

National

Mortgage

Association

3.50%, 11/01/46

.................

725

681,734

4.45%, 03/01/36

-

06/01/36

..........

398

392,257

4.94%, 01/01/35

-

05/01/35

..........

152

150,601

5.00%, 04/01/36

.................

84

83,236

5.20%, 08/01/34

-

09/01/34

..........

181

179,327

5.25%, 08/01/37

-

09/01/37

..........

458

451,747

5.54%, 01/01/35

.................

62

62,047

5.75%, 04/01/37

.................

268

263,765

5.80%, 07/01/34

.................

40

40,068

5.94%, 09/01/34

.................

62

61,818

6.50%, 09/01/28

-

02/01/31

..........

632

644,814

Government

National

Mortgage

Association

2.00%, 08/20/50

-

10/20/51

..........

29,624

24,909,810

2.00%, 11/20/50

(d)

................

30,568

26,142,820

2.00%, 04/15/53

(e)

................

21,515

18,275,842

2.50%, 11/20/40

-

11/20/51

..........

84,909

74,721,882

2.50%, 06/20/50

(f)

................

26,672

23,596,165

2.50%, 04/15/53

(e)

................

8,320

7,321,248

3.00%, 05/15/42

-

10/20/51

..........

39,926

36,571,025

3.00%, 02/20/51

(f)

................

26,246

24,117,696

3.00%, 04/15/53

(e)

................

3,984

3,628,438

3.50%, 04/15/41

-

09/20/51

..........

64,821

61,723,967

4.00%, 10/20/41

-

05/20/51

..........

22,117

21,580,487

4.00%, 04/15/53

(e)

................

11,224

10,805,774

4.50%, 12/15/34

-

05/20/50

..........

11,259

11,278,160

4.50%, 04/15/53

(e)

................

8,342

8,216,470

5.00%, 09/15/28

-

05/20/50

..........

9,453

9,735,398

5.00%, 04/15/53

(e)

................

12,406

12,421,508

5.50%, 03/15/32

-

12/15/34

..........

4,109

4,234,502

5.50%, 04/15/53

(e)

................

3,000

3,033,926

5.64%, 04/15/37

-

06/15/37

..........

1,120

1,153,166

5.65%, 05/20/37

-

10/20/37

..........

461

467,797

5.75%, 08/20/37

-

12/20/37

..........

300

302,634

5.80%, 11/15/36

-

03/15/37

..........

1,095

1,116,399

6.00%, 03/20/28

-

01/15/39

..........

5,703

5,951,273

6.00%, 04/15/53

(e)

................

4,450

4,532,916

6.50%, 09/20/27

-

10/20/40

..........

1,773

1,821,610

7.00%, 03/20/24

-

05/20/27

..........

5

4,814

7.50%, 10/20/25

.................

1

619

8.00%, 07/15/24

-

05/15/30

..........

8

7,764

8.50%, 10/15/24

-

02/15/25

..........

5

4,703

Uniform

Mortgage-Backed

Securities

2.00%, 04/25/53

(e)

................

793

655,535

2.50%, 04/25/38

(e)

................

154

142,925

Security

Par

(000)

Par

(000)

Value

Mortgage-Backed

Securities

(continued)

3.00%, 03/01/43

-

06/01/44

..........

USD

3,548

$

3,272,375

3.00%, 04/25/53

(e)

................

4,090

3,669,792

3.50%, 04/25/38

-

04/25/53

(e)

.........

2,160

2,074,308

3.50%, 03/01/43

-

08/01/43

..........

838

798,849

4.00%, 01/01/45

.................

1,619

1,590,063

5.00%, 07/01/34

-

07/01/35

..........

760

776,423

5.25%, 07/01/37

-

08/01/37

..........

344

349,086

5.50%, 12/01/32

-

04/01/35

..........

87

88,551

6.50%, 08/01/35

.................

452

467,670

416,752,796

Total

U.S.

Government

Sponsored

Agency

Securities

—

128.5%

(Cost:

$499,148,763)

.............................

461,089,440

Total

Long-Term

Investments

—

128.7%

(Cost:

$500,155,558)

.............................

462,043,055

Shares

Shares

Short-Term

Securities

Money

Market

Funds

—

0.4%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(g)(h)

.................

1,272,789

1,272,789

Total

Short-Term

Securities

—

0.4%

(Cost:

$1,272,789)

..............................

1,272,789

Total

Investments

Before

Options

Written

and

TBA

Sale

Commitments

—

129.1%

(Cost:

$501,428,347

)

.............................

463,315,844

Total

Options

Written

—

(0.2)%

(Premium

Received

—

$(580,260))

...................

(563,547)

Par

(000)

Pa

r

(

000)

TBA

Sale

Commitments

(e)

Mortgage-Backed

Securities

—

(13.4)%

Government

National

Mortgage

Association

2.50%

,

 04/15/53

.................

(11,803)

(10,386,806)

3.50%

,

 04/15/53

.................

(12,481)

(11,700,851)

4.00%

,

 04/15/53

.................

(11,254)

(10,834,665)

5.00%

,

 04/15/53

.................

(7,000)

(7,008,750)

Uniform

Mortgage-Backed

Securities

3.00%

,

 04/25/53

-

05/25/53

..........

(6,769)

(6,076,062)

3.50%

,

 04/25/53

-

05/25/53

..........

(728)

(676,670)

4.00%

,

 04/25/53

.................

(1,617)

(1,546,515)

Total

TBA

Sale

Commitments

—

(13.4)%

(Proceeds:

$(48,088,181))

.........................

(48,230,319)

Total

Investments

Net

of

Options

Written

and

TBA

Sale

Commitments

—

115.5%

(Cost:

$452,759,906

)

.............................

414,521,978

Liabilities

in

Excess

of

Other

Assets

—

(15.5)%

...........

(55,648,203)

Net

Assets

—

100.0%

..............................

$

358,873,775

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(c)

Rounds

to

less

than

1,000.

(d)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

TBA

commitments.

(e)

Represents

or

includes

a

TBA

transaction.

BlackRock

GNMA

Portfolio

Schedules

of

Investments

17

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

(f)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

reverse

repurchase

agreements.

(g)

Annualized

7-day

yield

as

of

period

end.

(h)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

1,533,765

$

—

$

(260,976)

(a)

$

—

$

—

$

1,272,789

1,272,789

$

47,209

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

Reverse

Repurchase

Agreements

Counterparty

Interest

Rate

Trade

Date

Maturity

Date

Face

Value

Face

Value

Including

Accrued

Interest

Type

of

Non-Cash

Underlying

Collateral

Remaining

Contractual

Maturity

of

the

Agreements

Cantor

Fitzgerald

&

Co.

..

4.94

%

03/23/23

04/20/23  

$

23,561,431

$

23,590,529

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

Cantor

Fitzgerald

&

Co.

..

4.94

03/23/23

04/20/23  

7,862,734

7,872,445

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

$

31,424,165

$

31,462,974

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

GNMA

Portfolio

18

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

U.S.

Treasury

2

Year

Note

....................................................

80

06/30/23

$

16,528

$

(33,998)

Short

Contracts

3-mo.

SOFR

.............................................................

6

06/20/23

1,427

609

U.S.

Treasury

10

Year

Note

...................................................

81

06/21/23

9,320

25,198

U.S.

Treasury

10

Year

Ultra

Note

...............................................

45

06/21/23

5,457

(107,656)

U.S.

Treasury

Long

Bond

.....................................................

36

06/21/23

4,730

(132,492)

U.S.

Treasury

Ultra

Bond

.....................................................

12

06/21/23

1,700

(74,854)

U.S.

Treasury

5

Year

Note

....................................................

51

06/30/23

5,592

(20,279)

3-mo.

SOFR

.............................................................

6

09/19/23

1,427

1,990

3-mo.

SOFR

.............................................................

6

12/19/23

1,431

(310)

3-mo.

SOFR

.............................................................

6

03/19/24

1,436

7,685

(300,109)

$

(334,107)

OTC

Interest

Rate

Swaptions

Written

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

2-Year

Interest

Rate

Swap

(a)

.

3.99%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

08/08/23

3.99

%

USD

8,500

$

(85,568)

2-Year

Interest

Rate

Swap

(a)

.

4.07%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

08/14/23

4.07

USD

8,500

(95,908)

10-Year

Interest

Rate

Swap

(a)

3.00%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/13/24

3.00

USD

1,800

(58,549)

10-Year

Interest

Rate

Swap

(a)

3.05%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

03/13/24

3.05

USD

900

(31,364)

10-Year

Interest

Rate

Swap

(a)

3.15%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

03/13/24

3.15

USD

900

(35,194)

(306,583)

Put

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

3.99%

Semi-Annual

Bank

of

America

NA

08/08/23

3.99

USD

8,500

(44,488)

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

4.07%

Semi-Annual

Deutsche

Bank

AG

08/14/23

4.07

USD

8,500

(39,224)

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

4.15%

Semi-Annual

Deutsche

Bank

AG

12/11/23

4.15

USD

12,800

(51,138)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.00%

Semi-Annual

Bank

of

America

NA

03/13/24

3.00

USD

1,800

(64,610)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.05%

Semi-Annual

Deutsche

Bank

AG

03/13/24

3.05

USD

900

(30,339)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.15%

Semi-Annual

Deutsche

Bank

AG

03/13/24

3.15

USD

900

(27,165)

(256,964)

$

(563,547)

(a)

Forward

settling

swaption.

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

Annual

4.18%

Annual

03/23/25

USD

7,500

$

11,352

$

—

$

11,352

0.18%

Quarterly

1-day

EFFR

Quarterly

10/21/25

USD

179

17,283

—

17,283

1-day

SOFR

Quarterly

0.17%

Quarterly

10/21/25

USD

179

(17,298)

—

(17,298)

0.56%

Quarterly

1-day

EFFR

Quarterly

10/21/30

USD

41

7,422

—

7,422

1-day

SOFR

Quarterly

0.53%

Quarterly

10/21/30

USD

41

(7,556)

—

(7,556)

2.16%

Annual

1-day

SOFR

Annual

04/01/32

USD

2,700

234,135

—

234,135

BlackRock

GNMA

Portfolio

Schedules

of

Investments

19

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

Centrally

Cleared

Interest

Rate

Swaps

(continued)

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

Annual

3.64%

Annual

09/28/32

USD

2,400

$

80,905

$

4,623

$

76,282

3.16%

Annual

1-day

SOFR

Annual

01/18/33

USD

1,000

5,774

—

5,774

3.12%

Annual

1-day

SOFR

Annual

02/06/33

USD

1,700

14,324

—

14,324

1-day

SOFR

Annual

2.10%

Annual

03/21/33

USD

3,000

(280,055)

—

(280,055)

$

66,286

$

4,623

$

61,663

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1-day

EFFR

.........................................

Effective

Federal

Funds

Rate

4.83

%

1-day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

4,623

$

—

$

366,572

$

(304,909)

$

—

Options

Written

...................................................

N/A

N/A

90,852

(74,139)

(563,547)

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

appreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

35,482

$

—

$

35,482

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

366,572

—

366,572

$

—

$

—

$

—

$

—

$

402,054

$

—

$

402,054

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

369,589

$

—

$

369,589

Options

written

(b)

Options

written

at

value

.....................

—

—

—

—

563,547

—

563,547

Swaps

—

centrally

cleared

Unrealized

depreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

304,909

—

304,909

$

—

$

—

$

—

$

—

$

1,238,045

$

—

$

1,238,045

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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).

(b)

Includes

forward

settling

swaptions.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

GNMA

Portfolio

20

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

224,361

$

—

$

224,361

Options

written

........................

—

—

—

—

1,742,481

—

1,742,481

Swaps

..............................

—

—

—

—

(1,765,117)

—

(1,765,117)

$

—

$

—

$

—

$

—

$

201,725

$

—

$

201,725

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

(1,266,064)

$

—

$

(1,266,064)

Options

written

........................

—

—

—

—

1,399,250

—

1,399,250

Swaps

..............................

—

—

—

—

(733,593)

—

(733,593)

$

—

$

—

$

—

$

—

$

(600,407)

$

—

$

(600,407)

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

8,264,063

Average

notional

value

of

contracts

—

short

.................................................................................

$

42,858,323

Options

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

51,900,000

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

25,519,665

Average

notional

value

—

receives

fixed

rate

................................................................................

$

35,569,665

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

11,738

$

134,259

Options

(a)

.........................................................................................

—

563,547

Swaps

—

centrally

cleared

..............................................................................

2,477

—

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

14,215

$

697,806

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(14,215)

(134,259)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

—

$

563,547

(a)

Includes

forward

settling

swaptions.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

(a)

Net

Amount

of

Derivative

Liabilities

(b)

Bank

of

America

NA

..............................

$

253,215

$

—

$

—

$

(253,215)

$

—

Deutsche

Bank

AG

...............................

310,332

—

—

(290,000)

20,332

$

563,547

$

—

$

—

$

(543,215)

$

20,332

(a)

Excess

of

collateral

received/pledged,

if

any,

from

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

(b)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

BlackRock

GNMA

Portfolio

Schedules

of

Investments

21

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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.

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Non-Agency

Mortgage-Backed

Securities

........................

$

—

$

953,615

$

—

$

953,615

U.S.

Government

Sponsored

Agency

Securities

....................

—

459,211,347

1,878,093

461,089,440

Short-Term

Securities

Money

Market

Funds

......................................

1,272,789

—

—

1,272,789

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(48,230,319)

—

(48,230,319)

$

1,272,789

$

411,934,643

$

1,878,093

$

415,085,525

Derivative

Financial

Instruments

(a)

Assets

Interest

rate

contracts

.......................................

$

35,482

$

366,572

$

—

$

402,054

Liabilities

Interest

rate

contracts

.......................................

(369,589)

(868,456)

—

(1,238,045)

$

(334,107)

$

(501,884)

$

—

$

(835,991)

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts

and

options

written.

Swaps

and

futures

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

The

Fund

may

hold

assets

and/or

liabilities

in

which

the

fair

value

approximates

the

carrying

amount

or

face

value,

including

accrued

interest,

for

financial

statement

purposes.

As

of

period

end,

reverse

repurchase

agreements

of

$31,462,974

are

categorized

as

Level

2

within

the

fair

value

hierarchy.

A

reconciliation

of

Level

3

financial

instruments

is

presented

when

the

Fund

had

a

significant

amount

of

Level

3

investments

and

derivative

financial

instruments

at

the

beginning

and/or

end

of

the

period

in

relation

to

net

assets.

The

following

table

is

a

reconciliation

of

Level

3

investments

for

which

significant

unobservable

inputs

were

used

in

determining

fair

value:

U.S.

Government

Sponsored

Agency

Securities

Total

Investments

Assets

Opening

balance,

as

of

September

30,

2022

....................................................................................

$

4,709,456

$

4,709,456

Transfers

into

Level

3

(a)

.................................................................................................

1,589,458

1,589,458

Transfers

out

of

Level

3

(b)

................................................................................................

(4,361,490)

(4,361,490)

Accrued

discounts/premiums

..............................................................................................

(182)

(182)

Net

realized

gain

.....................................................................................................

—

—

Net

change

in

unrealized

depreciation

(c)(d)

......................................................................................

(59,149)

(59,149)

Purchases

..........................................................................................................

—

—

Sales

.............................................................................................................

—

—

Closing

balance,

as

of

March

31,

2023

.......................................................................................

$

1,878,093

$

1,878,093

Net

change

in

unrealized

depreciation

on

investments

still

held

at

March

31,

2023

(d)

..........................................................

$

(59,149)

$

(59,149)

(a)

As

of

September

30,

2022,

the

Fund

used

observable

inputs

in

determining

the

value

of

certain

investments.

As

of

March

31,

2023,

the

Fund

used

significant

unobservable

inputs

in

determining

the

value

of

the

same

investments.

As

a

result,

investments

at

beginning

of

period

value

were

transferred

from

Level

2

to

Level

3

in

the

fair

value

hierarchy.

(b)

As

of

September

30,

2022,

the

Fund

used

significant

unobservable

inputs

in

determining

the

value

of

certain

investments.

As

of

March

31,

2023,

the

Fund

used

observable

inputs

in

determining

the

value

of

the

same

investments.

As

a

result,

investments

at

beginning

of

period

value

were

transferred

from

Level

3

to

Level

2

in

the

fair

value

hierarchy.

(c)

Included

in

the

related

net

change

in

unrealized

appreciation

(depreciation)

in

the

Statements

of

Operations.

(d)

Any

difference

between

net

change

in

unrealized

appreciation

(depreciation)

and

net

change

in

unrealized

appreciation

(depreciation)

on

investments

still

held

at

March

31,

2023

is

generally

due

to

investments

no

longer

held

or

categorized

as

Level

3

at

period

end.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Impact

Mortgage

Fund

22

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(a)

GoodLeap

Sustainable

Home

Solutions

Trust,

Series

2023-1GS,

Class

A,

5.52%,

02/22/55

(b)

.....................

USD

198

$

192,684

Mosaic

Solar

Loan

Trust

Series

2019-2A,

Class

A,

2.88%,

09/20/40

93

82,875

Series

2022-3A,

Class

A,

6.10%,

06/20/53

923

957,157

Series

2023-1A,

Class

A,

5.32%,

06/20/53

345

339,494

Total

Asset-Backed

Securities

—

0.3%

(Cost:

$1,557,592)

..............................

1,572,210

Non-Agency

Mortgage-Backed

Securities

Commercial

Mortgage-Backed

Securities

—

1.3%

BAMLL

Commercial

Mortgage

Securities

Trust,

Series

2018-DSNY,

Class

A,

(1-mo.

LIBOR

USD

at

0.85%

Floor

+

0.85%),

5.54%,

09/15/34

(a)(c)

....................

427

417,298

BFLD

Trust,

Series

2019-DPLO,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.20%

Floor

+

1.20%),

6.03%,

10/15/34

(a)(c)

.........

45

44,319

BX

Trust

(a)(c)

Series

2021-LBA,

Class

AJV,

(1-mo.

CME

Term

SOFR

at

0.91%

Floor

+

0.91%),

5.74%,

02/15/36

...............

105

100,052

Series

2021-MFM1,

Class

C,

(1-mo.

CME

Term

SOFR

at

1.31%

Floor

+

1.31%),

6.14%,

01/15/34

...............

407

387,998

Series

2021-VIEW,

Class

A,

(1-mo.

LIBOR

USD

at

1.28%

Floor

+

1.28%),

5.96%,

06/15/36

....................

780

738,964

CFK

Trust,

Series

2020-MF2,

Class

B,

2.79%,

03/15/39

(a)

.....................

810

689,138

Citigroup

Commercial

Mortgage

Trust,

Series

2020-420K,

Class

B,

2.86%,

11/10/42

(a)

..

100

80,670

Commercial

Mortgage

Trust

Series

2017-COR2,

Class

AM,

3.80%,

09/10/50

....................

297

268,508

Series

2019-521F,

Class

B,

(1-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.78%,

06/15/34

(a)(c)

..................

923

822,903

Credit

Suisse

Mortgage

Capital

Certificates,

Series

2021-980M,

Class

A,

2.39%,

07/15/31

(a)

.....................

600

515,974

Hudson

Yards

Mortgage

Trust,

Series

2019-

30HY,

Class

D,

3.44%,

07/10/39

(a)(c)

....

526

419,231

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

(a)(c)

Series

2020-609M,

Class

A,

(1-mo.

LIBOR

USD

at

1.37%

Floor

+

1.37%),

6.05%,

10/15/33

....................

1,400

1,275,206

Series

2020-609M,

Class

D,

(1-mo.

LIBOR

USD

at

2.77%

Floor

+

2.77%),

7.45%,

10/15/33

....................

400

330,254

MF1

Multifamily

Housing

Mortgage

Loan

Trust,

Series

2021-W10,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.07%

Floor

+

1.07%),

5.90%,

12/15/34

(a)(c)

...............

250

236,112

Morgan

Stanley

Capital

I

Trust,

Series

2018-

H3,

Class

B,

4.62%,

07/15/51

(c)

.......

533

475,649

6,802,276

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.6%

(c)

Arbor

Multifamily

Mortgage

Securities

Trust

(a)

Series

2020-MF1,

Class

XA,

0.96%,

05/15/53

....................

993

49,765

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Series

2021-MF3,

Class

XA,

0.74%,

10/15/54

....................

USD

1,461

$

60,750

BANK

Series

2020-BN29,

Class

XA,

1.34%,

11/15/53

....................

2,736

201,505

Series

2021-BN33,

Class

XA,

1.06%,

05/15/64

....................

9,630

556,471

Benchmark

Mortgage

Trust

Series

2020-B20,

Class

XA,

1.62%,

10/15/53

....................

10,983

829,432

Series

2020-B21,

Class

XA,

1.45%,

12/17/53

(a)

...................

2,716

208,887

CSAIL

Commercial

Mortgage

Trust

Series

2018-C14,

Class

XA,

0.55%,

11/15/51

....................

2,923

73,706

Series

2019-C16,

Class

XA,

1.55%,

06/15/52

....................

10,109

710,398

UBS

Commercial

Mortgage

Trust,

Series

2019-

C17,

Class

XA,

1.47%,

10/15/52

......

7,539

521,051

Wells

Fargo

Commercial

Mortgage

Trust,

Series

2021-C59,

Class

XA,

1.53%,

04/15/54

......................

2,464

209,121

3,421,086

Total

Non-Agency

Mortgage-Backed

Securities

—

1.9%

(Cost:

$11,572,442)

..............................

10,223,362

U.S.

Government

Sponsored

Agency

Securities

Collateralized

Mortgage

Obligations

—

0.3%

Federal

National

Mortgage

Association,

Series

2011-8,

Class

ZA,

4.00%, 02/25/41

.....

740

717,058

Government

National

Mortgage

Association,

Series

2016-123,

Class

LM,

3.00%, 09/20/46

.................

500

430,365

Government

National

Mortgage

Association

Variable

Rate

Notes,

Series

2014-107,

Class

WX,

6.72%, 07/20/39

(c)

.............

554

579,396

1,726,819

Commercial

Mortgage-Backed

Securities

—

0.8%

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates

Variable

Rate

Notes,

Series

KSG4,

Class

A2,

3.40%, 08/25/32

(c)

.............

5,000

4,671,763

Interest

Only

Collateralized

Mortgage

Obligations

—

1.2%

Federal

National

Mortgage

Association

Series

2020-32,

4.00%, 05/25/50

......

1,388

268,948

Series

2020-32,

Class

PI,

4.00%, 05/25/50

1,434

277,906

Government

National

Mortgage

Association

Series

2020-115,

Class

IM,

3.50%, 08/20/50

1,633

273,664

Series

2020-146,

Class

DI,

2.50%, 10/20/50

(b)

..............

2,381

308,247

Series

2020-149,

Class

IA,

2.50%, 10/20/50

15,545

2,160,691

Series

2020-175,

Class

DI,

2.50%, 11/20/50

783

104,611

Series

2020-185,

Class

MI,

2.50%, 12/20/50

2,862

383,170

Series

2021-159,

Class

IH,

3.00%, 09/20/51

8,476

1,253,184

Series

2022-127,

Class

IA,

3.50%, 03/20/52

(b)

..............

7,092

1,348,566

6,378,987

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.3%

(c)

Federal

Home

Loan

Mortgage

Corp.

Multifamily

Structured

Pass-Through

Certificates

Variable

Rate

Notes

Series

K105,

Class

X1,

1.52%, 01/25/30

.

1

98

BlackRock

Impact

Mortgage

Fund

Schedules

of

Investments

23

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Interest

Only

Commercial

Mortgage-Backed

Securities

(continued)

Series

K116,

Class

X1,

1.42%, 07/25/30

.

USD

1,404

$

111,172

Series

K119,

Class

X1,

0.93%, 09/25/30

.

2,354

127,649

Series

K120,

Class

X1,

1.04%, 10/25/30

.

1,965

117,018

Series

K122,

Class

X1,

0.88%, 11/25/30

.

3,421

176,225

Federal

National

Mortgage

Association

ACES

Variable

Rate

Notes,

Series

2020-M21,

Class

AX,

1.56%, 01/25/58

..........

3,243

442,852

Government

National

Mortgage

Association

Variable

Rate

Notes

Series

2005-9,

0.30%, 01/16/45

.......

752

7

Series

2005-50,

0.32%, 06/16/45

......

1,397

6,933

Series

2006-30,

2.73%, 05/16/46

......

219

2

Series

2016-22,

0.72%, 11/16/55

......

13,090

311,056

Series

2016-151,

0.81%, 06/16/58

.....

4,041

147,431

Series

2017-30,

0.59%, 08/16/58

......

2,232

60,473

Series

2017-61,

0.75%, 05/16/59

......

1,705

63,602

1,564,518

Mortgage-Backed

Securities

—

158.4%

Federal

Home

Loan

Mortgage

Corp.

2.50%, 03/01/30

-

04/01/31

..........

848

802,557

3.00%, 09/01/27

-

08/01/30

..........

706

676,770

4.50%, 02/01/39

-

08/01/48

..........

1,347

1,348,081

5.00%, 04/01/36

-

11/01/48

..........

582

594,595

5.50%, 06/01/41

.................

510

530,419

Federal

National

Mortgage

Association,

3.50%, 11/01/46

.................

850

799,274

Government

National

Mortgage

Association

2.00%, 08/20/50

-

04/20/51

..........

9,688

8,223,732

2.00%, 04/15/53

(d)

................

19,242

16,345,654

2.50%, 02/20/51

-

01/20/52

..........

24,574

21,366,926

2.50%, 04/15/53

(d)

................

972

855,360

3.00%, 02/15/45

-

12/20/51

..........

29,059

26,723,166

3.00%, 04/15/53

(d)

................

708

644,884

3.50%, 01/20/41

-

02/20/52

..........

56,243

53,094,502

3.50%, 04/15/53

(d)

................

575

539,040

4.00%, 04/20/39

-

01/20/52

..........

31,077

30,060,707

4.00%, 04/15/53

(d)

................

405

389,909

4.50%, 12/20/39

-

08/20/50

..........

4,430

4,412,639

4.50%, 04/15/53

(d)

................

359

353,598

5.00%, 12/15/38

-

06/20/52

..........

4,968

5,059,065

5.00%, 04/15/53

(d)

................

213

213,266

5.50%, 09/20/52

-

03/20/53

..........

4,876

4,970,955

5.50%, 04/15/53

(d)

................

162

163,832

6.00%, 10/20/52

-

12/20/52

..........

2,456

2,542,599

6.50%, 12/20/52

-

03/20/53

..........

2,593

2,692,895

Uniform

Mortgage-Backed

Securities

1.50%, 04/25/38

(d)

................

2,971

2,611,840

1.50%, 11/01/41

-

03/01/51

..........

11,402

9,233,885

2.00%, 10/01/31

-

03/01/52

..........

49,257

41,101,451

2.00%, 04/25/38

-

04/25/53

(d)

.........

68,291

58,106,114

2.50%, 04/01/30

-

03/01/52

..........

14,423

12,990,248

2.50%, 04/25/53

(d)

................

111,450

96,055,883

3.00%, 04/01/28

-

08/01/52

..........

26,073

23,653,601

3.00%, 04/25/53

-

05/25/53

(d)

.........

45,397

40,743,488

3.50%, 11/01/28

-

07/01/52

..........

6,942

6,555,095

3.50%, 08/01/52

(e)

................

27,161

25,246,939

3.50%, 04/25/53

(d)

................

18,412

17,108,254

4.00%, 09/01/33

-

09/01/52

..........

19,207

18,372,764

4.00%, 08/01/52

(f)

................

91,550

87,562,999

4.00%, 04/25/53

(d)

................

1,162

1,111,349

4.50%, 02/01/25

-

03/01/53

..........

57,542

56,442,073

4.50%, 07/01/52

-

08/01/52

(f)

.........

61,517

60,893,282

4.50%, 08/01/52

-

09/01/52

(e)

.........

44,226

43,439,194

5.00%, 11/01/32

-

03/01/53

..........

34,000

33,924,451

Security

Par

(000)

Par

(000)

Value

Mortgage-Backed

Securities

(continued)

5.00%, 08/01/52

(e)

................

USD

46,939

$

46,877,781

5.00%, 04/25/53

(d)

................

607

605,388

5.50%, 02/01/35

-

04/01/41

..........

1,582

1,633,350

5.50%, 04/25/53

(d)

................

985

994,946

6.00%, 04/01/35

-

06/01/41

..........

1,450

1,508,641

6.00%, 04/25/53

(d)

................

2,800

2,857,859

6.50%, 05/01/40

.................

312

328,315

873,363,615

Total

U.S.

Government

Sponsored

Agency

Securities

—

161.0%

(Cost:

$917,506,519)

.............................

887,705,702

Total

Long-Term

Investments

—

163.2%

(Cost:

$930,636,553)

.............................

899,501,274

Shares

Shares

Short-Term

Securities

Money

Market

Funds

—

26.0%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(g)(h)

.................

143,173,245

143,173,245

Total

Short-Term

Securities

—

26.0%

(Cost:

$143,173,245)

.............................

143,173,245

Total

Options

Purchased

—

0.0%

(Cost:

$113,822)

................................

109,609

Total

Investments

Before

Options

Written

and

TBA

Sale

Commitments

—

189.2%

(Cost:

$1,073,923,620

)

...........................

1,042,784,128

Total

Options

Written

—

(0.2)%

(Premium

Received

—

$(1,053,890))

..................

(957,997)

Par

(000)

Pa

r

(

000)

TBA

Sale

Commitments

(d)

Mortgage-Backed

Securities

—

(57.7)%

Government

National

Mortgage

Association

2.50%

,

 04/15/53

.................

(887)

(780,472)

3.00%

,

 04/15/53

.................

(4,602)

(4,192,127)

3.50%

,

 04/15/53

.................

(3,584)

(3,360,307)

4.00%

,

 04/15/53

.................

(1,693)

(1,629,916)

4.50%

,

 04/15/53

.................

(314)

(309,275)

5.00%

,

 04/15/53

.................

(102)

(102,127)

Uniform

Mortgage-Backed

Securities

2.50%

,

 04/25/38

.................

(2,313)

(2,146,570)

3.00%

,

 04/25/38

-

04/25/53

..........

(5,879)

(5,354,226)

3.50%

,

 04/25/38

-

05/25/53

..........

(30,699)

(28,571,882)

1.50%

,

 04/25/53

.................

(786)

(616,975)

2.00%

,

 04/25/53

.................

(2,053)

(1,697,430)

4.00%

,

 04/25/53

.................

(89,345)

(85,450,561)

4.50%

,

 04/25/53

.................

(144,297)

(141,381,596)

5.00%

,

 04/25/53

.................

(38,836)

(38,732,842)

5.50%

,

 04/25/53

.................

(790)

(797,977)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Impact

Mortgage

Fund

24

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

Security

Par

(000)

Par

(000)

Value

Mortgage-Backed

Securities

(continued)

6.00%

,

 04/25/53

.................

USD

(2,800)

$

(2,857,859)

Total

TBA

Sale

Commitments

—

(57.7)%

(Proceeds:

$(312,853,714))

........................

(317,982,142)

Total

Investments

Net

of

Options

Written

and

TBA

Sale

Commitments

—

131.3%

(Cost:

$760,016,016

)

.............................

723,843,989

Liabilities

in

Excess

of

Other

Assets

—

(31.3)%

...........

(172,581,249)

Net

Assets

—

100.0%

..............................

$

551,262,740

(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)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(c)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(d)

Represents

or

includes

a

TBA

transaction.

(e)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

TBA

commitments.

(f)

All

or

a

portion

of

the

security

has

been

pledged

as

collateral

in

connection

with

outstanding

reverse

repurchase

agreements.

(g)

Annualized

7-day

yield

as

of

period

end.

(h)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

4,244,707

$

138,928,538

(a)

$

—

$

—

$

—

$

143,173,245

143,173,245

$

318,234

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

Reverse

Repurchase

Agreements

Counterparty

Interest

Rate

Trade

Date

Maturity

Date

Face

Value

Face

Value

Including

Accrued

Interest

Type

of

Non-Cash

Underlying

Collateral

Remaining

Contractual

Maturity

of

the

Agreements

Credit

Agricole

Corporate

&

Investment

Bank

SA

...

4.92

%

03/10/23

04/13/23  

$

19,982,960

$

20,034,849

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

Credit

Agricole

Corporate

&

Investment

Bank

SA

...

4.92

03/10/23

04/13/23  

46,406,123

46,526,624

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

Credit

Agricole

Corporate

&

Investment

Bank

SA

...

4.92

03/10/23

04/13/23  

30,442,072

30,521,120

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

Credit

Agricole

Corporate

&

Investment

Bank

SA

...

4.92

03/10/23

04/13/23  

27,940,630

28,013,183

U.S.

Government

Sponsored

Agency

Securities

Up

to

30

Days

$

124,771,785

$

125,095,776

BlackRock

Impact

Mortgage

Fund

Schedules

of

Investments

25

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

U.S.

Treasury

2

Year

Note

....................................................

70

06/30/23

$

14,462

$

(16,770)

Short

Contracts

U.S.

Treasury

10

Year

Note

...................................................

90

06/21/23

10,356

(30,097)

U.S.

Treasury

10

Year

Ultra

Note

...............................................

31

06/21/23

3,759

(19,425)

U.S.

Treasury

Long

Bond

.....................................................

24

06/21/23

3,153

(38,166)

U.S.

Treasury

5

Year

Note

....................................................

126

06/30/23

13,816

(123,536)

(211,224)

$

(227,994)

OTC

Interest

Rate

Swaptions

Purchased

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.09%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

%

USD

239

$

13,039

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.08%

Semi-Annual

Bank

of

America

NA

03/30/26

3.08

USD

814

44,138

57,177

Put

10-Year

Interest

Rate

Swap

(a)

3.09%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

USD

239

11,809

10-Year

Interest

Rate

Swap

(a)

3.08%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/30/26

3.08

USD

814

40,623

52,432

$

109,609

(a)

Forward

settling

swaption.

OTC

Interest

Rate

Swaptions

Written

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

2.60%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

04/12/23

2.60

%

USD

2,300

$

(130)

2-Year

Interest

Rate

Swap

(a)

.

3.99%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

08/08/23

3.99

USD

10,200

(102,682)

2-Year

Interest

Rate

Swap

(a)

.

4.07%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

08/14/23

4.07

USD

10,200

(115,090)

10-Year

Interest

Rate

Swap

(a)

3.00%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/13/24

3.00

USD

2,200

(71,559)

10-Year

Interest

Rate

Swap

(a)

3.05%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

03/13/24

3.05

USD

1,100

(38,333)

10-Year

Interest

Rate

Swap

(a)

3.15%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

03/13/24

3.15

USD

1,100

(43,015)

10-Year

Interest

Rate

Swap

(a)

2.95%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

127

(6,187)

10-Year

Interest

Rate

Swap

(a)

3.02%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.02

USD

441

(22,761)

10-Year

Interest

Rate

Swap

(a)

3.12%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.12

USD

386

(21,467)

10-Year

Interest

Rate

Swap

(a)

3.14%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.14

USD

514

(29,040)

(450,264)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Impact

Mortgage

Fund

26

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Interest

Rate

Swaptions

Written

(continued)

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Put

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

2.60%

Semi-Annual

Bank

of

America

NA

04/12/23

2.60

%

USD

2,300

$

(118,733)

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

3.99%

Semi-Annual

Bank

of

America

NA

08/08/23

3.99

USD

10,200

(53,385)

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

4.07%

Semi-Annual

Deutsche

Bank

AG

08/14/23

4.07

USD

10,200

(47,069)

2-Year

Interest

Rate

Swap

(a)

.

1-day

SOFR

Annual

4.15%

Semi-Annual

Deutsche

Bank

AG

12/11/23

4.15

USD

16,600

(66,320)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.00%

Semi-Annual

Bank

of

America

NA

03/13/24

3.00

USD

2,200

(78,967)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.05%

Semi-Annual

Deutsche

Bank

AG

03/13/24

3.05

USD

1,100

(37,081)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.15%

Semi-Annual

Deutsche

Bank

AG

03/13/24

3.15

USD

1,100

(33,202)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

2.95%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

127

(6,871)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.02%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.02

USD

441

(22,790)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.12%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.12

USD

386

(18,722)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.14%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.14

USD

514

(24,593)

(507,733)

$

(957,997)

(a)

Forward

settling

swaption.

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

Annual

4.18%

Annual

03/23/25

USD

9,100

$

13,773

$

—

$

13,773

2.16%

Annual

1-day

SOFR

Annual

04/01/32

USD

3,500

303,510

—

303,510

2.65%

Annual

1-day

SOFR

Annual

06/02/32

USD

1,100

52,558

—

52,558

1-day

SOFR

Annual

3.64%

Annual

09/28/32

USD

3,000

101,130

5,778

95,352

3.16%

Annual

1-day

SOFR

Annual

01/18/33

USD

1,000

5,774

—

5,774

3.12%

Annual

1-day

SOFR

Annual

02/06/33

USD

3,100

26,120

—

26,120

1-day

SOFR

Annual

2.10%

Annual

03/21/33

USD

3,900

(364,071)

—

(364,071)

$

138,794

$

5,778

$

133,016

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1

-

day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

%

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

5,778

$

—

$

497,087

$

(364,071)

$

—

Options

Written

...................................................

N/A

N/A

215,848

(119,955)

(957,997)

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

BlackRock

Impact

Mortgage

Fund

Schedules

of

Investments

27

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Options

purchased

(a)

Investments

at

value

—

unaffiliated

(b)

...........

$

—

$

—

$

—

$

—

$

109,609

$

—

$

109,609

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(c)

.

—

—

—

—

497,087

—

497,087

$

—

$

—

$

—

$

—

$

606,696

$

—

$

606,696

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(c)

.....

$

—

$

—

$

—

$

—

$

227,994

$

—

$

227,994

Options

written

(a)

Options

written

at

value

.....................

—

—

—

—

957,997

—

957,997

Swaps

—

centrally

cleared

Unrealized

depreciation

on

centrally

cleared

swaps

(c)

.

—

—

—

—

364,071

—

364,071

$

—

$

—

$

—

$

—

$

1,550,062

$

—

$

1,550,062

(a)

Includes

forward

settling

swaptions.

(b)

Includes

options

purchased

at

value

as

reported

in

the

Schedule

of

Investments.

(c)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

(1,887,558)

$

—

$

(1,887,558)

Forward

foreign

currency

exchange

contracts

....

—

—

—

3,019

—

—

3,019

Options

purchased

(a)

....................

—

—

—

—

(11,203)

—

(11,203)

Options

written

........................

—

—

—

—

2,214,504

—

2,214,504

Swaps

..............................

—

—

—

—

(2,289,272)

—

(2,289,272)

$

—

$

—

$

—

$

3,019

$

(1,973,529)

$

—

$

(1,970,510)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

523,573

$

—

$

523,573

Forward

foreign

currency

exchange

contracts

....

—

—

—

(3,020)

—

—

(3,020)

Options

purchased

(b)

....................

—

—

—

—

(4,659)

—

(4,659)

Options

written

........................

—

—

—

—

1,907,551

—

1,907,551

Swaps

..............................

—

—

—

—

(911,053)

—

(911,053)

$

—

$

—

$

—

$

(3,020)

$

1,515,412

$

—

$

1,512,392

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

12,343,242

Average

notional

value

of

contracts

—

short

.................................................................................

$

51,630,680

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

—

(a)

Average

amounts

sold

—

in

USD

........................................................................................

$

—

(a)

Options

Average

notional

value

of

swaption

contracts

purchased

.........................................................................

$

1,052,800

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

71,818,000

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

37,250,000

Average

notional

value

—

receives

fixed

rate

................................................................................

$

48,450,000

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Impact

Mortgage

Fund

28

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

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.

(a)

Derivative

financial

instrument

not

held

at

any

quarter-end.

The

risk

exposure

table

serves

as

an

indicator

of

activity

during

the

period.

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

9,844

$

116,176

Options

(a)(b)

........................................................................................

109,609

957,997

Swaps

—

centrally

cleared

..............................................................................

—

6,815

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

119,453

$

1,080,988

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(9,844)

(122,991)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

109,609

$

957,997

(a)

Includes

options

purchased

at

value

which

is

included

in

Investments

at

value

–

unaffiliated

in

the

Statements

of

Assets

and

Liabilities

and

reported

in

the

Schedule

of

Investments.

(b)

Includes

forward

settling

swaptions.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

Net

Amount

of

Derivative

Assets

(b)

Bank

of

America

NA

..............................

$

84,761

$

(84,761)

$

—

$

—

$

—

Morgan

Stanley

&

Co.

International

plc

..................

24,848

(13,058)

—

—

11,790

$

109,609

$

(97,819)

$

—

$

—

$

11,790

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

(c)

Net

Amount

of

Derivative

Liabilities

(d)

Bank

of

America

NA

..............................

$

425,456

$

(84,761)

$

—

$

(340,695)

$

—

Deutsche

Bank

AG

...............................

380,110

—

—

(137,000)

243

,110

Goldman

Sachs

International

........................

139,373

—

—

—

139,373

Morgan

Stanley

&

Co.

International

plc

..................

13,058

(13,058)

—

—

—

$

957,997

$

(97,819)

$

—

$

(477,695)

$

382

,

483

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(c)

Excess

of

collateral

received/pledged,

if

any,

from

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

(d)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

....................................

$

—

$

1,379,526

$

192,684

$

1,572,210

Non-Agency

Mortgage-Backed

Securities

........................

—

10,223,362

—

10,223,362

U.S.

Government

Sponsored

Agency

Securities

....................

—

886,048,889

1,656,813

887,705,702

BlackRock

Impact

Mortgage

Fund

Schedules

of

Investments

29

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Short-Term

Securities

Money

Market

Funds

......................................

$

143,173,245

$

—

$

—

$

143,173,245

Options

Purchased

Interest

rate

contracts

......................................

—

109,609

—

109,609

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(317,982,142)

—

(317,982,142)

$

143,173,245

$

579,779,244

$

1,849,497

$

724,801,986

Derivative

Financial

Instruments

(a)

Assets

Interest

rate

contracts

.......................................

$

—

$

497,087

$

—

$

497,087

Liabilities

Interest

rate

contracts

.......................................

(227,994)

(1,322,068)

—

(1,550,062)

$

(227,994)

$

(824,981)

$

—

$

(1,052,975)

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts

and

options

written.

Swaps

and

futures

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

The

Fund

may

hold

assets

and/or

liabilities

in

which

the

fair

value

approximates

the

carrying

amount

or

face

value,

including

accrued

interest,

for

financial

statement

purposes.

As

of

period

end,

reverse

repurchase

agreements

of

$125,095,776

are

categorized

as

Level

2

within

the

fair

value

hierarchy.

Fair

Value

Hierarchy

as

of Period

End

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

30

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

AGL

CLO

11

Ltd.,

Series

2021-11A,

Class

D,

(3-mo.

LIBOR

USD

at

3.15%

Floor

+

3.15%),

7.94%,

04/15/34

(a)(b)

.........

USD

1,000

$

919,118

AGL

CLO

12

Ltd.,

Series

2021-12A,

Class

C,

(3-mo.

LIBOR

USD

at

1.85%

Floor

+

1.85%),

6.66%,

07/20/34

(a)(b)

.........

1,000

951,962

AGL

CLO

5

Ltd.,

Series

2020-5A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

07/20/34

(a)(b)

.........

1,000

977,017

AIG

CLO

LLC

(a)(b)

Series

2018-1A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.93%,

04/20/32

....................

4,000

3,940,308

Series

2018-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.86%,

04/20/32

....................

1,000

968,445

Series

2021-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.92%,

04/22/34

....................

3,000

2,921,304

Series

2021-2A,

Class

B,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.56%,

07/20/34

....................

1,000

968,460

Series

2021-2A,

Class

D,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.86%,

07/20/34

....................

500

455,965

Series

2021-3A,

Class

A,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.98%,

01/25/35

....................

3,250

3,167,250

AIG

CLO

Ltd.

(a)(b)

Series

2019-1A,

Class

BR,

(3-mo.

CME

Term

SOFR

at

1.85%

Floor

+

1.85%),

6.48%,

04/18/35

...............

2,000

1,929,578

Series

2019-2A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.92%,

10/25/33

....................

2,000

1,961,129

AIMCO

CLO

14

Ltd.,

Series

2021-14A,

Class

A,

(3-mo.

LIBOR

USD

at

0.99%

Floor

+

0.99%),

5.80%,

04/20/34

(a)(b)

.........

4,000

3,870,226

Ajax

Mortgage

Loan

Trust

(b)

Series

2019-E,

Class

B,

4.88%,

09/25/59

(c)

45

44,532

Series

2019-E,

Class

C,

0.00%,

09/25/59

574

571,232

Anchorage

Capital

CLO

18

Ltd.,

Series

2021-

18A,

Class

C,

(3-mo.

LIBOR

USD

+

2.25%),

7.04%,

04/15/34

(a)(b)

...............

1,000

967,969

Apidos

CLO

XXIX,

Series

2018-29A,

Class

B,

(3-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.72%,

07/25/30

(a)(b)

.........

1,000

952,343

Apidos

CLO

XXXVII,

Series

2021-37A,

Class

A,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.95%,

10/22/34

(a)(b)

.........

4,200

4,097,928

Ares

XXXVII

CLO

Ltd.,

Series

2015-4A,

Class

BR,

(3-mo.

LIBOR

USD

+

1.80%),

6.59%,

10/15/30

(a)(b)

....................

250

240,565

Ballyrock

CLO

16

Ltd.,

Series

2021-16A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.94%,

07/20/34

(a)(b)

.........

2,000

1,947,698

Ballyrock

CLO

Ltd.,

Series

2019-2A,

Class

CR,

(3-mo.

LIBOR

USD

at

3.15%

Floor

+

3.15%),

8.07%,

11/20/30

(a)(b)

.........

1,000

932,485

Battalion

CLO

17

Ltd.,

Series

2021-17A,

Class

C,

(3-mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.91%,

03/09/34

(a)(b)

.........

1,000

937,968

Bear

Stearns

Asset-Backed

Securities

I

Trust,

Series

2007-HE5,

Class

1A4,

(1-mo.

LIBOR

USD

at

0.30%

Floor

+

0.30%),

5.15%,

06/25/47

(a)

.....................

3,300

3,128,748

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Benefit

Street

Partners

CLO

X

Ltd.,

Series

2016-10A,

Class

BRR,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.96%,

04/20/34

(a)

(b)

...........................

USD

1,250

$

1,186,981

Benefit

Street

Partners

CLO

XXI

Ltd.,

Series

2020-21A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.17%

Floor

+

1.17%),

5.96%,

10/15/34

(a)(b)

1,500

1,468,515

Canyon

CLO

Ltd.

(a)(b)

Series

2020-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.84%,

07/15/34

....................

1,000

954,550

Series

2020-1A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.15%

Floor

+

3.15%),

7.94%,

07/15/34

....................

1,000

902,000

Series

2021-3A,

Class

B,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.49%,

07/15/34

....................

2,000

1,919,183

Carlyle

US

CLO

Ltd.

(a)(b)

Series

2019-3A,

Class

BR,

(3-mo.

LIBOR

USD

at

2.30%

Floor

+

2.30%),

7.11%,

10/20/32

....................

1,000

975,494

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

04/15/34

....................

2,810

2,742,651

Series

2021-3SA,

Class

A1,

(3-mo.

LIBOR

USD

at

1.06%

Floor

+

1.06%),

5.85%,

04/15/34

....................

700

685,550

CarVal

CLO

II

Ltd.

(a)(b)

Series

2019-1A,

Class

ANR,

(3-mo.

LIBOR

USD

at

1.11%

Floor

+

1.11%),

5.92%,

04/20/32

....................

2,000

1,965,735

Series

2019-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.31%,

04/20/32

....................

950

916,261

CarVal

CLO

VII-C

Ltd.,

Series

2023-1A,

Class

B1,

(3-mo.

CME

Term

SOFR

at

2.75%

Floor

+

2.75%),

7.43%,

01/20/35

(a)(b)

........

1,500

1,491,684

Cedar

Funding

XII

CLO

Ltd.,

Series

2020-12A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.95%,

10/25/34

(a)(b)

....

1,250

1,212,099

Cedar

Funding

XIV

CLO

Ltd.,

Series

2021-14A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

07/15/33

(a)(b)

........

2,000

1,965,697

CIFC

Funding

2019-II

Ltd.,

Series

2019-2A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.50%

Floor

+

1.50%),

6.29%,

04/17/34

(a)(b)

....

1,000

962,911

CIFC

Funding

2021-I

Ltd.,

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.11%

Floor

+

1.11%),

5.93%,

04/25/33

(a)(b)

........

2,000

1,969,398

CIFC

Funding

Ltd.

(a)(b)

Series

2013-2A,

Class

A3LR,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.74%,

10/18/30

....................

500

475,319

Series

2013-4A,

Class

CRR,

(3-mo.

LIBOR

USD

at

1.90%

Floor

+

1.90%),

6.71%,

04/27/31

....................

1,000

971,356

Series

2015-4A,

Class

A1A2,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/34

....................

1,980

1,939,858

Series

2016-1A,

Class

BRR,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.52%,

10/21/31

....................

1,000

970,713

Series

2017-1A,

Class

D,

(3-mo.

LIBOR

USD

+

3.50%),

8.32%,

04/23/29

....

1,000

964,851

BlackRock

Income

Fund

Schedules

of

Investments

31

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2019-1A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.10%

Floor

+

3.10%),

7.91%,

04/20/32

....................

USD

1,250

$

1,193,576

Series

2021-7A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.95%,

01/23/35

....................

4,000

3,900,568

Dryden

77

CLO

Ltd.,

Series

2020-77A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

6.04%,

05/20/34

(a)(b)

.........

5,000

4,881,155

Dryden

XXVI

Senior

Loan

Fund,

Series

2013-26A,

Class

CR,

(3-mo.

LIBOR

USD

+

1.85%),

6.64%,

04/15/29

(a)(b)

.........

1,000

972,445

Eaton

Vance

CLO

Ltd.,

Series

2015-1A,

Class

CR,

(3-mo.

LIBOR

USD

+

1.90%),

6.71%,

01/20/30

(a)(b)

....................

763

728,488

Elmwood

CLO

15

Ltd.,

Series

2022-2A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

1.34%

Floor

+

1.34%),

5.99%,

04/22/35

(a)(b)

........

3,000

2,935,099

Elmwood

CLO

II

Ltd.,

Series

2019-2A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

04/20/34

(a)(b)

.........

2,000

1,952,447

Elmwood

CLO

IV

Ltd.,

Series

2020-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.03%,

04/15/33

(a)(b)

.........

1,900

1,872,512

Elmwood

CLO

V

Ltd.,

Series

2020-2A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.96%,

10/20/34

(a)(b)

.........

3,250

3,174,359

Elmwood

CLO

VII

Ltd.,

Series

2020-4A,

Class

A,

(3-mo.

LIBOR

USD

at

1.39%

Floor

+

1.39%),

6.18%,

01/17/34

(a)(b)

.........

2,000

1,971,908

Elmwood

CLO

VIII

Ltd.,

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.05%,

01/20/34

(a)(b)

.........

3,100

3,036,281

Elmwood

CLO

XII

Ltd.,

Series

2021-5A,

Class

B,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.51%,

01/20/35

(a)(b)

.........

3,000

2,906,089

Flatiron

CLO

19

Ltd.,

Series

2019-1A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.95%,

11/16/34

(a)(b)

.........

2,000

1,960,965

Galaxy

XVIII

CLO

Ltd.,

Series

2018-28A,

Class

C,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.74%,

07/15/31

(a)(b)

.........

500

468,824

Generate

CLO

6

Ltd.

(a)(b)

Series

6A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.02%,

01/22/35

2,950

2,865,994

Series

6A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.45%

Floor

+

2.45%),

7.27%,

01/22/35

1,500

1,416,579

Generate

CLO

9

Ltd.,

Series

9A,

Class

D,

(3-

mo.

LIBOR

USD

at

3.35%

Floor

+

3.35%),

8.16%,

10/20/34

(a)(b)

...............

1,000

870,857

GoldenTree

Loan

Management

US

CLO

10

Ltd.,

Series

2021-10A,

Class

A,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.91%,

07/20/34

(a)(b)

...............

1,510

1,466,612

Golub

Capital

Partners

CLO

41B-R

Ltd.,

Series

2019-41A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.32%

Floor

+

1.32%),

6.13%,

01/20/34

(a)(b)

2,625

2,584,607

Golub

Capital

Partners

CLO

52B

Ltd.,

Series

2020-52A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.44%

Floor

+

1.44%),

6.25%,

01/20/34

(a)(b)

3,000

2,959,092

Golub

Capital

Partners

CLO

53B

Ltd.

(a)(b)

Series

2021-53A,

Class

B,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.61%,

07/20/34

....................

1,500

1,459,039

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2021-53A,

Class

C,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.86%,

07/20/34

....................

USD

1,000

$

949,981

Greene

King

Finance

plc,

Series

B1,  (Sterling

Overnight

Index

Average

+

1.92%),

6.10%,

12/15/34

(a)

.....................

GBP

100

93,831

GT

Loan

Financing

I

Ltd.,

Series

2013-1A,

Class

CR,

(3-mo.

LIBOR

USD

+

2.10%),

6.90%,

07/28/31

(a)(b)

...............

USD

1,000

977,912

Gulf

Stream

Meridian

4

Ltd.,

Series

2021-4A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

5.99%,

07/15/34

(a)(b)

....

2,250

2,205,654

HalseyPoint

CLO

3

Ltd.,

Series

2020-3A,

Class

B1,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.95%,

11/30/32

(a)(b)

.........

1,500

1,469,703

HalseyPoint

CLO

4

Ltd.

(a)(b)

Series

2021-4A,

Class

A,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.03%,

04/20/34

....................

3,000

2,927,902

Series

2021-4A,

Class

B,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.56%,

04/20/34

....................

700

670,924

Harbor

Park

CLO

18-1

Ltd.,

Series

2018-1A,

Class

D,

(3-mo.

LIBOR

USD

at

2.90%

Floor

+

2.90%),

7.71%,

01/20/31

(a)(b)

........

1,000

917,298

Invesco

CLO

Ltd.,

Series

2021-3A,

Class

A,

(3-

mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.95%,

10/22/34

(a)(b)

...............

2,172

2,112,570

KKR

CLO

27

Ltd.,

Series

27A,

Class

DR,

(3-mo.

CME

Term

SOFR

at

3.25%

Floor

+

3.25%),

7.91%,

10/15/32

(a)(b)

.........

1,000

886,668

Legacy

Mortgage

Asset

Trust,

Series

2019-

SL2,

Class

A,

3.38%,

02/25/59

(a)(b)

.....

1,369

1,275,773

Madison

Park

Funding

XLVIII

Ltd.,

Series

2021-

48A,

Class

A,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.95%,

04/19/33

(a)(b)

....

1,000

986,208

Madison

Park

Funding

XXXVIII

Ltd.,

Series

2021-38A,

Class

A,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

07/17/34

(a)(b)

1,500

1,463,678

Morgan

Stanley

ABS

Capital

I,

Inc.

Trust,

Series

2007-HE6,

Class

A2,

(1-mo.

LIBOR

USD

at

0.14%

Floor

+

0.14%),

4.99%,

05/25/37

(a)

.....................

2,341

2,041,877

Neuberger

Berman

CLO

XVII

Ltd.,

Series

2014-17A,

Class

CR2,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.82%,

04/22/29

(a)

(b)

...........................

1,000

963,455

Neuberger

Berman

CLO

XX

Ltd.,

Series

2015-

20A,

Class

DRR,

(3-mo.

LIBOR

USD

at

2.95%

Floor

+

2.95%),

7.74%,

07/15/34

(a)(b)

1,150

1,076,210

Neuberger

Berman

CLO

XXII

Ltd.,

Series

2016-22A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.20%

Floor

+

2.20%),

6.99%,

10/17/30

(a)(b)

1,000

964,176

Neuberger

Berman

Loan

Advisers

CLO

27

Ltd.,

Series

2018-27A,

Class

C,

(3-mo.

LIBOR

USD

+

1.70%),

6.49%,

01/15/30

(a)(b)

....

1,000

966,736

Neuberger

Berman

Loan

Advisers

CLO

31

Ltd.,

Series

2019-31A,

Class

CR,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.76%,

04/20/31

(a)(b)

....................

1,000

965,095

Neuberger

Berman

Loan

Advisers

CLO

35

Ltd.,

Series

2019-35A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.34%

Floor

+

1.34%),

6.14%,

01/19/33

(a)(b)

....................

2,500

2,470,118

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

32

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Neuberger

Berman

Loan

Advisers

CLO

37

Ltd.,

Series

2020-37A,

Class

CR,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.61%,

07/20/31

(a)(b)

....................

USD

1,000

$

970,914

Neuberger

Berman

Loan

Advisers

CLO

45

Ltd.,

Series

2021-45A,

Class

A,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.92%,

10/14/35

(a)(b)

....................

3,000

2,927,099

Neuberger

Berman

Loan

Advisers

CLO

47

Ltd.,

Series

2022-47A,

Class

A,

(3-mo.

CME

Term

SOFR

at

1.30%

Floor

+

1.30%),

5.93%,

04/14/35

(a)(b)

....................

2,000

1,953,346

OCP

CLO

Ltd.,

Series

2014-5A,

Class

CR,

(3-

mo.

LIBOR

USD

at

2.90%

Floor

+

2.90%),

7.72%,

04/26/31

(a)(b)

...............

1,000

883,641

Octagon

Investment

Partners

28

Ltd.,

Series

2016-1A,

Class

C1R,

(3-mo.

LIBOR

USD

at

2.25%

Floor

+

2.25%),

7.07%,

10/24/30

(a)(b)

1,000

958,226

Octagon

Investment

Partners

37

Ltd.,

Series

2018-2A,

Class

B,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.57%,

07/25/30

(a)(b)

1,000

950,470

Octagon

Investment

Partners

40

Ltd.,

Series

2019-1A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.35%

Floor

+

3.35%),

8.16%,

01/20/35

(a)(b)

1,000

886,922

OHA

Credit

Funding

10

Ltd.,

Series

2021-10A,

Class

A,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.92%,

01/18/36

(a)(b)

........

4,000

3,900,243

OHA

Credit

Funding

2

Ltd.,

Series

2019-2A,

Class

CR,

(3-mo.

LIBOR

USD

at

2.20%

Floor

+

2.20%),

7.02%,

04/21/34

(a)(b)

....

1,000

970,076

OHA

Credit

Funding

3

Ltd.,

Series

2019-3A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.95%,

07/02/35

(a)(b)

....

2,580

2,521,584

OHA

Credit

Funding

6

Ltd.,

Series

2020-6A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.15%

Floor

+

3.15%),

7.96%,

07/20/34

(a)(b)

....

1,250

1,187,699

OHA

Credit

Funding

7

Ltd.,

Series

2020-7A,

Class

AR,

(3-mo.

CME

Term

SOFR

at

1.30%

Floor

+

1.30%),

5.93%,

02/24/37

(a)(b)

....

3,250

3,174,769

OHA

Credit

Partners

XI

Ltd.,

Series

2015-11A,

Class

DR,

(3-mo.

LIBOR

USD

at

2.95%

Floor

+

2.95%),

7.76%,

01/20/32

(a)(b)

....

500

469,056

OHA

Loan

Funding

Ltd.,

Series

2015-1A,

Class

AR3,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.95%,

01/19/37

(a)(b)

.........

4,000

3,897,901

Option

One

Mortgage

Loan

Trust,

Series

2007-

FXD1,

Class

2A1,

5.87%,

01/25/37

(c)

....

842

706,861

Palmer

Square

CLO

Ltd.

(a)(b)

Series

2013-2A,

Class

A1A3,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.80%,

10/17/31

....................

1,900

1,876,272

Series

2015-1A,

Class

A2R4,

(3-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.62%,

05/21/34

....................

2,500

2,409,122

Series

2015-1A,

Class

CR4,

(3-mo.

LIBOR

USD

at

2.85%

Floor

+

2.85%),

7.77%,

05/21/34

....................

1,000

919,353

Series

2019-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.87%,

11/14/34

....................

1,000

956,004

Series

2019-1A,

Class

CR,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.92%,

11/14/34

....................

1,000

920,903

Series

2020-3A,

Class

A1AR,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.94%,

11/15/31

....................

1,500

1,476,753

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2021-2A,

Class

A,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/34

....................

USD

3,000

$

2,922,065

Series

2021-3A,

Class

D,

(3-mo.

LIBOR

USD

at

2.95%

Floor

+

2.95%),

7.74%,

01/15/35

....................

1,000

933,777

Series

2022-1A,

Class

D,

(3-mo.

CME

Term

SOFR

at

3.05%

Floor

+

3.05%),

7.69%,

04/20/35

....................

2,000

1,814,269

Pikes

Peak

CLO

12

Ltd.,

Series

2023-12A,

Class

A,

(3-mo.

CME

Term

SOFR

at

2.10%

Floor

+

2.10%),

7.04%,

04/20/36

(a)(b)

....

4,000

4,019,646

Pikes

Peak

CLO

3,

Series

2019-3A,

Class

CRR,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.97%,

10/25/34

(a)(b)

.........

1,000

965,383

Pikes

Peak

CLO

7

(a)(b)

Series

2021-7A,

Class

C,

(3-mo.

LIBOR

USD

at

2.20%

Floor

+

2.20%),

7.16%,

02/25/34

....................

1,000

968,211

Series

2021-7A,

Class

D,

(3-mo.

LIBOR

USD

at

3.40%

Floor

+

3.40%),

8.36%,

02/25/34

....................

1,000

890,917

Pikes

Peak

CLO

9,

Series

2021-9A,

Class

B,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.56%,

10/27/34

(a)(b)

.........

1,500

1,442,073

PPM

CLO

Ltd.,

Series

2018-1A,

Class

C,

(3-

mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.94%,

07/15/31

(a)(b)

...............

1,000

950,517

Progress

Residential

Trust,

Series

2019-SFR4,

Class

E,

3.44%,

10/17/36

(b)

..........

3,000

2,848,294

Rad

CLO

14

Ltd.,

Series

2021-14A,

Class

D,

(3-mo.

LIBOR

USD

at

3.00%

Floor

+

3.00%),

7.79%,

01/15/35

(a)(b)

.........

1,000

892,041

Regatta

VI

Funding

Ltd.,

Series

2016-1A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

04/20/34

(a)(b)

.........

2,910

2,841,656

Regatta

VII

Funding

Ltd.,

Series

2016-1A,

Class

DR2,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

8.01%,

06/20/34

(a)(b)

....

1,500

1,405,627

Regatta

XII

Funding

Ltd.,

Series

2019-1A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.10%

Floor

+

3.10%),

7.89%,

10/15/32

(a)(b)

....

1,000

941,080

Regatta

XV

Funding

Ltd.,

Series

2018-4A,

Class

A2,

(3-mo.

LIBOR

USD

at

1.85%

Floor

+

1.85%),

6.67%,

10/25/31

(a)(b)

....

2,000

1,950,466

Regatta

XVI

Funding

Ltd.,

Series

2019-2A,

Class

C,

(3-mo.

LIBOR

USD

at

2.70%

Floor

+

2.70%),

7.49%,

01/15/33

(a)(b)

........

1,000

986,760

Regatta

XVIII

Funding

Ltd.

(a)(b)

Series

2021-1A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.10%

Floor

+

1.10%),

5.89%,

01/15/34

....................

2,000

1,951,399

Series

2021-1A,

Class

B,

(3-mo.

LIBOR

USD

at

1.45%

Floor

+

1.45%),

6.24%,

01/15/34

....................

1,100

1,065,386

Regatta

XXIII

Funding

Ltd.,

Series

2021-4A,

Class

D,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.86%,

01/20/35

(a)(b)

........

1,000

940,512

Riserva

CLO

Ltd.,

Series

2016-3A,

Class

DRR,

(3-mo.

LIBOR

USD

at

3.25%

Floor

+

3.25%),

8.04%,

01/18/34

(a)(b)

.........

1,000

902,749

Rockford

Tower

CLO

Ltd.

(a)(b)

Series

2017-1A,

Class

CR2,

(3-mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.91%,

04/20/34

....................

1,000

945,512

BlackRock

Income

Fund

Schedules

of

Investments

33

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Series

2018-2A,

Class

C,

(3-mo.

LIBOR

USD

at

2.20%

Floor

+

2.20%),

7.01%,

10/20/31

....................

USD

500

$

479,621

Series

2021-1A,

Class

C,

(3-mo.

LIBOR

USD

at

2.00%

Floor

+

2.00%),

6.81%,

07/20/34

....................

1,000

947,027

Series

2021-2A,

Class

C,

(3-mo.

LIBOR

USD

at

2.10%

Floor

+

2.10%),

6.91%,

07/20/34

....................

1,000

945,743

Series

2021-2A,

Class

D,

(3-mo.

LIBOR

USD

at

3.25%

Floor

+

3.25%),

8.06%,

07/20/34

....................

1,000

864,411

RR

19

Ltd.,

Series

2021-19A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

10/15/35

(a)(b)

...............

1,750

1,708,665

RR

LLC,

Series

2017-1A,

Class

A1AB,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

07/15/35

(a)(b)

...............

2,375

2,316,923

Signal

Peak

CLO

8

Ltd.

(a)(b)

Series

2020-8A,

Class

A,

(3-mo.

LIBOR

USD

at

1.27%

Floor

+

1.27%),

6.08%,

04/20/33

....................

5,600

5,482,749

Series

2020-8A,

Class

B,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

04/20/33

....................

2,500

2,406,372

Sixth

Street

CLO

XVII

Ltd.,

Series

2021-17A,

Class

A,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.05%,

01/20/34

(a)(b)

........

1,000

979,077

Sixth

Street

CLO

XX

Ltd.,

Series

2021-20A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.97%,

10/20/34

(a)(b)

....

1,325

1,296,681

Sound

Point

CLO

XXIX

Ltd.,

Series

2021-1A,

Class

C1,

(3-mo.

LIBOR

USD

at

2.30%

Floor

+

2.30%),

7.12%,

04/25/34

(a)(b)

....

1,000

941,610

Southwick

Park

CLO

LLC,

Series

2019-4A,

Class

CR,

(3-mo.

LIBOR

USD

at

1.95%

Floor

+

1.95%),

6.76%,

07/20/32

(a)(b)

....

1,000

956,472

Symphony

CLO

XX

Ltd.,

Series

2018-20A,

Class

DR,

(3-mo.

LIBOR

USD

at

3.75%

Floor

+

3.75%),

8.54%,

01/16/32

(a)(b)

....

1,750

1,653,399

Symphony

CLO

XXIV

Ltd.,

Series

2020-24A,

Class

A,

(3-mo.

LIBOR

USD

at

1.20%

Floor

+

1.20%),

6.02%,

01/23/32

(a)(b)

........

1,500

1,482,592

Symphony

CLO

XXVIII

Ltd.,

Series

2021-28A,

Class

A,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.96%,

10/23/34

(a)(b)

........

3,000

2,928,829

TCW

CLO

Ltd.

(a)(b)

Series

2020-1A,

Class

CRR,

(3-mo.

LIBOR

USD

at

2.05%

Floor

+

2.05%),

6.86%,

04/20/34

....................

1,000

951,426

Series

2020-1A,

Class

DRR,

(3-mo.

LIBOR

USD

at

3.40%

Floor

+

3.40%),

8.21%,

04/20/34

....................

1,250

1,117,013

TICP

CLO

VI

Ltd.,

Series

2016-6A,

Class

AR2,

(3-mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.91%,

01/15/34

(a)(b)

.........

2,000

1,955,031

TICP

CLO

X

Ltd.,

Series

2018-10A,

Class

B,

(3-mo.

LIBOR

USD

at

1.47%

Floor

+

1.47%),

6.28%,

04/20/31

(a)(b)

.........

1,700

1,663,430

TICP

CLO

XI

Ltd.

(a)(b)

Series

2018-11A,

Class

C,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.96%,

10/20/31

....................

600

587,169

Series

2018-11A,

Class

D,

(3-mo.

LIBOR

USD

at

3.05%

Floor

+

3.05%),

7.86%,

10/20/31

....................

1,050

1,005,533

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

TICP

CLO

XII

Ltd.,

Series

2018-12A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.44%,

07/15/34

(a)(b)

.........

USD

2,550

$

2,447,183

TICP

CLO

XIV

Ltd.,

Series

2019-14A,

Class

A2R,

(3-mo.

LIBOR

USD

at

1.65%

Floor

+

1.65%),

6.46%,

10/20/32

(a)(b)

.........

2,815

2,734,500

TICP

CLO

XV

Ltd.,

Series

2020-15A,

Class

C,

(3-mo.

LIBOR

USD

at

2.15%

Floor

+

2.15%),

6.96%,

04/20/33

(a)(b)

.........

1,000

971,038

Trimaran

CAVU

Ltd.

(a)(b)

Series

2022-2A,

Class

A,

(3-mo.

CME

Term

SOFR

at

2.50%

Floor

+

2.50%),

6.85%,

01/20/36

....................

2,500

2,517,305

Series

2022-2A,

Class

B1,

(3-mo.

CME

Term

SOFR

at

3.40%

Floor

+

3.40%),

7.75%,

01/20/36

...............

1,500

1,506,390

Webster

Park

CLO

Ltd.,

Series

2015-1A,

Class

BR,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.61%,

07/20/30

(a)(b)

.........

500

472,685

Whitebox

CLO

I

Ltd.,

Series

2019-1A,

Class

ANAR,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.95%,

07/24/32

(a)(b)

.........

1,250

1,223,710

Whitebox

CLO

II

Ltd.,

Series

2020-2A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.04%,

10/24/34

(a)(b)

.........

1,000

977,312

Whitebox

CLO

III

Ltd.,

Series

2021-3A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.01%,

10/15/34

(a)(b)

.........

4,100

4,010,153

Whitebox

CLO

IV

Ltd.,

Series

2023-4A,

Class

A1,

(3-mo.

CME

Term

SOFR

at

2.15%

Floor

+

2.15%),

6.93%,

04/20/36

(a)(b)

........

1,500

1,503,694

Total

Asset-Backed

Securities

—

22.5%

(Cost:

$256,785,148)

.............................

253,985,598

Shares

Shares

Common

Stocks

Capital

Markets

—

0.0%

Ardagh

Metal

Packaging

SA,

(Acquired

08/02/21,

cost

$276,327)

(d)(e)

.........

28,101

112,685

Chemicals

—

0.0%

Element

Solutions,

Inc.

...............

1,528

29,506

Commercial

Services

&

Supplies

—

0.0%

Preston

Holdings

LLC

(d)(f)

..............

1,227

294

Construction

&

Engineering

—

0.0%

Mcdermott

International

Ltd.

(d)

..........

48,333

16,433

Financial

Services

—

0.0%

Block,

Inc.,

Class

A

(d)

................

390

26,774

Hotels,

Restaurants

&

Leisure

—

0.0%

Codere

Ne

w

Topco

SA

(d)(f)(g)

............

3,743

—

Industrial

Conglomerates

—

0.0%

Ameriforge

Group,

Inc.

(d)

..............

283

141

IT

Services

—

0.0%

Twilio,

Inc.,

Class

A

(d)

................

122

8,129

Marine

Transportation

—

0.0%

Project

Investor

Holdings

LLC,

(Acquired

02/12/19,

cost

$0)

(d)(e)(f)

.............

1,227

—

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

34

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Shares

Shares

Value

Metals

&

Mining

—

0.0%

Constellium

SE,

Class

A

(d)

.............

5,317

$

81,244

Professional

Services

—

0.0%

NMG,

Inc.

(d)

.......................

1,905

241,301

Software

—

0.0%

(d)

Avaya

Holdings

Corp.

................

12

—

Informatica,

Inc.,

Class

A

..............

2,345

38,458

38,458

Total

Common

Stocks

—

0.0%

(Cost:

$924,163)

................................

554,965

Par

(000)

Par

(000)

Corporate

Bonds

Aerospace

&

Defense

—

0.6%

Boeing

Co.

(The),

5.15%,

05/01/30

......

USD

467

469,920

Bombardier,

Inc.

(b)

7.50%,

03/15/25

.................

221

220,976

7.13%,

06/15/26

.................

556

558,002

7.88%,

04/15/27

.................

184

186,269

6.00%,

02/15/28

.................

334

325,234

7.50%,

02/01/29

.................

239

244,153

BWX

Technologies,

Inc.

(b)

4.13%,

06/30/28

.................

13

11,705

4.13%,

04/15/29

.................

136

120,603

Huntington

Ingalls

Industries,

Inc.,

4.20%,

05/01/30

.....................

202

189,058

Rolls-Royce

plc

(b)

3.63%,

10/14/25

.................

200

189,500

5.75%,

10/15/27

.................

200

199,240

Spirit

AeroSystems,

Inc.

(b)

7.50%,

04/15/25

.................

24

24,000

9.38%,

11/30/29

.................

259

282,634

TransDigm,

Inc.

8.00%,

12/15/25

(b)

................

1,109

1,129,794

6.25%,

03/15/26

(b)

................

1,265

1,266,151

6.38%,

06/15/26

.................

135

131,962

6.75%,

08/15/28

(b)

................

952

961,520

Triumph

Group,

Inc.,

9.00%,

03/15/28

(b)

...

327

327,343

6,838,064

Automobile

Components

—

0.6%

Aptiv

plc,

4.15%,

05/01/52

...........

5,200

4,079,831

Clarios

Global

LP

(b)

6.75%,

05/15/25

.................

286

289,046

6.25%,

05/15/26

.................

326

325,185

8.50%,

05/15/27

.................

1,893

1,900,099

Dealer

Tire

LLC,

8.00%,

02/01/28

(b)

......

78

70,005

Goodyear

Tire

&

Rubber

Co.

(The),

5.00%,

07/15/29

.....................

193

172,426

Icahn

Enterprises

LP

6.25%,

05/15/26

.................

10

9,841

5.25%,

05/15/27

.................

41

38,470

4.38%,

02/01/29

.................

376

323,360

7,208,263

Automobiles

—

0.3%

Ford

Motor

Co.

4.35%,

12/08/26

.................

30

29,148

6.10%,

08/19/32

.................

108

104,658

Hyundai

Capital

America

(h)

5.50%,

03/30/26

.................

400

400,602

2.38%,

10/15/27

.................

200

176,814

Kia

Corp.,

1.75%,

10/16/26

(h)

..........

400

354,380

Security

Par

(000)

Par

(000)

Value

Automobiles

(continued)

Mercedes-Benz

Finance

North

America

LLC,

5.25%,

11/29/27

(b)

...............

USD

2,595

$

2,656,584

3,722,186

Banks

—

5.6%

ABQ

Finance

Ltd.,

3.13%,

09/24/24

(h)

.....

350

337,050

Agricultural

Bank

of

China

Ltd.,

1.25%,

06/17/26

(h)

....................

200

180,610

Banco

Mercantil

del

Norte

SA,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.64%),

5.88%

(a)(b)(i)

........

280

236,250

Bangkok

Bank

PCL,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.73%),

5.00%

(a)(h)(i)

..............

200

182,725

Bank

Leumi

Le-Israel

BM,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.63%),

3.28%,

01/29/31

(a)(b)(h)

........

341

296,457

Bank

of

America

Corp.

(a)

(1-Day

SOFR

+

1.99%),

6.20%,

11/10/28

174

181,896

(3-mo.

LIBOR

USD

+

1.18%),

3.19%,

07/23/30

....................

850

755,454

(1-Day

SOFR

+

1.83%),

4.57%,

04/27/33

(j)

11,145

10,608,926

Bank

of

China

Ltd.,

1.40%,

04/28/26

(h)

....

500

455,575

Bank

of

Communications

Co.

Ltd.,

1.20%,

09/10/25

(h)

....................

200

184,356

Bank

of

East

Asia

Ltd.

(The),

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.75%),

4.00%,

05/29/30

(a)(h)

..

250

227,625

Barclays

plc

(a)(i)

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.41%),

4.38%

390

266,609

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.43%),

8.00%

8,115

6,928,181

CBQ

Finance

Ltd.,

2.00%,

05/12/26

(h)

.....

250

227,078

China

Construction

Bank

Corp.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.15%),

2.45%,

06/24/30

(a)(h)

..

400

376,492

China

Merchants

Bank

Co.

Ltd.,

(3-mo.

LIBOR

USD

+

0.85%),

5.98%,

09/25/23

(a)(h)

....

300

300,192

Chong

Hing

Bank

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.86%),

5.70%

(a)(h)(i)

..............

250

235,828

Citigroup,

Inc.,

4.30%,

11/20/26

........

500

483,637

Grupo

Aval

Ltd.,

4.38%,

02/04/30

(b)

......

460

347,599

Hana

Bank,

3.25%,

03/30/27

(h)

.........

300

284,514

HDFC

Bank

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.93%),

3.70%

(a)(h)(i)

..............

350

292,250

Industrial

&

Commercial

Bank

of

China

Ltd.,

1.20%,

07/20/25

(h)

...............

500

461,465

ING

Groep

NV,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.86%),

3.88%

(a)(i)

...............

5,085

3,687,032

JPMorgan

Chase

&

Co.

3.63%,

12/01/27

.................

300

286,770

(1-Day

SOFR

+

2.58%),

5.72%,

09/14/33

(a)

18,800

19,257,945

Series

W,

(3-mo.

LIBOR

USD

+

1.00%),

5.86%,

05/15/47

(a)

..............

1,000

825,000

Kasikornbank

PCL

(h)

5.46%,

03/07/28

.................

240

247,068

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.70%),

3.34%,

10/02/31

(a)

...................

200

174,500

Kookmin

Bank,

1.75%,

05/04/25

(h)

.......

500

469,160

BlackRock

Income

Fund

Schedules

of

Investments

35

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Banks

(continued)

Nanyang

Commercial

Bank

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.51%),

6.50%

(a)(h)(i)

........

USD

250

$

234,969

PNC

Financial

Services

Group,

Inc.

(The),

Series

W,

(7-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.81%),

6.25%

(a)(d)(i)

...................

169

157,170

Toronto-Dominion

Bank

(The),

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.08%),

8.13%,

10/31/82

(a)

...

6,243

6,336,645

United

Overseas

Bank

Ltd.,

3.06%,

04/07/25

(h)

400

388,036

Wells

Fargo

&

Co.

(1-Day

SOFR

+

2.10%),

4.90%,

07/25/33

(a)

6,713

6,552,703

5.38%,

11/02/43

.................

500

478,490

Woori

Bank,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.66%),

4.25%

(a)(h)(i)

...................

200

187,475

63,133,732

Beverages

—

0.3%

Anheuser-Busch

InBev

Worldwide,

Inc.

4.60%,

04/15/48

.................

545

514,221

4.44%,

10/06/48

.................

2,225

2,030,133

Fomento

Economico

Mexicano

SAB

de

CV,

3.50%,

01/16/50

................

498

388,440

2,932,794

Broadline

Retail

—

0.1%

Alibaba

Group

Holding

Ltd.,

4.00%,

12/06/37

400

339,052

ANGI

Group

LLC,

3.88%,

08/15/28

(b)

.....

105

79,773

Go

Daddy

Operating

Co.

LLC,

3.50%,

03/01/29

(b)

....................

58

50,148

JD.com,

Inc.,

3.88%,

04/29/26

.........

300

290,616

Match

Group

Holdings

II

LLC

(b)

4.63%,

06/01/28

.................

49

45,507

4.13%,

08/01/30

.................

131

112,791

3.63%,

10/01/31

.................

49

39,875

NMG

Holding

Co.,

Inc.,

7.13%,

04/01/26

(b)

..

38

35,677

993,439

Building

Products

—

0.1%

(b)

Advanced

Drainage

Systems,

Inc.

5.00%,

09/30/27

.................

181

172,009

6.38%,

06/15/30

.................

100

97,984

Camelot

Return

Merger

Sub,

Inc.,

8.75%,

08/01/28

.....................

75

69,446

JELD-WEN,

Inc.

6.25%,

05/15/25

.................

73

72,818

4.63%,

12/15/25

.................

10

9,275

Masonite

International

Corp.

5.38%,

02/01/28

.................

67

63,985

3.50%,

02/15/30

.................

81

67,133

New

Enterprise

Stone

&

Lime

Co.,

Inc.,

5.25%,

07/15/28

.....................

101

89,273

Smyrna

Ready

Mix

Concrete

LLC,

6.00%,

11/01/28

.....................

299

280,686

Standard

Industries,

Inc.

5.00%,

02/15/27

.................

54

51,285

4.75%,

01/15/28

.................

2

1,868

4.38%,

07/15/30

.................

169

147,030

3.38%,

01/15/31

.................

28

22,503

Summit

Materials

LLC,

5.25%,

01/15/29

...

14

13,230

1,158,525

Security

Par

(000)

Par

(000)

Value

Capital

Markets

—

1.9%

AG

TTMT

Escrow

Issuer

LLC,

8.63%,

09/30/27

(b)

....................

USD

88

$

88,573

Amipeace

Ltd.,

1.50%,

10/22/25

(h)

.......

200

183,913

Aretec

Escrow

Issuer,

Inc.,

7.50%,

04/01/29

(b)

48

39,240

Blackstone

Holdings

Finance

Co.

LLC,

5.90%,

11/03/27

(b)

....................

185

188,668

Blackstone

Private

Credit

Fund

7.05%,

09/29/25

(b)

................

90

88,745

3.25%,

03/15/27

.................

85

72,169

China

Great

Wall

International

Holdings

III

Ltd.,

3.88%,

08/31/27

(h)

...............

200

172,537

CICC

Hong

Kong

Finance

2016

MTN

Ltd.,

1.75%,

08/10/23

(h)

...............

285

281,762

Codere

New

Holdco

SA,

7.50%,

11/30/27

..

EUR

108

10,513

Compass

Group

Diversified

Holdings

LLC,

5.25%,

04/15/29

(b)

...............

USD

30

26,412

Drawbridge

Special

Opportunities

Fund

LP,

3.88%,

02/15/26

(b)

...............

250

221,267

Gaci

First

Investment

Co.

(h)

4.88%,

02/14/35

.................

250

245,625

5.13%,

02/14/53

.................

250

229,375

GLP

Pte.

Ltd.,

3.88%,

06/04/25

(h)

.......

200

154,850

Huarong

Finance

Co.

Ltd.,

3.88%,

11/13/29

(h)

400

276,000

Macquarie

Bank

Ltd.,

6.80%,

01/18/33

(b)

...

6,830

6,942,653

Morgan

Stanley

(a)

(1-Day

SOFR

+

0.88%),

1.59%,

05/04/27

4,373

3,918,919

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.43%),

5.95%,

01/19/38

....................

55

54,693

MSCI,

Inc.

(b)

3.63%,

09/01/30

.................

163

141,698

3.88%,

02/15/31

.................

40

35,604

Northern

Trust

Corp.,

6.13%,

11/02/32

....

141

150,323

Owl

Rock

Capital

Corp.,

3.40%,

07/15/26

..

72

63,572

OWL

Rock

Core

Income

Corp.

5.50%,

03/21/25

.................

126

122,695

3.13%,

09/23/26

.................

49

42,509

7.75%,

09/16/27

(b)

................

59

58,123

Sun

Hung

Kai

&

Co.

BVI

Ltd.,

5.75%,

11/15/24

(h)

....................

300

284,963

SURA

Asset

Management

SA

(h)

4.88%,

04/17/24

.................

1,318

1,291,640

4.88%,

04/17/24

.................

400

392,000

Temasek

Financial

I

Ltd.,

2.38%,

08/02/41

(h)

.

500

375,719

UBS

Group

AG,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.55%),

4.49%,

05/12/26

(a)(b)

.........

5,085

4,904,138

21,058,898

Chemicals

—

0.6%

Alpek

SAB

de

CV,

3.25%,

02/25/31

(h)

.....

500

404,156

Ashland

LLC,

3.38%,

09/01/31

(b)

........

90

73,569

Avient

Corp.,

7.13%,

08/01/30

(b)

........

116

119,625

Axalta

Coating

Systems

LLC,

3.38%,

02/15/29

(b)

....................

212

181,638

Bluestar

Finance

Holdings

Ltd.,

(3-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.63%),

3.10%

(a)(h)(i)

........

200

192,500

Braskem

Idesa

SAPI,

6.99%,

02/20/32

(b)

...

473

352,385

Braskem

Netherlands

Finance

BV

4.50%,

01/31/30

(h)

................

351

296,068

7.25%,

02/13/33

(b)

................

485

464,630

Celanese

US

Holdings

LLC,

6.17%,

07/15/27

53

53,302

Chemours

Co.

(The),

5.75%,

11/15/28

(b)

...

41

36,602

CNAC

HK

Finbridge

Co.

Ltd.,

3.88%,

06/19/29

(h)

....................

500

455,530

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

36

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Chemicals

(continued)

Element

Solutions,

Inc.,

3.88%,

09/01/28

(b)

.

USD

792

$

695,091

Equate

Petrochemical

BV,

2.63%,

04/28/28

(b)

670

591,191

Gates

Global

LLC,

6.25%,

01/15/26

(b)

.....

255

250,537

GC

Treasury

Center

Co.

Ltd.,

4.40%,

03/30/32

(h)

....................

200

180,163

Herens

Holdco

SARL,

4.75%,

05/15/28

(b)

..

200

161,000

Illuminate

Buyer

LLC,

9.00%,

07/01/28

(b)

...

107

94,857

Kobe

U.S.

Midco

2,

Inc.,

9.25%,

11/01/26

(a)(b)

295

212,400

Minerals

Technologies,

Inc.,

5.00%,

07/01/28

(b)

189

172,338

NOVA

Chemicals

Corp.,

4.88%,

06/01/24

(b)

.

127

125,294

Orbia

Advance

Corp.

SAB

de

CV,

5.50%,

01/15/48

(h)

....................

360

293,018

Pearl

Holding

II

Ltd.,

6.00%,

(6.00%

Cash

or

14.00%

PIK),

(h)(i)(k)

...............

477

11,929

Sasol

Financing

USA

LLC

4.38%,

09/18/26

.................

200

180,787

6.50%,

09/27/28

.................

227

211,933

5.50%,

03/18/31

.................

414

345,768

Scotts

Miracle-Gro

Co.

(The)

4.00%,

04/01/31

.................

46

36,693

4.38%,

02/01/32

.................

29

23,308

SK

Invictus

Intermediate

II

SARL,

5.00%,

10/30/29

(b)

....................

231

191,785

WR

Grace

Holdings

LLC

(b)

4.88%,

06/15/27

.................

221

213,024

5.63%,

08/15/29

.................

468

396,630

7,017,751

Commercial

Services

&

Supplies

—

0.5%

ADT

Security

Corp.

(The)

(b)

4.13%,

08/01/29

.................

10

8,918

4.88%,

07/15/32

.................

4

3,529

Allied

Universal

Holdco

LLC

(b)

6.63%,

07/15/26

.................

722

693,846

9.75%,

07/15/27

.................

1,202

1,071,295

4.63%,

06/01/28

.................

400

335,741

6.00%,

06/01/29

.................

462

344,864

APi

Group

DE,

Inc.,

4.13%,

07/15/29

(b)

....

145

124,422

APX

Group,

Inc.

(b)

6.75%,

02/15/27

.................

13

12,935

5.75%,

07/15/29

.................

166

148,570

Aramark

Services,

Inc.

(b)

5.00%,

04/01/25

.................

24

23,618

6.38%,

05/01/25

.................

160

161,178

5.00%,

02/01/28

.................

292

276,368

Brink's

Co.

(The),

5.50%,

07/15/25

(b)

.....

56

55,483

Clean

Harbors,

Inc.

(b)

4.88%,

07/15/27

.................

215

207,369

6.38%,

02/01/31

.................

63

64,276

Covanta

Holding

Corp.

4.88%,

12/01/29

(b)

................

182

161,932

5.00%,

09/01/30

.................

14

12,043

Garda

World

Security

Corp.

(b)

4.63%,

02/15/27

.................

49

43,985

7.75%,

02/15/28

.................

196

193,178

GFL

Environmental,

Inc.

(b)

4.25%,

06/01/25

.................

6

5,854

3.75%,

08/01/25

.................

153

147,033

5.13%,

12/15/26

.................

153

149,598

4.00%,

08/01/28

.................

231

209,880

3.50%,

09/01/28

.................

36

32,580

4.75%,

06/15/29

.................

118

110,224

GLP

China

Holdings

Ltd.,

4.97%,

02/26/24

(h)

300

266,681

Legends

Hospitality

Holding

Co.

LLC,

5.00%,

02/01/26

(b)

....................

102

91,276

Madison

IAQ

LLC,

5.88%,

06/30/29

(b)

.....

124

95,790

Security

Par

(000)

Par

(000)

Value

Commercial

Services

&

Supplies

(continued)

Neptune

Bidco

US,

Inc.,

9.29%,

04/15/29

(b)

.

USD

200

$

185,420

NongHyup

Bank,

4.00%,

01/06/26

(h)

.....

250

243,719

Prime

Security

Services

Borrower

LLC

(b)

5.25%,

04/15/24

.................

61

60,314

5.75%,

04/15/26

.................

63

62,527

6.25%,

01/15/28

.................

100

93,500

Stericycle,

Inc.,

3.88%,

01/15/29

(b)

.......

26

22,698

Waste

Pro

USA,

Inc.,

5.50%,

02/15/26

(b)

...

417

383,499

6,104,143

Communications

Equipment

—

0.1%

CommScope

Technologies

LLC,

6.00%,

06/15/25

(b)

....................

251

236,381

CommScope,

Inc.

(b)

8.25%,

03/01/27

.................

113

92,559

4.75%,

09/01/29

.................

289

240,887

Nokia

OYJ,

6.63%,

05/15/39

..........

79

78,852

Viasat,

Inc.

(b)

5.63%,

09/15/25

.................

82

77,741

5.63%,

04/15/27

.................

50

46,950

Viavi

Solutions,

Inc.,

3.75%,

10/01/29

(b)

...

211

180,440

953,810

Construction

&

Engineering

—

0.2%

Aeropuertos

Dominicanos

Siglo

XXI

SA,

6.75%,

03/30/29

(b)

....................

338

328,494

Arcosa,

Inc.,

4.38%,

04/15/29

(b)

........

202

179,651

China

Railway

Xunjie

Co.

Ltd.,

3.25%,

07/28/26

(h)

....................

240

229,517

Chouzhou

International

Investment

Ltd.,

3.15%,

08/11/23

(h)

....................

200

196,788

Dycom

Industries,

Inc.,

4.50%,

04/15/29

(b)

..

97

87,542

Hongkong

International

Qingdao

Co.

Ltd.,

3.99%,

04/27/23

(h)

...............

200

199,162

HTA

Group

Ltd.,

7.00%,

12/18/25

(b)

......

561

532,599

MasTec,

Inc.,

4.50%,

08/15/28

(b)

........

184

170,071

Mexico

City

Airport

Trust,

5.50%,

07/31/47

(h)

516

394,121

2,317,945

Consumer

Finance

—

1.0%

Ally

Financial,

Inc.,

8.00%,

11/01/31

.....

400

419,832

American

Express

Co.

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.85%),

3.55%

(a)(i)

....................

155

131,006

5.85%,

11/05/27

.................

7,215

7,569,748

CDBL

Funding

1,

3.00%,

04/24/23

(h)

.....

200

199,752

CMB

International

Leasing

Management

Ltd.,

3.00%,

07/03/24

(h)

...............

300

291,244

Discover

Financial

Services,

6.70%,

11/29/32

55

56,702

Ford

Motor

Credit

Co.

LLC

4.39%,

01/08/26

.................

700

664,125

4.95%,

05/28/27

.................

200

190,763

3.82%,

11/02/27

.................

200

179,250

5.11%,

05/03/29

.................

200

187,760

7.35%,

03/06/30

.................

200

205,500

3.63%,

06/17/31

.................

200

164,806

Global

Aircraft

Leasing

Co.

Ltd.,

6.50%,

(6.50%

Cash

or

7.25%

PIK),

09/15/24

(b)(k)

......

139

125,323

Navient

Corp.

7.25%,

09/25/23

.................

42

41,858

6.13%,

03/25/24

.................

174

171,661

5.88%,

10/25/24

.................

13

12,628

OneMain

Finance

Corp.

6.88%,

03/15/25

.................

70

67,830

7.13%,

03/15/26

.................

173

166,303

5.38%,

11/15/29

.................

36

30,286

BlackRock

Income

Fund

Schedules

of

Investments

37

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Consumer

Finance

(continued)

4.00%,

09/15/30

.................

USD

113

$

84,750

SLM

Corp.,

3.13%,

11/02/26

..........

126

107,100

VistaJet

Malta

Finance

plc,

6.38%,

02/01/30

(b)

120

106,948

11,175,175

Consumer

Staples

Distribution

&

Retail

—

0.1%

Albertsons

Cos.,

Inc.

(b)

3.25%,

03/15/26

.................

118

111,037

4.63%,

01/15/27

.................

24

23,210

6.50%,

02/15/28

.................

89

89,222

3.50%,

03/15/29

.................

59

51,336

4.88%,

02/15/30

.................

259

241,747

CK

Hutchison

International

20

Ltd.,

2.50%,

05/08/30

(h)

....................

600

521,826

Performance

Food

Group,

Inc.,

4.25%,

08/01/29

(b)

....................

189

169,717

United

Natural

Foods,

Inc.,

6.75%,

10/15/28

(b)

39

36,247

US

Foods,

Inc.

(b)

6.25%,

04/15/25

.................

81

81,730

4.75%,

02/15/29

.................

168

155,190

4.63%,

06/01/30

.................

14

12,629

1,493,891

Containers

&

Packaging

—

0.4%

ARD

Finance

SA,

6.50%,

06/30/27

(b)

.....

287

219,542

Ardagh

Metal

Packaging

Finance

USA

LLC

(b)

6.00%,

06/15/27

.................

351

347,850

4.00%,

09/01/29

.................

644

503,930

Ardagh

Packaging

Finance

plc,

5.25%,

04/30/25

(b)

....................

200

197,000

Ball

Corp.,

3.13%,

09/15/31

..........

161

133,227

Clydesdale

Acquisition

Holdings,

Inc.

(b)

6.63%,

04/15/29

.................

254

244,475

8.75%,

04/15/30

.................

197

179,022

Crown

Americas

LLC,

4.75%,

02/01/26

...

75

73,037

Graphic

Packaging

International

LLC

(b)

4.75%,

07/15/27

.................

23

21,889

3.50%,

03/01/29

.................

82

70,841

Klabin

Austria

GmbH,

3.20%,

01/12/31

(b)

...

337

276,407

LABL,

Inc.

(b)

5.88%,

11/01/28

.................

180

159,942

9.50%,

11/01/28

.................

92

92,805

Mauser

Packaging

Solutions

Holding

Co.

(b)

7.88%,

08/15/26

.................

1,070

1,070,000

9.25%,

04/15/27

.................

15

13,860

Sealed

Air

Corp.

(b)

4.00%,

12/01/27

.................

77

71,856

6.13%,

02/01/28

.................

89

89,993

Trivium

Packaging

Finance

BV

(b)(c)

5.50%,

08/15/26

.................

367

351,586

8.50%,

08/15/27

.................

416

378,560

4,495,822

Distributors

—

0.0%

(b)

American

Builders

&

Contractors

Supply

Co.,

Inc.,

3.88%,

11/15/29

.............

58

49,524

BCPE

Empire

Holdings,

Inc.,

7.63%,

05/01/27

205

187,319

Resideo

Funding,

Inc.,

4.00%,

09/01/29

...

21

17,459

Ritchie

Bros

Holdings,

Inc.,

6.75%,

03/15/28

30

30,895

285,197

Diversified

Consumer

Services

—

0.1%

Graham

Holdings

Co.,

5.75%,

06/01/26

(b)

..

48

47,047

Service

Corp.

International,

4.00%,

05/15/31

140

122,948

Sotheby's

(b)

7.38%,

10/15/27

.................

464

438,912

Security

Par

(000)

Par

(000)

Value

Diversified

Consumer

Services

(continued)

5.88%,

06/01/29

.................

USD

608

$

504,226

1,113,133

Diversified

REITs

—

0.8%

Global

Net

Lease,

Inc.,

3.75%,

12/15/27

(b)

..

89

70,418

GLP

Capital

LP,

3.25%,

01/15/32

.......

1,730

1,403,653

HAT

Holdings

I

LLC,

3.38%,

06/15/26

(b)

...

114

98,895

Iron

Mountain

Information

Management

Services,

Inc.,

5.00%,

07/15/32

(b)

......

115

98,754

Trust

Fibra

Uno,

5.25%,

01/30/26

(b)

......

370

349,835

Uniti

Group

LP,

10.50%,

02/15/28

(b)

......

280

271,600

VICI

Properties

LP

5.63%,

05/01/24

(b)

................

61

60,466

3.50%,

02/15/25

(b)

................

38

36,013

4.63%,

06/15/25

(b)

................

16

15,469

4.25%,

12/01/26

(b)

................

104

97,034

4.50%,

01/15/28

(b)

................

37

34,264

3.88%,

02/15/29

(b)

................

19

16,893

4.63%,

12/01/29

(b)

................

158

143,830

4.13%,

08/15/30

(b)

................

72

63,597

5.13%,

05/15/32

.................

6,170

5,813,004

8,573,725

Diversified

Telecommunication

Services

—

2.1%

Altice

France

Holding

SA,

10.50%,

05/15/27

(b)

1,000

765,000

Altice

France

SA

(b)

8.13%,

02/01/27

.................

360

333,252

5.50%,

01/15/28

.................

296

243,179

5.50%,

10/15/29

.................

367

280,629

CCO

Holdings

LLC

(b)

5.13%,

05/01/27

.................

59

55,755

5.38%,

06/01/29

.................

258

236,908

6.38%,

09/01/29

.................

445

424,975

4.75%,

03/01/30

.................

621

538,031

7.38%,

03/01/31

.................

50

49,219

4.50%,

06/01/33

.................

100

80,505

4.25%,

01/15/34

.................

172

134,525

Frontier

Communications

Holdings

LLC

(b)

5.88%,

10/15/27

.................

9

8,182

5.00%,

05/01/28

.................

481

417,393

8.75%,

05/15/30

.................

243

242,030

HKT

Capital

No.

2

Ltd.,

3.63%,

04/02/25

(h)

..

300

291,337

IHS

Holding

Ltd.

5.63%,

11/29/26

(h)

................

437

365,660

6.25%,

11/29/28

(b)

................

334

266,532

Iliad

Holding

SASU

(b)

6.50%,

10/15/26

.................

577

549,892

7.00%,

10/15/28

.................

200

189,758

Level

3

Financing,

Inc.

(b)

3.40%,

03/01/27

.................

92

72,767

4.63%,

09/15/27

.................

88

52,910

4.25%,

07/01/28

.................

56

31,595

3.63%,

01/15/29

.................

20

11,058

3.75%,

07/15/29

.................

99

52,783

3.88%,

11/15/29

.................

255

184,551

Lumen

Technologies,

Inc.

(b)

4.00%,

02/15/27

.................

256

168,960

4.50%,

01/15/29

.................

253

113,217

Network

i2i

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.27%),

5.65%

(a)(h)(i)

..............

329

310,967

Sprint

Capital

Corp.

6.88%,

11/15/28

.................

412

442,706

8.75%,

03/15/32

.................

533

648,928

Telecom

Italia

Capital

SA,

6.38%,

11/15/33

.

319

288,829

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

38

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Diversified

Telecommunication

Services

(continued)

Verizon

Communications,

Inc.

2.10%,

03/22/28

.................

USD

7,289

$

6,493,196

3.88%,

02/08/29

.................

325

314,008

4.50%,

08/10/33

.................

500

483,127

2.99%,

10/30/56

.................

10,751

6,991,611

Virgin

Media

Secured

Finance

plc,

4.50%,

08/15/30

(b)

....................

200

171,962

Zayo

Group

Holdings,

Inc.

(b)

4.00%,

03/01/27

.................

880

668,800

6.13%,

03/01/28

.................

568

345,458

23,320,195

Electric

Utilities

—

1.1%

AES

Panama

Generation

Holdings

SRL,

4.38%,

05/31/30

(b)

...............

338

289,125

China

Huaneng

Group

Hong

Kong

Treasury

Management

Holding

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.65%),

3.08%

(a)(h)(i)

........

400

375,200

Commonwealth

Edison

Co.,

5.30%,

02/01/53

2,015

2,103,768

Duke

Energy

Florida

LLC,

5.95%,

11/15/52

.

2,620

2,915,178

Edison

International,

Series

B,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.90%),

5.00%

(a)(i)

.........

120

99,420

FirstEnergy

Transmission

LLC

(b)

5.45%,

07/15/44

.................

246

235,681

4.55%,

04/01/49

.................

106

89,209

Inkia

Energy

Ltd.,

5.88%,

11/09/27

(h)

.....

200

184,100

Minejesa

Capital

BV,

4.63%,

08/10/30

(h)

...

200

175,522

NextEra

Energy

Operating

Partners

LP

(b)

4.25%,

07/15/24

.................

124

122,421

4.25%,

09/15/24

.................

2

1,918

NRG

Energy,

Inc.

5.75%,

01/15/28

.................

25

24,517

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.92%),

10.25%

(a)(b)(i)

..................

173

165,320

5.25%,

06/15/29

(b)

................

5

4,642

3.88%,

02/15/32

(b)

................

49

39,200

7.00%,

03/15/33

(b)

................

65

67,335

Oryx

Funding

Ltd.,

5.80%,

02/03/31

(b)

.....

224

214,592

Pacific

Gas

&

Electric

Co.,

4.20%,

06/01/41

.

4,040

3,185,946

Pattern

Energy

Operations

LP,

4.50%,

08/15/28

(b)

....................

267

244,263

Star

Energy

Geothermal

Darajat

II,

4.85%,

10/14/38

(h)

....................

200

171,038

Star

Energy

Geothermal

Wayang

Windu

Ltd.,

6.75%,

04/24/33

(h)

...............

203

197,291

State

Grid

Overseas

Investment

BVI

Ltd.,

1.13%,

09/08/26

(h)

...............

1,100

982,113

Texas

Competitive

Electric

Holdings

Co.

LLC,

5.03%,

12/31/49

(a)(d)(f)(l)

............

815

—

Three

Gorges

Finance

I

Cayman

Islands

Ltd.,

3.15%,

06/02/26

(h)

...............

200

191,632

Vistra

Operations

Co.

LLC

(b)

5.50%,

09/01/26

.................

8

7,766

5.00%,

07/31/27

.................

8

7,564

4.38%,

05/01/29

.................

9

7,969

12,102,730

Electrical

Equipment

—

0.1%

(b)

Regal

Rexnord

Corp.

6.05%,

02/15/26

.................

50

50,219

6.05%,

04/15/28

.................

214

214,095

6.30%,

02/15/30

.................

110

110,760

6.40%,

04/15/33

.................

68

68,042

Security

Par

(000)

Par

(000)

Value

Electrical

Equipment

(continued)

Sensata

Technologies

BV

5.63%,

11/01/24

.................

USD

144

$

143,572

5.00%,

10/01/25

.................

42

41,692

4.00%,

04/15/29

.................

129

116,548

5.88%,

09/01/30

.................

200

198,250

Vertiv

Group

Corp.,

4.13%,

11/15/28

.....

320

282,354

1,225,532

Electronic

Equipment,

Instruments

&

Components

—

0.1%

CDW

LLC

3.28%,

12/01/28

.................

12

10,571

3.25%,

02/15/29

.................

55

48,372

Coherent

Corp.,

5.00%,

12/15/29

(b)

......

217

196,971

Sensata

Technologies,

Inc.,

4.38%,

02/15/30

(b)

79

71,981

Zhen

Ding

Technology

Holding

Ltd.,

0.00%,

06/30/25

(h)(m)(n)

.................

400

394,800

722,695

Energy

Equipment

&

Services

—

0.2%

Archrock

Partners

LP

(b)

6.88%,

04/01/27

.................

184

180,550

6.25%,

04/01/28

.................

283

271,680

Enerflex

Ltd.,

9.00%,

10/15/27

(b)

........

185

179,913

Nabors

Industries

Ltd.

(b)

7.25%,

01/15/26

.................

302

288,032

7.50%,

01/15/28

.................

237

218,728

Nabors

Industries,

Inc.

5.75%,

02/01/25

.................

119

115,281

7.38%,

05/15/27

(b)

................

53

51,907

Precision

Drilling

Corp.,

6.88%,

01/15/29

(b)

.

14

12,705

Transocean

Titan

Financing

Ltd.,

8.38%,

02/01/28

(b)

....................

101

103,936

Transocean,

Inc.

(b)

7.50%,

01/15/26

.................

140

127,114

11.50%,

01/30/27

................

40

41,312

8.75%,

02/15/30

.................

361

368,220

USA

Compression

Partners

LP

6.88%,

04/01/26

.................

143

138,988

6.88%,

09/01/27

.................

203

193,983

Weatherford

International

Ltd.

(b)

11.00%,

12/01/24

................

4

4,105

6.50%,

09/15/28

.................

79

79,135

8.63%,

04/30/30

.................

118

120,721

2,496,310

Entertainment

—

0.1%

Lions

Gate

Capital

Holdings

LLC,

5.50%,

04/15/29

(b)

....................

133

87,447

Live

Nation

Entertainment,

Inc.

(b)

4.88%,

11/01/24

.................

58

56,840

5.63%,

03/15/26

.................

7

6,773

6.50%,

05/15/27

.................

371

374,986

4.75%,

10/15/27

.................

52

48,100

3.75%,

01/15/28

.................

329

294,455

Warnermedia

Holdings,

Inc.,

6.41%,

03/15/26

30

30,151

898,752

Financial

Services

—

1.5%

Block,

Inc.

2.75%,

06/01/26

.................

154

140,412

3.50%,

06/01/31

.................

463

380,239

China

Cinda

2020

I

Management

Ltd.

(h)

3.25%,

01/28/27

.................

300

274,713

3.00%,

01/20/31

.................

271

213,548

CITIC

Securities

Finance

MTN

Co.

Ltd.,

1.75%,

06/03/23

(h)

....................

200

198,860

Enact

Holdings,

Inc.,

6.50%,

08/15/25

(b)

...

268

261,300

BlackRock

Income

Fund

Schedules

of

Investments

39

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Financial

Services

(continued)

Global

Payments,

Inc.

2.15%,

01/15/27

.................

USD

8,745

$

7,744,627

3.20%,

08/15/29

.................

220

193,517

2.90%,

05/15/30

.................

2,091

1,770,612

5.40%,

08/15/32

.................

98

96,086

Home

Point

Capital,

Inc.,

5.00%,

02/01/26

(b)

.

136

102,041

JIC

Zhixin

Ltd.,

1.50%,

08/27/25

(h)

.......

400

368,428

MGIC

Investment

Corp.,

5.25%,

08/15/28

..

157

149,228

Nationstar

Mortgage

Holdings,

Inc.,

5.75%,

11/15/31

(b)

....................

120

93,080

Operadora

de

Servicios

Mega

SA

de

CV

Sofom

ER,

8.25%,

02/11/25

(b)

............

451

216,565

Petronas

Capital

Ltd.,

2.48%,

01/28/32

(h)

...

500

424,469

REC

Ltd.,

5.25%,

11/13/23

(h)

..........

800

798,440

Rocket

Mortgage

LLC,

2.88%,

10/15/26

(b)

..

312

279,240

Sabre

GLBL,

Inc.

(b)

9.25%,

04/15/25

.................

34

32,028

7.38%,

09/01/25

.................

120

107,220

11.25%,

12/15/27

................

86

80,138

Shift4

Payments

LLC,

4.63%,

11/01/26

(b)

...

297

279,180

Swire

Pacific

MTN

Financing

Ltd.,

3.88%,

09/21/25

(h)

....................

200

195,162

Verscend

Escrow

Corp.,

9.75%,

08/15/26

(b)

.

1,993

1,993,000

16,392,133

Food

Products

—

0.5%

BRF

SA,

4.88%,

01/24/30

(h)

...........

447

367,881

China

Mengniu

Dairy

Co.

Ltd.,

1.88%,

06/17/25

(h)

....................

200

185,984

China

Modern

Dairy

Holdings

Ltd.,

2.13%,

07/14/26

(h)

....................

400

347,604

Chobani

LLC

(b)

7.50%,

04/15/25

.................

1,486

1,448,882

4.63%,

11/15/28

.................

427

389,104

Darling

Ingredients,

Inc.,

6.00%,

06/15/30

(b)

.

241

240,181

General

Mills,

Inc.,

5.24%,

11/18/25

......

1,050

1,053,153

Knight

Castle

Investments

Ltd.,

7.99%,

01/23/23

(d)(h)(l)

..................

1,400

980,000

Lamb

Weston

Holdings,

Inc.

(b)

4.88%,

05/15/28

.................

118

114,454

4.13%,

01/31/30

.................

35

32,025

4.38%,

01/31/32

.................

245

222,192

Pilgrim's

Pride

Corp.,

3.50%,

03/01/32

....

21

17,090

Post

Holdings,

Inc.,

5.50%,

12/15/29

(b)

....

18

16,962

Simmons

Foods,

Inc.,

4.63%,

03/01/29

(b)

..

77

62,572

5,478,084

Gas

Utilities

—

0.0%

(b)

Promigas

SA

ESP,

3.75%,

10/16/29

......

245

193,443

Suburban

Propane

Partners

LP,

5.00%,

06/01/31

.....................

109

95,239

288,682

Ground

Transportation

—

0.2%

Guangzhou

Metro

Investment

Finance

BVI

Ltd.,

1.51%,

09/17/25

(h)

...............

200

183,288

Hertz

Corp.

(The),

5.00%,

12/01/29

(b)

.....

90

74,540

NESCO

Holdings

II,

Inc.,

5.50%,

04/15/29

(b)

.

77

69,660

Uber

Technologies,

Inc.

7.50%,

05/15/25

(b)

................

562

569,206

0.00%,

12/15/25

(m)(n)

..............

103

90,617

8.00%,

11/01/26

(b)

................

122

125,078

7.50%,

09/15/27

(b)

................

159

163,947

6.25%,

01/15/28

(b)

................

466

464,835

4.50%,

08/15/29

(b)

................

47

42,829

Williams

Scotsman

International,

Inc.,

4.63%,

08/15/28

(b)

....................

78

70,955

Security

Par

(000)

Par

(000)

Value

Ground

Transportation

(continued)

XPO

Escrow

Sub

LLC,

7.50%,

11/15/27

(b)

..

USD

103

$

107,120

1,962,075

Health

Care

Equipment

&

Supplies

—

0.1%

Avantor

Funding,

Inc.

(b)

4.63%,

07/15/28

.................

168

159,180

3.88%,

11/01/29

.................

231

206,745

Embecta

Corp.,

6.75%,

02/15/30

(b)

......

47

42,770

Garden

Spinco

Corp.,

8.63%,

07/20/30

(b)

..

140

149,580

Medline

Borrower

LP

(b)

3.88%,

04/01/29

.................

175

151,812

5.25%,

10/01/29

.................

460

399,102

Teleflex,

Inc.,

4.63%,

11/15/27

.........

8

7,814

1,117,003

Health

Care

Providers

&

Services

—

2.1%

Acadia

Healthcare

Co.,

Inc.

(b)

5.50%,

07/01/28

.................

55

53,281

5.00%,

04/15/29

.................

60

56,400

AdaptHealth

LLC

(b)

6.13%,

08/01/28

.................

35

32,135

5.13%,

03/01/30

.................

29

24,602

AHP

Health

Partners,

Inc.,

5.75%,

07/15/29

(b)

112

94,080

Cano

Health

LLC,

6.25%,

10/01/28

(b)

.....

87

47,632

Centene

Corp.

3.00%,

10/15/30

.................

379

319,149

2.50%,

03/01/31

.................

113

91,507

2.63%,

08/01/31

.................

175

141,804

Community

Health

Systems,

Inc.

(b)

8.00%,

03/15/26

.................

1,000

966,490

5.63%,

03/15/27

.................

291

255,463

6.00%,

01/15/29

.................

112

94,739

5.25%,

05/15/30

.................

72

56,480

4.75%,

02/15/31

.................

100

73,827

Elevance

Health,

Inc.,

6.10%,

10/15/52

...

3,110

3,469,760

Encompass

Health

Corp.

4.50%,

02/01/28

.................

15

13,982

4.75%,

02/01/30

.................

165

150,017

4.63%,

04/01/31

.................

103

89,975

HCA,

Inc.,

3.50%,

07/15/51

...........

11,531

7,961,353

HealthEquity,

Inc.,

4.50%,

10/01/29

(b)

.....

196

174,140

Legacy

LifePoint

Health

LLC

(b)

6.75%,

04/15/25

.................

164

155,629

4.38%,

02/15/27

.................

61

49,890

ModivCare,

Inc.,

5.88%,

11/15/25

(b)

......

54

51,772

Molina

Healthcare,

Inc.

(b)

4.38%,

06/15/28

.................

25

23,257

3.88%,

11/15/30

.................

49

42,754

3.88%,

05/15/32

.................

195

163,878

Option

Care

Health,

Inc.,

4.38%,

10/31/29

(b)

.

148

130,697

Surgery

Center

Holdings,

Inc.,

10.00%,

04/15/27

(b)

....................

761

775,920

Tenet

Healthcare

Corp.

4.63%,

09/01/24

.................

219

215,138

4.88%,

01/01/26

.................

46

45,097

6.25%,

02/01/27

.................

165

162,259

5.13%,

11/01/27

.................

37

35,522

4.63%,

06/15/28

.................

48

44,273

6.13%,

10/01/28

.................

37

35,462

4.25%,

06/01/29

.................

31

28,046

6.13%,

06/15/30

(b)

................

221

218,016

UnitedHealth

Group,

Inc.,

5.88%,

02/15/53

.

6,075

6,828,262

23,172,688

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

40

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Health

Care

REITs

—

0.0%

MPT

Operating

Partnership

LP

4.63%,

08/01/29

.................

USD

124

$

91,605

3.50%,

03/15/31

.................

328

220,810

312,415

Hotel

&

Resort

REITs

—

0.0%

RHP

Hotel

Properties

LP

4.75%,

10/15/27

.................

119

111,527

4.50%,

02/15/29

(b)

................

155

140,008

RLJ

Lodging

Trust

LP,

4.00%,

09/15/29

(b)

..

125

104,390

355,925

Hotels,

Restaurants

&

Leisure

—

1.0%

1011778

BC

ULC

(b)

3.88%,

01/15/28

.................

304

282,720

4.00%,

10/15/30

.................

36

30,870

Aramark

International

Finance

SARL,

3.13%,

04/01/25

(h)

....................

EUR

100

104,894

Boyd

Gaming

Corp.,

4.75%,

12/01/27

....

USD

261

250,325

Boyne

USA,

Inc.,

4.75%,

05/15/29

(b)

.....

178

158,914

Caesars

Entertainment,

Inc.

(b)

6.25%,

07/01/25

.................

71

71,003

8.13%,

07/01/27

.................

529

539,580

4.63%,

10/15/29

.................

309

270,221

7.00%,

02/15/30

.................

729

741,757

Caesars

Resort

Collection

LLC,

5.75%,

07/01/25

(b)

....................

163

163,035

Carnival

Corp.

(b)

10.50%,

02/01/26

................

65

67,725

7.63%,

03/01/26

.................

41

37,413

5.75%,

03/01/27

.................

278

228,052

9.88%,

08/01/27

.................

151

155,544

4.00%,

08/01/28

.................

215

185,078

6.00%,

05/01/29

.................

322

255,990

Carnival

Holdings

Bermuda

Ltd.,

10.38%,

05/01/28

(b)

....................

705

758,411

CCM

Merger,

Inc.,

6.38%,

05/01/26

(b)

.....

122

119,116

CDI

Escrow

Issuer,

Inc.,

5.75%,

04/01/30

(b)

.

537

518,656

Cedar

Fair

LP

5.50%,

05/01/25

(b)

................

212

211,866

6.50%,

10/01/28

.................

31

30,077

Champion

Path

Holdings

Ltd.,

4.85%,

01/27/28

(h)

....................

200

166,975

Churchill

Downs,

Inc.

(b)

5.50%,

04/01/27

.................

8

7,833

4.75%,

01/15/28

.................

60

56,185

Codere

Finance

2

Luxembourg

SA,

11.00%,

(11.00%

Cash

or

11.00%

PIK),

09/30/26

(c)(h)(k)

EUR

5

4,578

Expedia

Group,

Inc.,

2.95%,

03/15/31

....

USD

572

477,302

Fertitta

Entertainment

LLC

(b)

4.63%,

01/15/29

.................

58

50,907

6.75%,

01/15/30

.................

25

20,568

Fortune

Star

BVI

Ltd.,

6.75%,

07/02/23

(h)

..

256

248,960

Hilton

Domestic

Operating

Co.,

Inc.

5.75%,

05/01/28

(b)

................

53

53,000

3.75%,

05/01/29

(b)

................

53

47,435

4.88%,

01/15/30

.................

244

233,718

3.63%,

02/15/32

(b)

................

46

38,812

Life

Time,

Inc.

(b)

5.75%,

01/15/26

.................

32

31,086

8.00%,

04/15/26

.................

210

200,321

Lindblad

Expeditions

LLC,

6.75%,

02/15/27

(b)

255

246,864

MajorDrive

Holdings

IV

LLC,

6.38%,

06/01/29

(b)

144

106,622

Meituan,

3.05%,

10/28/30

(h)

...........

200

160,080

Melco

Resorts

Finance

Ltd.

5.25%,

04/26/26

(h)

................

333

299,700

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

5.38%,

12/04/29

(b)

................

USD

200

$

163,500

Merlin

Entertainments

Ltd.,

5.75%,

06/15/26

(b)

200

189,695

MGM

China

Holdings

Ltd.,

5.38%,

05/15/24

(h)

300

292,837

MGM

Resorts

International,

5.75%,

06/15/25

23

22,945

Midwest

Gaming

Borrower

LLC,

4.88%,

05/01/29

(b)

....................

92

79,979

NCL

Corp.

Ltd.

(b)

5.88%,

03/15/26

.................

130

110,640

8.38%,

02/01/28

.................

37

37,127

7.75%,

02/15/29

.................

31

26,581

Premier

Entertainment

Sub

LLC,

5.88%,

09/01/31

(b)

....................

128

92,013

Raptor

Acquisition

Corp.,

4.88%,

11/01/26

(b)

.

63

58,590

Royal

Caribbean

Cruises

Ltd.

(b)

11.50%,

06/01/25

................

84

89,567

5.50%,

08/31/26

.................

108

101,039

5.38%,

07/15/27

.................

111

98,868

11.63%,

08/15/27

................

107

114,923

5.50%,

04/01/28

.................

18

15,892

8.25%,

01/15/29

.................

49

51,260

7.25%,

01/15/30

.................

156

156,975

Scientific

Games

International,

Inc.

(b)

7.00%,

05/15/28

.................

86

85,140

7.25%,

11/15/29

.................

50

50,096

Six

Flags

Theme

Parks,

Inc.,

7.00%,

07/01/25

(b)

77

77,796

Station

Casinos

LLC,

4.63%,

12/01/31

(b)

...

148

124,986

Studio

City

Finance

Ltd.,

6.00%,

07/15/25

(h)

.

318

292,421

Sunny

Express

Enterprises

Corp.,

2.63%,

04/23/25

(h)

....................

200

190,475

Vail

Resorts,

Inc.,

6.25%,

05/15/25

(b)

.....

154

154,360

Viking

Cruises

Ltd.,

5.88%,

09/15/27

(b)

....

250

215,270

Viking

Ocean

Cruises

Ship

VII

Ltd.,

5.63%,

02/15/29

(b)

....................

35

30,041

Wynn

Las

Vegas

LLC,

5.25%,

05/15/27

(b)

..

64

60,480

Wynn

Macau

Ltd.,

4.88%,

10/01/24

(h)

.....

300

288,840

Wynn

Resorts

Finance

LLC

(b)

5.13%,

10/01/29

.................

135

122,628

7.13%,

02/15/31

.................

153

155,199

Yum!

Brands,

Inc.,

4.75%,

01/15/30

(b)

.....

9

8,599

11,190,955

Household

Durables

—

0.7%

Ashton

Woods

USA

LLC

(b)

6.63%,

01/15/28

.................

54

48,958

4.63%,

08/01/29

.................

89

72,090

Brookfield

Residential

Properties,

Inc.

(b)

5.00%,

06/15/29

.................

137

104,805

4.88%,

02/15/30

.................

114

85,973

CD&R

Smokey

Buyer,

Inc.,

6.75%,

07/15/25

(b)

279

239,242

Installed

Building

Products,

Inc.,

5.75%,

02/01/28

(b)

....................

101

93,007

K.

Hovnanian

Enterprises,

Inc.,

7.75%,

02/15/26

(b)

....................

90

88,200

KB

Home,

7.25%,

07/15/30

...........

24

24,342

Mattamy

Group

Corp.,

5.25%,

12/15/27

(b)

..

118

111,068

Meritage

Homes

Corp.,

5.13%,

06/06/27

...

60

58,350

Midea

Investment

Development

Co.

Ltd.,

2.88%,

02/24/27

(h)

...............

200

185,584

Newell

Brands,

Inc.,

5.75%,

04/01/46

(c)(j)

...

8,142

6,656,085

SWF

Escrow

Issuer

Corp.,

6.50%,

10/01/29

(b)

321

197,415

Taylor

Morrison

Communities,

Inc.

(b)

5.88%,

06/15/27

.................

3

2,943

5.13%,

08/01/30

.................

79

72,923

Tempur

Sealy

International,

Inc.,

3.88%,

10/15/31

(b)

....................

209

174,515

BlackRock

Income

Fund

Schedules

of

Investments

41

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Household

Durables

(continued)

TRI

Pointe

Homes,

Inc.

5.25%,

06/01/27

.................

USD

2

$

1,900

5.70%,

06/15/28

.................

65

62,543

8,279,943

Household

Products

—

0.0%

Central

Garden

&

Pet

Co.,

5.13%,

02/01/28

.

9

8,663

Spectrum

Brands,

Inc.

(b)

5.50%,

07/15/30

.................

82

72,152

3.88%,

03/15/31

.................

27

22,081

102,896

Independent

Power

and

Renewable

Electricity

Producers

—

0.0%

Calpine

Corp.

(b)

5.13%,

03/15/28

.................

165

151,069

4.63%,

02/01/29

.................

70

60,432

5.00%,

02/01/31

.................

3

2,540

Clearway

Energy

Operating

LLC

(b)

4.75%,

03/15/28

.................

114

108,870

3.75%,

01/15/32

.................

104

86,432

TransAlta

Corp.,

7.75%,

11/15/29

.......

123

129,259

538,602

Industrial

Conglomerates

—

0.0%

CITIC

Ltd.,

2.88%,

02/17/27

(h)

.........

300

280,938

Insurance

—

0.5%

Acrisure

LLC,

6.00%,

08/01/29

(b)

........

75

61,974

AIA

Group

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

1.76%),

2.70%

(a)(h)(i)

..............

300

256,500

Alliant

Holdings

Intermediate

LLC

(b)

4.25%,

10/15/27

.................

384

343,945

6.75%,

10/15/27

.................

806

747,565

6.75%,

04/15/28

.................

351

347,051

5.88%,

11/01/29

.................

629

530,431

AmWINS

Group,

Inc.,

4.88%,

06/30/29

(b)

...

162

143,370

Ardonagh

Midco

2

plc,

11.50%,

(11.50%

Cash

or

12.75%

PIK),

01/15/27

(b)(k)

........

256

233,116

FWD

Group

Ltd.,

5.75%,

07/09/24

(h)

.....

200

194,000

GTCR

AP

Finance,

Inc.,

8.00%,

05/15/27

(b)

.

237

226,168

HUB

International

Ltd.

(b)

7.00%,

05/01/26

.................

171

168,060

5.63%,

12/01/29

.................

152

132,434

Jones

Deslauriers

Insurance

Management,

Inc.

(b)

8.50%,

03/15/30

.................

105

108,829

10.50%,

12/15/30

................

200

201,442

Kyobo

Life

Insurance

Co.

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.89%),

5.90%,

06/15/52

(a)(h)

..

200

188,038

Muang

Thai

Life

Assurance

PCL,

(10-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.40%),

3.55%,

01/27/37

(a)(h)

..

275

238,872

NFP

Corp.

(b)

4.88%,

08/15/28

.................

304

274,208

6.88%,

08/15/28

.................

755

647,895

7.50%,

10/01/30

.................

64

61,839

Ryan

Specialty

Group

LLC,

4.38%,

02/01/30

(b)

109

95,307

Tongyang

Life

Insurance

Co.

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.98%),

5.25%

(a)(h)(i)

........

200

172,162

ZhongAn

Online

P&C

Insurance

Co.

Ltd.,

3.13%,

07/16/25

(h)

...............

200

170,000

5,543,206

Security

Par

(000)

Par

(000)

Value

Interactive

Media

&

Services

—

0.2%

Baidu,

Inc.,

1.72%,

04/09/26

..........

USD

600

$

542,664

Tencent

Holdings

Ltd.

(h)

1.81%,

01/26/26

.................

200

183,225

3.58%,

04/11/26

.................

600

575,550

2.39%,

06/03/30

.................

500

423,540

Weibo

Corp.,

3.50%,

07/05/24

.........

400

388,575

2,113,554

IT

Services

—

0.2%

Acuris

Finance

US,

Inc.,

5.00%,

05/01/28

(b)

.

261

204,885

Ahead

DB

Holdings

LLC,

6.63%,

05/01/28

(b)

135

111,799

Booz

Allen

Hamilton,

Inc.

(b)

3.88%,

09/01/28

.................

61

55,665

4.00%,

07/01/29

.................

278

250,871

CA

Magnum

Holdings

5.38%,

10/31/26

(h)

................

300

264,750

5.38%,

10/31/26

(b)

................

212

187,090

Cablevision

Lightpath

LLC,

3.88%,

09/15/27

(b)

200

160,946

ION

Trading

Technologies

SARL,

5.75%,

05/15/28

(b)

....................

350

279,534

Northwest

Fiber

LLC

(b)

4.75%,

04/30/27

.................

49

41,862

6.00%,

02/15/28

.................

12

8,879

Presidio

Holdings,

Inc.,

4.88%,

02/01/27

(b)

..

18

17,202

Tempo

Acquisition

LLC,

5.75%,

06/01/25

(b)

.

32

31,728

Twilio,

Inc.

3.63%,

03/15/29

.................

90

77,625

3.88%,

03/15/31

.................

176

149,339

Wipro

IT

Services

LLC,

1.50%,

06/23/26

(h)

..

600

538,800

2,380,975

Leisure

Products

—

0.0%

Mattel,

Inc.

3.75%,

04/01/29

(b)

................

8

7,188

6.20%,

10/01/40

.................

134

120,684

5.45%,

11/01/41

.................

21

17,682

145,554

Life

Sciences

Tools

&

Services

—

0.0%

(b)

Charles

River

Laboratories

International,

Inc.,

4.25%,

05/01/28

................

78

72,999

PRA

Health

Sciences,

Inc.,

2.88%,

07/15/26

271

249,973

322,972

Machinery

—

0.3%

Amsted

Industries,

Inc.,

5.63%,

07/01/27

(b)

.

108

105,030

Chart

Industries,

Inc.

(b)

7.50%,

01/01/30

.................

296

305,833

9.50%,

01/01/31

.................

69

72,795

CSSC

Capital

2015

Ltd.,

2.50%,

02/13/25

(h)

.

300

285,150

EnPro

Industries,

Inc.,

5.75%,

10/15/26

...

126

122,535

Husky

III

Holding

Ltd.,

13.00%,

(13.00%

Cash

or

13.75%

PIK),

02/15/25

(b)(k)

........

167

141,115

Mueller

Water

Products,

Inc.,

4.00%,

06/15/29

(b)

68

60,743

OT

Merger

Corp.,

7.88%,

10/15/29

(b)

.....

144

84,965

Roller

Bearing

Co.

of

America,

Inc.,

4.38%,

10/15/29

(b)

....................

153

136,615

Terex

Corp.,

5.00%,

05/15/29

(b)

........

88

81,885

Titan

Acquisition

Ltd.,

7.75%,

04/15/26

(b)

...

1,338

1,120,575

Titan

International,

Inc.,

7.00%,

04/30/28

..

54

48,656

TK

Elevator

Holdco

GmbH,

7.63%,

07/15/28

(b)

223

192,725

TK

Elevator

Midco

GmbH,

4.38%,

07/15/27

(h)

EUR

100

97,876

TK

Elevator

US

Newco,

Inc.,

5.25%,

07/15/27

(b)

USD

472

445,615

Wabash

National

Corp.,

4.50%,

10/15/28

(b)

.

53

45,949

3,348,062

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

42

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Media

—

1.6%

Altice

Financing

SA

(b)

5.00%,

01/15/28

.................

USD

404

$

328,533

5.75%,

08/15/29

.................

200

159,000

AMC

Networks,

Inc.,

4.25%,

02/15/29

....

117

71,933

Block

Communications,

Inc.,

4.88%,

03/01/28

(b)

43

37,156

Cable

One,

Inc.

0.00%,

03/15/26

(m)(n)

..............

49

38,661

1.13%,

03/15/28

(m)

...............

83

60,673

4.00%,

11/15/30

(b)

................

312

253,959

Charter

Communications

Operating

LLC

5.13%,

07/01/49

(j)

................

1,000

791,563

3.70%,

04/01/51

(j)

................

2,410

1,542,345

4.40%,

12/01/61

.................

5,750

3,928,847

Clear

Channel

International

BV,

6.63%,

08/01/25

(b)

....................

256

249,109

Clear

Channel

Outdoor

Holdings,

Inc.

(b)

5.13%,

08/15/27

.................

622

558,245

7.75%,

04/15/28

.................

810

607,500

CMG

Media

Corp.,

8.88%,

12/15/27

(b)

....

153

115,668

Comcast

Corp.

3.75%,

04/01/40

.................

910

781,141

4.05%,

11/01/52

.................

260

218,665

2.94%,

11/01/56

.................

448

298,213

2.99%,

11/01/63

.................

5,241

3,398,171

CSC

Holdings

LLC

5.25%,

06/01/24

.................

70

67,550

4.13%,

12/01/30

(b)

................

633

454,614

4.50%,

11/15/31

(b)

................

289

208,372

DirecTV

Financing

LLC,

5.88%,

08/15/27

(b)

.

161

145,818

DISH

DBS

Corp.

5.25%,

12/01/26

(b)

................

220

175,537

5.75%,

12/01/28

(b)

................

279

208,204

5.13%,

06/01/29

.................

66

35,145

DISH

Network

Corp.,

11.75%,

11/15/27

(b)

..

103

99,910

GCI

LLC,

4.75%,

10/15/28

(b)

..........

104

89,724

LCPR

Senior

Secured

Financing

DAC,

6.75%,

10/15/27

(b)

....................

200

188,900

Midcontinent

Communications,

5.38%,

08/15/27

(b)

....................

122

110,410

Outfront

Media

Capital

LLC

(b)

5.00%,

08/15/27

.................

319

287,365

4.25%,

01/15/29

.................

83

68,890

4.63%,

03/15/30

.................

62

51,706

Radiate

Holdco

LLC

(b)

4.50%,

09/15/26

.................

99

77,467

6.50%,

09/15/28

.................

429

175,890

Sinclair

Television

Group,

Inc.,

4.13%,

12/01/30

(b)

....................

393

316,856

Sirius

XM

Radio,

Inc.

(b)

3.13%,

09/01/26

.................

23

20,746

5.00%,

08/01/27

.................

504

471,850

4.00%,

07/15/28

.................

41

35,216

Stagwell

Global

LLC,

5.63%,

08/15/29

(b)

...

111

97,340

TEGNA,

Inc.,

4.75%,

03/15/26

(b)

........

17

16,126

Telenet

Finance

Luxembourg

Notes

SARL,

5.50%,

03/01/28

(b)

...............

200

184,000

Univision

Communications,

Inc.

(b)

5.13%,

02/15/25

.................

46

45,180

6.63%,

06/01/27

.................

121

114,732

7.38%,

06/30/30

.................

65

61,454

UPC

Broadband

Finco

BV,

4.88%,

07/15/31

(b)

200

172,946

Virgin

Media

Vendor

Financing

Notes

IV

DAC,

5.00%,

07/15/28

(b)

...............

200

177,750

17,599,080

Security

Par

(000)

Par

(000)

Value

Metals

&

Mining

—

0.7%

ABJA

Investment

Co.

Pte.

Ltd.

(h)

4.45%,

07/24/23

.................

USD

200

$

198,250

5.95%,

07/31/24

.................

213

211,403

5.45%,

01/24/28

.................

200

193,162

AngloGold

Ashanti

Holdings

plc,

3.38%,

11/01/28

.....................

472

418,399

Arconic

Corp.

(b)

6.00%,

05/15/25

.................

186

186,000

6.13%,

02/15/28

.................

142

139,686

ATI,

Inc.

5.88%,

12/01/27

.................

101

98,667

5.13%,

10/01/31

.................

160

145,600

Big

River

Steel

LLC,

6.63%,

01/31/29

(b)

...

586

581,523

Carpenter

Technology

Corp.

6.38%,

07/15/28

.................

31

30,238

7.63%,

03/15/30

.................

160

165,495

Chinalco

Capital

Holdings

Ltd.,

2.13%,

06/03/26

(h)

....................

300

275,982

Commercial

Metals

Co.

4.13%,

01/15/30

.................

28

24,714

4.38%,

03/15/32

.................

35

30,108

Constellium

SE

4.25%,

02/15/26

(h)

................

EUR

100

105,223

5.63%,

06/15/28

(b)

................

USD

250

236,006

3.75%,

04/15/29

(b)

................

392

339,554

ERO

Copper

Corp.,

6.50%,

02/15/30

(b)

....

148

128,853

Freeport

Indonesia

PT,

4.76%,

04/14/27

(b)

..

615

598,587

Freeport-McMoRan,

Inc.,

5.45%,

03/15/43

.

260

243,200

JSW

Steel

Ltd.,

3.95%,

04/05/27

(h)

......

250

215,000

Kaiser

Aluminum

Corp.

(b)

4.63%,

03/01/28

.................

23

20,471

4.50%,

06/01/31

.................

239

196,269

Metinvest

BV

(h)

8.50%,

04/23/26

.................

324

197,640

7.65%,

10/01/27

.................

226

130,021

Minmetals

Bounteous

Finance

BVI

Ltd.,

4.20%,

07/27/26

(h)

....................

200

194,944

New

Gold,

Inc.,

7.50%,

07/15/27

(b)

......

96

92,407

Nexa

Resources

SA,

5.38%,

05/04/27

(b)

...

200

187,250

Novelis

Corp.

(b)

3.25%,

11/15/26

.................

529

483,435

4.75%,

01/30/30

.................

88

80,854

3.88%,

08/15/31

.................

423

356,267

Novelis

Sheet

Ingot

GmbH,

3.38%,

04/15/29

(h)

EUR

100

94,290

POSCO

(b)

5.75%,

01/17/28

.................

USD

365

374,056

5.88%,

01/17/33

.................

200

212,772

POSCO

Holdings,

Inc.,

2.50%,

01/17/25

(h)

..

300

285,900

Stillwater

Mining

Co.,

4.00%,

11/16/26

(h)

...

650

580,125

Vedanta

Resources

Finance

II

plc,

13.88%,

01/21/24

(h)

....................

200

160,162

8,212,513

Mortgage

Real

Estate

Investment

Trusts

(REITs)

—

0.0%

(b)

Ladder

Capital

Finance

Holdings

LLLP

5.25%,

10/01/25

.................

18

15,837

4.25%,

02/01/27

.................

56

44,240

Starwood

Property

Trust,

Inc.,

4.38%,

01/15/27

57

47,108

107,185

Multi-Utilities

—

0.3%

Dominion

Energy,

Inc.,

Series

C,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.20%),

4.35%

(a)(i)

.........

4,445

3,677,134

BlackRock

Income

Fund

Schedules

of

Investments

43

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

—

4.0%

Aethon

United

BR

LP,

8.25%,

02/15/26

(b)

...

USD

275

$

269,836

AI

Candelaria

Spain

SA,

7.50%,

12/15/28

(h)

.

282

257,075

Antero

Midstream

Partners

LP

(b)

5.75%,

03/01/27

.................

104

101,610

5.38%,

06/15/29

.................

106

99,761

Apache

Corp.

4.25%,

01/15/30

.................

11

10,038

5.10%,

09/01/40

.................

35

29,662

5.35%,

07/01/49

.................

129

99,696

Ascent

Resources

Utica

Holdings

LLC

(b)

9.00%,

11/01/27

.................

403

489,547

5.88%,

06/30/29

.................

60

52,950

Buckeye

Partners

LP

4.13%,

03/01/25

(b)

................

208

196,751

5.85%,

11/15/43

.................

74

55,876

Callon

Petroleum

Co.

8.25%,

07/15/25

.................

17

16,881

6.38%,

07/01/26

.................

77

73,150

8.00%,

08/01/28

(b)

................

516

511,201

7.50%,

06/15/30

(b)

................

112

105,280

Cheniere

Corpus

Christi

Holdings

LLC,

5.13%,

06/30/27

.....................

500

500,380

Cheniere

Energy

Partners

LP

4.50%,

10/01/29

.................

206

191,376

4.00%,

03/01/31

.................

37

32,928

3.25%,

01/31/32

.................

700

578,284

Chesapeake

Energy

Corp.

(b)

5.88%,

02/01/29

.................

17

16,182

6.75%,

04/15/29

.................

270

268,045

CITGO

Petroleum

Corp.,

7.00%,

06/15/25

(b)

.

314

309,792

Civitas

Resources,

Inc.,

5.00%,

10/15/26

(b)

.

113

106,221

CNOOC

Finance

2013

Ltd.,

2.88%,

09/30/29

250

227,843

CNX

Midstream

Partners

LP,

4.75%,

04/15/30

(b)

118

101,480

CNX

Resources

Corp.

(b)

6.00%,

01/15/29

.................

5

4,675

7.38%,

01/15/31

.................

152

149,720

Comstock

Resources,

Inc.

(b)

6.75%,

03/01/29

.................

303

277,257

5.88%,

01/15/30

.................

126

108,253

Continuum

Energy

Levanter

Pte.

Ltd.,

4.50%,

02/09/27

(h)

....................

323

283,985

CQP

Holdco

LP,

5.50%,

06/15/31

(b)

......

446

400,887

Crescent

Energy

Finance

LLC

(b)

7.25%,

05/01/26

.................

306

287,640

9.25%,

02/15/28

.................

136

130,390

Crestwood

Midstream

Partners

LP

(b)

5.63%,

05/01/27

.................

42

40,463

6.00%,

02/01/29

.................

86

81,871

8.00%,

04/01/29

.................

32

32,640

7.38%,

02/01/31

.................

56

56,000

CrownRock

LP

(b)

5.63%,

10/15/25

.................

414

405,744

5.00%,

05/01/29

.................

49

45,649

DCP

Midstream

Operating

LP

(b)

6.45%,

11/03/36

.................

29

30,077

6.75%,

09/15/37

.................

103

111,727

Diamondback

Energy,

Inc.,

6.25%,

03/15/33

4,746

5,015,468

DT

Midstream,

Inc.,

4.13%,

06/15/29

(b)

....

294

257,751

Earthstone

Energy

Holdings

LLC,

8.00%,

04/15/27

(b)

....................

117

113,528

EIG

Pearl

Holdings

SARL,

3.55%,

08/31/36

(b)

662

565,183

Energy

Transfer

LP

Series

H,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.69%),

6.50%

(a)(i)

....................

133

117,040

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

3.75%,

05/15/30

.................

USD

112

$

103,355

5.75%,

02/15/33

.................

1,925

1,971,546

5.15%,

02/01/43

.................

150

130,803

5.30%,

04/15/47

.................

721

631,801

5.00%,

05/15/50

.................

1,060

904,740

EnLink

Midstream

LLC

5.63%,

01/15/28

(b)

................

36

35,280

5.38%,

06/01/29

.................

226

217,525

6.50%,

09/01/30

(b)

................

62

62,695

EnLink

Midstream

Partners

LP

4.15%,

06/01/25

.................

2

1,940

4.85%,

07/15/26

.................

85

81,812

5.60%,

04/01/44

.................

52

42,441

5.45%,

06/01/47

.................

46

36,661

Enterprise

Products

Operating

LLC

4.80%,

02/01/49

.................

320

293,527

3.95%,

01/31/60

.................

320

250,729

EQM

Midstream

Partners

LP

6.00%,

07/01/25

(b)

................

92

90,951

4.13%,

12/01/26

.................

178

161,649

7.50%,

06/01/30

(b)

................

31

30,031

4.75%,

01/15/31

(b)

................

73

60,590

Genesis

Energy

LP

6.50%,

10/01/25

.................

86

83,304

7.75%,

02/01/28

.................

104

100,835

8.88%,

04/15/30

.................

90

91,125

Greenko

Dutch

BV,

3.85%,

03/29/26

(h)

....

188

169,341

Greenko

Solar

Mauritius

Ltd.,

5.95%,

07/29/26

(h)

....................

200

187,913

Gulfport

Energy

Corp.,

8.00%,

05/17/26

(b)

..

28

27,225

Harvest

Midstream

I

LP,

7.50%,

09/01/28

(b)

.

51

50,863

Hess

Corp.,

5.80%,

04/01/47

..........

3,200

3,134,578

Hess

Midstream

Operations

LP,

4.25%,

02/15/30

(b)

....................

213

190,230

Hilcorp

Energy

I

LP

(b)

6.25%,

11/01/28

.................

65

61,684

5.75%,

02/01/29

.................

184

169,380

6.00%,

02/01/31

.................

10

9,208

India

Green

Power

Holdings,

4.00%,

02/22/27

(h)

190

161,025

ITT

Holdings

LLC,

6.50%,

08/01/29

(b)

.....

200

168,864

Kinder

Morgan,

Inc.,

4.80%,

02/01/33

....

184

177,528

Kinetik

Holdings

LP,

5.88%,

06/15/30

(b)

....

215

206,938

Leviathan

Bond

Ltd.,

5.75%,

06/30/23

(b)(h)

..

251

249,531

Magnolia

Oil

&

Gas

Operating

LLC,

6.00%,

08/01/26

(b)

....................

12

11,668

Matador

Resources

Co.,

5.88%,

09/15/26

..

229

225,936

MC

Brazil

Downstream

Trading

SARL,

7.25%,

06/30/31

(h)

....................

484

376,382

Medco

Oak

Tree

Pte.

Ltd.,

7.38%,

05/14/26

(h)

250

238,750

MPLX

LP

1.75%,

03/01/26

.................

6,650

6,068,874

4.95%,

03/14/52

.................

5,499

4,779,614

5.65%,

03/01/53

.................

930

894,353

Murphy

Oil

Corp.

5.88%,

12/01/27

.................

41

39,931

6.13%,

12/01/42

(c)

................

16

13,257

New

Fortress

Energy,

Inc.

(b)

6.75%,

09/15/25

.................

724

696,850

6.50%,

09/30/26

.................

172

158,240

NGL

Energy

Operating

LLC,

7.50%,

02/01/26

(b)

31

29,911

NGPL

PipeCo

LLC,

7.77%,

12/15/37

(b)

....

122

134,440

Northern

Oil

&

Gas,

Inc.,

8.13%,

03/01/28

(b)

.

458

454,313

NuStar

Logistics

LP

6.00%,

06/01/26

.................

203

198,983

6.38%,

10/01/30

.................

47

45,096

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

44

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

Occidental

Petroleum

Corp.

6.95%,

07/01/24

.................

USD

162

$

164,040

5.88%,

09/01/25

.................

45

45,350

8.88%,

07/15/30

.................

201

233,791

6.63%,

09/01/30

.................

319

335,961

7.50%,

05/01/31

.................

55

60,659

6.45%,

09/15/36

.................

324

340,663

4.63%,

06/15/45

.................

11

8,811

6.60%,

03/15/46

.................

120

126,166

4.40%,

04/15/46

.................

41

32,493

4.20%,

03/15/48

.................

13

10,075

Parkland

Corp.,

5.88%,

07/15/27

(b)

......

62

60,146

PDC

Energy,

Inc.

6.13%,

09/15/24

.................

20

19,900

5.75%,

05/15/26

.................

8

7,788

Permian

Resources

Operating

LLC

(b)

7.75%,

02/15/26

.................

221

221,552

6.88%,

04/01/27

.................

146

142,835

5.88%,

07/01/29

.................

110

104,158

Petronas

Energy

Canada

Ltd.,

2.11%,

03/23/28

(h)

....................

200

180,698

Range

Resources

Corp.,

4.88%,

05/15/25

..

91

89,218

Reliance

Industries

Ltd.

(h)

4.13%,

01/28/25

.................

750

737,485

3.67%,

11/30/27

.................

412

387,976

2.88%,

01/12/32

.................

500

413,330

Rockcliff

Energy

II

LLC,

5.50%,

10/15/29

(b)

.

238

210,931

Rockies

Express

Pipeline

LLC,

4.95%,

07/15/29

(b)

....................

31

27,616

Sinopec

Group

Overseas

Development

2018

Ltd.

(h)

1.45%,

01/08/26

.................

300

274,758

2.30%,

01/08/31

.................

700

602,994

SM

Energy

Co.

5.63%,

06/01/25

.................

37

35,875

6.75%,

09/15/26

.................

100

98,066

6.63%,

01/15/27

.................

15

14,410

6.50%,

07/15/28

.................

144

137,413

Southwestern

Energy

Co.

5.70%,

01/23/25

(c)

................

18

18,009

5.38%,

02/01/29

.................

59

55,607

Sunoco

LP

6.00%,

04/15/27

.................

25

24,682

5.88%,

03/15/28

.................

36

34,560

Tallgrass

Energy

Partners

LP

(b)

7.50%,

10/01/25

.................

5

4,998

6.00%,

03/01/27

.................

31

29,345

5.50%,

01/15/28

.................

26

23,773

6.00%,

12/31/30

.................

21

18,768

6.00%,

09/01/31

.................

78

68,973

Tap

Rock

Resources

LLC,

7.00%,

10/01/26

(b)

506

443,285

TerraForm

Power

Operating

LLC,

4.75%,

01/15/30

(b)

....................

38

34,074

Thaioil

Treasury

Center

Co.

Ltd.,

2.50%,

06/18/30

(h)

....................

200

161,100

Venture

Global

Calcasieu

Pass

LLC

(b)

3.88%,

08/15/29

.................

882

795,564

4.13%,

08/15/31

.................

154

135,301

3.88%,

11/01/33

.................

264

221,760

Vermilion

Energy,

Inc.,

6.88%,

05/01/30

(b)

..

117

106,551

Western

Midstream

Operating

LP

6.15%,

04/01/33

.................

25

25,339

5.45%,

04/01/44

.................

118

102,898

5.30%,

03/01/48

.................

45

38,129

5.50%,

08/15/48

.................

99

85,256

Security

Par

(000)

Par

(000)

Value

Oil,

Gas

&

Consumable

Fuels

(continued)

5.50%,

02/01/50

(c)

................

USD

150

$

127,275

45,612,444

Paper

&

Forest

Products

—

0.1%

Suzano

Austria

GmbH,

3.75%,

01/15/31

...

750

648,038

Passenger

Airlines

—

0.3%

ABRA

Global

Finance,

11.50%,

(11.50%

Cash

or

11.50%

PIK),

03/02/28

(b)(k)

........

683

529,954

Air

Canada,

3.88%,

08/15/26

(b)

.........

211

191,588

Allegiant

Travel

Co.,

7.25%,

08/15/27

(b)

...

69

68,690

American

Airlines,

Inc.

(b)

11.75%,

07/15/25

................

499

545,926

5.50%,

04/20/26

.................

49

48,234

7.25%,

02/15/28

.................

23

22,368

5.75%,

04/20/29

.................

307

294,758

Avianca

Midco

2

plc,

9.00%,

12/01/28

(b)

...

363

297,660

Delta

Air

Lines,

Inc.,

4.75%,

10/20/28

(b)

....

4

3,471

Hawaiian

Brand

Intellectual

Property

Ltd.,

5.75%,

01/20/26

(b)

...............

223

211,706

Mileage

Plus

Holdings

LLC,

6.50%,

06/20/27

(b)

325

323,654

Singapore

Airlines

Ltd.,

3.00%,

07/20/26

(h)

..

200

190,500

Spirit

Loyalty

Cayman

Ltd.

8.00%,

09/20/25

(b)

................

247

247,939

United

Airlines

Pass-Through

Trust,

Series

2020-1,

Class

B,

4.88%,

01/15/26

.....

36

34,972

United

Airlines,

Inc.

(b)

4.38%,

04/15/26

.................

264

252,572

4.63%,

04/15/29

.................

260

235,171

3,499,163

Personal

Care

Products

—

0.0%

(b)

Coty,

Inc.,

4.75%,

01/15/29

...........

6

5,603

Prestige

Brands,

Inc.,

3.75%,

04/01/31

....

82

69,502

75,105

Pharmaceuticals

—

0.1%

Catalent

Pharma

Solutions,

Inc.

(b)

3.13%,

02/15/29

.................

47

41,318

3.50%,

04/01/30

.................

217

190,706

Cheplapharm

Arzneimittel

GmbH,

5.50%,

01/15/28

(b)

....................

200

178,046

Organon

&

Co.,

5.13%,

04/30/31

(b)

......

279

247,652

Teva

Pharmaceutical

Finance

Netherlands

III

BV

3.15%,

10/01/26

.................

138

124,114

4.75%,

05/09/27

.................

200

186,000

967,836

Professional

Services

—

0.1%

(b)

CoreLogic,

Inc.,

4.50%,

05/01/28

.......

302

229,142

Dun

&

Bradstreet

Corp.

(The),

5.00%,

12/15/29

267

231,188

KBR,

Inc.,

4.75%,

09/30/28

...........

113

100,978

Science

Applications

International

Corp.,

4.88%,

04/01/28

................

139

129,425

690,733

Real

Estate

Management

&

Development

—

0.6%

Agile

Group

Holdings

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

9.22%),

13.48%

(a)(h)(i)

.............

220

85,085

China

Aoyuan

Group

Ltd.,

8.50%,

01/23/22

(d)(h)(l)

200

18,000

CIFI

Holdings

Group

Co.

Ltd.,

6.55%,

03/28/24

(d)(h)(l)

..................

300

61,500

Country

Garden

Holdings

Co.

Ltd.

(h)

3.13%,

10/22/25

.................

200

121,000

7.25%,

04/08/26

.................

300

189,000

Cushman

&

Wakefield

US

Borrower

LLC,

6.75%,

05/15/28

(b)

...............

202

180,846

BlackRock

Income

Fund

Schedules

of

Investments

45

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Real

Estate

Management

&

Development

(continued)

ESR

Group

Ltd.,

1.50%,

09/30/25

(h)(m)

.....

USD

700

$

676,550

Fantasia

Holdings

Group

Co.

Ltd.

(d)(h)(l)

11.75%,

04/17/22

................

5,280

541,200

7.95%,

07/05/22

.................

750

78,848

12.25%,

10/18/22

................

755

77,387

10.88%,

01/09/23

................

330

33,825

15.00%,

12/18/23

................

200

20,500

Five

Point

Operating

Co.

LP,

7.88%,

11/15/25

(b)

1,000

899,500

Howard

Hughes

Corp.

(The),

4.38%,

02/01/31

(b)

209

168,245

JGC

Ventures

Pte.

Ltd.

(k)

0.00%,

(0.00%

Cash

or

3.00%

PIK),

06/30/25

....................

56

10,861

3.00%,

(3.00%

Cash

or

3.00%

PIK),

06/30/25

(d)(h)(l)

.................

1,792

586,439

KWG

Group

Holdings

Ltd.,

6.00%,

08/14/26

(h)

200

50,000

Longfor

Group

Holdings

Ltd.,

3.38%,

04/13/27

(h)

200

163,787

MAF

Sukuk

Ltd.,

4.64%,

05/14/29

(h)

......

894

878,523

Modern

Land

China

Co.

Ltd.

(a)(d)(h)(k)(l)

8.00%,

(8.00%

Cash

or

10.00%

PIK),

12/30/24

....................

317

14,969

9.00%,

(9.00%

Cash

or

11.00%

PIK),

12/30/26

....................

226

10,113

9.00%,

(9.00%

Cash

or

11.00%

PIK),

12/30/27

....................

330

14,038

NWD

Finance

BVI

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.86%),

4.13%

(a)(h)(i)

..............

400

298,450

Powerlong

Real

Estate

Holdings

Ltd.,

6.25%,

08/10/24

(h)

....................

200

47,037

Realogy

Group

LLC,

5.25%,

04/15/30

(b)

...

207

150,878

Redsun

Properties

Group

Ltd.,

10.50%,

10/03/22

(d)(h)(l)

..................

200

23,000

Ronshine

China

Holdings

Ltd.,

7.10%,

01/25/25

(d)(h)(l)

..................

710

47,925

Shui

On

Development

Holding

Ltd.,

6.15%,

08/24/24

(h)

....................

200

175,413

Sinic

Holdings

Group

Co.

Ltd.

(d)(h)(l)

8.50%,

01/24/22

.................

1,100

11,000

10.50%,

06/18/22

................

1,309

13,090

Sinochem

Offshore

Capital

Co.

Ltd.,

2.38%,

09/23/31

(h)

....................

250

197,000

Vanke

Real

Estate

Hong

Kong

Co.

Ltd.,

4.15%,

04/18/23

(h)

....................

400

399,040

Westwood

Group

Holdings

Ltd.,

2.80%,

01/20/26

(h)

....................

200

181,350

Yango

Justice

International

Ltd.,

10.25%,

09/15/22

(d)(l)

...................

283

5,660

Yanlord

Land

HK

Co.

Ltd.,

6.75%,

04/23/23

(h)

250

249,375

Yuzhou

Group

Holdings

Co.

Ltd.

(d)(h)(l)

8.30%,

05/27/25

.................

1,458

127,575

7.38%,

01/13/26

.................

1,250

109,375

Zhenro

Properties

Group

Ltd.,

7.35%,

02/05/25

(d)(h)(l)

..................

372

27,900

6,944,284

Retail

REITs

—

0.0%

Brookfield

Property

REIT,

Inc.,

4.50%,

04/01/27

(b)

....................

133

106,733

Link

Finance

Cayman

2009

Ltd.

(The),

2.88%,

07/21/26

(h)

....................

200

189,350

296,083

Semiconductors

&

Semiconductor

Equipment

—

1.2%

Broadcom,

Inc.

1.95%,

02/15/28

(b)

................

2,662

2,315,712

4.30%,

11/15/32

.................

75

69,101

3.42%,

04/15/33

(b)

................

91

76,141

Security

Par

(000)

Par

(000)

Value

Semiconductors

&

Semiconductor

Equipment

(continued)

3.75%,

02/15/51

(b)

................

USD

10,000

$

7,364,547

Entegris

Escrow

Corp.,

4.75%,

04/15/29

(b)

..

682

644,764

Entegris,

Inc.

(b)

4.38%,

04/15/28

.................

68

61,433

3.63%,

05/01/29

.................

88

75,958

Marvell

Technology,

Inc.,

2.95%,

04/15/31

..

172

143,629

NXP

BV,

4.40%,

06/01/27

............

1,405

1,380,576

SK

Hynix,

Inc.,

1.50%,

01/19/26

(h)

.......

500

443,375

Synaptics,

Inc.,

4.00%,

06/15/29

(b)

.......

207

178,255

TSMC

Global

Ltd.,

2.25%,

04/23/31

(h)

.....

400

336,628

13,090,119

Software

—

1.5%

ACI

Worldwide,

Inc.,

5.75%,

08/15/26

(b)

...

125

123,750

Alteryx,

Inc.,

8.75%,

03/15/28

(b)

........

87

87,563

AthenaHealth

Group,

Inc.,

6.50%,

02/15/30

(b)

576

467,055

Black

Knight

InfoServ

LLC,

3.63%,

09/01/28

(b)

263

239,001

Boxer

Parent

Co.,

Inc.

(b)

7.13%,

10/02/25

.................

271

269,708

9.13%,

03/01/26

.................

267

258,916

Camelot

Finance

SA,

4.50%,

11/01/26

(b)

...

225

212,625

Central

Parent,

Inc.,

7.25%,

06/15/29

(b)

....

239

234,908

Clarivate

Science

Holdings

Corp.

(b)

3.88%,

07/01/28

.................

492

439,095

4.88%,

07/01/29

.................

266

240,562

Cloud

Software

Group

Holdings,

Inc.,

6.50%,

03/31/29

(b)

....................

1,109

981,026

Consensus

Cloud

Solutions,

Inc.,

6.50%,

10/15/28

(b)

....................

83

68,832

Crowdstrike

Holdings,

Inc.,

3.00%,

02/15/29

25

21,818

Elastic

NV,

4.13%,

07/15/29

(b)

.........

220

187,825

Fair

Isaac

Corp.,

4.00%,

06/15/28

(b)

......

74

68,635

Helios

Software

Holdings,

Inc.,

4.63%,

05/01/28

(b)

....................

200

162,494

McAfee

Corp.,

7.38%,

02/15/30

(b)

.......

414

347,137

MicroStrategy,

Inc.,

6.13%,

06/15/28

(b)

....

274

243,175

NCR

Corp.

(b)

5.00%,

10/01/28

.................

103

90,533

6.13%,

09/01/29

.................

29

28,604

Open

Text

Corp.,

6.90%,

12/01/27

(b)

.....

340

350,744

Oracle

Corp.

6.15%,

11/09/29

.................

3,375

3,594,806

6.25%,

11/09/32

.................

228

245,226

3.95%,

03/25/51

.................

8,055

6,061,206

5.55%,

02/06/53

.................

1,335

1,270,975

PTC,

Inc.,

4.00%,

02/15/28

(b)

..........

7

6,541

SS&C

Technologies,

Inc.,

5.50%,

09/30/27

(b)

382

370,654

Veritas

US,

Inc.,

7.50%,

09/01/25

(b)

......

245

184,426

ZoomInfo

Technologies

LLC,

3.88%,

02/01/29

(b)

382

330,707

17,188,547

Specialized

REITs

—

2.4%

American

Tower

Corp.

3.13%,

01/15/27

.................

1,000

931,035

3.65%,

03/15/27

.................

3,833

3,640,692

2.95%,

01/15/51

.................

6,233

3,992,533

Crown

Castle,

Inc.

1.05%,

07/15/26

.................

1,690

1,489,180

2.90%,

03/15/27

.................

3,386

3,142,504

3.80%,

02/15/28

.................

6,683

6,342,266

Equinix,

Inc.,

1.80%,

07/15/27

.........

7,864

6,844,323

Iron

Mountain,

Inc.,

5.00%,

07/15/28

(b)

....

35

32,568

SBA

Communications

Corp.

3.88%,

02/15/27

.................

163

153,878

3.13%,

02/01/29

.................

310

269,681

26,838,660

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

46

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Specialty

Retail

—

1.1%

Arko

Corp.,

5.13%,

11/15/29

(b)

.........

USD

67

$

55,455

Asbury

Automotive

Group,

Inc.

4.75%,

03/01/30

.................

51

45,645

5.00%,

02/15/32

(b)

................

145

127,021

eG

Global

Finance

plc,

6.75%,

02/07/25

(b)

..

1,200

1,110,648

GYP

Holdings

III

Corp.,

4.63%,

05/01/29

(b)

..

112

95,760

JMH

Co.

Ltd.,

2.50%,

04/09/31

(h)

.......

200

170,164

LCM

Investments

Holdings

II

LLC,

4.88%,

05/01/29

(b)

....................

284

237,594

Lowe's

Cos.,

Inc.

3.00%,

10/15/50

.................

4,146

2,751,586

5.63%,

04/15/53

.................

3,910

3,922,763

Murphy

Oil

USA,

Inc.,

4.75%,

09/15/29

....

109

99,289

Penske

Automotive

Group,

Inc.,

3.75%,

06/15/29

(b)

....................

27

23,310

PetSmart,

Inc.,

7.75%,

02/15/29

(b)

.......

324

318,042

Specialty

Building

Products

Holdings

LLC,

6.38%,

09/30/26

(b)

...............

50

45,951

SRS

Distribution,

Inc.

(b)

4.63%,

07/01/28

.................

352

312,610

6.13%,

07/01/29

.................

382

322,297

6.00%,

12/01/29

.................

23

18,990

Staples,

Inc.,

7.50%,

04/15/26

(b)

........

1,117

978,637

Vivo

Energy

Investments

BV,

5.13%,

09/24/27

(b)

621

566,779

White

Cap

Buyer

LLC,

6.88%,

10/15/28

(b)

..

655

568,185

White

Cap

Parent

LLC,

8.25%,

(8.25%

Cash

or

9.00%

PIK),

03/15/26

(b)(k)

...........

150

136,408

Zhongsheng

Group

Holdings

Ltd.,

3.00%,

01/13/26

(h)

....................

200

183,038

12,090,172

Textiles,

Apparel

&

Luxury

Goods

—

0.1%

Crocs,

Inc.,

4.25%,

03/15/29

(b)

.........

132

115,780

European

TopSoho

SARL,

Series

SMCP,

4.00%,

09/21/21

(d)(h)(l)(m)

............

EUR

1,100

1,055,761

Hanesbrands,

Inc.,

9.00%,

02/15/31

(b)

....

USD

135

138,206

Kontoor

Brands,

Inc.,

4.13%,

11/15/29

(b)

...

69

59,215

Levi

Strauss

&

Co.,

3.50%,

03/01/31

(b)

....

75

63,938

William

Carter

Co.

(The),

5.63%,

03/15/27

(b)

.

44

42,766

1,475,666

Tobacco

—

1.7%

Altria

Group,

Inc.,

4.40%,

02/14/26

......

63

62,506

BAT

Capital

Corp.

2.26%,

03/25/28

.................

12,726

10,910,619

4.76%,

09/06/49

.................

10,798

8,281,339

19,254,464

Trading

Companies

&

Distributors

—

0.3%

Beacon

Roofing

Supply,

Inc.,

4.13%,

05/15/29

(b)

128

112,943

BOC

Aviation

Ltd.,

2.63%,

01/17/25

(h)

.....

500

476,770

Fortress

Transportation

&

Infrastructure

Investors

LLC

(b)

6.50%,

10/01/25

.................

197

197,131

9.75%,

08/01/27

.................

88

92,848

5.50%,

05/01/28

.................

166

151,448

Foundation

Building

Materials,

Inc.,

6.00%,

03/01/29

(b)

....................

24

19,023

H&E

Equipment

Services,

Inc.,

3.88%,

12/15/28

(b)

....................

28

24,537

Herc

Holdings,

Inc.,

5.50%,

07/15/27

(b)

....

232

223,880

Imola

Merger

Corp.,

4.75%,

05/15/29

(b)

....

206

184,286

Sumitomo

Corp.,

5.55%,

03/09/28

(h)

......

200

202,932

United

Rentals

North

America,

Inc.,

6.00%,

12/15/29

(b)

....................

661

670,102

WESCO

Distribution,

Inc.

(b)

7.13%,

06/15/25

.................

204

207,356

Security

Par

(000)

Par

(000)

Value

Trading

Companies

&

Distributors

(continued)

7.25%,

06/15/28

.................

USD

294

$

301,879

2,865,135

Transportation

Infrastructure

—

0.1%

(h)

CMHI

Finance

BVI

Co.

Ltd.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

6.62%),

3.88%

(a)(i)

.........

200

192,000

HPHT

Finance

21

II

Ltd.,

1.50%,

09/17/26

..

300

268,083

Shanghai

Port

Group

BVI

Development

Co.

Ltd.,

1.50%,

07/13/25

.............

400

369,944

830,027

Wireless

Telecommunication

Services

—

0.3%

Bharti

Airtel

Ltd.,

4.38%,

06/10/25

(h)

......

500

490,900

Connect

Finco

SARL,

6.75%,

10/01/26

(b)

...

600

564,000

Globe

Telecom,

Inc.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.53%),

4.20%

(a)(h)(i)

..............

200

181,412

Kenbourne

Invest

SA,

6.88%,

11/26/24

(b)

...

352

263,956

Liberty

Costa

Rica

Senior

Secured

Finance,

10.88%,

01/15/31

(b)

..............

271

254,537

Ligado

Networks

LLC,

15.50%,

(15.50%

Cash

or

15.50%

PIK),

11/01/23

(a)(b)(k)

.......

91

21,810

Millicom

International

Cellular

SA,

5.13%,

01/15/28

(h)

....................

405

360,450

Sprint

LLC,

7.63%,

03/01/26

..........

116

122,668

T-Mobile

USA,

Inc.,

2.05%,

02/15/28

.....

1,922

1,705,380

3,965,113

Total

Corporate

Bonds

—

40.8%

(Cost:

$502,793,251)

.............................

460,596,870

Floating

Rate

Loan

Interests

Aerospace

&

Defense

—

0.3%

(a)

Atlas

CC

Acquisition

Corp.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.25%),

9.40%

,

 05/25/28

...........

716

613,314

Atlas

CC

Acquisition

Corp.,

1st

Lien

Term

Loan

C,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.25%),

9.40%

,

 05/25/28

..........

146

124,892

Bleriot

US

Bidco,

Inc.,

Term

Loan,

(3-mo.

LIBOR

USD

+

4.00%),

9.16%

,

 10/30/26

.

207

206,694

Cobham

Ultra

SeniorCo

SARL,

Facility

Term

Loan

B,

(6-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.56%

,

 08/03/29

..........

103

100,306

Dynasty

Acquisition

Co.,

Inc.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

+

3.50%),

8.41%

,

 04/06/26

.................

534

521,079

Dynasty

Acquisition

Co.,

Inc.,

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

+

3.50%),

8.41%

,

 04/06/26

.................

294

287,038

Peraton

Corp.,

1st

Lien

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.59%

,

 02/01/28

.................

655

645,347

Peraton

Corp.,

2nd

Lien

Term

Loan

B1,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

7.75%),

12.65%

,

 02/01/29

................

300

291,335

Setanta

Aircraft

Leasing

DAC,

Term

Loan,

(3-

mo.

LIBOR

USD

+

2.00%),

7.16%

,

 11/05/28

290

289,394

TransDigm,

Inc.,

Term

Loan

I,

(3-mo.

CME

Term

SOFR

+

3.25%),

8.15%

,

 08/24/28

..

584

582,153

3,661,552

BlackRock

Income

Fund

Schedules

of

Investments

47

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Automobile

Components

—

0.1%

Clarios

Global

LP,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

3.25%),

8.09%

,

 04/30/26

(a)

USD

729

$

723,179

Automobiles

—

0.0%

Dealer

Tire

Financial,

LLC,

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.31%

,

 12/14/27

(a)

..........

289

286,663

Beverages

—

0.1%

(a)

Naked

Juice

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.25%

,

 01/24/29

.................

726

636,342

Naked

Juice

LLC,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

6.00%),

11.00%

,

 01/24/30

................

741

552,369

1,188,711

Broadline

Retail

—

0.2%

(a)

Fanatics

Commerce

Intermediate

Holdco

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 11/24/28

......

361

359,297

New

SK

Holdco

Sub

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

8.25%),

13.11%

,

 06/30/27

................

613

496,239

Pug

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

3.50%),

8.34%

,

 02/12/27

...........

813

585,599

Pug

LLC,

Term

Loan

B2,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

9.09%

,

 02/12/27

(f)

.

300

214,804

Sally

Holdings

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

2.50%),

7.31%

,

 02/28/30

(f)

.

141

140,471

1,796,410

Building

Products

—

0.2%

(a)

AZZ,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.16%

,

 05/13/29

268

267,418

Cornerstone

Building

Brands,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

7.93%

,

 04/12/28

...........

172

150,336

CP

Atlas

Buyer,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

4.25%

-

8.41%

,

 11/23/27

............

308

271,977

CP

Iris

Holdco

I,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.41%

,

 10/02/28

...........

170

159,102

CP

Iris

Holdco

I,

Inc.,

Delayed

Draw

1st

Lien

Term

Loan,

10/02/28

(o)

.............

31

28,540

CPG

International

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.41%

,

 04/28/29

.................

408

402,035

Jeld-Wen,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.25%),

7.09%

,

 07/28/28

..........

154

149,347

Wilsonart

LLC,

Term

Loan

E,

(6-mo.

LIBOR

USD

at

1.00%

Floor

+

3.25%),

8.46%

,

 12/31/26

.................

601

577,131

2,005,886

Security

Par

(000)

Par

(000)

Value

Capital

Markets

—

0.3%

(a)

Advisor

Group

Holdings,

Inc.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

4.50%),

9.34%

,

 07/31/26

.................

USD

776

$

761,691

Axalta

Coating

Systems

Dutch

Holding

B

BV,

Facility

Term

Loan

B4,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.00%),

7.90%

,

 12/20/29

.................

267

266,725

Azalea

TopCo,

Inc.,

1st

Lien

Term

Loan

(1-mo.

LIBOR

USD

+

3.50%),

8.34%, 07/24/26

...............

296

276,159

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.59%, 07/24/26

.........

365

340,314

Castlelake

Aviation

One

DAC,

Term

Loan

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.62%, 10/22/26

.........

290

286,656

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.75%),

7.78%, 10/22/27

.........

158

155,143

Focus

Financial

Partners

LLC,

Term

Loan

B4,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.31%

,

 06/30/28

...........

290

284,602

Ion

Trading

Finance

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

+

4.75%),

9.91%

,

 04/01/28

.

147

137,945

Mercury

Borrower,

Inc.,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.38%

,

 08/02/28

.................

365

353,872

Mercury

Borrower,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

6.50%),

11.31%

,

 08/02/29

...........

458

409,116

3,272,223

Chemicals

—

0.5%

(a)

ARC

Falcon

I,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.59%

,

 09/30/28

.................

407

366,135

Aruba

Investments

Holdings

LLC,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.59%

,

 11/24/27

............

307

298,582

Ascend

Performance

Materials

Operations

LLC,

Term

Loan,

(6-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.75%),

9.71%

,

 08/27/26

.

362

355,103

CPC

Acquisition

Corp.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.91%

,

 12/29/27

...........

347

262,930

Discovery

Purchaser

Corp.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.38%),

8.96%

,

 10/04/29

......

233

220,429

Ecovyst

Catalyst

Technologies

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.50%),

7.33%

,

 06/09/28

...........

319

316,277

Element

Solutions,

Inc.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

+

2.00%),

6.81%

,

 01/31/26

.................

698

696,036

HB

Fuller

Co.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.31%

,

 02/15/30

.................

73

73,251

Herens

Holdco

SARL,

Facility

Term

Loan

B,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

9.16%

,

 07/03/28

.................

320

295,981

Ineos

US

Finance

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.50%),

8.41%

,

 02/18/30

.................

144

143,048

LSF11

A5

Holdco

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.42%

,

 10/15/28

.................

435

421,042

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

48

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Chemicals

(continued)

Messer

Industries

GmbH,

Term

Loan

B1,

(3-mo.

CME

Term

SOFR

+

2.50%),

7.66%

,

 03/02/26

.................

USD

330

$

329,151

Momentive

Performance

Materials,

Inc.

Term

Loan,

03/29/28

(f)(o)

................

474

463,335

Nouryon

Finance

BV,

Term

Loan,

(3-mo.

CME

Term

SOFR

+

3.00%),

7.53%

,

 10/01/25

..

57

56,031

Oxea

Holding

Vier

GMBH,

Term

Loan

B2,

(1-

mo.

LIBOR

USD

+

3.25%),

8.00%

,

 10/14/24

291

282,592

SCIH

Salt

Holdings,

Inc.,

1st

Lien

Term

Loan

B1,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.83%

,

 03/16/27

...........

163

158,541

Sparta

US

HoldCo

LLC,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

7.92%

,

 08/02/28

.................

367

362,738

WR

Grace

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.94%

,

 09/22/28

.................

219

217,034

5,318,236

Commercial

Services

&

Supplies

—

0.4%

(a)

Allied

Universal

Holdco

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.66%

,

 05/12/28

.................

481

456,411

Amentum

Government

Services

Holdings

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.76%

-

9.03%

,

 02/15/29

.................

202

196,815

Aramark

Intermediate

HoldCo

Corp.,

Term

Loan

B5,

(1-mo.

LIBOR

USD

+

2.50%),

7.34%

,

 04/06/28

.................

355

353,309

Asplundh

Tree

Expert

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 09/07/27

.

289

286,902

Clean

Harbors,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.00%),

6.84%

,

 10/08/28

......

—

(p)

343

Covanta

Holding

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.31%

,

 11/30/28

.................

281

279,410

Covanta

Holding

Corp.,

Term

Loan

C,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.31%

,

 11/30/28

.................

22

21,600

GFL

Environmental

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.00%),

7.91%

,

 05/31/27

.................

289

289,190

LABL,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

5.00%),

9.84%

,

 10/29/28

.

150

145,214

PECF

USS

Intermediate

Holding

III

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

9.09%

,

 12/15/28

...........

252

211,535

Prime

Security

Services

Borrower

LLC,

1st

Lien

Term

Loan

B1,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

2.75%),

7.52%

,

 09/23/26

......

357

355,737

Tempo

Acquisition

LLC,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.00%),

7.81%

,

 08/31/28

.................

715

713,456

TruGreen

LP,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.84%

,

 11/02/27

.................

511

471,136

Viad

Corp.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.00%),

9.92%

,

 07/30/28

.................

445

423,583

4,204,641

Security

Par

(000)

Par

(000)

Value

Communications

Equipment

—

0.0%

(a)

Ciena

Corporation,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

2.50%),

7.19%

,

 01/18/30

..

USD

54

$

53,899

ViaSat,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.42%

,

 03/02/29

.................

478

462,569

516,468

Construction

&

Engineering

—

0.1%

(a)

Brand

Industrial

Services,

Inc.,

Term

Loan,

(3-

mo.

LIBOR

USD

at

1.00%

Floor

+

4.25%),

9.06%

-

9.41%

,

 06/21/24

...........

609

566,384

Pike

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.00%),

7.85%

,

 01/21/28

...........

394

390,237

USIC

Holdings,

Inc.,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.34%

,

 05/12/28

.................

250

241,921

1,198,542

Construction

Materials

—

0.1%

(a)

American

Builders

&

Contractors

Supply

Co.,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

2.00%),

6.91%

,

 01/15/27

...........

360

357,692

New

AMI

I

LLC,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

6.00%),

10.81%

,

 03/08/29

................

309

264,812

Oscar

AcquisitionCo

LLC,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.50%

,

 04/29/29

.................

233

224,022

Standard

Building

Solutions,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.12%

,

 09/22/28

...........

564

559,911

TAMKO

Building

Products

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

+

3.00%),

7.78%

-

7.99%

,

 05/29/26

.................

85

82,519

1,488,956

Consumer

Staples

Distribution

&

Retail

—

0.0%

US

Foods,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

2.00%),

6.91%

,

 09/13/26

(a)

401

398,724

Containers

&

Packaging

—

0.2%

(a)

Charter

Next

Generation,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.67%

,

 12/01/27

......

777

765,600

Mauser

Packaging

Solutions

Holding

Co.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

4.00%),

8.78%

,

 08/14/26

.................

249

246,599

Pactiv

Evergreen,

Inc.,

Term

Loan

B2,

(1-mo.

LIBOR

USD

+

3.25%),

8.09%

,

 02/05/26

.

233

232,196

Pregis

TopCo

LLC,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.75%),

8.67%

,

 07/31/26

.................

145

141,342

Tosca

Services

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.50%),

8.42%

,

 08/18/27

.................

624

479,072

Trident

TPI

Holdings,

Inc.,

Term

Loan

B3,

(3-

mo.

LIBOR

USD

at

0.50%

Floor

+

4.00%),

9.16%

,

 09/15/28

.................

432

417,066

2,281,875

Distributors

—

0.0%

PAI

Holdco,

Inc.,

1st

Lien

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.58%

,

 10/28/27

(a)

................

440

411,788

BlackRock

Income

Fund

Schedules

of

Investments

49

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Diversified

Consumer

Services

—

0.3%

(a)

Ascend

Learning

LLC,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.41%

,

 12/11/28

............

USD

300

$

275,952

Ascend

Learning

LLC,

2nd

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.75%),

10.66%

,

 12/10/29

...........

504

432,957

Bright

Horizons

Family

Solutions

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.17%

,

 11/24/28

......

477

468,656

Sotheby's,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

4.50%),

9.33%

,

 01/15/27

.

439

435,868

Spring

Education

Group,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

+

4.00%),

8.90%

,

 07/30/25

.................

295

291,488

Veritas

US,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

5.00%),

9.84%

,

 09/01/25

.................

775

586,087

Wand

Newco

3,

Inc.,

1st

Lien

Term

Loan

B1,

(1-

mo.

LIBOR

USD

+

2.75%),

7.59%

,

 02/05/26

593

581,215

WCG

Purchaser

Corp.,

1st

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

1.00%

Floor

+

4.00%),

8.95%

,

 01/08/27

.................

388

365,496

3,437,719

Diversified

REITs

—

0.0%

RHP

Hotel

Properties

LP,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.00%),

6.85%

,

 05/11/24

(a)

320

319,466

Diversified

Telecommunication

Services

—

0.4%

(a)

Altice

Financing

SA,

Term

Loan,

(3-mo.

LIBOR

USD

+

2.75%),

7.58%

,

 07/15/25

......

119

116,329

Cablevision

Lightpath

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

7.93%

,

 11/30/27

.................

45

44,255

Connect

Finco

SARL,

Term

Loan,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

3.50%),

8.35%

,

 12/11/26

.................

1,086

1,077,371

Consolidated

Communications,

Inc.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.38%

,

 10/02/27

...........

165

129,574

Frontier

Communications

Holdings

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.63%

,

 05/01/28

..........

178

168,213

Iridium

Satellite

LLC,

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

2.50%),

7.41%

,

 11/04/26

.................

361

360,026

Level

3

Financing,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.67%

,

 03/01/27

.................

386

324,782

Lumen

Technologies,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

2.25%),

7.17%

,

 03/15/27

.................

395

259,293

Orbcomm,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.25%),

9.09%

-

9.20%

,

 09/01/28

...........

328

266,032

Radiate

Holdco

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.09%

,

 09/25/26

.................

635

517,677

Virgin

Media

Bristol

LLC,

Facility

Term

Loan

Q,

(1-mo.

LIBOR

USD

+

3.25%),

7.93%

,

 01/31/29

.................

291

287,172

Zayo

Group

Holdings,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.00%),

7.84%

,

 03/09/27

.

1,189

963,059

4,513,783

Security

Par

(000)

Par

(000)

Value

Electric

Utilities

—

0.0%

Calpine

Construction

Finance

Co.

LP,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.00%),

6.84%

,

 01/15/25

(a)

................

USD

219

$

218,177

Electrical

Equipment

—

0.0%

Arcline

FM

Holdings

LLC,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.91%

,

 06/23/28

(a)

..........

580

551,687

Electronic

Equipment,

Instruments

&

Components

—

0.0%

Coherent

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.75%),

7.67%

,

 07/02/29

(a)

................

304

300,658

Energy

Equipment

&

Services

—

0.1%

(a)

Lealand

Finance

Co.

BV,

Term

Loan

(1-mo.

LIBOR

USD

+

3.00%),

7.84%, 06/28/24

...............

17

11,587

(1-mo.

LIBOR

USD

+

1.00%),

5.84%, 06/30/25

...............

118

77,636

Oryx

Midstream

Services

Permian

Basin

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.06%

,

 10/05/28

.

527

516,875

606,098

Entertainment

—

0.5%

(a)

AMC

Entertainment

Holdings,

Inc.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

3.00%),

7.68%

,

 04/22/26

.................

904

657,428

Aristocrat

Technologies,

Inc.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.25%

,

 05/24/29

...........

107

107,067

Cirque

du

Soleil

Canada,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.15%

,

 03/08/30

...........

199

196,513

City

Football

Group

Ltd.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.00%),

7.78%

,

 07/21/28

.................

453

430,777

Creative

Artists

Agency

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

3.50%),

8.31%

,

 11/27/28

.................

359

357,356

Formula

One

Management

Ltd.,

1st

Lien

Facility

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.06%

,

 01/15/30

.................

289

289,121

Live

Nation

Entertainment,

Inc.,

Term

Loan

B4,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.61%

,

 10/19/26

(f)

................

720

711,028

Playtika

Holding

Corp.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

2.75%),

7.59%

,

 03/13/28

.

595

590,034

Renaissance

Holding

Corp.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

3.25%),

8.09%

,

 03/15/30

.................

76

73,644

SMG

US

Midco

2,

Inc.,

1st

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

+

2.50%),

7.33%

,

 01/23/25

296

292,557

UFC

Holdings

LLC,

1st

Lien

Term

Loan

B3,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

2.75%),

7.57%

,

 04/29/26

.................

347

344,524

William

Morris

Endeavor

Entertainment

LLC,

1st

Lien

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

2.75%),

7.60%

,

 05/18/25

..........

739

731,639

WMG

Acquisition

Corp.,

Term

Loan

G,

(1-mo.

LIBOR

USD

+

2.13%),

6.97%

,

 01/20/28

.

465

458,697

5,240,385

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

50

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Financial

Services

—

0.4%

(a)

Altice

France

SA,

Term

Loan

B14,

(3-mo.

CME

Term

SOFR

+

5.50%),

10.17%

,

 08/15/28

(f)

USD

405

$

384,988

Belron

Finance

US

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

+

2.25%),

7.13%

,

 11/13/25

..

89

88,936

Belron

Group

SA,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.43%),

7.30%

,

 04/13/28

.................

353

351,974

Deerfield

Dakota

Holding

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

3.75%),

8.65%

,

 04/09/27

......

1,156

1,117,709

LBM

Acquisition

LLC,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.59%

,

 12/17/27

.................

139

130,826

Lions

Gate

Capital

Holdings

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.25%),

7.09%

,

 03/24/25

.................

364

357,863

Sotera

Health

Holdings

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.75%),

7.58%

,

 12/11/26

......

580

557,902

Travelport

Finance

SARL,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

+

5.00%),

9.73%

,

 05/29/26

.................

536

302,626

UPC

Financing

Partnership,

Facility

Term

Loan

AX,

(1-mo.

LIBOR

USD

+

2.93%),

7.61%

,

 01/31/29

.................

219

214,267

WEX,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.25%),

7.09%

,

 03/31/28

...........

386

382,765

White

Cap

Supply

Holdings

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.56%

,

 10/19/27

...........

295

291,460

4,181,316

Food

Products

—

0.4%

(a)

8th

Avenue

Food

&

Provisions,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

3.75%),

8.59%

,

 10/01/25

.................

332

291,229

B&G

Foods,

Inc.,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

2.50%),

7.34%

,

 10/10/26

......

92

89,139

Chobani

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

3.50%),

8.42%

,

 10/25/27

(f)

................

879

870,092

Froneri

International

Ltd.,

Facility

1st

Lien

Term

Loan

B2,

(3-mo.

LIBOR

USD

+

2.25%),

7.41%

,

 01/29/27

.................

804

791,121

H-Food

Holdings

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.69%),

8.53%

,

 05/23/25

.

112

95,323

Hostess

Brands

LLC,

1st

Lien

Term

Loan

B,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

2.25%),

7.08%

,

 08/03/25

.................

231

230,659

Nomad

Foods

Ltd.,

Facility

Term

Loan

B2,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.23%

,

 11/12/29

............

284

283,524

Sovos

Brands

Intermediate,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.33%

,

 06/08/28

...........

362

358,351

Triton

Water

Holdings,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.66%

,

 03/31/28

...........

765

683,337

Utz

Quality

Foods

LLC,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.00%),

7.92%

,

 01/20/28

.................

466

463,185

4,155,960

Security

Par

(000)

Par

(000)

Value

Ground

Transportation

—

0.1%

(a)

AIT

Worldwide

Logistics

Holdings,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.45%

,

 04/06/28

......

USD

282

$

271,392

Avis

Budget

Car

Rental

LLC,

Term

Loan

B,

(1-

mo.

LIBOR

USD

+

1.75%),

6.60%

,

 08/06/27

242

237,468

Genesee

&

Wyoming,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

+

2.00%),

7.00%

,

 12/30/26

.................

143

142,322

Uber

Technologies,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

+

2.75%),

7.66%

-

7.87%

,

 03/03/30

.................

398

396,451

1,047,633

Health

Care

Equipment

&

Supplies

—

0.2%

(a)

Chariot

Buyer

LLC,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 11/03/28

.................

747

716,611

Femur

Buyer,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

+

4.50%),

9.66%

,

 03/05/26

.

216

192,379

Insulet

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.17%

,

 05/04/28

.................

72

72,047

Medline

Borrower

LP,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 10/23/28

.................

1,199

1,167,301

2,148,338

Health

Care

Providers

&

Services

—

0.3%

(a)

CHG

Healthcare

Services,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 09/29/28

...........

472

467,060

CNT

Holding

I

Corp.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.50%),

8.13%

,

 11/08/27

............

351

344,456

Electron

Bidco,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.00%),

7.84%

,

 11/01/28

.................

594

584,803

Envision

Healthcare

Corp.,

Term

Loan

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

4.25%),

9.15%, 03/31/27

.........

357

84,813

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

7.88%),

12.92%, 03/31/27

.........

285

236,662

EyeCare

Partners

LLC,

1st

Lien

Term

Loan

(1-mo.

LIBOR

USD

+

3.75%),

8.59%, 02/18/27

...............

—

(p)

193

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.59%, 11/15/28

..........

81

65,333

EyeCare

Partners

LLC,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

6.75%),

11.59%

,

 11/15/29

...........

513

387,116

MED

ParentCo.

LP,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

4.25%),

9.09%

,

 08/31/26

.

342

299,256

Medical

Solutions

Holdings,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.24%

,

 11/01/28

......

—

(p)

89

Medical

Solutions

Holdings,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

7.00%),

11.99%

,

 11/01/29

......

404

365,213

Option

Care

Health,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.59%

,

 10/27/28

...........

286

284,873

PetVet

Care

Centers

LLC,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.34%

,

 02/14/25

...........

29

28,246

BlackRock

Income

Fund

Schedules

of

Investments

51

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Health

Care

Providers

&

Services

(continued)

Surgery

Center

Holdings,

Inc.,

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.46%

,

 08/31/26

.................

USD

265

$

263,252

Vizient,

Inc.,

Term

Loan

B7,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.11%

,

 05/16/29

.................

310

308,997

3,720,362

Health

Care

Technology

—

0.2%

(a)

Athenahealth

Group,

Inc.,

Delayed

Draw

Term

Loan,

02/15/29

(o)

.................

92

86,330

Athenahealth

Group,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.26%

,

 02/15/29

.................

752

702,714

Polaris

Newco

LLC,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

4.00%),

9.16%

,

 06/02/28

.................

925

841,077

Verscend

Holding

Corp.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

4.00%),

8.84%

,

 08/27/25

.

572

570,487

2,200,608

Hotels,

Restaurants

&

Leisure

—

0.7%

(a)

1011778

BC

Unlimited

Liability

Co.,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 11/19/26

.................

578

572,178

Aimbridge

Acquisition

Co.,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

3.75%),

8.59%

,

 02/02/26

.................

259

246,631

Bally's

Corp.,

Facility

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

7.96%

,

 10/02/28

.................

149

141,730

Caesars

Entertainment,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%

,

 02/06/30

...........

282

280,198

Carnival

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.00%),

7.84%

,

 06/30/25

522

514,398

Churchill

Downs,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.00%),

6.85%

,

 03/17/28

.

289

287,071

Fertitta

Entertainment

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.81%

,

 01/27/29

...........

963

946,608

Flutter

Entertainment

plc,

Term

Loan,

(3-mo.

LIBOR

USD

+

2.25%),

7.41%

,

 07/21/26

.

287

286,737

Flutter

Entertainment

plc,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.41%

,

 07/22/28

.................

593

592,249

Four

Seasons

Holdings,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%

,

 11/30/29

............

866

864,629

Hilton

Worldwide

Finance

LLC,

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.64%

,

 06/22/26

.................

358

357,430

IRB

Holding

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.00%),

7.91%

,

 12/15/27

.................

531

521,534

Light

and

Wonder

International,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.00%),

7.96%

,

 04/14/29

...........

394

390,571

Packers

Holdings

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.09%

,

 03/09/28

.................

253

228,334

Penn

Entertainment,

Inc.,

Facility

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.75%),

7.66%

,

 05/03/29

...........

586

584,074

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

Playa

Resorts

Holding

BV,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

8.99%

,

 01/05/29

.................

USD

109

$

107,946

Seaworld

Parks

&

Entertainment,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.00%),

7.88%

,

 08/25/28

...........

145

143,910

Station

Casinos

LLC,

Facility

Term

Loan

B1,

(1-

mo.

LIBOR

USD

at

0.25%

Floor

+

2.25%),

7.10%

,

 02/08/27

.................

363

359,559

Whatabrands

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 08/03/28

.................

544

537,718

Wyndham

Hotels

&

Resorts,

Inc.,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 05/30/25

.................

218

218,082

8,181,587

Household

Durables

—

0.2%

(a)

ACProducts

Holdings,

Inc.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

9.41%

,

 05/17/28

.................

400

316,619

Hunter

Douglas

Holding

BV,

Term

Loan

B1,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.37%

,

 02/26/29

...........

667

597,056

Serta

Simmons

Bedding

LLC,

Term

Loan

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

7.50%),

12.27%, 08/10/23

.........

116

113,265

Serta

Simmons

Bedding

LLC,

Term

Loan

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

7.50%),

0.00%

-

12.27%

, 08/10/23

...

134

75

,

732

Snap

One

Holdings

Corp.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

4.50%),

9.66%

,

 12/08/28

(f)

................

196

178,249

SWF

Holdings

I

Corp.,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.75%

,

 10/06/28

.................

368

308,287

Weber-Stephen

Products

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.09%

,

 10/30/27

(f)

...........

662

567,377

2,156,585

Household

Products

—

0.1%

(a)

Diamond

(BC)

BV,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.58%

,

 09/29/28

.................

442

440,315

Spectrum

Brands,

Inc.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.00%),

6.96%

,

 03/03/28

.................

166

163,818

604,133

Independent

Power

and

Renewable

Electricity

Producers

—

0.0%

(a)

Calpine

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.00%),

6.84%

,

 08/12/26

..........

—

(p)

404

Constellation

Renewables

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

1.00%

Floor

+

2.50%),

7.46%

,

 12/15/27

...........

360

357,785

358,189

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

52

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Insurance

—

0.5%

(a)

Alliant

Holdings

Intermediate

LLC,

Term

Loan

B4,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.28%

,

 11/05/27

............

USD

1,215

$

1,199,311

Alliant

Holdings

Intermediate

LLC,

Term

Loan

B5,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.35%

,

 11/05/27

..........

430

424,339

AmWINS

Group,

Inc.,

Term

Loan

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

2.25%),

7.09%, 02/19/28

.........

507

500,387

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

2.75%),

7.66%, 02/19/28

.........

110

109,039

AssuredPartners,

Inc.,

Term

Loan

(1-mo.

LIBOR

USD

+

3.50%),

8.34%, 02/12/27

...............

719

710,300

Hub

International

Ltd.,

Term

Loan

(3-mo.

LIBOR

USD

+

3.00%),

7.82%, 04/25/25

...............

684

681,455

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

8.73%, 11/10/29

..........

291

290,070

Hub

International

Ltd.,

Term

Loan

B3,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.06%

,

 04/25/25

.................

217

216,001

NFP

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.25%),

8.09%

,

 02/15/27

...........

75

72,582

Ryan

Specialty

Group

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.00%),

7.91%

,

 09/01/27

.................

315

313,691

USI,

Inc.,

Term

Loan

(3-mo.

LIBOR

USD

+

3.25%),

8.41%, 12/02/26

...............

85

84,930

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.65%, 11/22/29

..........

787

783,294

5,385,399

Interactive

Media

&

Services

—

0.2%

(a)

Acuris

Finance

US,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

9.05%

,

 02/16/28

.................

287

276,297

Adevinta

ASA,

Facility

Term

Loan

B2,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

2.75%),

7.91%

,

 06/26/28

.................

433

428,886

Camelot

US

Acquisition

1

Co.,

Term

Loan,

(1-

mo.

LIBOR

USD

at

1.00%

Floor

+

3.00%),

7.84%

,

 10/30/26

.................

827

824,853

GoodRx,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

+

2.75%),

7.59%

,

 10/10/25

.

295

292,927

Grab

Holdings,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

4.50%),

9.35%

,

 01/29/26

.................

234

232,312

2,055,275

IT

Services

—

0.4%

(a)

Asurion

LLC,

2nd

Lien

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

5.25%),

10.09%

,

 01/20/29

.

350

287,618

Asurion

LLC,

Term

Loan

B11,

(1-mo.

CME

Term

SOFR

+

4.25%),

9.16%

,

 08/19/28

.....

48

44,385

Asurion

LLC,

Term

Loan

B8,

(1-mo.

LIBOR

USD

+

3.25%),

8.09%

,

 12/23/26

......

665

615,561

Epicor

Software

Corp.,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

1.00%

Floor

+

7.75%),

12.59%

,

 07/31/28

................

285

281,141

Epicor

Software

Corp.,

Term

Loan

C,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.09%

,

 07/30/27

.................

453

444,614

Security

Par

(000)

Par

(000)

Value

IT

Services

(continued)

Gainwell

Acquisition

Corp.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

9.00%

,

 10/01/27

...........

USD

583

$

555,519

Go

Daddy

Operating

Co.

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.25%),

8.06%

,

 11/09/29

.................

172

171,209

Go

Daddy

Operating

Co.

LLC,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

2.00%),

6.84%

,

 08/10/27

.................

568

565,359

Sedgwick

Claims

Management

Services,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

3.75%),

8.56%

,

 02/24/28

...........

827

815,383

Venga

Finance

SARL,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.70%

,

 06/28/29

.................

211

201,064

3,981,853

Leisure

Products

—

0.1%

(a)

Fender

Musical

Instruments

Corp.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.84%

,

 12/01/28

(f)

...........

378

342,805

Peloton

Interactive,

Inc.,

Term

Loan,

(6-mo.

CME

Term

SOFR

at

0.50%

Floor

+

7.00%),

11.76%

,

 05/25/27

................

102

101,772

Topgolf

Callaway

Brands

Corp.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.26%

,

 03/15/30

...........

260

258,092

702,669

Life

Sciences

Tools

&

Services

—

0.3%

(a)

Avantor

Funding,

Inc.,

Term

Loan

B5,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.09%

,

 11/08/27

.................

681

679,402

Catalent

Pharma

Solutions,

Inc.,

Term

Loan

B3,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.00%),

6.81%

,

 02/22/28

...........

471

466,523

Curia

Global,

Inc.,

First

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.53%

,

 08/30/26

.................

45

37,839

eResearchTechnology,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

4.50%),

9.34%

,

 02/04/27

...........

570

537,374

Icon

plc,

Term

Loan

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.00%, 07/03/28

.........

149

148,860

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.41%, 07/03/28

.........

558

555,747

Maravai

Intermediate

Holdings

LLC,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.00%),

7.63%

,

 10/19/27

...........

362

360,221

Parexel

International,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 11/15/28

............

691

682,453

3,468,419

Machinery

—

0.6%

(a)

Albion

Financing

3

SARL,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

5.25%),

9.57%

,

 08/17/26

.................

583

566,100

Clark

Equipment

Co.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.50%),

7.50%

,

 04/20/29

.................

174

173,364

Columbus

McKinnon

Corp.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.94%

,

 05/14/28

.................

69

68,882

BlackRock

Income

Fund

Schedules

of

Investments

53

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Machinery

(continued)

Filtration

Group

Corp.,

Term

Loan

(1-mo.

LIBOR

USD

+

3.00%),

7.84%, 03/31/25

...............

USD

359

$

357,332

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%, 10/21/28

.........

355

349,461

Fluidra

SA,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.00%),

6.91%

,

 01/29/29

.................

120

117,594

Gardner

Denver,

Inc.,

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.66%

,

 03/01/27

.................

172

171,685

Gates

Global

LLC,

Term

Loan

B3,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

2.50%),

7.41%

,

 03/31/27

.................

437

434,041

Husky

Injection

Molding

Systems

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

+

3.00%),

8.15%

,

 03/28/25

.................

734

693,811

Indicor

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.40%

,

 11/22/29

.................

370

366,696

Ingersoll-Rand

Services

Co.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.66%

,

 03/01/27

.................

431

429,212

Madison

IAQ

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.30%

,

 06/21/28

.................

741

703,604

SPX

Flow,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.41%

,

 04/05/29

.................

402

383,129

TK

Elevator

Midco

GmbH,

Facility

Term

Loan

B1,

(6-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.60%

,

 07/30/27

...........

670

651,686

Vertiv

Group

Corp.,

Term

Loan

B,

(1-mo.

LIBOR

USD

+

2.75%),

7.42%

,

 03/02/27

.

592

578,740

Zurn

LLC,

1st

Lien

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.00%),

6.84%

,

 10/04/28

.................

184

183,315

6,228,652

Media

—

0.4%

AVSC

Holding

Corp.,

1st

Lien

Term

Loan

B1,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

3.25%),

8.06%

,

 03/03/25

(a)

..........

314

300,856

AVSC

Holding

Corp.,

1st

Lien

Term

Loan

B3,

15.00%

,

 10/15/26

(q)

...............

340

354,289

Cable

One,

Inc.,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

2.00%),

6.84%

,

 05/03/28

(a)

.....

217

210,811

Charter

Communications

Operating

LLC,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.56%

,

 04/30/25

(a)

................

566

565,498

Clear

Channel

Outdoor

Holdings,

Inc.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

+

3.50%),

8.33%

,

 08/21/26

(a)

................

755

701,305

CMG

Media

Corp.,

1st

Lien

Term

Loan

B,

(3-mo.

LIBOR

USD

+

3.50%),

8.66%

,

 12/17/26

(a)

................

297

261,852

Cogeco

Communications

Finance

LP,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.50%),

7.34%

,

 09/01/28

(a)

.........

294

289,957

CSC

Holdings

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.50%),

7.18%

,

 04/15/27

(a)

.....

414

364,034

DirecTV

Financing

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

5.00%),

9.84%

,

 08/02/27

(a)

................

568

545,331

Security

Par

(000)

Par

(000)

Value

Media

(continued)

Eagle

Broadband

Investments

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.00%),

8.19%

,

 11/12/27

(a)

..........

USD

289

$

283,180

EW

Scripps

Co.

(The),

Term

Loan

B3,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

2.75%),

7.67%

,

 01/07/28

(a)

................

132

126,134

Learfield

Communications

LLC,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

3.25%),

8.10%

,

 12/01/23

(a)

..........

530

369,870

Sinclair

Television

Group,

Inc.,

Term

Loan

B4,

(1-mo.

CME

Term

SOFR

+

3.75%),

8.66%

,

 04/21/29

(a)(f)

...............

224

203,612

Voyage

Digital

Ltd.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.05%

,

 05/11/29

(a)(f)

...............

219

215,610

Ziggo

Financing

Partnership,

Facility

Term

Loan

I,

(1-mo.

LIBOR

USD

+

2.50%),

7.18%

,

 04/30/28

(a)

................

147

145,267

4,937,606

Metals

&

Mining

—

0.1%

Equinox

Holdings,

Inc.,

1st

Lien

Term

Loan

B1,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

3.00%),

8.16%

,

 03/08/24

(a)

..........

1,176

1,062,429

Oil,

Gas

&

Consumable

Fuels

—

0.1%

(a)

Ascent

Resources

Utica

Holdings

LLC,

2nd

Lien

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

9.00%),

13.82%

,

 11/01/25

.

244

258,437

Freeport

LNG

investments

LLLP,

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.31%

,

 12/21/28

...........

829

801,634

M6

ETX

Holdings

II

Midco

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.36%

,

 09/19/29

...........

99

97,477

Medallion

Midland

Acquisition

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.91%

,

 10/18/28

...........

235

230,983

1,388,531

Passenger

Airlines

—

0.4%

(a)

AAdvantage

Loyalty

IP

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.56%

,

 04/20/28

.................

645

654,488

Air

Canada,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.50%),

8.37%

,

 08/11/28

..

681

677,986

American

Airlines,

Inc.,

Term

Loan

(6-mo.

CME

Term

SOFR

+

3.50%),

8.26%, 01/29/27

...............

365

356,216

(6-mo.

CME

Term

SOFR

+

2.75%),

8.15%, 02/15/28

...............

565

551,316

Mileage

Plus

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

5.25%),

10.21%

,

 06/21/27

................

685

709,485

United

AirLines,

Inc.,

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.57%

,

 04/21/28

.................

578

572,527

WestJet

Airlines

Ltd.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

3.00%),

7.86%

,

 12/11/26

.................

485

463,388

3,985,406

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

54

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Personal

Care

Products

—

0.3%

(a)

Rainbow

Midco

Ltd.,

Term

Loan,

(6-mo.

EURIBOR

+

7.25%),

10.95% 01/01/28

(f)

.

EUR

2,545

$

2,626,014

Sunshine

Luxembourg

VII

SARL,

Facility

Term

Loan

B3,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.91%

,

 10/01/26

..........

USD

1,265

1,251,195

3,877,209

Pharmaceuticals

—

0.2%

(a)

Amneal

Pharmaceuticals

LLC,

Term

Loan,

(1-

mo.

LIBOR

USD

+

3.50%),

8.38%

,

 05/04/25

321

304,327

Amynta

Agency

Borrower,

Inc.,

Term

Loan

B,

(3-mo.

LIBOR

USD

+

5.00%),

9.99%

,

 02/28/28

.................

203

194,322

Bausch

Health

Cos.,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.25%),

10.09%

,

 02/01/27

................

286

211,997

Elanco

Animal

Health,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

1.75%),

6.41%

,

 08/01/27

.................

578

564,321

Jazz

Pharmaceuticals

plc,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 05/05/28

.................

501

498,245

Organon

&

Co.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.00%),

8.00%

,

 06/02/28

328

327,229

Precision

Medicine

Group

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.00%),

8.16%

,

 11/18/27

(f)

...........

595

572,074

2,672,515

Professional

Services

—

0.5%

(a)

AlixPartners

LLP,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.61%

,

 02/04/28

.................

569

566,494

CoreLogic,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.38%

,

 06/02/28

.................

956

813,307

Dun

&

Bradstreet

Corp.

(The),

Term

Loan,

(1-

mo.

LIBOR

USD

+

3.25%),

8.10%

,

 02/06/26

139

139,058

Dun

&

Bradstreet

Corp.

(The),

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

+

3.25%),

8.04%

,

 01/18/29

.................

1,072

1,063,707

Element

Materials

Technology

Group

US

Holdings,

Inc.,

Delayed

Draw

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.25%

,

 06/22/29

......

179

176,691

Element

Materials

Technology

Group

US

Holdings,

Inc.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.25%

,

 06/22/29

.................

388

382,830

FleetCor

Technologies

Operating

Co.

LLC,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 04/28/28

...........

462

458,272

Galaxy

US

Opco,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.75%),

9.56%

,

 04/29/29

...........

547

482,945

Trans

Union

LLC,

Term

Loan

B5,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 11/16/26

.......

421

416,928

Trans

Union

LLC,

Term

Loan

B6,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.25%),

7.09%

,

 12/01/28

.................

453

448,728

VS

Buyer

LLC,

Term

Loan,

(2-mo.

CME

Term

SOFR

+

3.00%),

7.70%

,

 02/28/27

.....

651

643,853

5,592,813

Security

Par

(000)

Par

(000)

Value

Real

Estate

Management

&

Development

—

0.1%

(a)

Cushman

&

Wakefield

US

Borrower

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.75%),

7.59%

,

 08/21/25

.................

USD

247

$

240,283

Cushman

&

Wakefield

US

Borrower

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%

,

 01/31/30

(f)

.....

349

336,091

576,374

Semiconductors

&

Semiconductor

Equipment

—

0.0%

(a)

MKS

Instruments,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.75%),

7.61%

,

 08/17/29

.................

359

356,157

Synaptics,

Inc.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.25%),

7.40%

,

 12/02/28

.................

191

188,693

544,850

Software

—

1.1%

(a)

Applied

Systems,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

6.75%),

11.65%

,

 09/17/27

...........

259

258,547

Barracuda

Parent

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.18%

,

 08/15/29

...........

147

141,256

Boxer

Parent

Co.,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.75%),

8.59%

,

 10/02/25

.

441

434,950

CCC

Intelligent

Solutions,

Inc.,

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

2.25%),

7.09%

,

 09/21/28

.................

362

358,938

Central

Parent,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.15%

,

 07/06/29

.................

491

488,601

Cloud

Software

Group,

Inc.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.50%

,

 03/30/29

...........

1,252

1,135,448

Cloudera,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.66%

,

 10/08/28

(f)

................

185

175,756

Cloudera,

Inc.,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

6.00%),

10.91%

,

 10/08/29

................

206

181,908

Cornerstone

OnDemand,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.59%

,

 10/16/28

...........

318

292,509

Delta

Topco,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

7.25%),

12.16%

,

 12/01/28

................

89

75,427

Gen

Digital,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

2.00%),

6.91%

,

 09/12/29

.................

339

335,541

Genesys

Cloud

Services

Holdings

I

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.84%

,

 12/01/27

...........

703

691,605

Informatica

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

2.75%),

7.63%

,

 10/27/28

......

436

431,551

Instructure

Holdings,

Inc.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.85%

,

 10/30/28

(f)

................

196

194,587

Magenta

Buyer

LLC,

1st

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.58%

,

 07/27/28

.................

422

346,338

Magenta

Buyer

LLC,

2nd

Lien

Term

Loan,

(3-

mo.

LIBOR

USD

at

0.75%

Floor

+

8.25%),

13.08%

,

 07/27/29

................

593

438,584

BlackRock

Income

Fund

Schedules

of

Investments

55

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Software

(continued)

McAfee

Corp.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.52%

,

 03/01/29

.................

USD

752

$

705,122

MH

Sub

I

LLC,

1st

Lien

Term

Loan

(1-mo.

LIBOR

USD

at

1.00%

Floor

+

3.75%),

8.59%, 09/13/24

.........

739

725,682

MH

Sub

I

LLC,

2nd

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

+

6.25%),

11.06%

,

 02/23/29

................

614

560,810

Proofpoint,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

8.09%

,

 08/31/28

.................

812

792,090

RealPage,

Inc.,

1st

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.00%),

7.84%

,

 04/24/28

.................

1,210

1,171,888

Severin

Acquisition

LLC,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

+

3.00%),

7.68%

,

 08/01/25

.................

433

431,674

Sophia

LP,

1st

Lien

Term

Loan

B,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.66%

,

 10/07/27

.................

589

581,259

SS&C

Technologies

Holdings,

Inc.,

Term

Loan

B3,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 04/16/25

.................

204

203,678

SS&C

Technologies

Holdings,

Inc.,

Term

Loan

B4,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 04/16/25

.................

181

180,581

UKG,

Inc.,

1st

Lien

Term

Loan

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.03%, 05/04/26

.........

130

126,773

(3-mo.

CME

Term

SOFR

+

3.75%),

8.58%, 05/04/26

...............

233

229,194

UKG,

Inc.,

2nd

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.25%),

10.03%

,

 05/03/27

................

389

371,653

Voyage

Australia

Pty

Ltd.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.40%

,

 07/20/28

...........

87

85,709

ZoomInfo

LLC,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

+

2.75%),

7.66%

,

 02/28/30

.................

242

241,787

12,389,446

Specialty

Retail

—

0.2%

(a)

EG

Group

Ltd.,

Facility

Term

Loan

(1-mo.

LIBOR

USD

+

4.00%),

8.84%, 02/07/25

...............

317

302,497

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

8.98%

-

9.09%, 03/31/26

....

313

298,205

Mavis

Tire

Express

Services

Topco

Corp.,

1st

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

8.92%

,

 05/04/28

.

517

505,822

PetSmart

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.66%

,

 02/11/28

.................

549

544,463

Pilot

Travel

Centers

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

+

2.00%),

6.91%

,

 08/04/28

.................

358

356,684

Restoration

Hardware,

Inc.,

Term

Loan

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

2.50%),

7.34%, 10/20/28

.........

121

112,682

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%, 10/20/28

.........

180

168,835

Security

Par

(000)

Par

(000)

Value

Specialty

Retail

(continued)

RVR

Dealership

Holdings

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.55%

,

 02/08/28

...........

USD

47

$

39,720

2,328,908

Technology

Hardware,

Storage

&

Peripherals

—

0.0%

Electronics

for

Imaging,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

LIBOR

USD

+

5.00%),

10.16%

-

10.21%

,

 07/23/26

(a)

..............

265

207,428

Textiles,

Apparel

&

Luxury

Goods

—

0.0%

(a)

Crocs,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.41%

,

 02/20/29

.................

263

261,955

Hanesbrands,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.56%

,

 03/08/30

(f)

................

117

116,415

378,370

Trading

Companies

&

Distributors

—

0.2%

(a)

Beacon

Roofing

Supply,

Inc.,

Term

Loan,

(1-

mo.

LIBOR

USD

+

2.25%),

7.09%

,

 05/19/28

288

286,395

Core

&

Main

LP,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

+

2.50%),

7.39%

-

7.42%

,

 07/27/28

(f)

................

578

574,150

SRS

Distribution,

Inc.,

Term

Loan

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%, 06/02/28

.........

318

306,252

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%, 06/02/28

.........

372

358,222

TMK

Hawk

Parent

Corp.,

Term

Loan

A,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

7.50%),

12.46%

,

 05/30/24

(f)

...............

232

224,605

TMK

Hawk

Parent

Corp.,

Term

Loan

B,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

3.50%),

8.46%

,

 08/28/24

(f)

................

735

411,517

2,161,141

Transportation

Infrastructure

—

0.0%

(a)

KKR

Apple

Bidco

LLC,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

2.75%),

7.59%

,

 09/22/28

.................

73

71,905

KKR

Apple

Bidco

LLC,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

5.75%),

10.59%

,

 09/21/29

................

274

267,766

OLA

Netherlands

BV,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

6.25%),

11.11%

,

 12/15/26

(f)

................

179

169,344

509,015

Wireless

Telecommunication

Services

—

0.1%

(a)

Digicel

International

Finance

Ltd.,

1st

Lien

Term

Loan

B,

(1-mo.

LIBOR

USD

+

3.25%),

8.08%

,

 05/27/24

.................

208

187,177

Gogo

Intermediate

Holdings

LLC,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.75%),

8.70%

,

 04/30/28

...........

392

388,969

SBA

Senior

Finance

II

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

+

1.75%),

6.60%

,

 04/11/25

..

284

284,025

860,171

Total

Floating

Rate

Loan

Interests

—

12.2%

(Cost:

$143,277,550)

.............................

137,991,017

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

56

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Foreign

Agency

Obligations

Chile

—

0.0%

Empresa

Nacional

del

Petroleo,

3.45%

,

09/16/31

(h)

.....................

USD

360

$

296,617

China

—

0.0%

Industrial

&

Commercial

Bank

of

China

Ltd.,

(5-

Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.37%),

3.20%

(a)(h)(i)

..

270

252,450

Colombia

—

0.2%

Ecopetrol

SA

4.13%,

01/16/25

.................

496

477,648

6.88%,

04/29/30

.................

1,284

1,174,911

5.88%,

05/28/45

.................

190

130,150

1,782,709

India

—

0.1%

(h)

Export-Import

Bank

of

India,

3.38%

,

08/05/26

400

377,620

Power

Finance

Corp.

Ltd.,

3.95%

,

04/23/30

.

300

264,106

641,726

Indonesia

—

0.1%

(h)

Bank

Mandiri

Persero

Tbk.

PT,

5.50%

,

04/04/26

205

206,304

Pertamina

Persero

PT

(h)

4.30%,

05/20/23

.................

233

232,319

2.30%,

02/09/31

.................

366

301,533

4.18%,

01/21/50

.................

200

155,092

Perusahaan

Perseroan

Persero

PT

Perusahaan

Listrik

Negara,

4.38%

,

02/05/50

200

151,100

1,046,348

Mexico

—

0.2%

Comision

Federal

de

Electricidad,

4.88%

,

01/15/24

(h)

.....................

591

581,877

Petroleos

Mexicanos

6.50%,

03/13/27

.................

461

416,559

5.35%,

02/12/28

.................

140

118,090

8.75%,

06/02/29

.................

570

526,874

5.95%,

01/28/31

.................

671

510,564

6.70%,

02/16/32

.................

776

615,213

2,769,177

Morocco

—

0.0%

OCP

SA,

5.13%

,

06/23/51

(h)

............

333

241,059

Oman

—

0.0%

OQ

SAOC,

5.13%

,

05/06/28

(b)

..........

223

211,683

Panama

—

0.0%

Aeropuerto

Internacional

de

Tocumen

SA,

5.13%

,

08/11/61

(b)

................

225

173,363

Peru

—

0.1%

Corp.

Financiera

de

Desarrollo

SA,

4.75%

,

07/15/25

(h)

.....................

555

535,159

South

Korea

—

0.1%

Korea

Development

Bank

(The),

3.75%

,

01/22/24

......................

1,000

990,500

Korea

Gas

Corp.,

1.13%

,

07/13/26

(h)

......

500

444,781

1,435,281

United

Arab

Emirates

—

0.1%

DP

World

Crescent

Ltd.,

3.75%

,

01/30/30

(h)

.

635

590,550

Total

Foreign

Agency

Obligations

—

0.9%

(Cost:

$10,548,692)

..............................

9,976,122

Security

Par

(000)

Par

(000)

Value

Foreign

Government

Obligations

Bahrain

—

0.0%

Kingdom

of

Bahrain,

5.45%

,

09/16/32

(h)

....

USD

381

$

340,042

Chile

—

0.0%

Republic

of

Chile,

4.34%

,

03/07/42

.......

610

537,105

China

—

0.1%

(h)

China

Development

Bank,

2.00%

,

02/16/27

.

300

278,094

People's

Republic

of

China,

2.63%

,

11/02/27

500

477,435

755,529

Colombia

—

0.3%

Republic

of

Colombia

4.50%,

01/28/26

.................

965

924,470

3.88%,

04/25/27

.................

492

446,582

3.13%,

04/15/31

.................

1,236

943,068

8.00%,

04/20/33

.................

571

585,561

2,899,681

Dominican

Republic

—

0.3%

Dominican

Republic

Government

Bond

6.88%,

01/29/26

(h)

................

397

402,037

5.95%,

01/25/27

(h)

................

564

554,059

5.50%,

02/22/29

(b)

................

339

318,300

4.50%,

01/30/30

(b)

................

641

556,789

7.05%,

02/03/31

(b)

................

213

214,198

4.88%,

09/23/32

(b)

................

1,030

873,440

2,918,823

Egypt

—

0.0%

Arab

Republic

of

Egypt

(b)

8.50%,

01/31/47

.................

301

174,354

7.50%,

02/16/61

.................

335

179,916

354,270

Guatemala

—

0.1%

Republic

of

Guatemala

4.50%,

05/03/26

(h)

................

319

310,387

5.25%,

08/10/29

(b)

................

290

281,807

3.70%,

10/07/33

(h)

................

532

441,327

4.65%,

10/07/41

(b)

................

716

583,451

1,616,972

Hungary

—

0.1%

Hungary

Government

Bond

5.38%,

03/25/24

.................

100

99,925

5.25%,

06/16/29

(b)

................

596

583,335

683,260

India

—

0.0%

Bharat

Petroleum

Corp.

Ltd.,

4.00%

,

05/08/25

(h)

200

194,163

Indian

Railway

Finance

Corp.

Ltd.

(h)

3.84%,

12/13/27

.................

200

188,600

3.57%,

01/21/32

.................

200

173,537

556,300

Indonesia

—

0.4%

(h)

Bank

Negara

Indonesia

Persero

Tbk.

PT,

(5-

Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.47%),

4.30%

(a)(i)

...

350

280,039

Perusahaan

Penerbit

SBSN

Indonesia

III

2.30%,

06/23/25

(h)

................

500

475,055

4.40%,

06/06/27

(b)

................

310

308,097

2.55%,

06/09/31

(h)

................

200

172,522

Perusahaan

Perseroan

Persero

PT

Perusahaan

Listrik

Negara,

4.88%

,

07/17/49

300

242,992

Republic

of

Indonesia

4.10%,

04/24/28

.................

1,205

1,181,126

BlackRock

Income

Fund

Schedules

of

Investments

57

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Indonesia

(continued)

4.75%,

07/18/47

(h)

................

USD

1,400

$

1,305,654

5.45%,

09/20/52

.................

225

226,993

4,192,478

Ivory

Coast

—

0.1%

Republic

of

Cote

d'Ivoire,

6.38%

,

03/03/28

(h)

.

1,047

1,001,979

Mexico

—

0.2%

United

Mexican

States

3.75%,

01/11/28

.................

520

500,760

2.66%,

05/24/31

.................

1,189

995,193

4.88%,

05/19/33

.................

200

191,700

6.35%,

02/09/35

.................

200

212,800

1,900,453

Mongolia

—

0.0%

State

of

Mongolia,

5.13%

,

04/07/26

(h)

.....

339

298,357

Morocco

—

0.1%

Kingdom

of

Morocco

2.38%,

12/15/27

(h)

................

329

289,520

5.95%,

03/08/28

(b)

................

311

317,220

606,740

Nigeria

—

0.1%

Federal

Republic

of

Nigeria

8.38%,

03/24/29

(b)

................

360

296,100

7.63%,

11/28/47

(h)

................

538

344,320

640,420

Oman

—

0.1%

Oman

Government

Bond

(h)

6.50%,

03/08/47

.................

563

519,368

6.75%,

01/17/48

.................

673

636,826

1,156,194

Pakistan

—

0.0%

Islamic

Republic

of

Pakistan,

6.00%

,

04/08/26

(h)

460

165,651

Panama

—

0.2%

Republic

of

Panama

3.88%,

03/17/28

.................

1,091

1,044,496

3.16%,

01/23/30

.................

1,452

1,272,134

2,316,630

Paraguay

—

0.1%

Republic

of

Paraguay

4.95%,

04/28/31

(b)

................

200

192,725

5.60%,

03/13/48

(h)

................

473

417,954

5.40%,

03/30/50

(h)

................

619

530,522

1,141,201

Peru

—

0.1%

Republic

of

Peru

2.78%,

01/23/31

.................

553

471,709

1.86%,

12/01/32

.................

1,054

795,638

1,267,347

Philippines

—

0.1%

Republic

of

Philippines

1.95%,

01/06/32

.................

200

162,522

3.70%,

03/01/41

.................

900

747,099

909,621

Poland

—

0.1%

Republic

of

Poland

4.88%,

10/04/33

.................

286

284,779

4.25%,

02/14/43

(h)

................

EUR

352

370,188

5.50%,

04/04/53

.................

USD

437

440,824

1,095,791

Security

Par

(000)

Par

(000)

Value

Qatar

—

0.0%

State

of

Qatar,

5.10%

,

04/23/48

(h)

........

USD

300

$

304,500

Romania

—

0.2%

Romania

Government

Bond

5.25%,

11/25/27

(b)

................

592

582,380

2.88%,

03/11/29

(h)

................

EUR

616

567,552

2.50%,

02/08/30

(h)

................

649

561,313

2.12%,

07/16/31

(h)

................

763

603,021

2,314,266

Saudi

Arabia

—

0.2%

Kingdom

of

Saudi

Arabia

4.75%,

01/18/28

(b)

................

USD

481

486,772

4.50%,

04/17/30

(h)

................

691

688,106

2.25%,

02/02/33

(h)

................

510

418,774

5.00%,

01/18/53

(b)

................

633

587,820

2,181,472

Senegal

—

0.0%

Republic

of

Senegal,

6.25%

,

05/23/33

(h)

....

351

279,045

South

Africa

—

0.1%

Republic

of

South

Africa

4.85%,

09/30/29

.................

487

435,865

5.88%,

04/20/32

.................

469

425,031

5.00%,

10/12/46

.................

775

534,750

1,395,646

South

Korea

—

0.2%

Export-Import

Bank

of

Korea

3.63%,

11/27/23

.................

1,300

1,290,718

0.63%,

06/29/24

.................

500

475,250

1,765,968

Sri

Lanka

—

0.0%

Democratic

Socialist

Republic

of

Sri

Lanka

(d)(h)(l)

6.35%,

06/28/24

.................

319

112,009

6.83%,

07/18/26

.................

418

150,526

262,535

Ukraine

—

0.0%

Ukraine

Government

Bond

(d)(l)

7.75%,

09/01/25

(h)

................

345

68,634

8.99%,

02/01/26

(h)

................

982

179,399

7.25%,

03/15/35

(b)

................

837

142,970

391,003

Uruguay

—

0.1%

Oriental

Republic

of

Uruguay,

5.75%

,

10/28/34

609

667,141

Total

Foreign

Government

Obligations

—

3.3%

(Cost:

$37,931,394)

..............................

36,916,420

Shares

Shares

Investment

Companies

Invesco

Senior

Loan

ETF

.............

15,000

312,000

iShares

0-5

Year

High

Yield

Corporate

Bond

ETF

(r)

.........................

530,200

22,098,736

iShares

Floating

Rate

Bond

ETF

(r)

........

308,079

15,524,101

iShares

iBoxx

$

High

Yield

Corporate

Bond

ETF

(r)

.........................

5,000

377,749

Total

Investment

Companies

—

3.4%

(Cost:

$41,007,768)

..............................

38,312,586

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

58

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

0.2%

Alternative

Loan

Trust

Series

2006-OA11,

Class

A1B,

(1-mo.

LIBOR

USD

at

0.38%

Floor

+

0.38%),

5.23%,

09/25/46

(a)

..............

USD

1,386

$

1,247,336

Series

2007-3T1,

Class

1A1,

6.00%,

04/25/37

....................

1,703

841,098

2,088,434

Commercial

Mortgage-Backed

Securities

—

0.8%

BX

Commercial

Mortgage

Trust,

Series

2019-

XL,

Class

G,

(1-mo.

CME

Term

SOFR

at

2.41%

Floor

+

2.41%),

7.24%,

10/15/36

(a)(b)

2,550

2,453,582

Citigroup

Commercial

Mortgage

Trust,

Series

2016-GC37,

Class

D,

2.79%,

04/10/49

(b)

.

1,000

714,454

Commercial

Mortgage

Trust,

Series

2016-

667M,

Class

D,

3.18%,

10/10/36

(a)(b)

....

1,000

777,081

DBUBS

Mortgage

Trust,

Series

2017-BRBK,

Class

D,

(1-mo.

LIBOR

USD

+

0.00%),

3.53%,

10/10/34

(a)(b)

...............

990

893,184

Hudson

Yards

Mortgage

Trust,

Series

2019-

55HY,

Class

F,

2.94%,

12/10/41

(a)(b)

.....

1,343

842,684

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust,

Series

2015-C23,

Class

D,

4.14%,

07/15/50

(a)(b)

....................

160

122,303

Velocity

Commercial

Capital

Loan

Trust

(a)(b)

Series

2019-3,

Class

M2,

3.28%,

10/25/49

2,080

1,863,873

Series

2019-3,

Class

M3,

3.38%,

10/25/49

629

533,805

Wells

Fargo

Commercial

Mortgage

Trust,

Series

2015-C30,

Class

C,

4.50%,

09/15/58

(a)

.....................

1,000

915,208

9,116,174

Interest

Only

Commercial

Mortgage-Backed

Securities

—

0.1%

(a)

Benchmark

Mortgage

Trust,

Series

2019-B13,

Class

XA,

1.12%,

08/15/57

..........

25,321

1,226,092

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust,

Series

2016-JP3,

Class

XC,

0.75%,

08/15/49

(b)

.............

8,700

184,286

1,410,378

Total

Non-Agency

Mortgage-Backed

Securities

—

1.1%

(Cost:

$14,597,728)

..............................

12,614,986

Beneficial

Interest

(000)

Other

Interests

(s)

Capital

Markets

—

0.0%

Millennium

Lender

Claim

(f)

.............

418

—

Industrial

Conglomerates

—

0.0%

Millennium

Corp.

Claim

(f)

..............

393

—

Total

Other

Interests

—

0.0%

(Cost:

$—)

....................................

—

Par

(000)

Pa

r

(

000)

Preferred

Securities

Capital

Trusts

—

1.0%

Banks

—

0.0%

PNC

Financial

Services

Group,

Inc.

(The),

Series

V,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.24%),

6.20%

(a)(d)(i)

.....................

124

116,665

Security

Par

(000)

Par

(000)

Value

Capital

Markets

—

0.0%

Goldman

Sachs

Group,

Inc.

(The),

Series

R,

(5-

Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.22%),

4.95%

(a)(d)(i)

..

USD

87

$

79,670

Consumer

Finance

—

0.5%

(a)(d)(i)

Ally

Financial,

Inc.,

Series

B,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

3.87%),

4.70%

...........

7,350

5,273,625

General

Motors

Financial

Co.,

Inc.,

Series

C,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.00%),

5.70%

.

61

52,500

5,326,125

Electric

Utilities

—

0.4%

Edison

International,

Series

A,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

4.70%),

5.38%

(a)(d)(i)

........

4,771

4,219,143

Independent

Power

and

Renewable

Electricity

Producers

—

0.0%

Vistra

Corp.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.74%),

7.00%

(a)(b)(d)(i)

....................

169

148,720

Oil,

Gas

&

Consumable

Fuels

—

0.1%

Energy

Transfer

LP,

Series

G,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.31%),

7.13%

(a)(d)(i)

........

2,070

1,740,870

Total

Capital

Trusts

—

1.0%

(Cost:

$14,790,771)

..............................

11,631,193

Shares

Shares

Preferred

Stocks

—

0.0%

Financial

Services

—

0.0%

CF-B

L2

(D)

LLC,

(Acquired

04/08/15-12/15/15,

cost

$56,990)

(d)(e)

.................

58,206

1,245

Total

Preferred

Stocks

—

0.0%

(Cost:

$56,990)

................................

1,245

Total

Preferred

Securities

—

1.0%

(Cost:

$14,847,761)

..............................

11,632,438

Par

(000)

Par

(000)

U.S.

Government

Sponsored

Agency

Securities

Mortgage-Backed

Securities

—

45.5%

Uniform

Mortgage-Backed

Securities

(t)

3.50%, 04/25/53

.................

200,000

185,835,936

4.50%, 04/25/53

.................

334,000

327,251,801

Total

U.S.

Government

Sponsored

Agency

Securities

—

45.5%

(Cost:

$506,972,500)

.............................

513,087,737

Shares

Shares

Warrants

Diversified

Consumer

Services

—

0.0%

Service

King

Midas

International

(Issued/

Exercisable

07/14/22,

1

Share

for

1

Warrant,

Expires

06/30/27,

Strike

Price

USD

10.00)

(d)

(f)

............................

943

—

BlackRock

Income

Fund

Schedules

of

Investments

59

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

x

Security

Shares

Shares

Value

Oil,

Gas

&

Consumable

Fuels

—

0.0%

California

Resources

Corp.

(Issued/Exercisable

1

0

/

2

3/20,

1

Share

for

1

Warrant,

Expires

10/27/24,

Strike

Price

USD

36.00)

(d)

....

495

$

4,207

Total

Warrants

—

0.0%

(Cost:

$—)

....................................

4,207

Total

Long-Term

Investments

—

130.7%

(Cost:

$1,529,685,955)

...........................

1,475,672,946

Short-Term

Securities

Money

Market

Funds

—

1.2%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(r)(u)

.................

13,269,819

13,269,819

Total

Money

Market

Funds

—

1.2%

(Cost:

$13,269,819)

..............................

13,269,819

Par

(000)

Pa

r

(

000)

U.S.

Treasury

Obligations

—

11.3%

U.S.

Treasury

Bills

(v)

3.95%, 04/11/23

.................

USD

34,500

34,464,887

4.65%, 06/15/23

.................

25,000

24,764,714

4.56%, 06/22/23

.................

69,500

68,789,749

Total

U.S.

Treasury

Obligations

—

11.3%

(Cost:

$128,009,259)

.............................

128,019,350

Total

Short-Term

Securities

—

12.5%

(Cost:

$141,279,078)

.............................

141,289,169

Total

Options

Purchased

—

0.0%

(Cost:

$61,656)

................................

23,039

Total

Investments

Before

Options

Written

and

TBA

Sale

Commitments

—

143.2%

(Cost:

$1,671,026,689

)

...........................

1,616,985,154

Total

Options

Written

—

(0.0)%

(Premium

Received

—

$(27,737))

....................

(4,810)

TBA

Sale

Commitments

Mortgage-Backed

Securities

—

(16.4)%

Uniform

Mortgage-Backed

Securities,

3.50%, 04/25/53

(t)

................

(200,000)

(185,835,936)

Total

TBA

Sale

Commitments

—

(16.4)%

(Proceeds:

$(184,156,250))

........................

(185,835,936)

Total

Investments

Net

of

Options

Written

and

TBA

Sale

Commitments

—

126.8%

(Cost:

$1,486,842,702

)

...........................

1,431,144,408

Liabilities

in

Excess

of

Other

Assets

—

(26.8)%

...........

(302,350,625)

Net

Assets

—

100.0%

..............................

$

1,128,793,783

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

Security

exempt

from

registration

pursuant

to

Rule

144A

under

the

Securities

Act

of

1933,

as

amended.

These

securities

may

be

resold

in

transactions

exempt

from

registration

to

qualified

institutional

investors.

(c)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(d)

Non-income

producing

security.

(e)

Restricted

security

as

to

resale,

excluding

144A

securities.

The

Fund

held

restricted

securities

with

a

current

value

of

$113,930,

representing

less

than

0.01%

of

its

net

assets

as

of

period

end,

and

an

original

cost

of

$333,317.

(f)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(g)

A

security

contractually

bound

to

one

or

more

other

securities

to

form

a

single

saleable

unit

which

cannot

be

sold

separately.

(h)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

60

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

(i)

Perpetual

security

with

no

stated

maturity

date.

(j)

All

or

a

portion

of

the

security

has

been

pledged

and/or

segregated

as

collateral

in

connection

with

outstanding

exchange-traded

options

written.

(k)

Payment-in-kind

security

which

may

pay

interest/dividends

in

additional

par/shares

and/or

in

cash.

Rates

shown

are

the

current

rate

and

possible

payment

rates.

(l)

Issuer

filed

for

bankruptcy

and/or

is

in

default.

(m)

Convertible

security.

(n)

Zero-coupon

bond.

(o)

Represents

an

unsettled

loan

commitment

at

period

end.

Certain

details

associated

with

this

purchase

are

not

known

prior

to

the

settlement

date,

including

coupon

rate.

(p)

Rounds

to

less

than

1,000.

(q)

Fixed

rate.

(r)

Affiliate

of

the

Fund.

(s)

Other

interests

represent

beneficial

interests

in

liquidation

trusts

and

other

reorganization

or

private

entities.

(t)

Represents

or

includes

a

TBA

transaction.

(u)

Annualized

7-day

yield

as

of

period

end.

(v)

Rates

are

discount

rates

or

a

range

of

discount

rates

as

of

period

end.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

101,941,923

$

—

$

(88,672,104)

(a)

$

—

$

—

$

13,269,819

13,269,819

$

1,355,310

$

—

iShares

0-5

Year

High

Yield

Corporate

Bond

ETF

......

21,176,188

—

—

—

922,548

22,098,736

530,200

678,045

—

iShares

Floating

Rate

Bond

ETF

15,487,132

—

—

—

36,969

15,524,101

308,079

343,516

—

iShares

iBoxx

$

High

Yield

Corporate

Bond

ETF

......

—

2,532,516

(2,216,005)

46,688

14,550

377,749

5,000

21,868

—

$

46,688

$

974,067

$

51,270,405

$

2,398,739

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

BlackRock

Income

Fund

Schedules

of

Investments

61

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

U.S.

Treasury

10

Year

Note

...................................................

638

06/21/23

$

73,410

$

1,654,635

U.S.

Treasury

10

Year

Ultra

Note

...............................................

61

06/21/23

7,397

65,503

U.S.

Treasury

Long

Bond

.....................................................

528

06/21/23

69,366

2,397,112

U.S.

Treasury

Ultra

Bond

.....................................................

93

06/21/23

13,174

673,878

U.S.

Treasury

2

Year

Note

....................................................

668

06/30/23

138,010

1,376,701

U.S.

Treasury

5

Year

Note

....................................................

1,225

06/30/23

134,319

3,827,232

9,995,061

Short

Contracts

EURO

STOXX

50

Index

.....................................................

1,019

06/16/23

47,166

(2,864,979)

Russell

2000

E-Mini

Index

....................................................

127

06/16/23

11,516

(323,276)

S&P

500

E-Mini

Index

.......................................................

66

06/16/23

13,655

(631,749)

U.S.

Treasury

10

Year

Note

...................................................

2,240

06/21/23

257,740

(7,391,302)

U.S.

Treasury

10

Year

Ultra

Note

...............................................

399

06/21/23

48,385

(1,518,631)

U.S.

Treasury

Long

Bond

.....................................................

375

06/21/23

49,266

(1,712,900)

U.S.

Treasury

Ultra

Bond

.....................................................

477

06/21/23

67,570

(2,970,975)

U.S.

Treasury

2

Year

Note

....................................................

820

06/30/23

169,413

(530,829)

U.S.

Treasury

5

Year

Note

....................................................

168

06/30/23

18,421

(407,774)

(18,352,415)

$

(8,357,354)

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

EUR

57,000

USD

61,613

Bank

of

America

NA

04/14/23

$

238

EUR

1,766,330

USD

1,614,698

Bank

of

America

NA

06/21/23

7,304

USD

183,706

EUR

168,000

Bank

of

America

NA

06/21/23

689

USD

408,754

EUR

375,000

JPMorgan

Chase

Bank

NA

06/21/23

234

8,465

EUR

166,000

USD

180,825

Citibank

NA

04/14/23

(699)

EUR

50,000

USD

54,358

JPMorgan

Chase

Bank

NA

04/14/23

(104)

USD

10,792

CHF

10,000

Bank

of

America

NA

04/14/23

(149)

USD

21,449

EUR

20,000

Bank

of

America

NA

04/14/23

(253)

USD

31,837

EUR

30,000

Deutsche

Bank

AG

04/14/23

(716)

USD

64,661

EUR

60,000

Goldman

Sachs

International

04/14/23

(445)

USD

3,852,695

EUR

3,631,000

Morgan

Stanley

&

Co.

International

plc

04/14/23

(87,292)

USD

107,872

GBP

90,000

JPMorgan

Chase

Bank

NA

04/14/23

(3,175)

USD

376,449

EUR

349,000

UBS

AG

06/21/23

(3,745)

(96,578)

$

(88,113)

Exchange-Traded

Options

Purchased

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

.........................

18

04/14/23

USD

292.00

USD

578

$

648

iShares

Russell

2000

ETF

......................

26

04/21/23

USD

185.00

USD

464

19,097

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

62

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Exchange-Traded

Options

Purchased

(continued)

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

SPDR

S&P

500

ETF

Trust

......................

54

04/21/23

USD

376.00

USD

2,211

$

3,294

$

23,039

Exchange-Traded

Options

Written

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

..........................

18

04/14/23

USD

270.00

USD

578

$

(153)

iShares

Russell

2000

ETF

.......................

26

04/21/23

USD

170.00

USD

464

(3,172)

SPDR

S&P

500

ETF

Trust

.......................

54

04/21/23

USD

360.00

USD

2,211

(1,485)

$

(4,810)

OTC

Credit

Default

Swap

s

—

Sell

Protection

Reference

Obligation/Index

Financing

Rate

Received

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Credit

Rating

(a)

Notional

Amount

(000)

(b)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

CenturyLink,

Inc.

......

1.00

%

Quarterly

Barclays

Bank

plc

12/20/23

NR

USD

8

$

(184)

$

(86)

$

(98)

(a)

Using

the

rating

of

the

issuer

or

the

underlying

securities

of

the

index,

as

applicable,

provided

by

S&P

Global

Ratings.

(b)

The

maximum

potential

amount

the

Fund

may

pay

should

a

negative

credit

event

take

place

as

defined

under

the

terms

of

the

agreement.

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

OTC

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

OTC

Swaps

.....................................................

$

—

$

(86)

$

—

$

(98)

$

—

Options

Written

...................................................

N/A

N/A

22,927

—

(4,810)

BlackRock

Income

Fund

Schedules

of

Investments

63

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

appreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

9,995,061

$

—

$

9,995,061

Forward

foreign

currency

exchange

contracts

Unrealized

appreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

8,465

—

—

8,465

Options

purchased

Investments

at

value

—

unaffiliated

(b)

...........

—

—

23,039

—

—

—

23,039

$

—

$

—

$

23,039

$

8,465

$

9,995,061

$

—

$

10,026,565

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

3,820,004

$

—

$

14,532,411

$

—

$

18,352,415

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

96,578

—

—

96,578

Options

written

Options

written

at

value

.....................

—

—

4,810

—

—

—

4,810

Swaps

—

OTC

Unrealized

depreciation

on

OTC

swaps;

Swap

premiums

received

.............................

—

184

—

—

—

—

184

$

—

$

184

$

3,824,814

$

96,578

$

14,532,411

$

—

$

18,453,987

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts,

if

any,

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).

(b)

Includes

options

purchased

at

value

as

reported

in

the

Schedule

of

Investments.

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

2,100,895

$

—

$

(3,236,988)

$

—

$

(1,136,093)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(452,898)

—

—

(452,898)

Options

purchased

(a)

....................

—

(8,035)

(3,245,845)

—

65

—

(3,253,815)

Options

written

........................

—

121

1,391,689

—

3,415,436

—

4,807,246

Swaps

..............................

—

(2,006,563)

—

—

(13,410,086)

—

(15,416,649)

$

—

$

(2,014,477)

$

246,739

$

(452,898)

$

(13,231,573)

$

—

$

(15,452,209)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

(3,820,004)

$

—

$

1,619,111

$

—

$

(2,200,893)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(722,779)

—

—

(722,779)

Options

purchased

(b)

....................

—

5,948

(45,938)

—

—

—

(39,990)

Options

written

........................

—

(317)

25,815

—

2,818,234

—

2,843,732

Swaps

..............................

—

4,563,673

—

—

—

—

4,563,673

$

—

$

4,569,304

$

(3,840,127)

$

(722,779)

$

4,437,345

$

—

$

4,443,743

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

64

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

582,053,880

Average

notional

value

of

contracts

—

short

.................................................................................

$

759,535,278

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

6,458,833

Average

amounts

sold

—

in

USD

........................................................................................

$

1,096,794

Options

Average

value

of

option

contracts

purchased

................................................................................

$

225,132

Average

value

of

option

contracts

written

...................................................................................

$

46,756

Average

notional

value

of

swaption

contracts

purchased

.........................................................................

$

—

(a)

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

—

(a)

Credit

default

swaps

Average

notional

value

—

sell

protection

...................................................................................

$

18,813

Interest

rate

swaps

Average

notional

value

—

receives

fixed

rate

................................................................................

$

270,000,000

(a)

Derivative

financial

instrument

not

held

at

any

quarter-end.

The

risk

exposure

table

serves

as

an

indicator

of

activity

during

the

period.

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

1,277,118

$

3,269,982

Forward

foreign

currency

exchange

contracts

.................................................................

8,465

96,578

Options

(a)

.........................................................................................

23,039

4,810

Swaps

—

centrally

cleared

..............................................................................

1,039

—

Swaps

—

OTC

(b)

.....................................................................................

—

184

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

1,309,661

$

3,371,554

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(1,301,196)

(3,274,792)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

8,465

$

96,762

(a)

Includes

options

purchased

at

value

which

is

included

in

Investments

at

value

–

unaffiliated

in

the

Statements

of

Assets

and

Liabilities

and

reported

in

the

Schedule

of

Investments.

(b)

Includes

unrealized

appreciation

(depreciation)

on

OTC

swaps

and

swap

premiums

paid/(received)

in

the

Statements

of

Assets

and

Liabilities.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

Net

Amount

of

Derivative

Assets

(b)(c)

Bank

of

America

NA

..............................

$

8,230

$

(402)

$

—

$

—

$

7,828

JPMorgan

Chase

Bank

NA

..........................

235

(235)

—

—

—

$

8,465

$

(637)

$

—

$

—

$

7,828

BlackRock

Income

Fund

Schedules

of

Investments

65

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

Net

Amount

of

Derivative

Liabilities

(c)(d)

Bank

of

America

NA

..............................

$

402

$

(402)

$

—

$

—

$

—

Barclays

Bank

plc

................................

184

—

—

—

184

Citibank

NA

....................................

699

—

—

—

699

Deutsche

Bank

AG

...............................

716

—

—

—

716

Goldman

Sachs

International

........................

444

—

—

—

444

JPMorgan

Chase

Bank

NA

..........................

3,278

(235)

—

—

3,043

Morgan

Stanley

&

Co.

International

plc

..................

87,293

—

—

—

87,293

UBS

AG

......................................

3,746

—

—

—

3,746

$

96,762

$

(637)

$

—

$

—

$

96,125

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(c)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(d)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

66

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

...................................

$

—

$

253,985,598

$

—

$

253,985,598

Common

Stocks

Capital

Markets

........................................

—

112,685

—

112,685

Chemicals

............................................

29,506

—

—

29,506

Commercial

Services

&

Supplies

.............................

—

—

294

294

Construction

&

Engineering

................................

—

16,433

—

16,433

Financial

Services

......................................

26,774

—

—

26,774

Hotels,

Restaurants

&

Leisure

..............................

—

—

—

—

Industrial

Conglomerates

..................................

—

141

—

141

IT

Services

...........................................

8,129

—

—

8,129

Marine

Transportation

....................................

—

—

—

—

Metals

&

Mining

........................................

81,244

—

—

81,244

Professional

Services

....................................

—

241,301

—

241,301

Software

.............................................

38,458

—

—

38,458

Corporate

Bonds

Aerospace

&

Defense

....................................

—

6,838,064

—

6,838,064

Automobile

Components

..................................

—

7,208,263

—

7,208,263

Automobiles

..........................................

—

3,722,186

—

3,722,186

Banks

...............................................

—

63,133,732

—

63,133,732

Beverages

...........................................

—

2,932,794

—

2,932,794

Broadline

Retail

........................................

—

993,439

—

993,439

Building

Products

.......................................

—

1,158,525

—

1,158,525

Capital

Markets

........................................

—

21,058,898

—

21,058,898

Chemicals

............................................

—

7,017,751

—

7,017,751

Commercial

Services

&

Supplies

.............................

—

6,104,143

—

6,104,143

Communications

Equipment

................................

—

953,810

—

953,810

Construction

&

Engineering

................................

—

2,317,945

—

2,317,945

Consumer

Finance

......................................

—

11,175,175

—

11,175,175

Consumer

Staples

Distribution

&

Retail

........................

—

1,493,891

—

1,493,891

Containers

&

Packaging

..................................

—

4,495,822

—

4,495,822

Distributors

...........................................

—

285,197

—

285,197

Diversified

Consumer

Services

..............................

—

1,113,133

—

1,113,133

Diversified

REITs

.......................................

—

8,573,725

—

8,573,725

Diversified

Telecommunication

Services

........................

—

23,320,195

—

23,320,195

Electric

Utilities

........................................

—

12,102,730

—

12,102,730

Electrical

Equipment

.....................................

—

1,225,532

—

1,225,532

Electronic

Equipment,

Instruments

&

Components

.................

—

722,695

—

722,695

Energy

Equipment

&

Services

..............................

—

2,496,310

—

2,496,310

Entertainment

.........................................

—

898,752

—

898,752

Financial

Services

......................................

—

16,392,133

—

16,392,133

Food

Products

.........................................

—

5,478,084

—

5,478,084

Gas

Utilities

...........................................

—

288,682

—

288,682

Ground

Transportation

...................................

—

1,962,075

—

1,962,075

Health

Care

Equipment

&

Supplies

...........................

—

1,117,003

—

1,117,003

Health

Care

Providers

&

Services

............................

—

23,172,688

—

23,172,688

Health

Care

REITs

......................................

—

312,415

—

312,415

Hotel

&

Resort

REITs

....................................

—

355,925

—

355,925

Hotels,

Restaurants

&

Leisure

..............................

—

11,190,955

—

11,190,955

Household

Durables

.....................................

—

8,279,943

—

8,279,943

Household

Products

.....................................

—

102,896

—

102,896

Independent

Power

and

Renewable

Electricity

Producers

............

—

538,602

—

538,602

Industrial

Conglomerates

..................................

—

280,938

—

280,938

Insurance

............................................

—

5,543,206

—

5,543,206

Interactive

Media

&

Services

...............................

—

2,113,554

—

2,113,554

IT

Services

...........................................

—

2,380,975

—

2,380,975

BlackRock

Income

Fund

Schedules

of

Investments

67

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Level

1

Level

2

Level

3

Total

Leisure

Products

.......................................

$

—

$

145,554

$

—

$

145,554

Life

Sciences

Tools

&

Services

..............................

—

322,972

—

322,972

Machinery

............................................

—

3,348,062

—

3,348,062

Media

...............................................

—

17,599,080

—

17,599,080

Metals

&

Mining

........................................

—

8,212,513

—

8,212,513

Mortgage

Real

Estate

Investment

Trusts

(REITs)

..................

—

107,185

—

107,185

Multi-Utilities

..........................................

—

3,677,134

—

3,677,134

Oil,

Gas

&

Consumable

Fuels

...............................

—

45,612,444

—

45,612,444

Paper

&

Forest

Products

..................................

—

648,038

—

648,038

Passenger

Airlines

......................................

—

3,499,163

—

3,499,163

Personal

Care

Products

..................................

—

75,105

—

75,105

Pharmaceuticals

.......................................

—

967,836

—

967,836

Professional

Services

....................................

—

690,733

—

690,733

Real

Estate

Management

&

Development

.......................

—

6,944,284

—

6,944,284

Retail

REITs

..........................................

—

296,083

—

296,083

Semiconductors

&

Semiconductor

Equipment

....................

—

13,090,119

—

13,090,119

Software

.............................................

—

17,188,547

—

17,188,547

Specialized

REITs

......................................

—

26,838,660

—

26,838,660

Specialty

Retail

........................................

—

12,090,172

—

12,090,172

Textiles,

Apparel

&

Luxury

Goods

............................

—

1,475,666

—

1,475,666

Tobacco

.............................................

—

19,254,464

—

19,254,464

Trading

Companies

&

Distributors

............................

—

2,865,135

—

2,865,135

Transportation

Infrastructure

...............................

—

830,027

—

830,027

Wireless

Telecommunication

Services

.........................

—

3,965,113

—

3,965,113

Floating

Rate

Loan

Interests

Aerospace

&

Defense

....................................

—

3,661,552

—

3,661,552

Automobile

Components

..................................

—

723,179

—

723,179

Automobiles

..........................................

—

286,663

—

286,663

Beverages

...........................................

—

1,188,711

—

1,188,711

Broadline

Retail

........................................

—

1,441,135

355,275

1,796,410

Building

Products

.......................................

—

2,005,886

—

2,005,886

Capital

Markets

........................................

—

3,272,223

—

3,272,223

Chemicals

............................................

—

4,854,901

463,335

5,318,236

Commercial

Services

&

Supplies

.............................

—

4,204,641

—

4,204,641

Communications

Equipment

................................

—

516,468

—

516,468

Construction

&

Engineering

................................

—

1,198,542

—

1,198,542

Construction

Materials

....................................

—

1,488,956

—

1,488,956

Consumer

Staples

Distribution

&

Retail

........................

—

398,724

—

398,724

Containers

&

Packaging

..................................

—

2,281,875

—

2,281,875

Distributors

...........................................

—

411,788

—

411,788

Diversified

Consumer

Services

..............................

—

3,437,719

—

3,437,719

Diversified

REITs

.......................................

—

319,466

—

319,466

Diversified

Telecommunication

Services

........................

—

4,513,783

—

4,513,783

Electric

Utilities

........................................

—

218,177

—

218,177

Electrical

Equipment

.....................................

—

551,687

—

551,687

Electronic

Equipment,

Instruments

&

Components

.................

—

300,658

—

300,658

Energy

Equipment

&

Services

..............................

—

606,098

—

606,098

Entertainment

.........................................

—

4,529,357

711,028

5,240,385

Financial

Services

......................................

—

3,796,328

384,988

4,181,316

Food

Products

.........................................

—

3,285,868

870,092

4,155,960

Ground

Transportation

...................................

—

1,047,633

—

1,047,633

Health

Care

Equipment

&

Supplies

...........................

—

2,148,338

—

2,148,338

Health

Care

Providers

&

Services

............................

—

3,720,362

—

3,720,362

Health

Care

Technology

..................................

—

2,200,608

—

2,200,608

Hotels,

Restaurants

&

Leisure

..............................

—

8,181,587

—

8,181,587

Household

Durables

.....................................

—

1,410,959

745,626

2,156,585

Household

Products

.....................................

—

604,133

—

604,133

Independent

Power

and

Renewable

Electricity

Producers

............

—

358,189

—

358,189

Insurance

............................................

—

5,385,399

—

5,385,399

Interactive

Media

&

Services

...............................

—

2,055,275

—

2,055,275

IT

Services

...........................................

—

3,981,853

—

3,981,853

Leisure

Products

.......................................

—

359,864

342,805

702,669

Life

Sciences

Tools

&

Services

..............................

—

3,468,419

—

3,468,419

Machinery

............................................

—

6,228,652

—

6,228,652

Fair

Value

Hierarchy

as

of Period

End

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Income

Fund

68

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Media

...............................................

$

—

$

4,518,384

$

419,222

$

4,937,606

Metals

&

Mining

........................................

—

1,062,429

—

1,062,429

Oil,

Gas

&

Consumable

Fuels

...............................

—

1,388,531

—

1,388,531

Passenger

Airlines

......................................

—

3,985,406

—

3,985,406

Personal

Care

Products

..................................

—

1,251,195

2,626,014

3,877,209

Pharmaceuticals

.......................................

—

2,100,441

572,074

2,672,515

Professional

Services

....................................

—

5,592,813

—

5,592,813

Real

Estate

Management

&

Development

.......................

—

240,283

336,091

576,374

Semiconductors

&

Semiconductor

Equipment

....................

—

544,850

—

544,850

Software

.............................................

—

12,019,103

370,343

12,389,446

Specialty

Retail

........................................

—

2,328,908

—

2,328,908

Technology

Hardware,

Storage

&

Peripherals

....................

—

207,428

—

207,428

Textiles,

Apparel

&

Luxury

Goods

............................

—

261,955

116,415

378,370

Trading

Companies

&

Distributors

............................

—

950,869

1,210,272

2,161,141

Transportation

Infrastructure

...............................

—

339,671

169,344

509,015

Wireless

Telecommunication

Services

.........................

—

860,171

—

860,171

Foreign

Agency

Obligations

.................................

—

9,976,122

—

9,976,122

Foreign

Government

Obligations

..............................

—

36,916,420

—

36,916,420

Investment

Companies

....................................

38,312,586

—

—

38,312,586

Non-Agency

Mortgage-Backed

Securities

........................

—

12,614,986

—

12,614,986

Other

Interests

..........................................

—

—

—

—

Preferred

Securities

.......................................

—

11,631,193

—

11,631,193

U.S.

Government

Sponsored

Agency

Securities

....................

—

513,087,737

—

513,087,737

Warrants

..............................................

4,207

—

—

4,207

Short-Term

Securities

Money

Market

Funds

......................................

13,269,819

—

—

13,269,819

U.S.

Treasury

Obligations

...................................

—

128,019,350

—

128,019,350

Options

Purchased

Equity

contracts

..........................................

23,039

—

—

23,039

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(185,835,936)

—

(185,835,936)

$

51,793,762

$

1,369,660,993

$

9,693,218

$

1,431,147,973

Investments

valued

at

NAV

(a)

......................................

1,245

$

—

$

1,431,149,218

$

—

Derivative

Financial

Instruments

(b)

Assets

Foreign

currency

exchange

contracts

............................

$

—

$

8,465

$

—

$

8,465

Interest

rate

contracts

.......................................

9,995,061

—

—

9,995,061

Liabilities

Credit

contracts

...........................................

—

(98)

—

(98)

Equity

contracts

...........................................

(959,835)

(2,864,979)

—

(3,824,814)

Foreign

currency

exchange

contracts

............................

—

(96,578)

—

(96,578)

Interest

rate

contracts

.......................................

(14,532,411)

—

—

(14,532,411)

$

(5,497,185)

$

(2,953,190)

$

—

$

(8,450,375)

(a)

Certain

investments

of

the

Fund

were

fair

valued

using

NAV

as

a

practical

expedient

as

no

quoted

market

value

is

available

and

therefore

have

been

excluded

from

the

fair

value

hierarchy.

(b)

Derivative

financial

instruments

are

swaps,

futures

contracts,

forward

foreign

currency

exchange

contracts

and

options

written.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

Fair

Value

Hierarchy

as

of Period

End

(continued)

Statements

of

Assets

and

Liabilities

(unaudited)

March

31,

2023

69

Financial

Statements

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

BlackRock

Income

Fund

ASSETS

Investments,

at

value

—

unaffiliated

(a)

..........................................................

$

462,043,055‌

$

899,610,883‌

$

1,565,714,749‌

Investments,

at

value

—

affiliated

(b)

............................................................

1,272,789‌

143,173,245‌

51,270,405‌

Cash  

...............................................................................

105,841‌

48,833‌

3,870,537‌

Cash

pledged:

Collateral

—

reverse

repurchase

agreements

....................................................

407,000‌

—‌

—‌

Collateral

—

OTC

derivatives

..............................................................

630,000‌

749,000‌

—‌

Collateral

—

TBA

commitments

.............................................................

690,000‌

—‌

—‌

Futures

contracts

......................................................................

679,310‌

637,000‌

21,356,105‌

Centrally

cleared

swaps

..................................................................

144,000‌

140,000‌

6,430‌

Receivables:

–‌

–‌

–‌

Investments

sold

......................................................................

5,757,359‌

—‌

11,617,760‌

TBA

sale

commitments

..................................................................

48,088,181‌

312,853,714‌

184,156,250‌

Capital

shares

sold

.....................................................................

568,176‌

915,938‌

1,809,585‌

Dividends

—

unaffiliated

.................................................................

—‌

—‌

24,132‌

Dividends

—

affiliated

...................................................................

9,672‌

254,992‌

40,902‌

Interest

—

unaffiliated

...................................................................

1,415,783‌

1,966,727‌

10,509,113‌

From

the

Manager

.....................................................................

21,798‌

89,272‌

278,914‌

Variation

margin

on

futures

contracts

.........................................................

11,738‌

9,844‌

1,277,118‌

Variation

margin

on

centrally

cleared

swaps

....................................................

2,477‌

—‌

1,039‌

Unrealized

appreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

—‌

—‌

8,465‌

Prepaid

expenses

.......................................................................

58,203‌

184,634‌

135,147‌

Total

assets

...........................................................................

521,905,382‌

1,360,634,082‌

1,852,076,651‌

LIABILITIES

Foreign

bank

overdraft

(c)

...................................................................

—‌

—‌

2,511,197‌

Cash

received:

Collateral

—

reverse

repurchase

agreements

....................................................

—‌

943,777‌

—‌

Collateral

—

TBA

commitments

.............................................................

830,000‌

509,495‌

—‌

Options

written,

at

value

(d)

..................................................................

563,547‌

957,997‌

4,810‌

TBA

sale

commitments,

at

value

(e)

............................................................

48,230,319‌

317,982,142‌

185,835,936‌

Reverse

repurchase

agreements,

at

value

.......................................................

31,462,974‌

125,095,776‌

—‌

Payables:

–‌

–‌

–‌

Investments

purchased

..................................................................

80,326,251‌

359,746,549‌

522,241,952‌

Swaps  

............................................................................

—‌

—‌

783‌

Accounting

services

fees

.................................................................

18,442‌

31,152‌

120,713‌

Administration

fees

.....................................................................

24,840‌

31,445‌

82,329‌

Capital

shares

redeemed

.................................................................

918,288‌

2,869,622‌

7,002,129‌

Custodian

fees

........................................................................

17,456‌

16,852‌

42,301‌

Income

dividend

distributions

..............................................................

159,347‌

572,460‌

603,934‌

Investment

advisory

fees

.................................................................

136,703‌

169,590‌

896,849‌

Trustees'

and

Officer's

fees

...............................................................

1,171‌

1,454‌

7,142‌

Professional

fees

......................................................................

34,936‌

25,903‌

36,903‌

Registration

fees

......................................................................

—‌

—‌

9,305‌

Service

and

distribution

fees

...............................................................

30,149‌

65,229‌

52,832‌

Transfer

agent

fees

....................................................................

124,751‌

224,867‌

454,440‌

Other

accrued

expenses

.................................................................

18,174‌

4,041‌

12,569‌

Variation

margin

on

futures

contracts

.........................................................

134,259‌

116,176‌

3,269,982‌

Variation

margin

on

centrally

cleared

swaps

....................................................

—‌

6,815‌

—‌

Swap

premiums

received

..................................................................

—‌

—‌

86‌

Unrealized

depreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

—‌

—‌

96,578‌

OTC

swaps

..........................................................................

—‌

—‌

98‌

Total

liabilities

..........................................................................

163,031,607‌

809,371,342‌

723,282,868‌

NET

ASSETS

..........................................................................

$

358,873,775‌

$

551,262,740‌

$

1,128,793,783‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

70

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

BlackRock

Income

Fund

NET

ASSETS

CONSIST

OF:

Paid-in

capital

..........................................................................

$

504,519,781‌

$

667,659,081‌

$

1,578,888,360‌

Accumulated

loss

.......................................................................

(145,646,006‌)

(116,396,341‌)

(450,094,577‌)

NET

ASSETS

..........................................................................

$

358,873,775‌

$

551,262,740‌

$

1,128,793,783‌

(a)

  Investments,

at

cost

—

unaffiliated

..........................................................

$

500,155,558‌

$

930,750,375‌

$

1,617,064,879‌

(b)

  Investments,

at

cost

—

affiliated

............................................................

$

1,272,789‌

$

143,173,245‌

$

53,961,810‌

(c)

  Foreign

bank

overdraft,

at

cost

.............................................................

$

—‌

$

—‌

$

2,504,805‌

(d)

  Premiums

received

....................................................................

$

580,260‌

$

1,053,890‌

$

27,737‌

(e)

  Proceeds

received

from

TBA

sale

commitments

.................................................

$

48,088,181‌

$

312,853,714‌

$

184,156,250‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

71

Financial

Statements

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

BlackRock

Income

Fund

NET

ASSET

VALUE

Institutional

Net

assets

............................................................................

$

173,570,556‌

$

286,581,028‌

$

757,725,288‌

Shares

outstanding

.....................................................................

21,623,023‌

30,799,253‌

86,309,144‌

Net

asset

value

........................................................................

$

8.03‌

$

9.30‌

$

8.78‌

Shares

authorized

......................................................................

Unlimited

Unlimited

Unlimited

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Investor

A

Net

assets

............................................................................

$

93,357,434‌

$

240,849,185‌

$

167,080,330‌

Shares

outstanding

.....................................................................

11,580,939‌

25,824,351‌

19,032,299‌

Net

asset

value

........................................................................

$

8.06‌

$

9.33‌

$

8.78‌

Shares

authorized

......................................................................

Unlimited

Unlimited

Unlimited

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Investor

C

Net

assets

............................................................................

$

8,022,307‌

$

8,199,476‌

$

18,197,594‌

Shares

outstanding

.....................................................................

999,538‌

880,681‌

2,071,633‌

Net

asset

value

........................................................................

$

8.03‌

$

9.31‌

$

8.78‌

Shares

authorized

......................................................................

Unlimited

Unlimited

Unlimited

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Class

K

Net

assets

............................................................................

$

83,923,478‌

$

12,106,894‌

$

185,790,571‌

Shares

outstanding

.....................................................................

10,488,490‌

1,301,054‌

21,163,432‌

Net

asset

value

........................................................................

$

8.00‌

$

9.31‌

$

8.78‌

Shares

authorized

......................................................................

Unlimited

Unlimited

Unlimited

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.001‌

Class

R

Net

assets

............................................................................

$

—‌

$

3,526,157‌

$

—‌

Shares

outstanding

.....................................................................

—‌

378,075‌

—‌

Net

asset

value

........................................................................

$

—‌

$

9.33‌

$

—‌

Shares

authorized

......................................................................

—

Unlimited

—

Par

value

............................................................................

$

—‌

$

0.001‌

$

—‌

Statements

of

Operations

(unaudited)

Six

Months

Ended

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

72

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

BlackRock

Income

Fund

INVESTMENT

INCOME

–

–

–

Dividends

—

unaffiliated

.................................................................

$

—‌

$

—‌

$

19,027‌

Dividends

—

affiliated

...................................................................

47,209‌

318,234‌

2,398,739‌

Interest

—

unaffiliated

...................................................................

7,040,869‌

11,353,301‌

40,447,181‌

Total

investment

income

...................................................................

7,088,078‌

11,671,535‌

42,864,947‌

EXPENSES

Investment

advisory

....................................................................

596,260‌

883,234‌

3,517,712‌

Service

and

distribution

—

class

specific

......................................................

161,945‌

356,601‌

301,254‌

Transfer

agent

—

class

specific

............................................................

161,654‌

381,671‌

1,231,380‌

Administration

.......................................................................

74,533‌

96,207‌

291,065‌

Registration

.........................................................................

43,628‌

80,885‌

71,654‌

Professional

.........................................................................

43,521‌

66,948‌

66,686‌

Accounting

services

....................................................................

39,467‌

55,967‌

222,832‌

Administration

—

class

specific

............................................................

35,074‌

45,294‌

145,262‌

Custodian

...........................................................................

18,677‌

39,300‌

113,651‌

Printing

and

postage

...................................................................

15,107‌

6,213‌

25,797‌

Trustees

and

Officer

....................................................................

2,172‌

2,801‌

9,319‌

Miscellaneous

........................................................................

15,641‌

11,911‌

37,041‌

Total

expenses

excluding

interest

expense

.......................................................

1,207,679‌

2,027,032‌

6,033,653‌

Interest

expense

......................................................................

1,452,990‌

2,796,730‌

—‌

Total

expenses

.........................................................................

2,660,669‌

4,823,762‌

6,033,653‌

Less:

–‌

–‌

–‌

Administration

fees

waived

by

the

Manager

—

class

specific

.........................................

(35,074‌)

(45,190‌)

(143,439‌)

Fees

waived

and/or

reimbursed

by

the

Manager

.................................................

(199,515‌)

(339,884‌)

(214,900‌)

Transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific

............................

(90,032‌)

(270,002‌)

(925,010‌)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

2,336,048‌

4,168,686‌

4,750,304‌

Net

investment

income

....................................................................

4,752,030‌

7,502,849‌

38,114,643‌

REALIZED

AND

UNREALIZED

GAIN

(LOSS)

$

9,620,903‌

$

12,106,337‌

$

52,280,623‌

Net

realized

gain

(loss)

from:

Investments

—

unaffiliated

.............................................................

$

(6,827,515‌)

$

(262,523‌)

$

(62,373,405‌)

Investments

—

affiliated

...............................................................

—‌

—‌

46,688‌

Forward

foreign

currency

exchange

contracts

.................................................

—‌

3,019‌

(452,898‌)

Foreign

currency

transactions

...........................................................

—‌

—‌

392,326‌

Futures

contracts

....................................................................

224,361‌

(1,887,558‌)

(1,136,093‌)

Options

written

.....................................................................

1,742,481‌

2,214,504‌

4,807,246‌

Swaps  

..........................................................................

(1,765,117‌)

(2,289,272‌)

(15,416,649‌)

(6,625,790‌)

(2,221,830‌)

(74,132,785‌)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments

—

unaffiliated

.............................................................

16,847,100‌

12,811,116‌

120,186,918‌

Investments

—

affiliated

...............................................................

—‌

—‌

974,067‌

Forward

foreign

currency

exchange

contracts

.................................................

—‌

(3,020‌)

(722,779‌)

Foreign

currency

translations

............................................................

—‌

—‌

766,180‌

Futures

contracts

....................................................................

(1,266,064‌)

523,573‌

(2,200,89

3‌

)

Options

written

.....................................................................

1,399,250‌

1,907,551‌

2,843,73

2‌

Swaps  

..........................................................................

(733,593‌)

(911,053‌)

4,563,67

3‌

Unfunded

floating

rate

loan

interests

.......................................................

—‌

—‌

2,510‌

16,246,693‌

14,328,167‌

126,413,408‌

Net

realized

and

unrealized

gain

.............................................................

9,620,903‌

12,106,337‌

52,280,623‌

NET

INCREASE

IN

NET

ASSETS

RESULTING

FROM

OPERATIONS

....................................

$

14,372,933‌

$

19,609,186‌

$

90,395,266‌

Statements

of

Changes

in

Net

Assets

73

Financial

Statements

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

....................................................

$

4,752,030‌

$

6,487,277‌

$

7,502,849‌

$

9,221,415‌

Net

realized

loss

........................................................

(6,625,790‌)

(16,773,045‌)

(2,221,830‌)

(40,008,750‌)

Net

change

in

unrealized

appreciation

(depreciation)

................................

16,246,693‌

(60,904,335‌)

14,328,167‌

(60,306,226‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

...........................

14,372,933‌

(71,190,103‌)

19,609,186‌

(91,093,561‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(a)

From

net

investment

income

:

  Institutional

...........................................................

(2,845,113‌)

(5,773,331‌)

(3,163,414‌)

(4,617,124‌)

  Investor

A

............................................................

(1,341,459‌)

(2,324,490‌)

(4,048,715‌)

(4,549,119‌)

  Investor

C

............................................................

(89,102‌)

(146,093‌)

(99,563‌)

(90,455‌)

  Class

K

..............................................................

(974,063‌)

(1,136,070‌)

(268,930‌)

(325,694‌)

  Class

R

..............................................................

—‌

—‌

(52,551‌)

(51,907‌)

Return

of

capital:

–

–

–

–

  Institutional

...........................................................

—‌

—‌

—‌

(288,871‌)

  Investor

A

............................................................

—‌

—‌

—‌

(284,617‌)

  Investor

C

............................................................

—‌

—‌

—‌

(5,659‌)

  Class

K

..............................................................

—‌

—‌

—‌

(20,377‌)

  Class

R

..............................................................

—‌

—‌

—‌

(3,248‌)

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.........................

(5,249,737‌)

(9,379,984‌)

(7,633,173‌)

(10,237,071‌)

CAPITAL

SHARE

TRANSACTIONS

Net

increase

(decrease)

in

net

assets

derived

from

capital

share

transactions

.................

(14,286,091‌)

(119,814,560‌)

55,086,863‌

(86,076,455‌)

NET

ASSETS

Total

increase

(decrease)

in

net

assets

...........................................

(5,162,895‌)

(200,384,647‌)

67,062,876‌

(187,407,087‌)

Beginning

of

period

........................................................

364,036,670‌

564,421,317‌

484,199,864‌

671,606,951‌

End

of

period

............................................................

$

358,873,775‌

$

364,036,670‌

$

551,262,740‌

$

484,199,864‌

(a)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Statements

of

Changes

in

Net

Assets

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

74

See

notes

to

financial

statements.

BlackRock

Income

Fund

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

..................................................................................

$

38,114,643‌

$

89,927,169‌

Net

realized

loss

......................................................................................

(74,132,785‌)

(295,465,607‌)

Net

change

in

unrealized

appreciation

(depreciation)

..............................................................

126,413,408‌

(161,359,816‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.........................................................

90,395,266‌

(366,898,254‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(a)

  Institutional

.........................................................................................

(28,143,758‌)

(118,754,490‌)

  Investor

A

..........................................................................................

(4,109,832‌)

(11,001,082‌)

  Investor

C

..........................................................................................

(410,260‌)

(1,390,190‌)

  Class

K

............................................................................................

(5,502,704‌)

(20,340,450‌)

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.......................................................

(38,166,554‌)

(151,486,212‌)

CAPITAL

SHARE

TRANSACTIONS

Net

decrease

in

net

assets

derived

from

capital

share

transactions

.......................................................

(697,087,941‌)

(979,194,690‌)

NET

ASSETS

Total

decrease

in

net

assets

................................................................................

(644,859,229‌)

(1,497,579,156‌)

Beginning

of

period

......................................................................................

1,773,653,012‌

3,271,232,168‌

End

of

period

..........................................................................................

$

1,128,793,783‌

$

1,773,653,012‌

(a)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Statements

of

Cash

Flows

(unaudited)

Six

Months

Ended

March

31,

2023

75

Financial

Statements

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

CASH

PROVIDED

BY

(USED

FOR)

OPERATING

ACTIVITIES

–

–

Net

increase

in

net

assets

resulting

from

operations

...............................................................

$

14,372,933‌

$

19,609,186‌

Adjustments

to

reconcile

net

increase

(decrease)

in

net

assets

resulting

from

operations

to

net

cash

provided

by

(used

for)

operating

activities:

—‌

—‌

Proceeds

from

sales

of

long-term

investments

.................................................................

2,100,813,339‌

6,017,291,487‌

Purchases

of

long-term

investments

.......................................................................

(2,043,636,447‌)

(5,954,961,864‌)

Net

purchases

of

short-term

securities

......................................................................

—‌

(138,928,538‌)

Net

proceeds

from

sales

of

short-term

securities

...............................................................

3,674,136‌

—‌

Amortization

of

premium

and

accretion

of

discount

on

investments

...................................................

5,507‌

(40,299‌)

Premiums

paid

on

closing

options

written

....................................................................

(1,038,869‌)

(1,524,650‌)

Premiums

received

from

options

written

.....................................................................

1,680,584‌

2,472,205‌

Net

realized

(gain)

loss

on

investments

and

options

written

........................................................

5,085,034‌

(1,951,981‌)

Net

unrealized

(appreciation)

depreciation

on

investments

and

options

written

...........................................

(18,246,350‌)

(14,659,760‌)

(Increase)

Decrease

in

Assets:

Receivables:

—‌

—‌

Dividends

—

affiliated

...............................................................................

(4,300‌)

(214,681‌)

Interest

—

unaffiliated

...............................................................................

399,505‌

572,571‌

From

the

Manager

..................................................................................

(4,939‌)

(40,519‌)

Variation

margin

on

futures

contracts

.....................................................................

247,282‌

249,202‌

Variation

margin

on

centrally

cleared

swaps

.................................................................

88,274‌

121,273‌

Prepaid

expenses

....................................................................................

13,958‌

(90,210‌)

Increase

(Decrease)

in

Liabilities:

—‌

—‌

Cash

received:

—‌

—‌

Collateral

—

reverse

repurchase

agreements

................................................................

—‌

943,777‌

Collateral

—

TBA

commitments

.........................................................................

665,000‌

(2,124,768‌)

Payables:

—‌

—‌

Accounting

service

s

fees

.............................................................................

1,678‌

8,757‌

Administration

fees

.................................................................................

11,495‌

13,520‌

Custodian

fees

....................................................................................

5,916‌

6,137‌

Interest

expense

and

fees

............................................................................

(30,998‌)

174,787‌

Investment

advisory

fees

.............................................................................

64,570‌

53,241‌

Trustees’

and

Officers’

fees

...........................................................................

(918‌)

(888‌)

Professional

fees

..................................................................................

(30,702‌)

(26,544‌)

Service

and

distribution

fees

...........................................................................

(2,817‌)

(3,866‌)

Transfer

agent

fees

................................................................................

(22,077‌)

(40,902‌)

Variation

margin

on

futures

contracts

.....................................................................

117,607‌

(5,481‌)

Variation

margin

on

centrally

cleared

swaps

.................................................................

—‌

6,815‌

Other

accrued

expenses

.............................................................................

7,583‌

(30,501‌)

Net

cash

provided

by

(used

for)

operating

activities

...............................................................

64,235,984‌

(73,122,494‌)

CASH

PROVIDED

BY

(USED

FOR)

FINANCING

ACTIVITIES

64,114,905

Cash

dividends

paid

to

shareholders

.........................................................................

(460,702‌)

(1,084,127‌)

Decrease

in

bank

overdraft

...............................................................................

—‌

(55,887‌)

Payments

on

redemption

of

capital

shares

.....................................................................

(66,434,747‌)

(98,945,014‌)

Proceeds

from

issuance

of

capital

shares

.....................................................................

47,415,363‌

148,380,241‌

Net

borrowing

of

reverse

repurchase

agreements

................................................................

(48,865,311‌)

15,819,692‌

Net

cash

provided

by

(used

for)

financing

activities

...............................................................

(68,345,397‌)

64,114,905‌

CASH

IMPACT

FROM

FOREIGN

EXCHANGE

FLUCTUATIONS

Cash

impact

from

foreign

exchange

fluctuations

.................................................................

—‌

55,887‌

CASH

Net

decrease

in

restricted

and

unrestricted

cash

.................................................................

(4,109,413‌)

(8,951,702‌)

Restricted

and

unrestricted

cash

at

beginning

of

period

............................................................

6,765,564‌

10,526,535‌

Restricted

and

unrestricted

cash

at

end

of

period

................................................................

$

2,656,151‌

$

1,574,833‌

SUPPLEMENTAL

DISCLOSURE

OF

CASH

FLOW

INFORMATION

Cash

paid

during

the

period

for

interest

expense

.................................................................

$

1,483,988‌

$

2,621,943‌

NON-CASH

FINANCING

ACTIVITIES

Reinvestment

of

dividends

and

distributions

....................................................................

$

4,803,812‌

$

6,560,060‌

Statements

of

Cash

Flows

(unaudited)

(continued)

Six

Months

Ended

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

76

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

BlackRock

Impact

Mortgage

Fund

RECONCILIATION

OF

RESTRICTED

AND

UNRESTRICTED

CASH

AT

THE

END

OF

PERIOD

TO

THE

STATEMENTS

OF

ASSETS

AND

LIABILITIES:

2,656,151

1,574,833

Cash

..........................................................................................

$

105,841‌

$

48,833‌

Cash

pledged:

—‌

—‌

Collateral

—

reverse

repurchase

agreements

..............................................................

407,000‌

—‌

Collateral

—

OTC

derivatives

........................................................................

630,000‌

749,000‌

Collateral

—

TBA

commitments

.......................................................................

690,000‌

—‌

Futures

contracts

................................................................................

679,310‌

637,000‌

Centrally

cleared

swaps

............................................................................

144,000‌

140,000‌

$

2,656,151‌

$

1,574,833‌

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

77

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

non-recurring

expenses

of

proxy costs.

Without

these

costs,

total

expenses,

total

expenses

after

fees

waived,

and

total

expenses

after

fees

waived

and/or

reimbursed

and

excluding interest

expense would

have

been

0.72%,

0.55%

and

0.42%,

respectively.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

.................

$

7.80

‌

$

9.35

‌

$

9.50

‌

$

9.46

‌

$

9.13

‌

$

9.59

‌

Net

investment

income

(a)

.........................

0.11

‌

0.13

‌

0.09

‌

0.22

‌

0.27

‌

0.25

‌

Net

realized

and

unrealized

gain

(loss)

................

0.24

‌

(1.49

)

(0.04

)

0.14

‌

0.41

‌

(0.38

)

Net

increase

(decrease)

from

investment

operations

........

0.35

‌

(1.36

)

0.05

‌

0.36

‌

0.68

‌

(0.13

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

......................

(0.12

)

(0.19

)

(0.20

)

(0.32

)

(0.35

)

(0.33

)

Return

of

capital

...............................

—

‌

—

‌

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

...............................

(0.12

)

(0.19

)

(0.20

)

(0.32

)

(0.35

)

(0.33

)

Net

asset

value,

end

of

period

......................

$

8.03

‌

$

7.80

‌

$

9.35

‌

$

9.50

‌

$

9.46

‌

$

9.13

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

..........................

4.54

%

(e)

(14.75

)%

0.47

%

3.86

%

7.55

%

(1.36

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.................................

1.44

%

(g)

0.79

%

(h)

0.57

%

0.65

%

1.14

%

1.06

%

Total

expenses

after

fees

waived

and/or

reimbursed

........

1.25

%

(g)

0.62

%

(h)

0.43

%

0.48

%

0.95

%

0.84

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

........................

0.42

%

(g)

0.49

%

(h)

0.43

%

0.42

%

0.42

%

0.42

%

Net

investment

income

...........................

2.80

%

(g)

1.43

%

1.00

%

2.28

%

2.92

%

2.69

%

Supplemental

Data

Net

assets,

end

of

period

(000)

......................

$

173,571

‌

$

203,542

‌

$

363,815

‌

$

356,671

‌

$

264,811

‌

$

249,030

‌

Portfolio

turnover

rate

(

i

)

............................

447

%

1,368

%

1,443

%

1,380

%

1,482

%

1,450

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

321%

818%

859%

912%

947%

823%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

78

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

non-recurring

expenses

of

proxy costs.

Without

these

costs,

total

expenses,

total

expenses

after

fees

waived,

and

total

expenses

after

fees

waived

and/or

reimbursed

and

excluding interest

expense would

have

been

0.98%,

0.80%

and

0.67%,

respectively.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

7.84

‌

$

9.39

‌

$

9.54

‌

$

9.50

‌

$

9.17

‌

$

9.63

‌

Net

investment

income

(a)

........................

0.10

‌

0.11

‌

0.07

‌

0.19

‌

0.25

‌

0.23

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.23

‌

(1.49

)

(0.05

)

0.15

‌

0.40

‌

(0.38

)

Net

increase

(decrease)

from

investment

operations

.......

0.33

‌

(1.38

)

0.02

‌

0.34

‌

0.65

‌

(0.15

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.11

)

(0.17

)

(0.17

)

(0.30

)

(0.32

)

(0.31

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.11

)

(0.17

)

(0.17

)

(0.30

)

(0.32

)

(0.31

)

Net

asset

value,

end

of

period

.....................

$

8.06

‌

$

7.84

‌

$

9.39

‌

$

9.54

‌

$

9.50

‌

$

9.17

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.26

%

(e)

(14.89

)%

0.23

%

3.60

%

7.27

%

(1.58

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

1.70

%

(g)

1.05

%

(h)

0.84

%

0.93

%

1.43

%

1.33

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

1.50

%

(g)

0.87

%

(h)

0.68

%

0.73

%

1.20

%

1.09

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.67

%

(g)

0.74

%

(h)

0.68

%

0.67

%

0.67

%

0.67

%

Net

investment

income

..........................

2.54

%

(g)

1.22

%

0.76

%

2.04

%

2.67

%

2.44

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

93,357

‌

$

97,871

‌

$

151,434

‌

$

161,035

‌

$

137,065

‌

$

120,582

‌

Portfolio

turnover

rate

(

i

)

...........................

447

%

1,368

%

1,443

%

1,380

%

1,482

%

1,450

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

321%

818%

859%

912%

947%

823%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

79

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

non-recurring

expenses

of

proxy costs.

Without

these

costs,

total

expenses,

total

expenses

after

fees

waived,

and

total

expenses

after

fees

waived

and/or

reimbursed

and

excluding interest

expense would

have

been

1.70%,

1.55%

and

1.42%,

respectively.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

See

notes

to

financial

statements.

BlackRock

GNMA

Portfolio

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

7.80

‌

$

9.35

‌

$

9.50

‌

$

9.46

‌

$

9.13

‌

$

9.58

‌

Net

investment

income

(a)

........................

0.07

‌

0.04

‌

0.01

‌

0.12

‌

0.18

‌

0.16

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.24

‌

(1.49

)

(0.06

)

0.15

‌

0.40

‌

(0.37

)

Net

increase

(decrease)

from

investment

operations

.......

0.31

‌

(1.45

)

(0.05

)

0.27

‌

0.58

‌

(0.21

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.08

)

(0.10

)

(0.10

)

(0.23

)

(0.25

)

(0.24

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.08

)

(0.10

)

(0.10

)

(0.23

)

(0.25

)

(0.24

)

Net

asset

value,

end

of

period

.....................

$

8.03

‌

$

7.80

‌

$

9.35

‌

$

9.50

‌

$

9.46

‌

$

9.13

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.02

%

(e)

(15.60

)%

(0.53

)%

2.83

%

6.49

%

(2.24

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

2.43

%

(g)

1.77

%

(h)

1.53

%

1.63

%

2.17

%

2.07

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

2.25

%

(g)

1.62

%

(h)

1.43

%

1.48

%

1.95

%

1.84

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

1.42

%

(g)

1.49

%

(h)

1.43

%

1.42

%

1.42

%

1.42

%

Net

investment

income

..........................

1.80

%

(g)

0.44

%

0.06

%

1.30

%

1.96

%

1.70

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

8,022

‌

$

9,715

‌

$

18,415

‌

$

31,336

‌

$

34,257

‌

$

44,241

‌

Portfolio

turnover

rate

(

i

)

...........................

447

%

1,368

%

1,443

%

1,380

%

1,482

%

1,450

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

321%

818%

859%

912%

947%

823%

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

80

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

non-recurring

expenses

of

proxy costs.

Without

these

costs,

total

expenses,

total

expenses

after

fees

waived,

and

total

expenses

after

fees

waived

and/or

reimbursed

and

excluding interest

expense would

have

been

0.62%,

0.50%

and

0.37%,

respectively.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

GNMA

Portfolio

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

7.78

‌

$

9.32

‌

$

9.47

‌

$

9.43

‌

$

9.10

‌

$

9.55

‌

Net

investment

income

(a)

........................

0.11

‌

0.15

‌

0.11

‌

0.22

‌

0.27

‌

0.25

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.23

‌

(1.50

)

(0.06

)

0.14

‌

0.41

‌

(0.37

)

Net

increase

(decrease)

from

investment

operations

.......

0.34

‌

(1.35

)

0.05

‌

0.36

‌

0.68

‌

(0.12

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.12

)

(0.19

)

(0.20

)

(0.32

)

(0.35

)

(0.33

)

Return

of

capital

..............................

—

‌

—

‌

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.12

)

(0.19

)

(0.20

)

(0.32

)

(0.35

)

(0.33

)

Net

asset

value,

end

of

period

.....................

$

8.00

‌

$

7.78

‌

$

9.32

‌

$

9.47

‌

$

9.43

‌

$

9.10

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.44

%

(e)

(14.65

)%

0.52

%

3.91

%

7.62

%

(1.22

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

1.34

%

(g)

0.67

%

(h)

0.47

%

0.54

%

1.03

%

0.94

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

1.20

%

(g)

0.55

%

(h)

0.38

%

0.43

%

0.90

%

0.79

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.37

%

(g)

0.42

%

(h)

0.38

%

0.37

%

0.37

%

0.37

%

Net

investment

income

..........................

2.83

%

(g)

1.72

%

1.15

%

2.34

%

2.93

%

2.73

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

83,923

‌

$

52,909

‌

$

30,757

‌

$

67,675

‌

$

45,934

‌

$

20,802

‌

Portfolio

turnover

rate

(

i

)

...........................

447

%

1,368

%

1,443

%

1,380

%

1,482

%

1,450

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

321%

818%

859%

912%

947%

823%

See

notes

to

financial

statements.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

81

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Impact

Mortgage

Fund

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

9.04

‌

$

10.81

‌

$

11.11

‌

$

10.62

‌

$

10.03

‌

$

10.45

‌

Net

investment

income

(a)

........................

0.16

‌

0.17

‌

0.12

‌

0.20

‌

0.26

‌

0.23

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.26

‌

(1.75

)

(0.25

)

0.51

‌

0.62

‌

(0.40

)

Net

increase

(decrease)

from

investment

operations

.......

0.42

‌

(1.58

)

(0.13

)

0.71

‌

0.88

‌

(0.17

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.16

)

(0.18

)

(0.17

)

(0.22

)

(0.29

)

(0.25

)

Return

of

capital

..............................

—

‌

(0.01

)

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.16

)

(0.19

)

(0.17

)

(0.22

)

(0.29

)

(0.25

)

Net

asset

value,

end

of

period

.....................

$

9.30

‌

$

9.04

‌

$

10.81

‌

$

11.11

‌

$

10.62

‌

$

10.03

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.70

%

(e)

(14.77

)%

(1.16

)%

6.72

%

8.86

%

(1.68

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

1.98

%

(g)

0.83

%

0.65

%

0.76

%

1.20

%

1.04

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

1.68

%

(g)

0.61

%

0.45

%

0.56

%

0.96

%

0.76

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.45

%

(g)

0.45

%

0.45

%

0.45

%

0.45

%

0.45

%

Net

investment

income

..........................

3.45

%

(g)

1.67

%

1.10

%

1.79

%

2.51

%

2.21

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

286,581

‌

$

201,444

‌

$

295,674

‌

$

412,161

‌

$

217,815

‌

$

166,465

‌

Portfolio

turnover

rate

(h)

...........................

1,110

%

1,027

%

715

%

745

%

837

%

892

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

687%

679%

458%

508%

571%

590%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

82

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Impact

Mortgage

Fund

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

9.06

‌

$

10.83

‌

$

11.14

‌

$

10.65

‌

$

10.06

‌

$

10.47

‌

Net

investment

income

(a)

........................

0.15

‌

0.15

‌

0.09

‌

0.18

‌

0.24

‌

0.20

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.27

‌

(1.76

)

(0.26

)

0.50

‌

0.61

‌

(0.39

)

Net

increase

(decrease)

from

investment

operations

.......

0.42

‌

(1.61

)

(0.17

)

0.68

‌

0.85

‌

(0.19

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.15

)

(0.15

)

(0.14

)

(0.19

)

(0.26

)

(0.22

)

Return

of

capital

..............................

—

‌

(0.01

)

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.15

)

(0.16

)

(0.14

)

(0.19

)

(0.26

)

(0.22

)

Net

asset

value,

end

of

period

.....................

$

9.33

‌

$

9.06

‌

$

10.83

‌

$

11.14

‌

$

10.65

‌

$

10.06

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.68

%

(e)

(14.95

)%

(1.49

)%

6.45

%

8.57

%

(1.82

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

2.23

%

(g)

1.09

%

0.91

%

1.02

%

1.47

%

1.31

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

1.93

%

(g)

0.86

%

0.70

%

0.81

%

1.21

%

1.01

%

Total

expenses

after

fees

waived

and/or

reimburse

d

and

excluding

interest

expense

.......................

0.70

%

(g)

0.70

%

0.70

%

0.70

%

0.70

%

0.70

%

Net

investment

income

..........................

3.23

%

(g)

1.43

%

0.84

%

1.61

%

2.28

%

1.96

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

240,849

‌

$

253,152

‌

$

340,582

‌

$

414,711

‌

$

354,704

‌

$

353,770

‌

Portfolio

turnover

rate

(h)

...........................

1,110

%

1,027

%

715

%

745

%

837

%

892

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

687%

679%

458%

508%

571%

590%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

83

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Impact

Mortgage

Fund

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

9.05

‌

$

10.81

‌

$

11.12

‌

$

10.63

‌

$

10.04

‌

$

10.46

‌

Net

investment

income

(a)

........................

0.11

‌

0.07

‌

0.01

‌

0.09

‌

0.16

‌

0.12

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.27

‌

(1.74

)

(0.26

)

0.51

‌

0.61

‌

(0.40

)

Net

increase

(decrease)

from

investment

operations

.......

0.38

‌

(1.67

)

(0.25

)

0.60

‌

0.77

‌

(0.28

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.12

)

(0.08

)

(0.06

)

(0.11

)

(0.18

)

(0.14

)

Return

of

capital

..............................

—

‌

(0.01

)

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.12

)

(0.09

)

(0.06

)

(0.11

)

(0.18

)

(0.14

)

Net

asset

value,

end

of

period

.....................

$

9.31

‌

$

9.05

‌

$

10.81

‌

$

11.12

‌

$

10.63

‌

$

10.04

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.18

%

(e)

(15.53

)%

(2.23

)%

5.66

%

7.78

%

(2.66

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

2.93

%

(g)

1.82

%

1.65

%

1.80

%

2.30

%

2.14

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

2.68

%

(g)

1.61

%

1.45

%

1.56

%

1.96

%

1.76

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

1.45

%

(g)

1.45

%

1.45

%

1.45

%

1.45

%

1.45

%

Net

investment

income

..........................

2.48

%

(g)

0.64

%

0.09

%

0.84

%

1.55

%

1.21

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

8,199

‌

$

8,781

‌

$

14,221

‌

$

25,922

‌

$

26,193

‌

$

35,014

‌

Portfolio

turnover

rate

(h)

...........................

1,110

%

1,027

%

715

%

745

%

837

%

892

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

687%

679%

458%

508%

571%

590%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

84

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Amount

is

greater

than

$(0.005)

per

share.

(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)

Offering

and

Board

realignment

and

consolidation

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

would

have

been

1.04%.

(j)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

(k)

Portfolio

turnover

rate

is

representative

of

the

portfolio

for

the

entire

year.

BlackRock

Impact

Mortgage

Fund

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Period

from

01/25/18

(a)

to

09/30/18

Net

asset

value,

beginning

of

period

...............

$

9.04

‌

$

10.81

‌

$

11.11

‌

$

10.62

‌

$

10.04

‌

$

10.27

‌

Net

investment

income

(b)

.......................

0.16

‌

0.19

‌

0.12

‌

0.20

‌

0.25

‌

0.14

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.27

‌

(1.77

)

(0.24

)

0.51

‌

0.62

‌

(0.20

)

Net

increase

(decrease)

from

investment

operations

......

0.43

‌

(1.58

)

(0.12

)

0.71

‌

0.87

‌

(0.06

)

Distributions

(c)

–

–

–

–

–

–

From

net

investment

income

....................

(0.16

)

(0.18

)

(0.18

)

(0.22

)

(0.29

)

(0.17

)

Return

of

capital

.............................

—

‌

(0.01

)

—

‌

—

‌

(0.00

)

(d)

—

‌

Total

distributions

.............................

(0.16

)

(0.19

)

(0.18

)

(0.22

)

(0.29

)

(0.17

)

Net

asset

value,

end

of

period

....................

$

9.31

‌

$

9.04

‌

$

10.81

‌

$

11.11

‌

$

10.62

‌

$

10.04

‌

Total

Return

(e)

—

—

—

—

—

—

Based

on

net

asset

value

........................

4.84

%

(f)

(14.73

)%

(1.11

)%

6.78

%

8.81

%

(0.60

)%

(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

...............................

1.81

%

(h)

0.69

%

0.54

%

0.64

%

1.06

%

1.03

%

(h)(i)

Total

expenses

after

fees

waived

and/or

reimbursed

......

1.63

%

(h)

0.56

%

0.40

%

0.51

%

0.91

%

0.86

%

(h)

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

0.40

%

(h)

0.40

%

0.40

%

0.40

%

0.40

%

0.40

%

(h)

Net

investment

income

.........................

3.52

%

(h)

1.84

%

1.14

%

1.79

%

2.44

%

2.03

%

(h)

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

12,107

‌

$

17,328

‌

$

16,753

‌

$

17,335

‌

$

5,031

‌

$

1,517

‌

Portfolio

turnover

rate

(j)

..........................

1,110

%

1,027

%

715

%

745

%

837

%

892

%

(k)

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Period

from

01/25/18

to

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

687%

679%

458%

508%

571%

590%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

85

Financial

Highlights

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Amount

is

greater

than

$(0.005)

per

share.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Impact

Mortgage

Fund

Class

R

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

................

$

9.06

‌

$

10.83

‌

$

11.14

‌

$

10.65

‌

$

10.06

‌

$

10.47

‌

Net

investment

income

(a)

........................

0.14

‌

0.12

‌

0.06

‌

0.16

‌

0.21

‌

0.18

‌

Net

realized

and

unrealized

gain

(loss)

...............

0.27

‌

(1.75

)

(0.25

)

0.49

‌

0.61

‌

(0.40

)

Net

increase

(decrease)

from

investment

operations

.......

0.41

‌

(1.63

)

(0.19

)

0.65

‌

0.82

‌

(0.22

)

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

.....................

(0.14

)

(0.13

)

(0.12

)

(0.16

)

(0.23

)

(0.19

)

Return

of

capital

..............................

—

‌

(0.01

)

—

‌

—

‌

(0.00

)

(c)

—

‌

Total

distributions

..............................

(0.14

)

(0.14

)

(0.12

)

(0.16

)

(0.23

)

(0.19

)

Net

asset

value,

end

of

period

.....................

$

9.33

‌

$

9.06

‌

$

10.83

‌

$

11.14

‌

$

10.65

‌

$

10.06

‌

Total

Return

(d)

—

—

—

—

—

—

Based

on

net

asset

value

.........................

4.55

%

(e)

(15.16

)%

(1.73

)%

6.18

%

8.30

%

(2.07

)%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

................................

2.52

%

(g)

1.45

%

1.23

%

1.36

%

2.11

%

1.64

%

Total

expenses

after

fees

waived

and/or

reimbursed

.......

2.18

%

(g)

1.11

%

0.95

%

1.06

%

1.46

%

1.26

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

.......................

0.95

%

(g)

0.95

%

0.95

%

0.95

%

0.95

%

0.95

%

Net

investment

income

..........................

2.98

%

(g)

1.19

%

0.59

%

1.51

%

2.06

%

1.72

%

Supplemental

Data

Net

assets,

end

of

period

(000)

.....................

$

3,526

‌

$

3,494

‌

$

4,377

‌

$

5,133

‌

$

13,734

‌

$

19,660

‌

Portfolio

turnover

rate

(h)

...........................

1,110

%

1,027

%

715

%

745

%

837

%

892

%

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Portfolio

turnover

rate

(excluding

MDRs)

...............................

687%

679%

458%

508%

571%

590%

See

notes

to

financial

statements.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

86

BlackRock

Income

Fund

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

...............

$

8.50

‌

$

10.46

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

$

10.31

‌

Net

investment

income

(a)

.......................

0.23

‌

0.34

‌

0.37

‌

0.44

‌

0.47

‌

0.43

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.28

‌

(1.75

)

0.25

‌

(0.06

)

0.24

‌

(0.18

)

Net

increase

(decrease)

from

investment

operations

......

0.51

‌

(1.41

)

0.62

‌

0.38

‌

0.71

‌

0.25

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

....................

(0.23

)

(0.42

)

(0.38

)

(0.47

)

(0.52

)

(0.43

)

From

net

realized

gain

.........................

—

‌

(0.13

)

—

‌

(0.01

)

—

‌

—

‌

Total

distributions

.............................

(0.23

)

(0.55

)

(0.38

)

(0.48

)

(0.52

)

(0.43

)

Net

asset

value,

end

of

period

....................

$

8.78

‌

$

8.50

‌

$

10.46

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

........................

6.03

%

(d)

(13.95

)%

6.13

%

3.90

%

(e)

7.22

%

2.52

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

...............................

0.83

%

(g)

0.73

%

0.71

%

0.73

%

0.78

%

0.83

%

(h)

Total

expenses

after

fees

waived

and/or

reimbursed

......

0.62

%

(g)

0.62

%

0.62

%

0.62

%

0.62

%

0.63

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

0.62

%

(g)

0.62

%

0.62

%

0.62

%

0.62

%

0.63

%

Net

investment

income

.........................

5.28

%

(g)

3.57

%

3.46

%

4.35

%

4.64

%

4.22

%

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

757,725

‌

$

1,370,526

‌

$

2,622,329

‌

$

1,300,683

‌

$

919,409

‌

$

457,518

‌

Portfolio

turnover

rate

...........................

271

%

(i)

133

%

81

%

92

%

77

%

100

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees.

Excluding

the

recoupment

of

past

waived

and/or

reimbursed

fees

for

the

year

ended

September

30,

2018,

the

expense

ratio

would

have

been

0.82%.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Excluding

MDRs,

the

portfolio

turnover

rate

would

have

been

196%.

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

87

Financial

Highlights

BlackRock

Income

Fund

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

...............

$

8.50

‌

$

10.45

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

$

10.30

‌

Net

investment

income

(a)

.......................

0.22

‌

0.32

‌

0.34

‌

0.41

‌

0.44

‌

0.40

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.28

‌

(1.74

)

0.25

‌

(0.05

)

0.24

‌

(0.16

)

Net

increase

(decrease)

from

investment

operations

......

0.50

‌

(1.42

)

0.59

‌

0.36

‌

0.68

‌

0.24

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

....................

(0.22

)

(0.40

)

(0.36

)

(0.45

)

(0.49

)

(0.41

)

From

net

realized

gain

.........................

—

‌

(0.13

)

—

‌

(0.01

)

—

‌

—

‌

Total

distributions

.............................

(0.22

)

(0.53

)

(0.36

)

(0.46

)

(0.49

)

(0.41

)

Net

asset

value,

end

of

period

....................

$

8.78

‌

$

8.50

‌

$

10.45

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

........................

5.90

%

(d)

(14.08

)%

5.77

%

3.64

%

(e)

6.96

%

2.36

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

...............................

0.95

%

(g)

0.91

%

0.90

%

0.97

%

1.04

%

1.12

%

(h)

Total

expenses

after

fees

waived

and/or

reimbursed

......

0.87

%

(g)

0.87

%

0.87

%

0.87

%

0.87

%

0.88

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

0.87

%

(g)

0.87

%

0.87

%

0.87

%

0.87

%

0.88

%

Net

investment

income

.........................

5.04

%

(g)

3.35

%

3.23

%

4.10

%

4.40

%

3.94

%

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

167,080

‌

$

161,675

‌

$

230,457

‌

$

142,602

‌

$

102,857

‌

$

75,462

‌

Portfolio

turnover

rate

...........................

271

%

(i)

133

%

81

%

92

%

77

%

100

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees.

Excluding

the

recoupment

of

past

waived

and/or

reimbursed

fees

for

the

year

ended

September

30,

2018,

the

expense

ratio

would

have

been

1.11%.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Excluding

MDRs,

the

portfolio

turnover

rate

would

have

been

196%.

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

88

BlackRock

Income

Fund

Investor

C

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

...............

$

8.50

‌

$

10.46

‌

$

10.23

‌

$

10.32

‌

$

10.13

‌

$

10.31

‌

Net

investment

income

(a)

.......................

0.19

‌

0.25

‌

0.27

‌

0.34

‌

0.37

‌

0.33

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.28

‌

(1.75

)

0.24

‌

(0.05

)

0.23

‌

(0.18

)

Net

increase

(decrease)

from

investment

operations

......

0.47

‌

(1.50

)

0.51

‌

0.29

‌

0.60

‌

0.15

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

....................

(0.19

)

(0.33

)

(0.28

)

(0.37

)

(0.41

)

(0.33

)

From

net

realized

gain

.........................

—

‌

(0.13

)

—

‌

(0.01

)

—

‌

—

‌

Total

distributions

.............................

(0.19

)

(0.46

)

(0.28

)

(0.38

)

(0.41

)

(0.33

)

Net

asset

value,

end

of

period

....................

$

8.78

‌

$

8.50

‌

$

10.46

‌

$

10.23

‌

$

10.32

‌

$

10.13

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

........................

5.50

%

(d)

(14.81

)%

4.97

%

2.97

%

(e)

6.16

%

1.50

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

...............................

1.71

%

(g)

1.67

%

1.66

%

1.73

%

1.79

%

1.84

%

(h)

Total

expenses

after

fees

waived

and/or

reimbursed

......

1.62

%

(g)

1.62

%

1.62

%

1.62

%

1.62

%

1.63

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

1.62

%

(g)

1.62

%

1.62

%

1.62

%

1.62

%

1.63

%

Net

investment

income

.........................

4.28

%

(g)

2.58

%

2.52

%

3.37

%

3.66

%

3.21

%

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

18,198

‌

$

20,598

‌

$

35,555

‌

$

30,905

‌

$

32,197

‌

$

29,812

‌

Portfolio

turnover

rate

...........................

271

%

(i)

133

%

81

%

92

%

77

%

100

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees.

Excluding

the

recoupment

of

past

waived

and/or

reimbursed

fees

for

the

year

ended

September

30,

2018,

the

expense

ratio

would

have

been

1.83%.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Excluding

MDRs,

the

portfolio

turnover

rate

would

have

been

196%.

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

89

Financial

Highlights

BlackRock

Income

Fund

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Year

Ended

09/30/21

Year

Ended

09/30/20

Year

Ended

09/30/19

Year

Ended

09/30/18

Net

asset

value,

beginning

of

period

...............

$

8.50

‌

$

10.45

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

$

10.31

‌

Net

investment

income

(a)

.......................

0.23

‌

0.35

‌

0.37

‌

0.44

‌

0.47

‌

0.44

‌

Net

realized

and

unrealized

gain

(loss)

..............

0.28

‌

(1.74

)

0.25

‌

(0.05

)

0.24

‌

(0.18

)

Net

increase

(decrease)

from

investment

operations

......

0.51

‌

(1.39

)

0.62

‌

0.39

‌

0.71

‌

0.26

‌

Distributions

(b)

–

–

–

–

–

–

From

net

investment

income

....................

(0.23

)

(0.43

)

(0.39

)

(0.48

)

(0.52

)

(0.44

)

From

net

realized

gain

.........................

—

‌

(0.13

)

—

‌

(0.01

)

—

‌

—

‌

Total

distributions

.............................

(0.23

)

(0.56

)

(0.39

)

(0.49

)

(0.52

)

(0.44

)

Net

asset

value,

end

of

period

....................

$

8.78

‌

$

8.50

‌

$

10.45

‌

$

10.22

‌

$

10.32

‌

$

10.13

‌

Total

Return

(c)

—

—

—

—

—

—

Based

on

net

asset

value

........................

6.05

%

(d)

(13.82

)%

6.09

%

3.95

%

(e)

7.27

%

2.57

%

Ratios

to

Average

Net

Assets

(f)

Total

expenses

...............................

0.63

%

(g)

0.58

%

0.57

%

0.65

%

0.69

%

0.74

%

(h)

Total

expenses

after

fees

waived

and/or

reimbursed

......

0.57

%

(g)

0.56

%

0.56

%

0.57

%

0.57

%

0.57

%

Total

expenses

after

fees

waived

and/or

reimbursed

and

excluding

interest

expense

......................

0.57

%

(g)

0.56

%

0.56

%

0.57

%

0.57

%

0.57

%

Net

investment

income

.........................

5.33

%

(g)

3.65

%

3.52

%

4.40

%

4.65

%

4.37

%

Supplemental

Data

Net

assets,

end

of

period

(000)

....................

$

185,791

‌

$

220,853

‌

$

382,891

‌

$

126,573

‌

$

80,072

‌

$

15,849

‌

Portfolio

turnover

rate

...........................

271

%

(i)

133

%

81

%

92

%

77

%

100

%

(a)

Based

on

average

shares

outstanding.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(c)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(d)

Not

annualized.

(e)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Includes

recoupment

of

past

waived

and/or

reimbursed

fees

with

no

financial

impact

to

the

expense

ratios.

(i)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Excluding

MDRs,

the

portfolio

turnover

rate

would

have

been

196%.

See

notes

to

financial

statements.

Notes

to

Financial

Statements

(unaudited)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

90

1.

ORGANIZATION 

BlackRock

Funds

V (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

Massachusetts

business trust.

The

following,

each

of

which

is

a

series

of

the

Trust, are

referred

to

herein

collectively

as

the

“Funds”

or

individually

as

a

“Fund”:

Each

Fund

offers

multiple

classes

of

shares.

All

classes

of

shares

have

identical

voting,

dividend,

liquidation

and

other

rights

and

are

subject

to

the

same

terms

and

conditions,

except

that

certain

classes

bear

expenses

related

to

the

shareholder

servicing

and

distribution

of

such

shares.

Institutional

and

Class

K

Shares

are

sold

only

to

certain

eligible

investors.

Investor

A,

Investor

C

and

Class

R

Shares

bear

certain

expenses

related

to

shareholder

servicing

of

such

shares,

and

Investor

C

and

Class

R

Shares

also

bear

certain

expenses

related

to

the

distribution

of

such

shares.

Investor

A

and

Investor

C

Shares

are

generally

available

through

financial

intermediaries.

Class

R

Shares

are

sold

only

to

certain

employer-sponsored

retirement

plans.

Each

class

has

exclusive

voting

rights

with

respect

to

matters

relating

to

its

shareholder

servicing

and

distribution

expenditures

(except

that

Investor

C

shareholders

may

vote

on

material

changes

to

the

Investor

A

Shares

distribution

and

service

plan).

(a)

Investor

A

Shares

may

be

subject

to

a

CDSC

for

certain

redemptions

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

(b)

A

CDSC

of

1.00%

is

assessed

on

certain

redemptions

of

Investor

C

Shares

made

within

one

year

after

purchase.

The

Funds,

together

with

certain

other

registered

investment

companies

advised

by

BlackRock

Advisors,

LLC

(the

“Manager”) or

its

affiliates,

are

included

in

a

complex

of

funds

referred

to

as

the BlackRock

Fixed-Income

Complex.

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

dates.

Non-cash

dividends,

if

any,

are

recorded

on

the

ex-dividend

dates

at

fair

value

.

Dividends

from

foreign

securities

where

the

ex-dividend

dates

may

have

passed

are

subsequently

recorded

when

the

Funds

are

informed

of

the

ex-dividend

dates.

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,

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.

Interest

income,

including

amortization

and

accretion

of

premiums

and

discounts

on

debt

securities

and

payment-in-kind

interest,

are

recognized

daily

on

an

accrual

basis.

Income,

expenses

and

realized

and

unrealized

gains

and

losses

are

allocated

daily

to

each

class

based

on

its

relative

net

assets. For

convertible

securities,

premiums

attributable

to

the

debt

instrument

are

amortized,

but

premiums

attributable

to

the

conversion

feature

are

not

amortized.

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

exchange

rates

determined

as

of

the

close

of

trading

on

the

New

York

Stock

Exchange

(“NYSE”).

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.

Collateralization:

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.  

Distributions:

Distributions

paid

by

the

Funds

are

recorded

on

the

ex-dividend

dates.

Distributions

from

net

investment

income

are

declared

daily

and

paid

monthly.

Distributions

of

capital

gains

are

recorded

on

the

ex-dividend

dates

and

made

at

least

annually.

The

portion

of

distributions,

if

any,

that

exceeds

a

fund’s

current

and

accumulated

earnings

and

profits,

as

measured

on

a

tax

basis,

constitute

a

non-taxable

return

of

capital.

The

character

and

timing

of

distributions

are

determined

in

accordance

with

U.S.

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

Fund

Name

Herein

Referred

To

As

Diversification

Classification

BlackRock

GNMA

Portfolio

..................................................

GNMA

Diversified

BlackRock

Impact

Mortgage

Fund

.............................................

Impact

Mortgage

Diversified

BlackRock

Income

Fund

....................................................

Income

Fund

Diversified

Share

Class

Initial

Sales

Charge

Contingent

Deferred

Sales

Charge

(“CDSC”)

Conversion

Privilege

Institutional,

Class

K

and

Class

R

Shares

.............................

No

No

None

Investor

A

Shares

............................................

Yes

No

(a)

None

Investor

C

Shares

...........................................

No

Yes

(b)

To

Investor

A

Shares

after

approximately

8

years

Notes

to

Financial

Statements

(unaudited)

(continued)

91

Notes

to

Financial

Statements

Deferred

Compensation

Plan:

Under

the

Deferred

Compensation

Plan

(the

“Plan”)

approved

by

the

Board

of

Trustees

of

the

Trust

(the

“Board”), the 

trustees

who

are

not

“interested

persons”

of

the

Funds,

as

defined

in

the

1940

Act

(“Independent

Trustees

”),

may

defer

a

portion

of

their

annual

complex-wide

compensation.

Deferred

amounts

earn

an

approximate

return

as

though

equivalent

dollar

amounts

had

been

invested

in

common

shares

of

certain

funds

in

the

BlackRock

Fixed-Income

Complex

selected

by

the

Independent

Trustees

.

This

has

the

same

economic

effect

for

the

Independent 

Trustees

as

if

the

Independent 

Trustees

had

invested

the

deferred

amounts

directly

in

certain

funds

in

the

BlackRock

Fixed-Income

Complex.  

The

Plan

is

not

funded

and

obligations

thereunder

represent

general

unsecured

claims

against

the

general

assets

of

each

Fund,

as

applicable.

Deferred

compensation

liabilities,

if

any, are

included

in

the

Trustees’

and

Officer’s

fees

payable

in

the

Statements

of

Assets

and

Liabilities

and

will

remain

as

a

liability

of

the

Funds

until

such

amounts

are

distributed

in

accordance

with

the

Plan. Net

appreciation

(depreciation)

in

the

value

of

participants’

deferral

accounts

is

allocated

among

the

participating

funds

in

the

BlackRock

Fixed-Income

Complex

and

reflected

as

Trustee

and

Officer

expense

on

the

Statements

of

Operations.

The

Trustee

and

Officer

expense

may

be

negative

as

a

result

of

a

decrease

in

value

of

the

deferred

accounts.

Indemnifications:

In

the

normal

course

of

business,

a

Fund

enters

into

contracts

that

contain

a

variety

of

representations

that

provide

general

indemnification.

A

Fund’s

maximum

exposure

under

these

arrangements

is

unknown

because

it

involves

future

potential

claims

against

a

Fund,

which

cannot

be

predicted

with

any

certainty.

Other:

Expenses

directly

related

to

a

Fund

or

its

classes

are

charged

to

that

Fund

or

the

applicable

class.

Expenses

directly

related

to

the

Funds

and

other

shared

expenses

prorated

to

the

Funds

are

allocated

daily

to

each

class

based

on

their

relative

net

assets

or

other

appropriate

methods.

Other

operating

expenses

shared

by

several

funds,

including

other

funds

managed

by

the

Manager,

are

prorated

among

those

funds

on

the

basis

of

relative

net

assets

or

other

appropriate

methods. 

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

is

open

for

business

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.

The

Board

of

each

Fund

has

approved

the

designation

of

each

Fund’s

Manager

as

the

valuation

designee

for

each

Fund.

Each

Fund

determines

the

fair

values

of

its

financial

instruments

using

various

independent

dealers

or

pricing

services

under

the

Manager’s

policies.

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

the

Manager’s

policies

and

procedures

as

reflecting

fair

value.

The

Manager

has

formed

a

committee

(the

“Valuation

Committee”)

to

develop

pricing

policies

and

procedures

and

to

oversee

the

pricing

function

for

all

financial

instruments,

with

assistance

from

other

BlackRock

pricing

committees.

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

may

be

valued

at

the

last

available

bid

(long

positions)

or

ask

(short

positions)

price.  

Fixed-income investments

for

which

market

quotations

are

readily

available

are

generally

valued

using

the

last

available

bid

price

or

current

market

quotations

provided

by

independent

dealers

or

third-party

pricing

services. Floating

rate

loan

interests

are

valued

at

the

mean

of

the

bid

prices

from

one

or

more

independent

brokers

or

dealers

as

obtained

from

a

third-party

pricing

service. Pricing

services

generally

value

fixed-income

securities

assuming

orderly

transactions

of

an

institutional

round

lot

size,

but

a

fund

may

hold

or

transact

in

such

securities

in

smaller,

odd

lot

sizes.

Odd

lots

may

trade

at

lower

prices

than

institutional

round

lots.

The

pricing

services

may

use

matrix

pricing

or

valuation

models

that

utilize

certain

inputs

and

assumptions

to

derive

values,

including

transaction

data

(e.g.,

recent

representative

bids

and

offers),

market

data, credit

quality

information,

perceived

market

movements,

news,

and

other

relevant

information.

Certain

fixed-income

securities,

including

asset-

backed

and

mortgage

related

securities

may

be

valued

based

on

valuation

models

that

consider

the

estimated

cash

flows

of

each

tranche

of

the

entity,

establish

a

benchmark

yield

and

develop

an

estimated

tranche

specific

spread

to

the

benchmark

yield

based

on

the

unique

attributes

of

the

tranche.

The

amortized

cost

method

of

valuation

may

be

used

with

respect

to

debt

obligations

with

sixty

days

or

less

remaining

to

maturity

unless

the

Manager

determines

such

method

does

not

represent

fair

value.

Investments

in

open-end

U.S.

mutual

funds

(including

money

market

funds) are

valued

at

that

day’s

published net

asset

value

(“NAV”).

Futures

contracts

are valued

based

on

that

day’s

last

reported

settlement

or

trade price

on

the

exchange

where

the

contract

is

traded.

Forward

foreign

currency

exchange

contracts

are

valued

at

the

mean

between

the

bid

and

ask

prices

and

are

determined

as

of

the

close

of

trading

on

the

NYSE

based

on

that

day’s

prevailing

forward

exchange

rate

for

the

underlying

currencies.

Exchange-traded

options

are

valued

at

the

mean

between

the

last bid

and

ask

prices

at

the

close

of

the

options

market in

which

the

options

trade.

An

exchange-

traded

option

for

which there

is

no

mean

price

is

valued

at

the

last

bid

(long

positions)

or

ask

(short

positions)

price.

If

no

bid

or

ask

price

is

available,

the

prior

day’s

price will

be

used,

unless

it

is

determined

that

the

prior

day’s

price

no

longer

reflects

the

fair

value

of

the

option.

Over-the-counter

(“OTC”)

options

and

options

on

swaps

(“swaptions”)

are

valued

by

an

independent

pricing

service

using

a

mathematical

model,

which

incorporates

a

number

of

market

data

factors,

such

as

the

trades

and

prices

of

the

underlying

instruments.

Swap

agreements

are

valued

utilizing

quotes

received

daily

by

independent pricing

services

or

through

brokers,

which

are

derived

using

daily

swap

curves

and

models

that

incorporate

a

number

of

market

data

factors,

such

as

discounted

cash

flows,

trades

and

values

of

the

underlying

reference

instruments. 

Generally,

trading

in

foreign

instruments

is

substantially

completed

each

day

at

various

times

prior

to

the

close

of

trading

on

the

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.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

92

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

Valuation

Committee

in

accordance

with

the

Manager’s

policies

and

procedures

as

reflecting

fair

value

(“Fair

Valued

Investments”).

The

fair

valuation

approaches

that

may

be

used

by

the

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

Valuation

Committee

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

Valuation

Committee

deems

relevant

and

consistent

with

the

principles

of

fair

value

measurement.

For

investments

in

equity

or

debt

issued

by

privately

held

companies

or

funds

(“Private

Company”

or

collectively,

the

“Private

Companies”)

and

other

Fair

Valued

Investments,

the

fair

valuation

approaches

that

are

used

by

the

Valuation

Committee

and

third-party

pricing

services

utilized

by

the

Valuation

Committee

include one

or

a

combination

of,

but

not

limited

to,

the

following

inputs.  

Investments

in

series

of

preferred

stock

issued

by

Private

Companies

are

typically

valued

utilizing

market

approach

in

determining

the

enterprise

value

of

the

company.

Such

investments

often

contain

rights

and

preferences

that

differ

from

other

series

of

preferred

and

common

stock

of

the

same

issuer.

Enterprise

valuation

techniques

such

as

an

option

pricing

model

(“OPM”),

a

probability

weighted

expected

return

model

(“PWERM”),

current

value

method or

a

hybrid

of

those

techniques

are

used

as

deemed

appropriate

under

the

circumstances.

The

use

of these

valuation techniques

involve

a

determination

of

the

exit

scenarios

of

the

investment

in

order

to

appropriately

allocate

the

enterprise

value

of

the

company

among

the

various

parts

of

its

capital

structure. 

The

Private

Companies

are

not

subject

to

the

public

company

disclosure,

timing,

and

reporting

standards

applicable

to other

investments

held

by

a

Fund.

Typically,

the

most

recently

available

information

by

a

Private

Company

is

as

of

a

date

that

is

earlier

than

the

date

a

Fund

is

calculating

its

NAV.

This

factor

may

result

in

a

difference

between

the

value

of

the

investment

and

the

price

a

Fund

could

receive

upon

the

sale

of

the

investment. 

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

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

Valuation

Committee

in

determining

the

price

for

Fair

Valued

Investments.

Level

3

investments

include

equity

or

debt

issued

by

Private

Companies

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.

As

of

March

31,

2023,

certain

investments

of

the Income

Fund were fair valued

using

NAV as

a

practical

expedient as

no

quoted

market

value

is

available

and

therefore

have

been

excluded

from

the

fair

value

hierarchy.

4.

SECURITIES

AND

OTHER

INVESTMENTS 

Asset-Backed

and

Mortgage-Backed

Securities:

Asset-backed

securities

are

generally

issued

as

pass-through

certificates

or

as

debt

instruments.

Asset-backed

securities

issued

as

pass-through

certificates

represent

undivided

fractional

ownership

interests

in

an

underlying

pool

of

assets.

Asset-backed

securities

issued

as

debt

instruments,

which

are

also

known

as

collateralized

obligations,

are

typically

issued

as

the

debt

of

a

special

purpose

entity

organized

solely

for

the

purpose

of

owning

such

assets

and

issuing

such

debt.

Asset-backed

securities

are

often

backed

by

a

pool

of

assets

representing

the

obligations

of

a

number

of

different

parties.

The

yield

characteristics

of

Standard

Inputs

Generally

Considered

By

The

Valuation

Committee

And

Third-Party

Pricing

Services

Market

approach

........................

(i)        

recent

market

transactions,

including

subsequent

rounds

of

financing,

in

the

underlying

investment

or

comparable  

            issuers;

(ii)        recapitalizations

and

other

transactions

across

the

capital

structure;

and

(iii)      

market

multiples

of

comparable

issuers.

Income

approach

..........................

(i)        

future

cash

flows

discounted

to

present

and

adjusted

as

appropriate

for

liquidity,

credit,

and/or

market

risks;

(ii)        quoted

prices

for

similar

investments

or

assets

in

active

markets;

and

(iii)      

other

risk

factors,

such

as

interest

rates,

yield

curves,

volatilities,

prepayment

speeds,

loss

severities,

credit

risks,

            recovery

rates,

liquidation

amounts

and/or

default

rates.

Cost

approach

............................

(i)        

audited

or

unaudited

financial

statements,

investor

communications

and

financial

or

operational

metrics

            issued

by

the

Private

Company;

(ii)        changes

in

the

valuation

of

relevant

indices

or

publicly

traded

companies

comparable

to

the

Private

Company;

(iii)      

relevant

news

and

other

public

sources;

and

(iv)      

known

secondary

market

transactions

in

the

Private

Company’s

interests

and

merger

or

acquisition

activity

            in

companies

comparable

to

the

Private

Company.

Notes

to

Financial

Statements

(unaudited)

(continued)

93

Notes

to

Financial

Statements

certain

asset-backed

securities

may

differ

from

traditional

debt

securities.

One

such

major

difference

is

that

all

or

a

principal

part

of

the

obligations

may

be

prepaid

at

any

time

because

the

underlying

assets

(i.e.,

loans)

may

be

prepaid

at

any

time.

As

a

result,

a

decrease

in

interest

rates

in

the

market

may

result

in

increases

in

the

level

of

prepayments

as

borrowers,

particularly

mortgagors,

refinance

and

repay

their

loans.

An

increased

prepayment

rate

with

respect

to

an

asset-backed

security

will

have

the

effect

of

shortening

the

maturity

of

the

security.

In

addition,

a

fund

may

subsequently

have

to

reinvest

the

proceeds

at

lower

interest

rates.

If

a

fund

has

purchased

such

an

asset-backed

security

at

a

premium,

a

faster

than

anticipated

prepayment

rate

could

result

in

a

loss

of

principal

to

the

extent

of

the

premium

paid. 

For

mortgage

pass-through

securities

(the

“Mortgage

Assets”)

there

are

a

number

of

important

differences

among

the

agencies

and

instrumentalities

of

the

U.S.

Government

that

issue

mortgage-related

securities

and

among

the

securities

that

they

issue.

For

example,

mortgage-related

securities

guaranteed

by

Ginnie

Mae

are

guaranteed

as

to

the

timely

payment

of

principal

and

interest

by

Ginnie

Mae

and

such

guarantee

is

backed

by

the

full

faith

and

credit

of

the

United

States.

However,

mortgage-related

securities

issued

by

Freddie

Mac

and

Fannie

Mae,

including

Freddie

Mac

and

Fannie

Mae

guaranteed

mortgage

pass-through

certificates,

which

are

solely

the

obligations

of

Freddie

Mac

and

Fannie

Mae,

are

not

backed

by

or

entitled

to

the

full

faith

and

credit

of

the

United

States,

but

are

supported

by

the

right

of

the

issuer

to

borrow

from

the

U.S.

Treasury. 

Non-agency

mortgage-backed

securities

are

securities

issued

by

non-governmental

issuers

and

have

no

direct

or

indirect

government

guarantees

of

payment

and

are

subject

to

various

risks.

Non-agency

mortgage

loans

are

obligations

of

the

borrowers

thereunder

only

and

are

not

typically

insured

or

guaranteed

by

any

other

person

or

entity.

The

ability

of

a

borrower

to

repay

a

loan

is

dependent

upon

the

income

or

assets

of

the

borrower.

A

number

of

factors,

including

a

general

economic

downturn,

acts

of

God,

terrorism,

social

unrest

and

civil

disturbances,

may

impair

a

borrower’s

ability

to

repay

its

loans.

Multiple

Class

Pass-Through

Securities:

Multiple

class

pass-through

securities,

including

collateralized

mortgage

obligations

(“CMOs”)

and

commercial

mortgage-backed

securities,

may

be

issued

by

Ginnie

Mae,

U.S.

Government

agencies

or

instrumentalities

or

by

trusts

formed

by

private

originators

of,

or

investors

in,

mortgage

loans.

In

general,

CMOs

are

debt

obligations

of

a

legal

entity

that

are

collateralized

by

a

pool

of

residential

or

commercial

mortgage

loans

or

Mortgage

Assets.

The

payments

on

these

are

used

to

make

payments

on

the

CMOs

or

multiple

pass-through

securities.

Multiple

class

pass-through

securities

represent

direct

ownership

interests

in

the

Mortgage

Assets.

Classes

of

CMOs

include

interest

only

(“IOs”),

principal

only

(“POs”),

planned

amortization

classes

and

targeted

amortization

classes.

IOs

and

POs

are

stripped

mortgage-backed

securities

representing

interests

in

a

pool

of

mortgages,

the

cash

flow

from

which

has

been

separated

into

interest

and

principal

components.

IOs

receive

the

interest

portion

of

the

cash

flow

while

POs

receive

the

principal

portion.

IOs

and

POs

can

be

extremely

volatile

in

response

to

changes

in

interest

rates.

As

interest

rates

rise

and

fall,

the

value

of

IOs

tends

to

move

in

the

same

direction

as

interest

rates.

POs

perform

best

when

prepayments

on

the

underlying

mortgages

rise

since

this

increases

the

rate

at

which

the

principal

is

returned

and

the

yield

to

maturity

on

the

PO.

When

payments

on

mortgages

underlying

a

PO

are

slower

than

anticipated,

the

life

of

the

PO

is

lengthened

and

the

yield

to

maturity

is

reduced.

If

the

underlying

Mortgage

Assets

experience

greater

than

anticipated

prepayments

of

principal,

a

fund’s

initial

investment

in

the

IOs

may

not

fully

recoup. 

Stripped

Mortgage-Backed

Securities:

Stripped

mortgage-backed

securities

are

typically

issued

by

the

U.S.

Government,

its

agencies

and

instrumentalities.

Stripped

mortgage-backed

securities

are

usually

structured

with

two

classes

that

receive

different

proportions

of

the

interest

(IOs)

and

principal

(POs)

distributions

on

a

pool

of

Mortgage

Assets.

Stripped

mortgage-backed

securities

may

be

privately

issued.

Zero-Coupon

Bonds:

Zero-coupon

bonds

are

normally

issued

at

a

significant

discount

from

face

value

and

do

not

provide

for

periodic

interest

payments.

These

bonds

may

experience

greater

volatility

in

market

value

than

other

debt

obligations

of

similar

maturity

which

provide

for

regular

interest

payments. 

Capital

Securities

and

Trust

Preferred

Securities:

Capital

securities,

including

trust

preferred

securities,

are

typically

issued

by

corporations,

generally

in

the

form

of

interest-bearing

notes

with

preferred

securities

characteristics.

In

the

case

of

trust

preferred

securities,

an

affiliated

business

trust

of

a

corporation

issues

these

securities,

generally

in

the

form

of

beneficial

interests

in

subordinated

debentures

or

similarly

structured

securities.

The

securities

can

be

structured

with

either

a

fixed

or

adjustable

coupon

that

can

have

either

a

perpetual

or

stated

maturity

date.

For

trust

preferred

securities,

the

issuing

bank

or

corporation

pays

interest

to

the

trust,

which

is

then

distributed

to

holders

of

these

securities

as

a

dividend.

Dividends

can

be

deferred

without

creating

an

event

of

default

or

acceleration,

although

maturity

cannot

take

place

unless

all

cumulative

payment

obligations

have

been

met.

The

deferral

of

payments

does

not

affect

the

purchase

or

sale

of

these

securities

in

the

open

market.

These

securities

generally

are

rated

below

that

of

the

issuing

company’s

senior

debt

securities

and

are

freely

callable

at

the

issuer’s

option. 

Preferred

Stocks:

Preferred

stock

has

a

preference

over

common

stock

in

liquidation

(and

generally

in

receiving

dividends

as

well),

but

is

subordinated

to

the

liabilities

of

the

issuer

in

all

respects.

As

a

general

rule,

the

market

value

of

preferred

stock

with

a

fixed

dividend

rate

and

no

conversion

element

varies

inversely

with

interest

rates

and

perceived

credit

risk,

while

the

market

price

of

convertible

preferred

stock

generally

also

reflects

some

element

of

conversion

value.

Because

preferred

stock

is

junior

to

debt

securities

and

other

obligations

of

the

issuer,

deterioration

in

the

credit

quality

of

the

issuer

will

cause

greater

changes

in

the

value

of

a

preferred

stock

than

in

a

more

senior

debt

security

with

similar

stated

yield

characteristics.

Unlike

interest

payments

on

debt

securities,

preferred

stock

dividends

are

payable

only

if

declared

by

the

issuer’s

board

of

directors.

Preferred

stock

also

may

be

subject

to

optional

or

mandatory

redemption

provisions. 

Warrants:

Warrants

entitle

a

fund

to

purchase

a

specified

number

of

shares

of

common

stock

and

are

non-income

producing.

The

purchase

price

and

number

of

shares

are

subject

to

adjustment

under

certain

conditions

until

the

expiration

date

of

the

warrants,

if

any.

If

the

price

of

the

underlying

stock

does

not

rise

above

the

strike

price

before

the

warrant

expires,

the

warrant

generally

expires

without

any

value

and

a

fund

will

lose

any

amount

it

paid

for

the

warrant.

Thus,

investments

in

warrants

may

involve

more

risk

than

investments

in

common

stock.

Warrants

may

trade

in

the

same

markets

as

their

underlying

stock;

however,

the

price

of

the

warrant

does

not

necessarily

move

with

the

price

of

the

underlying

stock. 

Floating

Rate

Loan

Interests:

Floating

rate

loan

interests

are

typically

issued

to

companies

(the

“borrower”)

by

banks,

other

financial

institutions,

or

privately

and

publicly

offered

corporations

(the

“lender”).

Floating

rate

loan

interests

are

generally

non-investment

grade,

often

involve

borrowers

whose

financial

condition

is

troubled

or

uncertain

and

companies

that

are

highly

leveraged

or

in

bankruptcy

proceedings.

In

addition,

transactions

in

floating

rate

loan

interests

may

settle

on

a

delayed

basis,

which

may

result

in

proceeds

from

the

sale

not

being

readily

available

for

a

fund

to

make

additional

investments

or

meet

its

redemption

obligations.

Floating

rate

loan

interests

may

include

fully

funded

term

loans

or

revolving

lines

of

credit.

Floating

rate

loan

interests

are

typically

senior

in

the

corporate

capital

structure

of

the

borrower.

Floating

rate

loan

interests

generally

pay

interest

at

rates

that

are

periodically

determined

by

reference

to

a

base

lending

rate

plus

a

premium.

Since

the

rates

reset

only

periodically,

changes

in

prevailing

interest

rates

(and

particularly

sudden

and

significant

changes)

can

be

expected

to

cause

some

fluctuations

in

the

NAV

of

a

fund

to

the

extent

that

it

invests

in

floating

rate

loan

interests.

The

base

lending

rates

are

generally

the

lending

rate

offered

by

one

or

more

European

banks,

such

as

the

London

Interbank

Offered

Rate

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

94

(“LIBOR”),

the

prime

rate

offered

by

one

or

more

U.S.

banks

or

the

certificate

of

deposit

rate.

Floating

rate

loan

interests

may

involve

foreign

borrowers,

and

investments

may

be

denominated

in

foreign

currencies.

These

investments

are

treated

as

investments

in

debt

securities

for

purposes

of

a

fund’s

investment

policies. 

When

a

fund

purchases

a

floating

rate

loan

interest,

it

may

receive

a

facility

fee

and

when

it

sells

a

floating

rate

loan

interest,

it

may

pay

a

facility

fee.

On

an

ongoing

basis,

a

fund

may

receive

a

commitment

fee

based

on

the

undrawn

portion

of

the

underlying

line

of

credit

amount

of

a

floating

rate

loan

interest.

Facility

and

commitment

fees

are

typically

amortized

to

income

over

the

term

of

the

loan

or

term

of

the

commitment,

respectively.

Consent

and

amendment

fees

are

recorded

to

income

as

earned.

Prepayment

penalty

fees,

which

may

be

received

by

a

fund

upon

the

prepayment

of

a

floating

rate

loan

interest

by

a

borrower,

are

recorded

as

realized

gains.

A

fund

may

invest

in

multiple

series

or

tranches

of

a

loan.

A

different

series

or

tranche

may

have

varying

terms

and

carry

different

associated

risks.

Floating

rate

loan

interests

are

usually

freely

callable

at

the

borrower’s

option.

A

fund

may

invest

in

such

loans

in

the

form

of

participations

in

loans

(“Participations”)

or

assignments

(“Assignments”)

of

all

or

a

portion

of

loans

from

third

parties.

Participations

typically

will

result

in

a

fund

having

a

contractual

relationship

only

with

the

lender,

not

with

the

borrower.

A

fund

has

the

right

to

receive

payments

of

principal,

interest

and

any

fees

to

which

it

is

entitled

only

from

the

lender

selling

the

Participation

and

only

upon

receipt

by

the

lender

of

the

payments

from

the

borrower.

In

connection

with

purchasing

Participations,

a

fund

generally

will

have

no

right

to

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement,

nor

any

rights

of

offset

against

the

borrower.

A

fund

may

not

benefit

directly

from

any

collateral

supporting

the

loan

in

which

it

has

purchased

the

Participation.

As

a

result,

a

fund

assumes

the

credit

risk

of

both

the

borrower

and

the

lender

that

is

selling

the

Participation.

A

fund’s

investment

in

loan

participation

interests

involves

the

risk

of

insolvency

of

the

financial

intermediaries

who

are

parties

to

the

transactions.

In

the

event

of

the

insolvency

of

the

lender

selling

the

Participation,

a

fund

may

be

treated

as

a

general

creditor

of

the

lender

and

may

not

benefit

from

any

offset

between

the

lender

and

the

borrower.

Assignments

typically

result

in

a

fund

having

a

direct

contractual

relationship

with

the

borrower,

and

a

fund

may

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement.

Forward

Commitments,

When-Issued

and

Delayed

Delivery

Securities

:

The

Funds

may

purchase

securities

on

a

when-issued

basis

and

may

purchase

or

sell

securities

on

a

forward

commitment

basis.

Settlement

of

such

transactions

normally

occurs

within

a

month

or

more

after

the

purchase

or

sale

commitment

is

made. The

Funds

may

purchase

securities

under

such

conditions

with

the

intention

of

actually

acquiring

them

but

may

enter

into

a

separate

agreement

to

sell

the

securities

before

the

settlement

date.

Since

the

value

of

securities

purchased

may

fluctuate

prior

to

settlement, the

Funds

may

be

required

to

pay

more

at

settlement

than

the

security

is

worth.

In

addition,

a

fund

is

not

entitled

to

any

of

the

interest

earned

prior

to

settlement.

When

purchasing

a

security

on

a

delayed

delivery

basis, the

Funds

assume

the

rights

and

risks

of

ownership

of

the

security,

including

the

risk

of

price

and

yield

fluctuations.

In

the

event

of

default

by

the

counterparty, the

Funds'

maximum

amount

of

loss

is

the

unrealized

appreciation

of

unsettled

when-issued

transactions.

TBA

Commitments:

TBA

commitments

are

forward

agreements

for

the

purchase

or

sale

of

securities,

including

mortgage-backed

securities

for

a

fixed

price,

with

payment

and

delivery

on

an

agreed

upon

future

settlement

date.

The

specific

securities

to

be

delivered

are

not

identified

at

the

trade

date.

However,

delivered

securities

must

meet

specified

terms,

including

issuer,

rate

and

mortgage

terms.

When

entering

into

TBA

commitments,

a

fund

may

take

possession

of

or

deliver

the

underlying

mortgage-backed

securities

but

can

extend

the

settlement

or

roll

the

transaction.

TBA

commitments

involve

a

risk

of

loss

if

the

value

of

the

security

to

be

purchased

or

sold

declines

or

increases,

respectively,

prior

to

settlement

date,

if

there

are

expenses

or

delays

in

connection

with

the

TBA

transactions,

or

if

the

counterparty

fails

to

complete

the

transaction.

In

order

to

better

define

contractual

rights

and

to

secure

rights

that

will

help

a

fund

mitigate its

counterparty

risk,

TBA

commitments

may

be

entered

into

by

a

fund

under

Master

Securities

Forward

Transaction

Agreements

(each,

an

“MSFTA”).

An

MSFTA

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

default

and/or

termination

event. The

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

the

collateral

currently

pledged

by

a

fund

and

the

counterparty. Cash

collateral

that

has

been

pledged

to

cover

the

obligations

of

a

fund

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

for

TBA

commitments

or

cash

received

as

collateral

for

TBA

commitments,

respectively.

Non-cash

collateral

pledged

by

a

fund,

if

any,

is

noted

in

the

Schedules

of

Investments. Typically,

a

fund

is

permitted

to

sell,

re-pledge

or

use

the

collateral

it

receives;

however,

the

counterparty

is

not

permitted

to

do

so.

To

the

extent

amounts

due

to

a

fund

are

not

fully

collateralized,

contractually

or

otherwise,

a

fund

bears

the

risk

of

loss

from

counterparty

non-performance.

Mortgage

Dollar

Roll

Transactions

:

The

Funds

may

sell

TBA

mortgage-backed

securities

and

simultaneously

contract

to

repurchase

substantially

similar

(i.e.,

same

type,

coupon

and

maturity)

securities

on

a

specific

future

date

at

an

agreed

upon

price.

During

the

period

between

the

sale

and

repurchase,

a

fund

is

not

entitled

to

receive

interest

and

principal

payments

on

the

securities

sold.

Mortgage

dollar

roll

transactions

are

treated

as

purchases

and

sales

and

a

fund realizes

gains

and

losses

on

these

transactions.

Mortgage

dollar

rolls

involve

the

risk

that

the

market

value

of

the

securities

that

a

fund

is

required

to

purchase

may

decline

below

the

agreed

upon

repurchase

price

of

those

securities. 

Reverse

Repurchase

Agreements:

Reverse

repurchase

agreements

are

agreements

with

qualified

third-party

broker

dealers

in

which

a

fund

sells

securities

to

a

bank

or

broker-dealer

and

agrees

to

repurchase

the

same

securities

at

a

mutually

agreed

upon

date

and

price.

A

fund

receives

cash

from

the

sale

to

use

for

other

investment

purposes.

During

the

term

of

the

reverse

repurchase

agreement,

a

fund

continues

to

receive

the

principal

and

interest

payments

on

the

securities

sold.

Certain

agreements

have

no

stated

maturity

and

can

be

terminated

by

either

party

at

any

time.

Interest

on

the

value

of

the

reverse

repurchase

agreements

issued

and

outstanding

is

based

upon

competitive

market

rates

determined

at

the

time

of

issuance.

A

fund

may

utilize

reverse

repurchase

agreements

when

it

is

anticipated

that

the

interest

income

to

be

earned

from

the

investment

of

the

proceeds

of

the

transaction

is

greater

than

the

interest

expense

of

the

transaction.

Reverse

repurchase

agreements

involve

leverage

risk.

If

a

fund

suffers

a

loss

on

its

investment

of

the

transaction

proceeds

from

a

reverse

repurchase

agreement,

a

fund

would

still

be

required

to

pay

the

full

repurchase

price.

Further,

a

fund

remains

subject

to

the

risk

that

the

market

value

of

the

securities

repurchased

declines

below

the

repurchase

price.

In

such

cases,

a

fund

would

be

required

to

return

a

portion

of

the

cash

received

from

the

transaction

or

provide

additional

securities

to

the

counterparty. 

Cash

received

in

exchange

for

securities

delivered

plus

accrued

interest

due

to

the

counterparty

is

recorded

as

a

liability

in

the

Statements

of

Assets

and

Liabilities

at

face

value

including

accrued

interest.

Due

to

the

short-term

nature

of

the

reverse

repurchase

agreements,

face

value

approximates

fair

value.

Interest

payments

made

by

a

fund

to

the

counterparties

are

recorded

as

a

component

of

interest

expense

in

the

Statements

of

Operations.

In

periods

of

increased

demand

for

the

security,

a

fund

may

receive

a

fee

for

the

use

of

the

security

by

the

counterparty,

which

may

result

in

interest

income

to

a

fund.

Notes

to

Financial

Statements

(unaudited)

(continued)

95

Notes

to

Financial

Statements

For

the

six

months

ended

March

31,

2023,

the

average

daily

amount

of

reverse

repurchase

agreements

outstanding and

the

weighted

average

interest

rate

for

the

Funds

were

as

follows:

Reverse

repurchase

transactions are

entered

into

by

a

fund

under

Master

Repurchase

Agreements

(each,

an

“MRA”),

which

permit

a

fund,

under

certain

circumstances,

including

an

event

of

default

(such

as

bankruptcy

or

insolvency),

to

offset

payables

and/or

receivables

under

the

MRA

with

collateral

held

and/or

posted

to

the

counterparty

and

create

one

single

net

payment

due

to

or

from

a

fund.

With

reverse

repurchase

transactions,

typically

a

fund

and

counterparty

under

an

MRA

are

permitted

to

sell,

re-

pledge,

or

use

the

collateral

associated

with

the

transaction.

Bankruptcy

or

insolvency

laws

of

a

particular

jurisdiction

may

impose

restrictions

on

or

prohibitions

against

such

a

right

of

offset

in

the

event

of

the

MRA

counterparty’s

bankruptcy

or

insolvency.

Pursuant

to

the

terms

of

the

MRA,

a

fund

receives

or

posts

securities

and

cash

as

collateral

with

a

market

value

in

excess

of

the

repurchase

price

to

be

paid

or

received

by

a

fund

upon

the

maturity

of

the

transaction.

Upon

a

bankruptcy

or

insolvency

of

the

MRA

counterparty,

a

fund

is

considered

an

unsecured

creditor

with

respect

to

excess

collateral

and,

as

such,

the

return

of

excess

collateral

may

be

delayed.

As

of

period

end,

the

following

table

is

a

summary

of

the

Funds’

open

reverse

repurchase

agreements by

counterparty

which

are

subject

to

offset

under

an

MRA

on

a

net

basis:

5.

Derivative

Financial

Instruments

The

Funds

engage

in

various

portfolio

investment

strategies

using

derivative

contracts

both

to

increase

the

returns

of

the

Funds

and/or

to

manage

their

exposure

to

certain

risks

such

as

credit

risk,

equity

risk,

interest

rate

risk,

foreign

currency

exchange

rate

risk,

commodity

price

risk

or

other

risks

(e.g.,

inflation

risk).

Derivative

financial

instruments

categorized

by

risk

exposure

are

included

in

the

Schedules

of

Investments.

These

contracts

may

be

transacted

on

an

exchange

or

OTC.

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

Schedules

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.

Forward

Foreign

Currency

Exchange

Contracts

:

Forward

foreign

currency

exchange

contracts

are

entered

into

to

gain

or

reduce

exposure

to

foreign

currencies

(foreign

currency

exchange

rate

risk).

A

forward

foreign

currency

exchange

contract

is

an

agreement

between

two

parties

to

buy

and

sell

a

currency

at

a

set

exchange

rate

on

a

specified

date.

These

contracts

help

to

manage

the

overall

exposure

to

the

currencies

in

which

some

of

the

investments

held

by

the

Funds

are

denominated

and

in

some

cases,

may

be

used

to

obtain

exposure

to

a

particular

market.

The

contracts

are

traded

OTC

and

not

on

an

organized

exchange.

The

contract

is

marked-to-market

daily

and

the

change

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

in

the

Statements

of

Assets

and

Liabilities.

When

a

contract

is

closed,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

value

at

the

time

it

was

opened

and

the

value

at

Fund

Name

Average

Borrowing

Weighted

Average

Interest

Rate

GNMA

.......................................................................................

$

69,924,560‌

4.20‌%

Impact

Mortgage

................................................................................

135,473,188‌

4.14‌

Counterparty

Reverse

Repurchase

Agreements

Fair

Value

of

Non-Cash

Collateral

Pledged

Including

Accrued

Interest

(a)

(a)

Cash

Collateral

Pledged/Received

Net

Amount

(b)

GNMA

Cantor

Fitzgerald

&

Co.

...........................

$

(31,462,974‌)

$

31,462,974‌

$

—‌

$

—‌

(a)

Collateral,

if

any,

with

a

value

of

$62,553,502

has

been

pledged

in

connection

with

open

reverse

repurchase

agreements.

Excess

of

collateral

pledged

to

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

Counterparty

Reverse

Repurchase

Agreements

Fair

Value

of

Non-Cash

Collateral

Pledged

Including

Accrued

Interest

(a)

(a)

Cash

Collateral

Pledged/Received

Net

Amount

(b)

Impact

Mortgage

Credit

Agricole

Corporate

&

Investment

Bank

SA

...........

$

(125,095,776‌)

$

125,095,776‌

$

—‌

$

—‌

(a)

Collateral,

if

any,

with

a

value

of

$132,637,427

has

been

pledged

in

connection

with

open

reverse

repurchase

agreements.

Excess

of

collateral

pledged

to

the

individual

counterparty

is

not

shown

for

financial

reporting

purposes.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

96

the

time

it

was

closed.

Non-deliverable

forward

foreign

currency

exchange

contracts

are

settled

with

the

counterparty

in

cash

without

the

delivery

of

foreign

currency.

The

use

of

forward

foreign

currency

exchange

contracts

involves

the

risk

that

the

value

of

a

forward

foreign

currency

exchange

contract

changes

unfavorably

due

to

movements

in

the

value

of

the

referenced

foreign

currencies,

and

such

value

may

exceed

the

amount(s)

reflected

in

the Statements

of

Assets

and

Liabilities. Cash

amounts

pledged

for

forward

foreign

currency

exchange

contracts

are

considered

restricted

and

are

included

in

cash

pledged

as

collateral

for

OTC

derivatives

in

the

Statements

of

Assets

and

Liabilities.

A

Fund’s

risk

of

loss

from

counterparty

credit

risk

on

OTC

derivatives

is

generally

limited

to

the

aggregate

unrealized

gain

netted

against

any

collateral

held

by

the

Fund.

Options:

The

Funds

may purchase

and

write

call

and

put

options

to

increase

or

decrease

their

exposure

to

the

risks

of

underlying

instruments,

including

equity

risk,

interest

rate

risk

and/or

commodity

price

risk

and/or,

in

the

case

of

options

written,

to

generate

gains

from

options

premiums.

A

call

option

gives

the

purchaser

(holder)

of

the

option

the

right

(but

not

the

obligation)

to

buy,

and

obligates

the

seller

(writer)

to

sell

(when

the

option

is

exercised)

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

A

put

option

gives

the

holder

the

right

to

sell

and

obligates

the

writer

to

buy

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

Premiums

paid

on

options

purchased

and

premiums

received

on

options

written,

as

well

as

the

daily

fluctuation

in

market

value,

are

included

in

investments

at

value

–

unaffiliated

and

options

written

at

value,

respectively,

in

the

Statements

of

Assets

and

Liabilities.

When

an

instrument

is

purchased

or

sold

through

the

exercise

of

an

option,

the

premium

is

offset

against

the

cost

or

proceeds

of

the

underlying

instrument.

When

an

option

expires,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

of

the

premiums

received

or

paid.

When

an

option

is

closed

or

sold,

a

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

the

cost

of

the

closing

transaction

exceeds

the

premiums

received

or

paid.

When

the

Funds

write

a

call

option,

such

option

is

typically

“covered,”

meaning

that

they

hold

the

underlying

instrument

subject

to

being

called

by

the

option

counterparty.

When

the

Funds

write

a

put

option,

cash

is

segregated

in

an

amount

sufficient

to

cover

the

obligation.

These

amounts,

which

are

considered

restricted,

are

included

in

cash

pledged

as

collateral

for

options

written

in

the

Statements

of

Assets

and

Liabilities.

Swaptions

–

The

Funds

may purchase

and

write

swaptions

primarily

to

preserve

a

return

or

spread

on

a

particular

investment

or

portion

of

the

Funds’

holdings,

as

a

duration

management

technique

or

to

protect

against

an

increase

in

the

price

of

securities

it

anticipates

purchasing

at

a

later

date.

The

purchaser

and

writer

of

a

swaption

is

buying

or

granting

the

right

to

enter

into

a

previously

agreed

upon

interest

rate

or

credit

default

swap

agreement

(interest

rate

risk

and/or

credit

risk)

at

any

time

before

the

expiration

of

the

option.

In

purchasing

and

writing

options,

the

Funds

bear

the

risk

of

an

unfavorable

change

in

the

value

of

the

underlying

instrument

or

the

risk

that

they

may

not

be

able

to

enter

into

a

closing

transaction

due

to

an

illiquid

market.

Exercise

of

a

written

option

could

result

in

the

Funds

purchasing

or

selling

a

security

when they

otherwise

would

not,

or

at

a

price

different

from

the

current

market

value.

Swaps:

Swap

contracts

are

entered

into

to

manage

exposure

to

issuers,

markets

and

securities.

Such

contracts

are

agreements

between

the

Funds

and

a

counterparty

to

make

periodic

net

payments

on

a

specified

notional

amount

or

a

net

payment

upon

termination.

Swap

agreements

are

privately

negotiated

in

the

OTC

market

and

may

be

entered

into

as

a

bilateral

contract

(“OTC

swaps”)

or

centrally

cleared

(“centrally

cleared

swaps”).

For

OTC

swaps,

any

upfront

premiums

paid

and

any

upfront

fees

received

are

shown

as

swap

premiums

paid

and

swap

premiums

received,

respectively,

in

the

Statements

of

Assets

and

Liabilities

and

amortized

over

the

term

of

the

contract.

The

daily

fluctuation

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

on

OTC

Swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

or

paid

are

recorded

in

the

Statements

of

Operations

as

realized

gains

or

losses,

respectively.

When

an

OTC

swap

is

terminated,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

proceeds

from

(or

cost

of)

the

closing

transaction

and

the

Funds’

basis

in

the

contract,

if

any.

Generally,

the

basis

of

the

contract

is

the

premium

received

or

paid.

In

a

centrally

cleared

swap,

immediately

following

execution

of

the

swap

contract,

the

swap

contract

is

novated

to

a

central

counterparty

(the

“CCP”)

and

the

CCP

becomes

the Funds’

counterparty

on

the

swap. Each

Fund is

required

to

interface

with

the

CCP

through

the

broker.

Upon

entering

into

a

centrally

cleared

swap, each

Fund is

required

to

deposit

initial

margin

with

the

broker

in

the

form

of

cash

or

securities

in

an

amount

that

varies

depending

on

the

size

and

risk

profile

of

the

particular

swap.

Securities

deposited

as

initial

margin

are

designated

in

the

Schedules

of

Investments

and

cash

deposited

is

shown

as

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Amounts

pledged,

which

are

considered

restricted

cash,

are

included

in

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Pursuant

to

the

contract, each

Fund

agrees

to

receive

from

or

pay

to

the

broker

variation

margin.

Variation

margin

is

recorded

as

unrealized

appreciation

(depreciation)

and

shown

as

variation

margin

receivable

(or

payable)

on

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

from

(paid

to)

the

counterparty

are

amortized

over

the

term

of

the

contract

and recorded

as

realized

gains

(losses)

in

the

Statements

of

Operations,

including

those

at

termination.

Credit

default

swaps

—

Credit

default

swaps

are

entered

into

to

manage

exposure

to

the

market

or

certain

sectors

of

the

market,

to

reduce

risk

exposure

to

defaults

of

corporate

and/or

sovereign

issuers

or

to

create

exposure

to

corporate

and/or

sovereign

issuers

to

which

a

fund

is

not

otherwise

exposed

(credit

risk).

The

Funds

may

either

buy

or

sell

(write)

credit

default

swaps

on

single-name

issuers

(corporate

or

sovereign),

a

combination

or

basket

of

single-name

issuers

or

traded

indexes.

Credit

default

swaps

are

agreements

in

which

the

protection

buyer

pays

fixed

periodic

payments

to

the

seller

in

consideration

for

a

promise

from

the

protection

seller

to

make

a

specific

payment

should

a

negative

credit

event

take

place

with

respect

to

the

referenced

entity

(e.g.,

bankruptcy,

failure

to

pay,

obligation

acceleration,

repudiation,

moratorium

or

restructuring).

As

a

buyer,

if

an

underlying

credit

event

occurs,

the

Funds

will

either

(i)

receive

from

the

seller

an

amount

equal

to

the

notional

amount

of

the

swap

and

deliver

the

referenced

security

or

underlying

securities

comprising

the

index,

or

(ii)

receive

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

As

a

seller

(writer),

if

an

underlying

credit

event

occurs,

the

Funds

will

either

pay

the

buyer

an

amount

equal

to

the

notional

amount

of

the

swap

and

take

delivery

of

the

referenced

security

or

underlying

securities

comprising

the

index

or

pay

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

Interest

rate

swaps

—

Interest

rate

swaps

are

entered

into

to

gain

or

reduce

exposure

to

interest

rates

or

to

manage

duration,

the

yield

curve

or

interest

rate

(interest

rate

risk).

Notes

to

Financial

Statements

(unaudited)

(continued)

97

Notes

to

Financial

Statements

Interest

rate

swaps

are

agreements

in

which

one

party

pays

a

stream

of

interest

payments,

either

fixed

or

floating,

in

exchange

for

another

party’s

stream

of

interest

payments,

either

fixed

or

floating,

on

the

same

notional

amount

for

a

specified

period

of

time.

In

more

complex

interest

rate

swaps,

the

notional

principal

amount

may

decline

(or

amortize)

over

time.

Forward

swaps

— The

Funds

may enter

into

forward

interest

rate

swaps

and

forward

total

return

swaps.

In

a

forward

swap,

each

Fund

and

the

counterparty

agree

to

make

periodic

net

payments

beginning

on

a

specified

date

or

a

net

payment

at

termination.

Swap

transactions

involve,

to

varying

degrees,

elements

of

interest

rate,

credit

and

market

risks

in

excess

of

the

amounts

recognized

in

the

Statements

of

Assets

and

Liabilities.

Such

risks

involve

the

possibility

that

there

will

be

no

liquid

market

for

these

agreements,

that

the

counterparty

to

the

agreements

may

default

on

its

obligation

to

perform

or

disagree

as

to

the

meaning

of

the

contractual

terms

in

the

agreements,

and

that

there

may

be

unfavorable

changes

in

interest

rates

and/or

market

values

associated

with

these

transactions.

Master

Netting

Arrangements:

In

order

to

define

its

contractual

rights

and

to

secure

rights

that

will

help

it mitigate its

counterparty

risk, a

Fund

may

enter

into

an

International

Swaps

and

Derivatives

Association,

Inc.

Master

Agreement

(“ISDA

Master

Agreement”)

or

similar

agreement

with

its

counterparties.

An

ISDA

Master

Agreement

is

a

bilateral

agreement

between a

Fund

and

a

counterparty

that

governs

certain

OTC

derivatives

and

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

a

default

and/or

termination

event.

Under

an

ISDA

Master

Agreement, a

Fund

may,

under

certain

circumstances,

offset

with

the

counterparty

certain

derivative

financial

instruments’

payables

and/or

receivables

with

collateral

held

and/or

posted

and

create

one

single

net

payment.

The

provisions

of

the

ISDA

Master

Agreement

typically

permit

a

single

net

payment

in

the

event

of

default

including

the

bankruptcy

or

insolvency

of

the

counterparty.

However,

bankruptcy

or

insolvency

laws

of

a

particular

jurisdiction

may

impose

restrictions

on

or

prohibitions

against

the

right

of

offset

in

bankruptcy,

insolvency

or

other

events.

Collateral

Requirements:

For

derivatives

traded

under

an

ISDA

Master

Agreement,

the

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

any

collateral

currently

pledged

by

the

Fund(s)

and

the

counterparty.

Cash

collateral

that

has

been

pledged

to

cover

obligations

of

the

Funds

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

and

cash

received

as

collateral,

respectively.

Non-cash

collateral

pledged

by

the

Funds,

if

any,

is

noted

in

the

Schedules

of

Investments.

Generally,

the

amount

of

collateral

due

from

or

to

a

counterparty

is

subject

to

a

certain

minimum

transfer

amount

threshold

before

a

transfer

is

required,

which

is

determined

at

the

close

of

business

of

the

Funds.

Any

additional

required

collateral

is

delivered

to/pledged

by

the

Funds

on

the

next

business

day.

Typically,

the

counterparty

is

not

permitted

to

sell,

re-pledge

or

use

cash

and

non-cash

collateral

it

receives.

A

Fund

generally

agrees

not

to

use

non-cash

collateral

that

it

receives

but

may,

absent

default

or

certain

other

circumstances

defined

in

the

underlying

ISDA

Master

Agreement,

be

permitted

to

use

cash

collateral

received.

In

such

cases,

interest

may

be

paid

pursuant

to

the

collateral

arrangement

with

the

counterparty.

To

the

extent

amounts

due

to

the

Funds

from the

counterparties

are

not

fully

collateralized, each

Fund bears

the

risk

of

loss

from

counterparty

non-performance.

Likewise,

to

the

extent

the

Funds have

delivered

collateral

to

a

counterparty

and

stand

ready

to

perform

under

the

terms

of

their

agreement

with

such

counterparty, each

Fund bears

the

risk

of

loss

from

a

counterparty

in

the

amount

of

the

value

of

the

collateral

in

the

event

the

counterparty

fails

to

return

such

collateral.

Based

on

the

terms

of

agreements,

collateral

may

not

be

required

for

all

derivative

contracts.

For

financial

reporting

purposes,

the

Funds

do

not

offset

derivative

assets

and

derivative

liabilities

that

are

subject

to

netting

arrangements,

if

any,

in

the

Statements

of

Assets

and

Liabilities.

6.

INVESTMENT

ADVISORY

AGREEMENT

AND

OTHER

TRANSACTIONS

WITH

AFFILIATES 

Investment

Advisory:

The

Trust,

on

behalf

of

the

Funds,

entered

into

an

Investment

Advisory

Agreement

with

the

Manager,

the

Funds’

investment

adviser

and

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

Inc.

(“BlackRock”),

to

provide

investment

advisory

services.

The

Manager

is

responsible

for

the

management

of each

Fund’s

portfolio

and

provides

the

personnel,

facilities,

equipment

and

certain

other

services

necessary

to

the

operations

of each

Fund.

For

such

services,

each

Fund

pays

the

Manager

a

monthly

fee

at

an

annual

rate

equal

to

the

following

percentages

of

the

average

daily

value

of

each

Fund’s

net

assets:

With

respect

to

Income

Fund,

the

Manager

entered

into

separate

sub-advisory

agreements

with

each

of

BlackRock

International

Limited

(“BIL”)

and

BlackRock

(Singapore)

Limited

(“BSL”)

(collectively,

the

“Sub-Advisers”),

each

an

affiliate

of

the

Manager.

The

Manager

pays

BIL

and

BSL

for

services

they

provide

for

that

portion

of

Income

Fund

for

which

BIL

and

BSL,

as

applicable,

acts

as

sub-adviser,

a

monthly

fee

that

is

equal

to

a

percentage

of

the

investment

advisory

fees

paid

by Income

Fund

to

the

Manager.

Investment

Advisory

Fees

Average

Daily

Net

Assets

GNMA

Impact

Mortgage

First

$1

billion

...........................................................................................

0.340%

0.390%

$1

billion

-

$3

billion

.......................................................................................

0.320

0.370

$3

billion

-

$5

billion

.......................................................................................

0.310

0.350

$5

billion

-

$10

billion

......................................................................................

0.300

0.340

Greater

than

$10

billion

.....................................................................................

0.280

0.330

Investment

Advisory

Fees

Average

Daily

Net

Assets

Income

Fund

First

$1

billion

.........................................................................................................

0.500%

$1

billion

-

$

2

billion

.....................................................................................................

0.450

$

2

billion

-

$

3

billion

.....................................................................................................

0.425

Greater

than

$

3

billion

...................................................................................................

0.400

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

98

With

respect

to

Impact

Mortgage,

the

Manager

entered

into

a

sub-advisory

agreement

with

BIL,

an

affiliate

of

the

Manager.

The

Manager

pays

BIL

for

services

it

provides

for

that

portion

of

Impact

Mortgage

for

which

BIL

acts

as

sub-adviser,

a

monthly

fee

that

is

equal

to

a

percentage

of

the

investment

advisory

fees

paid

by

Impact

Mortgage

to

the

Manager.

Service

and

Distribution

Fees:

The

Trust

,

on behalf

of the

Funds,

entered

into

a

Distribution

Agreement

and

a Distribution and

Service

Plan

with

BlackRock

Investments,

LLC

(“BRIL”),

an

affiliate

of

the

Manager.

Pursuant

to

the

Distribution

and

Service

Plan

and

in

accordance

with

Rule

12b-1

under

the

1940

Act,

each

Fund

pays

BRIL

ongoing

service

and

distribution

fees.

The

fees

are

accrued

daily

and

paid

monthly

at

annual

rates

based

upon

the

average

daily

net

assets

of

the

relevant

share

class

of

each

Fund

as

follows:

BRIL

and

broker-dealers,

pursuant

to

sub-agreements

with

BRIL,

provide

shareholder

servicing

and

distribution

services to

the

Funds.

The

ongoing

service

and/or

distribution

fee compensates

BRIL

and

each

broker-dealer

for

providing

shareholder

servicing

and/or

distribution related

services

to

shareholders.

For

the six

months

ended

March

31,

2023,

the

following

table

shows

the

class

specific

service

and

distribution

fees

borne

directly

by

each

share

class

of

each

Fund:

Administration:

The

Trust,

on

behalf

of 

the

Funds

, entered

into

an

Administration

Agreement

with

the

Manager,

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

to

provide

administrative

services.

For

these

services,

the

Manager

receives

an

administration

fee

computed

daily

and

payable

monthly,

based

on

a

percentage

of

the

average

daily

net

assets

of

each

Fund.

The

administration

fee,

which

is

shown

as

administration

in

the

Statements

of

Operations,

is

paid

at

the

annual

rates

below.

In

addition,

the

Manager

charges

each

of

the

share

classes

an

administration

fee,

which

is

shown

as

administration —

class

specific

in

the

Statements

of

Operations,

at

an

annual

rate

of

0.02% of

the

average

daily

net

assets

of

each

respective

class.

For

the

six

months

ended

March

31,

2023, the

following

table

shows

the

class

specific

administration

fees

borne

directly

by

each

share

class

of

each

Fund:

Transfer

Agent:

Pursuant

to

written

agreements,

certain

financial

intermediaries,

some

of

which

may

be

affiliates,

provide

the

Funds

with

sub-accounting,

recordkeeping,

sub-transfer

agency

and

other

administrative

services

with

respect

to

servicing

of

underlying

investor

accounts.

For

these

services,

these

entities

receive

an

asset-based

fee

or

an

annual

fee

per

shareholder

account,

which

will

vary

depending

on

share

class

and/or

net

assets.

For

the six

months ended March

31,

2023,

the

Funds paid

the

following

amounts

to

affiliates

of

BlackRock

in

return

for

these

services,

which

are

included

in

transfer

agent

—

class

specific

in

the

Statements

of

Operations:

The

Manager

maintains

a

call

center

that

is

responsible

for

providing

certain

shareholder

services

to

the

Funds.

Shareholder

services

include

responding

to

inquiries

and

processing

purchases

and

sales

based

upon

instructions

from

shareholders.

For

the six

months

ended

March

31,

2023,

each

Fund

reimbursed

the

Manager

the

following

amounts

for

costs

incurred

in

running

the

call

center,

which

are

included

in

transfer

agent

—

class

specific

in

the

Statements

of

Operations:

Share

Class

Service

Fees

Distribution

Fees

Investor

A

.................................................................................................

0.25‌%

—‌

Investor

C

.................................................................................................

0.25‌

0.75‌

%

Class

R

..................................................................................................

0.25‌

0.25‌

Fund

Name

Investor

A

Investor

C

Class

R

Total

GNMA

.............................................................................

$

118,907‌

$

43,038‌

$

—‌

$

161,945‌

Impact

Mortgage

......................................................................

308,614‌

39,309‌

8,678‌

356,601‌

Income

Fund

.........................................................................

204,981‌

96,273‌

—‌

301,254‌

Average

Daily

Net

Assets

Administration

Fees

First

$500

million

......................................................................................................

0.0425%

$500

million

-

$1

billion

..................................................................................................

0.0400

$1

billion

-

$2

billion

....................................................................................................

0.0375

$2

billion

-

$4

billion

....................................................................................................

0.0350

$4

billion

-

$13

billion

...................................................................................................

0.0325

Greater

than

$13

billion

..................................................................................................

0.0300

Fund

Name

Institutional

Investor

A

Investor

C

Class

K

Class

R

Total

GNMA

.............................................................

$

18,524‌

$

9,512‌

$

861‌

$

6,177‌

$

—‌

$

35,074‌

Impact

Mortgage

......................................................

17,966‌

24,690‌

786‌

1,505‌

347‌

45,294‌

Income

Fund

.........................................................

106,232‌

16,398‌

1,925‌

20,707‌

—‌

145,262‌

Fund

Name

Institutional

Investor

A

Total

GNMA

.........................................................................................

$

5,974‌

$

763‌

$

6,737‌

Impact

Mortgage

..................................................................................

9,446‌

353‌

9,799‌

Fund

Name

Institutional

Investor

A

Investor

C

Class

K

Class

R

Total

GNMA

.............................................................

$

11,441‌

$

1,796‌

$

506‌

$

69‌

$

—‌

$

13,812‌

Impact

Mortgage

......................................................

709‌

16,913‌

698‌

37‌

92‌

18,449‌

Income

Fund

.........................................................

2,736‌

1,162‌

771‌

255‌

—‌

4,924‌

Notes

to

Financial

Statements

(unaudited)

(continued)

99

Notes

to

Financial

Statements

For

the

six

months ended

March

31,

2023,

the

following

table

shows

the

class

specific

transfer

agent

fees

borne

directly

by

each

share

class

of

each

Fund:

Other

Fees:

For

the six

months

ended March

31,

2023,

affiliates

earned

underwriting

discounts,

direct

commissions

and

dealer

concessions

on

sales

of

each

Fund’s Investor

A

Shares

as

follows:

For

the six

months

ended

March

31,

2023,

affiliates

received

CDSCs

as

follows:

Expense

Limitations,

Waivers

and

Reimbursements:

With

respect

to

each

Fund,

the

Manager

contractually

agreed

to

waive

its

investment

advisory

fees

by

the

amount

of

investment

advisory

fees

each

Fund

pays

to

the

Manager

indirectly

through

its

investment

in

affiliated

money

market

funds

(the

“affiliated

money

market

fund

waiver”)

through

June

30,

2024.

The

contractual

agreement

may

be

terminated

upon

90

days’

notice

by

a

majority

of

the

Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

The

amount

of

waivers

and/or

reimbursements

of

fees

and

expenses

made

pursuant

to

the

expense

limitations

described

below

will

be

reduced

by

the

amount

of

the

affiliated

money

market

fund

waiver. These

amounts

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations.

For

the

six

months

ended

March

31,

2023,

the

amounts

waived

were

as

follows:

The

Manager

has

contractually

agreed

to

waive

its

investment

advisory

fee

with

respect

to

any

portion

of each

Fund’s

assets

invested

in

affiliated

equity

and

fixed-

income mutual

funds

and

affiliated

exchange-traded

funds

that

have

a

contractual

management

fee

through

June

30,

2024. The

contractual

agreement

may

be

terminated

upon

90

days’

notice

by

a

majority

of

the

Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of a

Fund.

These

amount

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations.

For

the

six

months

ended

March

31,

2023,

Income

Fund

waived

$85,591

in

investment

advisory

fees

pursuant

to

these

arrangements.

With

respect

to

each

Fund,

the

Manager

contractually

agreed

to

waive

and/or

reimburse

fees

or

expenses

in

order

to

limit

expenses,

excluding

interest

expense,

dividend

expense,

tax

expense,

acquired

fund

fees

and

expenses,

and

certain

other

fund

expenses,

which

constitute

extraordinary

expenses

not

incurred

in

the

ordinary

course

of each

Fund’s

business

(“expense

limitation”).

The

expense

limitations

as

a

percentage

of

average

daily

net

assets are

as

follows:

The

Manager

has

agreed

not

to

reduce

or

discontinue

the

contractual

expense

limitations

through

June

30,

2024,

unless

approved

by

the

Board,

including

a

majority

of

the Independent

Trustees,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of a

Fund. For

the

six

months

ended

March

31,

2023,

the

amounts

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations

were

as

follows:

Fund

Name

Institutional

Investor

A

Investor

C

Class

K

Class

R

Total

GNMA

.............................................................

$

99,673‌

$

56,714‌

$

3,960‌

$

1,307‌

$

—‌

$

161,654‌

Impact

Mortgage

......................................................

157,735‌

214,538‌

5,012‌

710‌

3,676‌

381,671‌

Income

Fund

.........................................................

1,135,069‌

71,050‌

9,412‌

15,849‌

—‌

1,231,380‌

Fund

Name

Other

Fees

GNMA

................................................................................................................

$

361‌

Impact

Mortgage

.........................................................................................................

598‌

Income

Fund

............................................................................................................

4,223‌

Fund

Name

Investor

A

Investor

C

GNMA

.....................................................................................................

$

–‌

$

20‌

Impact

Mortgage

..............................................................................................

–‌

244‌

Income

Fund

.................................................................................................

1,210‌

64‌

Fund

Name

Amounts

Waived

GNMA

............................................................................................................

$

907‌

Impact

Mortgage

.....................................................................................................

4,949‌

Income

Fund

........................................................................................................

27,765‌

Fund

Name

Institutional

Investor

A

Investor

C

Class

K

Class

R

GNMA

..................................................................

0.42‌%

0.67‌%

1.42‌%

0.37‌%

N/A‌

Impact

Mortgage

...........................................................

0.45‌

0.70‌

1.45‌

0.40‌

0.95‌%

Income

Fund

..............................................................

0.62‌

0.87‌

1.62‌

0.57‌

N/A‌

Fund

Name

Fees

waived

and/or

Reimbursed

by

the

Manager

GNMA

..................................................................................................................

$

198,608‌

Impact

Mortgage

...........................................................................................................

334,935‌

Income

Fund

..............................................................................................................

101,544‌

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

100

In

addition,

these

amounts

waived

and/or

reimbursed

by

the

Manager are

included

in administration

fees

waived

by

the

Manager

—

class

specific

and

transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific,

respectively,

in

the

Statements

of

Operations.

For

the

six

months ended

March

31,

2023,

class

specific

expense

waivers

and/or

reimbursements were

as

follows: 

Interfund

Lending:

In

accordance

with

an

exemptive

order

(the

“Order”)

from

the

U.S.

Securities

and

Exchange

Commission

(“SEC”),

each

Fund

may

participate

in

a

joint

lending

and

borrowing

facility

for

temporary

purposes

(the

“Interfund

Lending

Program”),

subject

to

compliance

with

the

terms

and

conditions

of

the

Order,

and

to

the

extent

permitted

by

each

Fund’s

investment

policies

and

restrictions.

Each

Fund

is

currently

permitted

to

borrow

and

GNMA

is

permitted

to

lend

under

the

Interfund

Lending

Program.

A

lending

BlackRock

fund

may

lend

in

aggregate

up

to

15%

of

its

net

assets

but

may

not

lend

more

than

5%

of

its

net

assets

to

any

one

borrowing

fund

through

the

Interfund

Lending

Program.

A

borrowing

BlackRock

fund

may

not

borrow

through

the

Interfund

Lending

Program

or

from

any

other

source

more

than

33

1/3%

of

its

total

assets

(or

any

lower

threshold

provided

for

by

the fund’s

investment

restrictions).

If

a

borrowing

BlackRock

fund’s

total

outstanding

borrowings

exceed

10%

of

its

total

assets,

each

of

its

outstanding

interfund

loans

will

be

subject

to

collateralization

of

at

least

102%

of

the

outstanding

principal

value

of

the

loan.

All

interfund

loans

are

for

temporary

or

emergency

purposes

and

the

interest

rate

to

be

charged

will

be

the

average

of

the

highest

current

overnight

repurchase

agreement

rate

available

to

a

lending

fund

and

the

bank

loan

rate,

as

calculated

according

to

a

formula

established

by

the

Board. 

During

the six

months

ended

March

31,

2023,

the

Funds

did

not

participate

in

the

Interfund

Lending

Program.

Trustees

and

Officers: 

Certain

trustees

and/or

officers

of

the Trust are directors and/or

officers

of BlackRock

or

its

affiliates.

The

Funds

reimburse

the

Manager

for

a

portion

of

the

compensation

paid

to

the Fund’s

Chief

Compliance

Officer,

which

is

included

in

Trustees and

Officer

in

the

Statements

of

Operations. 

7.

PURCHASES

AND

SALES 

For

the six

months ended

March

31,

2023,

purchases

and

sales

of

investments,

including

paydowns/payups,

mortgage

dollar

rolls and

excluding

short-term

securities,

were

as

follows:

For

the six

months ended

March

31,

2023,

purchases

and

sales

related

to

mortgage

dollar

rolls

were

as

follows:

Fund

Name/Share

Class

Administration

Fees

Waived

by

the

Manager

-

Class

Specific

Transfer

Agent

Fees

Waived

and/or

Reimbursed

by

the

Manager

-

Class

Specific

GNMA

Institutional

....................................................................................

$

18,524‌

$

53,837‌

Investor

A

.....................................................................................

9,512‌

33,054‌

Investor

C

.....................................................................................

861‌

1,834‌

Class

K

......................................................................................

6,177‌

1,307‌

$

35,074‌

$

90,032‌

Impact

Mortgage

Institutional

....................................................................................

17,863‌

111,423‌

Investor

A

.....................................................................................

24,689‌

152,045‌

Investor

C

.....................................................................................

786‌

3,031‌

Class

K

......................................................................................

1,505‌

710‌

Class

R

......................................................................................

347‌

2,793‌

$

45,190‌

$

270,002‌

Income

Fund

Institutional

....................................................................................

106,232‌

877,456‌

Investor

A

.....................................................................................

15,759‌

28,150‌

Investor

C

.....................................................................................

1,857‌

4,343‌

Class

K

......................................................................................

19,591‌

15,061‌

$

143,439‌

$

925,010‌

U.S.

Government

Securities

Other

Securities

Fund

Name

Purchases

Sales

Purchases

Sales

GNMA

.............................................................

$

—‌

$

—‌

$

1,897,545,856‌

$

1,970,683,745‌

Impact

Mortgage

......................................................

—‌

—‌

5,582,093,014‌

5,535,939,544‌

Income

Fund

.........................................................

—‌

383,726,966‌

4,207,801,480‌

4,214,985,223‌

Fund

Name

Purchases

Sales

GNMA

.............................................................................................

$

532,945,191‌

$

533,034,067‌

Impact

Mortgage

......................................................................................

2,108,695,908‌

2,108,016,639‌

Income

Fund

.........................................................................................

1,165,303,242‌

1,165,156,934‌

Notes

to

Financial

Statements

(unaudited)

(continued)

101

Notes

to

Financial

Statements

8.

INCOME

TAX

INFORMATION 

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. 

Each Fund

files

U.S.

federal

and

various

state

and

local

tax

returns.

No

income

tax

returns

are

currently

under

examination.

The

statute

of

limitations

on

each

Fund’s

U.S.

federal

tax

returns

generally

remains

open

for

a

period

of

three

years

after

they

are

filed.

The

statutes

of

limitations

on

each

Fund’s

state

and

local

tax

returns

may

remain

open

for

an

additional

year

depending

upon

the

jurisdiction. 

Management

has

analyzed

tax

laws

and

regulations

and

their

application

to

the Funds

as

of

March

31,

2023,

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.

As

of

September

30,

2022, the

Funds

had

non-expiring

capital

loss

carryforwards

available

to

offset

future

realized

capital

gains

and

qualified

late-year

losses

as

follows: 

As

of

March

31,

2023, 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: 

9.

BANK

BORROWINGS 

The

Trust,

on

behalf

of

the

Funds,

along

with

certain

other

funds

managed

by

the

Manager

and

its

affiliates

(“Participating

Funds”), is

party

to

a

364-day,

$2.50

billion

credit

agreement

with

a

group

of

lenders.

Under

this

agreement,

the

Funds

may

borrow

to

fund

shareholder

redemptions.

Excluding

commitments

designated

for

certain

individual

funds,

the

Participating

Funds,

including

the

Funds,

can

borrow

up

to

an

aggregate

commitment

amount

of

$1.75

billion

at

any

time

outstanding,

subject

to

asset

coverage

and

other

limitations

as

specified

in

the

agreement.

The

credit

agreement

has

the

following

terms:

a

fee

of

0.10%

per

annum

on

unused

commitment

amounts

and

interest

at

a

rate

equal

to

the

higher

of

(a)

Overnight

Bank

Funding

Rate

(“OBFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.80%

per

annum,

(b)

the

Fed

Funds

rate

(but,

in

any

event,

not

less

than

0.00%)

in

effect

from

time

to

time

plus

0.80%

per

annum

on

amounts

borrowed

or

(c)

the

sum

of

(x)

Daily

Simple

Secured

Overnight

Financing

Rate

(“SOFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.10%

and

(y) 0.80%

per

annum.

The

agreement

expires

in

April

2023

unless

extended

or

renewed.

These

fees

were

allocated

among

such

funds

based

upon

portions

of

the

aggregate

commitment

available

to

them

and

relative

net

assets

of

Participating

Funds.

During

the

six

months ended

March

31,

2023,

the

Funds

did

not

borrow

under

the

credit

agreement.

10.

 PRINCIPAL

RISKS 

In

the

normal

course

of

business, the

Funds

invest

in

securities

or

other

instruments

and

may

enter

into

certain

transactions,

and

such

activities

subject

each

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

and

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

each

Fund

is

subject. 

Market

Risk

:

Each

Fund

may

be

exposed

to

prepayment

risk,

which

is

the

risk

that

borrowers

may

exercise

their

option

to

prepay

principal

earlier

than

scheduled

during

periods

of

declining

interest

rates,

which

would

force

each

Fund

to

reinvest

in

lower

yielding

securities. Each

Fund

may

also

be

exposed

to

reinvestment

risk,

which

is

the

risk

that

income

from

each

Fund’s

portfolio

will

decline

if

each

Fund

invests

the

proceeds

from

matured,

traded

or

called

fixed-income

securities

at

market

interest

rates

that

are

below

each

Fund

portfolio’s

current

earnings

rate.

Infectious

Illness

Risk:

An

outbreak

of

an

infectious

illness,

such

as

the

COVID-19

pandemic,

may

adversely

impact

the

economies

of

many

nations

and

the

global

economy,

and

may

impact

individual

issuers

and

capital

markets

in

ways

that

cannot

be

foreseen.

An

infectious

illness

outbreak

may

result

in,

among

other

things,

closed

international

borders,

prolonged

quarantines,

supply

chain

disruptions,

market

volatility

or

disruptions

and

other

significant

economic,

social

and

political

impacts.

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

each

Fund’s

NAV

to

experience

significant

Fund

Name

Non-Expiring

Capital

Loss

Carryforwards

Qualified

Late-year

Losses

GNMA

...........................................................................................

$

98,890,446‌

$

—‌

Impact

Mortgage

....................................................................................

76,785,156‌

1,163,408‌

Income

Fund

......................................................................................

299,356,860‌

14,850,848‌

Fund

Name

Tax

Cost

Gross

Unrealized

Appreciation

Gross

Unrealized

Depreciation

Net

Unrealized

Appreciation

(Depreciation)

GNMA

.........................................................

$

501,494,202‌

$

2,326,590‌

$

(40,902,817‌)

$

(38,576,227‌)

Impact

Mortgage

..................................................

1,073,972,343‌

4,361,376‌

(40,677,104‌)

(36,315,728‌)

Income

Fund

....................................................

1,673,487,217‌

22,067,763‌

(88,672,150‌)

(66,604,387‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

102

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 a

Fund

could

receive

upon

the

sale

of

any

particular

portfolio

investment

may

differ

from a

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

may

significantly

impact

the

resulting

fair

value

and

therefore a

Fund’s

results

of

operations.

As

a

result,

the

price

received

upon

the

sale

of

an

investment

may

be

less

than

the

value

ascribed

by a

Fund,

and a

Fund

could

realize

a

greater

than

expected

loss

or

lesser

than

expected

gain

upon

the

sale

of

the

investment.

A

Fund’s

ability

to

value

its

investments

may

also

be

impacted

by

technological

issues

and/or

errors

by

pricing

services

or

other

third-party

service

providers. 

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.

For

OTC

options

purchased,

each

Fund

bears

the

risk

of

loss

in

the

amount

of

the

premiums

paid

plus

the

positive

change

in

market

values

net

of

any

collateral

held

by

the

Funds

should

the

counterparty

fail

to

perform

under

the

contracts.

Options

written

by

the

Funds

do

not

typically

give

rise

to

counterparty

credit

risk,

as

options

written

generally

obligate

the

Funds,

and

not

the

counterparty,

to

perform.

The

Funds

may

be

exposed

to

counterparty

credit

risk

with

respect

to

options

written

to

the

extent

each

Fund

deposits

collateral

with

its

counterparty

to

a

written

option. 

With

exchange-traded

options

purchased

and

exchange-traded

futures

and

centrally

cleared

swaps,

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

and

centrally

cleared

swaps

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 fixed-income securities and/or use

derivatives tied

to

the

fixed-income

markets.

Changes

in

market

interest

rates

or

economic

conditions

may affect

the

value

and/or

liquidity

of

such investments.

Interest

rate

risk

is

the

risk

that

prices

of

bonds

and

other

fixed-income

securities

will

decrease

as

interest

rates

rise

and

increase

as

interest

rates

fall.

The

Funds

may

be

subject

to

a

greater

risk

of

rising

interest

rates

due

to

the

recent

period

of

historically

low

interest rates. The

Federal

Reserve

has

recently

begun

to

raise

the

federal

funds

rate

as

part

of

its

efforts

to

address

inflation.

There

is

a

risk

that

interest

rates

will

continue

to

rise,

which

will

likely

drive

down

the

prices

of

bonds

and

other

fixed-income

securities,

and

could

negatively

impact certain

Funds’

performance.

Certain

Funds

invest

a

significant

portion

of their

assets

in

securities

backed

by

commercial

or

residential

mortgage

loans

or

in

issuers

that

hold

mortgage

and

other

asset-

backed

securities.

When

a

Fund

concentrates

its

investments

in

this

manner,

it

assumes

a

greater

risk

of

prepayment

or

payment

extension

by

securities

issuers.

Changes

in

economic

conditions,

including

delinquencies

and/or

defaults

on

assets

underlying

these

securities,

can

affect

the

value,

income

and/or

liquidity

of

such

positions.

Investment

percentages

in

these

securities

are

presented

in

the

Schedules

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

Funds

may

be

exposed

to

financial

instruments

that

are

tied

to

LIBOR

to

determine

payment

obligations,

financing

terms,

hedging

strategies

or

investment

value.

The

United

Kingdom’s

Financial

Conduct

Authority,

which

regulates

LIBOR,

announced

that

a

majority

of

USD

LIBOR

settings

will

no

longer

be

published

after

June

30,

2023.

All

other

LIBOR

settings

and

certain

other

interbank

offered

rates

ceased

to

be

published

after

December

31,

2021.

SOFR

has

been

used

increasingly

on

a

voluntary

basis

in

new

instruments

and

transactions.

The

Federal

Reserve

Board

adopted

regulations

that

provide

a

fallback

mechanism

by

identifying

benchmark

rates

on

SOFR

that

will

replace

LIBOR

in

certain

financial

products

after

June

30,

2023.

The

ultimate

effect

of

the

LIBOR

transition

process

on

the

Funds

is

uncertain.

Notes

to

Financial

Statements

(unaudited)

(continued)

103

Notes

to

Financial

Statements

11.

CAPITAL

SHARE

TRANSACTIONS 

Transactions

in

capital

shares

for

each

class

were

as

follows:

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

GNMA

Institutional

Shares

sold

..........................................

1,311,727‌

$

10,443,757‌

9,218,277‌

$

81,732,822‌

Shares

issued

in

reinvestment

of

distributions

.....................

316,963‌

2,512,194‌

587,876‌

5,088,814‌

Shares

redeemed

......................................

(6,085,141‌)

(48,074,469‌)

(22,646,547‌)

(200,258,139‌)

(4,456,451‌)

$

(35,118,518‌)

(12,840,394‌)

$

(113,436,503‌)

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

357,920‌

$

2,869,043‌

798,490‌

$

7,138,866‌

Shares

issued

in

reinvestment

of

distributions

.....................

154,720‌

1,231,741‌

246,613‌

2,135,768‌

Shares

redeemed

......................................

(1,418,586‌)

(11,281,415‌)

(4,689,942‌)

(41,152,448‌)

(905,946‌)

$

(7,180,631‌)

(3,644,839‌)

$

(31,877,814‌)

Investor

C

Shares

sold

..........................................

24,610‌

$

193,600‌

84,897‌

$

761,994‌

Shares

issued

in

reinvestment

of

distributions

.....................

10,895‌

86,308‌

16,416‌

140,423‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(280,962‌)

(2,216,128‌)

(826,675‌)

(7,315,083‌)

(245,457‌)

$

(1,936,220‌)

(725,362‌)

$

(6,412,666‌)

Class

K

Shares

sold

..........................................

4,212,493‌

$

33,988,382‌

4,064,896‌

$

36,918,202‌

Shares

issued

in

reinvestment

of

distributions

.....................

123,110‌

973,569‌

133,512‌

1,134,944‌

Shares

redeemed

......................................

(647,860‌)

(5,012,673‌)

(698,630‌)

(6,140,723‌)

3,687,743‌

$

29,949,278‌

3,499,778‌

$

31,912,423‌

(1,920,111‌)

$

(14,286,091‌)

(13,710,817‌)

$

(119,814,560‌)

Impact

Mortgage

Institutional

Shares

sold

..........................................

14,923,291‌

$

139,178,008‌

22,949,288‌

$

228,645,758‌

Shares

issued

in

reinvestment

of

distributions

.....................

301,336‌

2,761,803‌

435,769‌

4,341,443‌

Shares

redeemed

......................................

(6,699,985‌)

(60,823,796‌)

(28,467,067‌)

(283,556,816‌)

8,524,642‌

$

81,116,015‌

(5,082,010‌)

$

(50,569,615‌)

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

711,976‌

$

6,567,557‌

2,960,074‌

$

30,363,913‌

Shares

issued

in

reinvestment

of

distributions

.....................

368,523‌

3,386,524‌

408,876‌

4,070,686‌

Shares

redeemed

......................................

(3,187,164‌)

(29,375,182‌)

(6,880,569‌)

(69,966,546‌)

(2,106,665‌)

$

(19,421,101‌)

(3,511,619‌)

$

(35,531,947‌)

Investor

C

Shares

sold

..........................................

100,393‌

$

940,389‌

354,130‌

$

3,716,160‌

Shares

issued

in

reinvestment

of

distributions

.....................

10,776‌

98,799‌

9,647‌

94,437‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(201,053‌)

(1,841,502‌)

(708,324‌)

(7,267,391‌)

(89,884‌)

$

(802,314‌)

(344,547‌)

$

(3,456,794‌)

Class

K

Shares

sold

..........................................

194,946‌

$

1,791,200‌

1,104,802‌

$

11,094,818‌

Shares

issued

in

reinvestment

of

distributions

.....................

28,459‌

260,483‌

34,886‌

345,155‌

Shares

redeemed

......................................

(838,465‌)

(7,788,895‌)

(773,566‌)

(7,780,417‌)

(615,060‌)

$

(5,737,212‌)

366,122‌

$

3,659,556‌

Class

R

Shares

sold

..........................................

28,469‌

$

263,070‌

323,593‌

$

3,271,112‌

Shares

issued

in

reinvestment

of

distributions

.....................

5,708‌

52,451‌

5,541‌

54,916‌

Shares

redeemed

......................................

(41,643‌)

(384,046‌)

(347,720‌)

(3,503,683‌)

(7,466‌)

$

(68,525‌)

(18,586‌)

$

(177,655‌)

5,705,567‌

$

55,086,863‌

(8,590,640‌)

$

(86,076,455‌)

Income

Fund

Institutional

Shares

sold

..........................................

27,784,562‌

$

242,802,334‌

75,756,064‌

$

724,606,917‌

Shares

issued

in

reinvestment

of

distributions

.....................

2,954,266‌

25,737,195‌

11,321,323‌

109,321,510‌

Shares

redeemed

......................................

(105,680,436‌)

(920,860,297‌)

(176,641,183‌)

(1,682,014,980‌)

(74,941,608‌)

$

(652,320,768‌)

(89,563,796‌)

$

(848,086,553‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

104

12.

SUBSEQUENT

EVENTS 

Management’s

evaluation

of

the

impact

of

all

subsequent

events

on

the

Funds’

financial

statements

was

completed

through

the

date

the

financial

statements

were

issued

and

the

following

items

were

noted:

Effective

April

13,

2023,

the

credit

agreement

was

extended

until

April

2024

under

the

same

terms.

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Investor

A

Shares

sold

and

automatic

conversion

of

shares

....................

2,942,176‌

$

25,692,304‌

5,320,885‌

$

51,130,628‌

Shares

issued

in

reinvestment

of

distributions

.....................

445,426‌

3,887,589‌

1,083,738‌

10,415,086‌

Shares

redeemed

......................................

(3,378,357‌)

(29,386,955‌)

(9,425,003‌)

(90,021,852‌)

9,245‌

$

192,938‌

(3,020,380‌)

$

(28,476,138‌)

Investor

C

Shares

sold

..........................................

171,983‌

$

1,497,678‌

258,364‌

$

2,479,983‌

Shares

issued

in

reinvestment

of

distributions

.....................

45,432‌

396,543‌

136,755‌

1,323,276‌

Shares

redeemed

and

automatic

conversion

of

shares

................

(567,975‌)

(4,938,775‌)

(1,371,612‌)

(13,063,958‌)

(350,560‌)

$

(3,044,554‌)

(976,493‌)

$

(9,260,699‌)

Class

K

Shares

sold

..........................................

2,083,329‌

$

18,197,505‌

9,968,073‌

$

95,082,729‌

Shares

issued

in

reinvestment

of

distributions

.....................

628,584‌

5,483,944‌

2,114,275‌

20,333,846‌

Shares

redeemed

......................................

(7,533,735‌)

(65,597,006‌)

(22,720,042‌)

(208,787,875‌)

(4,821,822‌)

$

(41,915,557‌)

(10,637,694‌)

$

(93,371,300‌)

(80,104,745‌)

$

(697,087,941‌)

(104,198,363‌)

$

(979,194,690‌)

Statement

Regarding

Liquidity

Risk

Management

Program

105

Statement

Regarding

Liquidity

Risk

Management

Program

In

compliance

with

Rule

22e-4

under

the

Investment

Company

Act

of

1940,

as

amended

(the

“Liquidity

Rule”),

BlackRock

Funds

V

(the

"Trust")

has

adopted

and

implemented

a

liquidity

risk

management

program

(the

“Program”)

for

the

BlackRock

GNMA

Portfolio,

BlackRock

Impact

Mortgage

Fund

and

BlackRock

Income

Fund

(the

“Funds”),

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

November

10-11,

2022

(the

“Meeting”)

to

review

the

Program.

The

Board

previously

appointed

BlackRock

Advisors,

LLC,

the

investment

adviser

to

each

Fund,

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,

2021

through

September

30,

2022

(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

the

imposition

of

capital

controls

in

certain

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.

Where

a

fund

participated

in

borrowings

for

investment

purposes

(such

as

tender

option

bonds

or

reverse

repurchase

agreements),

such

borrowings

were

factored

into

the

Program’s

calculation

of

a

fund’s

liquidity

bucketing.

A

fund’s

derivative

exposure

was

also

considered

in

such

calculation.

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

Fund’s

reasonably

anticipated

trading

size

utilized

for

liquidity

classifications.

Each

Fund

has

adopted

an

in-kind

redemption

policy

which

may

be

utilized

to

meet

larger

redemption

requests.

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

the

terms

of

the

credit

facility

committed

to

each

Fund,

the

financial

health

of

the

institution

providing

the

facility

and

the

fact

that

the

credit

facility

is

shared

among

multiple

funds

(including

that

a

portion

of

the

aggregate

commitment

amount

is

specifically

designated

for

BlackRock

Floating

Rate

Income

Portfolio,

a

series

of

BlackRock

Funds

V,

and

BlackRock

Floating

Rate

Loan

ETF,

a

series

of

BlackRock

ETF

Trust

II).

The

Committee

also

considered

other

types

of

borrowing

available

to

the

funds,

such

as

the

ability

to

use

reverse

repurchase

agreements

and

interfund

lending,

as

applicable.

There

were

no

material

changes

to

the

Program

during

the

Program

Reporting

Period

other

than

the

enhancement

of

certain

model

components

in

the

Program’s

classification

methodology.

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.

Additional

Information

2023

BlackRock

Semi-Annual

Report

to

Shareholders

106

General

Information 

Quarterly

performance,

semi-annual

and

annual

reports,

current

net

asset

value

and

other

information

regarding

the

Funds

may

be

found

on

BlackRock’s

website,

which

can

be

accessed

at

blackrock.com

.

Any

reference

to

BlackRock’s

website

in

this

report

is

intended

to

allow

investors

public

access

to

information

regarding

the

Funds

and

does

not,

and

is

not

intended

to,

incorporate

BlackRock’s

website

in

this

report.

Householding

The

Funds

will

mail

only

one

copy

of

shareholder

documents,

including

prospectuses,

annual

and

semi-annual

reports,

Rule

30e-3

notices

and

proxy

statements,

to

shareholders

with

multiple

accounts

at

the

same

address.

This

practice

is

commonly

called

“householding”

and

is

intended

to

reduce

expenses

and

eliminate

duplicate

mailings

of

shareholder

documents.

Mailings

of

your

shareholder

documents

may

be

householded

indefinitely

unless

you

instruct

us

otherwise.

If

you

do

not

want

the

mailing

of

these

documents

to

be

combined

with

those

for

other

members

of

your

household,

please

call

the

Funds at

(800)

441-7762.

Availability

of

Quarterly

Schedule

of

Investments

The

Funds

file

their

complete

schedules

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

blackrock.com/fundreports

.

Availability

of

Proxy

Voting

Policies,

Procedures

and

Voting

Records

A

description

of

the

policies

and

procedures

that

the

Funds

use

to

determine

how

to

vote

proxies

relating

to

portfolio

securities

and

information

about

how

the

Funds

voted

proxies

relating

to

securities

held

in

the

Funds'

portfolios

during

the

most

recent

12-month

period

ended

June

30 is

available

without

charge,

upon

request (1)

by

calling

(800)

441-

7762

;

(2)

on

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;

and

(3)

on

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SEC’s

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sec.gov

.

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Additional

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107

Additional

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disposal

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information.

Fund

and

Service

Providers

Investment

Adviser

and

Administrator

BlackRock

Advisors,

LLC

Wilmington,

DE

19809

Sub-Advisers

BlackRock

International

Limited

(a)

Edinburgh,

EH3

8BL

United

Kingdom

BlackRock

(Singapore)

Limited

(b)

079912

Singapore

Accounting

Agent

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

Transfer

Agent

BNY

Mellon

Investment

Servicing

(US)

Inc.

Wilmington,

DE

19809

Custodian

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

Independent

Registered

Public

Accounting

Firm

Deloitte

&

Touche

LLP

Boston,

MA

02116

Distributor

BlackRock

Investments,

LLC

New

York,

NY

10001

Legal

Counsel

Willkie

Farr

&

Gallagher

LLP

New

York,

NY

10019

Address

of

the

Trust

100

Bellevue

Parkway

Wilmington,

DE

19809

(a)

For

BlackRock

Income

Fund

and

BlackRock

Impact

Mortgage

Fund.

(b)

For

BlackRock

Income

Fund.

Glossary

of

Terms

Used

in

this

Report

2023

BlackRock

Semi-Annual

Report

to

Shareholders

108

Currency

Abbreviation

CHF

Swiss

Franc

COP

Colombian

Peso

EUR

Euro

GBP

British

Pound

MXN

Mexican

Peso

USD

United

States

Dollar

Portfolio

Abbreviation

ABS

Asset-Backed

Security

CDI

Crest

Depository

Interests

CLO

Collateralized

Loan

Obligation

CSMC

Credit

Suisse

Mortgage

Capital

DAC

Designated

Activity

Company

ETF

Exchange-Traded

Fund

EURIBOR

Euro

Interbank

Offered

Rate

LIBOR

London

Interbank

Offered

Rate

MSCI

Morgan

Stanley

Capital

International

OTC

Over-the-counter

PCL

Public

Company

Limited

PIK

Payment-In-Kind

PJSC

Public

Joint

Stock

Company

REIT

Real

Estate

Investment

Trust

SOFR

Secured

Overnight

Financing

Rate

TBA

To-be-announced

Want

to

know

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blackrock.com

|

800-441-7762

This

report

is

intended

for

current

holders.

It

is

not

authorized

for

use

as

an

offer

of

sale

or

a

solicitation

of

an

offer

to

buy

shares

of

the

Funds

unless

preceded

or

accompanied

by

the

Funds’

current

prospectus.

Past

performance

results

shown

in

this

report

should

not

be

considered

a

representation

of

future

performance.

Investment

returns

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Statements

and

other

information

herein

are

as

dated

and

are

subject

to

change.

TaxableCGU-3/23-SAR

MARCH

31,

2023

Not

FDIC

Insured

-

May

Lose

Value

-

No

Bank

Guarantee

2023

Semi-Annual

Report

(Unaudited)

BlackRock

Funds

V

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

BlackRock

Bond

Fund,

Inc.

BlackRock

Sustainable

Total

Return

Fund

Dear

Shareholder,

Significant

economic

headwinds

emerged

during

the

12-month

reporting

period

ended

March

31,

2023,

as

investors

navigated

changing

economic

conditions

and

volatile

markets.

The

U.S.

economy

shrank

in

the

first

half

of

2022

before

returning

to

modest

growth

in

the

second

half

of

the

year,

marking

a

shift

to

a

more

challenging

post-reopening

economic

environment.

Changes

in

consumer

spending

patterns

and

a

tight

labor

market

led

to

elevated

inflation,

which

reached

a

40-year

high

before

beginning

to

moderate.

Equity

prices

fell

as

interest

rates

rose,

particularly

during

the

first

half

of

the

reporting

period.

Both

large-

and

small-capitalization

U.S.

stocks

declined,

although

equities

began

to

recover

in

the

second

half

of

the

period

as

inflation

eased

and

economic

growth

resumed.

Emerging

market

stocks

and

international

equities

from

developed

markets

declined

overall,

pressured

by

rising

interest

rates

and

volatile

commodities

prices.

The

10-year

U.S.

Treasury

yield

rose

during

the

reporting

period,

driving

its

price

down,

as

investors

reacted

to

fluctuating

inflation

data

and

attempted

to

anticipate

its

impact

on

future

interest

rate

changes.

The

corporate

bond

market

also

faced

inflationary

headwinds,

and

higher

interest

rates

led

to

rising

borrowing

costs

for

corporate

issuers.

The

U.S.

Federal

Reserve

(the

“Fed”),

acknowledging

that

inflation

has

been

more

persistent

than

expected,

raised

interest

rates

eight

times.

Furthermore,

the

Fed

wound

down

its

bond-buying

programs

and

accelerated

the

reduction

of

its

balance

sheet.

Restricted

labor

supply

kept

inflation

elevated

even

as

other

inflation

drivers,

such

as

goods

prices

and

energy

costs,

moderated.

While

economic

growth

slowed

in

the

last

year,

we

believe

that

taming

inflation

requires

a

more

substantial

decline

that

lowers

demand

to

a

level

more

in

line

with

the

economy’s

productive

capacity.

Although

the

Fed

has

decelerated

the

pace

of

interest

rate

hikes,

we

believe

that

it

still

seems

determined

to

get

inflation

back

to

target.

With

this

in

mind,

we

believe

the

possibility

of

a

U.S.

recession

in

the

near-term

is

high,

but

the

dimming

economic

outlook

has

not

yet

been

fully

reflected

in

current

market

prices.

We

believe

investors

should

expect

a

period

of

higher

volatility

as

markets

adjust

to

the

new

economic

reality

and

policymakers

attempt

to

adapt

to

rapidly

changing

conditions.

Turmoil

in

the

banking

sector

late

in

the

period

highlighted

the

potential

for

the

knock-on

effects

of

substantially

higher

interest

rates

to

disrupt

markets

with

little

warning.

While

we

favor

an

overweight

to

equities

in

the

long

term,

we

prefer

an

underweight

stance

on

equities

overall

in

the

near

term.

Expectations

for

corporate

earnings

remain

elevated,

which

seems

inconsistent

with

the

possibility

of

a

recession.

Nevertheless,

we

are

overweight

on

emerging

market

stocks

as

we

believe

a

weakening

U.S.

dollar

provides

a

supportive

backdrop.

We

also

see

long-term

opportunities

in

credit,

where

we

believe

that

valuations

are

appealing

and

higher

yields

provide

attractive

income,

although

we

are

neutral

on

credit

in

the

near

term,

as

we’re

concerned

about

tightening

credit

and

financial

conditions.

However,

we

believe

there

are

still

some

strong

opportunities

for

a

six-

to

twelve-month

horizon,

particularly

short-term

U.S.

Treasuries,

global

inflation-linked

bonds,

and

emerging

market

bonds

denominated

in

local

currency.

Overall,

our

view

is

that

investors

need

to

think

globally,

position

themselves

to

be

prepared

for

a

decarbonizing

economy,

and

be

nimble

as

market

conditions

change.

We

encourage

you

to

talk

with

your

financial

advisor

and

visit

blackrock.com

for

further

insight

about

investing

in

today’s

markets.

Sincerely,

Rob

Kapito

President,

BlackRock

Advisors,

LLC

The

Markets

in

Review

Rob

Kapito

President,

BlackRock

Advisors,

LLC

Past

performance

is

not

an

indication

of

future

results.

Index

performance

is

shown

for

illustrative

purposes

only.

You

cannot

invest

directly

in

an

index.

Total

Returns

as

of

March

31,

2023

6-Month

12-Month

U.S.

large

cap

equities

(S&P

500

®

Index)

15.62

%

(7.73

)%

U.S.

small

cap

equities

(Russell

2000

®

Index)

9.14

(11.61

)

International

equities

(MSCI

Europe,

Australasia,

Far

East

Index)

27.27

(1.38

)

Emerging

market

equities

(MSCI

Emerging

Markets

Index)

14.04

(10.70

)

3-month

Treasury

bills

(ICE

BofA

3-Month

U.S.

Treasury

Bill

Index)

1.93

2.52

U.S.

Treasury

securities

(ICE

BofA

10-Year

U.S.

Treasury

Index)

4.38

(6.90

)

U.S.

investment

grade

bonds

(Bloomberg

U.S.

Aggregate

Bond

Index)

4.89

(4.78

)

Tax-exempt

municipal

bonds

(Bloomberg

Municipal

Bond

Index)

7.00

0.26

U.S.

high

yield

bonds

(Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index)

7.88

(3.35

)

This

Page

is

not

Part

of

Your

Fund

Report

2

Table

of

Contents

Page

3

The

Markets

in

Review

...................................................................................................

2

Semi-Annual

Report:

Fund

Summary

........................................................................................................

4

About

Fund

Performance

.................................................................................................

10

Disclosure

of

Expenses

...................................................................................................

11

Derivative

Financial

Instruments

.............................................................................................

11

Financial

Statements:

Schedules

of

Investments

...............................................................................................

12

Statements

of

Assets

and

Liabilities

.........................................................................................

50

Statements

of

Operations

................................................................................................

53

Statements

of

Changes

in

Net

Assets

........................................................................................

54

Financial

Highlights

.....................................................................................................

56

Notes

to

Financial

Statements

...............................................................................................

65

Statement

Regarding

Liquidity

Risk

Management

Program

.............................................................................

79

Additional

Information

....................................................................................................

80

Glossary

of

Terms

Used

in

this

Report

..........................................................................................

82

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

4

BlackRock

Sustainable

High

Yield

Bond

Fund

Investment

Objective

BlackRock

Sustainable

High

Yield

Bond

Fund's

(the

“Fund”)

investment

objective

is

to

seek

to

maximize

total

return,

consistent

with

income

generation

and

prudent

investment

management,

while

seeking

to

maintain

certain

environmental,

governance

and

social

(“ESG”)

characteristics,

climate

risk

exposure

and

climate

opportunities

relative

to

the

Fund’s

benchmark.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six

month

period

ended

March

31,

2023,

all

of

the

Fund's

share

classes

outperformed

its

benchmark,

the

Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index.

What

factors

influenced

performance?

Security

selection

in

high

yield

bonds

was

the

top

contributor,

followed

by

an

overweight

in

CCC-rated

issues.

From

a

sector

perspective,

underweights

in

media

and

entertainment

and

retail

helped

results.

An

underweight

allocation

to

the

leisure

sector

detracted

from

performance,

as

did

an

elevated

cash

position.

An

underweight

in

gaming

and

an

overweight

in

wireline

telecommunications

detracted

from

performance,

as

well.

Describe

recent

portfolio

activity.

The

Fund’s

allocation

to

investment-grade

bonds

increased

as

the

investment

adviser

believed

that

it

uncovered

attractive

relative

value

opportunities.

In

addition,

some

of

the

Fund’s

holdings

in

high

yield

bonds

were

upgraded

to

investment-grade

status.

This

trend

also

contributed

to

a

reduction

in

the

Fund’s

allocation

to

BB-rated

issues.

The

investment

adviser

reduced

the

Fund’s

allocation

to

CCC-rated

debt.

The

investment

adviser

sought

to

maintain

below-average

portfolio

risk

due

to

the

combination

of

rising

interest

rates

and

slowing

economic

growth.

As

a

result,

portfolio

beta

(sensitivity

to

market

movements)

declined

over

the

course

of

the

period.

Describe

portfolio

positioning

at

period

end.

The

Fund

was

underweight

in

BBs

and

overweight

in

Bs

and

CCCs,

and

it

maintained

the

out-of-benchmark

allocations

to

loans

and

investment-grade

corporates.

The

Fund

was

overweight

in

the

technology,

property

and

casualty

and

electric

utilities

sectors,

and

it

was

underweight

in

midstream

energy,

independent

energy

and

leisure

sectors.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

5

Fund

Summary

BlackRock

Sustainable

High

Yield

Bond

Fund

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Portfolio

Information

Average

Annual

Total

Returns

(a)(b)

1

Year

Since

Inception

(c)

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

......................................

7.63‌%

6.63‌%

8.15‌%

(3.10‌)%

N/A‌

(4.17‌)%

N/A‌

Investor

A

.......................................

7.08‌

6.11‌

8.01‌

(3.34‌)

(7.21‌)%

(4.41‌)

(6.69‌)%

Class

K

........................................

7.68‌

6.68‌

8.17‌

(3.06‌)

N/A‌

(4.13‌)

N/A‌

Bloomberg

U.S.

Corporate

High

Yield

2%

Issuer

Capped

Index

(d)

—‌

—‌

7.88‌

(3.35‌)

N/A‌

(4.07‌)

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees,

and

how

performance

was

calculated

for

certain

share

classes.

(b)

The

Fund

invests

primarily

in

non-investment

grade

bonds

with

maturities

of

ten

years

or

less.

The

Fund

normally

invests

at

least

80%

of

its

net

assets,

plus

the

amount

of

any

borrowings

for

investment

purposes,

in

high

yield

bonds.

(c)

The

Fund

commenced

operations

on

July

22,

2021.

(d)

An

unmanaged

index

comprised

of

issues

that

meet

the

following

criteria:

at

least

$150

million

par

value

outstanding;

maximum

credit

rating

of

Ba1;

at

least

one

year

to

maturity;

and

no

issuer

represents

more

than

2%

of

the

index.

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,081.50‌

$

2.96‌

$

1,000.00‌

$

1,022.09‌

$

2.87‌

0.57‌%

Investor

A

................................

1,000.00‌

1,080.10‌

4.25‌

1,000.00‌

1,020.84‌

4.13‌

0.82‌

Class

K

..................................

1,000.00‌

1,081.70‌

2.75‌

1,000.00‌

1,022.29‌

2.67‌

0.53‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

Corporate

Bonds

...................................

90.9‌

%

Floating

Rate

Loan

Interests

...........................

8.8‌

Common

Stocks

...................................

0.2‌

Preferred

Securities

.................................

0.1‌

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(b)

Percent

of

Total

Investments

(a)

A

............................................

0.2‌

%

BBB/Baa

.......................................

7.1‌

BB/Ba

.........................................

42.9‌

B

............................................

41.2‌

CCC/Caa

.......................................

8.1‌

NR

...........................................

0.5‌

(a)

Excludes

short-term

securities,

options

purchased

and

options

written.

(b)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

6

BlackRock

Sustainable

Low

Duration

Bond

Fund

Investment

Objective

BlackRock

Sustainable

Low

Duration

Bond

Fund's

(the

“Fund”)

investment

objective

is

to

seek

total

return

in

excess

of

the

reference

benchmark

in

a

manner

that

is

consistent

with

preservation

of

capital

while

seeking

to

maintain

certain

environmental,

social

and

governance

(“ESG”)

characteristics,

climate

risk

exposure

and

climate

opportunities

relative

to

the

Fund’s

benchmark.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six

month

period

that

ended

on

March

31,

2023,

all

of

the

Fund’s

share

classes

outperformed

the

benchmark,

the

ICE

BofA

1-3

Year

U.S.

Corporate

&

Government

Index.

What

factors

influenced

performance?

Allocations

to

mortgage-backed

securities

(“MBS”),

investment-grade

corporate

bonds,

asset-backed

securities

(“ABS”),

U.S.

Treasuries,

European

corporate

issues,

cash,

high

yield

bonds,

non-U.S.

government

debt

and

commercial

mortgage-backed

securities

(“CMBS”)

all

contributed

to

performance.

Duration

positioning

was

the

primary

detractor

from

performance,

followed

by

holdings

in

emerging

markets

debt

and

municipal

bonds.

(Duration

is

a

measure

of

interest

rate

sensitivity).

The

Fund

held

derivatives

during

the

reporting

period.

Specifically,

it

used

futures

and

interest

rate

swaps

to

manage

its

duration

and

yield

curve

positioning.

It

also

used

currency

forward

contracts

to

manage

currency

risk.

In

the

aggregate,

the

Fund’s

use

of

derivatives

was

a

modest

detractor

from

performance.

The

Fund’s

cash

position

had

no

material

impact

on

performance.

Describe

recent

portfolio

activity.

The

investment

adviser

increased

the

Fund’s

allocation

to

U.S.

Treasuries

on

the

view

that

they

could

augment

portfolio

diversification

at

a

time

of

slowing

economic

growth

and

tight

yield

spreads

in

other

areas

of

the

market.

It

also

increased

the

Fund’s

holdings

in

callable

agency

MBS

as

the

investment

adviser

believed

they

had

attractive

valuations.

The

adviser

reduced

the

Fund’s

positions

in

CMBS,

non-U.S.

corporate

bonds,

and

non-U.S.

government

debt.

Since

the

Fund

is

managed

with

sustainability

goals

in

mind,

it

holds

impact

MBS.

Impact

MBS

are

custom

pools

created

by

Fannie

Mae

for

BlackRock

that

support

the

former’s

“Duty

to

Serve”

goals.

These

pools

include

specific

mortgage

borrowers,

such

as

low-income

and

very

low-income

family

homes,

as

well

as

homes

in

low-income

and

high-minority

areas.

In

general,

such

mortgages

provide

credit

to

a

targeted

group

of

borrowers,

for

whom

the

benefits

of

homeownership

could

have

a

significant

social

impact.

The

investment

adviser

slightly

reduced

the

Fund’s

holdings

in

this

area

in

late

2022,

as

yield

spreads

had

tightened

following

a

period

of

strong

performance.

Describe

portfolio

positioning

at

period

end.

The

Fund

was

underweight

in

U.S.

Treasuries,

non-U.S.

government

debt

and

the

emerging

markets.

It

was

overweight

in

mortgages,

ABS,

CMBS,

investment-grade

corporate

bonds

and

high

yield

bonds.

The

Fund’s

duration

was

shorter

than

that

of

the

benchmark.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

7

Fund

Summary

BlackRock

Sustainable

Low

Duration

Bond

Fund

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Average

Annual

Total

Returns

(a)(b)

1

Year

Since

Inception

(c)

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

......................................

4.37‌%

3.80‌%

3.01‌%

(0.34‌)%

N/A‌

(2.37‌)%

N/A‌

Investor

A

.......................................

4.02‌

3.47‌

2.88‌

(0.60‌)

(2.83‌)%

(2.62‌)

(4.13‌)%

Class

K

........................................

4.42‌

3.85‌

3.03‌

(0.31‌)

N/A‌

(2.33‌)

N/A‌

ICE

BofA

1-3

Year

U.S.

Corporate

&

Government

Index

(d)

.....

—‌

—‌

2.40‌

0.30‌

N/A‌

(1.82‌)

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees,

and

how

performance

was

calculated

for

certain

share

classes.

(b)

The

Fund

normally

invests

at

least

80%

of

its

assets

in

bonds.

The

Fund

may

invest

up

to

20%

of

its

assets

in

non-investment

grade

bonds

(commonly

called

“high

yield”

or

“junk

bonds”).

(c)

The

Fund

commenced

operations

on

October

18,

2021.

(d)

An

unmanaged

index

comprised

of

investment

grade

corporate

bonds

and

U.S.

Government

Agency

and

U.S.

Treasury

securities

with

a

maturity

ranging

from

one

to

three

years.

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,030.10‌

$

1.92‌

$

1,000.00‌

$

1,023.04‌

$

1.92‌

0.38‌%

Investor

A

................................

1,000.00‌

1,028.80‌

3.24‌

1,000.00‌

1,021.74‌

3.23‌

0.64‌

Class

K

..................................

1,000.00‌

1,030.30‌

1.77‌

1,000.00‌

1,023.19‌

1.77‌

0.35‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

Corporate

Bonds

...................................

36.6‌

%

U.S.

Treasury

Obligations

.............................

29.7‌

Asset-Backed

Securities

..............................

16.4‌

U.S.

Government

Sponsored

Agency

Securities

..............

9.7‌

Non-Agency

Mortgage-Backed

Securities

..................

6.0‌

Foreign

Agency

Obligations

............................

1.6‌

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(b)

Percent

of

Total

Investments

(a)

AAA/

Aaa

(c)

......................................

60.7‌

%

AA/Aa

.........................................

0.6‌

A

............................................

16.1‌

BBB/Baa

.......................................

14.5‌

BB/Ba

.........................................

3.8‌

B

............................................

2.2‌

CCC/

Caa

.......................................

0.0‌

(d)

NR

...........................................

2.1‌

(a)

Excludes

short-term

securities

and

TBA

sale

commitments.

(b)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(c)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

(d)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

Fund

Summary

as

of

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

8

BlackRock

Sustainable

Total

Return

Fund

Investment

Objective

BlackRock

Sustainable

Total

Return

Fund’s

(the

“Fund”)

investment

objective

is

to

realize

a

total

return

that

exceeds

that

of

the

Bloomberg

U.S.

Aggregate

Bond

Index

(the

“Benchmark”)

while

seeking

to

maintain

certain

environmental,

social

and

governance

(“ESG”)

characteristics,

climate

risk

exposure

and

climate

opportunities

relative

to

the

Benchmark.

Portfolio

Management

Commentary

How

did

the

Fund

perform?

For

the

six

month

period

ended

March

31,

2023,

all

of

the

Fund's

share

classes

outperformed

its

benchmark,

the

Bloomberg

U.S.

Aggregate

Bond

Index.

What

factors

influenced

performance?

The

Fund’s

duration

and

yield

curve

positioning

contributed

to

performance,

as

did

its

allocation

to

structured

securities

and

U.S.

investment-grade

corporate

bonds.

(Duration

is

a

measure

of

interest

rate

sensitivity.)

The

Fund’s

macro

strategies

were

the

largest

detractor

from

performance.

The

Fund’s

cash

position

did

not

have

a

material

impact

on

performance.

Describe

recent

portfolio

activity.

In

the

fourth

quarter

of

2022,

the

investment

adviser

identified

a

number

of

attractive

opportunities

across

the

fixed-income

market

following

the

Fed’s

fastest

rate-hiking

cycle

in

decades.

The

investment

adviser

sought

to

take

advantage

of

these

circumstances

by

adding

to

the

Fund’s

positions

in

higher-quality,

short-dated

assets

that

offered

attractive

yields.

It

maintained

an

active

positioning

within

investment-grade

corporate

bonds

in

an

effort

to

capitalize

on

the

increased

dispersion

in

the

sector,

and

it

increased

the

Fund’s

overweight

in

agency

mortgage-backed

securities

(“MBS”).

At

the

same

time,

it

kept

the

allocation

to

high

yield

bonds

near

historically

low

levels.

The

Fund’s

overall

duration

was

slightly

below

the

benchmark

at

the

end

of

2022,

with

an

overweight

in

U.S.

short-term

bonds

offset

by

a

short

position

in

seven-

to

10-year

bonds

in

Japan.

The

investment

adviser

continued

to

reduce

duration

during

the

second

half

of

the

reporting

period.

The

investment

adviser

rotated

the

Fund’s

holdings

in

securitized

assets

during

the

first

quarter

of

2023,

moving

up

in

quality

by

buying

higher-rated

commercial

mortgage-

backed

securities

and

asset-backed

securities.

In

both

areas,

it

sought

issues

with

structural

protections.

The

investment

adviser

maintained

a

defensive

posture

in

the

emerging

markets

given

concerns

about

tighter

global

central

bank

policies,

weaker

economic

growth

and

reduced

liquidity

in

the

market.

It

also

maintained

a

cautious

approach

to

lower-quality

bonds,

with

a

preference

for

high

yield

issues

over

bank

loans.

The

investment

adviser

slightly

trimmed

the

Fund’s

position

in

investment-grade

corporate

bonds

due

to

unattractive

yield

spreads,

and

it

further

added

to

agency

MBS.

Describe

portfolio

positioning

at

period

end.

The

Fund’s

duration

was

below

that

of

the

index.

It

was

overweight

in

investment-grade

corporate

bonds,

with

a

focus

on

short-dated

securities,

and

it

retained

a

sizable

allocation

to

high-quality

securitized

assets.

The

Fund

was

underweight

in

high

yield

bonds

and

the

emerging

markets.

The

views

expressed

reflect

the

opinions

of

BlackRock

as

of

the

date

of

this

report

and

are

subject

to

change

based

on

changes

in

market,

economic

or

other

conditions.

These

views

are

not

intended

to

be

a

forecast

of

future

events

and

are

no

guarantee

of

future

results.

Fund

Summary

as

of

March

31,

2023

(continued)

9

Fund

Summary

BlackRock

Sustainable

Total

Return

Fund

Performance

N/A

-

Not

applicable

as

share

class

and

index

do

not

have

a

sales

charge.

Past

performance

is

not

an

indication

of

future

results.

Performance

results

may

include

adjustments

made

for

financial

reporting

purposes

in

accordance

with

U.S.

generally

accepted

accounting

principles.

Expense

Example

See

“Disclosure

of

Expenses”

for

further

information

on

how

expenses

were

calculated.

Portfolio

Information

Average

Annual

Total

Returns

(a)(b)

1

Year

Since

Inception

(c)

Standardized

30-Day

Yields

Unsubsidized

30-Day

Yields

6-Month

Total

Returns

Without

Sales

Charge

With

Sales

Charge

Without

Sales

Charge

With

Sales

Charge

Institutional

......................................

4.06‌%

3.17‌%

5.65‌%

(5.19‌)%

N/A‌

(8.02‌)%

N/A‌

Investor

A

.......................................

3.64‌

2.82‌

5.52‌

(5.44‌)

(9.23‌)%

(8.28‌)

(10.83‌)%

Class

K

........................................

4.11‌

3.23‌

5.67‌

(5.15‌)

N/A‌

(7.99‌)

N/A‌

Bloomberg

U.S.

Aggregate

Bond

Index

(d)

................

—‌

—‌

4.89‌

(4.78‌)

N/A‌

(7.19‌)

N/A‌

(a)

Assuming

maximum

sales

charges,

if

any.

Average

annual

total

returns

with

and

without

sales

charges

reflect

reductions

for

distribution

and

service

fees.

See

“About

Fund

Performance”

for

a

detailed

description

of

share

classes,

including

any

related

sales

charges

and

fees,

and

how

performance

was

calculated

for

certain

share

classes.

(b)

The

Fund

typically

invests

more

than

90%

of

its

assets

in

a

diversified

portfolio

of

fixed-income

securities.

(c)

The

Fund

commenced

operations

on

October

18,

2021.

(d)

A

broad-based

flagship

benchmark

that

measures

the

investment

grade,

U.S.

dollar-denominated,

fixed-rate

taxable

bond

market.

Actual

H

ypothetical

5%

Re

turn

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Beginning

Account

Value

(10/01/22)

Ending

Account

Value

(03/31/23)

Expenses

Paid

During

the

Period

(a)

Annualized

Expense

Ratio

Institutional

...............................

$

1,000.00‌

$

1,056.50‌

$

2.15‌

$

1,000.00‌

$

1,022.84‌

$

2.12‌

0.42‌%

Investor

A

................................

1,000.00‌

1,055.20‌

3.48‌

1,000.00‌

1,021.54‌

3.43‌

0.68‌

Class

K

..................................

1,000.00‌

1,056.70‌

2.00‌

1,000.00‌

1,022.99‌

1.97‌

0.39‌

(a)

For

each

class

of

the

Fund,

expenses

are

equal

to

the

annualized

expense

ratio

for

the

class,

multiplied

by

the

average

account

value

over

the

period,

multiplied

by

182/365

(to

reflect

the

one-half

year

period

shown).

PORTFOLIO

COMPOSITION

Asset

Type

Percent

of

at

Total

Investments

(a)

U.S.

Government

Sponsored

Agency

Securities

..............

40.6‌

%

Corporate

Bonds

...................................

23.0‌

U.S.

Treasury

Obligations

.............................

20.8‌

Asset-Backed

Securities

..............................

10.5‌

Non-Agency

Mortgage-Backed

Securities

..................

3.8‌

Foreign

Government

Obligations

........................

0.8‌

Municipal

Bonds

...................................

0.5‌

Preferred

Securities

.................................

0.0‌

(b)

CREDIT

QUALITY

ALLOCATION

Credit

Rating

(c)

Percent

of

Total

Investments

(a)

AAA/Aaa

(d)

......................................

66.3‌

%

AA/Aa

.........................................

2.3‌

A

............................................

10.3‌

BBB/Baa

.......................................

14.7‌

BB/Ba

.........................................

0.1‌

B

............................................

0.1‌

CC/Ca

........................................

0.3‌

NR

...........................................

5.9‌

(a)

Excludes

short-term

securities,

options

purchased,

options

written

and

TBA

sale

commitments.

(b)

Represents

less

than

0.1%

of

the

Fund's

total

investments.

(c)

For

financial

reporting

purposes,

credit

quality

ratings

shown

above

reflect

the

highest

rating

assigned

by

either

S&P

Global

Ratings

or

Moody’s

Investors

Service

if

ratings

differ.

These

rating

agencies

are

independent,

nationally

recognized

statistical

rating

organizations

and

are

widely

used.

Investment

grade

ratings

are

credit

ratings

of

BBB/Baa

or

higher.

Below

investment

grade

ratings

are

credit

ratings

of

BB/Ba

or

lower.

Investments

designated

NR

are

not

rated

by

either

rating

agency.

Unrated

investments

do

not

necessarily

indicate

low

credit

quality.

Credit

quality

ratings

are

subject

to

change.

(d)

The

investment

adviser

evaluates

the

credit

quality

of

unrated

investments

based

upon

certain

factors

including,

but

not

limited

to,

credit

ratings

for

similar

investments

and

financial

analysis

of

sectors,

individual

investments

and/or

issuers.

Using

this

approach,

the

investment

adviser

has

deemed

unrated

U.S.

Government

Sponsored

Agency

Securities

and

U.S.

Treasury

Obligations

to

be

of

similar

credit

quality

as

investments

rated

AAA/Aaa.

About

Fund

Performance

2023

BlackRock

Semi-Annual

Report

to

Shareholders

10

Institutional

and

Class

K

Shares

are

not

subject

to

any

sales

charge.

These

shares

bear

no

ongoing

distribution

or

service

fees

and

are

available

only

to

certain

eligible

investors.

Investor

A

Shares

are

subject

to

a

maximum

initial

sales

charge

(front-end

load)

of

4.00%

for

BlackRock

Sustainable

High

Yield

Bond

Fund

and

BlackRock

Sustainable

Total

Return

Fund

and

2.25%

for

BlackRock

Sustainable

Low

Duration

Bond

Fund

and

a

service

fee

of

0.25%

per

year

(but

no

distribution

fee).

Certain

redemptions

of

these

shares

may

be

subject

to

a

contingent

deferred

sales

charge

("CDSC")

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

These

shares

are

generally

available

through

financial

intermediaries.

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.

Refer

to

blackrock.com 

to

obtain

performance

data

current

to

the

most

recent

month-end.

Performance

results

do

not

reflect

the

deduction

of

taxes

that

a

shareholder

would

pay

on

Fund

distributions

or

the

redemption

of

Fund

shares.

Figures

shown

in

the

performance

table(s) assume

reinvestment

of

all

distributions,

if

any,

at

net

asset

value

(“NAV”)

on

the

ex-dividend

date

or

payable

date,

as

applicable.

Investment

return

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Distributions

paid

to

each

class

of

shares

will

vary

because

of

the

different

levels

of

service,

distribution

and

transfer

agency

fees

applicable

to

each

class,

which

are

deducted

from

the

income

available

to

be

paid

to

shareholders. 

BlackRock

Advisors,

LLC

(the

“Manager”),

each

Fund’s

investment

adviser,

has

contractually

and/or

voluntarily

agreed

to

waive

and/or

reimburse

a

portion

of

each

Fund’s

expenses.

Without

such

waiver(s)

and/or

reimbursement(s),

each

Fund’s

performance

would

have

been

lower.

With

respect

to

each

Fund’s

voluntary

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

waive

and/or

reimburse

or

to

continue

waiving

and/or

reimbursing

its

fees

and

such

voluntary

waiver(s)

may

be

reduced

or

discontinued

at

any

time. With

respect

to

each

Fund’s

contractual

waiver(s),

if

any,

the

Manager

is

under

no

obligation

to

continue

waiving

and/or

reimbursing

its

fees

after

the

applicable

termination

date

of

such agreement.

See

the

Notes

to

Financial

Statements

for

additional

information

on

waivers

and/or

reimbursements. 

The

standardized

30-day

yield

includes

the

effects

of

any

waivers

and/or

reimbursements.

The

unsubsidized

30-day

yield

excludes

the

effects

of

any

waivers

and/or

reimbursements. 

Disclosure

of

Expenses

11

Disclosure

of

Expenses

/

Derivative

Financial

Instruments

Shareholders

of

each

Fund

may

incur

the

following

charges:

(a)

transactional

expenses,

such

as

sales

charges;

and

(b)

operating

expenses,

including

investment

advisory

fees,

administration

fees, service

and

distribution

fees,

including

12b-1

fees,

acquired

fund

fees

and

expenses, 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

mutual

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

corresponding

to

their

Fund and

share

class

under

the

heading

entitled

“Expenses

Paid

During

the

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

these

Funds

and

other

funds,

compare

the

5%

hypothetical

examples

with

the

5%

hypothetical

examples

that

appear

in

shareholder

reports

of

other

funds. 

The

expenses

shown

in

the

expense

examples

are

intended

to

highlight

shareholders’

ongoing

costs

only

and

do

not

reflect

transactional

expenses,

such

as

sales

charges,

if

any.

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.

Derivative

Financial

Instruments

The

Funds

may

invest

in

various

derivative

financial

instruments.

These

instruments

are

used

to

obtain

exposure

to

a

security,

commodity,

index,

market,

and/or

other

assets

without

owning

or

taking

physical

custody

of

securities,

commodities

and/or

other

referenced

assets

or

to

manage

market,

equity,

credit,

interest

rate,

foreign

currency

exchange

rate,

commodity

and/or

other

risks.

Derivative

financial

instruments

may

give

rise

to

a

form

of

economic

leverage

and

involve

risks,

including

the

imperfect

correlation

between

the

value

of

a

derivative

financial

instrument

and

the

underlying

asset,

possible

default

of

the

counterparty

to

the

transaction

or

illiquidity

of

the

instrument.

Pursuant

to

Rule

18f-4

under

the

1940

Act,

among

other

things,

the

Funds

must

either

use

derivative

financial

instruments

with

embedded

leverage

in

a

limited

manner

or

comply

with

an

outer

limit

on

fund

leverage

risk

based

on

value-at-risk. The

Funds’

successful

use

of

a

derivative

financial

instrument

depends

on

the

investment

adviser’s

ability

to

predict

pertinent

market

movements

accurately,

which

cannot

be

assured.

The

use

of

these

instruments

may

result

in

losses

greater

than

if

they

had

not

been

used,

may

limit

the

amount

of

appreciation a

Fund

can

realize

on

an

investment

and/or

may

result

in

lower

distributions

paid

to

shareholders.

The

Funds’

investments

in

these

instruments,

if

any,

are

discussed

in

detail

in

the

Notes

to

Financial

Statements.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

12

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Shares

Shares

Value

Common

Stocks

Chemicals

—

0.1%

Element

Solutions,

Inc.

(a)

..............

2,144

$

41,400

Financial

Services

—

0.0%

Block,

Inc.,

Class

A

(b)

................

259

17,780

Ground

Transportation

—

0.1%

Uber

Technologies,

Inc.

(b)

.............

939

29,766

IT

Services

—

0.0%

Twilio,

Inc.,

Class

A

(b)

................

87

5,797

Total

Common

Stocks

—

0.2%

(Cost:

$135,166)

................................

94,743

Par

(000)

Par

(000)

Corporate

Bonds

Aerospace

&

Defense

—

3.6%

(c)

Bombardier,

Inc.

7.13%,

06/15/26

.................

USD

175

175,630

7.88%,

04/15/27

.................

124

125,529

6.00%,

02/15/28

.................

59

57,452

7.50%,

02/01/29

.................

92

93,983

TransDigm,

Inc.

6.25%,

03/15/26

.................

454

454,413

6.75%,

08/15/28

.................

472

476,720

Triumph

Group,

Inc.,

9.00%,

03/15/28

....

173

173,182

1,556,909

Automobile

Components

—

2.1%

Clarios

Global

LP

(c)

6.75%,

05/15/25

.................

100

101,065

6.25%,

05/15/26

.................

149

148,627

8.50%,

05/15/27

.................

525

526,969

Goodyear

Tire

&

Rubber

Co.

(The)

9.50%,

05/31/25

.................

123

126,394

5.63%,

04/30/33

.................

2

1,730

904,785

Automobiles

—

0.7%

Ford

Motor

Co.

3.25%,

02/12/32

.................

309

242,861

6.10%,

08/19/32

.................

53

51,360

294,221

Broadline

Retail

—

0.5%

(c)

ANGI

Group

LLC,

3.88%,

08/15/28

......

49

37,227

Go

Daddy

Operating

Co.

LLC,

3.50%,

03/01/29

77

66,577

Match

Group

Holdings

II

LLC

4.63%,

06/01/28

.................

47

43,650

3.63%,

10/01/31

.................

17

13,834

NMG

Holding

Co.,

Inc.,

7.13%,

04/01/26

...

44

41,310

202,598

Building

Products

—

0.7%

(c)

Advanced

Drainage

Systems,

Inc.

5.00%,

09/30/27

.................

8

7,602

6.38%,

06/15/30

.................

174

170,492

Camelot

Return

Merger

Sub,

Inc.,

8.75%,

08/01/28

.....................

48

44,445

Masonite

International

Corp.,

5.38%,

02/01/28

3

2,865

Standard

Industries,

Inc.

5.00%,

02/15/27

.................

5

4,749

4.75%,

01/15/28

.................

5

4,671

4.38%,

07/15/30

.................

58

50,460

Security

Par

(000)

Par

(000)

Value

Building

Products

(continued)

3.38%,

01/15/31

.................

USD

43

$

34,558

319,842

Capital

Markets

—

0.4%

AG

TTMT

Escrow

Issuer

LLC,

8.63%,

09/30/27

(c)

....................

33

33,215

Compass

Group

Diversified

Holdings

LLC,

5.25%,

04/15/29

(c)

...............

47

41,379

MSCI,

Inc.

(c)

3.63%,

09/01/30

.................

32

27,818

3.25%,

08/15/33

.................

6

4,914

Northern

Trust

Corp.,

6.13%,

11/02/32

....

60

63,967

171,293

Chemicals

—

3.0%

Ashland

LLC,

3.38%,

09/01/31

(c)

........

117

95,639

Avient

Corp.,

7.13%,

08/01/30

(c)

........

36

37,125

Axalta

Coating

Systems

LLC

(c)

4.75%,

06/15/27

.................

150

142,530

3.38%,

02/15/29

.................

350

299,874

Element

Solutions,

Inc.,

3.88%,

09/01/28

(c)

.

258

226,431

HB

Fuller

Co.,

4.00%,

02/15/27

........

47

42,959

Herens

Holdco

SARL,

4.75%,

05/15/28

(c)

..

200

161,000

Kobe

U.S.

Midco

2,

Inc.,

9.25%,

11/01/26

(c)(d)

57

41,040

WR

Grace

Holdings

LLC

(c)

4.88%,

06/15/27

.................

24

23,134

5.63%,

08/15/29

.................

240

203,400

7.38%,

03/01/31

.................

29

29,110

1,302,242

Commercial

Services

&

Supplies

—

3.1%

ADT

Security

Corp.

(The)

(c)

4.13%,

08/01/29

.................

3

2,675

4.88%,

07/15/32

.................

17

14,999

Allied

Universal

Holdco

LLC

(c)

6.63%,

07/15/26

.................

180

172,981

9.75%,

07/15/27

.................

160

142,602

4.63%,

06/01/28

.................

200

169,250

APi

Group

DE,

Inc.

(c)

4.13%,

07/15/29

.................

19

16,303

4.75%,

10/15/29

.................

24

21,116

APX

Group,

Inc.

(c)

6.75%,

02/15/27

.................

26

25,870

5.75%,

07/15/29

.................

80

71,600

Aramark

Services,

Inc.

(c)

5.00%,

04/01/25

.................

9

8,857

5.00%,

02/01/28

.................

117

110,736

Covanta

Holding

Corp.

4.88%,

12/01/29

(c)

................

20

17,795

5.00%,

09/01/30

.................

15

12,903

Garda

World

Security

Corp.

(c)

4.63%,

02/15/27

.................

22

19,748

7.75%,

02/15/28

.................

63

62,093

GFL

Environmental,

Inc.

(c)

4.25%,

06/01/25

.................

3

2,927

3.75%,

08/01/25

.................

5

4,805

5.13%,

12/15/26

.................

43

42,044

4.00%,

08/01/28

.................

4

3,634

3.50%,

09/01/28

.................

6

5,430

4.75%,

06/15/29

.................

88

82,201

4.38%,

08/15/29

.................

16

14,323

Legends

Hospitality

Holding

Co.

LLC,

5.00%,

02/01/26

(c)

....................

41

36,689

Madison

IAQ

LLC,

5.88%,

06/30/29

(c)

.....

95

73,388

Neptune

Bidco

US,

Inc.,

9.29%,

04/15/29

(c)

.

18

16,688

Prime

Security

Services

Borrower

LLC

(c)

5.75%,

04/15/26

.................

92

91,310

BlackRock

Sustainable

High

Yield

Bond

Fund

Schedules

of

Investments

13

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Services

&

Supplies

(continued)

6.25%,

01/15/28

.................

USD

50

$

46,750

Stericycle,

Inc.,

3.88%,

01/15/29

(c)

.......

29

25,317

1,315,034

Communications

Equipment

—

1.1%

CommScope

Technologies

LLC,

6.00%,

06/15/25

(c)

....................

113

106,418

CommScope,

Inc.

(c)

6.00%,

03/01/26

.................

41

39,569

8.25%,

03/01/27

.................

13

10,649

7.13%,

07/01/28

.................

13

9,588

4.75%,

09/01/29

.................

81

67,515

Nokia

OYJ,

6.63%,

05/15/39

..........

96

95,820

Viasat,

Inc.

(c)

5.63%,

09/15/25

.................

59

55,936

5.63%,

04/15/27

.................

25

23,475

Viavi

Solutions,

Inc.,

3.75%,

10/01/29

(c)

...

60

51,310

460,280

Construction

&

Engineering

—

0.2%

(c)

Dycom

Industries,

Inc.,

4.50%,

04/15/29

...

31

27,977

MasTec,

Inc.,

4.50%,

08/15/28

.........

40

36,972

64,949

Consumer

Finance

—

1.8%

Ford

Motor

Credit

Co.

LLC

4.13%,

08/04/25

.................

200

190,253

4.39%,

01/08/26

.................

200

189,750

7.35%,

03/06/30

.................

200

205,500

OneMain

Finance

Corp.

6.88%,

03/15/25

.................

10

9,690

7.13%,

03/15/26

.................

53

50,949

6.63%,

01/15/28

.................

20

18,336

4.00%,

09/15/30

.................

95

71,250

SLM

Corp.,

3.13%,

11/02/26

..........

41

34,850

770,578

Consumer

Staples

Distribution

&

Retail

—

0.9%

(c)

Albertsons

Cos.,

Inc.

3.25%,

03/15/26

.................

49

46,109

4.63%,

01/15/27

.................

8

7,737

6.50%,

02/15/28

.................

44

44,110

3.50%,

03/15/29

.................

5

4,350

4.88%,

02/15/30

.................

103

96,138

United

Natural

Foods,

Inc.,

6.75%,

10/15/28

51

47,400

US

Foods,

Inc.

6.25%,

04/15/25

.................

78

78,703

4.75%,

02/15/29

.................

47

43,416

4.63%,

06/01/30

.................

5

4,511

372,474

Containers

&

Packaging

—

4.6%

ARD

Finance

SA,

6.50%,

06/30/27

(c)

.....

200

152,980

Ardagh

Metal

Packaging

Finance

USA

LLC

(c)

6.00%,

06/15/27

.................

200

198,205

4.00%,

09/01/29

.................

200

156,500

Ball

Corp.,

3.13%,

09/15/31

..........

189

156,397

Clydesdale

Acquisition

Holdings,

Inc.

(c)

6.63%,

04/15/29

.................

118

113,575

8.75%,

04/15/30

.................

76

69,064

Crown

Americas

LLC,

4.25%,

09/30/26

...

124

118,875

Graphic

Packaging

International

LLC,

3.50%,

03/15/28

(c)

....................

98

89,690

Mauser

Packaging

Solutions

Holding

Co.

(c)

7.88%,

08/15/26

.................

577

577,000

9.25%,

04/15/27

.................

6

5,544

Sealed

Air

Corp.

(c)

4.00%,

12/01/27

.................

70

65,324

Security

Par

(000)

Par

(000)

Value

Containers

&

Packaging

(continued)

6.13%,

02/01/28

.................

USD

44

$

44,491

Trivium

Packaging

Finance

BV,

8.50%,

08/15/27

(c)(e)

...................

228

207,480

1,955,125

Distributors

—

0.2%

(c)

American

Builders

&

Contractors

Supply

Co.,

Inc.,

3.88%,

11/15/29

.............

20

17,077

Resideo

Funding,

Inc.,

4.00%,

09/01/29

...

8

6,652

Ritchie

Bros

Holdings,

Inc.

6.75%,

03/15/28

.................

18

18,537

7.75%,

03/15/31

.................

59

61,833

104,099

Diversified

Consumer

Services

—

0.4%

Sotheby's,

5.88%,

06/01/29

(c)

..........

200

165,864

Diversified

REITs

—

0.5%

(c)

HAT

Holdings

I

LLC,

3.38%,

06/15/26

....

106

91,955

Iron

Mountain

Information

Management

Services,

Inc.,

5.00%,

07/15/32

.......

46

39,502

Uniti

Group

LP,

10.50%,

02/15/28

.......

104

100,880

232,337

Diversified

Telecommunication

Services

—

6.4%

Altice

France

SA,

5.13%,

07/15/29

(c)

.....

200

150,500

CCO

Holdings

LLC

(c)

5.00%,

02/01/28

.................

73

67,342

6.38%,

09/01/29

.................

168

160,440

4.75%,

03/01/30

.................

33

28,591

4.25%,

02/01/31

.................

125

102,208

7.38%,

03/01/31

.................

14

13,781

4.75%,

02/01/32

.................

78

65,509

4.50%,

06/01/33

.................

25

20,126

4.25%,

01/15/34

.................

92

71,955

Frontier

Communications

Holdings

LLC

(c)

5.88%,

10/15/27

.................

65

59,091

5.00%,

05/01/28

.................

38

32,975

8.75%,

05/15/30

.................

179

178,286

Iliad

Holding

SASU

(c)

6.50%,

10/15/26

.................

200

190,604

7.00%,

10/15/28

.................

294

278,944

Level

3

Financing,

Inc.

(c)

3.40%,

03/01/27

.................

59

46,666

4.63%,

09/15/27

.................

32

19,240

4.25%,

07/01/28

.................

159

89,708

3.63%,

01/15/29

.................

21

11,611

3.75%,

07/15/29

.................

59

31,456

3.88%,

11/15/29

.................

108

78,163

Lumen

Technologies,

Inc.

(c)

4.00%,

02/15/27

.................

100

66,000

4.50%,

01/15/29

.................

16

7,160

Sprint

Capital

Corp.

6.88%,

11/15/28

.................

234

251,440

8.75%,

03/15/32

.................

197

239,848

Telecom

Italia

Capital

SA

6.38%,

11/15/33

.................

60

54,325

6.00%,

09/30/34

.................

71

60,883

Zayo

Group

Holdings,

Inc.

(c)

4.00%,

03/01/27

.................

273

207,480

6.13%,

03/01/28

.................

265

161,173

2,745,505

Electric

Utilities

—

2.3%

NextEra

Energy

Operating

Partners

LP,

4.25%,

09/15/24

(c)

....................

233

223,389

NRG

Energy,

Inc.

5.75%,

01/15/28

.................

8

7,845

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

14

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Electric

Utilities

(continued)

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.92%),

10.25%

(c)(d)(f)

..................

USD

101

$

96,517

5.25%,

06/15/29

(c)

................

3

2,785

3.88%,

02/15/32

(c)

................

17

13,600

7.00%,

03/15/33

(c)

................

45

46,616

Pattern

Energy

Operations

LP,

4.50%,

08/15/28

(c)

....................

674

616,605

1,007,357

Electrical

Equipment

—

0.2%

Vertiv

Group

Corp.,

4.13%,

11/15/28

(c)

....

100

88,235

Electronic

Equipment,

Instruments

&

Components

—

0.3%

Sensata

Technologies,

Inc.,

4.38%,

02/15/30

(c)

160

145,785

Entertainment

—

0.5%

(c)

Lions

Gate

Capital

Holdings

LLC,

5.50%,

04/15/29

.....................

48

31,560

Live

Nation

Entertainment,

Inc.

5.63%,

03/15/26

.................

4

3,870

6.50%,

05/15/27

.................

107

108,150

4.75%,

10/15/27

.................

46

42,550

3.75%,

01/15/28

.................

37

33,115

219,245

Financial

Services

—

2.3%

Block,

Inc.

2.75%,

06/01/26

.................

52

47,412

3.50%,

06/01/31

.................

309

253,766

Enact

Holdings,

Inc.,

6.50%,

08/15/25

(c)

...

65

63,375

MGIC

Investment

Corp.,

5.25%,

08/15/28

..

92

87,446

Nationstar

Mortgage

Holdings,

Inc.

(c)

6.00%,

01/15/27

.................

27

24,503

5.75%,

11/15/31

.................

26

20,167

Rocket

Mortgage

LLC,

2.88%,

10/15/26

(c)

..

98

87,710

Sabre

GLBL,

Inc.

(c)

9.25%,

04/15/25

.................

32

30,144

7.38%,

09/01/25

.................

72

64,331

11.25%,

12/15/27

................

25

23,296

Shift4

Payments

LLC,

4.63%,

11/01/26

(c)

...

80

75,200

Verscend

Escrow

Corp.,

9.75%,

08/15/26

(c)

.

208

208,000

985,350

Food

Products

—

1.8%

(c)

Chobani

LLC

7.50%,

04/15/25

.................

81

78,977

4.63%,

11/15/28

.................

173

157,646

Darling

Ingredients,

Inc.,

6.00%,

06/15/30

..

162

161,449

Lamb

Weston

Holdings,

Inc.

4.88%,

05/15/28

.................

180

174,591

4.13%,

01/31/30

.................

131

119,865

4.38%,

01/31/32

.................

96

87,063

779,591

Gas

Utilities

—

0.0%

Suburban

Propane

Partners

LP,

5.00%,

06/01/31

(c)

....................

16

13,980

Ground

Transportation

—

1.4%

(c)

Hertz

Corp.

(The)

4.63%,

12/01/26

.................

30

27,165

5.00%,

12/01/29

.................

24

19,877

NESCO

Holdings

II,

Inc.,

5.50%,

04/15/29

..

48

43,425

Uber

Technologies,

Inc.

8.00%,

11/01/26

.................

14

14,353

7.50%,

09/15/27

.................

146

150,542

6.25%,

01/15/28

.................

98

97,755

4.50%,

08/15/29

.................

180

164,025

Security

Par

(000)

Par

(000)

Value

Ground

Transportation

(continued)

Williams

Scotsman

International,

Inc.,

4.63%,

08/15/28

.....................

USD

76

$

69,136

XPO

Escrow

Sub

LLC,

7.50%,

11/15/27

...

21

21,840

608,118

Health

Care

Equipment

&

Supplies

—

1.9%

Avantor

Funding,

Inc.

(c)

4.63%,

07/15/28

.................

131

124,122

3.88%,

11/01/29

.................

119

106,505

Embecta

Corp.,

6.75%,

02/15/30

(c)

......

19

17,290

Garden

Spinco

Corp.,

8.63%,

07/20/30

(c)

...

46

49,147

Hologic,

Inc.,

3.25%,

02/15/29

(c)

........

145

129,002

Medline

Borrower

LP

(c)

3.88%,

04/01/29

.................

20

17,350

5.25%,

10/01/29

.................

220

190,875

Teleflex,

Inc.

4.63%,

11/15/27

.................

3

2,930

4.25%,

06/01/28

(c)

................

183

174,018

811,239

Health

Care

Providers

&

Services

—

3.7%

Acadia

Healthcare

Co.,

Inc.

(c)

5.50%,

07/01/28

.................

26

25,188

5.00%,

04/15/29

.................

5

4,700

AdaptHealth

LLC,

6.13%,

08/01/28

(c)

.....

45

41,317

AHP

Health

Partners,

Inc.,

5.75%,

07/15/29

(c)

115

96,600

Cano

Health

LLC,

6.25%,

10/01/28

(c)

.....

17

9,307

Centene

Corp.

2.45%,

07/15/28

.................

19

16,530

3.00%,

10/15/30

.................

191

160,837

2.50%,

03/01/31

.................

47

38,061

2.63%,

08/01/31

.................

25

20,258

Community

Health

Systems,

Inc.

(c)

6.00%,

01/15/29

.................

142

120,115

5.25%,

05/15/30

.................

102

80,014

4.75%,

02/15/31

.................

49

36,175

Encompass

Health

Corp.

4.50%,

02/01/28

.................

109

101,598

4.75%,

02/01/30

.................

5

4,546

4.63%,

04/01/31

.................

62

54,160

HCA,

Inc.,

4.63%,

03/15/52

(c)

..........

41

34,042

HealthEquity,

Inc.,

4.50%,

10/01/29

(c)

.....

96

85,293

Legacy

LifePoint

Health

LLC

(c)

6.75%,

04/15/25

.................

13

12,337

4.38%,

02/15/27

.................

29

23,718

ModivCare,

Inc.,

5.88%,

11/15/25

(c)

......

19

18,216

Molina

Healthcare,

Inc.

(c)

4.38%,

06/15/28

.................

30

27,909

3.88%,

11/15/30

.................

10

8,725

3.88%,

05/15/32

.................

8

6,723

Option

Care

Health,

Inc.,

4.38%,

10/31/29

(c)

.

56

49,453

Pediatrix

Medical

Group,

Inc.,

5.38%,

02/15/30

(c)

....................

118

106,811

Surgery

Center

Holdings,

Inc.

(c)

6.75%,

07/01/25

.................

55

54,410

10.00%,

04/15/27

................

76

77,490

Tenet

Healthcare

Corp.

4.88%,

01/01/26

.................

67

65,684

6.25%,

02/01/27

.................

25

24,585

5.13%,

11/01/27

.................

29

27,841

6.13%,

10/01/28

.................

35

33,545

4.25%,

06/01/29

.................

20

18,094

6.13%,

06/15/30

(c)

................

114

112,461

1,596,743

BlackRock

Sustainable

High

Yield

Bond

Fund

Schedules

of

Investments

15

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

—

5.8%

1011778

BC

ULC

(c)

3.88%,

01/15/28

.................

USD

26

$

24,180

4.38%,

01/15/28

.................

82

75,698

4.00%,

10/15/30

.................

14

12,005

Boyne

USA,

Inc.,

4.75%,

05/15/29

(c)

.....

110

98,205

Caesars

Entertainment,

Inc.

(c)

6.25%,

07/01/25

.................

183

183,009

8.13%,

07/01/27

.................

241

245,820

4.63%,

10/15/29

.................

159

139,045

7.00%,

02/15/30

.................

328

333,740

Caesars

Resort

Collection

LLC,

5.75%,

07/01/25

(c)

....................

92

92,020

CDI

Escrow

Issuer,

Inc.,

5.75%,

04/01/30

(c)

.

148

142,944

Cedar

Fair

LP,

5.50%,

05/01/25

(c)

.......

95

94,940

Churchill

Downs,

Inc.

(c)

5.50%,

04/01/27

.................

2

1,958

4.75%,

01/15/28

.................

22

20,602

Fertitta

Entertainment

LLC

(c)

4.63%,

01/15/29

.................

23

20,187

6.75%,

01/15/30

.................

7

5,759

Hilton

Domestic

Operating

Co.,

Inc.

5.75%,

05/01/28

(c)

................

57

57,000

3.75%,

05/01/29

(c)

................

66

59,070

4.88%,

01/15/30

.................

105

100,575

4.00%,

05/01/31

(c)

................

42

36,779

3.63%,

02/15/32

(c)

................

18

15,188

MajorDrive

Holdings

IV

LLC,

6.38%,

06/01/29

(c)

67

49,609

Merlin

Entertainments

Ltd.,

5.75%,

06/15/26

(c)

200

189,695

MGM

Resorts

International,

5.75%,

06/15/25

90

89,783

Midwest

Gaming

Borrower

LLC,

4.88%,

05/01/29

(c)

....................

53

46,075

Scientific

Games

International,

Inc.,

7.25%,

11/15/29

(c)

....................

44

44,085

Six

Flags

Theme

Parks,

Inc.,

7.00%,

07/01/25

(c)

33

33,341

Vail

Resorts,

Inc.,

6.25%,

05/15/25

(c)

.....

93

93,218

Wyndham

Hotels

&

Resorts,

Inc.,

4.38%,

08/15/28

(c)

....................

71

65,408

Wynn

Resorts

Finance

LLC,

5.13%,

10/01/29

(c)

65

59,043

Yum!

Brands,

Inc.,

4.75%,

01/15/30

(c)

.....

85

81,208

2,510,189

Household

Durables

—

0.8%

Ashton

Woods

USA

LLC,

4.63%,

08/01/29

(c)

25

20,250

Brookfield

Residential

Properties,

Inc.,

5.00%,

06/15/29

(c)

....................

97

74,205

CD&R

Smokey

Buyer,

Inc.,

6.75%,

07/15/25

(c)

68

58,310

KB

Home,

7.25%,

07/15/30

...........

15

15,214

SWF

Escrow

Issuer

Corp.,

6.50%,

10/01/29

(c)

71

43,665

Taylor

Morrison

Communities,

Inc.,

5.88%,

06/15/27

(c)

....................

68

66,710

Tempur

Sealy

International,

Inc.

(c)

4.00%,

04/15/29

.................

17

14,956

3.88%,

10/15/31

.................

31

25,885

TRI

Pointe

Homes,

Inc.,

5.25%,

06/01/27

..

22

20,900

340,095

Household

Products

—

0.0%

Spectrum

Brands,

Inc.,

5.00%,

10/01/29

(c)

..

18

15,622

Independent

Power

and

Renewable

Electricity

Producers

—

2.4%

Clearway

Energy

Operating

LLC

(c)

4.75%,

03/15/28

.................

730

697,150

3.75%,

01/15/32

.................

86

71,473

TransAlta

Corp.,

7.75%,

11/15/29

.......

238

250,111

1,018,734

Security

Par

(000)

Par

(000)

Value

Insurance

—

3.5%

(c)

Alliant

Holdings

Intermediate

LLC

4.25%,

10/15/27

.................

USD

148

$

132,562

6.75%,

10/15/27

.................

317

294,017

6.75%,

04/15/28

.................

136

134,470

5.88%,

11/01/29

.................

282

237,809

AmWINS

Group,

Inc.,

4.88%,

06/30/29

....

21

18,585

GTCR

AP

Finance,

Inc.,

8.00%,

05/15/27

..

24

22,903

HUB

International

Ltd.,

7.00%,

05/01/26

...

113

111,057

Jones

Deslauriers

Insurance

Management,

Inc.

8.50%,

03/15/30

.................

62

64,261

10.50%,

12/15/30

................

61

61,440

NFP

Corp.

4.88%,

08/15/28

.................

120

108,240

6.88%,

08/15/28

.................

294

252,293

7.50%,

10/01/30

.................

24

23,190

Ryan

Specialty

Group

LLC,

4.38%,

02/01/30

34

29,729

1,490,556

IT

Services

—

0.8%

Ahead

DB

Holdings

LLC,

6.63%,

05/01/28

(c)

.

57

47,204

Booz

Allen

Hamilton,

Inc.,

4.00%,

07/01/29

(c)

93

83,925

Gartner,

Inc.

(c)

4.50%,

07/01/28

.................

51

48,409

3.63%,

06/15/29

.................

23

20,523

Northwest

Fiber

LLC

(c)

4.75%,

04/30/27

.................

54

46,133

6.00%,

02/15/28

.................

12

8,879

Presidio

Holdings,

Inc.,

4.88%,

02/01/27

(c)

..

8

7,645

Twilio,

Inc.

3.63%,

03/15/29

.................

18

15,525

3.88%,

03/15/31

.................

95

80,610

358,853

Leisure

Products

—

0.2%

Mattel,

Inc.

6.20%,

10/01/40

.................

53

47,734

5.45%,

11/01/41

.................

62

52,204

99,938

Life

Sciences

Tools

&

Services

—

0.1%

Charles

River

Laboratories

International,

Inc.

(c)

4.25%,

05/01/28

.................

32

29,948

4.00%,

03/15/31

.................

14

12,250

42,198

Machinery

—

0.7%

Mueller

Water

Products,

Inc.,

4.00%,

06/15/29

(c)

43

38,411

Terex

Corp.,

5.00%,

05/15/29

(c)

........

63

58,622

Titan

International,

Inc.,

7.00%,

04/30/28

..

23

20,723

TK

Elevator

US

Newco,

Inc.,

5.25%,

07/15/27

(c)

200

188,820

306,576

Media

—

4.6%

Altice

Financing

SA,

5.75%,

08/15/29

(c)

....

400

318,000

AMC

Networks,

Inc.,

4.25%,

02/15/29

....

39

23,978

Cable

One,

Inc.

0.00%,

03/15/26

(g)(h)

...............

22

17,358

1.13%,

03/15/28

(g)

................

147

107,457

4.00%,

11/15/30

(c)

................

218

177,446

Charter

Communications

Operating

LLC,

5.50%,

04/01/63

................

9

7,303

Clear

Channel

Outdoor

Holdings,

Inc.

(c)

5.13%,

08/15/27

.................

163

146,292

7.75%,

04/15/28

.................

133

99,750

7.50%,

06/01/29

.................

121

85,995

CSC

Holdings

LLC

5.25%,

06/01/24

.................

5

4,825

4.13%,

12/01/30

(c)

................

200

143,638

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

16

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Media

(continued)

DirecTV

Financing

LLC,

5.88%,

08/15/27

(c)

.

USD

42

$

38,040

GCI

LLC,

4.75%,

10/15/28

(c)

..........

8

6,902

Outfront

Media

Capital

LLC

(c)

5.00%,

08/15/27

.................

111

99,992

4.25%,

01/15/29

.................

3

2,490

4.63%,

03/15/30

.................

23

19,181

Radiate

Holdco

LLC,

6.50%,

09/15/28

(c)

...

156

63,960

Sinclair

Television

Group,

Inc.,

4.13%,

12/01/30

(c)

....................

65

52,406

Sirius

XM

Radio,

Inc.

(c)

3.13%,

09/01/26

.................

92

82,984

5.00%,

08/01/27

.................

46

43,066

TEGNA,

Inc.,

4.75%,

03/15/26

(c)

........

5

4,743

Telenet

Finance

Luxembourg

Notes

SARL,

5.50%,

03/01/28

(c)

...............

200

184,000

Univision

Communications,

Inc.

(c)

6.63%,

06/01/27

.................

36

34,135

7.38%,

06/30/30

.................

48

45,381

Ziggo

Bond

Co.

BV,

5.13%,

02/28/30

(c)

....

200

160,811

1,970,133

Metals

&

Mining

—

4.3%

(c)

Big

River

Steel

LLC,

6.63%,

01/31/29

....

727

721,446

Constellium

SE

5.63%,

06/15/28

.................

250

236,006

3.75%,

04/15/29

.................

250

216,553

Novelis

Corp.

3.25%,

11/15/26

.................

390

356,407

4.75%,

01/30/30

.................

14

12,863

3.88%,

08/15/31

.................

346

291,415

1,834,690

Mortgage

Real

Estate

Investment

Trusts

(REITs)

—

0.0%

(c)

Ladder

Capital

Finance

Holdings

LLLP,

5.25%,

10/01/25

.....................

6

5,279

Starwood

Property

Trust,

Inc.,

4.38%,

01/15/27

18

14,876

20,155

Oil,

Gas

&

Consumable

Fuels

—

2.4%

EnLink

Midstream

Partners

LP

4.85%,

07/15/26

.................

23

22,137

5.60%,

04/01/44

.................

52

42,441

ITT

Holdings

LLC,

6.50%,

08/01/29

(c)

.....

98

82,743

New

Fortress

Energy,

Inc.

(c)

6.75%,

09/15/25

.................

113

108,763

6.50%,

09/30/26

.................

45

41,400

Occidental

Petroleum

Corp.

5.88%,

09/01/25

.................

2

2,016

5.55%,

03/15/26

.................

228

229,710

8.88%,

07/15/30

.................

25

29,079

6.63%,

09/01/30

.................

85

89,519

6.13%,

01/01/31

.................

4

4,150

7.50%,

05/01/31

.................

1

1,103

6.45%,

09/15/36

.................

8

8,411

6.20%,

03/15/40

.................

378

380,041

6.60%,

03/15/46

.................

2

2,103

1,043,616

Passenger

Airlines

—

2.3%

(c)

American

Airlines,

Inc.

11.75%,

07/15/25

................

229

250,535

5.50%,

04/20/26

.................

15

14,854

7.25%,

02/15/28

.................

17

16,533

5.75%,

04/20/29

.................

232

222,884

Mileage

Plus

Holdings

LLC,

6.50%,

06/20/27

137

136,410

United

Airlines,

Inc.

4.38%,

04/15/26

.................

187

178,905

Security

Par

(000)

Par

(000)

Value

Passenger

Airlines

(continued)

4.63%,

04/15/29

.................

USD

203

$

183,614

1,003,735

Personal

Care

Products

—

0.1%

Prestige

Brands,

Inc.,

3.75%,

04/01/31

(c)

...

25

21,190

Pharmaceuticals

—

0.7%

(c)

Catalent

Pharma

Solutions,

Inc.

3.13%,

02/15/29

.................

80

70,329

3.50%,

04/01/30

.................

39

34,274

Organon

&

Co.,

5.13%,

04/30/31

.......

200

177,528

282,131

Professional

Services

—

0.7%

(c)

AMN

Healthcare,

Inc.

4.63%,

10/01/27

.................

25

23,173

4.00%,

04/15/29

.................

73

64,605

CoreLogic,

Inc.,

4.50%,

05/01/28

.......

48

36,420

Dun

&

Bradstreet

Corp.

(The),

5.00%,

12/15/29

100

86,587

Korn

Ferry,

4.63%,

12/15/27

..........

87

82,215

293,000

Real

Estate

Management

&

Development

—

0.7%

(c)

Cushman

&

Wakefield

US

Borrower

LLC,

6.75%,

05/15/28

................

154

137,872

Howard

Hughes

Corp.

(The)

5.38%,

08/01/28

.................

65

59,190

4.38%,

02/01/31

.................

44

35,420

Realogy

Group

LLC,

5.75%,

01/15/29

....

93

69,607

302,089

Retail

REITs

—

0.1%

Brookfield

Property

REIT,

Inc.,

4.50%,

04/01/27

(c)

....................

43

34,507

Semiconductors

&

Semiconductor

Equipment

—

0.9%

(c)

Entegris

Escrow

Corp.,

4.75%,

04/15/29

...

278

262,822

Entegris,

Inc.

4.38%,

04/15/28

.................

44

39,751

3.63%,

05/01/29

.................

28

24,168

Synaptics,

Inc.,

4.00%,

06/15/29

........

68

58,557

385,298

Software

—

6.6%

Alteryx,

Inc.,

8.75%,

03/15/28

(c)

........

51

51,330

AthenaHealth

Group,

Inc.,

6.50%,

02/15/30

(c)

219

177,578

Black

Knight

InfoServ

LLC,

3.63%,

09/01/28

(c)

96

87,240

Boxer

Parent

Co.,

Inc.

(c)

7.13%,

10/02/25

.................

53

52,747

9.13%,

03/01/26

.................

66

64,002

Camelot

Finance

SA,

4.50%,

11/01/26

(c)

...

31

29,295

Central

Parent,

Inc.,

7.25%,

06/15/29

(c)

....

106

104,185

Clarivate

Science

Holdings

Corp.

(c)

3.88%,

07/01/28

.................

361

322,181

4.88%,

07/01/29

.................

196

177,257

Cloud

Software

Group

Holdings,

Inc.,

6.50%,

03/31/29

(c)

....................

617

545,801

Consensus

Cloud

Solutions,

Inc.

(c)

6.00%,

10/15/26

.................

17

14,769

6.50%,

10/15/28

.................

15

12,439

Crowdstrike

Holdings,

Inc.,

3.00%,

02/15/29

5

4,364

Elastic

NV,

4.13%,

07/15/29

(c)

.........

151

128,916

Fair

Isaac

Corp.,

4.00%,

06/15/28

(c)

......

119

110,372

Gen

Digital,

Inc.,

6.75%,

09/30/27

(c)

......

68

68,354

McAfee

Corp.,

7.38%,

02/15/30

(c)

.......

185

155,121

MicroStrategy,

Inc.,

6.13%,

06/15/28

(c)

....

65

57,688

NCR

Corp.,

6.13%,

09/01/29

(c)

.........

45

44,385

Open

Text

Corp.,

6.90%,

12/01/27

(c)

......

181

186,720

BlackRock

Sustainable

High

Yield

Bond

Fund

Schedules

of

Investments

17

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Software

(continued)

PTC,

Inc.

(c)

3.63%,

02/15/25

.................

USD

49

$

47,257

4.00%,

02/15/28

.................

33

30,837

SS&C

Technologies,

Inc.,

5.50%,

09/30/27

(c)

102

98,970

Veritas

US,

Inc.,

7.50%,

09/01/25

(c)

......

75

56,457

ZoomInfo

Technologies

LLC,

3.88%,

02/01/29

(c)

244

211,237

2,839,502

Specialized

REITs

—

0.7%

Iron

Mountain,

Inc.

(c)

5.00%,

07/15/28

.................

5

4,653

5.25%,

07/15/30

.................

6

5,410

5.63%,

07/15/32

.................

33

30,147

SBA

Communications

Corp.

3.88%,

02/15/27

.................

175

165,206

3.13%,

02/01/29

.................

95

82,644

288,060

Specialty

Retail

—

1.8%

(c)

Arko

Corp.,

5.13%,

11/15/29

..........

49

40,557

Asbury

Automotive

Group,

Inc.,

5.00%,

02/15/32

.....................

40

35,040

GYP

Holdings

III

Corp.,

4.63%,

05/01/29

...

117

100,035

Lithia

Motors,

Inc.,

3.88%,

06/01/29

......

43

37,195

PetSmart,

Inc.,

7.75%,

02/15/29

........

250

245,403

Specialty

Building

Products

Holdings

LLC,

6.38%,

09/30/26

................

14

12,866

SRS

Distribution,

Inc.

4.63%,

07/01/28

.................

96

85,257

6.13%,

07/01/29

.................

91

76,778

6.00%,

12/01/29

.................

81

66,879

Staples,

Inc.,

7.50%,

04/15/26

.........

72

63,081

763,091

Textiles,

Apparel

&

Luxury

Goods

—

0.9%

(c)

Crocs,

Inc.

4.25%,

03/15/29

.................

48

42,102

4.13%,

08/15/31

.................

55

45,315

Hanesbrands,

Inc.,

9.00%,

02/15/31

.....

74

75,757

Kontoor

Brands,

Inc.,

4.13%,

11/15/29

....

30

25,746

Levi

Strauss

&

Co.,

3.50%,

03/01/31

.....

132

112,530

William

Carter

Co.

(The),

5.63%,

03/15/27

..

94

91,364

392,814

Trading

Companies

&

Distributors

—

1.9%

(c)

Beacon

Roofing

Supply,

Inc.,

4.13%,

05/15/29

25

22,059

Boise

Cascade

Co.,

4.88%,

07/01/30

.....

61

53,918

Foundation

Building

Materials,

Inc.,

6.00%,

03/01/29

.....................

23

18,230

Herc

Holdings,

Inc.,

5.50%,

07/15/27

.....

78

75,270

Imola

Merger

Corp.,

4.75%,

05/15/29

.....

107

95,721

United

Rentals

North

America,

Inc.,

6.00%,

12/15/29

.....................

307

311,228

WESCO

Distribution,

Inc.,

7.25%,

06/15/28

.

226

232,057

808,483

Wireless

Telecommunication

Services

—

1.3%

(c)

Connect

Finco

SARL,

6.75%,

10/01/26

....

333

313,020

Vmed

O2

UK

Financing

I

plc,

4.75%,

07/15/31

296

253,737

566,757

Total

Corporate

Bonds

—

88.9%

(Cost:

$41,681,095)

..............................

38,225,790

Security

Par

(000)

Par

(000)

Value

Floating

Rate

Loan

Interests

Chemicals

—

0.1%

(d)

Aruba

Investments

Holdings

LLC,

2nd

Lien

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

7.75%),

12.59%

,

 11/24/28

.....

USD

12

$

10,829

WR

Grace

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.50%

Floor

+

3.75%),

8.94%

,

 09/22/28

.................

25

25,143

35,972

Commercial

Services

&

Supplies

—

0.2%

PECF

USS

Intermediate

Holding

III

Corp.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

4.25%),

9.09%

,

 12/15/28

(d)

..........

131

110,072

Containers

&

Packaging

—

0.1%

Mauser

Packaging

Solutions

Holding

Co.,

Term

Loan,

(1-mo.

CME

Term

SOFR

+

4.00%),

8.78%

,

 08/14/26

(d)

................

30

29,711

Diversified

Consumer

Services

—

0.1%

Ascend

Learning

LLC,

2nd

Lien

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

5.75%),

10.66%

,

 12/10/29

(d)

..........

29

24,891

Diversified

Telecommunication

Services

—

1.2%

(d)

Cablevision

Lightpath

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.25%),

7.93%

,

 11/30/27

.................

98

97,278

Frontier

Communications

Holdings

LLC,

Term

Loan

B,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.63%

,

 05/01/28

..........

104

98,239

Radiate

Holdco

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.09%

,

 09/25/26

.................

201

164,109

Zayo

Group

Holdings,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.00%),

7.84%

,

 03/09/27

.

175

142,044

501,670

Financial

Services

—

0.4%

Altice

France

SA,

Term

Loan

B14,

(3-mo.

CME

Term

SOFR

+

5.50%),

10.17%

,

 08/15/28

(d)(i)

187

177,663

Food

Products

—

0.0%

Chobani

LLC,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

1.00%

Floor

+

3.50%),

8.42%

,

 10/25/27

(d)(i)

...............

7

6,486

Health

Care

Equipment

&

Supplies

—

0.0%

Bausch

+

Lomb

Corp.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.46%

,

 05/10/27

(d)

................

3

2,795

Health

Care

Providers

&

Services

—

0.0%

Surgery

Center

Holdings,

Inc.,

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

3.75%),

8.46%

,

 08/31/26

(d)

................

18

17,848

Health

Care

Technology

—

1.6%

(d)

Athenahealth

Group,

Inc.,

Delayed

Draw

Term

Loan,

02/15/29

(j)

.................

40

37,424

Athenahealth

Group,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.26%

,

 02/15/29

.................

326

304,635

Verscend

Holding

Corp.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

+

4.00%),

8.84%

,

 08/27/25

.

336

335,540

677,599

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

18

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

—

0.5%

(d)

Fertitta

Entertainment

LLC,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.00%),

8.81%

,

 01/27/29

...........

USD

172

$

169,021

IRB

Holding

Corp.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.75%

Floor

+

3.00%),

7.91%

,

 12/15/27

.................

35

34,359

203,380

Household

Durables

—

0.1%

SWF

Holdings

I

Corp.,

1st

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.75%

Floor

+

4.00%),

8.75%

,

 10/06/28

(d)

................

72

60,586

Insurance

—

0.8%

(d)

Alliant

Holdings

Intermediate

LLC,

Term

Loan

B4,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.28%

,

 11/05/27

............

23

22,499

Alliant

Holdings

Intermediate

LLC,

Term

Loan

B5,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.35%

,

 11/05/27

..........

50

48,872

AssuredPartners,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 02/12/27

.................

98

96,930

Hub

International

Ltd.,

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.75%

Floor

+

4.00%),

8.73%

,

 11/10/29

.................

43

43,015

Hub

International

Ltd.,

Term

Loan

B3,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

3.25%),

8.06%

,

 04/25/25

.................

147

146,862

358,178

Media

—

1.2%

(d)

Clear

Channel

Outdoor

Holdings,

Inc.,

Term

Loan

B,

(3-mo.

CME

Term

SOFR

+

3.50%),

8.33%

,

 08/21/26

.................

357

331,477

DirecTV

Financing

LLC,

Term

Loan,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

5.00%),

9.84%

,

 08/02/27

.................

173

165,995

497,472

Passenger

Airlines

—

0.0%

(d)

AAdvantage

Loyalty

IP

Ltd.,

Term

Loan,

(3-mo.

LIBOR

USD

at

0.75%

Floor

+

4.75%),

9.56%

,

 04/20/28

.................

5

5,476

Mileage

Plus

Holdings

LLC,

Term

Loan,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

5.25%),

10.21%

,

 06/21/27

................

7

7,173

12,649

Professional

Services

—

0.3%

(d)

Dun

&

Bradstreet

Corp.

(The),

Term

Loan,

(1-

mo.

LIBOR

USD

+

3.25%),

8.10%

,

 02/06/26

89

88,354

Dun

&

Bradstreet

Corp.

(The),

Term

Loan

B2,

(1-mo.

CME

Term

SOFR

+

3.25%),

8.04%

,

 01/18/29

.................

43

42,229

130,583

Software

—

1.5%

(d)

Banff

Guarantor,

Inc.,

2nd

Lien

Term

Loan,

(1-

mo.

LIBOR

USD

at

0.50%

Floor

+

5.50%),

10.34%

,

 02/27/26

................

96

92,100

Boxer

Parent

Co.,

Inc.,

Term

Loan,

(1-mo.

LIBOR

USD

+

3.75%),

8.59%

,

 10/02/25

.

157

155,106

Central

Parent,

Inc.,

1st

Lien

Term

Loan,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.25%),

9.15%

,

 07/06/29

.................

36

35,751

Security

Par

(000)

Par

(000)

Value

Software

(continued)

Cloud

Software

Group,

Inc.,

1st

Lien

Term

Loan

B,

(3-mo.

CME

Term

SOFR

at

0.50%

Floor

+

4.50%),

9.50%

,

 03/30/29

...........

USD

182

$

165,014

McAfee

Corp.,

Term

Loan

B1,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.52%

,

 03/01/29

.................

82

76,824

Sabre

GLBL,

Inc.,

Term

Loan

B1,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 12/17/27

.................

6

5,293

Sabre

GLBL,

Inc.,

Term

Loan

B2,

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%

,

 12/17/27

.................

10

8,476

SS&C

Technologies

Holdings,

Inc.,

Term

Loan

B5,

(1-mo.

LIBOR

USD

+

1.75%),

6.59%

,

 04/16/25

.................

95

94,667

633,231

Textiles,

Apparel

&

Luxury

Goods

—

0.2%

(d)

Crocs,

Inc.,

Term

Loan,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.50%),

8.41%

,

 02/20/29

.................

61

60,285

Hanesbrands,

Inc.,

Term

Loan

B,

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.75%),

8.56%

,

 03/08/30

(i)

................

30

29,850

90,135

Trading

Companies

&

Distributors

—

0.3%

SRS

Distribution,

Inc.,

Term

Loan

(d)

(1-mo.

CME

Term

SOFR

at

0.50%

Floor

+

3.25%),

8.16%, 06/02/28

.........

36

35,107

(1-mo.

LIBOR

USD

at

0.50%

Floor

+

3.50%),

8.34%, 06/02/28

.........

99

95,879

130,986

Total

Floating

Rate

Loan

Interests

—

8.6%

(Cost:

$3,879,938)

..............................

3,701,907

Preferred

Securities

Capital

Trusts

—

0.1%

Independent

Power

and

Renewable

Electricity

Producers

—

0.1%

Vistra

Corp.,

(5-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

5.74%),

7.00%

(b)(c)(d)(f)

....................

57

50,160

Total

Preferred

Securities

—

0.1%

(Cost:

$57,000)

................................

50,160

Total

Long-Term

Investments

—

97.8%

(Cost:

$45,753,199)

..............................

42,072,600

BlackRock

Sustainable

High

Yield

Bond

Fund

Schedules

of

Investments

19

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

Security

Shares

Shares

Value

Short-Term

Securities

Money

Market

Funds

—

1.6%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(k)(l)

..................

674,502

$

674,502

Total

Short-Term

Securities

—

1.6%

(Cost:

$674,502)

................................

674,502

Total

Options

Purchased

—

0.0%

(Cost:

$21,476)

................................

7,986

Total

Investments

Before

Options

Written

—

99.4%

(Cost:

$46,449,177

)

..............................

42,755,088

Total

Options

Written

—

(0.0)%

(Premium

Received

—

$(9,699))

.....................

(1,672)

Total

Investments

Net

of

Options

Written

—

99.4%

(Cost:

$46,439,478

)

..............................

42,753,416

Other

Assets

Less

Liabilities

—

0.6%

...................

238,203

Net

Assets

—

100.0%

..............................

$

42,991,619

(a)

All

or

a

portion

of

the

security

has

been

pledged

and/or

segregated

as

collateral

in

connection

with

outstanding

exchange-traded

options

written.

(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)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(e)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(f)

Perpetual

security

with

no

stated

maturity

date.

(g)

Convertible

security.

(h)

Zero-coupon

bond.

(i)

Security

is

valued

using

significant

unobservable

inputs

and

is

classified

as

Level

3

in

the

fair

value

hierarchy.

(j)

Represents

an

unsettled

loan

commitment

at

period

end.

Certain

details

associated

with

this

purchase

are

not

known

prior

to

the

settlement

date,

including

coupon

rate.

(k)

Annualized

7-day

yield

as

of

period

end.

(l)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

1,002,589

$

—

$

(328,087)

(a)

$

—

$

—

$

674,502

674,502

$

23,322

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

20

Schedule

of

Investments

(unaudited)

(continued)

March

31

,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

Derivative

Financial

Instruments

Outstanding

as

of

Period

End

Futures

Contracts

Description

Number

of

Contracts

Expiration

Date

Notional

Amount

(000)

Value/

Unrealized

Appreciation

(Depreciation)

Short

Contracts

S&P

500

E-Mini

Index

.......................................................

2

06/16/23

$

414

$

(24,299)

U.S.

Treasury

10

Year

Note

...................................................

1

06/21/23

115

(3,242)

$

(27,541)

Exchange-Traded

Options

Purchased

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

.........................

6

04/14/23

USD

292.00

USD

193

$

216

iShares

Russell

2000

ETF

......................

9

04/21/23

USD

185.00

USD

161

6,611

SPDR

S&P

500

ETF

Trust

......................

19

04/21/23

USD

376.00

USD

778

1,159

$

7,986

Exchange-Traded

Options

Written

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

Invesco

QQQ

Trust

1

..........................

6

04/14/23

USD

270.00

USD

193

$

(51)

iShares

Russell

2000

ETF

.......................

9

04/21/23

USD

170.00

USD

161

(1,098)

SPDR

S&P

500

ETF

Trust

.......................

19

04/21/23

USD

360.00

USD

778

(523)

$

(1,672)

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Options

Written

...................................................

N/A

N/A

8,027

—

(1,672)

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Options

purchased

Investments

at

value

—

unaffiliated

(a)

............

$

—

$

—

$

7,986

$

—

$

—

$

—

$

7,986

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(b)

......

$

—

$

—

$

24,299

$

—

$

3,242

$

—

$

27,541

Options

written

Options

written

at

value

.....................

—

—

1,672

—

—

—

1,672

$

—

$

—

$

25,971

$

—

$

3,242

$

—

$

29,213

BlackRock

Sustainable

High

Yield

Bond

Fund

Schedules

of

Investments

21

Schedule

of

Investments

(unaudited)

(continued)

March

31

,

2023

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.

(a)

Includes

options

purchased

at

value

as

reported

in

the

Schedule

of

Investments.

(b)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts,

if

any,

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

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

8,738

$

—

$

13,559

$

—

$

22,297

Options

purchased

(a)

....................

—

—

(27,078)

—

—

—

(27,078)

Options

written

........................

—

—

12,837

—

—

—

12,837

$

—

$

—

$

(5,503)

$

—

$

13,559

$

—

$

8,056

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

(24,299)

$

—

$

(14,146)

$

—

$

(38,445)

Options

purchased

(b)

....................

—

—

(13,490)

—

—

—

(13,490)

Options

written

........................

—

—

8,027

—

—

—

8,027

$

—

$

—

$

(29,762)

$

—

$

(14,146)

$

—

$

(43,908)

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

short

.................................................................................

$

376,560

Options

Average

value

of

option

contracts

purchased

................................................................................

$

14,502

Average

value

of

option

contracts

written

...................................................................................

$

3,164

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Common

Stocks

.........................................

$

94,743

$

—

$

—

$

94,743

Corporate

Bonds

........................................

—

38,225,790

—

38,225,790

Floating

Rate

Loan

Interests

Chemicals

............................................

—

35,972

—

35,972

Commercial

Services

&

Supplies

.............................

—

110,072

—

110,072

Containers

&

Packaging

..................................

—

29,711

—

29,711

Diversified

Consumer

Services

..............................

—

24,891

—

24,891

Diversified

Telecommunication

Services

........................

—

501,670

—

501,670

Financial

Services

......................................

—

—

177,663

177,663

Food

Products

.........................................

—

—

6,486

6,486

Health

Care

Equipment

&

Supplies

...........................

—

2,795

—

2,795

Health

Care

Providers

&

Services

............................

—

17,848

—

17,848

Health

Care

Technology

..................................

—

677,599

—

677,599

Hotels,

Restaurants

&

Leisure

..............................

—

203,380

—

203,380

Household

Durables

.....................................

—

60,586

—

60,586

Insurance

............................................

—

358,178

—

358,178

Media

...............................................

—

497,472

—

497,472

Passenger

Airlines

......................................

—

12,649

—

12,649

Professional

Services

....................................

—

130,583

—

130,583

Software

.............................................

—

633,231

—

633,231

Textiles,

Apparel

&

Luxury

Goods

............................

—

60,285

29,850

90,135

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

High

Yield

Bond

Fund

22

Schedule

of

Investments

(unaudited)

(continued)

March

31

,

2023

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Trading

Companies

&

Distributors

............................

$

—

$

130,986

$

—

$

130,986

Capital

Trusts

...........................................

—

50,160

—

50,160

Short-Term

Securities

Money

Market

Funds

......................................

674,502

—

—

674,502

Options

Purchased

Equity

contracts

..........................................

7,986

—

—

7,986

$

777,231

$

41,763,858

$

213,999

$

42,755,088

Derivative

Financial

Instruments

(a)

Liabilities

Equity

contracts

...........................................

$

(25,971)

$

—

$

—

$

(25,971)

Interest

rate

contracts

.......................................

(3,242)

—

—

(3,242)

$

(29,213)

$

—

$

—

$

(29,213)

(a)

Derivative

financial

instruments

are

futures

contracts

and

options

written.

Futures

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

Fair

Value

Hierarchy

as

of Period

End

(continued)

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

23

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

AGL

Core

CLO

4

Ltd.,

Series

2020-4A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/33

(a)(b)

.........

USD

250

$

245,996

AIG

CLO

LLC,

Series

2018-1A,

Class

A1R,

(3-

mo.

LIBOR

USD

at

1.12%

Floor

+

1.12%),

5.93%,

04/20/32

(a)(b)

...............

250

246,269

Anchorage

Capital

CLO

3-R

Ltd.,

Series

2014-

3RA,

Class

A,

(3-mo.

LIBOR

USD

at

1.05%

Floor

+

1.05%),

5.85%,

01/28/31

(a)(b)

....

245

241,506

Arbor

Realty

Commercial

Real

Estate

Notes

Ltd.,

Series

2022-FL2,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.85%

Floor

+

1.85%),

6.68%,

05/15/37

(a)(b)

...............

100

98,250

Ares

LVI

CLO

Ltd.,

Series

2020-56A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.16%

Floor

+

1.16%),

5.98%,

10/25/34

(a)(b)

.........

250

243,605

BA

Credit

Card

Trust

Series

2022-A1,

Class

A1,

3.53%,

11/15/27

59

57,647

Series

2022-A2,

Class

A2,

5.00%,

04/15/28

218

220,620

Barings

CLO

Ltd.,

Series

2019-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/31

(a)(b)

.........

250

246,236

Beechwood

Park

CLO

Ltd.,

Series

2019-1A,

Class

A1R,

(3-mo.

CME

Term

SOFR

at

1.30%

Floor

+

1.30%),

5.96%,

01/17/35

(a)(b)

250

241,669

BlueMountain

CLO

XXII

Ltd.,

Series

2018-22A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.08%

Floor

+

1.08%),

5.87%,

07/15/31

(a)(b)

....

250

246,319

BMW

Vehicle

Owner

Trust,

Series

2022-A,

Class

A3,

3.21%,

08/25/26

..........

237

231,583

Capital

One

Multi-Asset

Execution

Trust

Series

2022-A2,

Class

A,

3.49%,

05/15/27

34

33,201

Series

2022-A3,

Class

A,

4.95%,

10/15/27

64

64,661

CIFC

Funding

Ltd.,

Series

2021-5A,

Class

A,

(3-mo.

LIBOR

USD

at

1.14%

Floor

+

1.14%),

5.93%,

07/15/34

(a)(b)

.........

250

244,213

College

Avenue

Student

Loans

LLC,

Series

2021-C,

Class

A1,

(1-mo.

LIBOR

USD

+

0.90%),

5.75%,

07/26/55

(a)(b)

.........

83

79,418

Discover

Card

Execution

Note

Trust,

Series

2022-A3,

Class

A3,

3.56%,

07/15/27

....

30

29,312

Enterprise

Fleet

Financing

LLC

(b)

Series

2022-4,

Class

A2,

5.76%,

10/22/29

220

221,510

Series

2023-1,

Class

A2,

5.51%,

01/22/29

90

90,183

Ford

Credit

Auto

Owner

Trust

Series

2022-B,

Class

A4,

3.93%,

08/15/27

44

43,298

Series

2023-1,

Class

A,

4.85%,

08/15/35

(b)

145

145,341

Series

2023-A,

Class

A3,

4.65%,

02/15/28

50

49,995

FS

Rialto

Issuer

LLC,

Series

2022-FL5,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.30%

Floor

+

2.30%),

6.99%,

06/19/37

(a)(b)

.........

100

100,190

GM

Financial

Consumer

Automobile

Receivables

Trust,

Series

2022-3,

Class

A3,

3.64%,

04/16/27

.................

54

52,920

GoodLeap

Sustainable

Home

Solutions

Trust

(b)

Series

2021-3CS,

Class

A,

2.10%,

05/20/48

160

126,252

Series

2021-5CS,

Class

A,

2.31%,

10/20/48

82

64,804

Series

2022-1GS,

Class

A,

2.70%,

01/20/49

45

36,588

Series

2022-2CS,

Class

A,

4.00%,

04/20/49

23

21,055

Series

2022-3CS,

Class

A,

4.95%,

07/20/49

56

53,359

Honda

Auto

Receivables

Owner

Trust,

Series

2023-1,

Class

A3,

5.04%,

04/21/27

.....

110

110,814

Hyundai

Auto

Receivables

Trust

Series

2022-B,

Class

A3,

3.72%,

11/16/26

55

54,047

Series

2022-C,

Class

A3,

5.39%,

06/15/27

53

53,637

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Loanpal

Solar

Loan

Ltd.,

Series

2021-1GS,

Class

A,

2.29%,

01/20/48

(b)

..........

USD

135

$

106,208

Madison

Park

Funding

XXXVII

Ltd.,

Series

2019-37A,

Class

AR,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.86%,

07/15/33

(a)(b)

250

245,927

MF1

Multifamily

Housing

Mortgage

Loan

Trust,

Series

2022-FL8,

Class

A,

(SOFR

30

Day

Average

at

1.35%

Floor

+

1.35%),

5.91%,

02/19/37

(a)(b)

....................

100

97,202

Mosaic

Solar

Loan

Trust

(b)

Series

2021-1A,

Class

A,

1.51%,

12/20/46

95

79,235

Series

2022-1A,

Class

A,

2.64%,

01/20/53

88

76,948

Mosaic

Solar

Loans

LLC,

Series

2017-2A,

Class

C,

2.00%,

06/22/43

(b)

..........

17

16,802

Navient

Private

Education

Refi

Loan

Trust

(b)

Series

2020-CA,

Class

A2B,

(1-mo.

LIBOR

USD

+

1.60%),

6.28%,

11/15/68

(a)

...

206

204,033

Series

2021-CA,

Class

A,

1.06%,

10/15/69

124

108,039

Series

2021-GA,

Class

A,

1.58%,

04/15/70

99

86,628

Series

2022-A,

Class

A,

2.23%,

07/15/70

.

129

115,727

Series

2022-BA,

Class

A,

4.16%,

10/15/70

112

107,934

Nelnet

Student

Loan

Trust,

Series

2021-DA,

Class

AFX,

1.63%,

04/20/62

(b)

........

105

95,469

Neuberger

Berman

Loan

Advisers

CLO

26

Ltd.,

Series

2017-26A,

Class

AR,

(3-mo.

LIBOR

USD

at

0.92%

Floor

+

0.92%),

5.71%,

10/18/30

(a)(b)

....................

250

247,526

Octagon

Investment

Partners

XV

Ltd.,

Series

2013-1A,

Class

A1RR,

(3-mo.

LIBOR

USD

at

0.97%

Floor

+

0.97%),

5.77%,

07/19/30

(a)

(b)

...........................

242

239,244

OneMain

Financial

Issuance

Trust,

Series

2022-S1,

Class

A,

4.13%,

05/14/35

(b)

...

120

115,909

Oportun

Issuance

Trust,

Series

2021-C,

Class

A,

2.18%,

10/08/31

(b)

..............

100

90,039

Palmer

Square

CLO

Ltd.,

Series

2013-2A,

Class

A1A3,

(3-mo.

LIBOR

USD

at

1.00%

Floor

+

1.00%),

5.80%,

10/17/31

(a)(b)

....

250

246,878

PFS

Financing

Corp.,

Series

2023-A,

Class

A,

5.80%,

03/15/28

(b)

................

125

127,058

Prodigy

Finance

DAC,

Series

2021-1A,

Class

A,

(1-mo.

LIBOR

USD

+

1.25%),

6.10%,

07/25/51

(a)(b)

....................

95

92,427

Romark

CLO

II

Ltd.,

Series

2018-2A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.18%

Floor

+

1.18%),

5.99%,

07/25/31

(a)(b)

.........

250

246,580

SMB

Private

Education

Loan

Trust

(a)(b)

Series

2022-B,

Class

A1B,

(SOFR

30

Day

Average

+

1.45%),

6.01%,

02/16/55

..

171

168,461

Series

2022-C,

Class

A1B,

(SOFR

30

Day

Average

at

1.85%

Floor

+

1.85%),

6.41%,

05/16/50

....................

86

85,432

SoFi

Professional

Loan

Program

LLC

(b)

Series

2019-A,

Class

A2FX,

3.69%,

06/15/48

....................

152

146,192

Series

2019-B,

Class

A2FX,

3.09%,

08/17/48

....................

37

34,962

SoFi

Professional

Loan

Program

Trust

(b)

Series

2020-A,

Class

A2FX,

2.54%,

05/15/46

....................

64

60,055

Series

2021-B,

Class

AFX,

1.14%,

02/15/47

118

98,278

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Low

Duration

Bond

Fund

24

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Asset-Backed

Securities

(continued)

Sunnova

Sol

IV

Issuer

LLC,

Series

2022-A,

Class

A,

2.79%,

02/22/49

(b)

..........

USD

93

$

80,413

Total

Asset-Backed

Securities

—

16.0%

(Cost:

$7,682,729)

..............................

7,414,104

Corporate

Bonds

Aerospace

&

Defense

—

0.3%

(b)

Bombardier,

Inc.

7.13%,

06/15/26

.................

18

18,065

7.88%,

04/15/27

.................

15

15,185

7.50%,

02/01/29

.................

6

6,129

TransDigm,

Inc.

8.00%,

12/15/25

.................

9

9,169

6.25%,

03/15/26

.................

65

65,059

6.75%,

08/15/28

.................

30

30,300

143,907

Automobile

Components

—

0.2%

Clarios

Global

LP,

6.25%,

05/15/26

(b)

.....

65

64,837

Goodyear

Tire

&

Rubber

Co.

(The),

9.50%,

05/31/25

.....................

8

8,221

73,058

Automobiles

—

0.3%

Nissan

Motor

Acceptance

Co.

LLC,

2.00%,

03/09/26

(b)

....................

165

146,229

Banks

—

6.9%

Banco

Bilbao

Vizcaya

Argentaria

SA,

0.38%,

10/02/24

(c)

....................

EUR

100

103,101

Bank

of

America

Corp.

(a)

(1-Day

SOFR

+

1.46%),

1.49%,

05/19/24

USD

100

99,445

(1-Day

SOFR

+

0.91%),

0.98%,

09/25/25

200

186,618

(3-mo.

LIBOR

USD

+

0.87%),

2.46%,

10/22/25

....................

200

190,390

(1-Day

SOFR

+

0.65%),

1.53%,

12/06/25

240

224,383

Bank

of

Montreal,

5.20%,

12/12/24

......

115

115,144

BNP

Paribas

SA,

(3-mo.

EURIBOR

+

0.80%),

0.38%,

10/14/27

(a)(c)

..............

EUR

100

94,854

CaixaBank

SA,

(3-mo.

EURIBOR

+

0.85%),

0.38%,

11/18/26

(a)(c)

..............

100

97,608

Citigroup,

Inc.

(a)

(1-Day

SOFR

+

0.53%),

1.28%,

11/03/25

USD

35

32,693

(1-Day

SOFR

+

1.53%),

3.29%,

03/17/26

60

57,491

(1-Day

SOFR

+

1.55%),

5.61%,

09/29/26

110

110,820

(1-Day

SOFR

+

0.77%),

1.46%,

06/09/27

60

53,272

HSBC

Holdings

plc

(a)

(1-Day

SOFR

+

1.40%),

2.63%,

11/07/25

200

189,232

(1-Day

SOFR

+

1.93%),

2.10%,

06/04/26

200

183,656

HSBC

USA,

Inc.,

5.63%,

03/17/25

......

200

200,376

Intesa

Sanpaolo

SpA,

1.50%,

04/10/24

(c)

...

EUR

100

105,902

JPMorgan

Chase

&

Co.

(a)

(3-mo.

LIBOR

USD

+

0.89%),

3.80%,

07/23/24

....................

USD

49

48,746

(1-Day

SOFR

+

0.49%),

0.77%,

08/09/25

200

187,780

(1-Day

SOFR

+

1.85%),

2.08%,

04/22/26

102

95,445

(3-mo.

LIBOR

USD

+

1.34%),

3.78%,

02/01/28

....................

215

205,573

Lloyds

Banking

Group

plc,

(1-Year

EUR

Swap

Annual

+

0.85%),

0.50%,

11/12/25

(a)(c)

...

EUR

100

102,652

NatWest

Group

plc,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

2.15%),

2.36%,

05/22/24

(a)

..........

USD

200

198,952

Royal

Bank

of

Canada,

6.00%,

11/01/27

...

56

58,415

Societe

Generale

SA,

(3-mo.

EURIBOR

+

1.28%),

0.88%,

09/22/28

(a)(c)

.........

EUR

100

92,974

Security

Par

(000)

Par

(000)

Value

Banks

(continued)

Toronto-Dominion

Bank

(The),

1.25%,

12/13/24

USD

150

$

140,815

3,176,337

Beverages

—

0.3%

Anheuser-Busch

InBev

Worldwide,

Inc.,

4.00%,

04/13/28

.....................

150

148,293

Biotechnology

—

1.7%

AbbVie,

Inc.,

1.25%,

06/01/24

.........

EUR

100

105,616

Amgen,

Inc.,

5.15%,

03/02/28

.........

USD

230

234,835

Gilead

Sciences,

Inc.

3.70%,

04/01/24

.................

385

380,470

2.95%,

03/01/27

.................

50

47,574

768,495

Broadline

Retail

—

0.1%

(b)

Go

Daddy

Operating

Co.

LLC,

3.50%,

03/01/29

8

6,917

Match

Group

Holdings

II

LLC,

4.63%,

06/01/28

19

17,646

24,563

Building

Products

—

0.1%

Advanced

Drainage

Systems,

Inc.,

5.00%,

09/30/27

(b)

....................

8

7,603

Carrier

Global

Corp.,

2.24%,

02/15/25

....

36

34,349

Standard

Industries,

Inc.,

4.75%,

01/15/28

(b)

20

18,683

60,635

Capital

Markets

—

4.6%

Charles

Schwab

Corp.

(The)

0.90%,

03/11/26

.................

150

131,509

3.30%,

04/01/27

.................

100

92,388

Credit

Suisse

AG,

Series

FXD,

0.52%,

08/09/23

250

242,812

Deutsche

Bank

AG

Series

E,

0.96%,

11/08/23

..........

375

358,033

(1-Day

SOFR

+

2.58%),

3.96%,

11/26/25

(a)

150

141,914

Goldman

Sachs

Group,

Inc.

(The)

(a)

(1-Day

SOFR

+

1.51%),

4.39%,

06/15/27

155

151,413

(1-Day

SOFR

+

1.11%),

2.64%,

02/24/28

95

86,653

Morgan

Stanley

(a)

(1-Day

SOFR

+

0.47%),

5.37%,

11/10/23

200

199,525

(1-Day

SOFR

+

0.53%),

0.79%,

05/30/25

45

42,596

(1-Day

SOFR

+

0.56%),

1.16%,

10/21/25

275

256,810

(3-mo.

EURIBOR

+

0.83%),

1.34%,

10/23/26

....................

EUR

100

101,522

(1-Day

SOFR

+

1.73%),

5.12%,

02/01/29

USD

50

50,397

MSCI,

Inc.,

3.63%,

09/01/30

(b)

.........

5

4,347

State

Street

Corp.,

(1-Day

SOFR

+

1.35%),

5.75%,

11/04/26

(a)

...............

70

71,336

UBS

Group

AG,

(1-Year

US

Treasury

Yield

Curve

Rate

T

Note

Constant

Maturity

+

0.85%),

1.49%,

08/10/27

(a)(b)

.........

200

172,211

2,103,466

Chemicals

—

0.1%

Element

Solutions,

Inc.,

3.88%,

09/01/28

(b)

.

45

39,494

HB

Fuller

Co.,

4.00%,

02/15/27

........

13

11,882

WR

Grace

Holdings

LLC,

5.63%,

08/15/29

(b)

13

11,018

62,394

Commercial

Services

&

Supplies

—

0.5%

ADT

Security

Corp.

(The),

4.13%,

08/01/29

(b)

8

7,134

Allied

Universal

Holdco

LLC,

6.63%,

07/15/26

(b)

21

20,181

APX

Group,

Inc.,

6.75%,

02/15/27

(b)

......

8

7,960

Aramark

Services,

Inc.

(b)

6.38%,

05/01/25

.................

9

9,066

5.00%,

02/01/28

.................

17

16,090

Garda

World

Security

Corp.

(b)

4.63%,

02/15/27

.................

5

4,488

7.75%,

02/15/28

.................

4

3,943

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

25

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Commercial

Services

&

Supplies

(continued)

GFL

Environmental,

Inc.

(b)

5.13%,

12/15/26

.................

USD

14

$

13,689

4.00%,

08/01/28

.................

7

6,360

Legends

Hospitality

Holding

Co.

LLC,

5.00%,

02/01/26

(b)

....................

6

5,369

Neptune

Bidco

US,

Inc.,

9.29%,

04/15/29

(b)

.

2

1,854

Prime

Security

Services

Borrower

LLC,

6.25%,

01/15/28

(b)

....................

12

11,220

Republic

Services,

Inc.,

3.38%,

11/15/27

...

150

143,179

250,533

Communications

Equipment

—

0.1%

(b)

CommScope

Technologies

LLC,

6.00%,

06/15/25

.....................

8

7,534

CommScope,

Inc.,

6.00%,

03/01/26

......

21

20,267

Viasat,

Inc.,

5.63%,

04/15/27

..........

15

14,085

Viavi

Solutions,

Inc.,

3.75%,

10/01/29

....

17

14,538

56,424

Consumer

Finance

—

1.5%

American

Express

Co.,

2.55%,

03/04/27

...

190

175,389

General

Motors

Financial

Co.,

Inc.

3.50%,

11/07/24

.................

100

97,419

6.05%,

10/10/25

.................

100

101,633

John

Deere

Capital

Corp.,

0.70%,

01/15/26

.

100

90,753

OneMain

Finance

Corp.

6.88%,

03/15/25

.................

2

1,938

7.13%,

03/15/26

.................

12

11,535

SLM

Corp.,

3.13%,

11/02/26

..........

7

5,950

Synchrony

Financial,

4.88%,

06/13/25

....

125

115,711

Toyota

Motor

Credit

Corp.,

5.40%,

11/10/25

.

100

102,576

702,904

Consumer

Staples

Distribution

&

Retail

—

0.1%

(b)

Albertsons

Cos.,

Inc.

3.25%,

03/15/26

.................

6

5,646

5.88%,

02/15/28

.................

34

33,791

6.50%,

02/15/28

.................

3

3,008

United

Natural

Foods,

Inc.,

6.75%,

10/15/28

6

5,576

US

Foods,

Inc.

6.25%,

04/15/25

.................

13

13,117

4.75%,

02/15/29

.................

2

1,848

62,986

Containers

&

Packaging

—

0.4%

Ball

Corp.,

4.88%,

03/15/26

..........

72

71,460

Clydesdale

Acquisition

Holdings,

Inc.,

6.63%,

04/15/29

(b)

....................

13

12,513

Crown

Americas

LLC,

4.25%,

09/30/26

...

30

28,760

Graphic

Packaging

International

LLC,

3.50%,

03/15/28

(b)

....................

13

11,898

Mauser

Packaging

Solutions

Holding

Co.,

7.88%,

08/15/26

(b)

...............

41

41,000

Sealed

Air

Corp.

(b)

4.00%,

12/01/27

.................

20

18,664

6.13%,

02/01/28

.................

3

3,033

187,328

Distributors

—

0.0%

Ritchie

Bros

Holdings,

Inc.,

6.75%,

03/15/28

(b)

2

2,060

Diversified

REITs

—

0.0%

(b)

HAT

Holdings

I

LLC,

3.38%,

06/15/26

....

13

11,277

Uniti

Group

LP,

10.50%,

02/15/28

.......

7

6,790

18,067

Security

Par

(000)

Par

(000)

Value

Diversified

Telecommunication

Services

—

0.6%

AT&T,

Inc.,

1.80%,

09/05/26

..........

EUR

100

$

102,089

CCO

Holdings

LLC

(b)

5.13%,

05/01/27

.................

USD

15

14,175

5.00%,

02/01/28

.................

19

17,527

6.38%,

09/01/29

.................

12

11,460

Frontier

Communications

Holdings

LLC

(b)

5.88%,

10/15/27

.................

17

15,455

5.00%,

05/01/28

.................

5

4,339

Level

3

Financing,

Inc.

(b)

3.40%,

03/01/27

.................

8

6,328

4.63%,

09/15/27

.................

4

2,405

4.25%,

07/01/28

.................

21

11,848

3.88%,

11/15/29

.................

7

5,066

Lumen

Technologies,

Inc.,

4.00%,

02/15/27

(b)

8

5,280

Verizon

Communications,

Inc.,

2.10%,

03/22/28

45

40,087

Zayo

Group

Holdings,

Inc.,

4.00%,

03/01/27

(b)

57

43,320

279,379

Electric

Utilities

—

1.6%

EDP

-

Energias

de

Portugal

SA,

1.63%,

04/15/27

(c)

....................

EUR

100

100,175

Eversource

Energy,

5.45%,

03/01/28

.....

USD

55

56,992

Exelon

Corp.,

5.15%,

03/15/28

.........

50

50,871

NextEra

Energy

Capital

Holdings,

Inc.

4.20%,

06/20/24

.................

230

227,337

6.05%,

03/01/25

.................

75

76,297

4.90%,

02/28/28

.................

50

50,331

NextEra

Energy

Operating

Partners

LP,

4.25%,

07/15/24

(b)

....................

13

12,834

NRG

Energy,

Inc.,

5.75%,

01/15/28

......

29

28,440

Pattern

Energy

Operations

LP,

4.50%,

08/15/28

(b)

....................

66

60,380

Texas

Electric

Market

Stabilization

Funding

N

LLC,

Series

A-1,

4.27%,

08/01/34

(b)

....

98

94,459

758,116

Electrical

Equipment

—

0.1%

(b)

Sensata

Technologies

BV

5.00%,

10/01/25

.................

15

14,890

4.00%,

04/15/29

.................

3

2,711

Vertiv

Group

Corp.,

4.13%,

11/15/28

.....

18

15,882

33,483

Entertainment

—

0.1%

(b)

Lions

Gate

Capital

Holdings

LLC,

5.50%,

04/15/29

.....................

3

1,973

Live

Nation

Entertainment,

Inc.

6.50%,

05/15/27

.................

2

2,021

4.75%,

10/15/27

.................

13

12,025

3.75%,

01/15/28

.................

23

20,585

36,604

Financial

Services

—

0.6%

Block,

Inc.,

2.75%,

06/01/26

..........

23

20,971

Enact

Holdings,

Inc.,

6.50%,

08/15/25

(b)

...

13

12,675

Fidelity

National

Information

Services,

Inc.,

1.15%,

03/01/26

................

100

88,973

MGIC

Investment

Corp.,

5.25%,

08/15/28

..

10

9,505

Nationstar

Mortgage

Holdings,

Inc.,

6.00%,

01/15/27

(b)

....................

3

2,723

PayPal

Holdings,

Inc.,

2.65%,

10/01/26

...

110

103,723

Sabre

GLBL,

Inc.

(b)

9.25%,

04/15/25

.................

2

1,884

7.38%,

09/01/25

.................

5

4,467

11.25%,

12/15/27

................

2

1,864

Shift4

Payments

LLC,

4.63%,

11/01/26

(b)

...

15

14,100

260,885

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Low

Duration

Bond

Fund

26

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Food

Products

—

0.6%

Chobani

LLC,

4.63%,

11/15/28

(b)

........

USD

14

$

12,758

Darling

Ingredients,

Inc.,

5.25%,

04/15/27

(b)

.

15

14,625

General

Mills,

Inc.,

5.24%,

11/18/25

......

95

95,285

Kraft

Heinz

Foods

Co.,

3.00%,

06/01/26

...

100

95,523

Lamb

Weston

Holdings,

Inc.,

4.88%,

05/15/28

(b)

37

35,888

254,079

Ground

Transportation

—

0.4%

Ryder

System,

Inc.,

3.75%,

06/09/23

.....

110

109,596

Uber

Technologies,

Inc.

(b)

8.00%,

11/01/26

.................

6

6,151

6.25%,

01/15/28

.................

28

27,930

4.50%,

08/15/29

.................

12

10,935

Williams

Scotsman

International,

Inc.,

4.63%,

08/15/28

(b)

....................

14

12,736

167,348

Health

Care

Equipment

&

Supplies

—

0.1%

Avantor

Funding,

Inc.,

4.63%,

07/15/28

(b)

..

26

24,635

Hologic,

Inc.,

4.63%,

02/01/28

(b)

........

9

8,736

Medline

Borrower

LP,

3.88%,

04/01/29

(b)

...

7

6,072

Teleflex,

Inc.

4.63%,

11/15/27

.................

2

1,954

4.25%,

06/01/28

(b)

................

12

11,411

52,808

Health

Care

Providers

&

Services

—

2.3%

Centene

Corp.,

2.45%,

07/15/28

........

31

26,970

Community

Health

Systems,

Inc.,

6.00%,

01/15/29

(b)

....................

17

14,380

CVS

Health

Corp.,

6.25%,

06/01/27

......

50

52,836

Elevance

Health,

Inc.,

5.35%,

10/15/25

...

225

226,973

Encompass

Health

Corp.,

4.50%,

02/01/28

.

34

31,691

Fresenius

SE

&

Co.

KGaA,

0.75%,

01/15/28

(c)

EUR

100

93,556

HCA,

Inc.

5.25%,

04/15/25

.................

USD

50

49,968

5.88%,

02/15/26

.................

155

157,295

HealthEquity,

Inc.,

4.50%,

10/01/29

(b)

.....

17

15,104

Legacy

LifePoint

Health

LLC

(b)

6.75%,

04/15/25

.................

2

1,898

4.38%,

02/15/27

.................

2

1,636

ModivCare,

Inc.,

5.88%,

11/15/25

(b)

......

2

1,917

Molina

Healthcare,

Inc.,

4.38%,

06/15/28

(b)

.

22

20,466

Tenet

Healthcare

Corp.

6.25%,

02/01/27

.................

2

1,967

5.13%,

11/01/27

.................

54

51,843

UnitedHealth

Group,

Inc.

5.15%,

10/15/25

.................

195

198,678

2.95%,

10/15/27

.................

100

94,428

1,041,606

Health

Care

REITs

—

0.5%

Healthpeak

OP

LLC,

1.35%,

02/01/27

....

100

87,870

Welltower

OP

LLC

4.00%,

06/01/25

.................

50

48,548

4.25%,

04/01/26

.................

100

97,810

234,228

Hotels,

Restaurants

&

Leisure

—

0.3%

(b)

1011778

BC

ULC

3.88%,

01/15/28

.................

8

7,440

4.38%,

01/15/28

.................

35

32,310

Cedar

Fair

LP,

5.50%,

05/01/25

........

9

8,995

Hilton

Domestic

Operating

Co.,

Inc.

5.75%,

05/01/28

.................

58

58,000

3.75%,

05/01/29

.................

2

1,790

Six

Flags

Theme

Parks,

Inc.,

7.00%,

07/01/25

6

6,062

Security

Par

(000)

Par

(000)

Value

Hotels,

Restaurants

&

Leisure

(continued)

Vail

Resorts,

Inc.,

6.25%,

05/15/25

......

USD

9

$

9,021

123,618

Household

Durables

—

0.0%

Tempur

Sealy

International,

Inc.,

4.00%,

04/15/29

(b)

....................

10

8,798

Independent

Power

and

Renewable

Electricity

Producers

—

0.2%

Clearway

Energy

Operating

LLC,

4.75%,

03/15/28

(b)

....................

90

85,950

TransAlta

Corp.,

7.75%,

11/15/29

.......

14

14,712

100,662

Insurance

—

0.3%

(b)

Alliant

Holdings

Intermediate

LLC

4.25%,

10/15/27

.................

77

68,968

6.75%,

04/15/28

.................

10

9,888

AmWINS

Group,

Inc.,

4.88%,

06/30/29

....

3

2,655

NFP

Corp.,

4.88%,

08/15/28

..........

58

52,316

133,827

IT

Services

—

0.6%

Booz

Allen

Hamilton,

Inc.,

3.88%,

09/01/28

(b)

9

8,213

Gartner,

Inc.,

4.50%,

07/01/28

(b)

........

26

24,679

International

Business

Machines

Corp.

0.95%,

05/23/25

.................

EUR

100

102,994

4.50%,

02/06/26

.................

USD

100

99,816

Northwest

Fiber

LLC,

4.75%,

04/30/27

(b)

...

20

17,087

Twilio,

Inc.,

3.63%,

03/15/29

..........

23

19,837

272,626

Life

Sciences

Tools

&

Services

—

0.3%

Charles

River

Laboratories

International,

Inc.,

4.25%,

05/01/28

(b)

...............

32

29,948

Danaher

Corp.,

2.10%,

09/30/26

.......

EUR

100

104,185

134,133

Machinery

—

0.0%

(b)

Mueller

Water

Products,

Inc.,

4.00%,

06/15/29

USD

6

5,359

Wabash

National

Corp.,

4.50%,

10/15/28

..

10

8,670

14,029

Media

—

0.4%

Clear

Channel

Outdoor

Holdings,

Inc.,

5.13%,

08/15/27

(b)

....................

55

49,363

Comcast

Corp.,

4.15%,

10/15/28

.......

45

44,515

DirecTV

Financing

LLC,

5.88%,

08/15/27

(b)

.

12

10,868

GCI

LLC,

4.75%,

10/15/28

(b)

..........

2

1,725

Outfront

Media

Capital

LLC,

5.00%,

08/15/27

(b)

6

5,405

Radiate

Holdco

LLC,

4.50%,

09/15/26

(b)

...

4

3,130

Sirius

XM

Radio,

Inc.

(b)

5.00%,

08/01/27

.................

2

1,873

4.00%,

07/15/28

.................

49

42,088

TEGNA,

Inc.,

4.75%,

03/15/26

(b)

........

2

1,897

160,864

Metals

&

Mining

—

0.4%

Big

River

Steel

LLC,

6.63%,

01/31/29

(b)

...

61

60,534

Novelis

Corp.

(b)

3.25%,

11/15/26

.................

37

33,813

3.88%,

08/15/31

.................

21

17,687

Steel

Dynamics,

Inc.,

2.40%,

06/15/25

....

50

47,162

159,196

Mortgage

Real

Estate

Investment

Trusts

(REITs)

—

0.0%

Starwood

Property

Trust,

Inc.

(b)

5.50%,

11/01/23

.................

2

2,004

4.38%,

01/15/27

.................

6

4,959

6,963

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

27

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Multi-Utilities

—

0.6%

E.ON

SE,

0.88%,

01/08/25

(c)

..........

EUR

30

$

31,083

Engie

SA,

1.75%,

03/27/28

(c)

..........

100

99,783

Sempra

Energy,

3.30%,

04/01/25

.......

USD

50

48,391

Veolia

Environnement

SA,

0.00%,

01/14/27

(c)

EUR

100

94,775

274,032

Oil,

Gas

&

Consumable

Fuels

—

0.2%

Eni

SpA,

1.00%,

03/14/25

(c)

...........

100

103,520

Passenger

Airlines

—

0.2%

(b)

American

Airlines,

Inc.

11.75%,

07/15/25

................

USD

16

17,505

5.50%,

04/20/26

.................

11

11,056

7.25%,

02/15/28

.................

2

1,945

5.75%,

04/20/29

.................

6

5,755

Mileage

Plus

Holdings

LLC,

6.50%,

06/20/27

9

8,473

United

Airlines,

Inc.

4.38%,

04/15/26

.................

42

40,182

4.63%,

04/15/29

.................

3

2,713

87,629

Pharmaceuticals

—

0.1%

Catalent

Pharma

Solutions,

Inc.,

5.00%,

07/15/27

(b)

....................

33

32,226

Professional

Services

—

0.0%

(b)

AMN

Healthcare,

Inc.,

4.63%,

10/01/27

...

11

10,196

CoreLogic,

Inc.,

4.50%,

05/01/28

.......

9

6,829

17,025

Real

Estate

Management

&

Development

—

0.1%

(b)

Cushman

&

Wakefield

US

Borrower

LLC,

6.75%,

05/15/28

................

16

14,324

Howard

Hughes

Corp.

(The),

5.38%,

08/01/28

19

17,302

Realogy

Group

LLC,

5.75%,

01/15/29

....

11

8,233

39,859

Retail

REITs

—

0.0%

Brookfield

Property

REIT,

Inc.,

4.50%,

04/01/27

(b)

....................

6

4,815

Semiconductors

&

Semiconductor

Equipment

—

2.2%

Broadcom

Corp.

3.13%,

01/15/25

.................

5

4,817

3.88%,

01/15/27

.................

120

116,004

Entegris

Escrow

Corp.,

4.75%,

04/15/29

(b)

..

17

16,072

Entegris,

Inc.,

4.38%,

04/15/28

(b)

.......

13

11,745

Intel

Corp.,

4.88%,

02/10/28

..........

70

71,125

Lam

Research

Corp.

3.80%,

03/15/25

.................

20

19,650

3.75%,

03/15/26

.................

143

140,604

NXP

BV

4.88%,

03/01/24

.................

225

223,003

2.70%,

05/01/25

.................

330

312,634

Synaptics,

Inc.,

4.00%,

06/15/29

(b)

.......

7

6,028

Texas

Instruments,

Inc.,

4.60%,

02/15/28

..

100

102,072

1,023,754

Software

—

1.9%

Alteryx,

Inc.,

8.75%,

03/15/28

(b)

........

4

4,026

Black

Knight

InfoServ

LLC,

3.63%,

09/01/28

(b)

15

13,631

Central

Parent,

Inc.,

7.25%,

06/15/29

(b)

....

6

5,897

Clarivate

Science

Holdings

Corp.,

3.88%,

07/01/28

(b)

....................

41

36,591

Cloud

Software

Group

Holdings,

Inc.,

6.50%,

03/31/29

(b)

....................

40

35,384

Consensus

Cloud

Solutions,

Inc.,

6.00%,

10/15/26

(b)

....................

13

11,294

Elastic

NV,

4.13%,

07/15/29

(b)

.........

18

15,368

Fair

Isaac

Corp.,

4.00%,

06/15/28

(b)

......

12

11,130

Security

Par

(000)

Par

(000)

Value

Software

(continued)

Gen

Digital,

Inc.,

6.75%,

09/30/27

(b)

......

USD

10

$

10,052

MicroStrategy,

Inc.,

6.13%,

06/15/28

(b)

....

7

6,212

Open

Text

Corp.,

6.90%,

12/01/27

(b)

.....

13

13,411

Oracle

Corp.

1.65%,

03/25/26

.................

110

101,055

3.25%,

11/15/27

.................

200

187,996

PTC,

Inc.,

4.00%,

02/15/28

(b)

..........

14

13,083

SS&C

Technologies,

Inc.,

5.50%,

09/30/27

(b)

23

22,317

Veritas

US,

Inc.,

7.50%,

09/01/25

(b)

......

2

1,506

VMware,

Inc.

0.60%,

08/15/23

.................

120

117,741

1.40%,

08/15/26

.................

155

137,097

3.90%,

08/21/27

.................

55

52,651

Workday,

Inc.,

3.50%,

04/01/27

........

80

76,541

ZoomInfo

Technologies

LLC,

3.88%,

02/01/29

(b)

18

15,583

888,566

Specialized

REITs

—

2.8%

American

Tower

Corp.

1.60%,

04/15/26

.................

330

298,435

0.45%,

01/15/27

.................

EUR

100

94,627

3.65%,

03/15/27

.................

USD

60

56,990

Crown

Castle,

Inc.

3.15%,

07/15/23

.................

350

347,829

3.20%,

09/01/24

.................

50

48,569

1.05%,

07/15/26

.................

170

149,799

Equinix,

Inc.

1.00%,

09/15/25

.................

200

181,131

0.25%,

03/15/27

.................

EUR

100

93,459

Iron

Mountain,

Inc.,

5.00%,

07/15/28

(b)

....

USD

20

18,610

SBA

Communications

Corp.

3.88%,

02/15/27

.................

20

18,880

3.13%,

02/01/29

.................

2

1,740

1,310,069

Specialty

Retail

—

0.6%

GYP

Holdings

III

Corp.,

4.63%,

05/01/29

(b)

..

3

2,565

Home

Depot,

Inc.

(The),

2.88%,

04/15/27

..

55

52,431

Lowe's

Cos.,

Inc.,

3.10%,

05/03/27

......

180

171,047

SRS

Distribution,

Inc.,

4.63%,

07/01/28

(b)

..

42

37,300

Staples,

Inc.,

7.50%,

04/15/26

(b)

........

5

4,381

267,724

Textiles,

Apparel

&

Luxury

Goods

—

0.1%

(b)

Crocs,

Inc.,

4.25%,

03/15/29

..........

17

14,911

William

Carter

Co.

(The),

5.63%,

03/15/27

..

14

13,608

28,519

Trading

Companies

&

Distributors

—

0.2%

Aviation

Capital

Group

LLC,

1.95%,

09/20/26

(b)

50

43,276

Herc

Holdings,

Inc.,

5.50%,

07/15/27

(b)

....

14

13,510

Imola

Merger

Corp.,

4.75%,

05/15/29

(b)

....

8

7,157

United

Rentals

North

America,

Inc.,

4.88%,

01/15/28

.....................

21

20,081

WESCO

Distribution,

Inc.,

7.25%,

06/15/28

(b)

24

24,643

108,667

Wireless

Telecommunication

Services

—

0.4%

Rogers

Communications,

Inc.,

3.20%,

03/15/27

(b)

....................

145

136,427

Sprint

LLC,

7.63%,

03/01/26

..........

38

40,184

T-Mobile

USA,

Inc.,

2.25%,

02/15/26

.....

23

21,392

198,003

Total

Corporate

Bonds

—

36.0%

(Cost:

$17,403,885)

..............................

16,605,339

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Low

Duration

Bond

Fund

28

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Foreign

Agency

Obligations

France

—

0.2%

Electricite

de

France

SA,

1.00%

,

10/13/26

(c)

.

EUR

100

$

100,015

Germany

—

0.4%

Kreditanstalt

fuer

Wiederaufbau,

0.00%

,

09/15/28

(c)

.....................

200

186,020

Supranational

—

0.9%

European

Investment

Bank,

0.50%

,

11/15/23

(c)

400

427,097

Total

Foreign

Agency

Obligations

—

1.5%

(Cost:

$779,132)

................................

713,132

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

1.8%

(a)(b)

Angel

Oak

Mortgage

Trust,

Series

2022-2,

Class

A1,

3.35%,

01/25/67

..........

USD

44

39,822

COLT

Mortgage

Loan

Trust,

Series

2022-3,

Class

A1,

3.90%,

02/25/67

..........

90

83,426

CSMC

Trust,

Series

2021-NQM8,

Class

A1,

1.84%,

10/25/66

.................

84

72,202

Deephaven

Residential

Mortgage

Trust,

Series

2021-4,

Class

A1,

1.93%,

11/25/66

.....

82

69,250

Flagstar

Mortgage

Trust,

Series

2021-12,

Class

A19,

5.00%,

11/25/51

..............

115

112,169

GCAT

Trust,

Series

2021-NQM7,

Class

A1,

1.91%,

08/25/66

.................

67

58,886

JP

Morgan

Mortgage

Trust,

Series

2021-7,

Class

A3,

2.50%,

11/25/51

..........

110

88,414

MFA

Trust,

Series

2021-INV2,

Class

A1,

1.91%,

11/25/56

.......................

174

148,178

PRKCM

Trust,

Series

2021-AFC2,

Class

A1,

2.07%,

11/25/56

.................

100

83,028

RCKT

Mortgage

Trust,

Series

2022-4,

Class

A2,

3.50%,

06/25/52

..............

95

83,482

838,857

Commercial

Mortgage-Backed

Securities

—

4.1%

AREIT

LLC,

Series

2022-CRE7,

Class

A,

(1-mo.

CME

Term

SOFR

at

2.24%

Floor

+

2.24%),

6.99%,

06/17/39

(a)(b)

.........

100

99,250

BAMLL

Commercial

Mortgage

Securities

Trust,

Series

2015-200P,

Class

A,

3.22%,

04/14/33

(b)

.....................

200

186,543

Commercial

Mortgage

Trust

Series

2013-CR10,

Class

A4,

4.21%,

08/10/46

(a)

...................

168

167,652

Series

2015-CR22,

Class

A5,

3.31%,

03/10/48

....................

200

191,461

CSAIL

Commercial

Mortgage

Trust,

Series

2016-C5,

Class

A5,

3.76%,

11/15/48

....

200

190,971

Grace

Trust,

Series

2020-GRCE,

Class

A,

2.35%,

12/10/40

(b)

................

150

116,926

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

(b)

Series

2021-NYAH,

Class

A,

(1-mo.

LIBOR

USD

at

0.76%

Floor

+

0.76%),

5.44%,

06/15/38

(a)

...................

200

193,655

Series

2022-OPO,

Class

A,

3.02%,

01/05/39

100

86,789

MAD

Mortgage

Trust,

Series

2017-330M,

Class

A,

2.98%,

08/15/34

(a)(b)

.............

250

236,893

Morgan

Stanley

Bank

of

America

Merrill

Lynch

Trust

Series

2014-C15,

Class

A4,

4.05%,

04/15/47

....................

135

132,841

Series

2015-C20,

Class

A4,

3.25%,

02/15/48

....................

180

172,477

Security

Par

(000)

Par

(000)

Value

Commercial

Mortgage-Backed

Securities

(continued)

Ready

Capital

Mortgage

Financing

LLC,

Series

2022-FL8,

Class

A,

(SOFR

30

Day

Average

at

1.65%

Floor

+

1.65%),

6.22%,

01/25/37

(a)

(b)

...........................

USD

60

$

58,972

Wells

Fargo

Commercial

Mortgage

Trust,

Series

2016-LC25,

Class

A4,

3.64%,

12/15/59

......................

50

46,889

1,881,319

Total

Non-Agency

Mortgage-Backed

Securities

—

5.9%

(Cost:

$2,965,991)

..............................

2,720,176

U.S.

Government

Sponsored

Agency

Securities

Agency

Obligations

—

2.2%

Federal

Farm

Credit

Bank

Bonds

1.68%, 09/17/35

.................

220

162,453

2.17%, 10/29/29

.................

80

70,619

2.25%, 08/15/29

.................

150

133,366

Federal

Home

Loan

Bank

Bonds

0.60%, 12/30/26

.................

120

105,717

2.06%, 09/27/29

.................

150

131,716

2.18%, 11/06/29

.................

100

88,337

Federal

Home

Loan

Mortgage

Corp.,

0.65%, 05/28/26

.................

120

108,014

Federal

National

Mortgage

Association

0.74%, 08/25/27

.................

120

104,256

0.81%, 09/25/28

.................

120

101,800

1,006,278

Mortgage-Backed

Securities

—

7.3%

Government

National

Mortgage

Association

2.50%, 10/20/51

.................

200

174,673

3.00%, 10/20/51

.................

994

907,193

Uniform

Mortgage-Backed

Securities

2.50%, 11/01/51

.................

184

160,705

3.00%, 11/01/51

.................

251

230,207

3.00%, 04/25/53

(d)

................

980

879,314

3.50%, 11/01/51

.................

943

899,970

5.50%, 04/25/53

(d)

................

123

124,242

3,376,304

Total

U.S.

Government

Sponsored

Agency

Securities

—

9.5%

(Cost:

$4,701,298)

..............................

4,382,582

U.S.

Treasury

Obligations

U.S.

Treasury

Notes

0.88%, 01/31/24

.................

1,155

1,118,500

1.50%, 02/29/24

.................

3,560

3,460,292

2.25%, 03/31/24

.................

1,400

1,367,680

1.75%, 03/15/25

.................

120

114,778

2.88%, 06/15/25

.................

1,780

1,738,003

3.50%, 09/15/25

-

01/31/28

..........

2,010

1,991,522

4.50%, 11/15/25

.................

25

25,369

3.88%, 01/15/26

.................

1,500

1,500,469

4.00%, 02/15/26

.................

1,080

1,084,472

4.63%, 03/15/26

.................

1,040

1,063,725

Total

U.S.

Treasury

Obligations

—

29.2%

(Cost:

$13,447,370)

..............................

13,464,810

Total

Long-Term

Investments

—

98.1%

(Cost:

$46,980,405)

..............................

45,300,143

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

29

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

Security

Par

(000)

Par

(000)

Value

Short-Term

Securities

Commercial

Paper

—

2.1%

(e)

AT&T,

Inc.,

5.93%

,

02/21/24

...........

USD

250

$

237,122

Enel

Finance

America

LLC,

5.27%

,

09/06/23

250

243,002

NatWest

Markets

plc,

5.74%

,

02/26/24

....

250

237,085

Societe

Generale

SA,

5.70%

,

03/06/24

....

250

238,497

Total

Commercial

Paper

—

2.1%

(Cost:

$956,629)

................................

955,706

Shares

Shares

Money

Market

Funds

—

1.2%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(f)(g)

.................

558,511

558,511

Total

Money

Market

Funds

—

1.2%

(Cost:

$558,511)

................................

558,511

Total

Short-Term

Securities

—

3.3%

(Cost:

$1,515,140)

..............................

1,514,217

Total

Investments

Before

TBA

Sale

Commitments

—

101.4%

(Cost:

$48,495,545

)

..............................

46,814,360

Security

Par

(000)

Pa

r

(

000)

Value

TBA

Sale

Commitments

Mortgage-Backed

Securities

—

(2.2)%

Uniform

Mortgage-Backed

Securities

(d)

3.00%

,

 04/25/53

.................

USD

(980)

$

(879,314)

5.50%

,

 04/25/53

.................

(123)

(124,242)

Total

TBA

Sale

Commitments

—

(2.2)%

(Proceeds:

$(997,789))

...........................

(1,003,556)

Total

Investments

Net

of

TBA

Sale

Commitments

—

99.2%

(Cost:

$47,497,756

)

..............................

45,810,804

Other

Assets

Less

Liabilities

—

0.8%

...................

359,008

Net

Assets

—

100.0%

..............................

$

46,169,812

(a)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(b)

Security

exempt

from

registration

pursuant

to

Rule

144A

under

the

Securities

Act

of

1933,

as

amended.

These

securities

may

be

resold

in

transactions

exempt

from

registration

to

qualified

institutional

investors.

(c)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

(d)

Represents

or

includes

a

TBA

transaction.

(e)

Rates

are

discount

rates

or

a

range

of

discount

rates

as

of

period

end.

(f)

Annualized

7-day

yield

as

of

period

end.

(g)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

1,345,914

$

—

$

(787,403)

(a)

$

—

$

—

$

558,511

558,511

$

15,809

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

For

Fund

compliance

purposes,

the

Fund's

industry

classifications

refer

to

one

or

more

of

the

industry

sub-classifications

used

by

one

or

more

widely

recognized

market

indexes

or

rating

group

indexes,

and/or

as

defined

by

the

investment

adviser.

These

definitions

may

not

apply

for

purposes

of

this

report,

which

may

combine

such

industry

sub-classifications

for

reporting

ease.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Low

Duration

Bond

Fund

30

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

U.S.

Treasury

2

Year

Note

....................................................

88

06/30/23

$

18,181

$

155,034

Short

Contracts

Euro-Bobl

...............................................................

9

06/08/23

1,151

(25,518)

Euro-Bund

..............................................................

1

06/08/23

147

(5,225)

Euro-Schatz

.............................................................

1

06/08/23

115

(1,036)

Japan

10

Year

Bond

........................................................

1

06/13/23

1,116

(21,419)

U.S.

Treasury

10

Year

Note

...................................................

9

06/21/23

1,036

5,424

U.S.

Treasury

10

Year

Ultra

Note

...............................................

7

06/21/23

849

(25,887)

U.S.

Treasury

Long

Bond

.....................................................

5

06/21/23

657

(22,760)

U.S.

Treasury

Ultra

Bond

.....................................................

2

06/21/23

283

(14,209)

U.S.

Treasury

5

Year

Note

....................................................

35

06/30/23

3,838

(38,820)

(149,450)

$

5,584

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

USD

2,518,599

EUR

2,335,500

Bank

of

America

NA

06/21/23

$

(25,658)

USD

20,492

EUR

19,000

Deutsche

Bank

AG

06/21/23

(206)

$

(25,864)

Centrally

Cleared

Credit

Default

Swaps

—

Buy

Protection

Reference

Obligation/Index

Financing

Rate

Paid

by

the

Fund

Payment

Frequency

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Markit

CDX

North

American

High

Yield

Index

Series

39.V1

.....................

5.00

%

Quarterly

12/20/27

USD

2,000

$

(26,937)

$

33,239

$

(60,176)

Markit

CDX

North

American

Investment

Grade

Index

Series

40.V1

................

1.00

Quarterly

06/20/28

USD

940

(11,064)

(6,988)

(4,076)

$

(38,001)

$

26,251

$

(64,252)

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Effective

Date

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

Annual

4.35%

Annual

04/05/23

(a)

12/31/24

USD

1,025

$

2,532

$

172

$

2,360

3.59%

Annual

1-day

SOFR

Annual

04/05/23

(a)

05/31/27

USD

1,025

(5,450)

37

(5,487)

$

(2,918)

$

209

$

(3,127)

(a)

Forward

swap.

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

31

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1-day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

%

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

33,448

$

(6,988)

$

2,360

$

(69,739)

$

—

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

ap

preciation

on

futures

contracts

(a)

......

$

—

$

—

$

—

$

—

$

160,458

$

—

$

160,458

Swaps

—

centrally

cleared

Unrealized

apprecia

tion

on

centrally

cleared

swaps

(a)

.

—

—

—

—

2,360

—

2,360

$

—

$

—

$

—

$

—

$

162,818

$

—

$

162,818

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

de

preciation

on

futures

contracts

(a)

......

$

—

$

—

$

—

$

—

$

154,874

$

—

$

154,874

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

25,864

—

—

25,864

Swaps

—

centrally

cleared

Unrealized

deprecia

tion

on

centrally

cleared

swaps

(a)

.

—

64,252

—

—

5,487

—

69,739

$

—

$

64,252

$

—

$

25,864

$

160,361

$

—

$

250,477

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

(38,431)

$

—

$

(38,431)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(235,998)

—

—

(235,998)

Swaps

..............................

—

(48,791)

—

—

3,127

—

(45,664)

$

—

$

(48,791)

$

—

$

(235,998)

$

(35,304)

$

—

$

(320,093)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

(59,327)

$

—

$

(59,327)

Forward

foreign

currency

exchange

contracts

....

—

—

—

(107,864)

—

—

(107,864)

Swaps

..............................

—

(61,838)

—

—

(17,646)

—

(79,484)

$

—

$

(61,838)

$

—

$

(107,864)

$

(76,973)

$

—

$

(246,675)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Low

Duration

Bond

Fund

32

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

18,315,469

Average

notional

value

of

contracts

—

short

.................................................................................

$

9,322,935

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

3,547,322

Average

amounts

sold

—

in

USD

........................................................................................

$

956,685

Credit

default

swaps

Average

notional

value

—

buy

protection

...................................................................................

$

2,730,000

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

1,025,000

Average

notional

value

—

receives

fixed

rate

................................................................................

$

1,025,000

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Liabilities

Derivative

Financial

Instruments

Futures

contracts

...................................................................................................

$

7,037

Forward

foreign

currency

exchange

contracts

................................................................................

25,864

Swaps

—

centrally

cleared

.............................................................................................

25,118

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

...........................................................

$

58,019

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

.......................................................

(32,155)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

...........................................................................

$

25,864

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

Net

Amount

of

Derivative

Liabilities

(a)(b)

Bank

of

America

NA

..............................

$

25,658

$

—

$

—

$

—

$

25,658

Deutsche

Bank

AG

...............................

206

—

—

—

206

$

25,864

$

—

$

—

$

—

$

25,864

(a)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(b)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

BlackRock

Sustainable

Low

Duration

Bond

Fund

Schedules

of

Investments

33

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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.

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

...................................

$

—

$

7,414,104

$

—

$

7,414,104

Corporate

Bonds

........................................

—

16,605,339

—

16,605,339

Foreign

Agency

Obligations

.................................

—

713,132

—

713,132

Non-Agency

Mortgage-Backed

Securities

........................

—

2,720,176

—

2,720,176

U.S.

Government

Sponsored

Agency

Securities

....................

—

4,382,582

—

4,382,582

U.S.

Treasury

Obligations

...................................

—

13,464,810

—

13,464,810

Short-Term

Securities

Commercial

Paper

.......................................

—

955,706

—

955,706

Money

Market

Funds

......................................

558,511

—

—

558,511

Liabilities

Investments

TBA

Sale

Commitments

....................................

—

(1,003,556)

—

(1,003,556)

$

558,511

$

45,252,293

$

—

$

45,810,804

Derivative

Financial

Instruments

(a)

Assets

Interest

rate

contracts

.......................................

$

160,458

$

2,360

$

—

$

162,818

Liabilities

Credit

contracts

...........................................

—

(64,252)

—

(64,252)

Foreign

currency

exchange

contracts

............................

—

(25,864)

—

(25,864)

Interest

rate

contracts

.......................................

(154,874)

(5,487)

—

(160,361)

$

5,584

$

(93,243)

$

—

$

(87,659)

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument.

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

34

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

March

31,

2023

Security

Par

(000)

Pa

r

(

000)

Value

Asset-Backed

Securities

Cayman

Islands

—

6.3%

(a)(b)

AGL

Core

CLO

4

Ltd.,

Series

2020-4A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.07%

Floor

+

1.07%),

5.88%,

04/20/33

.................

USD

250

$

245,995

Anchorage

Capital

CLO

8

Ltd.,

Series

2016-8A,

Class

BR2,

(3-mo.

LIBOR

USD

at

1.80%

Floor

+

1.80%),

6.61%,

10/27/34

............

250

239,537

Bridge

Street

CLO

II

Ltd.,

Series

2021-

1A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.23%

Floor

+

1.23%),

6.04%,

07/20/34

.................

250

244,825

CIFC

Funding

Ltd.,

Series

2020-3A,

Class

A1R,

(3-mo.

LIBOR

USD

at

1.13%

Floor

+

1.13%),

5.94%,

10/20/34

.................

250

243,927

Gilbert

Park

CLO

Ltd.,

Series

2017-1A,

Class

A,

(3-mo.

LIBOR

USD

at

1.19%

Floor

+

1.19%),

5.98%,

10/15/30

.................

250

247,617

Madison

Park

Funding

XVIII

Ltd.,

Series

2015-18A,

Class

ARR,

(3-

mo.

LIBOR

USD

at

0.94%

Floor

+

0.94%),

5.76%,

10/21/30

.......

249

245,917

Neuberger

Berman

Loan

Advisers

CLO

35

Ltd.,

Series

2019-35A,

Class

C,

(3-mo.

LIBOR

USD

at

2.60%

Floor

+

2.60%),

7.40%,

01/19/33

.......

250

244,274

Palmer

Square

CLO

Ltd.,

Series

2021-

3A,

Class

A1,

(3-mo.

LIBOR

USD

at

1.15%

Floor

+

1.15%),

5.94%,

01/15/35

.................

250

243,061

Pikes

Peak

CLO

8,

Series

2021-8A,

Class

B,

(3-mo.

LIBOR

USD

at

1.75%

Floor

+

1.75%),

6.56%,

07/20/34

.................

250

241,023

TCW

CLO

AMR

Ltd.,

Series

2019-1A,

Class

ASNR,

(3-mo.

LIBOR

USD

at

1.22%

Floor

+

1.22%),

6.09%,

08/16/34

.................

250

244,851

Trimaran

Cavu

Ltd.,

Series

2021-2A,

Class

D1,

(3-mo.

LIBOR

USD

at

3.25%

Floor

+

3.25%),

8.07%,

10/25/34

.................

250

226,113

2,667,140

Ireland

—

0.5%

Prodigy

Finance

DAC,

Series

2021-1A,

Class

A,

(1-mo.

LIBOR

USD

+

1.25%),

6.10%,

07/25/51

(a)(b)

....

199

193,727

United

States

—

6.2%

(a)

Diameter

Capital

CLO

1

Ltd.,

Series

2021-1A,

Class

A1A,

(3-mo.

LIBOR

USD

at

1.24%

Floor

+

1.24%),

6.03%,

07/15/36

(b)

...........

250

244,903

Home

Partners

of

America

Trust,

Series

2021-2,

Class

F,

3.80%,

12/17/26

.

484

419,862

Legacy

Mortgage

Asset

Trust,

Series

2019-SL2,

Class

M,

4.25%,

02/25/59

(b)

................

206

160,917

Lendmark

Funding

Trust,

Series

2022-

1A,

Class

A,

5.12%,

07/20/32

...

100

98,357

Mariner

Finance

Issuance

Trust,

Series

2019-AA,

Class

B,

3.51%,

07/20/32

100

97,035

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

Mosaic

Solar

Loans

LLC,

Series

2017-

2A,

Class

C,

2.00%,

06/22/43

...

USD

58

$

56,006

Navient

Private

Education

Loan

Trust,

Series

2015-AA,

Class

A3,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

11/15/30

(b)

......

100

99,678

PRET

LLC,

Series

2021-NPL6,

Class

A1,

2.49%,

07/25/51

(c)

........

313

294,458

Progress

Residential

Trust,

Series

2021-SFR10,

Class

F,

4.61%,

12/17/40

.................

500

413,193

Regional

Management

Issuance

Trust

Series

2020-1,

Class

A,

2.34%,

10/15/30

...............

100

95,790

Series

2021-1,

Class

A,

1.68%,

03/17/31

...............

100

93,342

Series

2022-1,

Class

A,

3.07%,

03/15/32

...............

200

187,366

Tricon

Residential

Trust,

Series

2021-

SFR1,

Class

F,

3.69%,

07/17/38

..

400

352,504

2,613,411

Total

Asset-Backed

Securities

—

13.0%

(Cost:

$5,784,498)

..............................

5,474,278

Corporate

Bonds

Australia

—

0.0%

FMG

Resources

August

2006

Pty.

Ltd.,

6.13%

,

04/15/32

(a)

...........

6

5,775

Belgium

—

0.5%

Anheuser-Busch

InBev

Worldwide,

Inc.,

5.88%

,

06/15/35

............

31

33,755

KBC

Group

NV,

(3-mo.

EURIBOR

+

0.72%),

0.38%

,

06/16/27

(b)(d)

....

EUR

200

193,287

227,042

Canada

—

0.1%

1011778

BC

ULC,

3.88%

,

01/15/28

(a)

USD

2

1,860

Rogers

Communications,

Inc.,

3.70%

,

11/15/49

..................

43

31,532

33,392

China

—

0.3%

NXP

BV

5.55%,

12/01/28

............

68

69,360

3.40%,

05/01/30

............

64

57,352

126,712

France

—

0.9%

(d)

Banque

Federative

du

Credit

Mutuel

SA,

0.10%

,

10/08/27

.........

EUR

100

92,721

BNP

Paribas

SA,

(3-mo.

EURIBOR

+

0.80%),

0.38%

,

10/14/27

(b)

.....

100

94,854

Engie

SA,

1.75%

,

03/27/28

.......

100

99,783

Societe

Generale

SA,

(3-mo.

EURIBOR

+

1.28%),

0.88%

,

09/22/28

(b)

....

100

92,973

380,331

Germany

—

0.8%

Commerzbank

AG,

(3-mo.

EURIBOR

+

1.30%),

0.75%

,

03/24/26

(b)(d)

....

100

99,704

Deutsche

Bank

AG,

(1-Day

SOFR

+

1.87%),

2.13%

,

11/24/26

(b)

.....

USD

150

129,266

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

35

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

Germany

(continued)

E.ON

SE,

1.00%

,

10/07/25

(d)

......

EUR

100

$

102,523

331,493

Italy

—

0.7%

(d)

Intesa

Sanpaolo

SpA

,

1.50%

,

04/10/24

100

105,902

Iren

SpA

1.95%,

09/19/25

............

100

103,242

1.50%,

10/24/27

............

100

98,788

307,932

Japan

—

0.5%

Takeda

Pharmaceutical

Co.

Ltd.,

5.00%

,

11/26/28

............

USD

200

202,155

South

Africa

—

0.4%

Anglo

American

Capital

plc,

3.88%

,

03/16/29

(a)

................

200

183,475

Spain

—

0.9%

(d)

Banco

de

Sabadell

SA,

(1-Year

EUR

Swap

Annual

+

1.55%),

1.13%

,

03/11/27

(b)

................

EUR

100

97,853

Banco

Santander

SA,

0.30%

,

10/04/26

200

193,659

CaixaBank

SA,

(3-mo.

EURIBOR

+

0.85%),

0.38%

,

11/18/26

(b)

.....

100

97,608

389,120

Switzerland

—

0.6%

Credit

Suisse

AG,

4.75%

,

08/09/24

..

USD

250

241,950

United

Kingdom

—

1.2%

CNH

Industrial

NV,

4.50%

,

08/15/23

.

188

187,060

National

Grid

plc,

0.25%

,

09/01/28

(d)

.

EUR

100

89,638

RELX

Capital,

Inc.,

4.00%

,

03/18/29

.

USD

24

23,128

SSE

plc

(d)

0.88%,

09/06/25

............

EUR

100

101,872

1.38%,

09/04/27

............

100

99,915

501,613

United

States

—

21.5%

AbbVie,

Inc.

4.55%,

03/15/35

............

USD

57

55,733

4.70%,

05/14/45

............

43

40,292

AEP

Texas,

Inc.

3.95%,

06/01/28

............

95

91,426

5.25%,

05/15/52

............

43

41,972

Aetna,

Inc.,

6.63%

,

06/15/36

......

7

7,762

Agilent

Technologies,

Inc.,

3.05%

,

09/22/26

.................

20

18,863

Albertsons

Cos.,

Inc.,

4.88%

,

02/15/30

(a)

................

2

1,867

Amazon.com,

Inc.

4.70%,

12/01/32

............

34

34,849

4.05%,

08/22/47

............

57

51,686

American

Express

Co.,

(1-Day

SOFR

+

1.76%),

4.42%

,

08/03/33

(b)

.....

24

22,945

American

International

Group,

Inc.,

4.38%

,

06/30/50

............

27

23,058

American

Tower

Corp.

5.00%,

02/15/24

............

12

11,945

0.45%,

01/15/27

............

EUR

100

94,627

3.80%,

08/15/29

............

USD

105

97,581

American

Transmission

Systems,

Inc.,

2.65%

,

01/15/32

(a)

...........

34

28,626

Amgen,

Inc.

5.15%,

03/02/28

............

51

52,072

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

4.05%,

08/18/29

............

USD

24

$

23,156

4.66%,

06/15/51

............

4

3,635

5.65%,

03/02/53

............

15

15,611

5.75%,

03/02/63

............

15

15,564

Aon

Corp.

3.75%,

05/02/29

............

39

37,269

5.35%,

02/28/33

............

43

44,540

Apple,

Inc.

4.38%,

05/13/45

............

26

25,236

2.80%,

02/08/61

............

37

25,181

Applied

Materials,

Inc.,

4.35%

,

04/01/47

.................

7

6,580

AT&T,

Inc.

2.75%,

06/01/31

............

33

28,440

5.25%,

03/01/37

............

42

42,003

4.75%,

05/15/46

............

63

56,897

4.50%,

03/09/48

............

11

9,518

3.65%,

09/15/59

............

60

42,876

Atlantic

City

Electric

Co.,

4.00%

,

10/15/28

.................

8

7,764

Atmos

Energy

Corp.,

2.85%

,

02/15/52

10

6,790

Autodesk,

Inc.,

2.40%

,

12/15/31

....

53

44,082

Baltimore

Gas

&

Electric

Co.,

3.50%

,

08/15/46

.................

74

57,144

Bank

of

America

Corp.

(b)

(1-Day

SOFR

+

1.46%),

1.49%,

05/19/24

...............

397

394,795

(1-Day

SOFR

+

1.32%),

2.69%,

04/22/32

...............

131

109,323

(1-Day

SOFR

+

1.33%),

2.97%,

02/04/33

...............

310

261,033

(1-Day

SOFR

+

1.83%),

4.57%,

04/27/33

...............

59

56,162

Baxter

International,

Inc.,

2.60%

,

08/15/26

.................

28

26,120

Becton

Dickinson

&

Co.,

4.69%

,

02/13/28

.................

25

25,101

Berry

Global,

Inc.,

5.50%

,

04/15/28

(a)

20

19,935

Biogen,

Inc.,

5.20%

,

09/15/45

.....

9

9,133

Bristol-Myers

Squibb

Co.,

4.55%

,

02/20/48

.................

29

27,401

Broadcom,

Inc.

4.30%,

11/15/32

............

107

98,584

3.14%,

11/15/35

(a)

...........

39

29,993

4.93%,

05/15/37

(a)

...........

56

50,925

Burlington

Northern

Santa

Fe

LLC,

3.30%

,

09/15/51

............

33

25,178

Cameron

LNG

LLC

(a)

2.90%,

07/15/31

............

25

22,235

3.30%,

01/15/35

............

187

160,908

Capital

One

Financial

Corp.,

(1-Day

SOFR

+

2.60%),

5.82%

,

02/01/34

(b)

67

64,743

CCO

Holdings

LLC

(a)

5.38%,

06/01/29

............

4

3,673

4.75%,

03/01/30

............

4

3,466

Cedar

Fair

LP

5.50%,

05/01/25

(a)

...........

2

1,999

5.25%,

07/15/29

............

3

2,797

CenterPoint

Energy

Houston

Electric

LLC

Series

AE,

2.35%,

04/01/31

....

10

8,529

4.95%,

04/01/33

............

15

15,318

Series

AF,

3.35%,

04/01/51

....

15

11,423

Series

AJ,

4.85%,

10/01/52

....

25

24,368

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

36

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

Charter

Communications

Operating

LLC

5.13%,

07/01/49

............

USD

8

$

6,333

4.80%,

03/01/50

............

108

82,317

3.90%,

06/01/52

............

15

9,915

4.40%,

12/01/61

............

15

10,249

3.95%,

06/30/62

............

18

11,405

Citigroup,

Inc.

(b)

(1-Day

SOFR

+

1.35%),

3.06%,

01/25/33

...............

62

52,469

(1-Day

SOFR

+

1.94%),

3.79%,

03/17/33

...............

27

24,200

Clear

Channel

Outdoor

Holdings,

Inc.,

5.13%

,

08/15/27

(a)

...........

4

3,590

Comcast

Corp.

1.50%,

02/15/31

............

49

39,346

5.50%,

11/15/32

............

55

58,651

3.75%,

04/01/40

............

44

37,769

3.40%,

07/15/46

............

31

24,042

Commercial

Metals

Co.,

4.38%

,

03/15/32

.................

4

3,441

Commonwealth

Edison

Co.

4.00%,

03/01/48

............

18

15,289

Series

133,

3.85%,

03/15/52

....

24

19,565

5.30%,

02/01/53

............

10

10,440

Consolidated

Edison

Co.

of

New

York,

Inc.,

6.15%

,

11/15/52

.........

26

29,303

Cox

Communications,

Inc.,

3.15%

,

08/15/24

(a)

................

14

13,645

Crown

Castle,

Inc.

2.25%,

01/15/31

............

161

133,433

2.50%,

07/15/31

............

52

43,704

CSX

Corp.

2.50%,

05/15/51

............

26

16,701

4.25%,

11/01/66

............

10

8,256

CVS

Health

Corp.,

3.25%

,

08/15/29

.

35

32,009

Dell

International

LLC,

6.02%

,

06/15/26

67

68,763

Ecolab,

Inc.,

3.95%

,

12/01/47

.....

11

9,475

Edison

International

5.75%,

06/15/27

............

34

34,713

6.95%,

11/15/29

............

45

48,682

Electronic

Arts,

Inc.,

1.85%

,

02/15/31

10

8,249

Elevance

Health,

Inc.,

6.10%

,

10/15/52

19

21,198

Eli

Lilly

&

Co.

4.88%,

02/27/53

............

5

5,170

4.95%,

02/27/63

............

5

5,145

Entergy

Louisiana

LLC,

4.20%

,

09/01/48

.................

41

35,540

Enterprise

Products

Operating

LLC,

3.30%

,

02/15/53

............

45

32,554

Equinix

,

Inc.

0.25%,

03/15/27

............

EUR

100

93,459

3.20%,

11/18/29

............

USD

63

56,237

2.15%,

07/15/30

............

35

28,618

2.50%,

05/15/31

............

15

12,351

Eversource

Energy,

5.45%

,

03/01/28

66

68,391

Exelon

Corp.

5.15%,

03/15/28

............

114

115,985

4.45%,

04/15/46

............

32

27,530

5.60%,

03/15/53

............

15

15,276

FactSet

Research

Systems,

Inc.,

3.45%

,

03/01/32

............

31

27,024

Florida

Power

&

Light

Co.,

4.05%

,

10/01/44

.................

72

63,042

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

Ford

Motor

Co.,

3.25%

,

02/12/32

...

USD

2

$

1,572

General

Motors

Co.,

5.00%

,

10/01/28

39

38,427

General

Motors

Financial

Co.,

Inc.

5.10%,

01/17/24

............

199

198,387

4.35%,

04/09/25

............

152

148,829

4.30%,

04/06/29

............

13

12,082

2.35%,

01/08/31

............

61

48,165

Gilead

Sciences,

Inc.

4.60%,

09/01/35

............

38

37,634

4.75%,

03/01/46

............

26

24,998

Global

Payments,

Inc.

1.20%,

03/01/26

............

218

193,894

4.45%,

06/01/28

............

51

48,406

5.30%,

08/15/29

............

34

33,575

GLP

Capital

LP

4.00%,

01/15/30

............

34

30,149

4.00%,

01/15/31

............

27

23,161

3.25%,

01/15/32

............

40

32,454

Goldman

Sachs

Group,

Inc.

(The)

(b)

(3-mo.

LIBOR

USD

+

1.51%),

3.69%,

06/05/28

..........

30

28,417

(1-Day

SOFR

+

1.28%),

2.62%,

04/22/32

...............

246

204,916

Hasbro,

Inc.,

3.90%

,

11/19/29

.....

11

10,014

HCA,

Inc.

5.88%,

02/01/29

............

21

21,454

5.50%,

06/15/47

............

43

40,364

Herc

Holdings,

Inc.,

5.50%

,

07/15/27

(a)

4

3,860

Hewlett

Packard

Enterprise

Co.

5.90%,

10/01/24

............

40

40,504

4.90%,

10/15/25

(c)

...........

38

37,939

iHeartCommunications

,

Inc.,

5.25%

,

08/15/27

(a)

................

2

1,635

Intel

Corp.

4.88%,

02/10/28

............

60

60,964

4.10%,

05/19/46

............

9

7,632

5.70%,

02/10/53

............

18

18,371

International

Business

Machines

Corp.,

7.00%

,

10/30/25

............

8

8,479

Interpublic

Group

of

Cos.,

Inc.

(The)

4.65%,

10/01/28

............

8

7,849

4.75%,

03/30/30

............

8

7,856

JPMorgan

Chase

&

Co.

(b)

(1-Day

SOFR

+

1.02%),

2.07%,

06/01/29

...............

38

32,972

(1-Day

SOFR

+

1.75%),

4.57%,

06/14/30

...............

27

26,283

(1-Day

SOFR

+

1.25%),

2.58%,

04/22/32

...............

10

8,416

(1-Day

SOFR

+

1.26%),

2.96%,

01/25/33

...............

16

13,681

(1-Day

SOFR

+

1.80%),

4.59%,

04/26/33

...............

151

146,217

KLA

Corp.

3.30%,

03/01/50

............

52

39,748

5.25%,

07/15/62

............

25

25,308

L3Harris

Technologies,

Inc.

2.90%,

12/15/29

............

72

63,640

1.80%,

01/15/31

............

141

113,967

Lam

Research

Corp.,

4.88%

,

03/15/49

25

24,759

Lamar

Media

Corp.,

3.75%

,

02/15/28

2

1,845

Lowe's

Cos.,

Inc.

5.50%,

10/15/35

............

8

8,178

2.80%,

09/15/41

............

30

21,264

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

37

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

Marsh

&

McLennan

Cos.,

Inc.,

5.45%

,

03/15/53

.................

USD

15

$

15,448

Masonite

International

Corp.,

5.38%

,

02/01/28

(a)

................

2

1,910

Medline

Borrower

LP,

3.88%

,

04/01/29

(a)

................

10

8,675

MidAmerican

Energy

Co.

3.65%,

04/15/29

............

63

60,090

4.25%,

07/15/49

............

35

31,278

Moody's

Corp.

4.25%,

08/08/32

............

57

54,882

3.75%,

02/25/52

............

8

6,394

Morgan

Stanley

(b)

(1-Day

SOFR

+

1.14%),

2.70%,

01/22/31

...............

442

380,652

(1-Day

SOFR

+

2.56%),

6.34%,

10/18/33

...............

20

21,844

Motorola

Solutions,

Inc.

5.60%,

06/01/32

............

105

105,612

5.50%,

09/01/44

............

49

46,510

National

Retail

Properties,

Inc.,

3.00%

,

04/15/52

.................

34

21,248

Navient

Corp.

5.88%,

10/25/24

............

2

1,943

6.75%,

06/25/25

............

2

1,944

6.75%,

06/15/26

............

2

1,950

Newmont

Corp.,

2.25%

,

10/01/30

...

41

34,443

Nexstar

Media,

Inc.,

5.63%

,

07/15/27

(a)

4

3,696

Norfolk

Southern

Corp.

3.65%,

08/01/25

............

4

3,888

3.00%,

03/15/32

............

27

23,730

3.94%,

11/01/47

............

27

22,117

3.05%,

05/15/50

............

16

11,074

4.55%,

06/01/53

............

9

8,090

Northern

States

Power

Co.,

2.60%

,

06/01/51

.................

37

24,572

NRG

Energy,

Inc.

2.45%,

12/02/27

(a)

...........

32

27,378

5.75%,

01/15/28

............

2

1,961

5.25%,

06/15/29

(a)

...........

2

1,857

NSTAR

Electric

Co.,

3.95%

,

04/01/30

13

12,587

Nucor

Corp.,

3.95%

,

05/01/28

.....

26

25,016

Ohio

Power

Co.

Series

P,

2.60%,

04/01/30

.....

5

4,335

Series

R,

2.90%,

10/01/51

.....

22

15,023

Omnicom

Group,

Inc.,

2.60%

,

08/01/31

5

4,246

Oncor

Electric

Delivery

Co.

LLC

3.70%,

11/15/28

............

69

66,794

3.10%,

09/15/49

............

36

26,484

Oracle

Corp.

4.30%,

07/08/34

............

20

18,339

3.60%,

04/01/40

............

129

100,122

4.00%,

07/15/46

............

14

10,682

4.00%,

11/15/47

............

4

3,051

3.60%,

04/01/50

............

123

87,243

3.95%,

03/25/51

............

32

24,079

5.55%,

02/06/53

............

15

14,281

4.10%,

03/25/61

............

7

5,149

Outfront

Media

Capital

LLC,

5.00%

,

08/15/27

(a)

................

4

3,603

Owens

Corning,

3.95%

,

08/15/29

...

26

24,493

Paramount

Global,

4.38%

,

03/15/43

.

20

14,212

PECO

Energy

Co.

2.85%,

09/15/51

............

29

19,809

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

4.38%,

08/15/52

............

USD

10

$

9,049

Penske

Truck

Leasing

Co.

LP,

5.88%

,

11/15/27

(a)

................

55

56,164

Pfizer,

Inc.,

1.75%

,

08/18/31

......

38

31,345

Piedmont

Natural

Gas

Co.,

Inc.,

2.50%

,

03/15/31

.................

11

9,177

Post

Holdings,

Inc.

(a)

5.63%,

01/15/28

............

3

2,940

5.50%,

12/15/29

............

2

1,885

Prologis

LP

3.25%,

10/01/26

............

22

21,257

3.88%,

09/15/28

............

7

6,768

Public

Service

Co.

of

New

Hampshire,

5.15%

,

01/15/53

............

18

18,239

Public

Service

Electric

&

Gas

Co.

3.70%,

05/01/28

............

28

26,976

4.90%,

12/15/32

............

36

36,829

3.60%,

12/01/47

............

6

4,818

QUALCOMM,

Inc.

4.25%,

05/20/32

............

23

23,009

6.00%,

05/20/53

............

57

64,760

Realty

Income

Corp.,

3.25%

,

01/15/31

6

5,285

Republic

Services,

Inc.,

3.95%

,

05/15/28

.................

24

23,334

RHP

Hotel

Properties

LP,

4.75%

,

10/15/27

.................

2

1,874

S&P

Global,

Inc.,

4.75%

,

08/01/28

..

34

34,497

Salesforce,

Inc.,

3.05%

,

07/15/61

...

12

8,235

San

Diego

Gas

&

Electric

Co.,

5.35%

,

04/01/53

.................

15

15,448

Select

Medical

Corp.,

6.25%

,

08/15/26

(a)

................

2

1,940

Sherwin-Williams

Co.

(The),

2.30%

,

05/15/30

.................

23

19,517

Sirius

XM

Radio,

Inc.,

5.50%

,

07/01/29

(a)

................

4

3,640

Southern

California

Edison

Co.

Series

A,

4.20%,

03/01/29

.....

64

61,882

2.25%,

06/01/30

............

43

36,525

5.95%,

11/01/32

............

40

43,330

Southwestern

Public

Service

Co.,

Series

8,

3.15%

,

05/01/50

......

26

18,719

Standard

Industries,

Inc.

(a)

5.00%,

02/15/27

............

2

1,900

4.75%,

01/15/28

............

2

1,868

TEGNA,

Inc.

4.63%,

03/15/28

............

2

1,745

5.00%,

09/15/29

............

2

1,729

Tenet

Healthcare

Corp.

4.88%,

01/01/26

............

6

5,882

5.13%,

11/01/27

............

2

1,920

4.38%,

01/15/30

............

3

2,693

Thermo

Fisher

Scientific,

Inc.,

4.95%

,

11/21/32

..................

33

34,244

T-Mobile

USA,

Inc.,

4.75%

,

02/01/28

.

217

214,224

Transcontinental

Gas

Pipe

Line

Co.

LLC

4.60%,

03/15/48

............

42

36,871

3.95%,

05/15/50

............

38

30,211

Union

Pacific

Corp.

3.55%,

05/20/61

............

40

30,275

2.97%,

09/16/62

............

9

5,952

UnitedHealth

Group,

Inc.

4.25%,

06/15/48

............

7

6,303

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

38

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

2.90%,

05/15/50

............

USD

28

$

19,833

6.05%,

02/15/63

............

26

29,602

5.20%,

04/15/63

............

7

7,088

Verisk

Analytics,

Inc.,

5.75%

,

04/01/33

5

5,249

Verizon

Communications,

Inc.

2.55%,

03/21/31

............

166

141,414

2.36%,

03/15/32

............

90

73,836

4.27%,

01/15/36

............

67

62,151

2.65%,

11/20/40

............

45

32,130

3.70%,

03/22/61

............

12

8,948

VICI

Properties

LP

4.25%,

12/01/26

(a)

...........

55

51,316

3.75%,

02/15/27

(a)

...........

40

36,926

4.75%,

02/15/28

............

56

53,083

4.63%,

12/01/29

(a)

...........

38

34,592

4.95%,

02/15/30

............

38

35,658

VMware,

Inc.,

4.70%

,

05/15/30

....

69

66,984

Walt

Disney

Co.

(The),

4.75%

,

09/15/44

.................

24

23,361

Waste

Pro

USA,

Inc.,

5.50%

,

02/15/26

(a)

................

2

1,839

WP

Carey,

Inc.

3.85%,

07/15/29

............

5

4,600

2.40%,

02/01/31

............

13

10,609

9,047,683

Total

Corporate

Bonds

—

28.4%

(Cost:

$13,045,496)

..............................

11,978,673

Foreign

Government

Obligations

Mexico

—

0.4%

United

Mexican

States,

2.66%

,

05/24/31

.................

200

167,400

Panama

—

0.4%

Republic

of

Panama,

3.88%

,

03/17/28

200

191,475

Peru

—

0.1%

Republic

of

Peru,

3.55%

,

03/10/51

..

35

25,567

Uruguay

—

0.1%

Oriental

Republic

of

Uruguay,

5.10%

,

06/18/50

.................

25

25,075

Total

Foreign

Government

Obligations

—

1.0%

(Cost:

$474,491)

................................

409,517

Municipal

Bonds

California

-

0.4%

Bay

Area

Toll

Authority

,

Series

2010S-1,

RB,

7.04%, 04/01/50

.........

20

26,317

Los

Angeles

Community

College

District

,

Series

2010E,

GO,

6.60%, 08/01/42

............

5

6,288

Los

Angeles

Unified

School

District

,

Series

2010RY,

GO,

6.76%, 07/01/34

............

20

23,157

State

of

California

,

Series

2018,

GO,

4.60%, 04/01/38

............

70

67,817

University

of

California

,

Series

2012AD,

RB,

4.86%, 05/15/12

.........

5

4,524

128,103

Security

Par

(000)

Par

(000)

Value

Illinois

-

0.1%

State

of

Illinois

,

Series

2003,

GO,

5.10%, 06/01/33

............

USD

40

$

39,854

New

Jersey

-

0.0%

New

Jersey

Turnpike

Authority

,

Series

2009F,

RB,

7.41%, 01/01/40

....

8

10,058

New

York

-

0.0%

Metropolitan

Transportation

Authority

,

Series

2009A-1,

RB,

5.87%, 11/15/39

............

10

10,031

New

York

City

Municipal

Water

Finance

Authority

,

Series

2010EE,

RB,

6.01%, 06/15/42

............

5

5,756

Port

Authority

of

New

York

&

New

Jersey

,

Series

2011-168,

RB,

4.93%, 10/01/51

............

15

15,295

31,082

Ohio

-

0.0%

American

Municipal

Power,

Inc.

,

Series

2010A,

RB,

8.08%, 02/15/50

....

10

13,717

Texas

-

0.1%

City

of

San

Antonio

Electric

&

Gas

Systems

,

Series

2010A,

RB,

5.81%, 02/01/41

............

10

10,974

State

of

Texas

,

Series

2009A,

GO,

5.52%, 04/01/39

............

15

16,499

27,473

Total

Municipal

Bonds

—

0.6%

(Cost:

$308,960)

................................

250,287

Non-Agency

Mortgage-Backed

Securities

Collateralized

Mortgage

Obligations

—

0.4%

United

States

—

0.4%

Alternative

Loan

Trust

(b)

Series

2006-OA6,

Class

1A1A,

(1-

mo.

LIBOR

USD

at

0.42%

Floor

+

0.42%),

5.27%,

07/25/46

...

18

15,085

Series

2006-OC10,

Class

2A3,

(1-

mo.

LIBOR

USD

at

0.46%

Floor

+

0.46%),

5.31%,

11/25/36

...

190

157,158

172,243

Commercial

Mortgage-Backed

Securities

—

4.3%

Cayman

Islands

—

0.3%

MF1

Multifamily

Housing

Mortgage

Loan

Trust,

Series

2021-W10,

Class

G,

(1-mo.

CME

Term

SOFR

at

4.22%

Floor

+

4.22%),

9.05%,

12/15/34

(a)(b)

...............

125

113,942

United

States

—

4.0%

1211

Avenue

of

the

Americas

Trust,

Series

2015-1211,

Class

A1A2,

3.90%,

08/10/35

(a)

...........

250

233,687

BANK,

Series

2022-BNK41,

Class

A4,

3.79%,

04/15/65

(b)

...........

80

72,397

Beast

Mortgage

Trust,

Series

2021-

SSCP,

Class

A,

(1-mo.

LIBOR

USD

at

0.75%

Floor

+

0.75%),

5.43%,

04/15/36

(a)(b)

...............

30

28,510

BX

Commercial

Mortgage

Trust

(a)(b)

Series

2020-VKNG,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.04%

Floor

+

1.04%),

5.87%,

10/15/37

...

113

110,764

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

39

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

United

States

(continued)

Series

2021-SOAR,

Class

A,

(1-mo.

LIBOR

USD

at

0.67%

Floor

+

0.67%),

5.36%,

06/15/38

....

USD

59

$

56,752

Series

2022-LP2,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.01%

Floor

+

1.01%),

5.84%,

02/15/39

...

56

53,626

BX

Trust,

Series

2022-IND,

Class

A,

(1-mo.

CME

Term

SOFR

at

1.49%

Floor

+

1.49%),

6.32%,

04/15/37

(a)(b)

56

54,734

Commercial

Mortgage

Trust,

Series

2013-300P,

Class

D,

4.39%,

08/10/30

(a)(b)

...............

25

21,250

Credit

Suisse

Mortgage

Capital

Certificates,

Series

2019-ICE4,

Class

A,

(1-mo.

LIBOR

USD

at

0.98%

Floor

+

0.98%),

5.66%,

05/15/36

(a)(b)

...............

60

59,245

DBGS

Mortgage

Trust,

Series

2018-

BIOD,

Class

A,

(1-mo.

LIBOR

USD

at

0.80%

Floor

+

0.80%),

5.49%,

05/15/35

(a)(b)

...............

55

53,859

Grace

Trust,

Series

2020-GRCE,

Class

D,

2.68%,

12/10/40

(a)(b)

........

250

171,918

GS

Mortgage

Securities

Corp.

Trust,

Series

2021-DM,

Class

F,

(1-mo.

LIBOR

USD

at

3.44%

Floor

+

3.44%),

8.12%,

11/15/36

(a)(b)

....

50

44,961

JPMorgan

Chase

Commercial

Mortgage

Securities

Trust

(a)(b)

Series

2021-MHC,

Class

D,

(1-mo.

LIBOR

USD

at

1.70%

Floor

+

1.70%),

6.38%,

04/15/38

....

250

234,941

Series

2022-OPO,

Class

D,

3.45%,

01/05/39

...............

80

58,633

SUMIT

Mortgage

Trust,

Series

2022-

BVUE,

Class

D,

2.89%,

02/12/41

(a)(b)

40

28,938

Velocity

Commercial

Capital

Loan

Trust,

Series

2021-4,

Class

M4,

4.48%,

12/26/51

(a)(b)

..........

465

341,204

Wells

Fargo

Commercial

Mortgage

Trust,

Series

2021-C60,

Class

A4,

2.34%,

08/15/54

............

80

64,921

1,690,340

1,804,282

Total

Non-Agency

Mortgage-Backed

Securities

—

4.7%

(Cost:

$2,258,274)

..............................

1,976,525

Preferred

Securities

Capital

Trusts

—

0.0%

United

States

—

0.0%

State

Street

Corp.,

Series

H

,

(3-mo.

LIBOR

USD

+

2.54%),

5.63%

(b)(e)(f)

27

25,184

Total

Capital

Trusts

—

0.0%  

(Cost:

$27,497)

................................

25,184

Security

Par

(000)

Pa

r

(

000)

Value

U.S.

Government

Sponsored

Agency

Securities

Commercial

Mortgage-Backed

Securities

—

0.1%

Federal

Home

Loan

Mortgage

Corp.

Variable

Rate

Notes,

Series

2018-

W5FX,

Class

CFX,

(1-mo.

LIBOR

USD

+

0.00%),

3.42%, 04/25/28

(a)(b)

USD

50

$

41,790

Mortgage-Backed

Securities

—

50.1%

Federal

National

Mortgage

Association,

3.00%, 12/01/50

............

680

616,788

Government

National

Mortgage

Association

2.00%

,

 08/20/50

-

11/20/50

...

113

96,646

2.50%

,

 10/20/51

-

12/20/51

...

186

163,406

3.00%

,

 03/20/52

..........

283

257,916

3.50%

,

 03/20/52

..........

60

57,058

4.00%

,

 03/20/52

..........

16

15,646

2.00%

,

 04/15/53

(g)

.........

510

432,972

2.50%

,

 04/15/53

(g)

.........

495

435,600

3.00%

,

 04/15/53

(g)

.........

198

180,076

3.50%

,

 04/15/53

(g)

.........

300

280,957

4.00%

,

 04/15/53

(g)

.........

1,989

1,914,405

4.50%

,

 04/15/53

(g)

.........

161

158,577

5.00%

,

 04/15/53

(g)

.........

92

92,115

5.50%

,

 04/15/53

(g)

.........

38

38,430

6.00%

,

 04/15/53

(g)

.........

36

36,671

Uniform

Mortgage-Backed

Securities

1.50%

,

 04/25/38

-

04/25/53

(g)

..

735

611,131

2.00%

,

 04/25/38

-

04/25/53

(g)

..

1,221

1,053,479

2.50%

,

 04/25/38

-

04/25/53

(g)

..

1,169

1,024,210

3.00%

,

 04/25/38

-

05/25/53

(g)

..

1,819

1,640,579

3.50%

,

 04/25/38

-

04/25/53

(g)

..

1,127

1,049,283

4.00%

,

 09/01/47

-

04/01/52

...

1,161

1,116,724

4.50%

,

 06/01/50

..........

250

248,745

2.50%

,

 09/01/50

-

12/01/51

...

2,986

2,585,445

2.00%

,

 10/01/51

-

11/01/51

...

2,786

2,307,462

3.00%

,

 11/01/51

..........

251

230,207

3.50%

,

 11/01/51

..........

943

899,970

6.00%

,

 01/01/53

-

03/01/53

...

354

367,286

4.50%

,

 04/25/53

(g)

.........

305

299,230

5.00%

,

 04/25/53

(g)

.........

1,356

1,351,900

5.50%

,

 04/25/53

(g)

.........

791

798,987

6.00%

,

 04/25/53

(g)

.........

745

760,293

21,122,194

Total

U.S.

Government

Sponsored

Agency

Securities

—

50.2%  

(Cost:

$22,062,938)

..............................

21,163,984

U.S.

Treasury

Obligations

U.S.

Treasury

Bonds

4.50%, 08/15/39

............

208

231,422

1.13%, 05/15/40

-

08/15/40

.....

412

273,240

4.38%, 05/15/40

............

104

113,692

1.38%, 11/15/40

............

206

141,891

1.75%, 08/15/41

............

206

149,157

2.75%, 11/15/47

............

298

247,922

3.00%, 02/15/48

-

08/15/52

.....

403

351,907

3.38%, 11/15/48

............

378

353,297

2.38%, 05/15/51

............

316

242,807

2.00%, 08/15/51

............

63

43,962

1.88%, 11/15/51

............

3

1,907

2.88%, 05/15/52

............

172

147,141

4.00%, 11/15/52

............

23

24,409

3.63%, 02/15/53

............

12

11,914

U.S.

Treasury

Inflation

Linked

Notes

,

1.63%, 10/15/27

............

853

869,683

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

40

(Percentages

shown

are

based

on

Net

Assets)

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Security

Par

(000)

Par

(000)

Value

U.S.

Treasury

Obligations

(continued)

U.S.

Treasury

Notes

2.50%, 04/30/24

............

USD

997

$

975,035

4.38%, 10/31/24

............

44

44,052

0.75%, 11/15/24

............

42

39,705

2.63%, 04/15/25

............

208

202,522

2.75%, 05/15/25

-

08/15/32

.....

1,840

1,741,891

4.50%, 11/15/25

............

33

33,487

4.00%, 12/15/25

-

02/28/30

.....

1,419

1,452,882

0.88%, 09/30/26

............

92

83,317

1.13%, 10/31/26

............

58

52,900

1.25%, 11/30/26

-

08/15/31

.....

709

613,668

1.50%, 01/31/27

............

7

6,444

1.88%, 02/28/27

-

02/28/29

.....

28

26,028

0.63%, 03/31/27

............

189

167,560

0.50%, 04/30/27

-

08/31/27

.....

520

456,534

0.38%, 09/30/27

............

103

89,067

4.13%, 09/30/27

-

11/15/32

.....

95

98,898

3.50%, 01/31/28

-

02/15/33

.....

131

130,613

1.75%, 01/31/29

............

10

9,027

2.88%, 04/30/29

............

44

42,245

3.88%, 09/30/29

-

12/31/29

.....

1,200

1,219,934

1.63%, 05/15/31

............

206

179,035

Total

U.S.

Treasury

Obligations

—

25.8%

(Cost:

$11,341,219)

..............................

10,869,195

Total

Long-Term

Investments

—

123.7%

(Cost:

$55,303,373)

..............................

52,147,643

Shares

Shares

Short-Term

Securities

Money

Market

Funds

—

4.7%

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class,

4.70%

(h)(

i

)

....

1,962,807

1,962,807

Total

Short-Term

Securities

—

4.7%

(Cost:

$1,962,807)

..............................

1,962,807

Total

Options

Purchased

—

0.3%

(Cost:

$135,966

)

................................

127,679

Total

Investments

Before

Options

Written

and

TBA

Sale

Commitments

—

128.7%

(Cost:

$57,402,146)

..............................

54,238,129

Total

Options

Written

—

(0.4)%

(Premiums

Received

—

$(196,950))

..................

(165,762)

Par

(000)

Pa

r

(

000)

TBA

Sale

Commitments

(g)

Government

National

Mortgage

Association,

2.50%, 04/15/53

....

(43)

(37,840)

Uniform

Mortgage-Backed

Securities

2.00%

,

 04/25/53

-

05/25/53

.....

(1,315)

(1,087,475)

2.50%

,

 04/25/53

-

05/25/53

.....

(1,394)

(1,201,527)

3.00%

,

 04/25/53

............

(243)

(217,821)

3.50%

,

 04/25/53

-

05/25/53

.....

(705)

(655,153)

4.00%

,

 04/25/53

............

(493)

(471,510)

4.50%

,

 04/25/53

............

(1,450)

(1,420,704)

5.00%

,

 04/25/53

............

(972)

(969,219)

5.50%

,

 04/25/53

............

(633)

(639,392)

Security

Par

(000)

Par

(000)

Value

TBA

Sale

Commitments

(g)

(continued)

6.00%

,

 04/25/53

............

USD

(645)

$

(658,226)

Total

TBA

Sale

Commitments

—

(17.5)%

(Proceeds:

$(7,314,260))

..........................

(7,358,867)

Total

Investments

Net

of

Options

Written

and

TBA

Sale

Commitments

—

110.8%

(Cost:

$49,890,936)

..............................

46,713,500

Liabilities

in

Excess

of

Other

Assets

—

(10.8)%

...........

(4,563,910)

Net

Assets

—

100.0%

..............................

$

42,149,590

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

41

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Affiliates

Investments

in

issuers

considered

to

be

affiliate(s)

of

the

Fund

during

the six

months

ended

March

31,

2023

for

purposes

of

Section

2(a)(3)

of

the

Investment

Company

Act

of

1940,

as

amended,

were

as

follows:

(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)

Variable

rate

security.

Interest

rate

resets

periodically.

The

rate

shown

is

the

effective

interest

rate

as

of

period

end.

Security

description

also

includes

the

reference

rate

and

spread

if

published

and

available.

(c)

Step

coupon

security.

Coupon

rate

will

either

increase

(step-up

bond)

or

decrease

(step-down

bond)

at

regular

intervals

until

maturity.

Interest

rate

shown

reflects

the

rate

currently

in

effect.

(d)

This

security

may

be

resold

to

qualified

foreign

investors

and

foreign

institutional

buyers

under

Regulation

S

of

the

Securities

Act

of

1933.

(e)

Perpetual

security

with

no

stated

maturity

date.

(f)

Non-income

producing

security.

(g)

Represents

or

includes

a

TBA

transaction.

(h)

Annualized

7-day

yield

as

of

period

end.

(i)

Affiliate

of

the

Fund.

Affiliated

Issuer

Value

at

09/30/22

Purchases

at

Cost

Proceeds

from

Sale

Net

Realized

Gain

(Loss)

Change

in

Unrealized

Appreciation

(Depreciation)

Value

at

03/31/23

Shares

Held

at

03/31/23

Income

Capital

Gain

Distributions

from

Underlying

Funds

BlackRock

Liquidity

Funds,

T-Fund,

Institutional

Class

...

$

2,006,214

$

—

$

(43,407)

(a)

$

—

$

—

$

1,962,807

1,962,807

$

84,931

$

—

—

—

(a)

Represents

net

amount

purchased

(sold).

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

42

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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

Euro-Bund

..............................................................

1

06/08/23

$

147

$

4,935

U.S.

Treasury

Long

Bond

.....................................................

7

06/21/23

920

7,240

U.S.

Treasury

Ultra

Bond

.....................................................

2

06/21/23

283

10,996

U.S.

Treasury

2

Year

Note

....................................................

5

06/30/23

1,033

717

U.S.

Treasury

5

Year

Note

....................................................

31

06/30/23

3,399

55,034

78,922

Short

Contracts

Euro-

Bobl

...............................................................

10

06/08/23

1,278

(29,389)

Euro-BTP

...............................................................

2

06/08/23

250

(8,314)

Euro-Schatz

.............................................................

1

06/08/23

115

(1,100)

Japan

10

Year

Bond

........................................................

1

06/13/23

1,116

(20,294)

U.S.

Treasury

10

Year

Note

...................................................

21

06/21/23

2,416

(46,420)

U.S.

Treasury

10

Year

Ultra

Note

...............................................

12

06/21/23

1,455

(33,261)

3-mo.

SOFR

.............................................................

1

03/19/24

239

143

(138,635)

$

(59,713)

Forward

Foreign

Currency

Exchange

Contracts

Currency

Purchased

Currency

Sold

Counterparty

Settlement

Date

Unrealized

Appreciation  

(Depreciation)

USD

9,765

JPY

1,281,000

Deutsche

Bank

AG

06/21/23

$

4

USD

19,433

EUR

18,000

Morgan

Stanley

&

Co.

International

plc

06/21/23

(176)

USD

2,101,747

EUR

1,947,000

UBS

AG

06/21/23

(19,285)

(19,461)

$

(19,457)

Exchange-Traded

Options

Purchased

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

3-mo.

SOFR

Interest

Futures

....................

29

04/14/23

USD

95.81

USD

7,250

$

725

OTC

Currency

Options

Purchased

Description

Counterparty

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

EUR

Currency

...........................

Goldman

Sachs

International

06/29/23

USD

1.08

EUR

483

$

5,392

$

—

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

43

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Dual

Binary

Options

Purchased

Description

(a)

Counterparty

Units

Expiration

Date

Notional

Amount

(000)

Value

Put

Payout

at

expiry

if

USDJPY

<

128.51

and

JPY

TONAR

10-Year

>

0.89

................

Citibank

NA

12,000

06/30/23

USD

1,542

$

1,200

(a)

Option

only

pays

if

both

terms

are

met

on

the

expiration

date.

OTC

Interest

Rate

Swaptions

Purchased

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.29%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

02/14/24

3.29

%

USD

565

$

25,242

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.31%

Semi-Annual

Bank

of

America

NA

02/15/24

3.31

USD

272

12,390

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.32%

Semi-Annual

Bank

of

America

NA

02/15/24

3.32

USD

281

13,019

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.00%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/28/24

3.00

USD

306

10,757

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.09%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

USD

27

1,481

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.08%

Semi-Annual

Bank

of

America

NA

03/30/26

3.08

USD

93

5,014

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.10%

Semi-Annual

Citibank

NA

03/30/26

3.10

USD

82

4,516

72,419

Put

10-Year

Interest

Rate

Swap

(a)

3.29%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

02/14/24

3.29

USD

565

13,938

10-Year

Interest

Rate

Swap

(a)

3.32%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

02/15/24

3.32

USD

281

6,674

10-Year

Interest

Rate

Swap

(a)

3.31%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

02/15/24

3.31

USD

272

6,583

10-Year

Interest

Rate

Swap

(a)

3.00%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/28/24

3.00

USD

306

10,756

10-Year

Interest

Rate

Swap

(a)

3.09%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/27/26

3.09

USD

27

1,341

10-Year

Interest

Rate

Swap

(a)

3.08%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/30/26

3.08

USD

93

4,615

10-Year

Interest

Rate

Swap

(a)

3.10%

Semi-Annual

1-day

SOFR

Annual

Citibank

NA

03/30/26

3.10

USD

82

4,036

47,943

$

120,362

(a)

Forward

settling

swaption.

Exchange-Traded

Options

Written

Description

Number

of

Contracts

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

3-mo.

SOFR

Interest

Futures

.....................

39

04/14/23

USD

95.13

USD

9,750

$

(244)

OTC

Currency

Options

Written

Description

Counterparty

Expiration

Date

Exercise

Price

Notional

Amount

(000)

Value

Put

EUR

Currency

.............................

Goldman

Sachs

International

06/29/23

USD

1.02

EUR

483

$

(885)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

44

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

OTC

Interest

Rate

Swaptions

Written

Paid

by

the

Fund

Received

by

the

Fund

Description

Rate

Frequency

Rate

Frequency

Counterparty

Expiration

Date

Exercise

Rate

Notional

Amount

(000)

Value

Call

10-Year

Interest

Rate

Swap

(a)

3.11%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

12/19/23

3.11

%

USD

778

$

(25,211)

10-Year

Interest

Rate

Swap

(a)

3.16%

Semi-Annual

1-day

SOFR

Annual

Deutsche

Bank

AG

01/04/24

3.16

USD

243

(8,744)

10-Year

Interest

Rate

Swap

(a)

3.15%

Semi-Annual

1-day

SOFR

Annual

JPMorgan

Chase

Bank

NA

01/08/24

3.15

USD

243

(8,667)

10-Year

Interest

Rate

Swap

(a)

3.11%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

01/10/24

3.11

USD

668

(22,578)

10-Year

Interest

Rate

Swap

(a)

2.95%

Semi-Annual

1-day

SOFR

Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

45

(2,192)

10-Year

Interest

Rate

Swap

(a)

3.02%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.02

USD

107

(5,523)

10-Year

Interest

Rate

Swap

(a)

3.12%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.12

USD

94

(5,228)

10-Year

Interest

Rate

Swap

(a)

3.14%

Semi-Annual

1-day

SOFR

Annual

Goldman

Sachs

International

03/16/26

3.14

USD

124

(7,006)

10-Year

Interest

Rate

Swap

(a)

3.13%

Semi-Annual

1-day

SOFR

Annual

Bank

of

America

NA

03/23/26

3.13

USD

42

(2,358)

(87,507)

Put

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.11%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

12/19/23

3.11

USD

778

(22,946)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.16%

Semi-Annual

Deutsche

Bank

AG

01/04/24

3.16

USD

243

(6,734)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.15%

Semi-Annual

JPMorgan

Chase

Bank

NA

01/08/24

3.15

USD

243

(6,870)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.11%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

01/10/24

3.11

USD

668

(20,113)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

2.95%

Semi-Annual

Morgan

Stanley

&

Co.

International

plc

03/13/26

2.95

USD

45

(2,435)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.02%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.02

USD

107

(5,530)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.12%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.12

USD

94

(4,559)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.14%

Semi-Annual

Goldman

Sachs

International

03/16/26

3.14

USD

124

(5,932)

10-Year

Interest

Rate

Swap

(a)

1-day

SOFR

Annual

3.13%

Semi-Annual

Bank

of

America

NA

03/23/26

3.13

USD

42

(2,007)

(77,126)

$

(164,633)

(a)

Forward

settling

swaption.

Centrally

Cleared

Interest

Rate

Swap

s

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Effective

Date

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

0.21%

Annual

1-day

TONAR

Annual

N/A

02/03/25

JPY

6,998

$

(95)

$

—

$

(95)

0.20%

Annual

1-day

TONAR

Annual

N/A

02/03/25

JPY

6,998

(90)

—

(90)

0.39%

Annual

1-day

TONAR

Annual

N/A

05/02/32

JPY

7,208

770

—

770

0.42%

Annual

1-day

TONAR

Annual

N/A

06/14/32

JPY

16,108

1,515

—

1,515

0.33%

Annual

1-day

TONAR

Annual

N/A

08/01/32

JPY

12,427

2,146

—

2,146

0.57%

Annual

1-day

TONAR

Annual

N/A

10/17/32

JPY

15,443

311

—

311

3.15%

Annual

1-day

SOFR

Annual

02/14/28

(a)

02/14/33

USD

11

(67)

—

(67)

1-day

ESTR

Annual

2.69%

Annual

02/15/28

(a)

02/15/33

EUR

10

6

—

6

3.46%

Annual

1-day

SOFR

Annual

N/A

02/15/33

USD

49

(1,017)

—

(1,017)

0.89%

Annual

1-day

TONAR

Annual

N/A

02/15/33

JPY

4,090

(758)

—

(758)

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

45

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Centrally

Cleared

Interest

Rate

Swaps

(continued)

Paid

by

the

Fund

Received

by

the

Fund

Rate

Frequency

Rate

Frequency

Effective

Date

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

0.90%

Annual

1-day

TONAR

Annual

N/A

02/15/33

JPY

4,090

$

(796)

$

—

$

(796)

0.90%

Annual

1-day

TONAR

Annual

N/A

02/15/33

JPY

8,179

(1,606)

—

(1,606)

0.92%

Annual

1-day

TONAR

Annual

N/A

02/15/33

JPY

11,846

(2,479)

—

(2,479)

3.49%

Annual

1-day

SOFR

Annual

N/A

02/17/33

USD

147

(3,500)

—

(3,500)

3.62%

Annual

1-day

SOFR

Annual

N/A

02/23/33

USD

98

(3,383)

—

(3,383)

3.28%

Annual

1-day

SOFR

Annual

02/24/28

(a)

02/24/33

USD

11

(122)

—

(122)

1-day

ESTR

Annual

2.95%

Annual

03/02/28

(a)

03/02/33

EUR

5

58

—

58

3.45%

Annual

1-day

SOFR

Annual

03/02/28

(a)

03/02/33

USD

5

(98)

—

(98)

3.35%

Annual

1-day

SOFR

Annual

03/03/28

(a)

03/03/33

USD

5

(73)

—

(73)

3.28%

Annual

1-day

SOFR

Annual

03/03/28

(a)

03/03/33

USD

5

(57)

—

(57)

3.78%

Annual

1-day

SOFR

Annual

N/A

03/06/33

USD

147

(7,235)

—

(7,235)

1-day

SOFR

Annual

3.11%

Annual

N/A

03/14/33

USD

98

(765)

39

(804)

1-day

SOFR

Annual

3.31%

Annual

N/A

03/15/33

USD

81

717

—

717

1-day

SOFR

Annual

3.31%

Annual

N/A

03/15/33

USD

66

599

—

599

1-day

SOFR

Annual

3.21%

Annual

N/A

03/17/33

USD

74

80

—

80

1-day

SOFR

Annual

3.22%

Annual

N/A

03/17/33

USD

74

99

—

99

3.35%

Annual

1-day

SOFR

Annual

N/A

03/20/33

USD

22

(282)

—

(282)

1-day

ESTR

Annual

2.74%

Annual

03/22/28

(a)

03/22/33

EUR

5

13

—

13

3.13%

Annual

1-day

SOFR

Annual

03/22/28

(a)

03/22/33

USD

5

(27)

—

(27)

3-mo.

BA

Semi-Annual

3.30%

Semi-Annual

N/A

03/27/33

CAD

3

(4)

—

(4)

3-mo.

BA

Semi-Annual

3.35%

Semi-Annual

N/A

03/30/33

CAD

6

12

(14)

26

2.37%

Annual

1-day

SOFR

Annual

02/03/43

(a)

02/03/53

USD

4

(1)

—

(1)

2.37%

Annual

1-day

SOFR

Annual

02/09/43

(a)

02/09/53

USD

4

(1)

—

(1)

2.47%

Annual

1-day

SOFR

Annual

02/10/43

(a)

02/10/53

USD

5

(26)

—

(26)

2.41%

Annual

1-day

SOFR

Annual

02/17/43

(a)

02/17/53

USD

5

(12)

—

(12)

3.37%

Semi-Annual

3-mo.

BA

Semi-Annual

N/A

03/27/53

CAD

1

2

—

2

3.40%

Semi-Annual

3-mo.

BA

Semi-Annual

N/A

03/30/53

CAD

3

(8)

8

(16)

$

(16,174)

$

33

$

(16,207)

(a)

Forward

swap.

OTC

Credit

Default

Swap

s

—

Buy

Protection

Reference

Obligation/Index

Financing

Rate

Paid

by

the

Fund

Payment

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

Abbott

Laboratories

........

1.00

%

Quarterly

JPMorgan

Chase

Bank

NA

06/20/27

USD

17

$

(437)

$

(330)

$

(107)

$

–

$

–

$

–

OTC

Total

Return

Swaps

Paid

by

the

Fund

Received

by

the

Fund

Rate/Reference

Frequency

Rate/Reference

Frequency

Counterparty

Termination

Date

Notional

Amount

(000)

Value

Upfront

Premium

Paid

(Received)

Unrealized

Appreciation

(Depreciation)

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

Investment

Grade

Total

Return

Index

At

Termination

JPMorgan

Chase

Bank

NA

06/20/23

USD

317

$

3,466

$

(2,991)

$

6,457

1-day

SOFR

.......

Quarterly

iBoxx

USD

Liquid

Investment

Grade

Total

Return

Index

At

Termination

JPMorgan

Chase

Bank

NA

06/20/23

USD

316

4,768

(2,981)

7,749

$

8,234

$

(5,972)

$

14,206

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

46

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

Derivative

Financial

Instruments

Categorized

by

Risk

Exposure

The

following

reference

rates,

and

their

values

as

of

period

end,

are

used

for

security

descriptions:

Reference

Index

Reference

Rate

1-day

ESTR

.........................................

Euro

Short-Term

Rate

993.30

%

1-day

SOFR

.........................................

Secured

Overnight

Financing

Rate

4.87

1-day

TONAR

........................................

Tokyo

Overnight

Average

Rate

(0.03)

3-mo.

BA

...........................................

Canadian

Bankers

Acceptances

5.06

Balances

Reported

in

the

Statements

of

Assets

and

Liabilities

for

Centrally

Cleared

Swaps,

OTC

Swaps

and

Options

Written

Description

Swap

Premiums

Paid

Swap

Premiums

Received

Unrealized

Appreciation

Unrealized

Depreciation

Value

Centrally

Cleared

Swaps

(a)

............................................

$

47

$

(14)

$

6,342

$

(22,549)

$

—

OTC

Swaps

.....................................................

—

(6,302)

14,206

(107)

—

Options

Written

...................................................

N/A

N/A

31,330

(142)

(165,762)

(a)

Includes

cumulative

appreciation

(depreciation)

on

centrally

cleared

swaps,

as

reported

in

the

Schedule

of

Investments.

Only

current

day’s

variation

margin

is

reported

within

the

Statements

of

Assets

and

Liabilities

and

is

net

of

any

previously

paid

(received)

swap

premium

amounts.

As

of

period

end,

the

fair

values

of

derivative

financial

instruments

located

in

the

Statements

of

Assets

and

Liabilities

were

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Assets

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

appreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

79,065

$

—

$

79,065

Forward

foreign

currency

exchange

contracts

Unrealized

appreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

4

—

—

4

Options

purchased

(b)

Investments

at

value

—

unaffiliated

(c)

...........

—

—

—

5,392

121,087

1,200

127,679

Swaps

—

centrally

cleared

Unrealized

appreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

6,342

—

6,342

Swaps

—

OTC

Unrealized

appreciation

on

OTC

swaps;

Swap

premiums

paid

................................

—

—

—

—

14,206

—

14,206

$

—

$

—

$

—

$

5,396

$

220,700

$

1,200

$

227,296

Liabilities

—

Derivative

Financial

Instruments

Futures

contracts

Unrealized

depreciation

on

futures

contracts

(a)

.....

$

—

$

—

$

—

$

—

$

138,778

$

—

$

138,778

Forward

foreign

currency

exchange

contracts

Unrealized

depreciation

on

forward

foreign

currency

exchange

contracts

......................

—

—

—

19,461

—

—

19,461

Options

written

(b)

Options

written

at

value

.....................

—

—

—

885

164,877

—

165,762

Swaps

—

centrally

cleared

Unrealized

depreciation

on

centrally

cleared

swaps

(a)

.

—

—

—

—

22,549

—

22,549

Swaps

—

OTC

Unrealized

depreciation

on

OTC

swaps;

Swap

premiums

received

.............................

—

437

—

—

5,972

—

6,409

$

—

$

437

$

—

$

20,346

$

332,176

$

—

$

352,959

(a)

Net

cumulative

unrealized

appreciation

(depreciation)

on

futures

contracts

and

centrally

cleared

swaps,

if

any,

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).

(b)

Includes

forward

settling

swaptions.

(c)

Includes

options

purchased

at

value

as

reported

in

the

Schedule

of

Investments.

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

47

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

For

more

information

about

the

Fund’s

investment

risks

regarding

derivative

financial

instruments,

refer

to

the

Notes

to

Financial

Statements.

Derivative

Financial

Instruments

—

Offsetting

as

of

Period

End

For

the

period

ended

March

31,

2023,

the

effect

of

derivative

financial

instruments

in

the

Statements

of

Operations

was

as

follows:

Commodity

Contracts

Credit

Contracts

Equity

Contracts

Foreign

Currency

Exchange

Contracts

Interest

Rate

Contracts

Other

Contracts

Total

Net

Realized

Gain

(Loss)

from

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

164,620

$

—

$

164,620

Forward

foreign

currency

exchange

contracts

....

—

—

—

(194,046)

—

—

(194,046)

Options

purchased

(a)

....................

—

—

—

(15,729)

36,729

—

21,000

Options

written

........................

—

—

—

15,459

(170,880)

—

(155,421)

Swaps

..............................

—

(11,353)

—

—

36,815

3,166

28,628

$

—

$

(11,353)

$

—

$

(194,316)

$

67,284

$

3,166

$

(135,219)

Net

Change

in

Unrealized

Appreciation

(Depreciation)

on

Futures

contracts

.......................

$

—

$

—

$

—

$

—

$

101,453

$

—

$

101,453

Forward

foreign

currency

exchange

contracts

....

—

—

—

(115,529)

—

—

(115,529)

Options

purchased

(b)

....................

—

—

—

(4,015)

(68,578)

—

(72,593)

Options

written

........................

—

—

—

2,714

177,741

—

180,455

Swaps

..............................

—

1,204

—

—

2,730

—

3,934

$

—

$

1,204

$

—

$

(116,830)

$

213,346

$

—

$

97,720

(a)

Options

purchased

are

included

in

net

realized

gain

(loss)

from

investments

—

unaffiliated.

(b)

Options

purchased

are

included

in

net

change

in

unrealized

appreciation

(depreciation)

on

investments

—

unaffiliated.

Average

Quarterly

Balances

of

Outstanding

Derivative

Financial

Instruments

Futures

contracts

Average

notional

value

of

contracts

—

long

..................................................................................

$

11,212,644

Average

notional

value

of

contracts

—

short

.................................................................................

$

4,305,805

Forward

foreign

currency

exchange

contracts

Average

amounts

purchased

—

in

USD

....................................................................................

$

2,107,827

Options

Average

value

of

option

contracts

purchased

................................................................................

$

3,659

Average

value

of

option

contracts

written

...................................................................................

$

565

Average

notional

value

of

swaption

contracts

purchased

.........................................................................

$

7,487,252

Average

notional

value

of

swaption

contracts

written

...........................................................................

$

14,171,311

Credit

default

swaps

Average

notional

value

—

buy

protection

...................................................................................

$

16,741

Interest

rate

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

2,545,097

Average

notional

value

—

receives

fixed

rate

................................................................................

$

209,913

Inflation

swaps

Average

notional

value

—

pays

fixed

rate

...................................................................................

$

—

(a)

Average

notional

value

—

receives

fixed

rate

................................................................................

$

—

(a)

Total

return

swaps

Average

notional

value

...............................................................................................

$

316,500

(a)

Derivative

financial

instrument

not

held

at

any

quarter-end.

The

risk

exposure

table

serves

as

an

indicator

of

activity

during

the

period.

The

Fund's

derivative

assets

and

liabilities

(by

type)

were

as

follows:

Assets

Liabilities

Derivative

Financial

Instruments

$

—

Futures

contracts

....................................................................................

$

21,737

$

19,085

Forward

foreign

currency

exchange

contracts

.................................................................

4

19,461

Options

(a)(b)

........................................................................................

127,679

165,762

Swaps

—

centrally

cleared

..............................................................................

232

—

Swaps

—

OTC

(c)

.....................................................................................

14,206

6,409

Total

derivative

assets

and

liabilities

in

the

Statements

of

Assets

and

Liabilities

............................................

$

163,858

$

210,717

Derivatives

not

subject

to

a

Master

Netting

Agreement

or

similar

agreement

("MNA")

........................................

(22,694)

(19,329)

Total

derivative

assets

and

liabilities

subject

to

an

MNA

............................................................

$

141,164

$

191,388

2023

BlackRock

Semi-Annual

Report

to

Shareholders

BlackRock

Sustainable

Total

Return

Fund

48

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

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.

(a)

Includes

options

purchased

at

value

which

is

included

in

Investments

at

value

–

unaffiliated

in

the

Statements

of

Assets

and

Liabilities

and

reported

in

the

Schedule

of

Investments.

(b)

Includes

forward

settling

swaptions.

(c)

Includes

unrealized

appreciation

(depreciation)

on

OTC

swaps

and

swap

premiums

paid/(received)

in

the

Statements

of

Assets

and

Liabilities.

The

following

tables

present

the

Fund's

derivative

assets

and

liabilities

by

counterparty

net

of

amounts

available

for

offset

under

an

MNA

and

net

of

the

related

collateral

received

and

pledged

by

the

Fund:

Counterparty

Derivative

Assets

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Received

Cash

Collateral

Received

Net

Amount

of

Derivative

Assets

(b)(c)

Bank

of

America

NA

..............................

$

48,295

$

(4,365)

$

—

$

—

$

43,930

Citibank

NA

....................................

9,752

—

—

—

9,752

Deutsche

Bank

AG

...............................

4

(4)

—

—

—

Goldman

Sachs

International

........................

5,392

(5,392)

—

—

—

JPMorgan

Chase

Bank

NA

..........................

14,206

(14,206)

—

—

—

Morgan

Stanley

&

Co.

International

plc

..................

63,515

(63,515)

—

—

—

$

141,164

$

(87,482)

$

—

$

—

$

53,682

Counterparty

Derivative

Liabilities

Subject

to

an

MNA

by

Counterparty

Derivatives

Available

for

Offset

(a)

Non-cash

Collateral

Pledged

Cash

Collateral

Pledged

Net

Amount

of

Derivative

Liabilities

(c)(d)

Bank

of

America

NA

..............................

$

4,365

$

(4,365)

$

—

$

—

$

—

Deutsche

Bank

AG

...............................

15,478

(4)

—

—

15,474

Goldman

Sachs

International

........................

34,663

(5,392)

—

—

29,271

JPMorgan

Chase

Bank

NA

..........................

21,946

(14,206)

—

—

7,740

Morgan

Stanley

&

Co.

International

plc

..................

95,651

(63,515)

—

—

32,136

UBS

AG

......................................

19,285

—

—

—

19,285

$

191,388

$

(87,482)

$

—

$

—

$

103,906

(a)

The

amount

of

derivatives

available

for

offset

is

limited

to

the

amount

of

derivative

assets

and/or

liabilities

that

are

subject

to

an

MNA.

(b)

Net

amount

represents

the

net

amount

receivable

from

the

counterparty

in

the

event

of

default.

(c)

Net

amount

may

also

include

forward

foreign

currency

exchange

contracts

that

are

not

required

to

be

collateralized.

(d)

Net

amount

represents

the

net

amount

payable

due

to

the

counterparty

in

the

event

of

default.

Level

1

Level

2

Level

3

Total

Assets

Investments

Long-Term

Investments

Asset-Backed

Securities

...................................

$

—

$

5,474,278

$

—

$

5,474,278

Corporate

Bonds

........................................

—

11,978,673

—

11,978,673

Foreign

Government

Obligations

..............................

—

409,517

—

409,517

Municipal

Bonds

.........................................

—

250,287

—

250,287

Non-Agency

Mortgage-Backed

Securities

........................

—

1,976,525

—

1,976,525

Preferred

Securities

.......................................

—

25,184

—

25,184

U.S.

Government

Sponsored

Agency

Securities

....................

—

21,163,984

—

21,163,984

U.S.

Treasury

Obligations

...................................

—

10,869,195

—

10,869,195

Short-Term

Securities

Money

Market

Funds

......................................

1,962,807

—

—

1,962,807

Options

Purchased

Foreign

currency

exchange

contracts

...........................

—

5,392

—

5,392

Interest

rate

contracts

......................................

725

120,362

—

121,087

Other

contracts

..........................................

—

1,200

—

1,200

BlackRock

Sustainable

Total

Return

Fund

Schedules

of

Investments

49

Schedule

of

Investments

(unaudited)

(continued)

March

31,

2023

See

notes

to

financial

statements.

Level

1

Level

2

Level

3

Total

Liabilities

Investments

TBA

Sale

Commitments

....................................

$

—

$

(7,358,867)

$

—

$

(7,358,867)

$

1,963,532

$

44,915,730

$

—

$

46,879,262

Derivative

Financial

Instruments

(a)

Assets

Foreign

currency

exchange

contracts

............................

$

—

$

4

$

—

$

4

Interest

rate

contracts

.......................................

79,065

20,548

—

99,613

Liabilities

Credit

contracts

...........................................

—

(107)

—

(107)

Foreign

currency

exchange

contracts

............................

—

(20,346)

—

(20,346)

Interest

rate

contracts

.......................................

(139,022)

(187,182)

—

(326,204)

$

(59,957)

$

(187,083)

$

—

$

(247,040)

(a)

Derivative

financial

instruments

are

swaps,

futures

contracts,

forward

foreign

currency

exchange

contracts

and

options

written.

Swaps,

futures

contracts

and

forward

foreign

currency

exchange

contracts

are

valued

at

the

unrealized

appreciation

(depreciation)

on

the

instrument

and

options

written

are

shown

at

value.

Fair

Value

Hierarchy

as

of Period

End

(continued)

Statements

of

Assets

and

Liabilities

(unaudited)

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

50

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

BlackRock

Sustainable

Total

Return

Fund

ASSETS

Investments,

at

value

—

unaffiliated

(a)

..........................................................

$

42,080,586‌

$

46,255,849‌

$

52,275,322‌

Investments,

at

value

—

affiliated

(b)

............................................................

674,502‌

558,511‌

1,962,807‌

Cash  

...............................................................................

45,809‌

11,825‌

—‌

Cash

pledged:

Futures

contracts

......................................................................

28,000‌

220,000‌

105,000‌

Centrally

cleared

swaps

..................................................................

—‌

162,000‌

27,000‌

Foreign

currency,

at

value

(c)

.................................................................

—‌

30,068‌

44,058‌

Receivables:

–‌

–‌

–‌

Investments

sold

......................................................................

36,689‌

944,019‌

304,510‌

TBA

sale

commitments

..................................................................

—‌

997,789‌

7,314,260‌

Dividends

—

affiliated

...................................................................

3,467‌

1,737‌

11,119‌

Interest

—

unaffiliated

...................................................................

573,118‌

263,870‌

273,527‌

From

the

Manager

.....................................................................

28,989‌

14,336‌

29,034‌

Variation

margin

on

futures

contracts

.........................................................

—‌

—‌

21,737‌

Variation

margin

on

centrally

cleared

swaps

....................................................

—‌

—‌

232‌

Unrealized

appreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

—‌

—‌

4‌

OTC

swaps

..........................................................................

—‌

—‌

14,206‌

Prepaid

expenses

.......................................................................

29,241‌

33,875‌

47,098‌

Total

assets

...........................................................................

43,500,401‌

49,493,879‌

62,429,914‌

LIABILITIES

Bank

overdraft

..........................................................................

—‌

—‌

1,064‌

Options

written,

at

value

(d)

..................................................................

1,672‌

—‌

165,762‌

TBA

sale

commitments,

at

value

(e)

............................................................

—‌

1,003,556‌

7,358,867‌

Payables:

–‌

–‌

–‌

Investments

purchased

..................................................................

101,025‌

2,071,508‌

12,489,802‌

Accounting

services

fees

.................................................................

24,750‌

13,460‌

19,839‌

Administration

fees

.....................................................................

—‌

1‌

3‌

Custodian

fees

........................................................................

3,751‌

6,233‌

4,267‌

Income

dividend

distributions

..............................................................

213,858‌

134,001‌

129,623‌

Printing

and

postage

fees

................................................................

34,365‌

1,821‌

645‌

Professional

fees

......................................................................

121,775‌

31,096‌

57,806‌

Registration

fees

......................................................................

589‌

—‌

—‌

Service

fees

.........................................................................

18‌

22‌

19‌

Transfer

agent

fees

....................................................................

616‌

—‌

506‌

Other

accrued

expenses

.................................................................

—‌

4,350‌

7,166‌

Variation

margin

on

futures

contracts

.........................................................

6,363‌

7,037‌

19,085‌

Variation

margin

on

centrally

cleared

swaps

....................................................

—‌

25,118‌

—‌

Swap

premiums

received

..................................................................

—‌

—‌

6,302‌

Unrealized

depreciation

on:

–‌

–‌

–‌

Forward

foreign

currency

exchange

contracts

...................................................

—‌

25,864‌

19,461‌

OTC

swaps

..........................................................................

—‌

—‌

107‌

Total

liabilities

..........................................................................

508,782‌

3,324,067‌

20,280,324‌

NET

ASSETS

..........................................................................

$

42,991,619‌

$

46,169,812‌

$

42,149,590‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

51

Financial

Statements

See

notes

to

financial

statements.

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

BlackRock

Sustainable

Total

Return

Fund

NET

ASSETS

CONSIST

OF:

Paid-in

capital

..........................................................................

$

49,918,867‌

$

49,949,569‌

$

49,945,408‌

Accumulated

loss

.......................................................................

(6,927,248‌)

(3,779,757‌)

(7,795,818‌)

NET

ASSETS

..........................................................................

$

42,991,619‌

$

46,169,812‌

$

42,149,590‌

(a)

  Investments,

at

cost

—

unaffiliated

..........................................................

$

45,774,675‌

$

47,937,034‌

$

55,439,339‌

(b)

  Investments,

at

cost

—

affiliated

............................................................

$

674,502‌

$

558,511‌

$

1,962,807‌

(c)

  Foreign

currency,

at

cost

.................................................................

$

—‌

$

30,250‌

$

43,785‌

(d)

  Premiums

received

....................................................................

$

9,699‌

$

—‌

$

196,950‌

(e)

  Proceeds

received

from

TBA

sale

commitments

.................................................

$

—‌

$

997,789‌

$

7,314,260‌

Statements

of

Assets

and

Liabilities

(unaudited)

(continued)

March

31,

2023

2023

BlackRock

Semi-Annual

Report

to

Shareholders

52

See

notes

to

financial

statements.

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

BlackRock

Sustainable

Total

Return

Fund

NET

ASSET

VALUE

Institutional

Net

assets

............................................................................

$

88,241‌

$

92,297‌

$

84,278‌

Shares

outstanding

.....................................................................

10,264‌

10,000‌

10,000‌

Net

asset

value

........................................................................

$

8.60‌

$

9.23‌

$

8.43‌

Shares

authorized

......................................................................

Unlimited

Unlimited

500

million

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.10‌

Investor

A

Net

assets

............................................................................

$

88,525‌

$

110,414‌

$

94,624‌

Shares

outstanding

.....................................................................

10,297‌

11,963‌

11,228‌

Net

asset

value

........................................................................

$

8.60‌

$

9.23‌

$

8.43‌

Shares

authorized

......................................................................

Unlimited

Unlimited

300

million

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.10‌

Class

K

Net

assets

............................................................................

$

42,814,853‌

$

45,967,101‌

$

41,970,688‌

Shares

outstanding

.....................................................................

4,980,000‌

4,980,330‌

4,980,000‌

Net

asset

value

........................................................................

$

8.60‌

$

9.23‌

$

8.43‌

Shares

authorized

......................................................................

Unlimited

Unlimited

500

million

Par

value

............................................................................

$

0.001‌

$

0.001‌

$

0.10‌

Statements

of

Operations

(unaudited)

Six

Months

Ended

March

31,

2023

53

Financial

Statements

See

notes

to

financial

statements.

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

BlackRock

Sustainable

Total

Return

Fund

INVESTMENT

INCOME

–

–

–

Dividends

—

unaffiliated

.................................................................

$

528‌

$

—‌

$

—‌

Dividends

—

affiliated

...................................................................

23,322‌

15,809‌

84,931‌

Interest

—

unaffiliated

...................................................................

1,232,635‌

805,532‌

707,804‌

Total

investment

income

...................................................................

1,256,485‌

821,341‌

792,735‌

EXPENSES

Investment

advisory

....................................................................

105,689‌

71,228‌

80,860‌

Professional

.........................................................................

90,907‌

46,115‌

63,321‌

Accounting

services

....................................................................

46,236‌

26,229‌

50,512‌

Printing

and

postage

...................................................................

35,247‌

1,416‌

2,638‌

Registration

.........................................................................

31,982‌

29,638‌

35,808‌

Administration

.......................................................................

8,983‌

9,765‌

8,812‌

Custodian

...........................................................................

6,705‌

2,209‌

8,176‌

Administration

—

class

specific

............................................................

4,228‌

4,595‌

4,147‌

Directors

and

Officer

...................................................................

808‌

848‌

916‌

Service

—

class

specific

.................................................................

109‌

137‌

116‌

Transfer

agent

—

class

specific

............................................................

87‌

83‌

80‌

Offering

............................................................................

—‌

6,673‌

8,992‌

Miscellaneous

........................................................................

2,883‌

6,434‌

13,876‌

Total

expenses

.........................................................................

333,864‌

205,370‌

278,254‌

Less:

–‌

–‌

–‌

Administration

fees

waived

...............................................................

(8,983‌)

(9,765‌)

(8,812‌)

Administration

fees

waived

by

the

Manager

—

class

specific

.........................................

(4,218‌)

(4,583‌)

(4,133‌)

Fees

waived

and/or

reimbursed

by

the

Manager

.................................................

(207,889‌)

(110,371‌)

(184,239‌)

Transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific

............................

(68‌)

(59‌)

(60‌)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

112,706‌

80,592‌

81,010‌

Net

investment

income

....................................................................

1,143,779‌

740,749‌

711,725‌

REALIZED

AND

UNREALIZED

GAIN

(LOSS)

$

2,135,918‌

$

626,013‌

$

1,582,984‌

Net

realized

gain

(loss)

from:

Investments

—

unaffiliated

.............................................................

$

(1,305,716‌)

$

(1,145,346‌)

$

(1,343,857‌)

Forward

foreign

currency

exchange

contracts

.................................................

—‌

(235,998‌)

(194,046‌)

Foreign

currency

transactions

...........................................................

—‌

(14,555‌)

(10,749‌)

Futures

contracts

....................................................................

22,297‌

(38,431‌)

164,620‌

Options

written

.....................................................................

12,837‌

—‌

(155,421‌)

Swaps  

..........................................................................

—‌

(45,664‌)

28,628‌

(1,270,582‌)

(1,479,994‌)

(1,510,825‌)

Net

change

in

unrealized

appreciation

(depreciation)

on:

Investments

—

unaffiliated

.............................................................

3,436,918‌

2,352,566‌

2,922,825‌

Forward

foreign

currency

exchange

contracts

.................................................

—‌

(107,864‌)

(115,529‌)

Foreign

currency

translations

............................................................

—‌

116‌

671‌

Futures

contracts

....................................................................

(38,445‌)

(59,327‌)

101,453‌

Options

written

.....................................................................

8,027‌

—‌

180,455‌

Swaps  

..........................................................................

—‌

(79,484‌)

3,934‌

3,406,500‌

2,106,007‌

3,093,809‌

Net

realized

and

unrealized

gain

.............................................................

2,135,918‌

626,013‌

1,582,984‌

NET

INCREASE

IN

NET

ASSETS

RESULTING

FROM

OPERATIONS

....................................

$

3,279,697‌

$

1,366,762‌

$

2,294,709‌

Statements

of

Changes

in

Net

Assets

2023

BlackRock

Semi-Annual

Report

to

Shareholders

54

See

notes

to

financial

statements.

BlackRock

Sustainable

High

Yield

Bond

Fund

BlackRock

Sustainable

Low

Duration

Bond

Fund

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

....................................................

$

1,143,779‌

$

1,844,109‌

$

740,749‌

$

588,548‌

Net

realized

gain

(loss)

....................................................

(1,270,582‌)

(1,686,978‌)

(1,479,994‌)

217,270‌

Net

change

in

unrealized

appreciation

(depreciation)

................................

3,406,500‌

(6,898,321‌)

2,106,007‌

(3,882,106‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

...........................

3,279,697‌

(6,741,190‌)

1,366,762‌

(3,076,288‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(b)

  Institutional

...........................................................

(2,461‌)

(4,082‌)

(2,939‌)

(1,298‌)

  Investor

A

............................................................

(2,370‌)

(3,877‌)

(3,363‌)

(1,738‌)

  Class

K

..............................................................

(1,206,475‌)

(2,040,030‌)

(1,471,118‌)

(664,697‌)

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.........................

(1,211,306‌)

(2,047,989‌)

(1,477,420‌)

(667,733‌)

CAPITAL

SHARE

TRANSACTIONS

Net

increase

in

net

assets

derived

from

capital

share

transactions

.........................

721‌

4,263‌

3,549‌

50,020,942‌

NET

ASSETS

Total

increase

(decrease)

in

net

assets

...........................................

2,069,112‌

(8,784,916‌)

(107,109‌)

46,276,921‌

Beginning

of

period

........................................................

40,922,507‌

49,707,423‌

46,276,921‌

—

End

of

period

............................................................

$

42,991,619‌

$

40,922,507‌

$

46,169,812‌

$

46,276,921‌

(a)

Commencement

of

operations.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Statements

of

Changes

in

Net

Assets

(continued)

55

Financial

Statements

See

notes

to

financial

statements.

BlackRock

Sustainable

Total

Return

Fund

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

INCREASE

(DECREASE)

IN

NET

ASSETS

OPERATIONS

Net

investment

income

..................................................................................

$

711,725‌

$

810,640‌

Net

realized

loss

......................................................................................

(1,510,825‌)

(2,450,609‌)

Net

change

in

unrealized

appreciation

(depreciation)

..............................................................

3,093,809‌

(6,354,000‌)

Net

increase

(decrease)

in

net

assets

resulting

from

operations

.........................................................

2,294,709‌

(7,993,969‌)

DISTRIBUTIONS

TO

SHAREHOLDERS

(b)

  Institutional

.........................................................................................

(2,590‌)

(1,685‌)

  Investor

A

..........................................................................................

(2,782‌)

(1,566‌)

  Class

K

............................................................................................

(1,296,787‌)

(857,656‌)

Decrease

in

net

assets

resulting

from

distributions

to

shareholders

.......................................................

(1,302,159‌)

(860,907‌)

CAPITAL

SHARE

TRANSACTIONS

Net

increase

in

net

assets

derived

from

capital

share

transactions

.......................................................

302‌

50,011,614‌

NET

ASSETS

Total

increase

in

net

assets

.................................................................................

992,852‌

41,156,738‌

Beginning

of

period

......................................................................................

41,156,738‌

—‌

End

of

period

..........................................................................................

$

42,149,590‌

$

41,156,738‌

(a)

Commencement

of

operations.

(b)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

56

BlackRock

Sustainable

High

Yield

Bond

Fund

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Period

from

07/22/21

(a)

to

09/30/21

Net

asset

value,

beginning

of

period

.........................................................

$

8.18

‌

$

9.94

‌

$

10.00

‌

Net

investment

income

(b)

.................................................................

0.23

‌

0.37

‌

0.05

‌

Net

realized

and

unrealized

gain

(loss)

........................................................

0.43

‌

(1.72

)

(0.05

)

Net

increase

(decrease)

from

investment

operations

................................................

0.66

‌

(1.35

)

0.00

‌

Distributions

from

net

investment

income

(c)

....................................................

(0.24

)

(0.41

)

(0.06

)

Net

asset

value,

end

of

period

..............................................................

$

8.60

‌

$

8.18

‌

$

9.94

‌

Total

Return

(d)

—

—

—

Based

on

net

asset

value

..................................................................

8.15

%

(e)

(13.97

)%

0.01

%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.........................................................................

1.60

%

(g)

1.75

%

1.32

%

(g)(h)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

0.57

%

(g)

0.57

%

0.58

%

(g)

Net

investment

income

...................................................................

5.38

%

(g)

3.96

%

2.80

%

(g)

Supplemental

Data

Net

assets,

end

of

period

(000)

..............................................................

$

88

‌

$

83

‌

$

99

‌

Portfolio

turnover

rate

.....................................................................

18

%

47

%

10

%

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Audit,

offering

and

organization

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

would

have

been

2.40%.

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

57

Financial

Highlights

BlackRock

Sustainable

High

Yield

Bond

Fund

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Period

from

07/22/21

(a)

to

09/30/21

Net

asset

value,

beginning

of

period

.........................................................

$

8.18

‌

$

9.94

‌

$

10.00

‌

Net

investment

income

(b)

.................................................................

0.22

‌

0.34

‌

0.05

‌

Net

realized

and

unrealized

gain

(loss)

........................................................

0.43

‌

(1.72

)

(0.05

)

Net

increase

(decrease)

from

investment

operations

................................................

0.65

‌

(1.38

)

0.00

‌

Distributions

from

net

investment

income

(c)

....................................................

(0.23

)

(0.38

)

(0.06

)

Net

asset

value,

end

of

period

..............................................................

$

8.60

‌

$

8.18

‌

$

9.94

‌

Total

Return

(d)

—

—

—

Based

on

net

asset

value

..................................................................

8.01

%

(e)

(14.18

)%

(0.03

)%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.........................................................................

1.86

%

(g)

2.00

%

1.58

%

(g)(h)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

0.82

%

(g)

0.82

%

0.83

%

(g)

Net

investment

income

...................................................................

5.13

%

(g)

3.71

%

2.55

%

(g)

Supplemental

Data

Net

assets,

end

of

period

(000)

..............................................................

$

89

‌

$

84

‌

$

99

‌

Portfolio

turnover

rate

.....................................................................

18

%

47

%

10

%

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Audit,

offering

and

organization

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

would

have

been

2.65%.

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

58

BlackRock

Sustainable

High

Yield

Bond

Fund

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Year

Ended

09/30/22

Period

from

07/22/21

(a)

to

09/30/21

Net

asset

value,

beginning

of

period

.........................................................

$

8.18

‌

$

9.94

‌

$

10.00

‌

Net

investment

income

(b)

.................................................................

0.23

‌

0.37

‌

0.05

‌

Net

realized

and

unrealized

gain

(loss)

........................................................

0.43

‌

(1.72

)

(0.05

)

Net

increase

(decrease)

from

investment

operations

................................................

0.66

‌

(1.35

)

0.00

‌

Distributions

from

net

investment

income

(c)

....................................................

(0.24

)

(0.41

)

(0.06

)

Net

asset

value,

end

of

period

..............................................................

$

8.60

‌

$

8.18

‌

$

9.94

‌

Total

Return

(d)

—

—

—

Based

on

net

asset

value

..................................................................

8.17

%

(e)

(13.93

)%

0.02

%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.........................................................................

1.58

%

(g)

1.46

%

0.96

%

(g)(h)

Total

expenses

after

fees

waived

and/or

reimbursed

................................................

0.53

%

(g)

0.53

%

0.53

%

(g)

Net

investment

income

...................................................................

5.41

%

(g)

4.00

%

2.85

%

(g)

Supplemental

Data

Net

assets,

end

of

period

(000)

..............................................................

$

42,815

‌

$

40,755

‌

$

49,509

‌

Portfolio

turnover

rate

.....................................................................

18

%

47

%

10

%

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Annualized.

(h)

Audit,

offering

and

organization

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

would

have

been

2.04%.

See

notes

to

financial

statements.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

59

Financial

Highlights

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

0.91%

and

0.38%,

respectively.

(h)

Annualized.

(i)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.34%

and

0.39%,

respectively.

(j)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Low

Duration

Bond

Fund

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

9.25

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.15

‌

0.11

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.12

‌

(0.73

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.27

‌

(0.62

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.29

)

(0.13

)

Net

asset

value,

end

of

period

............................................................................

$

9.23

‌

$

9.25

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

3.01

%

(e)

(6.24

)%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.......................................................................................

0.90

%

(g)(h)

1.31

%

(h)(i)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.37

%

(g)

(h)

0.37

%

(h)

(i)

Net

investment

income

.................................................................................

3.19

%

(h)

1.24

%

(h)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

92

‌

$

93

‌

Portfolio

turnover

rate

(j)

..................................................................................

108

%

178

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

96%

167%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

60

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.17%

and

0.64%,

respectively.

(h)

Annualized.

(i)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.50%

and

0.64%,

respectively.

(j)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Low

Duration

Bond

Fund

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

9.25

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.13

‌

0.10

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.13

‌

(0.74

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.26

‌

(0.64

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.28

)

(0.11

)

Net

asset

value,

end

of

period

............................................................................

$

9.23

‌

$

9.25

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

2.88

%

(e)

(6.46

)%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.......................................................................................

1.16

%

(g)(h)

1.48

%

(h)(i)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.63

%

(g)

(h)

0.62

%

(h)

(i)

Net

investment

income

.................................................................................

2.94

%

(h)

1.08

%

(h)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

110

‌

$

110

‌

Portfolio

turnover

rate

(j)

..................................................................................

108

%

178

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

96%

167%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

61

Financial

Highlights

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(g)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

0.89%

and

0.35%,

respectively.

(h)

Annualized.

(i)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.07%

and

0.35%,

respectively.

(j)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Low

Duration

Bond

Fund

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

9.25

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.15

‌

0.12

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.13

‌

(0.74

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.28

‌

(0.62

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.30

)

(0.13

)

Net

asset

value,

end

of

period

............................................................................

$

9.23

‌

$

9.25

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

3.03

%

(e)

(6.20

)%

(e)

Ratios

to

Average

Net

Assets

(f)

Total

expenses

.......................................................................................

0.88

%

(g)(h)

1.04

%

(h)(i)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.34

%

(g)

(h)

0.33

%

(h)

(i)

Net

investment

income

.................................................................................

3.22

%

(h)

1.28

%

(h)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

45,967

‌

$

46,074

‌

Portfolio

turnover

rate

(j)

..................................................................................

108

%

178

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

96%

167%

See

notes

to

financial

statements.

Financial

Highlights

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

62

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.37%

and

0.42%,

respectively.

(i)

Annualized.

(j)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.61%

and

0.43%,

respectively.

(k)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Total

Return

Fund

Institutional

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

8.23

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.14

‌

0.16

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.32

‌

(1.76

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.46

‌

(1.60

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.26

)

(0.17

)

Net

asset

value,

end

of

period

............................................................................

$

8.43

‌

$

8.23

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

5.65

%

(e)

(16.16

)%

(e)(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

.......................................................................................

1.35

%

(h)(i)

1.58

%

(i)(j)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.40

%

(h)

(i)

0.40

%

(i)

(j)

Net

investment

income

.................................................................................

3.40

%

(i)

1.80

%

(i)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

84

‌

$

82

‌

Portfolio

turnover

rate

(k)

..................................................................................

295

%

604

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

182%

360%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

63

Financial

Highlights

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

excludes

the

effects

of

any

sales

charges

and

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.61%

and

0.68%,

respectively.

(i)

Annualized.

(j)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.84%

and

0.73%,

respectively.

(k)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Total

Return

Fund

Investor

A

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

8.23

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.13

‌

0.13

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.32

‌

(1.76

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.45

‌

(1.63

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.25

)

(0.14

)

Net

asset

value,

end

of

period

............................................................................

$

8.43

‌

$

8.23

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

5.52

%

(e)

(16.38

)%

(e)(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

.......................................................................................

1.59

%

(h)(i)

1.81

%

(i)(j)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.66

%

(h)

(i)

0.70

%

(i)

(j)

Net

investment

income

.................................................................................

3.14

%

(i)

1.53

%

(i)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

95

‌

$

92

‌

Portfolio

turnover

rate

(k)

..................................................................................

295

%

604

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

182%

360%

See

notes

to

financial

statements.

Financial

Highlights

(continued)

(For

a

share

outstanding

throughout

each

period)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

64

(a)

Commencement

of

operations.

(b)

Based

on

average

shares

outstanding.

(c)

Distributions

for

annual

periods

determined

in

accordance

with

U.S.

federal

income

tax

regulations.

(d)

Where

applicable,

assumes

the

reinvestment

of

distributions.

(e)

Not

annualized.

(f)

Includes

payment

from

an

affiliate,

which

had

no

impact

on

the

Fund’s

total

return.

(g)

Excludes

fees

and

expenses

incurred

indirectly

as

a

result

of

investments

in

underlying

funds.

(h)

Offering

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.34%

and

0.39%,

respectively.

(i)

Annualized.

(j)

Audit,

offering,

organization

and

printing

costs

were

not

annualized

in

the

calculation

of

the

expense

ratios.

If

these

expenses

were

annualized,

the

total

expenses

and

total

expenses

after

fees

waived

and/or

reimbursed

would

have

been

1.33%

and

0.39%,

respectively.

(k)

Includes

mortgage

dollar

roll

transactions

("MDRs").

Additional

information

regarding

portfolio

turnover

rate

is

as

follows:

BlackRock

Sustainable

Total

Return

Fund

Class

K

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Net

asset

value,

beginning

of

period

.......................................................................

$

8.23

‌

$

10.00

‌

Net

investment

income

(b)

...............................................................................

0.14

‌

0.16

‌

Net

realized

and

unrealized

gain

(loss)

......................................................................

0.32

‌

(1.76

)

Net

increase

(decrease)

from

investment

operations

..............................................................

0.46

‌

(1.60

)

Distributions

from

net

investment

income

(c)

..................................................................

(0.26

)

(0.17

)

Net

asset

value,

end

of

period

............................................................................

$

8.43

‌

$

8.23

‌

Total

Return

(d)

—

—

Based

on

net

asset

value

................................................................................

5.67

%

(e)

(16.12

)%

(e)(f)

Ratios

to

Average

Net

Assets

(g)

Total

expenses

.......................................................................................

1.32

%

(h)(i)

1.30

%

(i)(j)

Total

expenses

after

fees

waived

and/or

reimbursed

..............................................................

0.37

%

(h)

(i)

0.36

%

(i)

(j)

Net

investment

income

.................................................................................

3.43

%

(i)

1.84

%

(i)

Supplemental

Data

Net

assets,

end

of

period

(000)

............................................................................

$

41,971

‌

$

40,982

‌

Portfolio

turnover

rate

(k)

..................................................................................

295

%

604

%

Six

Months

Ended

03/31/23

(unaudited)

Period

from

10/18/21

(a)

to

09/30/22

Portfolio

turnover

rate

(excluding

MDRs)

..............................................................................

182%

360%

See

notes

to

financial

statements.

Notes

to

Financial

Statements

(unaudited)

65

Notes

to

Financial

Statements

1.

ORGANIZATION 

BlackRock

Funds

V

(the

“Trust”) and

BlackRock

Bond

Fund,

Inc.

(the

“Corporation”)

are

each

registered

under

the

Investment

Company

Act

of

1940,

as

amended

(the

“1940

Act”),

as open-end

management

investment

companies.

The

Trust

is

organized

as

a

Massachusetts

business

trust.

The

Corporation

is

organized

as

a

Maryland

corporation.

The

following

are

referred

to

herein

collectively

as

the

“Funds”

or

individually

as

a

“Fund”:

Each Fund

offers

multiple

classes

of

shares.

All

classes

of

shares

have

identical

voting,

dividend,

liquidation

and

other

rights

and

are

subject

to

the

same

terms

and

conditions,

except

that

certain

classes

bear

expenses

related

to

the

shareholder

servicing

and

distribution

of

such

shares. Institutional

and

Class

K

Shares

are

sold

without

a

sales

charge

and

only

to

certain

eligible

investors.

Investor

A

Shares

bear

certain

expenses

related

to

shareholder

servicing

of

such

shares.

Investor

A

Shares

are

generally available

through

financial

intermediaries.

Each

class

has

exclusive

voting

rights

with

respect

to

matters

relating

to

its

shareholder

servicing

and

distribution

expenditures.

(a)

 Investor

A

Shares

may

be

subject

to

a

CDSC

for

certain

redemptions

where

no

initial

sales

charge

was

paid

at

the

time

of

purchase.

The

Board

of

Trustees

of

BlackRock

Funds

V

and

Board

of

Directors

of

BlackRock

Bond

Fund,

Inc.

are

collectively

referred

to

throughout

this

report

as

the

“Board”,

and

the

directors/trustees

thereof

are

collectively

referred

to

throughout

this

report

as

“Directors”.

The

Funds,

together

with

certain

other

registered

investment

companies

advised

by

BlackRock

Advisors,

LLC

(the

“Manager”) or

its

affiliates,

are

included

in

a

complex

of

funds

referred

to

as

the BlackRock

Fixed-Income

Complex.

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

(the

“trade

dates”).

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

dates.

Non-cash

dividends,

if

any,

are

recorded

on

the

ex-dividend

dates

at

fair

value.

Upon

notification

from

issuers,

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.

Interest

income,

including

amortization

and

accretion

of

premiums

and

discounts

on

debt

securities,

are

recognized

daily

on

an

accrual

basis.

Income,

expenses

and

realized

and

unrealized

gains

and

losses

are

allocated

daily

to

each

class

based

on

its

relative

net

assets. For

convertible

securities,

premiums

attributable

to

the

debt

instrument

are

amortized,

but

premiums

attributable

to

the

conversion

feature

are

not

amortized.

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

exchange

rates

determined

as

of

the

close

of

trading

on

the

New

York

Stock

Exchange

(“NYSE”).

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.

Collateralization:

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.  

Distributions:

Distributions

from

net

investment

income

are

declared

daily

and

paid

monthly.

Distributions

of

capital

gains

are

recorded

on

the

ex-dividend

dates

and

made

at

least

annually.

The

character

and

timing

of

distributions

are

determined

in

accordance

with

U.S.

federal

income

tax

regulations,

which

may

differ

from

U.S.

GAAP.

Deferred

Compensation

Plan:

Under

the

Deferred

Compensation

Plan

(the

“Plan”)

approved

by the

Board,

the

Directors

who

are

not

“interested

persons”

of

the

Funds,

as

defined

in

the

1940

Act

(“Independent

Directors

”),

may

defer

a

portion

of

their

annual

complex-wide

compensation.

Deferred

amounts

earn

an

approximate

return

as

though

equivalent

dollar

amounts

had

been

invested

in

common

shares

of

certain

funds

in

the

BlackRock

Fixed-Income

Complex

selected

by

the

Independent

Directors

.

This

has

Registrant

Name

Fund

Name

Herein

Referred

To

As

Diversification

Classification

BlackRock

Funds

V

.....................

BlackRock

Sustainable

High

Yield

Bond

Fund

Sustainable

High

Yield

Bond

Diversified

BlackRock

Funds

V

.....................

BlackRock

Sustainable

Low

Duration

Bond

Fund

Sustainable

Low

Duration

Bond

Diversified

BlackRock

Bond

Fund,

Inc.

................

BlackRock

Sustainable

Total

Return

Fund

Sustainable

Total

Return

Diversified

Share

Class

Initial

Sales

Charge

Contingent

Deferred

Sales

Charge

(“CDSC”)

Conversion

Privilege

Institutional

and

Class

K

Shares

.....................................

No

No

None

Investor

A

Shares

..............................................

Yes

No

(a)

None

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

66

the

same

economic

effect

for

the

Independent 

Directors

as

if

the

Independent 

Directors

had

invested

the

deferred

amounts

directly

in

certain

funds

in

the

BlackRock

Fixed-

Income

Complex.

The

Plan

is

not

funded

and

obligations

thereunder

represent

general

unsecured

claims

against

the

general

assets

of

each

Fund,

as

applicable.

Deferred

compensation

liabilities,

if

any, are

included

in

the

Directors’

and

Officer’s

fees

payable

in

the

Statements

of

Assets

and

Liabilities

and

will

remain

as

a

liability

of

the

Funds

until

such

amounts

are

distributed

in

accordance

with

the

Plan. Net

appreciation

(depreciation)

in

the

value

of

participants’

deferral

accounts

is

allocated

among

the

participating

funds

in

the

BlackRock

Fixed-Income

Complex

and

reflected

as Directors

and

Officer

expense

on

the

Statements

of

Operations.

The Directors

and

Officer

expense

may

be

negative

as

a

result

of

a

decrease

in

value

of

the

deferred

accounts.

Offering

Costs:

Offering

costs

are

amortized

over

a

12-month

period

beginning

with

the

commencement

of

operations

of

a

class

of

shares.  

Indemnifications:

In

the

normal

course

of

business,

a

Fund

enters

into

contracts

that

contain

a

variety

of

representations

that

provide

general

indemnification.

A

Fund’s

maximum

exposure

under

these

arrangements

is

unknown

because

it

involves

future

potential

claims

against

a

Fund,

which

cannot

be

predicted

with

any

certainty.

Other:

Expenses

directly

related

to

a

Fund

or

its

classes

are

charged

to

that

Fund

or

the

applicable

class.

Expenses

directly

related

to

the

Funds

and

other

shared

expenses

prorated

to

the

Funds

are

allocated

daily

to

each

class

based

on

their

relative

net

assets

or

other

appropriate

methods.

Other

operating

expenses

shared

by

several

funds,

including

other

funds

managed

by

the

Manager,

are

prorated

among

those

funds

on

the

basis

of

relative

net

assets

or

other

appropriate

methods. 

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

is

open

for

business

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.

The

Board

of

each

Fund

has

approved

the

designation

of

each

Fund’s

Manager

as

the

valuation

designee

for

each

Fund.

Each

Fund

determines

the

fair

values

of

its

financial

instruments

using

various

independent

dealers

or

pricing

services

under

the

Manager’s

policies.

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

the

Manager’s

policies

and

procedures

as

reflecting

fair

value.

The

Manager

has

formed

a

committee

(the

“Valuation

Committee”)

to

develop

pricing

policies

and

procedures

and

to

oversee

the

pricing

function

for

all

financial

instruments,

with

assistance

from

other

BlackRock

pricing

committees.

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

may

be

valued

at

the

last

available

bid

(long

positions)

or

ask

(short

positions)

price.  

Fixed-income investments

for

which

market

quotations

are

readily

available

are

generally

valued

using

the

last

available

bid

price

or

current

market

quotations

provided

by

independent

dealers

or

third-party

pricing

services. Floating

rate

loan

interests

are

valued

at

the

mean

of

the

bid

prices

from

one

or

more

independent

brokers

or

dealers

as

obtained

from

a

third-party

pricing

service. Pricing

services

generally

value

fixed-income

securities

assuming

orderly

transactions

of

an

institutional

round

lot

size,

but

a

fund

may

hold

or

transact

in

such

securities

in

smaller,

odd

lot

sizes.

Odd

lots

may

trade

at

lower

prices

than

institutional

round

lots.

The

pricing

services

may

use

matrix

pricing

or

valuation

models

that

utilize

certain

inputs

and

assumptions

to

derive

values,

including

transaction

data

(e.g.,

recent

representative

bids

and

offers),

market

data, credit

quality

information,

perceived

market

movements,

news,

and

other

relevant

information.

Certain

fixed-income

securities,

including

asset-

backed

and

mortgage

related

securities

may

be

valued

based

on

valuation

models

that

consider

the

estimated

cash

flows

of

each

tranche

of

the

entity,

establish

a

benchmark

yield

and

develop

an

estimated

tranche

specific

spread

to

the

benchmark

yield

based

on

the

unique

attributes

of

the

tranche.

The

amortized

cost

method

of

valuation

may

be

used

with

respect

to

debt

obligations

with

sixty

days

or

less

remaining

to

maturity

unless

the

Manager

determines

such

method

does

not

represent

fair

value.

Investments

in

open-end

U.S.

mutual

funds

(including

money

market

funds) are

valued

at

that

day’s

published net

asset

value

(“NAV”).

Futures

contracts

are valued

based

on

that

day’s

last

reported

settlement

or

trade price

on

the

exchange

where

the

contract

is

traded.

Forward

foreign

currency

exchange

contracts

are

valued

at

the

mean

between

the

bid

and

ask

prices

and

are

determined

as

of

the

close

of

trading

on

the

NYSE

based

on

that

day’s

prevailing

forward

exchange

rate

for

the

underlying

currencies.

Exchange-traded

options

are

valued

at

the

mean

between

the

last bid

and

ask

prices

at

the

close

of

the

options

market in

which

the

options

trade.

An

exchange-

traded

option

for

which there

is

no

mean

price

is

valued

at

the

last

bid

(long

positions)

or

ask

(short

positions)

price.

If

no

bid

or

ask

price

is

available,

the

prior

day’s

price will

be

used,

unless

it

is

determined

that

the

prior

day’s

price

no

longer

reflects

the

fair

value

of

the

option.

Over-the-counter

(“OTC”)

options

and

options

on

swaps

(“swaptions”)

are

valued

by

an

independent

pricing

service

using

a

mathematical

model,

which

incorporates

a

number

of

market

data

factors,

such

as

the

trades

and

prices

of

the

underlying

instruments.

Swap

agreements

are

valued

utilizing

quotes

received

daily

by

independent pricing

services

or

through

brokers,

which

are

derived

using

daily

swap

curves

and

models

that

incorporate

a

number

of

market

data

factors,

such

as

discounted

cash

flows,

trades

and

values

of

the

underlying

reference

instruments. 

Generally,

trading

in

foreign

instruments

is

substantially

completed

each

day

at

various

times

prior

to

the

close

of

trading

on

the

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

Notes

to

Financial

Statements

(unaudited)

(continued)

67

Notes

to

Financial

Statements

price

is

not

available,

the

investment

will

be

valued

by

the

Valuation

Committee

in

accordance

with

the

Manager’s

policies

and

procedures

as

reflecting

fair

value

(“Fair

Valued

Investments”).

The

fair

valuation

approaches

that

may

be

used

by

the

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

Valuation

Committee

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

Valuation

Committee

deems

relevant

and

consistent

with

the

principles

of

fair

value

measurement.

For

investments

in

equity

or

debt

issued

by

privately

held

companies

or

funds

(“Private

Company”

or

collectively,

the

“Private

Companies”)

and

other

Fair

Valued

Investments,

the

fair

valuation

approaches

that

are

used

by

the

Valuation

Committee

and

third-party

pricing

services

utilized

by

the

Valuation

Committee

include one

or

a

combination

of,

but

not

limited

to,

the

following

inputs.  

Investments

in

series

of

preferred

stock

issued

by

Private

Companies

are

typically

valued

utilizing

market

approach

in

determining

the

enterprise

value

of

the

company.

Such

investments

often

contain

rights

and

preferences

that

differ

from

other

series

of

preferred

and

common

stock

of

the

same

issuer.

Enterprise

valuation

techniques

such

as

an

option

pricing

model

(“OPM”),

a

probability

weighted

expected

return

model

(“PWERM”),

current

value

method or

a

hybrid

of

those

techniques

are

used

as

deemed

appropriate

under

the

circumstances.

The

use

of these

valuation techniques

involve

a

determination

of

the

exit

scenarios

of

the

investment

in

order

to

appropriately

allocate

the

enterprise

value

of

the

company

among

the

various

parts

of

its

capital

structure. 

The

Private

Companies

are

not

subject

to

the

public

company

disclosure,

timing,

and

reporting

standards

applicable

to other

investments

held

by

a

Fund.

Typically,

the

most

recently

available

information

by

a

Private

Company

is

as

of

a

date

that

is

earlier

than

the

date

a

Fund

is

calculating

its

NAV.

This

factor

may

result

in

a

difference

between

the

value

of

the

investment

and

the

price

a

Fund

could

receive

upon

the

sale

of

the

investment. 

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

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

Valuation

Committee

in

determining

the

price

for

Fair

Valued

Investments.

Level

3

investments

include

equity

or

debt

issued

by

Private

Companies

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 

Asset-Backed

and

Mortgage-Backed

Securities:

Asset-backed

securities

are

generally

issued

as

pass-through

certificates

or

as

debt

instruments.

Asset-backed

securities

issued

as

pass-through

certificates

represent

undivided

fractional

ownership

interests

in

an

underlying

pool

of

assets.

Asset-backed

securities

issued

as

debt

instruments,

which

are

also

known

as

collateralized

obligations,

are

typically

issued

as

the

debt

of

a

special

purpose

entity

organized

solely

for

the

purpose

of

owning

such

assets

and

issuing

such

debt.

Asset-backed

securities

are

often

backed

by

a

pool

of

assets

representing

the

obligations

of

a

number

of

different

parties.

The

yield

characteristics

of

certain

asset-backed

securities

may

differ

from

traditional

debt

securities.

One

such

major

difference

is

that

all

or

a

principal

part

of

the

obligations

may

be

prepaid

at

any

time

because

the

underlying

assets

(i.e.,

loans)

may

be

prepaid

at

any

time.

As

a

result,

a

decrease

in

interest

rates

in

the

market

may

result

in

increases

in

the

level

of

prepayments

as

borrowers,

particularly

mortgagors,

refinance

and

repay

their

loans.

An

increased

prepayment

rate

with

respect

to

an

asset-backed

security

will

have

the

Standard

Inputs

Generally

Considered

By

The

Valuation

Committee

And

Third-Party

Pricing

Services

Market

approach

........................

(i)        

recent

market

transactions,

including

subsequent

rounds

of

financing,

in

the

underlying

investment

or

comparable  

            issuers;

(ii)        recapitalizations

and

other

transactions

across

the

capital

structure;

and

(iii)      

market

multiples

of

comparable

issuers.

Income

approach

..........................

(i)        

future

cash

flows

discounted

to

present

and

adjusted

as

appropriate

for

liquidity,

credit,

and/or

market

risks;

(ii)        quoted

prices

for

similar

investments

or

assets

in

active

markets;

and

(iii)      

other

risk

factors,

such

as

interest

rates,

yield

curves,

volatilities,

prepayment

speeds,

loss

severities,

credit

risks,

            recovery

rates,

liquidation

amounts

and/or

default

rates.

Cost

approach

............................

(i)        

audited

or

unaudited

financial

statements,

investor

communications

and

financial

or

operational

metrics

            issued

by

the

Private

Company;

(ii)        changes

in

the

valuation

of

relevant

indices

or

publicly

traded

companies

comparable

to

the

Private

Company;

(iii)      

relevant

news

and

other

public

sources;

and

(iv)      

known

secondary

market

transactions

in

the

Private

Company’s

interests

and

merger

or

acquisition

activity

            in

companies

comparable

to

the

Private

Company.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

68

effect

of

shortening

the

maturity

of

the

security.

In

addition,

a

fund

may

subsequently

have

to

reinvest

the

proceeds

at

lower

interest

rates.

If

a

fund

has

purchased

such

an

asset-backed

security

at

a

premium,

a

faster

than

anticipated

prepayment

rate

could

result

in

a

loss

of

principal

to

the

extent

of

the

premium

paid. 

For

mortgage

pass-through

securities

(the

“Mortgage

Assets”)

there

are

a

number

of

important

differences

among

the

agencies

and

instrumentalities

of

the

U.S.

Government

that

issue

mortgage-related

securities

and

among

the

securities

that

they

issue.

For

example,

mortgage-related

securities

guaranteed

by

Ginnie

Mae

are

guaranteed

as

to

the

timely

payment

of

principal

and

interest

by

Ginnie

Mae

and

such

guarantee

is

backed

by

the

full

faith

and

credit

of

the

United

States.

However,

mortgage-related

securities

issued

by

Freddie

Mac

and

Fannie

Mae,

including

Freddie

Mac

and

Fannie

Mae

guaranteed

mortgage

pass-through

certificates,

which

are

solely

the

obligations

of

Freddie

Mac

and

Fannie

Mae,

are

not

backed

by

or

entitled

to

the

full

faith

and

credit

of

the

United

States,

but

are

supported

by

the

right

of

the

issuer

to

borrow

from

the

U.S.

Treasury. 

Non-agency

mortgage-backed

securities

are

securities

issued

by

non-governmental

issuers

and

have

no

direct

or

indirect

government

guarantees

of

payment

and

are

subject

to

various

risks.

Non-agency

mortgage

loans

are

obligations

of

the

borrowers

thereunder

only

and

are

not

typically

insured

or

guaranteed

by

any

other

person

or

entity.

The

ability

of

a

borrower

to

repay

a

loan

is

dependent

upon

the

income

or

assets

of

the

borrower.

A

number

of

factors,

including

a

general

economic

downturn,

acts

of

God,

terrorism,

social

unrest

and

civil

disturbances,

may

impair

a

borrower’s

ability

to

repay

its

loans.

Collateralized

Debt

Obligations:

Collateralized

debt

obligations

(“CDOs”),

including

collateralized

bond

obligations

(“CBOs”)

and

collateralized

loan

obligations

(“CLOs”),

are

types

of

asset-backed

securities.

A

CDO

is

an

entity

that

is

backed

by

a

diversified

pool

of

debt

securities

(CBOs)

or

syndicated

bank

loans

(CLOs).

The

cash

flows

of

the

CDO

can

be

split

into

multiple

segments,

called

“tranches,”

which

will

vary

in

risk

profile

and

yield.

The

riskiest

segment

is

the

subordinated

or

“equity”

tranche.

This

tranche

bears

the

greatest

risk

of

defaults

from

the

underlying

assets

in

the

CDO

and

serves

to

protect

the

other,

more

senior,

tranches

from

default

in

all

but

the

most

severe

circumstances.

Since

it

is

shielded

from

defaults

by

the

more

junior

tranches,

a

“senior”

tranche

will

typically

have

higher

credit

ratings

and

lower

yields

than

their

underlying

securities,

and

often

receive

investment

grade

ratings

from

one

or

more

of

the

nationally

recognized

rating

agencies.

Despite

the

protection

from

the

more

junior

tranches,

senior

tranches

can

experience

substantial

losses

due

to

actual

defaults,

increased

sensitivity

to

future

defaults

and

the

disappearance

of

one

or

more

protecting

tranches

as

a

result

of

changes

in

the

credit

profile

of

the

underlying

pool

of

assets. 

Multiple

Class

Pass-Through

Securities:

Multiple

class

pass-through

securities,

including

collateralized

mortgage

obligations

(“CMOs”)

and

commercial

mortgage-backed

securities,

may

be

issued

by

Ginnie

Mae,

U.S.

Government

agencies

or

instrumentalities

or

by

trusts

formed

by

private

originators

of,

or

investors

in,

mortgage

loans.

In

general,

CMOs

are

debt

obligations

of

a

legal

entity

that

are

collateralized

by

a

pool

of

residential

or

commercial

mortgage

loans

or

Mortgage

Assets.

The

payments

on

these

are

used

to

make

payments

on

the

CMOs

or

multiple

pass-through

securities.

Multiple

class

pass-through

securities

represent

direct

ownership

interests

in

the

Mortgage

Assets.

Classes

of

CMOs

include

interest

only

(“IOs”),

principal

only

(“POs”),

planned

amortization

classes

and

targeted

amortization

classes.

IOs

and

POs

are

stripped

mortgage-backed

securities

representing

interests

in

a

pool

of

mortgages,

the

cash

flow

from

which

has

been

separated

into

interest

and

principal

components.

IOs

receive

the

interest

portion

of

the

cash

flow

while

POs

receive

the

principal

portion.

IOs

and

POs

can

be

extremely

volatile

in

response

to

changes

in

interest

rates.

As

interest

rates

rise

and

fall,

the

value

of

IOs

tends

to

move

in

the

same

direction

as

interest

rates.

POs

perform

best

when

prepayments

on

the

underlying

mortgages

rise

since

this

increases

the

rate

at

which

the

principal

is

returned

and

the

yield

to

maturity

on

the

PO.

When

payments

on

mortgages

underlying

a

PO

are

slower

than

anticipated,

the

life

of

the

PO

is

lengthened

and

the

yield

to

maturity

is

reduced.

If

the

underlying

Mortgage

Assets

experience

greater

than

anticipated

prepayments

of

principal,

a

fund’s

initial

investment

in

the

IOs

may

not

fully

recoup. 

Zero-Coupon

Bonds:

Zero-coupon

bonds

are

normally

issued

at

a

significant

discount

from

face

value

and

do

not

provide

for

periodic

interest

payments.

These

bonds

may

experience

greater

volatility

in

market

value

than

other

debt

obligations

of

similar

maturity

which

provide

for

regular

interest

payments. 

Capital

Securities

and

Trust

Preferred

Securities:

Capital

securities,

including

trust

preferred

securities,

are

typically

issued

by

corporations,

generally

in

the

form

of

interest-bearing

notes

with

preferred

securities

characteristics.

In

the

case

of

trust

preferred

securities,

an

affiliated

business

trust

of

a

corporation

issues

these

securities,

generally

in

the

form

of

beneficial

interests

in

subordinated

debentures

or

similarly

structured

securities.

The

securities

can

be

structured

with

either

a

fixed

or

adjustable

coupon

that

can

have

either

a

perpetual

or

stated

maturity

date.

For

trust

preferred

securities,

the

issuing

bank

or

corporation

pays

interest

to

the

trust,

which

is

then

distributed

to

holders

of

these

securities

as

a

dividend.

Dividends

can

be

deferred

without

creating

an

event

of

default

or

acceleration,

although

maturity

cannot

take

place

unless

all

cumulative

payment

obligations

have

been

met.

The

deferral

of

payments

does

not

affect

the

purchase

or

sale

of

these

securities

in

the

open

market.

These

securities

generally

are

rated

below

that

of

the

issuing

company’s

senior

debt

securities

and

are

freely

callable

at

the

issuer’s

option. 

Preferred

Stocks:

Preferred

stock

has

a

preference

over

common

stock

in

liquidation

(and

generally

in

receiving

dividends

as

well),

but

is

subordinated

to

the

liabilities

of

the

issuer

in

all

respects.

As

a

general

rule,

the

market

value

of

preferred

stock

with

a

fixed

dividend

rate

and

no

conversion

element

varies

inversely

with

interest

rates

and

perceived

credit

risk,

while

the

market

price

of

convertible

preferred

stock

generally

also

reflects

some

element

of

conversion

value.

Because

preferred

stock

is

junior

to

debt

securities

and

other

obligations

of

the

issuer,

deterioration

in

the

credit

quality

of

the

issuer

will

cause

greater

changes

in

the

value

of

a

preferred

stock

than

in

a

more

senior

debt

security

with

similar

stated

yield

characteristics.

Unlike

interest

payments

on

debt

securities,

preferred

stock

dividends

are

payable

only

if

declared

by

the

issuer’s

board

of

directors.

Preferred

stock

also

may

be

subject

to

optional

or

mandatory

redemption

provisions. 

Floating

Rate

Loan

Interests:

Floating

rate

loan

interests

are

typically

issued

to

companies

(the

“borrower”)

by

banks,

other

financial

institutions,

or

privately

and

publicly

offered

corporations

(the

“lender”).

Floating

rate

loan

interests

are

generally

non-investment

grade,

often

involve

borrowers

whose

financial

condition

is

troubled

or

uncertain

and

companies

that

are

highly

leveraged

or

in

bankruptcy

proceedings.

In

addition,

transactions

in

floating

rate

loan

interests

may

settle

on

a

delayed

basis,

which

may

result

in

proceeds

from

the

sale

not

being

readily

available

for

a

fund

to

make

additional

investments

or

meet

its

redemption

obligations.

Floating

rate

loan

interests

may

include

fully

funded

term

loans

or

revolving

lines

of

credit.

Floating

rate

loan

interests

are

typically

senior

in

the

corporate

capital

structure

of

the

borrower.

Floating

rate

loan

interests

generally

pay

interest

at

rates

that

are

periodically

determined

by

reference

to

a

base

lending

rate

plus

a

premium.

Since

the

rates

reset

only

periodically,

changes

in

prevailing

interest

rates

(and

particularly

sudden

and

significant

changes)

can

be

expected

to

cause

some

fluctuations

in

the

NAV

of

a

fund

to

the

extent

that

it

invests

in

floating

rate

loan

interests.

The

base

lending

rates

are

generally

the

lending

rate

offered

by

one

or

more

European

banks,

such

as

the

London

Interbank

Offered

Rate

(“LIBOR”),

the

prime

rate

offered

by

one

or

more

U.S.

banks

or

the

certificate

of

deposit

rate.

Floating

rate

loan

interests

may

involve

foreign

borrowers,

and

investments

may

be

denominated

in

foreign

currencies.

These

investments

are

treated

as

investments

in

debt

securities

for

purposes

of

a

fund’s

investment

policies. 

When

a

fund

purchases

a

floating

rate

loan

interest,

it

may

receive

a

facility

fee

and

when

it

sells

a

floating

rate

loan

interest,

it

may

pay

a

facility

fee.

On

an

ongoing

basis,

a

fund

may

receive

a

commitment

fee

based

on

the

undrawn

portion

of

the

underlying

line

of

credit

amount

of

a

floating

rate

loan

interest.

Facility

and

commitment

fees

are

Notes

to

Financial

Statements

(unaudited)

(continued)

69

Notes

to

Financial

Statements

typically

amortized

to

income

over

the

term

of

the

loan

or

term

of

the

commitment,

respectively.

Consent

and

amendment

fees

are

recorded

to

income

as

earned.

Prepayment

penalty

fees,

which

may

be

received

by

a

fund

upon

the

prepayment

of

a

floating

rate

loan

interest

by

a

borrower,

are

recorded

as

realized

gains.

A

fund

may

invest

in

multiple

series

or

tranches

of

a

loan.

A

different

series

or

tranche

may

have

varying

terms

and

carry

different

associated

risks.

Floating

rate

loan

interests

are

usually

freely

callable

at

the

borrower’s

option.

A

fund

may

invest

in

such

loans

in

the

form

of

participations

in

loans

(“Participations”)

or

assignments

(“Assignments”)

of

all

or

a

portion

of

loans

from

third

parties.

Participations

typically

will

result

in

a

fund

having

a

contractual

relationship

only

with

the

lender,

not

with

the

borrower.

A

fund

has

the

right

to

receive

payments

of

principal,

interest

and

any

fees

to

which

it

is

entitled

only

from

the

lender

selling

the

Participation

and

only

upon

receipt

by

the

lender

of

the

payments

from

the

borrower.

In

connection

with

purchasing

Participations,

a

fund

generally

will

have

no

right

to

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement,

nor

any

rights

of

offset

against

the

borrower.

A

fund

may

not

benefit

directly

from

any

collateral

supporting

the

loan

in

which

it

has

purchased

the

Participation.

As

a

result,

a

fund

assumes

the

credit

risk

of

both

the

borrower

and

the

lender

that

is

selling

the

Participation.

A

fund’s

investment

in

loan

participation

interests

involves

the

risk

of

insolvency

of

the

financial

intermediaries

who

are

parties

to

the

transactions.

In

the

event

of

the

insolvency

of

the

lender

selling

the

Participation,

a

fund

may

be

treated

as

a

general

creditor

of

the

lender

and

may

not

benefit

from

any

offset

between

the

lender

and

the

borrower.

Assignments

typically

result

in

a

fund

having

a

direct

contractual

relationship

with

the

borrower,

and

a

fund

may

enforce

compliance

by

the

borrower

with

the

terms

of

the

loan

agreement.

TBA

Commitments:

TBA

commitments

are

forward

agreements

for

the

purchase

or

sale

of

securities,

including

mortgage-backed

securities

for

a

fixed

price,

with

payment

and

delivery

on

an

agreed

upon

future

settlement

date.

The

specific

securities

to

be

delivered

are

not

identified

at

the

trade

date.

However,

delivered

securities

must

meet

specified

terms,

including

issuer,

rate

and

mortgage

terms.

When

entering

into

TBA

commitments,

a

fund

may

take

possession

of

or

deliver

the

underlying

mortgage-backed

securities

but

can

extend

the

settlement

or

roll

the

transaction.

TBA

commitments

involve

a

risk

of

loss

if

the

value

of

the

security

to

be

purchased

or

sold

declines

or

increases,

respectively,

prior

to

settlement

date,

if

there

are

expenses

or

delays

in

connection

with

the

TBA

transactions,

or

if

the

counterparty

fails

to

complete

the

transaction.

In

order

to

better

define

contractual

rights

and

to

secure

rights

that

will

help

a

fund

mitigate its

counterparty

risk,

TBA

commitments

may

be

entered

into

by

a

fund

under

Master

Securities

Forward

Transaction

Agreements

(each,

an

“MSFTA”).

An

MSFTA

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

default

and/or

termination

event. The

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

the

collateral

currently

pledged

by

a

fund

and

the

counterparty. Cash

collateral

that

has

been

pledged

to

cover

the

obligations

of

a

fund

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

for

TBA

commitments

or

cash

received

as

collateral

for

TBA

commitments,

respectively.

Non-cash

collateral

pledged

by

a

fund,

if

any,

is

noted

in

the

Schedules

of

Investments. Typically,

a

fund

is

permitted

to

sell,

re-pledge

or

use

the

collateral

it

receives;

however,

the

counterparty

is

not

permitted

to

do

so.

To

the

extent

amounts

due

to

a

fund

are

not

fully

collateralized,

contractually

or

otherwise,

a

fund

bears

the

risk

of

loss

from

counterparty

non-performance.

Mortgage

Dollar

Roll

Transactions

:

The

Funds

may

sell

TBA

mortgage-backed

securities

and

simultaneously

contract

to

repurchase

substantially

similar

(i.e.,

same

type,

coupon

and

maturity)

securities

on

a

specific

future

date

at

an

agreed

upon

price.

During

the

period

between

the

sale

and

repurchase,

a

fund

is

not

entitled

to

receive

interest

and

principal

payments

on

the

securities

sold.

Mortgage

dollar

roll

transactions

are

treated

as

purchases

and

sales

and

a

fund realizes

gains

and

losses

on

these

transactions.

Mortgage

dollar

rolls

involve

the

risk

that

the

market

value

of

the

securities

that

a

fund

is

required

to

purchase

may

decline

below

the

agreed

upon

repurchase

price

of

those

securities. 

5.

Derivative

Financial

Instruments

The

Funds

engage

in

various

portfolio

investment

strategies

using

derivative

contracts

both

to

increase

the

returns

of

the

Funds

and/or

to

manage

their

exposure

to

certain

risks

such

as

credit

risk,

equity

risk,

interest

rate

risk,

foreign

currency

exchange

rate

risk,

commodity

price

risk

or

other

risks

(e.g.,

inflation

risk).

Derivative

financial

instruments

categorized

by

risk

exposure

are

included

in

the

Schedules

of

Investments.

These

contracts

may

be

transacted

on

an

exchange

or

OTC.

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

Schedules

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.

Forward

Foreign

Currency

Exchange

Contracts

:

Forward

foreign

currency

exchange

contracts

are

entered

into

to

gain

or

reduce

exposure

to

foreign

currencies

(foreign

currency

exchange

rate

risk).

A

forward

foreign

currency

exchange

contract

is

an

agreement

between

two

parties

to

buy

and

sell

a

currency

at

a

set

exchange

rate

on

a

specified

date.

These

contracts

help

to

manage

the

overall

exposure

to

the

currencies

in

which

some

of

the

investments

held

by

the

Funds

are

denominated

and

in

some

cases,

may

be

used

to

obtain

exposure

to

a

particular

market.

The

contracts

are

traded

OTC

and

not

on

an

organized

exchange.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

70

The

contract

is

marked-to-market

daily

and

the

change

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

in

the

Statements

of

Assets

and

Liabilities.

When

a

contract

is

closed,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

value

at

the

time

it

was

opened

and

the

value

at

the

time

it

was

closed.

Non-deliverable

forward

foreign

currency

exchange

contracts

are

settled

with

the

counterparty

in

cash

without

the

delivery

of

foreign

currency.

The

use

of

forward

foreign

currency

exchange

contracts

involves

the

risk

that

the

value

of

a

forward

foreign

currency

exchange

contract

changes

unfavorably

due

to

movements

in

the

value

of

the

referenced

foreign

currencies,

and

such

value

may

exceed

the

amount(s)

reflected

in

the Statements

of

Assets

and

Liabilities. Cash

amounts

pledged

for

forward

foreign

currency

exchange

contracts

are

considered

restricted

and

are

included

in

cash

pledged

as

collateral

for

OTC

derivatives

in

the

Statements

of

Assets

and

Liabilities.

A

Fund’s

risk

of

loss

from

counterparty

credit

risk

on

OTC

derivatives

is

generally

limited

to

the

aggregate

unrealized

gain

netted

against

any

collateral

held

by

the

Fund.

Options:

The

Funds

may purchase

and

write

call

and

put

options

to

increase

or

decrease

their

exposure

to

the

risks

of

underlying

instruments,

including

equity

risk,

interest

rate

risk

and/or

commodity

price

risk

and/or,

in

the

case

of

options

written,

to

generate

gains

from

options

premiums.

A

call

option

gives

the

purchaser

(holder)

of

the

option

the

right

(but

not

the

obligation)

to

buy,

and

obligates

the

seller

(writer)

to

sell

(when

the

option

is

exercised)

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

A

put

option

gives

the

holder

the

right

to

sell

and

obligates

the

writer

to

buy

the

underlying

instrument

at

the

exercise

or

strike

price

at

any

time

or

at

a

specified

time

during

the

option

period.

Premiums

paid

on

options

purchased

and

premiums

received

on

options

written,

as

well

as

the

daily

fluctuation

in

market

value,

are

included

in

investments

at

value

–

unaffiliated

and

options

written

at

value,

respectively,

in

the

Statements

of

Assets

and

Liabilities.

When

an

instrument

is

purchased

or

sold

through

the

exercise

of

an

option,

the

premium

is

offset

against

the

cost

or

proceeds

of

the

underlying

instrument.

When

an

option

expires,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

of

the

premiums

received

or

paid.

When

an

option

is

closed

or

sold,

a

gain

or

loss

is

recorded

in

the

Statements

of

Operations

to

the

extent

the

cost

of

the

closing

transaction

exceeds

the

premiums

received

or

paid.

When

the

Funds

write

a

call

option,

such

option

is

typically

“covered,”

meaning

that

they

hold

the

underlying

instrument

subject

to

being

called

by

the

option

counterparty.

When

the

Funds

write

a

put

option,

cash

is

segregated

in

an

amount

sufficient

to

cover

the

obligation.

These

amounts,

which

are

considered

restricted,

are

included

in

cash

pledged

as

collateral

for

options

written

in

the

Statements

of

Assets

and

Liabilities.

Swaptions

–

The

Funds

may purchase

and

write

swaptions

primarily

to

preserve

a

return

or

spread

on

a

particular

investment

or

portion

of

the

Funds’

holdings,

as

a

duration

management

technique

or

to

protect

against

an

increase

in

the

price

of

securities

it

anticipates

purchasing

at

a

later

date.

The

purchaser

and

writer

of

a

swaption

is

buying

or

granting

the

right

to

enter

into

a

previously

agreed

upon

interest

rate

or

credit

default

swap

agreement

(interest

rate

risk

and/or

credit

risk)

at

any

time

before

the

expiration

of

the

option.

Foreign

currency

options

– The

Funds

may purchase

and

write

foreign

currency

options,

foreign

currency

futures

and

options

on

foreign

currency

futures

to

gain

or

reduce

exposure

to

foreign

currencies

(foreign

currency

exchange

rate

risk).

Foreign

currency

options

give

the

purchaser

the

right

to

buy

from

or

sell

to

the

writer

a

foreign

currency

at

any

time

before

the

expiration

of

the

option.

In

purchasing

and

writing

options,

the

Funds

bear

the

risk

of

an

unfavorable

change

in

the

value

of

the

underlying

instrument

or

the

risk

that

they

may

not

be

able

to

enter

into

a

closing

transaction

due

to

an

illiquid

market.

Exercise

of

a

written

option

could

result

in

the

Funds

purchasing

or

selling

a

security

when they

otherwise

would

not,

or

at

a

price

different

from

the

current

market

value.

Swaps:

Swap

contracts

are

entered

into

to

manage

exposure

to

issuers,

markets

and

securities.

Such

contracts

are

agreements

between

the

Funds

and

a

counterparty

to

make

periodic

net

payments

on

a

specified

notional

amount

or

a

net

payment

upon

termination.

Swap

agreements

are

privately

negotiated

in

the

OTC

market

and

may

be

entered

into

as

a

bilateral

contract

(“OTC

swaps”)

or

centrally

cleared

(“centrally

cleared

swaps”).

For

OTC

swaps,

any

upfront

premiums

paid

and

any

upfront

fees

received

are

shown

as

swap

premiums

paid

and

swap

premiums

received,

respectively,

in

the

Statements

of

Assets

and

Liabilities

and

amortized

over

the

term

of

the

contract.

The

daily

fluctuation

in

market

value

is

recorded

as

unrealized

appreciation

(depreciation)

on

OTC

Swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

or

paid

are

recorded

in

the

Statements

of

Operations

as

realized

gains

or

losses,

respectively.

When

an

OTC

swap

is

terminated,

a

realized

gain

or

loss

is

recorded

in

the

Statements

of

Operations

equal

to

the

difference

between

the

proceeds

from

(or

cost

of)

the

closing

transaction

and

the

Funds’

basis

in

the

contract,

if

any.

Generally,

the

basis

of

the

contract

is

the

premium

received

or

paid.

In

a

centrally

cleared

swap,

immediately

following

execution

of

the

swap

contract,

the

swap

contract

is

novated

to

a

central

counterparty

(the

“CCP”)

and

the

CCP

becomes

the Funds’

counterparty

on

the

swap. Each

Fund is

required

to

interface

with

the

CCP

through

the

broker.

Upon

entering

into

a

centrally

cleared

swap, each

Fund is

required

to

deposit

initial

margin

with

the

broker

in

the

form

of

cash

or

securities

in

an

amount

that

varies

depending

on

the

size

and

risk

profile

of

the

particular

swap.

Securities

deposited

as

initial

margin

are

designated

in

the

Schedules

of

Investments

and

cash

deposited

is

shown

as

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Amounts

pledged,

which

are

considered

restricted

cash,

are

included

in

cash

pledged

for

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Pursuant

to

the

contract, each

Fund

agrees

to

receive

from

or

pay

to

the

broker

variation

margin.

Variation

margin

is

recorded

as

unrealized

appreciation

(depreciation)

and

shown

as

variation

margin

receivable

(or

payable)

on

centrally

cleared

swaps

in

the

Statements

of

Assets

and

Liabilities.

Payments

received

from

(paid

to)

the

counterparty

are

amortized

over

the

term

of

the

contract

and recorded

as

realized

gains

(losses)

in

the

Statements

of

Operations,

including

those

at

termination.

Credit

default

swaps

—

Credit

default

swaps

are

entered

into

to

manage

exposure

to

the

market

or

certain

sectors

of

the

market,

to

reduce

risk

exposure

to

defaults

of

corporate

and/or

sovereign

issuers

or

to

create

exposure

to

corporate

and/or

sovereign

issuers

to

which

a

fund

is

not

otherwise

exposed

(credit

risk).

The

Funds

may

either

buy

or

sell

(write)

credit

default

swaps

on

single-name

issuers

(corporate

or

sovereign),

a

combination

or

basket

of

single-name

issuers

or

traded

indexes.

Credit

default

swaps

are

agreements

in

which

the

protection

buyer

pays

fixed

periodic

payments

to

the

seller

in

consideration

for

a

promise

from

the

protection

seller

to

make

a

specific

payment

should

a

negative

credit

event

take

place

with

respect

to

the

referenced

entity

(e.g.,

bankruptcy,

failure

to

pay,

obligation

acceleration,

repudiation,

moratorium

or

restructuring).

As

a

buyer,

if

an

underlying

credit

event

occurs,

the

Funds

will

either

(i)

receive

from

the

seller

an

amount

equal

to

the

notional

amount

of

the

swap

and

deliver

the

referenced

security

or

underlying

securities

comprising

the

index,

or

(ii)

receive

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

As

a

seller

(writer),

if

an

underlying

credit

event

occurs,

the

Funds

will

either

pay

the

buyer

an

amount

equal

to

the

notional

amount

of

the

swap

and

take

delivery

of

the

referenced

security

or

underlying

securities

Notes

to

Financial

Statements

(unaudited)

(continued)

71

Notes

to

Financial

Statements

comprising

the

index

or

pay

a

net

settlement

of

cash

equal

to

the

notional

amount

of

the

swap

less

the

recovery

value

of

the

security

or

underlying

securities

comprising

the

index.

Total

return

swaps

—

Total

return

swaps

are

entered

into

to

obtain

exposure

to

a

security

or

market

without

owning

such

security

or

investing

directly

in

such

market

or

to

exchange

the

risk/return

of

one

security

or

market

(e.g.,

fixed-income)

with

another

security

or

market

(e.g.,

equity

or

commodity

prices)

(equity

risk,

commodity

price

risk

and/or

interest

rate

risk).

Total

return

swaps

are

agreements

in

which

there

is

an

exchange

of

cash

flows

whereby

one

party

commits

to

make

payments

based

on

the

total

return

(distributions

plus

capital

gains/losses)

of

an

underlying

instrument,

or

basket

of

underlying

instruments,

in

exchange

for

fixed

or

floating

rate

interest

payments.

If

the

total

return

of

the

instrument(s)

or

index

underlying

the

transaction

exceeds

or

falls

short

of

the

offsetting

fixed

or

floating

interest

rate

obligation,

the

Funds

receive

payment

from

or

make

a

payment

to

the

counterparty.

Interest

rate

swaps

—

Interest

rate

swaps

are

entered

into

to

gain

or

reduce

exposure

to

interest

rates

or

to

manage

duration,

the

yield

curve

or

interest

rate

(interest

rate

risk).

Interest

rate

swaps

are

agreements

in

which

one

party

pays

a

stream

of

interest

payments,

either

fixed

or

floating,

in

exchange

for

another

party’s

stream

of

interest

payments,

either

fixed

or

floating,

on

the

same

notional

amount

for

a

specified

period

of

time.

In

more

complex

interest

rate

swaps,

the

notional

principal

amount

may

decline

(or

amortize)

over

time.

Forward

swaps

— The

Funds

may enter

into

forward

interest

rate

swaps

and

forward

total

return

swaps.

In

a

forward

swap,

each

Fund

and

the

counterparty

agree

to

make

periodic

net

payments

beginning

on

a

specified

date

or

a

net

payment

at

termination.

Swap

transactions

involve,

to

varying

degrees,

elements

of

interest

rate,

credit

and

market

risks

in

excess

of

the

amounts

recognized

in

the

Statements

of

Assets

and

Liabilities.

Such

risks

involve

the

possibility

that

there

will

be

no

liquid

market

for

these

agreements,

that

the

counterparty

to

the

agreements

may

default

on

its

obligation

to

perform

or

disagree

as

to

the

meaning

of

the

contractual

terms

in

the

agreements,

and

that

there

may

be

unfavorable

changes

in

interest

rates

and/or

market

values

associated

with

these

transactions.

Master

Netting

Arrangements:

In

order

to

define

its

contractual

rights

and

to

secure

rights

that

will

help

it mitigate its

counterparty

risk, a

Fund

may

enter

into

an

International

Swaps

and

Derivatives

Association,

Inc.

Master

Agreement

(“ISDA

Master

Agreement”)

or

similar

agreement

with

its

counterparties.

An

ISDA

Master

Agreement

is

a

bilateral

agreement

between a

Fund

and

a

counterparty

that

governs

certain

OTC

derivatives

and

typically

contains,

among

other

things,

collateral

posting

terms

and

netting

provisions

in

the

event

of

a

default

and/or

termination

event.

Under

an

ISDA

Master

Agreement, a

Fund

may,

under

certain

circumstances,

offset

with

the

counterparty

certain

derivative

financial

instruments’

payables

and/or

receivables

with

collateral

held

and/or

posted

and

create

one

single

net

payment.

The

provisions

of

the

ISDA

Master

Agreement

typically

permit

a

single

net

payment

in

the

event

of

default

including

the

bankruptcy

or

insolvency

of

the

counterparty.

However,

bankruptcy

or

insolvency

laws

of

a

particular

jurisdiction

may

impose

restrictions

on

or

prohibitions

against

the

right

of

offset

in

bankruptcy,

insolvency

or

other

events.

Collateral

Requirements:

For

derivatives

traded

under

an

ISDA

Master

Agreement,

the

collateral

requirements

are

typically

calculated

by

netting

the

mark-to-market

amount

for

each

transaction

under

such

agreement

and

comparing

that

amount

to

the

value

of

any

collateral

currently

pledged

by

the

Fund(s)

and

the

counterparty.

Cash

collateral

that

has

been

pledged

to

cover

obligations

of

the

Funds

and

cash

collateral

received

from

the

counterparty,

if

any,

is

reported

separately

in

the

Statements

of

Assets

and

Liabilities

as

cash

pledged

as

collateral

and

cash

received

as

collateral,

respectively.

Non-cash

collateral

pledged

by

the

Funds,

if

any,

is

noted

in

the

Schedules

of

Investments.

Generally,

the

amount

of

collateral

due

from

or

to

a

counterparty

is

subject

to

a

certain

minimum

transfer

amount

threshold

before

a

transfer

is

required,

which

is

determined

at

the

close

of

business

of

the

Funds.

Any

additional

required

collateral

is

delivered

to/pledged

by

the

Funds

on

the

next

business

day.

Typically,

the

counterparty

is

not

permitted

to

sell,

re-pledge

or

use

cash

and

non-cash

collateral

it

receives.

A

Fund

generally

agrees

not

to

use

non-cash

collateral

that

it

receives

but

may,

absent

default

or

certain

other

circumstances

defined

in

the

underlying

ISDA

Master

Agreement,

be

permitted

to

use

cash

collateral

received.

In

such

cases,

interest

may

be

paid

pursuant

to

the

collateral

arrangement

with

the

counterparty.

To

the

extent

amounts

due

to

the

Funds

from the

counterparties

are

not

fully

collateralized, each

Fund bears

the

risk

of

loss

from

counterparty

non-performance.

Likewise,

to

the

extent

the

Funds have

delivered

collateral

to

a

counterparty

and

stand

ready

to

perform

under

the

terms

of

their

agreement

with

such

counterparty, each

Fund bears

the

risk

of

loss

from

a

counterparty

in

the

amount

of

the

value

of

the

collateral

in

the

event

the

counterparty

fails

to

return

such

collateral.

Based

on

the

terms

of

agreements,

collateral

may

not

be

required

for

all

derivative

contracts.

For

financial

reporting

purposes,

the

Funds

do

not

offset

derivative

assets

and

derivative

liabilities

that

are

subject

to

netting

arrangements,

if

any,

in

the

Statements

of

Assets

and

Liabilities.

6.

INVESTMENT

ADVISORY

AGREEMENT

AND

OTHER

TRANSACTIONS

WITH

AFFILIATES 

Investment

Advisory:

The

Corporation

and

the

Trust,

on

behalf

of

the

applicable

Funds,

entered

into

an

Investment

Advisory

Agreement

with

the

Manager,

the

Funds’

investment

adviser

and

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

Inc.

(“BlackRock”),

to

provide

investment

advisory

and

administrative

services.

The

Manager

is

responsible

for

the

management

of each

Fund’s

portfolio

and

provides

the

personnel,

facilities,

equipment

and

certain

other

services

necessary

to

the

operations

of each

Fund.

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

72

For

such

services,

each

Fund

pays

the

Manager

a

monthly

fee

at

an

annual

rate

equal

to

the

following

percentages

of

the

average

daily

value

of

each

Fund’s

net

assets:

With

respect

to

each

Fund,

the

Manager

entered

into

separate

sub-advisory

agreements

with

each

of

BlackRock

International

Limited

(“BIL”),

and

with

respect

to

Sustainable

Low

Duration

Bond

and

Sustainable

Total

Return,

BlackRock

(Singapore)

Limited

(“BSL”)

(collectively,

the

“Sub-Advisers”),

each

an

affiliate

of

the

Manager.

The

Manager

pays

BIL

and

BSL

for

services

they

provide

for

that

portion

of

each

Fund

for

which

BIL

and

BSL,

as

applicable,

acts

as

sub-adviser,

a

monthly

fee

that

is

equal

to

a

percentage

of

the

investment

advisory

fees

paid

by

each

Fund

to

the

Manager.

Service

Fees:

The

Corporation

and

the Trust,

on behalf

of the

applicable Funds,

entered

into

a

Distribution

Agreement

and

a Distribution and

Service

Plan

with

BlackRock

Investments,

LLC

(“BRIL”),

an

affiliate

of

the

Manager. Pursuant

to

the

Distribution

and

Service Plan

and in

accordance

with

Rule

12b-1

under

the

1940

Act,

each

Fund

pays

BRIL

ongoing

service fees.

The

fees

are

accrued

daily

and

paid

monthly

at

annual

rates

based

upon

the

average

daily

net

assets

of

the

relevant

share

class

of

each

Fund

as

follows:

BRIL

and

broker-dealers,

pursuant

to

sub-agreements

with

BRIL,

provide

shareholder

servicing

to

the

Funds.

The

ongoing

service

fee compensates

BRIL

and

each

broker-

dealer

for

providing

shareholder

servicing related

services

to

shareholders.

For

the six

months

ended

March

31,

2023,

the

following

table

shows

the

class

specific

service

borne

directly

by

each

share

class

of

each

Fund:

Administration:

The

Corporation

and

the

Trust,

on

behalf

of the

applicable

Funds,

entered

into

an

Administration

Agreement

with

the

Manager,

an

indirect,

wholly-owned

subsidiary

of

BlackRock,

to

provide

administrative

services.

For

these

services,

the

Manager

receives

an

administration

fee

computed

daily

and

payable

monthly,

based

on

a

percentage

of

the

average

daily

net

assets

of

each

Fund.

The

administration

fee,

which

is

shown

as

administration

in

the

Statements

of

Operations,

is

paid

at

the

annual

rates

below.

In

addition,

the

Manager

charges

each

of

the

share

classes

an

administration

fee,

which

is

shown

as

administration —

class

specific

in

the

Statements

of

Operations,

at

an

annual

rate

of

0.02% of

the

average

daily

net

assets

of

each

respective

class.

For

the

six

months

ended

March

31,

2023, the

following

table

shows

the

class

specific

administration

fees

borne

directly

by

each

share

class

of

each

Fund:

Transfer

Agent:

Pursuant

to

written

agreements,

certain

financial

intermediaries,

some

of

which

may

be

affiliates,

provide

the

Funds

with

sub-accounting,

recordkeeping,

sub-transfer

agency

and

other

administrative

services

with

respect

to

servicing

of

underlying

investor

accounts.

For

these

services,

these

entities

receive

an

asset-based

fee

or

an

annual

fee

per

shareholder

account,

which

will

vary

depending

on

share

class

and/or

net

assets.

For

the 

six

months

 ended March

31,

2023,

the

Funds 

did

not

pay

any

amounts

to

affiliates

in

return

for

these

services.

Investment

Advisory

Fees

Average

Daily

Net

Assets

Sustainable

High

Yield

Bond

Sustainable

Low

Duration

Bond

Sustainable

Total

Return

First

$1

billion

.............................................................................

0.500%

0.310%

0.390%

$1

billion

-

$3

billion

.........................................................................

0.470

0.290

0.370

$3

billion

-

$5

billion

.........................................................................

0.450

0.280

0.350

$5

billion

-

$10

billion

........................................................................

0.440

0.270

0.340

Greater

than

$10

billion

.......................................................................

0.430

0.260

0.330

Share

Class

Service

Fees

Investor

A

..............................................................................................................

0.25‌%

Fund

Name

Investor

A

Sustainable

High

Yield

Bond

..................................................................................................

$

109‌

Sustainable

Low

Duration

Bond

................................................................................................

137‌

Sustainable

Total

Return

.....................................................................................................

116‌

Average

Daily

Net

Assets

Administration

Fees

First

$500

million

......................................................................................................

0.0425%

$500

million

-

$1

billion

..................................................................................................

0.0400

$1

billion

-

$2

billion

....................................................................................................

0.0375

$2

billion

-

$4

billion

....................................................................................................

0.0350

$4

billion

-

$13

billion

...................................................................................................

0.0325

Greater

than

$13

billion

..................................................................................................

0.0300

Fund

Name

Institutional

Investor

A

Class

K

Total

Sustainable

High

Yield

Bond

...................................................................

$

9‌

$

9‌

$

4,210‌

$

4,228‌

Sustainable

Low

Duration

Bond

.................................................................

9‌

11‌

4,575‌

4,595‌

Sustainable

Total

Return

......................................................................

9‌

9‌

4,129‌

4,147‌

Notes

to

Financial

Statements

(unaudited)

(continued)

73

Notes

to

Financial

Statements

The

Manager

maintains

a

call

center

that

is

responsible

for

providing

certain

shareholder

services

to

the

Funds.

Shareholder

services

include

responding

to

inquiries

and

processing

purchases

and

sales

based

upon

instructions

from

shareholders.

For

the six

months

ended

March

31,

2023,

each

Fund

reimbursed

the

Manager

the

following

amounts

for

costs

incurred

in

running

the

call

center,

which

are

included

in

transfer

agent

—

class

specific

in

the

Statements

of

Operations:

For

the

six

months ended

March

31,

2023,

the

following

table

shows

the

class

specific

transfer

agent

fees

borne

directly

by

each

share

class

of

each

Fund:

Expense

Limitations,

Waivers,

Reimbursements

and

Recoupments:

The

Manager

contractually

agreed

to

waive

its

investment

advisory

fees

by

the

amount

of

investment

advisory

fees each

Fund

pays

to

the

Manager

indirectly

through

its

investment

in

affiliated

money

market

funds

(the

“affiliated

money

market

fund

waiver”)

through

June

30,

2024.

The

contractual

agreement

may

be

terminated upon

90

days’

notice

by

a

majority

of

the

Independent

Directors,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of a

Fund.

The

amount

of

waivers

and/or

reimbursements

of

fees

and

expenses

made

pursuant

to

the

expense

limitation

described

below

will

be

reduced

by

the

amount

of

the

affiliated

money

market

fund

waiver. These

amounts

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations.

For

the

six

months

ended

March

31,

2023,

the

amounts

waived

were

as

follows: 

The

Manager

has

contractually

agreed

to

waive

its

investment

advisory

fee

with

respect

to

any

portion

of each

Fund’s

assets

invested

in

affiliated

equity

and

fixed-

income mutual

funds

and

affiliated

exchange-traded

funds

that

have

a

contractual

management

fee

through

June

30,

2024.

The

contractual

agreement

may

be

terminated

upon

90

days’

notice

by

a

majority

of

the

Independent

Directors,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

These

amounts

are

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations. For

the

six

months

ended

March

31,

2023,

there

were

no

fees

waived

by

the

Manager

pursuant

to

this

arrangement.

With

respect

to

each

Fund,

the

Manager

contractually

agreed

to

waive

and/or

reimburse

fees

or

expenses

in

order

to

limit

expenses,

excluding

interest

expense,

dividend

expense,

tax

expense,

acquired

fund

fees

and

expenses,

and

certain

other

fund

expenses,

which

constitute

extraordinary

expenses

not

incurred

in

the

ordinary

course

of each

Fund’s

business

(“expense

limitation”).

The

expense

limitations

as

a

percentage

of

average

daily

net

assets

are

as

follows:

The

Manager

has

agreed

not

to

reduce

or

discontinue

the

contractual

expense

limitations

through

June

30,

2024,

unless

approved

by

the

Board,

including

a

majority

of

Independent

Directors,

or

by

a

vote

of

a

majority

of

the

outstanding

voting

securities

of

a

Fund.

For

the six

months

ended

March

31,

2023,

the

amounts

included

in

fees

waived

and/or

reimbursed

by

the

Manager

in

the

Statements

of

Operations

were

as

follows:

The

Funds

also

had

a

waiver

of

administration

fees,

which

are

included

in

Administration

fees

waived

by

the

Manager

in

the

Statements

of

Operations.

For

the six

months

ended

March

31,

2023,

the

amounts

waived

were

as

follows:

Fund

Name

Institutional

Investor

A

Class

K

Total

Sustainable

High

Yield

Bond

...................................................................

$

9‌

$

12‌

$

66‌

$

8

7‌

Sustainable

Low

Duration

Bond

.................................................................

10‌

10‌

59‌

79‌

Sustainable

Total

Return

......................................................................

10‌

10‌

60‌

80‌

Fund

Name

Institutional

Investor

A

Class

K

Total

Sustainable

High

Yield

Bond

...................................................................

$

9‌

$

12‌

$

66‌

$

87‌

Sustainable

Low

Duration

Bond

.................................................................

10‌

14‌

59‌

83‌

Sustainable

Total

Return

......................................................................

10‌

10‌

60‌

80‌

Fund

Name

Amounts

Waived

Sustainable

High

Yield

Bond

.............................................................................................

$

458

Sustainable

Low

Duration

Bond

...........................................................................................

312

Sustainable

Total

Return

................................................................................................

1,553

Fund

Name

Institutional

Investor

A

Class

K

Sustainable

High

Yield

Bond

..........................................................................

0.58‌%

0.83‌%

0.53‌%

Sustainable

Low

Duration

Bond

........................................................................

0.40‌

0.65‌

0.35‌

Sustainable

Total

Return

.............................................................................

0.44‌

0.75‌

0.39‌

Fund

Name

Fees

waived

and/or

Reimbursed

by

the

Manager

Sustainable

High

Yield

Bond

...................................................................................................

$

207,431

Sustainable

Low

Duration

Bond

.................................................................................................

110,059

Sustainable

Total

Return

......................................................................................................

182,686

Fund

Name

Amounts

Sustainable

High

Yield

Bond

...................................................................................................

$

8,983

Sustainable

Low

Duration

Bond

.................................................................................................

9,765

Sustainable

Total

Return

......................................................................................................

8,812

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

74

In

addition,

these

amounts

waived

and/or

reimbursed

by

the

Manager are

included

in administration

fees

waived

by

the

Manager

—

class

specific

and

transfer

agent

fees

waived

and/or

reimbursed

by

the

Manager

—

class

specific,

respectively,

in

the

Statements

of

Operations.

For

the

six

months ended

March

31,

2023,

class

specific

expense

waivers

and/or

reimbursements were

as

follows: 

With

respect

to

the

contractual

expense

limitation,

if

during

a

Fund’s

fiscal

year

the

operating

expenses

of

a

share

class,

that

at

any

time

during

the

prior

two

fiscal

years

received

a

waiver

and/or

reimbursement

from

the

Manager,

are

less

than

the

current

expense

limitation

for

that

share

class,

the

Manager

is

entitled

to

be

reimbursed

by

such

share

class

up

to

the

lesser

of:

(a)

the

amount

of

fees

waived

and/or

expenses

reimbursed

during

those

prior

two

fiscal

years

under

the

agreement

and

(b)

an

amount

not

to

exceed

either

the

current

expense

limitation

of

that

share

class

or

the

expense

limitation

of

the

share

class

in

effect

at

the

time

that

the

share

class

received

the

applicable

waiver

and/or

reimbursement,

provided

that:

(1)

each

Fund,

of

which

the

share

class

is

a

part,

has

more

than

$50

million

in

assets

for

the

fiscal

year,

and  

(2)

the

Manager

or

an

affiliate

continues

to

serve

as

a

Fund’s

investment

adviser

or

administrator.

This

repayment

applies

only

to

the

contractual

expense

limitation

on

net

expenses

and

does

not

apply

to

the

contractual

investment

advisory

fee

waiver

described

above

or

any

voluntary

waivers

that

may

be

in

effect

from

time

to

time.

Effective

July

22,

2028,

the

repayment

arrangement

between

Sustainable

High

Yield

Bond

and

the

Manager

pursuant

to

which

such

Fund

may

be

required

to

repay

amounts

waived

and/or

reimbursed

under the

Fund’s

contractual

caps

on

net

expenses

will

be

terminated.

Effective

October

19,

2028,

the

repayment

arrangement

between

Sustainable

Low

Duration

Bond

and

Sustainable

Total

Return

and

the

Manager

pursuant

to

which

such

Fund

may

be

required

to

repay

amounts

waived

and/or

reimbursed

under

each

Fund's

contractual

caps

on

net

expenses

will

be

terminated.

As

of March

31,

2023,

the

fund

level

and

class

specific

waivers

and/or

reimbursements

subject

to

possible

future

recoupment

under

the

expense

limitation

agreement

are

as

follows:  

Interfund

Lending:

In

accordance

with

an

exemptive

order

(the

“Order”)

from

the

U.S.

Securities

and

Exchange

Commission

(“SEC”),

each

Fund

may

participate

in

a

joint

lending

and

borrowing

facility

for

temporary

purposes

(the

“Interfund

Lending

Program”),

subject

to

compliance

with

the

terms

and

conditions

of

the

Order,

and

to

the

extent

permitted

by each

Fund’s

investment

policies

and

restrictions. Each

Fund

is

currently

permitted

to

borrow

and

lend

under

the

Interfund

Lending

Program.

A

lending

BlackRock

fund

may

lend

in

aggregate

up

to

15%

of

its

net

assets

but

may

not

lend

more

than

5%

of

its

net

assets

to

any

one

borrowing

fund

through

the

Interfund

Lending

Program.

A

borrowing

BlackRock

fund

may

not

borrow

through

the

Interfund

Lending

Program

or

from

any

other

source

more

than

33

1/3%

of

its

total

assets

(or

any

lower

threshold

provided

for

by

the fund’s

investment

restrictions).

If

a

borrowing

BlackRock

fund’s

total

outstanding

borrowings

exceed

10%

of

its

total

assets,

each

of

its

outstanding

interfund

loans

will

be

subject

to

collateralization

of

at

least

102%

of

the

outstanding

principal

value

of

the

loan.

All

interfund

loans

are

for

temporary

or

emergency

Fund

Name/Share

Class

Administration

Fees

Waived

by

the

Manager

-

Class

Specific

Transfer

Agent

Fees

Waived

and/or

Reimbursed

by

the

Manager

-

Class

Specific

Sustainable

High

Yield

Bond

Institutional

....................................................................................

$

4‌

$

—‌

Investor

A

.....................................................................................

4‌

2‌

Class

K

......................................................................................

4,210‌

66‌

$

4,218‌

$

68‌

Sustainable

Low

Duration

Bond

Institutional

....................................................................................

3‌

—‌

Investor

A

.....................................................................................

5‌

—‌

Class

K

......................................................................................

4,575‌

59‌

$

4,583‌

$

59‌

Sustainable

Total

Return

Institutional

....................................................................................

4‌

—‌

Class

K

......................................................................................

4,129‌

60‌

$

4,133‌

$

60‌

Expiring

September

30,

2023

2024

2025

Sustainable

High

Yield

Bond

.........................................................

Fund

Level

...................................................................

$

132,183‌

$

419,665‌

$

216,414‌

Institutional

...................................................................

64‌

246‌

4‌

Investor

A

....................................................................

64‌

246‌

6‌

Class

K

......................................................................

1,977‌

9,456‌

4,276‌

Sustainable

Low

Duration

Bond

Fund

Level

...................................................................

—‌

300,554‌

119,824‌

Institutional

...................................................................

—‌

229‌

3‌

Investor

A

....................................................................

—‌

221‌

5‌

Class

K

......................................................................

—‌

9,414‌

4,634‌

Sustainable

Total

Return

Fund

Level

...................................................................

—‌

381,248‌

191,498‌

Institutional

...................................................................

—‌

231‌

4‌

Investor

A

....................................................................

—‌

187‌

—‌

Class

K

......................................................................

—‌

9,014‌

4,18

9‌

Notes

to

Financial

Statements

(unaudited)

(continued)

75

Notes

to

Financial

Statements

purposes

and

the

interest

rate

to

be

charged

will

be

the

average

of

the

highest

current

overnight

repurchase

agreement

rate

available

to

a

lending

fund

and

the

bank

loan

rate,

as

calculated

according

to

a

formula

established

by

the

Board. 

During

the six

months

ended

March

31,

2023,

the

Funds

did

not

participate

in

the

Interfund

Lending

Program.

Directors

and

Officers:

Certain

directors

and/or

officers

of

the Corporation

and

the

Trust are directors and/or

officers

of BlackRock

or

its

affiliates.

The

Funds

reimburse

the

Manager

for

a

portion

of

the

compensation

paid

to

the 

Funds’

Chief

Compliance

Officer,

which

is

included

in 

Directors

 and

Officer

in

the

Statements

of

Operations. 

7.

PURCHASES

AND

SALES 

For

the six

months ended

March

31,

2023,

purchases

and

sales

of

investments,

including

paydowns,

mortgage

dollar

rolls and

excluding

short-term

securities,

were

as

follows:

For

the six

months ended

March

31,

2023,

purchases

and

sales

related

to

mortgage

dollar

rolls

were

as

follows:

8.

INCOME

TAX

INFORMATION 

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. 

Each Fund

files

U.S.

federal

and

various

state

and

local

tax

returns.

No

income

tax

returns

are

currently

under

examination.

The

statute

of

limitations

on

each

Fund’s

U.S.

federal

tax

returns

generally

remains

open

for

a

period

of

three

years

after

they

are

filed.

The

statutes

of

limitations

on

each

Fund’s

state

and

local

tax

returns

may

remain

open

for

an

additional

year

depending

upon

the

jurisdiction. 

Management

has

analyzed

tax

laws

and

regulations

and

their

application

to

the Funds

as

of

March

31,

2023,

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.

As

of

September

30,

2022, the

Funds

had

non-expiring

capital

loss

carryforwards

available

to

offset

future

realized

capital

gains

as

follows: 

As

of

March

31,

2023, 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: 

9.

BANK

BORROWINGS 

The

Corporation

and

the

Trust,

on

behalf

of

the

Funds,

along

with

certain

other

funds

managed

by

the

Manager

and

its

affiliates

(“Participating

Funds”),

is party

to

a

364-day,

$2.50

billion

credit

agreement

with

a

group

of

lenders.

Under

this

agreement,

the

Funds

may

borrow

to

fund

shareholder

redemptions.

Excluding

commitments

designated

for

certain

individual

funds,

the

Participating

Funds,

including

the

Funds,

can

borrow

up

to

an

aggregate

commitment

amount

of

$1.75

billion

at

any

time

outstanding,

subject

to

asset

coverage

and

other

limitations

as

specified

in

the

agreement.

The

credit

agreement

has

the

following

terms:

a

fee

of

0.10%

per

annum

on

unused

commitment

amounts

and

interest

at

a

rate

equal

to

the

higher

of

(a)

Overnight

Bank

Funding

Rate

(“OBFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.80%

per

annum

or

(b)

the

Fed

Funds

rate

(but,

in

any

event,

not

less

than

0.00%)

in

effect

from

time

to

time

plus

0.80%

per

annum

on

amounts

borrowed

or

(c)

the

sum

of

(x) Daily

Simple

Secured

Overnight

Financing

Rate

(“SOFR”)

(but,

in

any

event,

not

less

than

0.00%)

on

the

date

the

loan

is

made

plus

0.10%

and

(y) 0.80%

per

annum.

The

U.S.

Government

Securities

Other

Securities

Fund

Name

Purchases

Sales

Purchases

Sales

Sustainable

High

Yield

Bond

..............................................

$

—‌

$

—‌

$

7,851,722‌

$

7,452,114‌

Sustainable

Low

Duration

Bond

............................................

22,789,039‌

22,194,617‌

23,784,352‌

25,997,469‌

Sustainable

Total

Return

.................................................

11,588,673‌

4,567,801‌

110,622,264‌

115,971,496‌

Fund

Name

Purchases

Sales

Sustainable

Low

Duration

Bond

............................................................................

$

5,136,983‌

$

5,139,912‌

Sustainable

Total

Return

.................................................................................

45,867,186‌

45,859,375‌

Fund

Name

Non-expiring

Capital

Loss

Carryforwards

Sustainable

High

Yield

Bond

................................................................................................

$

1,711,104‌

Sustainable

Low

Duration

Bond

..............................................................................................

375,651‌

Sustainable

Total

Return

...................................................................................................

3,162,757‌

Fund

Name

Tax

Cost

Gross

Unrealized

Appreciation

Gross

Unrealized

Depreciation

Net

Unrealized

Appreciation

(Depreciation)

Sustainable

High

Yield

Bond

..........................................

$

46,664,130‌

$

102,536‌

$

(4,031,092‌)

$

(3,928,556‌)

Sustainable

Low

Duration

Bond

........................................

48,562,692‌

293,745‌

(2,135,503‌)

(1,841,758‌)

Sustainable

Total

Return

............................................

57,456,934‌

358,657‌

(3,672,159‌)

(3,313,502‌)

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

76

agreement

expires

in

April

2023

unless

extended

or

renewed.

These

fees

were

allocated

among

such

funds

based

upon

portions

of

the

aggregate

commitment

available

to

them

and

relative

net

assets

of

Participating

Funds.

During

the six

months ended

March

31,

2023,

the

Funds

did

not

borrow

under

the

credit

agreement.

10.

 PRINCIPAL

RISKS 

In

the

normal

course

of

business, the

Funds

invest

in

securities

or

other

instruments

and

may

enter

into

certain

transactions,

and

such

activities

subject

each

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

and

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

each

Fund

is

subject. 

Market

Risk

:

Each

Fund

may

be

exposed

to

prepayment

risk,

which

is

the

risk

that

borrowers

may

exercise

their

option

to

prepay

principal

earlier

than

scheduled

during

periods

of

declining

interest

rates,

which

would

force

each

Fund

to

reinvest

in

lower

yielding

securities. Each

Fund

may

also

be

exposed

to

reinvestment

risk,

which

is

the

risk

that

income

from

each

Fund’s

portfolio

will

decline

if

each

Fund

invests

the

proceeds

from

matured,

traded

or

called

fixed-income

securities

at

market

interest

rates

that

are

below

each

Fund

portfolio’s

current

earnings

rate.

Municipal

securities

are

subject

to

the

risk

that

litigation,

legislation

or

other

political

events,

local

business

or

economic

conditions,

credit

rating

downgrades,

or

the

bankruptcy

of

the

issuer

could

have

a

significant

effect

on

an

issuer’s

ability

to

make

payments

of

principal

and/or

interest

or

otherwise

affect

the

value

of

such

securities.

Municipal

securities

can

be

significantly

affected

by

political

or

economic

changes,

including

changes

made

in

the

law

after

issuance

of

the

securities,

as

well

as

uncertainties

in

the

municipal

market

related

to,

taxation,

legislative

changes

or

the

rights

of

municipal

security

holders,

including

in

connection

with

an

issuer

insolvency.

Municipal

securities

backed

by

current

or

anticipated

revenues

from

a

specific

project

or

specific

assets

can

be

negatively

affected

by

the

discontinuance

of

the

tax

benefits

supporting

the

project

or

assets

or

the

inability

to

collect

revenues

for

the

project

or

from

the

assets.

Municipal

securities

may

be

less

liquid

than

taxable

bonds,

and

there

may

be

less

publicly

available

information

on

the

financial

condition

of

municipal

security

issuers

than

for

issuers

of

other

securities.

Infectious

Illness

Risk:

An

outbreak

of

an

infectious

illness,

such

as

the

COVID-19

pandemic,

may

adversely

impact

the

economies

of

many

nations

and

the

global

economy,

and

may

impact

individual

issuers

and

capital

markets

in

ways

that

cannot

be

foreseen.

An

infectious

illness

outbreak

may

result

in,

among

other

things,

closed

international

borders,

prolonged

quarantines,

supply

chain

disruptions,

market

volatility

or

disruptions

and

other

significant

economic,

social

and

political

impacts.

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

each

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 a

Fund

could

receive

upon

the

sale

of

any

particular

portfolio

investment

may

differ

from a

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

may

significantly

impact

the

resulting

fair

value

and

therefore a

Fund’s

results

of

operations.

As

a

result,

the

price

received

upon

the

sale

of

an

investment

may

be

less

than

the

value

ascribed

by a

Fund,

and a

Fund

could

realize

a

greater

than

expected

loss

or

lesser

than

expected

gain

upon

the

sale

of

the

investment.

A

Fund’s

ability

to

value

its

investments

may

also

be

impacted

by

technological

issues

and/or

errors

by

pricing

services

or

other

third-party

service

providers. 

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.

For

OTC

options

purchased,

each

Fund

bears

the

risk

of

loss

in

the

amount

of

the

premiums

paid

plus

the

positive

change

in

market

values

net

of

any

collateral

held

by

the

Funds

should

the

counterparty

fail

to

perform

under

the

contracts.

Options

written

by

the

Funds

do

not

typically

give

rise

to

counterparty

credit

risk,

as

options

written

generally

obligate

the

Funds,

and

not

the

counterparty,

to

perform.

The

Funds

may

be

exposed

to

counterparty

credit

risk

with

respect

to

options

written

to

the

extent

each

Fund

deposits

collateral

with

its

counterparty

to

a

written

option. 

With

exchange-traded

options

purchased,

exchange-traded

futures

and

centrally

cleared

swaps,

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

and

centrally

cleared

swaps

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

Notes

to

Financial

Statements

(unaudited)

(continued)

77

Notes

to

Financial

Statements

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

high

yield

securities.

High

yield

securities

that

are

rated

below

investment-grade

(commonly

referred

to

as

“junk

bonds”)

or

are

unrated

may

be

deemed

speculative,

involve

greater

levels

of

risk

than

higher-rated

securities

of

similar

maturity

and

are

more

likely

to

default.

High

yield

securities

may

be

issued

by

less

creditworthy

issuers,

and

issuers

of

high

yield

securities

may

be

unable

to

meet

their

interest

or

principal

payment

obligations.

High

yield

securities

are

subject

to

extreme

price

fluctuations,

may

be

less

liquid

than

higher

rated

fixed-income

securities,

even

under

normal

economic

conditions,

and

frequently

have

redemption

features.

Certain Funds

invest

a

significant

portion

of

their

assets

in fixed-income securities and/or use

derivatives tied

to

the

fixed-income

markets.

Changes

in

market

interest

rates

or

economic

conditions

may affect

the

value

and/or

liquidity

of

such investments.

Interest

rate

risk

is

the

risk

that

prices

of

bonds

and

other

fixed-income

securities

will

decrease

as

interest

rates

rise

and

increase

as

interest

rates

fall.

The

Funds

may

be

subject

to

a

greater

risk

of

rising

interest

rates

due

to

the

recent

period

of

historically

low

interest rates. The

Federal

Reserve

has

recently

begun

to

raise

the

federal

funds

rate

as

part

of

its

efforts

to

address

inflation.

There

is

a

risk

that

interest

rates

will

continue

to

rise,

which

will

likely

drive

down

the

prices

of

bonds

and

other

fixed-income

securities,

and

could

negatively

impact certain

Funds’

performance.

Certain

Funds

invest

a

significant

portion

of their

assets

in

securities

backed

by

commercial

or

residential

mortgage

loans

or

in

issuers

that

hold

mortgage

and

other

asset-

backed

securities.

When

a

Fund

concentrates

its

investments

in

this

manner,

it

assumes

a

greater

risk

of

prepayment

or

payment

extension

by

securities

issuers.

Changes

in

economic

conditions,

including

delinquencies

and/or

defaults

on

assets

underlying

these

securities,

can

affect

the

value,

income

and/or

liquidity

of

such

positions.

Investment

percentages

in

these

securities

are

presented

in

the

Schedules

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

Funds

may

be

exposed

to

financial

instruments

that

are

tied

to

LIBOR

to

determine

payment

obligations,

financing

terms,

hedging

strategies

or

investment

value.

The

United

Kingdom’s

Financial

Conduct

Authority,

which

regulates

LIBOR,

announced

that

a

majority

of

USD

LIBOR

settings

will

no

longer

be

published

after

June

30,

2023.

All

other

LIBOR

settings

and

certain

other

interbank

offered

rates

ceased

to

be

published

after

December

31,

2021.

SOFR

has

been

used

increasingly

on

a

voluntary

basis

in

new

instruments

and

transactions.

The

Federal

Reserve

Board

adopted

regulations

that

provide

a

fallback

mechanism

by

identifying

benchmark

rates

on

SOFR

that

will

replace

LIBOR

in

certain

financial

products

after

June

30,

2023.

The

ultimate

effect

of

the

LIBOR

transition

process

on

the

Funds

is

uncertain.

11.

CAPITAL

SHARE

TRANSACTIONS 

Transactions

in

capital

shares

for

each

class

were

as

follows:

d

Six

Months

Ended

03/31/23

Year

Ended

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Sustainable

High

Yield

Bond

Institutional

Shares

sold

..........................................

71‌

$

600‌

184‌

$

1,599‌

Shares

issued

in

reinvestment

of

distributions

.....................

6‌

54‌

3‌

26‌

77‌

$

654‌

187‌

$

1,625‌

Investor

A

Shares

sold

..........................................

—‌

$

—‌

283‌

$

2,587‌

Shares

issued

in

reinvestment

of

distributions

.....................

8‌

67‌

6‌

51‌

8‌

$

67‌

289‌

$

2,638‌

85‌

$

721‌

476‌

$

4,263‌

d

Six

Months

Ended

03/31/23

Period

from

10/18/21

(a)

to

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Sustainable

Low

Duration

Bond

Institutional

Shares

sold

..........................................

—‌

$

—‌

10,001‌

$

100,010‌

Shares

redeemed

......................................

—‌

—‌

(1‌)

(10‌)

—‌

$

—‌

10,000‌

$

100,000‌

Notes

to

Financial

Statements

(unaudited)

(continued)

2023

BlackRock

Semi-Annual

Report

to

Shareholders

78

(a)

Commencement

of

operations.

As

of

March

31,

2023,

shares

owned

by

BlackRock

Financial

Management,

Inc.,

an

affiliate

of

the

Funds,

were

as

follows:

12.

SUBSEQUENT

EVENTS 

Management’s

evaluation

of

the

impact

of

all

subsequent

events

on

the

Funds’

financial

statements

was

completed

through

the

date

the

financial

statements

were

issued

and

the

following

items

were

noted:

Effective

April

13,

2023,

the

credit

agreement

was

extended

until

April

2024

under

the

same

terms.

d

Six

Months

Ended

03/31/23

Period

from

10/18/21

(a)

to

09/30/22

Fund

Name/Share

Class

Shares

Amount

Shares

Amount

Investor

A

Shares

sold

..........................................

—‌

$

—‌

21,953‌

$

216,401‌

Shares

issued

in

reinvestment

of

distributions

.....................

59‌

542‌

62‌

594‌

Shares

redeemed

......................................

—‌

—‌

(10,111‌)

(96,014‌)

59‌

$

542‌

11,904‌

$

120,981‌

Class

K

Shares

sold

..........................................

329‌

$

3,000‌

4,980,008‌

$

49,800,077‌

Shares

issued

in

reinvestment

of

distributions

.....................

1‌

7‌

—‌

—‌

Shares

redeemed

......................................

—‌

—‌

(8‌)

(116‌)

330‌

$

3,007‌

4,980,000‌

$

49,799,961‌

389‌

$

3,549‌

5,001,904‌

$

50,020,942‌

Sustainable

Total

Return

Institutional

Shares

sold

..........................................

—‌

$

—‌

10,001‌

$

100,010‌

Shares

redeemed

......................................

—‌

—‌

(1‌)

(10‌)

—‌

$

—‌

10,000‌

$

100,000‌

Investor

A

Shares

sold

..........................................

2‌

$

18‌

11,178‌

$

111,490‌

Shares

issued

in

reinvestment

of

distributions

.....................

36‌

299‌

15‌

133‌

Shares

redeemed

......................................

(2‌)

(15‌)

(1‌)

(10‌)

36‌

$

302‌

11,192‌

$

111,613‌

Class

K

Shares

sold

..........................................

—‌

$

—‌

4,980,001‌

$

49,800,011‌

Shares

redeemed

......................................

—‌

—‌

(1‌)

(10‌)

—‌

$

—‌

4,980,000‌

$

49,800,001‌

36‌

$

302‌

5,001,192‌

$

50,011,614‌

Institutional

Investor

A

Class

K

Sustainable

High

Yield

Bond

$

10,000‌

$

10,000‌

$

4,980,000‌

Sustainable

Low

Duration

Bond

10,000‌

10,000‌

4,980,000‌

Sustainable

Total

Return

10,000‌

10,000‌

4,980,000‌

Statement

Regarding

Liquidity

Risk

Management

Program

79

Statement

Regarding

Liquidity

Risk

Management

Program

In

compliance

with

Rule

22e-4

under

the

Investment

Company

Act

of

1940,

as

amended

(the

“Liquidity

Rule”),

BlackRock

Funds

V

(the

“Trust”)

and

BlackRock

Bond

Fund,

Inc.

(the

“Corporation”)

has

adopted

and

implemented

a

liquidity

risk

management

program

(the

“Program”)

for

the

BlackRock

Sustainable

High

Yield

Bond

Fund,

BlackRock

Sustainable

Low

Duration

Bond

Fund

and

BlackRock

Sustainable

Total

Return

Fund

(the

“Funds”),

each

a

series

of

the

Trust

or

the

Corporation,

which

is

reasonably

designed

to

assess

and

manage

each

Fund’s

liquidity

risk.

The

Board

of

Trustees

of

the

Trust

and

the

Board

of

Directors

of

Corporation

(together,

the

“Board”),

on

behalf

of

the

Funds,

met

on

November

10-11,

2022

(the

“Meeting”)

to

review

the

Program.

The

Board

previously

appointed

BlackRock

Advisors,

LLC,

the

investment

adviser

to

each

Fund,

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,

2021

through

September

30,

2022

(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

the

imposition

of

capital

controls

in

certain

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.

Where

a

fund

participated

in

borrowings

for

investment

purposes

(such

as

tender

option

bonds

or

reverse

repurchase

agreements),

such

borrowings

were

factored

into

the

Program’s

calculation

of

a

fund’s

liquidity

bucketing.

A

fund’s

derivative

exposure

was

also

considered

in

such

calculation.

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

Fund’s

reasonably

anticipated

trading

size

utilized

for

liquidity

classifications.

Each

Fund

has

adopted

an

in-kind

redemption

policy

which

may

be

utilized

to

meet

larger

redemption

requests.

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

the

terms

of

the

credit

facility

committed

to

each

Fund,

the

financial

health

of

the

institution

providing

the

facility

and

the

fact

that

the

credit

facility

is

shared

among

multiple

funds

(including

that

a

portion

of

the

aggregate

commitment

amount

is

specifically

designated

for

BlackRock

Floating

Rate

Income

Portfolio,

a

series

of

BlackRock

Funds

V,

and

BlackRock

Floating

Rate

Loan

ETF,

a

series

of

BlackRock

ETF

Trust

II).

The

Committee

also

considered

other

types

of

borrowing

available

to

the

funds,

such

as

the

ability

to

use

reverse

repurchase

agreements

and

interfund

lending,

as

applicable.

There

were

no

material

changes

to

the

Program

during

the

Program

Reporting

Period

other

than

the

enhancement

of

certain

model

components

in

the

Program’s

classification

methodology.

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.

Additional

Information

2023

BlackRock

Semi-Annual

Report

to

Shareholders

80

General

Information 

Quarterly

performance,

semi-annual

and

annual

reports,

current

net

asset

value

and

other

information

regarding

the

Funds

may

be

found

on

BlackRock’s

website,

which

can

be

accessed

at

blackrock.com

.

Any

reference

to

BlackRock’s

website

in

this

report

is

intended

to

allow

investors

public

access

to

information

regarding

the

Funds

and

does

not,

and

is

not

intended

to,

incorporate

BlackRock’s

website

in

this

report.

Householding

The

Funds

will

mail

only

one

copy

of

shareholder

documents,

including

prospectuses,

annual

and

semi-annual

reports,

Rule

30e-3

notices

and

proxy

statements,

to

shareholders

with

multiple

accounts

at

the

same

address.

This

practice

is

commonly

called

“householding”

and

is

intended

to

reduce

expenses

and

eliminate

duplicate

mailings

of

shareholder

documents.

Mailings

of

your

shareholder

documents

may

be

householded

indefinitely

unless

you

instruct

us

otherwise.

If

you

do

not

want

the

mailing

of

these

documents

to

be

combined

with

those

for

other

members

of

your

household,

please

call

the

Funds at

(800)

441-7762.

Availability

of

Quarterly

Schedule

of

Investments

The

Funds

file

their

complete

schedules

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

blackrock.com/fundreports

.

Availability

of

Proxy

Voting

Policies,

Procedures

and

Voting

Records

A

description

of

the

policies

and

procedures

that

the

Funds

use

to

determine

how

to

vote

proxies

relating

to

portfolio

securities

and

information

about

how

the

Funds

voted

proxies

relating

to

securities

held

in

the

Funds'

portfolios

during

the

most

recent

12-month

period

ended

June

30 is

available

without

charge,

upon

request (1)

by

calling

(800)

441-

7762

;

(2)

on

the

BlackRock

website

at

blackrock.com

;

and

(3)

on

the

SEC’s

website

at

sec.gov

.

BlackRock’s

Mutual

Fund

Family

BlackRock

offers

a

diverse

lineup

of

open-end

mutual

funds

crossing

all

investment

styles

and

managed

by

experts

in

equity,

fixed-income

and

tax-exempt

investing.

Visit

blackrock.com

for

more

information.

Shareholder

Privileges

Account

Information

Call

us

at

(800) 

441-7762

from

8:00

AM

to

6:00

PM

ET

on

any

business

day

to

get

information

about

your

account

balances,

recent

transactions

and

share

prices.

You

can

also

visit

blackrock.com

for

more

information.

Automatic

Investment

Plans

Investor

class

shareholders

who

want

to

invest

regularly

can

arrange

to

have

$50

or

more

automatically

deducted

from

their

checking

or

savings

account

and

invested

in

any

of

the

BlackRock

funds.

Systematic

Withdrawal

Plans

Investor

class

shareholders

can

establish

a

systematic

withdrawal

plan

and

receive

periodic

payments

of

$50

or

more

from

their

BlackRock

funds,

as

long

as

their

account

balance

is

at

least

$10,000.

Retirement

Plans

Shareholders

may

make

investments

in

conjunction

with

Traditional,

Rollover,

Roth,

Coverdell,

Simple

IRAs,

SEP

IRAs

and

403(b)

Plans.

Additional

Information

(continued)

81

Additional

Information

BlackRock

Privacy

Principles

BlackRock

is

committed

to

maintaining

the

privacy

of

its

current

and

former

fund

investors

and

individual

clients

(collectively,

“Clients”)

and

to

safeguarding

their

non-public

personal

information.

The

following

information

is

provided

to

help

you

understand

what

personal

information

BlackRock

collects,

how

we

protect

that

information

and

why

in

certain

cases

we

share

such

information

with

select

parties.

If

you

are

located

in

a

jurisdiction

where

specific

laws,

rules

or

regulations

require

BlackRock

to

provide

you

with

additional

or

different

privacy-related

rights

beyond

what

is

set

forth

below,

then

BlackRock

will

comply

with

those

specific

laws,

rules

or

regulations.

BlackRock

obtains

or

verifies

personal

non-public

information

from

and

about

you

from

different

sources,

including

the

following:

(i)

information

we

receive

from

you

or,

if

applicable,

your

financial

intermediary,

on

applications,

forms

or

other

documents;

(ii)

information

about

your

transactions

with

us,

our

affiliates,

or

others;

(iii)

information

we

receive

from

a

consumer

reporting

agency;

and

(iv)

from

visits

to

our

websites.

BlackRock

does

not

sell

or

disclose

to

non-affiliated

third

parties

any

non-public

personal

information

about

its

Clients,

except

as

permitted

by

law

or

as

is

necessary

to

respond

to

regulatory

requests

or

to

service

Client

accounts.

These

non-affiliated

third

parties

are

required

to

protect

the

confidentiality

and

security

of

this

information

and

to

use

it

only

for

its

intended

purpose.

We

may

share

information

with

our

affiliates

to

service

your

account

or

to

provide

you

with

information

about

other

BlackRock

products

or

services

that

may

be

of

interest

to

you.

In

addition,

BlackRock

restricts

access

to

non-public

personal

information

about

its

Clients

to

those

BlackRock

employees

with

a

legitimate

business

need

for

the

information.

BlackRock

maintains

physical,

electronic

and

procedural

safeguards

that

are

designed

to

protect

the

non-public

personal

information

of

its

Clients,

including

procedures

relating

to

the

proper

storage

and

disposal

of

such

information.

Fund

and

Service

Providers

Investment

Adviser

and

Administrator

BlackRock

Advisors,

LLC

Wilmington,

DE

19809

Sub-Advisers

BlackRock

International

Limited

Edinburgh,

EH3

8BL

United

Kingdom

BlackRock

(Singapore)

Limited

(a)

079912

Singapore

Accounting

Agent

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

Transfer

Agent

BNY

Mellon

Investment

Servicing

(US)

Inc.

Wilmington,

DE

19809

Custodian

JPMorgan

Chase

Bank,

N.A.

New

York,

NY

10179

Independent

Registered

Public

Accounting

Firm

Deloitte

&

Touche

LLP

Boston,

MA

02116

Distributor

BlackRock

Investments,

LLC

New

York,

NY

10001

Legal

Counsel

Willkie

Farr

&

Gallagher

LLP

New

York,

NY

10019

Address

of

the

Trust

100

Bellevue

Parkway

Wilmington,

DE

19809

(a)

For

BlackRock

Sustainable

Low

Duration

Bond

Fund

and

BlackRock

Sustainable

Total

Return

Fund.

Glossary

of

Terms

Used

in

this

Report

2023

BlackRock

Semi-Annual

Report

to

Shareholders

82

Currency

Abbreviation

CAD

Canadian

Dollar

EUR

Euro

JPY

Japanese

Yen

USD

United

States

Dollar

Portfolio

Abbreviation

BA

Canadian

Bankers

Acceptances

CDI

Crest

Depository

Interests

CLO

Collateralized

Loan

Obligation

CSMC

Credit

Suisse

Mortgage

Capital

DAC

Designated

Activity

Company

ESTR

Euro

Short-Term

Rate

ETF

Exchange-Traded

Fund

EURIBOR

Euro

Interbank

Offered

Rate

GO

General

Obligation

Bonds

LIBOR

London

Interbank

Offered

Rate

MSCI

Morgan

Stanley

Capital

International

OTC

Over-the-counter

RB

Revenue

Bonds

REIT

Real

Estate

Investment

Trust

S&P

Standard

&

Poor's

SOFR

Secured

Overnight

Financing

Rate

SPDR

Standard

&

Poor’s

Depositary

Receipts

TBA

To-be-announced

TONAR

Tokyo

Overnight

Average

Rate

Want

to

know

more?

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This

report

is

intended

for

current

holders.

It

is

not

authorized

for

use

as

an

offer

of

sale

or

a

solicitation

of

an

offer

to

buy

shares

of

the

Funds

unless

preceded

or

accompanied

by

the

Funds’

current

prospectus.

Past

performance

results

shown

in

this

report

should

not

be

considered

a

representation

of

future

performance.

Investment

returns

and

principal

value

of

shares

will

fluctuate

so

that

shares,

when

redeemed,

may

be

worth

more

or

less

than

their

original

cost.

Statements

and

other

information

herein

are

as

dated

and

are

subject

to

change.

SHYB-03/23-SAR

Item 2 –  Code of Ethics – Not Applicable to this semi-annual report

Item 3 –  Audit Committee Financial Expert – Not Applicable to this semi-annual report

Item 4 –  Principal Accountant Fees and Services – Not Applicable to this semi-annual report

Item 5 –  Audit Committee of Listed Registrant – Not Applicable

Item 6 – Investments

(a) The registrant’s Schedule of Investments is included as part of the Report to Stockholders filed under Item 1(a) of this Form.

(b) Not Applicable due to no such divestments during the semi-annual period covered since the previous Form N-CSR filing.

Item 7 – Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies – Not Applicable

Item 8 – Portfolio Managers of Closed-End Management Investment Companies – Not Applicable

Item 9 – Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers – Not Applicable

Item 10 – Submission of Matters to a Vote of Security Holders –There have been no material changes to these procedures.

Item 11 – Controls and Procedures

(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 15d-15(b) under the Securities Exchange Act of 1934, as amended.

(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 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                  

Item 13 – Exhibits attached hereto

              (a)(1) Code of Ethics – Not Applicable to this semi-annual report

              (a)(2) Section 302 Certifications are attached

section302

(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

section906

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 Funds V

By:     /s/ John M. Perlowski

John M. Perlowski

Chief Executive Officer (principal executive officer) of

BlackRock Funds V

Date: May 24, 2023

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 Funds V

Date: May 24, 2023

By:     /s/ Trent Walker

          Trent Walker

Chief Financial Officer (principal financial officer) of

BlackRock Funds V

Date: May 24, 2023