N-Q 1 d686132dnq.htm BLACKROCK FUNDS BLACKROCK FUNDS

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM N-Q

QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED

MANAGEMENT INVESTMENT COMPANY

Investment Company Act file number: 811-05742

Name of Fund: BlackRock Funds

BlackRock Total Emerging Markets Fund

Fund Address:  100 Bellevue Parkway, Wilmington, DE 19809

Name and address of agent for service:  John M. Perlowski, Chief Executive Officer, BlackRock Funds, 55 East 52nd Street, New York, NY 10055

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

Date of fiscal year end: 10/31/2019

Date of reporting period: 01/31/2019

Item 1 – Schedule of Investments

Consolidated Schedule of Investments  (unaudited)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

(Percentages shown are based on Net Assets)

 

Security    

Shares/Par

(000)

     Value  

Common Stocks — 4.2%

 

    

iShares MSCI India ETF(h)

 

     218,119     $     7,154,303  
     

 

 

  

Total Common Stocks — 4.2%
(Cost — $7,076,035)

 

  

 

7,154,303

 

     

 

 

  

Corporate Bonds — 11.6%

      

British Virgin Islands — 0.3%

      

China Great Wall International Holdings III Ltd., 2.63%, 10/27/21

     USD       200       193,147  

Sinochem Overseas Capital Co. Ltd., 4.50%, 11/12/20

 

     100       101,191  

Sinopec Group Overseas Development 2013 Ltd., 4.38%, 10/17/23

 

     200       206,278  
     

 

 

  
    500,616  
Chile — 2.0%                  

Banco del Estado de Chile, 4.13%, 10/07/20

 

     100       101,125  

Bonos del Banco Central de Chile en UF, 3.00%, 03/01/22

     CLP       2,052,193      

 3,

313,005

  

 

     

 

 

  
    3,414,130  
China — 0.1%                  

China Minmetals Corp., 3.75%(a)(b)

     USD       200      

 1

87,925

  

 

     

 

 

  
Hungary — 0.1%                  

MFB Magyar Fejlesztesi Bank Zrt,
6.25%, 10/21/20

 

     200    

 

208,117

 

     

 

 

  
Indonesia — 0.4%                  

Perusahaan Penerbit SBSN Indonesia III:

 

  

3.40%, 03/29/22

       200       197,750  

4.35%, 09/10/24

       400    

 

406,000

 

     

 

 

  
    603,750  
Malaysia — 0.3%                  

Petroliam Nasional Bhd, 7.63%, 10/15/26

 

     100       126,727  

Petronas Capital Ltd.:

      

5.25%, 08/12/19

       100       101,063  

7.88%, 05/22/22

       250       285,685  
     

 

 

  
    513,475  
Philippines — 0.1%                  

Power Sector Assets & Liabilities
Management Corp., 7.39%, 12/02/24

 

     100       118,961  
     

 

 

  
United States — 8.3%                  

3M Co., 3.13%, 09/19/46

 

     100       85,702  

Amazon.com, Inc.:

      

4.80%, 12/05/34

       200       224,675  

4.05%, 08/22/47

       450       458,255  
Security    

Par

(000)

     Value  
United States (continued)                  

Apple, Inc.:

      

4.50%, 02/23/36

     USD       100     $     107,183  

3.85%, 05/04/43

       200       194,962  

3.45%, 02/09/45

       100       91,112  

4.38%, 05/13/45

       200       210,408  

4.65%, 02/23/46

       250       274,051  

3.85%, 08/04/46

       100       96,585  

4.25%, 02/09/47

       100       102,439  

3.75%, 11/13/47

       400       383,139  

Bristol-Myers Squibb Co., 4.50%, 03/01/44

 

     100       100,965  

Cisco Systems, Inc.:

      

5.90%, 02/15/39

       100       126,644  

5.50%, 01/15/40

       200       242,170  

Eli Lilly & Co., 3.70%, 03/01/45

 

     100       95,747  

Exxon Mobil Corp.:

      

3.57%, 03/06/45

       150       142,501  

4.11%, 03/01/46

       100       104,844  

Goldman Sachs Group, Inc.:

      

6.25%, 02/01/41

       200       241,539  

4.80%, 07/08/44

       150       154,336  

HSBC Holdings PLC:

      

6.50%, 05/02/36

       150       179,806  

6.50%, 09/15/37

       300       357,274  

6.80%, 06/01/38

       100       123,739  

6.10%, 01/14/42

       100       120,750  

Intel Corp.:

      

4.25%, 12/15/42

       400       412,584  

4.10%, 05/19/46

       100       101,835  

3.73%, 12/08/47

       150       143,888  

International Business Machines Corp.:

      

5.88%, 11/29/32

       50       60,088  

5.60%, 11/30/39

       75       84,570  

4.00%, 06/20/42

       100       93,594  

4.70%, 02/19/46

       100       102,612  

Johnson & Johnson:

      

4.38%, 12/05/33

       100       107,780  

3.63%, 03/03/37

       200       199,725  

4.50%, 09/01/40

       200       218,717  

3.70%, 03/01/46

       400       392,208  

Merck & Co., Inc.:

      

3.60%, 09/15/42

       100       94,597  

4.15%, 05/18/43

       150       154,356  

3.70%, 02/10/45

       100       98,171  

Microsoft Corp.:

      

3.50%, 02/12/35

       75       74,013  

3.45%, 08/08/36

       400       391,134  

4.10%, 02/06/37

       300       316,116  

4.50%, 10/01/40

       150       165,628  

5.30%, 02/08/41

       100       121,652  

3.50%, 11/15/42

       100       96,204  

3.75%, 02/12/45

       100       99,782  

4.45%, 11/03/45

       225       250,061  
 

 

 

       1  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

(Percentages shown are based on Net Assets)

 

Security    

    Par

(000)

     Value  
United States (continued)                  

Microsoft Corp. (continued):

      

3.70%, 08/08/46

     USD       100     $ 99,308  

Series 30Y, 4.25%, 02/06/47

       350       380,216  

Morgan Stanley:

      

4.46%, 04/22/39(a)

       300       302,591  

6.38%, 07/24/42

       100       127,950  

4.30%, 01/27/45

       200       196,829  

4.38%, 01/22/47

       200       200,067  

NIKE, Inc.:

      

3.88%, 11/01/45

       75       75,142  

3.38%, 11/01/46

       100       91,779  

Oracle Corp.:

      

3.90%, 05/15/35

       300       295,567  

3.85%, 07/15/36

       200       193,251  

3.80%, 11/15/37

       300       288,926  

5.38%, 07/15/40

       100       114,913  

4.13%, 05/15/45

       300       294,487  

4.00%, 07/15/46

       200       192,060  

4.00%, 11/15/47

       200       193,248  

PepsiCo, Inc.:

      

4.25%, 10/22/44

       100       102,280  

4.45%, 04/14/46

       200       215,993  

3.45%, 10/06/46

       400       371,530  

Pfizer, Inc.:

      

7.20%, 03/15/39

       150       213,892  

4.30%, 06/15/43

       350       367,746  

4.40%, 05/15/44

       125       134,082  

Procter & Gamble Co.,
3.50%, 10/25/47

 

     300       291,641  

Visa, Inc.,
4.30%, 12/14/45

 

     400       430,817  

Wal-Mart Stores, Inc.:

      

6.20%, 04/15/38

       300       387,222  

5.63%, 04/01/40

       75       91,639  

Walmart, Inc.:

      

4.00%, 04/11/43

       100       100,390  

3.63%, 12/15/47

       200       192,047  

Walt Disney Co.,
4.13%, 06/01/44

 

     200      

 203

,610

  

 

     

 

 

  
    14,147,364  
     

 

 

  

Total Corporate Bonds — 11.6%
(Cost — $19,926,888)

 

         19,694,338  
     

 

 

  

Foreign Agency Obligations — 46.5%

 

Argentina — 4.0%

      

Argentine Republic Government International Bond:

 

    

6.88%, 04/22/21

       850       810,900  

5.63%, 01/26/22

       800       725,200  

7.50%, 04/22/26

       1,350       1,194,750  

6.88%, 01/26/27

       1,000       845,000  

6.63%, 07/06/28

       500       411,250  

8.28%, 12/31/33

 

     1,045       915,321  
Security    

    Par

(000)

     Value  

Argentina (continued)

      

7.13%, 07/06/36

     USD       350     $ 277,375  

2.50%, 12/31/38(c)

       1,300       770,250  

7.63%, 04/22/46

       450       364,500  

7.13%, 06/28/27

       700       544,250  
     

 

 

  
        6,858,796  

Brazil — 3.3%

      

Brazilian Government International Bond:

      

4.88%, 01/22/21

       600       617,400  

2.63%, 01/05/23

       500       480,500  

4.25%, 01/07/25

       1,000       1,009,000  

6.00%, 04/07/26

       440       481,140  

4.63%, 01/13/28

       600       596,637  

7.13%, 01/20/37

       500       587,500  

5.63%, 01/07/41

       400       403,600  

5.00%, 01/27/45

       1,000       923,000  

5.63%, 02/21/47

       500       497,500  
     

 

 

  
    5,596,277  

Chile — 0.1%

      

Chile Government International Bond,
3.13%, 01/21/26

 

     200       197,000  
     

 

 

  

Colombia — 3.0%

      

Colombia Government International Bond:

      

4.38%, 07/12/21

       750       767,813  

2.63%, 03/15/23

       200       192,500  

4.00%, 02/26/24

       200       202,400  

8.13%, 05/21/24

       200       238,500  

4.50%, 01/28/26

       400       412,400  

3.88%, 04/25/27

       600       592,800  

7.38%, 09/18/37

       500       633,125  

6.13%, 01/18/41

       500       570,000  

5.63%, 02/26/44

       600       654,000  

5.00%, 06/15/45

       900       909,900  
     

 

 

  
    5,173,438  

Hungary — 2.0%

      

Hungary Government International Bond:

      

6.38%, 03/29/21

       950       1,006,544  

5.38%, 02/21/23

       498       531,652  

5.75%, 11/22/23

       700       763,648  

5.38%, 03/25/24

       600       648,000  
 

 

 

2   

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

(Percentages shown are based on Net Assets)

 

Security    

    Par

(000)

     Value  
Hungary (continued)                  

7.63%, 03/29/41

     USD       300     $ 431,625  
     

 

 

  
         3,381,469  
Indonesia — 4.7%                  

Indonesia Government International Bond:

      

4.88%, 05/05/21

       700       718,375  

3.75%, 04/25/22

       400       401,500  

3.38%, 04/15/23

       400       396,000  

5.88%, 01/15/24

       400       437,000  

4.13%, 01/15/25

       400       404,500  

4.75%, 01/08/26

       400       417,000  

4.35%, 01/08/27

       400       405,500  

7.75%, 01/17/38

       400       536,000  

5.25%, 01/17/42

       400       420,500  

4.63%, 04/15/43

       300       294,375  

6.75%, 01/15/44

       600       753,000  

5.13%, 01/15/45

       600       623,250  

5.95%, 01/08/46

       200       230,000  

5.25%, 01/08/47

       400       423,000  

Indonesia Treasury Bond,
7.00%, 05/15/27

     IDR       23,913,000       1,593,858  
     

 

 

  
    8,053,858  
Kazakhstan — 0.1%                  

Kazakhstan Government International Bond,
5.13%, 07/21/25

     USD       200       216,250  
     

 

 

  
Malaysia — 0.1%                  

Export-Import Bank of Malaysia Bhd,
2.48%, 10/20/21

 

     200       194,013  
     

 

 

  
Mexico — 5.9%                  

Mexican Udibonos,
4.50%, 12/04/25

     MXN       30,113       1,607,153  

Mexico Government International Bond:

      

3.50%, 01/21/21

     USD       250       250,000  

3.63%, 03/15/22

       500       498,750  

4.00%, 10/02/23

       600       606,000  

3.60%, 01/30/25

       800       779,200  

4.13%, 01/21/26

       600       595,500  

4.15%, 03/28/27

       800       787,000  

6.75%, 09/27/34

       300       351,000  

6.05%, 01/11/40

       600       657,000  

4.75%, 03/08/44

       1,100       1,036,750  

5.55%, 01/21/45

       550       577,500  

4.60%, 01/23/46

       600       552,900  

4.35%, 01/15/47

       600       534,000  

4.60%, 02/10/48

       400       370,000  
Security    

    Par

(000)

     Value  

Mexico (continued)

      

5.75%, 10/12/10

     USD       800     $ 788,000  
     

 

 

  
         9,990,753  
Panama — 1.5%                  

Panama Government International Bond:

      

4.00%, 09/22/24

       200       205,500  

7.13%, 01/29/26

       550       662,750  

3.88%, 03/17/28

       400       406,000  

9.38%, 04/01/29

       300       430,500  

6.70%, 01/26/36

       500       632,750  

4.30%, 04/29/53

       200       196,000  
     

 

 

  
    2,533,500  
Peru — 1.2%                  

Peruvian Government International Bond:

      

7.35%, 07/21/25

       400       494,000  

4.13%, 08/25/27

       300       317,100  

6.55%, 03/14/37

       300       390,750  

5.63%, 11/18/50

       700       851,375  
     

 

 

  
    2,053,225  
Philippines — 3.1%                  

Philippine Government International Bond:

      

4.00%, 01/15/21

       400       404,846  

4.20%, 01/21/24

       200       208,449  

5.50%, 03/30/26

       200       224,663  

9.50%, 02/02/30

       750       1,129,031  

7.75%, 01/14/31

       500       687,302  

6.38%, 01/15/32

       400       501,502  

6.38%, 10/23/34

       500       643,608  

5.00%, 01/13/37

       200       228,237  

3.95%, 01/20/40

       600       608,421  

3.70%, 03/01/41

       200       194,665  

3.70%, 02/02/42

       400       389,394  
     

 

 

  
    5,220,118  
Poland — 1.0%                  

Poland Government International Bond:

      

6.38%, 07/15/19

       500       508,545  

5.13%, 04/21/21

       400       418,800  

3.00%, 03/17/23

       300       297,247  

3.25%, 04/06/26

       400       397,872  
     

 

 

  
    1,622,464  
Romania — 1.0%                  

Romanian Government International Bond:

      

4.38%, 08/22/23

       900       913,500  

4.88%, 01/22/24

       400       416,000  
 

 

 

                        3  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

(Percentages shown are based on Net Assets)

 

Security    

    Par

(000)

     Value  
Romania (continued)                  

6.13%, 01/22/44

     USD       300     $ 333,750  
     

 

 

  
         1,663,250  
Russia — 4.1%                  

Russian Foreign Bond — Eurobond:

      

5.00%, 04/29/20

       300       305,625  

4.50%, 04/04/22

       400       408,600  

4.88%, 09/16/23

       1,000       1,035,000  

4.75%, 05/27/26

       1,200       1,221,000  

4.25%, 06/23/27

       600       586,500  

7.50%, 03/31/30(c)

       830       919,225  

5.63%, 04/04/42

       600       642,750  

5.88%, 09/16/43

       400       441,000  

5.25%, 06/23/47

       1,400       1,382,500  
     

 

 

  
    6,942,200  
South Africa — 2.9%                  

Republic of South Africa Government International Bond:

      

5.50%, 03/09/20

       500       509,375  

5.88%, 05/30/22

       100       105,250  

4.67%, 01/17/24

       490       491,837  

5.88%, 09/16/25

       400       419,500  

4.88%, 04/14/26

       200       198,000  

4.30%, 10/12/28

       500       466,250  

5.38%, 07/24/44

       200       186,250  

5.00%, 10/12/46

       200       179,500  

South Africa Government Bond — CPI Linked, 5.50%, 12/07/23

     ZAR       28,586       2,403,678  
     

 

 

  
    4,959,640  
South Korea — 1.3%                  

Inflation Linked Korea Treasury Bond,
1.13%, 06/10/23

     KRW       2,434,903       2,238,862  
     

 

 

  
Turkey — 4.5%                  

Turkey Government International Bond:

      

7.00%, 06/05/20

     USD       450       461,812  

5.63%, 03/30/21

       500       506,250  

5.13%, 03/25/22

       200       197,250  

6.25%, 09/26/22

       700       712,250  

3.25%, 03/23/23

       450       410,625  

5.75%, 03/22/24

       500       492,500  

7.38%, 02/05/25

       600       628,500  

4.25%, 04/14/26

       200       176,000  

4.88%, 10/09/26

       500       453,125  

6.00%, 03/25/27

       700       674,625  

11.88%, 01/15/30

       300       410,250  

6.75%, 05/30/40

       600       580,500  

6.00%, 01/14/41

       700       621,250  

4.88%, 04/16/43

       600       471,000  
Security         Par
(000)		     Value  
Turkey (continued)                  

6.63%, 02/17/45

     USD       400     $ 379,000  

5.75%, 05/11/47

       600       511,500  
     

 

 

  
       7,686,437  
Ukraine — 1.3%                  

Ukraine Government International Bond:

      

7.75%, 09/01/20

       400       396,000  

7.75%, 09/01/21

       200       196,500  

7.75%, 09/01/23

       400       382,000  

7.75%, 09/01/24

       100       93,250  

7.75%, 09/01/26

       500       453,750  

7.75%, 09/01/27

       100       90,250  

7.38%, 09/25/32

       600       510,000  
     

 

 

  
    2,121,750  
Uruguay — 0.1%                  

Uruguay Government International Bond:

      

7.88%, 01/15/33(d)

       100       135,400  

4.13%, 11/20/45

       100       93,250  
     

 

 

  
    228,650  
Venezuela — 1.3%                  

Venezuela Government International Bond(e)(f):

      

7.75%, 10/13/19

       430       131,150  

6.00%, 12/09/20

       345       106,260  

12.75%, 08/23/22

       732       242,303  

9.00%, 05/07/23

       350       112,000  

8.25%, 10/13/24

       655       209,600  

7.65%, 04/21/25

       290       90,625  

11.75%, 10/21/26

       766       254,695  

9.25%, 09/15/27

       1,050       345,187  

9.25%, 05/07/28

       700       217,000  

11.95%, 08/05/31

       915       307,669  

9.38%, 01/13/34

       275       95,563  

7.00%, 03/31/38

       200       61,500  
     

 

 

  
    2,173,552  
     

 

 

  

Total Foreign Agency Obligations — 46.5%
(Cost — $81,887,307)

 

     79,105,502  
     

 

 

  

Total Long-Term Investments — 62.3%
(Cost — $108,890,230)

 

     105,954,143  
     

 

 

  
 

 

 

4                        

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

(Percentages shown are based on Net Assets)

 

 

Security   Shares     Value  

Short-Term Securities — 32.3%

    

BlackRock Liquidity Funds, T-Fund, Institutional Class, 2.26%(g)(h)

     55,033,474     $ 55,033,474  
   

 

 

  

Total Short-Term Securities — 32.3%
(Cost — $55,033,474)

 

     55,033,474  
   

 

 

  

Total Investments — 94.6%
(Cost — $163,923,704)

 

     160,987,617  

Other Assets Less Liabilities — 5.4%

 

     9,275,837  
   

 

 

  

Net Assets — 100.0%

 

   $ 170,263,454  
   

 

 

  
 

 

(a) 

Variable or floating rate security, which interest rate adjusts periodically based on changes in current interest rates and prepayments on the underlying pool of assets. Rate shown is the rate in effect as of period end.

(b) 

Perpetual security with no stated maturity date.

(c) 

Step-up bond that pays an initial coupon rate for the first period and then a higher coupon rate for the following periods. Rate as of period end.

(d) 

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.

(e) 

Issuer filed for bankruptcy and/or is in default.

(f) 

Non-income producing security.

(g) 

Annualized 7-day yield as of period end.

(h) 

During the period ended January 31, 2019, investments in issuers considered to be affiliates of the Fund for purposes of Section 2(a)(3) of the Investment Company Act of 1940, as amended, and/or related parties of the Fund were as follows:

 

Affiliate Persons and/or Related Parties    Shares
Held at
10/31/18		      Shares
Purchased		      Shares
Sold		      Shares
Held at
01/31/19		      Value at
01/31/19		      Income      Net
Realized
Gain (Loss)(a)		      Change in
Unrealized
Appreciation
(Depreciation)		  

BlackRock Liquidity Funds, T-Fund, Institutional Class

      29,979,824        25,053,650 (b)        —        55,033,474      $ 55,033,474      $ 216,590      $ —      $ —  

iShares MSCI India ETF

      277,300        12,400        (71,581 )       218,119        7,154,303        62,819        (36,203 )       715,492  
              

 

 

     

 

 

     

 

 

     

 

 

  
   $ 62,187,777      $ 279,409      $ (36,203 )     $ 715,492  
              

 

 

     

 

 

     

 

 

     

 

 

  

 

  (a) 

Includes net capital gain distributions, if applicable.

 
  (b) 

Represents net shares value purchased.

 

 

 

                        5  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

 

Portfolio Abbreviations
AUD   Australian Dollar
BRL   Brazilian Real
CAD   Canadian Dollar
CHF   Swiss Franc
CLP   Chilean Peso
EUR   Euro
GBP   British Pound
INR   Indian Rupee
JPY   Japanese Yen
KRW   South Korean Won
MXN   Mexican Peso
NOK   Norwegian Krone
NZD   New Zealand Dollar
PHP   Philippine Peso
PLN   Polish Zloty
RUB   New Russian Ruble
SEK   Swedish Krona
SGD   Singapore Dollar
TRY   Turkish Lira
TWD   Taiwan New Dollar
USD   United States Dollar
ZAR   South African Rand
COP   Colombian Peso
ETF   Exchange-Traded Fund
HUF   Hungarian Forint
IDR   Indonesian Rupiah
JPY   Japanese Yen
LIBOR   London Interbank Offered Rate
MSCI   Morgan Stanley Capital International
NOK   Norwegian Krone
OTC   Over-the-Counter
RON   Romanian New Leu
THB   Thai Baht

Derivative Financial Instruments Outstanding as of Period End

Forward Foreign Currency Exchange Contracts

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
AUD     205,000          USD  146,661        Goldman Sachs International        02/15/19        $ 2,377  
AUD     1,249,000          USD  887,564        Goldman Sachs International        02/15/19          20,478  
AUD     2,147,000          USD  1,540,964        Goldman Sachs International        02/15/19          19,939  
AUD     680,000          USD 486,265        JPMorgan Chase Bank N.A.        02/15/19          8,106  
AUD     1,318,000          USD 948,901        JPMorgan Chase Bank N.A.        02/15/19          9,305  
AUD     1,812,000          USD 1,303,412        JPMorgan Chase Bank N.A.        02/15/19          13,940  
BRL     331,000          USD 89,184        BNP Paribas S.A.        02/15/19          1,511  
BRL     55,000          USD 15,070        Barclays Bank PLC        02/15/19          —  

 

 

6                

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Forward Foreign Currency Exchange Contracts (continued)

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
BRL     345,000          USD  91,371        Barclays Bank PLC        02/15/19        $ 3,161  
BRL     3,319,000          USD  891,198        Barclays Bank PLC        02/15/19          18,221  
CAD     24,000          USD  18,266        Goldman Sachs International        02/15/19          5  
CAD     145,000          USD  108,895        Goldman Sachs International        02/15/19          1,495  
CAD     221,000          USD  167,203        Goldman Sachs International        02/15/19          1,046  
CAD     374,000          USD  282,309        Goldman Sachs International        02/15/19          2,419  
CAD     859,000          USD  646,267        Goldman Sachs International        02/15/19          7,696  
CAD     21,000          USD  15,728        HSBC Bank USA N.A.        02/15/19          259  
CAD     661,000          USD  498,180        JPMorgan Chase Bank N.A.        02/15/19          5,044  
CAD     1,281,000          USD  966,401        JPMorgan Chase Bank N.A.        02/15/19          8,833  
CLP     15,997,000          USD  23,898        BNP Paribas S.A.        02/15/19          497  
CLP     65,679,000          USD  98,659        BNP Paribas S.A.        02/15/19          1,498  
CLP     99,133,000          USD  147,267        JPMorgan Chase Bank N.A.        02/15/19          3,905  
COP     545,368,000          USD  174,311        BNP Paribas S.A.        02/15/19          1,249  
COP     473,641,000          USD  151,323        JPMorgan Chase Bank N.A.        02/15/19          1,147  
EUR     436,165          CHF  496,000        Morgan Stanley & Co. International PLC        02/15/19          406  
EUR     1,733,250          SEK  17,785,000        Citibank N.A.        02/15/19          18,456  
EUR     42,545          SEK  439,000        Goldman Sachs International        02/15/19          183  
EUR     126,391          SEK  1,301,000        Goldman Sachs International        02/15/19          893  
EUR     286,538          SEK  2,953,000        Goldman Sachs International        02/15/19          1,634  
EUR     174,000          USD  198,040        Goldman Sachs International        02/15/19          1,304  
EUR     238,000          USD  270,942        Goldman Sachs International        02/15/19          1,724  
EUR     100,000          USD  114,232        JPMorgan Chase Bank N.A.        02/15/19          334  
EUR     2,052,000          USD 2,345,346        JPMorgan Chase Bank N.A.        02/15/19          5,540  
GBP     285,000          USD  367,679        Goldman Sachs International        02/15/19          6,337  
GBP     294,000          USD  383,190        Goldman Sachs International        02/15/19          2,637  
GBP     409,000          USD  522,791        Goldman Sachs International        02/15/19          13,955  
GBP     149,000          USD  195,260        Morgan Stanley & Co. International PLC        02/15/19          278  
HUF     101,031,000          EUR  313,984        Citibank N.A.        02/15/19          6,609  
HUF     469,403,000          EUR  1,460,313        Goldman Sachs International        02/15/19          28,983  
HUF     34,829,000          EUR  109,291        HSBC Bank USA N.A.        02/15/19          1,076  
IDR     1,232,801,000          USD  86,252        JPMorgan Chase Bank N.A.        02/15/19          2,208  
IDR     1,411,197,000          USD  99,408        JPMorgan Chase Bank N.A.        02/15/19          1,853  
IDR     2,411,596,000          USD  171,096        JPMorgan Chase Bank N.A.        02/15/19          1,949  
IDR     2,790,283,000          USD  196,526        JPMorgan Chase Bank N.A.        02/15/19          3,691  
IDR     7,091,470,000          USD  502,407        JPMorgan Chase Bank N.A.        02/15/19          6,444  
IDR     7,198,412,000          USD  504,020        JPMorgan Chase Bank N.A.        02/15/19          12,504  
IDR     11,123,339,000          USD  786,102        JPMorgan Chase Bank N.A.        02/15/19          12,056  
INR     3,488,000          USD  48,956        BNP Paribas S.A.        02/15/19          149  
INR     25,692,000          USD  360,612        BNP Paribas S.A.        02/15/19          1,084  
JPY     31,442,000          USD  287,029        Citibank N.A.        02/15/19          1,873  
JPY     74,519,000          USD  679,932        Goldman Sachs International        02/15/19          4,781  
JPY     19,195,000          USD  175,001        HSBC Bank USA N.A.        02/15/19          1,371  
JPY     51,505,000          USD  471,654        JPMorgan Chase Bank N.A.        02/15/19          1,596  
KRW     149,873,000          USD  133,603        JPMorgan Chase Bank N.A.        02/15/19          1,090  
MXN     3,079,000          USD  160,034        Barclays Bank PLC        02/15/19          736  

 

 

     7  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Forward Foreign Currency Exchange Contracts (continued)

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
NOK     89,000        EUR     9,078        Goldman Sachs International        02/15/19        $ 158  
NOK     2,368,000        EUR     243,830        JPMorgan Chase Bank N.A.        02/15/19          1,571  
NOK     5,804,000        EUR     597,245        JPMorgan Chase Bank N.A.        02/15/19          4,295  
NOK     20,883,000        EUR     2,134,359        JPMorgan Chase Bank N.A.        02/15/19          32,120  
NZD     652,000        USD     445,628        JPMorgan Chase Bank N.A.        02/15/19          5,153  
NZD     1,173,000        USD     800,609        JPMorgan Chase Bank N.A.        02/15/19          10,383  
PHP     4,227,000        USD     80,331        BNP Paribas S.A.        02/15/19          700  
PHP     22,746,000        USD     430,820        Barclays Bank PLC        02/15/19          5,218  
PHP     10,312,000        USD     194,967        JPMorgan Chase Bank N.A.        02/15/19          2,712  
PHP     25,153,000        USD     475,213        JPMorgan Chase Bank N.A.        02/15/19          6,967  
PLN     1,760,000        EUR     410,111        Barclays Bank PLC        02/15/19          3,129  
PLN     231,000        EUR     54,169        Deutsche Bank AG        02/15/19          18  
PLN     11,506,000        EUR     2,677,866        Goldman Sachs International        02/15/19          24,156  
RUB     1,293,000        USD     19,444        Barclays Bank PLC        02/15/19          305  
RUB     3,141,000        USD     47,518        Barclays Bank PLC        02/15/19          457  
RUB     20,531,000        USD     310,582        Barclays Bank PLC        02/15/19          3,005  
RUB     3,999,000        USD     60,045        JPMorgan Chase Bank N.A.        02/15/19          1,035  
SEK     6,591,000        EUR     636,154        JPMorgan Chase Bank N.A.        02/15/19          237  
SGD     116,000        USD     85,309        Citibank N.A.        02/15/19          876  
SGD     169,000        USD     124,630        Citibank N.A.        02/15/19          932  
SGD     406,000        USD     299,597        Citibank N.A.        02/15/19          2,050  
SGD     1,226,000        USD     906,278        HSBC Bank USA N.A.        02/15/19          4,608  
SGD     19,000        USD     14,001        JPMorgan Chase Bank N.A.        02/15/19          116  
THB     8,285,000        USD     260,961        Citibank N.A.        02/15/19          4,286  
THB     2,355,000        USD     74,658        Goldman Sachs International        02/15/19          739  
THB     3,124,000        USD     100,000        Goldman Sachs International        02/15/19          16  
THB     8,101,000        USD     254,853        Goldman Sachs International        02/15/19          4,504  
THB     14,776,000        USD     465,474        Goldman Sachs International        02/15/19          7,586  
TRY     94,000        USD     17,981        Citibank N.A.        02/15/19          69  
TRY     527,000        USD     94,456        Citibank N.A.        02/15/19          6,737  
TRY     610,000        USD     114,115        Citibank N.A.        02/15/19          3,016  
TRY     964,000        USD     178,248        Citibank N.A.        02/15/19          6,857  
TRY     213,000        USD     39,988        Goldman Sachs International        02/15/19          912  
TRY     2,300,000        USD     411,229        HSBC Bank USA N.A.        02/15/19          30,412  
TRY     382,000        USD     71,692        JPMorgan Chase Bank N.A.        02/15/19          1,658  
TWD     5,407,000        USD     175,757        BNP Paribas S.A.        02/15/19          421  
TWD     640,000        USD     20,838        JPMorgan Chase Bank N.A.        02/15/19          15  
TWD     11,551,000        USD     374,134        JPMorgan Chase Bank N.A.        02/15/19          2,237  
TWD     17,097,000        USD     553,995        Morgan Stanley & Co. International PLC        02/15/19          3,083  
USD     87,268        AUD     120,000        Goldman Sachs International        02/15/19          26  
USD     17,956        CLP     11,764,000        JPMorgan Chase Bank N.A.        02/15/19          17  
USD     1,013,307        EUR     881,000        JPMorgan Chase Bank N.A.        02/15/19          3,984  
USD     769,378        GBP     586,000        BNP Paribas S.A.        02/15/19          348  
USD     117,217        GBP     89,000        Barclays Bank PLC        02/15/19          419  
USD     645,579        INR     45,852,000        BNP Paribas S.A.        02/15/19          69  
USD     939,610        INR     66,702,000        JPMorgan Chase Bank N.A.        02/15/19          571  
USD     452,880        JPY     49,247,000        Goldman Sachs International        02/15/19          377  
USD     660,017        JPY     71,505,000        Goldman Sachs International        02/15/19          2,998  

 

 

8                                

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Forward Foreign Currency Exchange Contracts (continued)

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
USD     5,578,138        JPY     602,159,000        JPMorgan Chase Bank N.A.        02/15/19        $ 45,240  
USD     77,037        MXN     1,465,000        Goldman Sachs International        02/15/19          542  
USD     191,783        MXN     3,664,000        JPMorgan Chase Bank N.A.        02/15/19          468  
USD     338,902        MXN     6,472,000        JPMorgan Chase Bank N.A.        02/15/19          967  
USD     31,810        NZD     46,000        Goldman Sachs International        02/15/19          6  
ZAR     193,000        USD     14,475        Goldman Sachs International        02/15/19          58  
ZAR     16,671,000        USD     1,201,100        Goldman Sachs International        02/15/19          54,217  
CLP     1,150,000,000        USD     1,697,943        Citibank N.A.        03/20/19          55,759  
IDR     15,654,390,000        USD     1,098,376        Bank of America N.A.        03/20/19          20,426  
KRW     1,860,000,000        USD     1,669,914        Barclays Bank PLC        03/20/19          4,174  
MXN     21,280,000        USD     1,088,199        Citibank N.A.        03/20/19          17,372  
ZAR     22,000,000        USD     1,561,668        Citibank N.A.        03/20/19          88,585  
                       

 

 

  
                          755,237  
                       

 

 

  
CHF     77,000        EUR     68,441        Goldman Sachs International        02/15/19          (899 ) 
CHF     158,000        EUR     139,611        Goldman Sachs International        02/15/19          (899 ) 
CHF     581,000        EUR     512,308        Goldman Sachs International        02/15/19          (2,078 ) 
CHF     305,000        EUR     271,115        JPMorgan Chase Bank N.A.        02/15/19          (3,583 ) 
CHF     510,000        EUR     449,115        JPMorgan Chase Bank N.A.        02/15/19          (1,150 ) 
CHF     885,000        EUR     785,988        JPMorgan Chase Bank N.A.        02/15/19          (9,605 ) 
CHF     1,730,000        EUR     1,530,194        JPMorgan Chase Bank N.A.        02/15/19          (11,607 ) 
CHF     78,000        EUR     68,997        Morgan Stanley & Co. International PLC        02/15/19          (529 ) 
CHF     991,000        EUR     877,613        Morgan Stanley & Co. International PLC        02/15/19          (7,873 ) 
EUR     80,718        HUF     25,660,000        Deutsche Bank AG        02/15/19          (565 ) 
EUR     147,675        HUF     47,000,000        HSBC Bank USA N.A.        02/15/19          (1,232 ) 
EUR     280,194        NOK     2,725,000        Citibank N.A.        02/15/19          (2,262 ) 
EUR     108,265        NOK     1,052,000        Goldman Sachs International        02/15/19          (764 ) 
EUR     552,774        NOK     5,388,000        Goldman Sachs International        02/15/19          (5,892 ) 
EUR     300,677        NOK     2,927,000        JPMorgan Chase Bank N.A.        02/15/19          (2,760 ) 
EUR     225,265        PLN     968,000        Deutsche Bank AG        02/15/19          (2,060 ) 
EUR     426,214        RON     2,038,000        HSBC Bank USA N.A.        02/15/19          (4,039 ) 
EUR     254,982        RON     1,219,000        JPMorgan Chase Bank N.A.        02/15/19          (2,360 ) 
EUR     260,016        SEK     2,694,000        Citibank N.A.        02/15/19          (103 ) 
EUR     4,286,129        USD     4,926,906        Citibank N.A.        02/15/19          (16,478 ) 
HUF     9,998,000        EUR     31,663        JPMorgan Chase Bank N.A.        02/15/19          (23 ) 
IDR     847,558,000        USD     60,914        JPMorgan Chase Bank N.A.        02/15/19          (97 ) 
MXN     6,744,000        USD     353,050        Barclays Bank PLC        02/15/19          (912 ) 
MXN     2,596,000        USD     135,798        Goldman Sachs International        02/15/19          (248 ) 
MXN     1,445,000        USD     75,461        HSBC Bank USA N.A.        02/15/19          (11 ) 
NOK     179,000        EUR     18,538        Goldman Sachs International        02/15/19          (3 ) 
PHP     6,046,000        USD     115,910        Barclays Bank PLC        02/15/19          (9 ) 
RON     57,000        EUR     12,078        BNP Paribas S.A.        02/15/19          (67 ) 
RON     239,000        EUR     50,422        HSBC Bank USA N.A.        02/15/19          (29 ) 
RON     12,580,000        EUR     2,680,308        HSBC Bank USA N.A.        02/15/19          (31,677 ) 
SEK     298,000        EUR     29,082        Citibank N.A.        02/15/19          (355 ) 
SEK     2,290,000        EUR     223,465        Goldman Sachs International        02/15/19          (2,710 ) 

 

 

     9  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Forward Foreign Currency Exchange Contracts (continued)

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
SEK     4,514,000        EUR     439,797        Goldman Sachs International        02/15/19        $ (4,549 ) 
SGD     118,000        USD     87,679        JPMorgan Chase Bank N.A.        02/15/19          (8 ) 
USD     2,040,626        AUD     2,834,000        BNP Paribas S.A.        02/15/19          (19,736 ) 
USD     275,240        AUD     383,000        Goldman Sachs International        02/15/19          (3,207 ) 
USD     84,558        BRL     320,000        BNP Paribas S.A.        02/15/19          (3,123 ) 
USD     94,965        BRL     354,000        BNP Paribas S.A.        02/15/19          (2,032 ) 
USD     98,764        BRL     373,000        BNP Paribas S.A.        02/15/19          (3,440 ) 
USD     407,014        CAD     540,000        Goldman Sachs International        02/15/19          (4,092 ) 
USD     530,167        CAD     703,000        JPMorgan Chase Bank N.A.        02/15/19          (5,032 ) 
USD     1,204,296        CLP     807,541,000        Barclays Bank PLC        02/15/19          (27,155 ) 
USD     7,359        COP     22,891,000        BNP Paribas S.A.        02/15/19          (10 ) 
USD     612,193        COP     1,922,041,000        Barclays Bank PLC        02/15/19          (6,532 ) 
USD     578,319        EUR     505,000        Deutsche Bank AG        02/15/19          (237 ) 
USD     510,765        EUR     447,000        Goldman Sachs International        02/15/19          (1,343 ) 
USD     40,924        EUR     36,000        JPMorgan Chase Bank N.A.        02/15/19          (320 ) 
USD     197,672        EUR     174,000        JPMorgan Chase Bank N.A.        02/15/19          (1,672 ) 
USD     151,172        GBP     117,000        Barclays Bank PLC        02/15/19          (2,372 ) 
USD     1,136,627        GBP     882,000        Barclays Bank PLC        02/15/19          (20,854 ) 
USD     1,557,751        GBP     1,210,339        JPMorgan Chase Bank N.A.        02/15/19          (30,622 ) 
USD     135,552        INR     9,657,000        BNP Paribas S.A.        02/15/19          (401 ) 
USD     241,431        INR     17,213,000        BNP Paribas S.A.        02/15/19          (895 ) 
USD     41,556        INR     2,953,000        Barclays Bank PLC        02/15/19          (16 ) 
USD     361,356        INR     25,816,000        Barclays Bank PLC        02/15/19          (2,085 ) 
USD     297,812        INR     21,287,000        JPMorgan Chase Bank N.A.        02/15/19          (1,869 ) 
USD     142,069        JPY     15,525,000        Goldman Sachs International        02/15/19          (582 ) 
USD     54,770        KRW     61,866,000        BNP Paribas S.A.        02/15/19          (830 ) 
USD     63,389        KRW     70,557,369        BNP Paribas S.A.        02/15/19          (22 ) 
USD     8,179        KRW     9,104,631        JPMorgan Chase Bank N.A.        02/15/19          (3 ) 
USD     330,600        KRW     370,103,000        JPMorgan Chase Bank N.A.        02/15/19          (2,017 ) 
USD     389,952        KRW     437,916,000        JPMorgan Chase Bank N.A.        02/15/19          (3,610 ) 
USD     579,207        KRW     648,249,000        JPMorgan Chase Bank N.A.        02/15/19          (3,384 ) 
USD     1,562,384        KRW     1,757,901,000        JPMorgan Chase Bank N.A.        02/15/19          (17,468 ) 
USD     893,286        NZD     1,318,000        BNP Paribas S.A.        02/15/19          (17,957 ) 
USD     357,490        NZD     527,000        HSBC Bank USA N.A.        02/15/19          (6,868 ) 
USD     519,817        NZD     761,000        HSBC Bank USA N.A.        02/15/19          (6,325 ) 
USD     520,231        NZD     763,000        JPMorgan Chase Bank N.A.        02/15/19          (7,294 ) 
USD     1,960,324        NZD     2,901,000        JPMorgan Chase Bank N.A.        02/15/19          (45,378 ) 
USD     1,595,076        PHP     83,515,000        Morgan Stanley & Co. International PLC        02/15/19          (5,894 ) 
USD     3,518        RUB     231,000        Barclays Bank PLC        02/15/19          (10 ) 
USD     613,134        RUB     41,278,000        Morgan Stanley & Co. International PLC        02/15/19          (17,340 ) 
USD     1,491,081        SGD     2,028,000        Goldman Sachs International        02/15/19          (15,669 ) 
USD     322,359        SGD     436,000        JPMorgan Chase Bank N.A.        02/15/19          (1,578 ) 
USD     788,865        THB     25,179,000        Goldman Sachs International        02/15/19          (17,251 ) 
USD     216,580        THB     6,912,000        HSBC Bank USA N.A.        02/15/19          (4,711 ) 
USD     55,700        ZAR     764,000        BNP Paribas S.A.        02/15/19          (1,829 ) 
USD     143,731        ZAR     1,990,000        BNP Paribas S.A.        02/15/19          (6,115 ) 
USD     30,145        ZAR     412,000        JPMorgan Chase Bank N.A.        02/15/19          (878 ) 
USD     233,768        ZAR     3,251,000        JPMorgan Chase Bank N.A.        02/15/19          (11,031 ) 

 

 

10                    

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Forward Foreign Currency Exchange Contracts (continued)

 

Currency

Purchased

       

Currency

Sold

        Counterparty     

Settlement

Date

       

Unrealized

Appreciation

(Depreciation)

  
USD     4,998,511          CLP  3,358,000,000        Citibank N.A.        03/20/19        $ (122,298 ) 
USD     2,581,740          IDR  38,287,198,000        Deutsche Bank AG        03/20/19          (154,605 ) 
USD     3,938,417          KRW  4,400,000,000        Citibank N.A.        03/20/19          (21,789 ) 
USD     2,572,453          MXN 52,900,000        State Street Bank and Trust Co.        03/20/19          (175,888 ) 
USD     3,922,749          ZAR 54,300,000        BNP Paribas S.A.        03/20/19          (150,377 ) 
                       

 

 

  
                          (1,073,482 ) 
                       

 

 

  
                 $ (318,245 ) 
                       

 

 

  

Centrally Cleared Interest Rate Swaps

 

Paid by the Fund

   

Received by the Fund

      

 

        

 

        

 

     

 

        

 

        

 

        

 

  
Rate    Frequency    Rate    Frequency   

Effective

Date(a)

     

Termination

Date

     

Notional

Amount (000)

      Value      Upfront Premium
Paid (Received)		     

Unrealized

Appreciation

(Depreciation)

  
3-Month JIBAR, 7.15%    Quarterly    8.39%    Quarterly      03/20/19        03/20/24      ZAR     32,960      $ 97,279      $ 38      $ 97,241  
                      

 

 

     

 

 

     

 

 

  

 

  (a) 

Forward swap.

 

OTC Interest Rate Swaps

 

Paid by the Fund

     Received by the Fund       

 

       

 

     

 

       

 

       

 

       

 

       

 

       

 

  
Rate    Frequency     Rate     Frequency     Counterparty    

Effective

Date(a)

  

Termination

Date

    

Notional

Amount

(000)

     Value    

Upfront
Premium

Paid

(Received)

     Unrealized
Appreciation
(Depreciation)		  
1-Day CLP Interbank Rate, 2.73%      Quarterly       4.20%       Quarterly       Goldman Sachs Bank USA     03/20/19     03/20/24       CLP       1,483,280     $ 53,827     $ —     $ 53,827  

3-Month KLIBOR, 3.39%,

      Quarterly       3.99          Quarterly       JPMorgan Chase Bank N.A.     03/20/19     03/20/24       MYR       17,640       55,697       —       55,697  

3-Month KRW LIBOR, 3.69%,

      Quarterly       1.96          Quarterly       Deutsche Bank AG     03/20/19     03/20/24       KRW       2,437,920       22,040       —       22,040  

Secondary Bank Rate, 0.66%

      Quarterly       1.03          Quarterly       Goldman Sachs Bank USA     03/20/19     03/20/24       TWD       60,780       13,842       —       13,842  

6-Month BIBOR, (0.26%)

      Semi-annual       2.28          Semi-annual       Goldman Sachs Bank USA     03/20/19     03/20/24       THB       64,790       38,897       —       38,897  
                  

 

 

    

 

 

    

 

 

  
                   $ 184,303     $ —     $ 184,303  
                  

 

 

    

 

 

    

 

 

  

 

  (a) 

Forward swap.

 

OTC Total Return Swaps(a)

 

Reference Entity    Counterparty     

Expiration

Date

      Net Notional
Amount		     

Unrealized
Appreciation

(Depreciation)

     

Net Value of

Reference Entities

     

Gross
Notional
Amount
Net Asset

Percentage

  

Equity Securities Long/Short

      Goldman Sachs Bank USA        11/20/18 – 02/28/23      $ 47,302,888      $ 1,524,943 (b)      $     48,725,768        27.8 % 
     UBS AG        08/15/19        43,852,224        4,830,862 (c)        48,603,120        25.8  
        

 

 

     

 

 

     

 

 

     
   $ 91,155,112      $ 6,355,805      $     97,328,888     
        

 

 

     

 

 

     

 

 

     

 

(a) 

In regards to total return swaps with multiple financing rate benchmarks, the Fund receives or pays the total return on a portfolio of long and short positions underlying the total return swap. In addition, the Fund pays or receives a variable rate of interest, based on a specified benchmark, plus or minus a spread in a range of 20-175 basis points. The benchmark and spread are determined based upon the country and/or currency of the individual underlying positions. The following are the specified benchmarks used in determining the variable rate of interest:

South Africa Rand Overnight Deposit Rate

United States Overnight Bank Funding Rate

US Federal Funds Effective Rate (continuous series)

ZAR Overnight Deposit

 

(b) 

Amount includes $102,063 of net dividends and financing fees.

(c) 

Amount includes $79,966 of net dividends and financing fees.

 

 

                      11  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

The following table represents the individual long and short positions and related values of the equity securities underlying the total return swap with Goldman Sachs & Co. as of January 31, 2019 expiration dates 11/20/18 — 02/28/23:

 

     Shares     Value    

% of

Basket

Value

  

Reference Entity — Long

      

Brazil

      

Ambev SA

     211,100     $ 1,013,479       2.1 % 

Companhia Siderurgica Nacional SA(a)

     19,050       53,276       0.1  

Hypera SA

     65,900       575,487       1.2  

Iochpe-Maxion SA

     65,800       403,222       0.8  

Randon Participacoes SA, Preference Shares

     15,300       41,950       0.1  

Itau Unibanco Holding SA, Preference Shares — ADR

     194,862       2,073,332       4.3  

Transmissora Alianca de Energia Eletrica SA

     37,800       266,565       0.5  
   

 

 

    
    4,427,311    
China                  

Alibaba Group Holding Ltd. — ADR(a)

     13,205       2,224,910       4.6  

Anhui Expressway Co. Ltd. , Class H

     58,000       37,028       0.1  

China CITIC Bank Corp. Ltd., Class H

     527,000       343,337       0.7  

China Communications Services Corp. Ltd., Class H

     110,000       103,270       0.2  

China Petroleum & Chemical Corp., ADR

     777       64,841       0.1  

China Petroleum & Chemical Corp., Class H

     1,634,000       1,366,341       2.8  

China Reinsurance Group Corp., Class H

     105,000       23,728       0.1  

Hollysys Automation Technologies Ltd.

     34,901       719,659       1.5  

Lenovo Group Ltd.

     2,706,000       1,975,518       4.1  

Li Ning Co. Ltd.(a)

     8,500       10,459       0.0  

Lonking Holdings Ltd.

     879,000       297,067       0.6  

Sinopec Shanghai Petrochemical Co. Ltd., Class H

     420,000       199,558       0.4  

Sohu.com Ltd., ADR(a)

     12,835       265,684       0.5  

Tencent Holdings Ltd.

     32,700       1,455,627       3.0  

Tianneng Power International Ltd.

     4,000       3,734       0.0  

Tingyi Cayman Islands Holding Corp.

     502,000       699,110       1.4  

Uni-President China Holdings Ltd.

     64,000       56,981       0.1  

Weichai Power Co. Ltd., Class H

     657,000       886,711       1.8  
     Shares     Value    

% of

Basket

Value

  
China (continued)                  

Zijin Mining Group Co. Ltd., Class H

     1,026,000     $ 385,049       0.8 % 
   

 

 

    
    11,118,612    
Czech Republic                  

CEZ AS

     21,261       536,700       1.1  

Komercni Banka AS

     3,969       160,029       0.3  

Moneta Money Bank(b)

     73,043       248,444       0.5  
   

 

 

    
    945,173    
Hong Kong                  

Beijing Enterprises Holdings Ltd.

     96,500       548,577       1.1  

China Everbright Ltd.

     60,000       113,225       0.2  

China Mobile Ltd.

     23,500       247,157       0.5  

China Travel International Investment Hong Kong Ltd.

     476,000       137,848       0.3  

Haier Electronics Group Co. Ltd.

     300,000       861,847       1.8  

Yuexiu Property Co. Ltd.

     3,406,000       662,087       1.4  
   

 

 

    
    2,570,741    
Hungary                  

OTP Bank Nyrt

     14,749       608,449       1.2  
   

 

 

    

Malaysia

      

Sime Darby Bhd

     234,300       128,718       0.3  
   

 

 

    
Mexico                  

Alsea SAB de CV

     35,500       98,245       0.2  

Banco del Bajio SA(b)

     77,300       161,211       0.3  

Banco Santander Mexico SA Institucion de Banca Multiple Grupo Financiero Santand, Class B

     21,800       32,639       0.1  

Grupo Aeroportuario del Centro Norte SAB de CV

     161,337       897,711       1.8  

Grupo Aeroportuario del Centro Norte SAB de CV, ADR

     10,611       475,585       1.0  

Kimberly-Clark de Mexico SAB de CV, Class A

     56,100       93,646       0.2  
   

 

 

    
    1,759,037    
Netherlands                  

Yandex NV, Class A(a)

     57,818       1,941,528       4.0  
   

 

 

    
Philippines                  

Ayala Corp.

     2,725       48,600       0.1  

Metropolitan Bank & Trust Co.

     4       6       0.0  
   

 

 

    
    48,606    
Poland                  

Bank Handlowy w Warszawie SA

     2,488       46,261       0.1  

Bank Polska Kasa Opieki SA

     25,266       751,949       1.5  

Polski Koncern Naftowy ORLEN SA

     35,436       998,436       2.1  

Powszechna Kasa Oszczednosci Bank Polski SA

     81,298       864,205       1.8  
 

 

 

12                

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

     Shares     Value    

% of

Basket

Value

  
Poland (continued)                  

Powszechny Zaklad Ubezpieczen SA

     4,014     $ 48,233       0.1 % 
   

 

 

    
      2,709,084    
Qatar                  

Barwa Real Estate Co.

     21,675       242,315       0.5  

Qatar Electricity & Water Co. QSC

     6,336       327,583       0.7  

Qatar Islamic Bank SAQ

     6,685       289,624       0.6  
   

 

 

    
      859,522    
Russia                  

Alrosa PJSC

     381,690       576,412       1.2  

Inter RAO UES PJSC

     8,985,000       526,147       1.1  

Lukoil PJSC — ADR

     25,234       2,026,226       4.1  

Magnit PJSC — GDR

     5,377       85,728       0.2  

Mobile TeleSystems PJSC — ADR

     9,995       85,957       0.2  

Sistema PJSC FC — GDR

     64,100       178,911       0.3  
   

 

 

    
      3,479,381    
South Africa                  

Anglo American Platinum Ltd.

     12,130       585,513       1.2  

AngloGold Ashanti Ltd.

     9,351       131,881       0.3  

AngloGold Ashanti Ltd., — ADR

     10,961       156,633       0.3  

Barloworld Ltd.

     130,590       1,196,877       2.4  

Capitec Bank Holdings Ltd.

     2,276       200,764       0.4  

Clicks Group Ltd.

     9,847       146,178       0.3  

Gold Fields Ltd.

     6,295       25,545       0.1  

Massmart Holdings Ltd.

     40,408       280,278       0.6  

Standard Bank Group Ltd.

     25,619       378,513       0.8  
   

 

 

    
      3,102,182    
South Korea                  

Green Cross Corp.

     1,745       216,008       0.4  

Korea Investment Holdings Co. Ltd.

     261       15,138       0.0  

KT Corp.(a)

     1,185       30,461       0.1  

KT Corp. — ADR(a)

     122,866       1,698,008       3.5  

LG Electronics, Inc.

     19,517       1,171,456       2.4  

Samsung Electronics Co. Ltd.

     4,054       169,028       0.4  

Samsung Securities Co. Ltd.

     6,365       192,145       0.4  
   

 

 

    
      3,492,244    
Taiwan                  

Alchip Technologies, Ltd.

     41,000       106,933       0.2  

Chailease Holding Co. Ltd.

     597,760       2,232,595       4.6  

China Life Insurance Co. Ltd.

     793,000       722,495       1.5  

Chipbond Technology Corp.

     11,000       24,443       0.1  

Darfon Electronics Corp.

     92,000       135,900       0.3  

Darwin Precisions Corp.

     236,000       134,374       0.3  

Elan Microelectronics Corp.

     138,600       391,000       0.8  

Pan Jit International, Inc.(a)

     205,000       198,615       0.4  
     Shares     Value    

% of

Basket

Value

  
Taiwan (continued)                  

Qisda Corp.

     171,000     $ 110,403       0.2 % 

Radiant Opto-Electronics Corp.

     602,000       1,727,271       3.5  

Synnex Technology International Corp.

     180,000       224,926       0.4  

Taiwan Semiconductor Manufacturing Co. Ltd.

     215,000       1,594,862       3.3  

TCI Co. Ltd.

     10,000       146,943       0.3  

Uni-President Enterprises Corp.

     975,000       2,310,449       4.7  

Yuanta Financial Holding Co. Ltd.

     93       52       0.0  
   

 

 

    
      10,061,261    
Thailand                  

Bangkok Chain Hospital PCL

     433,700       226,272       0.5  
   

 

 

    

Turkey

      

Enerjisa Enerji(b)

     788,578       855,630       1.7  

Haci Omer Sabanci Holding AS

     100,945       183,069       0.4  
   

 

 

    
      1,038,699    
United Kingdom                  

Quilter PLC(b)

     128,248       208,948       0.4  
   

 

 

    

Total Reference Entity — Long

       48,725,768    
   

 

 

    

Net Value of Reference Entity — Goldman Sachs & Co.

 

   $ 48,725,768    
   

 

 

    
 

 

 

     13  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

The following table represents the individual long and short positions and related values of the equity securities underlying the total return swap with UBS AG as of January 31, 2019 expiration date 08/15/19:

 

     Shares     Value    

% of

Basket

Value

  

Reference Entity — Long

      
Brazil                  

Ambev SA

     94,350     $ 452,969       0.9 % 

Cia Brasileira de Distribuicao, Preference Shares

     3,700       98,688       0.2  

Companhia Siderurgica Nacional SA

     2,850       7,970       0.0  

Estacio Participacoes SA

     4,900       41,783       0.1  

Hypera SA

     164,500       1,436,534       2.9  

Iochpe-Maxion SA

     72,550       444,586       0.9  

Itau Unibanco Holding SA, Preference Shares

     96,900       1,030,320       2.1  

Oi SA

     1,336,200       476,272       1.0  

Randon Participacoes SA, Preference Shares

     255,000       699,167       1.5  

TIM Participacoes SA

     24,808       84,344       0.2  

Transmissora Alianca de Energia Eletrica SA

     55,600       392,090       0.8  

Ultrapar Participacoes SA

     8,000       125,466       0.3  
   

 

 

    
    3,462,014    
Chile                  

Companhia Cervecerias Unidas SA

     3,798       51,630       0.1  
   

 

 

    
China                  

Anhui Expressway Co. Ltd. , Class H

     176,000       112,360       0.2  

BYD Electronic International Co. Ltd.

     847,000       1,049,463       2.2  

China Communications Services Corp. Ltd., Class H

     1,148,000       1,077,764       2.2  

China Merchants Bank Co. Ltd.,
Class H

     12,000       52,299       0.1  

China Petroleum & Chemical Corp., Class H

     1,278,000       1,068,656       2.2  

China Railway Group Ltd., Class H

     189,000       176,998       0.4  

China Reinsurance Group Corp.,
Class H

     189,000       42,710       0.1  

China Resources Gas Group Ltd.

     100,000       393,511       0.8  

Guangzhou Baiyunshan Pharmaceutical Holdings Co. Ltd., Class H

     20,000       77,352       0.1  

Hua Hong Semiconductor Ltd.

     23,000       51,343       0.1  

KWG Property Holding Ltd.

     1,004,000       993,905       2.0  

Lenovo Group Ltd.

     204,000       148,930       0.3  

Lonking Holdings Ltd.

     1,856,000       627,254       1.3  
     Shares     Value    

% of

Basket

Value

  
China (continued)                  

Sinopec Engineering Group Co. Ltd., Class H

     36,000     $ 35,387       0.1 % 

Sinopec Shanghai Petrochemical Co. Ltd., Class H

     1,548,000       735,515       1.5  

Skyworth Digital Holdings Ltd.

     110,000       32,942       0.1  

Tencent Holdings Ltd.

     34,900       1,553,559       3.2  

Tianneng Power International Ltd.

     870,000       812,048       1.7  

Tingyi Cayman Islands Holding Corp.

     218,000       303,598       0.6  

Tsingtao Brewery Co. Ltd., Class H

     10,000       44,004       0.1  

Uni-President China Holdings Ltd.

     158,000       140,671       0.3  

Weichai Power Co. Ltd., Class H

     900,000       1,214,673       2.5  

Zijin Mining Group Co. Ltd., Class H

     414,000       155,371       0.3  
   

 

 

    
    10,900,313    
Colombia                  

Almacenes Exito SA

     763       3,465       0.0  

Cementos Argos SA

     1,951       5,077       0.0  

Corp. Financiera Colombiana SA

     212       1,297       0.0  

Ecopetrol SA

     26,107       24,552       0.1  

Grupo Argos SA

     1,923       11,495       0.0  

Grupo de Inversiones Suramericana SA

     1,587       17,623       0.0  

Interconexion Electrica SA

     4,360       19,546       0.1  
   

 

 

    
    83,055    

Czech Republic

      

CEZ AS

     34,679       875,417       1.8  

Komercni Banka AS

     7,650       308,445       0.6  

Moneta Money Bank

     42,460       144,421       0.3  
   

 

 

    
    1,328,283    
Greece                  

Alpha Bank AE

     40,085       40,219       0.1  

FF Group

     1,346       15       0.0  

Hellenic Telecommunications Organization SA

     6,385       79,966       0.2  

JUMBO SA

     3,275       53,530       0.1  

Motor Oil Hellas Corinth Refineries SA

     875       21,826       0.0  

OPAP SA

     6,058       59,268       0.1  
   

 

 

    
    254,824    
Hong Kong                  

Beijing Enterprises Holdings Ltd.

     17,500       99,483       0.2  

China Everbright Ltd.

     486,000       917,119       1.9  

China Mobile Ltd.

     99,500       1,046,475       2.1  

China Taiping Insurance Holdings Co. Ltd.

     184,800       510,145       1.0  

Haier Electronics Group Co. Ltd.

     468,000       1,344,482       2.8  

Shimao Property Holdings Ltd.

     83,500       237,779       0.5  

SSY Group Ltd.    

     46,000       41,453       0.1  
 

 

 

14                

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

     Shares     Value    

% of

Basket

Value

  
Hong Kong (continued)                  

Yuexiu Property Co. Ltd.

     2,208,000     $ 429,209       0.9 % 
   

 

 

    
    4,626,145    
Hungary                  

OTP Bank Nyrt

     39,149       1,615,035       3.3  
   

 

 

    
Peru                  

Hochschild Mining PLC

     397,697       986,656       2.0  
   

 

 

    
Philippines                  

Ayala Corp.

     37,625       671,034       1.4  
   

 

 

    
Poland                  

Bank Millennium SA

     61,561       146,216       0.3  

Bank Polska Kasa Opieki SA

     1,616       48,094       0.1  

Grupa Lotos SA

     11,219       280,499       0.6  

Polski Koncern Naftowy ORLEN SA

     841       23,696       0.0  

Powszechna Kasa Oszczednosci Bank Polski SA

     21,576       229,355       0.5  
   

 

 

    
    727,860    
Republic of Korea                  

Dongkuk Steel Mill Co., Ltd.

     10,265       76,848       0.2  
   

 

 

    
Russia                  

Aeroflot — Russian Airlines OJSC

     29,180       48,160       0.1  

Inter RAO UES PJSC

     11,190,801       655,316       1.4  

LUKOIL PJSC

     566       45,626       0.1  

Lukoil PJSC — ADR

     9,630       773,264       1.6  

Magnit PJSC — GDR

     3,409       54,351       0.1  

Magnitogorsk Iron & Steel Works PJSC

     838,516       555,828       1.1  

Novatek PJSC — GDR

     1,930       354,346       0.7  

Polymetal International PLC

     70,298       802,095       1.7  

Severstal PJSC

     4,140       63,338       0.1  

Sistema PJSC FC — GDR

     9,602       26,800       0.1  
   

 

 

    
    3,379,124    

South Africa

      

Anglo American Platinum Ltd.

     31,165       1,504,330       3.1  

Barloworld Ltd.

     44,416       407,079       0.9  

Capitec Bank Holdings Ltd.

     4,101       361,747       0.8  

Clicks Group Ltd.

     2,246       33,342       0.1  

Gold Fields Ltd.

     15,993       64,900       0.1  

Massmart Holdings Ltd.

     43,033       298,485       0.6  

Mondi Ltd.

     40,849       1,015,771       2.1  

Nedbank Group Ltd.

     27,514       595,478       1.2  

Pick n Pay Stores Ltd.

     120,573       631,329       1.3  

Spar Group Ltd.

     110,582       1,668,619       3.4  

Standard Bank Group Ltd.

     85,928       1,269,561       2.6  
   

 

 

    
    7,850,641    
South Korea                  

Chong Kun Dang Pharmaceutical Corp.

     4,207       402,400       0.8  

Daesang Corp.

     4,127       93,676       0.2  
Security   Shares     Value    

% of

Basket

Value

  
South Korea (continued)                  

Dong-A ST Co., Ltd.

     3,163     $ 287,649       0.6  

Easy Bio, Inc.

     8,352       45,548       0.1 % 

Green Cross Corp.

     5,243       649,014       1.3  

Hotel Shilla Co. Ltd.

     6,239       431,477       0.9  

KB Financial Group, Inc.

     9,028       387,909       0.8  

Korea Investment Holdings Co. Ltd.

     4,233       245,506       0.5  

LG Electronics, Inc.

     16,803       1,008,556       2.1  

NongShim Co. Ltd.

     987       248,160       0.5  

Orange Life Insurance, Ltd.

     1,209       32,642       0.1  

Posco ICT Co. Ltd.

     1       5       0.0  

Samsung Electronics Co. Ltd.

     55,210       2,301,932       4.7  
   

 

 

    
    6,134,474    
Thailand                  

Bangkok Chain Hospital PCL

     1,348,700       703,651       1.4  
   

 

 

    
Turkey                  

Enerjisa Enerji

     152,114       165,048       0.4  

Haci Omer Sabanci Holding AS

     112,233       203,715       0.4  

Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS, Class D

     4,255,574       2,161,007       4.5  

Tekfen Holding AS

     116,088       553,742       1.1  

Turkiye Is Bankasi AS, Class C

     52,425       57,634       0.1  

Yapi ve Kredi Bankasi AS

     140,745       53,184       0.1  
   

 

 

    
    3,194,330    
United Kingdom                  

Anglo American PLC

     25,455       660,968       1.4  

Quilter PLC

     41,774       68,060       0.1  
   

 

 

    
    729,028    
   

 

 

    

Total Reference Entity — Long

 

     48,603,120    
   

 

 

    

Net Value of Reference Entity — UBS AG

 

   $ 48,603,120    
   

 

 

    
 

 

 

              15  

Consolidated Schedule of Investments  (unaudited) (continued)

January 31, 2019

   

BlackRock Total Emerging Markets Fund

 

Fair Value Hierarchy as of Period End

Various inputs are used in determining the fair value of investments and derivative financial instruments. These inputs to valuation techniques are categorized into a fair value hierarchy consisting of three broad levels for financial reporting purposes as follows:

 

  •  

Level 1 — Unadjusted price quotations in active markets/exchanges for identical assets or liabilities that 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)

 

  •  

Level 3 — Unobservable inputs based on the best information available in the circumstances, to the extent observable inputs are not available (including Fund’s own assumptions used in determining the fair value of investments and derivative financial instruments)

The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). Accordingly, the degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the fair value hierarchy classification is determined based on the lowest level input that is significant to the fair value measurement in its entirety. Investments classified within Level 3 have significant unobservable inputs used by the BlackRock Global Valuation Methodologies Committee (the “Global Valuation Committee”) in determining the price for Fair Valued Investments. Level 3 investments include equity or debt issued by privately held companies or funds. There may not be a secondary market, and/or there are a limited number of investors. Level 3 investments may also be adjusted to reflect illiquidity and/or non-transferability, with the amount of such discount estimated by the Global Valuation Committee in the absence of market information

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

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

 

      Level 1        Level 2        Level 3        Total  

Assets:

                  

Investments:

                  

Common Stocks

    $ 7,154,303        $ —        $             —        $ 7,154,303  

Corporate Bonds

      —          19,694,338          —          19,694,338  

Foreign Agency Obligations

      —          79,105,502          —          79,105,502  

Short-Term Securities

      55,033,474          —          —          55,033,474  
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ 62,187,777        $ 98,799,840        $ —        $ 160,987,617  
  

 

 

       

 

 

       

 

 

       

 

 

  

Derivative Financial Instruments(a)

                  

Assets:

                  

Equity contracts

    $ —        $ 6,355,805        $ —        $ 6,355,805  

Foreign currency exchange contracts

      —          755,237          —          755,237  

Interest rate contracts

      —          281,544          —          281,544  

Liabilities:

                  

Foreign currency exchange contracts

      —          (1,073,482 )         —          (1,073,482 ) 
  

 

 

       

 

 

       

 

 

       

 

 

  
   $ —        $ 6,319,104        $ —        $ 6,319,104  
  

 

 

       

 

 

       

 

 

       

 

 

  

 

  (a)

Derivative financial instruments are swaps and forward foreign currency exchange contracts. Swaps and forward foreign currency exchange contracts are valued at the unrealized appreciation (depreciation) on the instrument.

 

During the period ended January 31, 2019, there were no transfers between levels.

 

 

16                

Item 2 – Controls and Procedures

 

2(a) –

The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”)) are effective as of a date within 90 days of the filing of this report based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.

 

2(b) –

There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the registrant’s last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the registrant’s internal control over financial reporting.

Item 3 – Exhibits

 

    

Certifications – Attached hereto

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

BlackRock Funds

 

              By:      /s/ John M. Perlowski                        
   John M. Perlowski
   Chief Executive Officer (principal executive officer) of
   BlackRock Funds

Date: March 22, 2019

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

Date: March 22, 2019

 

              By:      /s/ Neal J. Andrews                            
   Neal J. Andrews
   Chief Financial Officer (principal financial officer) of
   BlackRock Funds

Date: March 22, 2019