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: 811-22061
Name of Fund: BlackRock Funds II
BlackRock Managed Income Fund
Fund Address: 100 Bellevue Parkway, Wilmington, DE 19809
Name and address of agent for service: John M. Perlowski, Chief Executive Officer, BlackRock Funds II, 50 Hudson Yards, New York, NY 10001
Registrant’s telephone number, including area code: (800) 441-7762
Date of fiscal year end: 12/31/2022
Date of reporting period: 12/31/2022
Item 1 – Report to Stockholders
(a)
The Report to Shareholders is attached herewith.
(b)
Not Applicable
December
31,
2022
Not
FDIC
Insured
-
May
Lose
Value
-
No
Bank
Guarantee
2022
Annual
Report
BlackRock
Funds
II
BlackRock
Managed
Income
Fund
Dear
Shareholder,
Significant
economic
headwinds
emerged
during
the
12-month
reporting
period
ended
December
31,
2022,
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
third
quarter,
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.
Moreover,
while
the
foremost
effect
of
Russia’s
invasion
of
Ukraine
has
been
a
severe
humanitarian
crisis,
the
ongoing
war
continued
to
present
challenges
for
both
investors
and
policymakers.
Equity
prices
fell
as
interest
rates
rose,
particularly
during
the
first
half
of
the
reporting
period.
Both
large-
and
small-capitalization
U.S.
stocks
fell,
although
equities
began
to
recover
in
the
second
half
of
the
year
as
inflation
eased
and
economic
growth
resumed.
Emerging
market
stocks
and
international
equities
from
developed
markets
declined
overall,
pressured
by
rising
interest
rates
and
a
strengthening
U.S.
dollar.
The
10-year
U.S.
Treasury
yield
rose
notably
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
heightened
uncertainty
led
to
higher
corporate
bond
spreads
(the
difference
in
yield
between
U.S.
Treasuries
and
similarly-dated
corporate
bonds).
The
U.S.
Federal
Reserve
(the
“Fed”),
acknowledging
that
inflation
has
been
more
persistent
than
expected,
raised
interest
rates
seven
times.
Furthermore,
the
Fed
wound
down
its
bond-buying
programs
and
is
accelerating
the
reduction
of
its
balance
sheet.
While
the
Fed
suggested
that
additional
rate
hikes
were
likely,
it
also
gave
indications
that
the
pace
of
increases
would
slow
if
inflation
continued
to
subside.
The
pandemic’s
restructuring
of
the
economy
brought
an
ongoing
mismatch
between
supply
and
demand,
contributing
to
the
current
inflationary
regime.
While
growth
slowed
in
2022,
we
believe
that
taming
inflation
requires
a
more
dramatic
economic
decline
to
bring
demand
back
to
a
level
more
in
line
with
the
economy’s
capacity.
The
Fed
has
been
raising
interest
rates
at
the
fastest
pace
in
decades,
and
seems
set
to
overtighten
in
its
effort
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
this
prospect
has
not
yet
been
fully
priced
in
by
markets.
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.
In
this
environment,
while
we
favor
an
overweight
to
equities
in
the
long-term,
the
market’s
concerns
over
excessive
rate
hikes
from
central
banks
moderate
our
outlook.
Rising
input
costs
and
a
deteriorating
economic
backdrop
are
likely
to
challenge
corporate
earnings,
so
we
are
underweight
equities
overall
in
the
near
term.
However,
we
see
better
opportunities
in
credit,
where
valuations
are
attractive
and
higher
yields
provide
income
opportunities.
We
believe
that
global
investment-grade
corporates,
global
inflation-linked
bonds,
and
U.S.
mortgage-backed
securities
offer
strong
opportunities
for
a
six-
to
twelve-month
horizon.
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
December
31,
2022
6-Month
12-Month
U.S.
large
cap
equities
(S&P
500
®
Index)
2.31%
(18.11)%
U.S.
small
cap
equities
(Russell
2000
®
Index)
3.91
(20.44)
International
equities
(MSCI
Europe,
Australasia,
Far
East
Index)
6.36
(14.45)
Emerging
market
equities
(MSCI
Emerging
Markets
Index)
(2.99)
(20.09)
3-month
Treasury
bills
(ICE
BofA
3-Month
U.S.
Treasury
Bill
Index)
1.32
1.47
U.S.
Treasury
securities
(ICE
BofA
10-Year
U.S.
Treasury
Index)
(5.58)
(16.28)
U.S.
investment
grade
bonds
(Bloomberg
U.S.
Aggregate
Bond
Index)
(2.97)
(13.01)
Tax-exempt
municipal
bonds
(Bloomberg
Municipal
Bond
Index)
0.50
(8.53)
U.S.
high
yield
bonds
(Bloomberg
U.S.
Corporate
High
Yield
2%
Issuer
Capped
Index)
3.50
(11.18)
This
Page
is
not
Part
of
Your
Fund
Report
2
Table
of
Contents
Page
3
The
Markets
in
Review
...................................................................................................
2
Annual
Report:
Fund
Summary
........................................................................................................
4
About
Fund
Performance
..................................................................................................
8
Disclosure
of
Expenses
...................................................................................................
8
Derivative
Financial
Instruments
.............................................................................................
9
Financial
Statements:
Schedule
of
Investments
................................................................................................
10
Statement
of
Assets
and
Liabilities
..........................................................................................
54
Statement
of
Operations
................................................................................................
56
Statements
of
Changes
in
Net
Assets
........................................................................................
57
Financial
Highlights
.....................................................................................................
58
Notes
to
Financial
Statements
...............................................................................................
62
Report
of
Independent
Registered
Public
Accounting
Firm
..............................................................................
75
Important
Tax
Information
.................................................................................................
76
Statement
Regarding
Liquidity
Risk
Management
Program
.............................................................................
77
Trustee
and
Officer
Information
..............................................................................................
78
Additional
Information
....................................................................................................
82
Glossary
of
Terms
Used
in
this
Report
..........................................................................................
84
Fund
Summary
as
of
December
31,
2022
2022
BlackRock
Annual
Report
to
Shareholders
4
BlackRock
Managed
Income
Fund
Investment
Objective
BlackRock
Managed
Income
Fund’s
(the
“Fund”)
investment
objective
is
to
seek
to
maximize
current
income
with
consideration
for
risk-managed
total
return.
Portfolio
Management
Commentary
How
did
the
Fund
perform?
For
the
12-month
period
ended
December
31,
2022,
the
Fund
outperformed
its
Customized
Reference
Benchmark,
a
blend
of
30%
S&P
500
®
Index/70%
Bloomberg
U.S.
Aggregate
Bond
Index.
For
the
same
period,
the
Fund
outperformed
the
Bloomberg
U.S.
Aggregate
Bond
Index.
Performance
is
reviewed
on
an
absolute
basis
due
to
the
nature
of
the
Fund’s
strategy.
The
Fund
is
managed
within
a
risk-controlled
framework,
and
it
strives
to
maintain
a
consistent
yield
with
a
risk
profile
below
that
of
the
benchmark.
What
factors
influenced
performance?
Most
of
the
Fund’s
allocations
suffered
losses
in
absolute
terms
given
the
“risk-off”
environment
and
weak
performance
of
both
stocks
and
bonds.
However,
the
Fund’s
risk-
management
strategies
with
respect
to
foreign
currencies
contributed
to
absolute
performance,
given
that
most
currencies
lost
ground
against
the
U.S.
dollar.
Holdings
in
collateralized
loan
obligations
also
aided
returns,
as
investors
sought
flexibility
in
the
rising-rate
environment.
Higher
interest
rates
and
elevated
inflation
weighed
on
most
segments
of
the
fixed-income
market.
Investment-grade
bonds
were
the
largest
detractor
from
returns
given
their
interest
rate
sensitivity
and
relatively
large
allocation
within
the
Fund.
High
yield
bonds
also
experienced
negative
returns
at
a
time
of
depressed
investor
risk
appetites.
Covered
calls
were
another
key
detractor
due
to
the
downturn
in
stock
prices
(covered
calls
involved
the
use
of
derivatives
and
are
intended
as
an
alternative
source
of
income).
The
Fund
held
derivatives
during
the
year.
In
addition
to
the
currency
and
covered
call
strategies,
it
used
U.S.
Treasury
futures
to
manage
(increase)
the
Fund’s
interest-rate
risk.
This
aspect
of
its
strategy
detracted
given
the
downturn
in
the
bond
market.
Its
use
of
derivative
strategies
to
manage
the
Fund’s
overall
equity
allocation
also
contributed
to
performance.
Describe
recent
portfolio
activity.
The
Fund’s
investment
advisor
generally
reduced
risk
over
the
reporting
period
as
both
stocks
and
bonds
experienced
heightened
volatility
and
headwinds
driven
by
elevated
inflation,
higher
interest
rates
and
uncertainty
about
the
economic
outlook.
The
Fund
finished
2022
with
a
lower
weighting
in
stocks
than
it
had
at
the
start
of
the
year.
The
investment
adviser
reduced
the
Fund’s
allocations
to
both
high
yield
bonds
and
floating
rate
loan
interests
throughout
the
course
of
the
year,
which
also
reflected
its
effort
to
manage
risk.
On
the
other
hand,
the
investment
adviser
increased
the
Fund’s
allocations
to
higher-rated
segments
of
the
fixed-income
market,
such
as
investment-grade
corporates
and
high-quality
collateralized
loan
obligations.
The
investment
adviser
believes
higher-quality
investments
feature
attractive
yields
for
the
associated
risks,
and
it
thinks
they
may
offer
upside
potential
after
a
challenging
year.
The
Fund
incrementally
added
duration
throughout
the
year
as
interest
rates
increased
(duration
is
a
measure
of
interest-rate
sensitivity).
While
interest
rates
may
move
modestly
higher,
the
investment
adviser
believes
duration
may
offer
attractive
diversification
and
risk
mitigating
benefits.
The
Fund’s
period-end
cash
position
was
modestly
elevated
as
the
investment
adviser
was
judicious
in
the
Fund’s
overall
level
of
risk
amidst
a
backdrop
of
elevated
asset
prices
after
a
period
of
strong
market
performance.
The
cash
position
did
not
have
a
meaningful
impact
on
performance.
Describe
portfolio
positioning
at
period
end.
The
Fund
was
diversified
across
several
income-producing
asset
classes
—
including
investment-grade
debt,
floating
rate
loan
interest,
high
yield
bonds,
global
equities,
covered
calls,
mortgage-backed
securities,
preferred
stocks
and
cash
—
and
it
continued
to
employ
risk-management
strategies.
At
the
close
of
the
period,
the
Fund’s
duration
stood
at
approximately
3.3
years.
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
December
31,
2022
(continued)
5
Fund
Summary
BlackRock
Managed
Income
Fund
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.
The
Fund’s
returns
between
July
29,
2013
and
October
1,
2016
are
the
returns
of
the
Fund
when
it
followed
a
different
investment
objective
and
different
investment
strategies
under
the
name
“BlackRock
Investment
Grade
Bond
Portfolio”.
The
Fund’s
returns
prior
to
July
29,
2013
are
the
returns
of
the
Fund
when
it
followed
different
investment
strategies
under
the
name
“BlackRock
Long
Duration
Bond
Portfolio”.
GROWTH
OF
$10,000
INVESTMENT
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.
(a)
Assuming
maximum
sales
charges,
if
any,
transaction
costs
and
other
operating
expenses,
including
investment
advisory
fees
and
administration
fees,
if
any.
Institutional
shares
do
not
have
a
sales
charge.
(b)
The
Fund
may
invest
up
to
100%
of
its
assets
in
fixed-income
securities
and
up
to
30%
of
its
assets
in
equity
securities.
The
Fund’s
returns
between
July
29,
2013
and
October
1,
2016
are
the
returns
of
the
Fund
when
it
followed
a
different
investment
objective
and
different
investment
strategies
under
the
name
“BlackRock
Investment
Grade
Bond
Portfolio”.
The
Fund’s
returns
prior
to
July
29,
2013
are
the
returns
of
the
Fund
when
it
followed
different
investment
strategies
under
the
name
“BlackRock
Long
Duration
Bond
Portfolio”.
(c)
A
customized
performance
benchmark
comprised
of
the
returns
of
the
Bloomberg
U.S.
Aggregate
Bond
Index
(70%)
and
the
S&P
500
®
Index
(30%).
(d)
A
broad-based
flagship
benchmark
that
measures
the
investment
grade,
U.S.
dollar-denominated,
fixed-rate
taxable
bond
market.
Average
Annual
Total
Returns
(a)
1
Year
5
Years
10
Years
Standardized
30-Day
Yields
Unsubsidized
30-Day
Yields
Without
Sales
Charge
With
Sales
Charge
Without
Sales
Charge
With
Sales
Charge
Without
Sales
Charge
With
Sales
Charge
Institutional
..........................
5.33%
5.12%
(9.27)%
N/A
2.01%
N/A
2.42%
N/A
Investor
A
...........................
4.87
4.71
(9.51)
(13.13)%
1.76
0.93%
2.12
1.70%
Investor
C
...........................
4.31
4.12
(10.12)
(10.99)
1.00
1.00
1.37
1.37
Class
K
............................
5.38
5.20
(9.10)
N/A
2.07
N/A
2.49
N/A
Bloomberg
U.S.
Aggregate
Bond
Index
.....
—
—
(13.01)
N/A
0.02
N/A
1.06
N/A
Customized
Reference
Benchmark
........
—
—
(14.29)
N/A
3.09
N/A
4.61
N/A
(a)
Fund
Summary
as
of
December
31,
2022
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
6
BlackRock
Managed
Income
Fund
Expense
Example
See
“Disclosure
of
Expenses”
for
further
information
on
how
expenses
were
calculated.
Actual
H
ypothetical
5%
Re
turn
Beginning
Account
Value
(07/01/22)
Ending
Account
Value
(12/31/22)
Expenses
Paid
During
the
Period
(a)
Beginning
Account
Value
(07/01/22)
Ending
Account
Value
(12/31/22)
Expenses
Paid
During
the
Period
(a)
Annualized
Expense
Ratio
Institutional
...............................
$
1,000.00
$
1,011.80
$
2.08
$
1,000.00
$
1,023.14
$
2.09
0.41%
Investor
A
................................
1,000.00
1,010.40
3.34
1,000.00
1,021.88
3.36
0.66
Investor
C
................................
1,000.00
1,006.40
7.13
1,000.00
1,018.10
7.17
1.41
Class
K
..................................
1,000.00
1,012.10
1.83
1,000.00
1,023.39
1.84
0.36
(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
184/365
(to
reflect
the
one-half
year
period
shown).
Fund
Summary
as
of
December
31,
2022
(continued)
7
Fund
Summary
BlackRock
Managed
Income
Fund
Portfolio
Information
PORTFOLIO
COMPOSITION
Asset
Type
Percent
of
at
Total
Investments
(a)
Corporate
Bonds
.................................
39.7
%
Investment
Companies
.............................
19.1
Asset-Backed
Securities
............................
15.1
Common
Stocks
.................................
10.3
Floating
Rate
Loan
Interests
.........................
6.7
Equity-Linked
Notes
...............................
5.6
Preferred
Securities
...............................
1.9
Non-Agency
Mortgage-Backed
Securities
................
1.5
Foreign
Agency
Obligations
..........................
0.1
Warrants
......................................
0.0
(d)
Other
Interests
..................................
—
CREDIT
QUALITY
ALLOCATION
Credit
Rating
(b)
Percent
of
Total
Investments
(a)
AAA/Aaa
(c)
......................................
12.0
%
AA/Aa
.........................................
6.1
A
............................................
29.9
BBB/Baa
.......................................
20.8
BB/Ba
.........................................
6.0
B
............................................
6.4
CCC/Caa
.......................................
1.2
CC/Ca
........................................
0.1
NR
...........................................
17.5
(a)
Excludes
short-term
securities.
(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.
About
Fund
Performance
2022
BlackRock
Annual
Report
to
Shareholders
8
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
%
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.
Investor
C
Shares
performance
shown
prior
to
the
Investor
C
Shares
inception
date
of
October
3,
2016
is
that
of
Class
K
Shares
(which
have
no
distribution
or
service
fees)
and
was
restated
to
reflect
Investor
C
Shares
fees.
These
shares
automatically
convert
to
Investor
A
Shares
after
approximately eight
years.
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
the
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”),
the
Fund’s
investment
adviser,
has
contractually
and/or
voluntarily
agreed
to
waive
and/or
reimburse
a
portion
of
the
Fund’s
expenses.
Without
such
waiver(s)
and/or
reimbursement(s),
the
Fund’s
performance
would
have
been
lower.
With
respect
to
the
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
the
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
Shareholders
of
the
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
example
shown
(which
is
based
on
a
hypothetical
investment
of
$1,000
invested
at
the
beginning
of
the
period
and
held
through
the
end
of
the
period)
is
intended
to
assist
shareholders
both
in
calculating
expenses
based
on
an
investment
in
the
Fund
and
in
comparing
these
expenses
with
similar
costs
of
investing
in
other
mutual
funds.
The
expense
example
provides
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 share
class
under
the
heading
entitled
“Expenses
Paid
During
the
Period.”
The
expense
example
also
provides
information
about
hypothetical
account
values
and
hypothetical
expenses
based
on the
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
the
Fund
and
other
funds,
compare
the
5%
hypothetical
example
with
the
5%
hypothetical
examples
that
appear
in
shareholder
reports
of
other
funds.
The
expenses
shown
in
the
expense
example
are
intended
to
highlight
shareholders’
ongoing
costs
only
and
do
not
reflect
transactional
expenses,
such
as
sales
charges,
if
any.
Therefore,
the
hypothetical
example is
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
9
Derivative
Financial
Instruments
The
Fund
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
Fund
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
Fund’s
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 the
Fund
can
realize
on
an
investment
and/or
may
result
in
lower
distributions
paid
to
shareholders.
The
Fund’s
investments
in
these
instruments,
if
any,
are
discussed
in
detail
in
the
Notes
to
Financial
Statements.
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
10
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Asset-Backed
Securities
AGL
CLO
17
Ltd.,
Series
2022-17A,
Class
C,
(3
Month
CME
Term
SOFR
+
2.10%),
6.09%,
01/21/35
(a)(b)
....................
USD
750
$
696,563
AGL
CLO
5
Ltd.,
Series
2020-5A,
Class
A1R,
(LIBOR
USD
3
Month
+
1.16%),
5.40%,
07/20/34
(a)(b)
....................
2,400
2,342,724
AIG
CLO
LLC
(a)(b)
Series
2021-1A,
Class
A,
(LIBOR
USD
3
Month
+
1.10%),
5.42%,
04/22/34
...
2,215
2,152,874
Series
2021-2A,
Class
B,
(LIBOR
USD
3
Month
+
1.75%),
5.99%,
07/20/34
...
1,000
963,665
Series
2021-2A,
Class
C,
(LIBOR
USD
3
Month
+
2.00%),
6.24%,
07/20/34
...
1,000
942,308
AIMCO
CLO
(a)(b)
Series
2015-AA,
Class
CR2,
(LIBOR
USD
3
Month
+
2.00%),
6.08%,
10/17/34
...
1,000
940,060
Series
2017-AA,
Class
AR,
(LIBOR
USD
3
Month
+
1.05%),
5.29%,
04/20/34
...
500
487,707
AIMCO
CLO
15
Ltd.,
Series
2021-15A,
Class
C,
(LIBOR
USD
3
Month
+
1.95%),
6.03%,
10/17/34
(a)(b)
....................
1,000
932,187
AMSR
Trust
(b)
Series
2020-SFR1,
Class
E,
3.22%,
04/17/37
....................
1,000
914,188
Series
2020-SFR1,
Class
F,
3.57%,
04/17/37
....................
1,000
915,515
Anchorage
Capital
CLO
18
Ltd.,
Series
2021-
18A,
Class
A1,
(LIBOR
USD
3
Month
+
1.15%),
5.23%,
04/15/34
(a)(b)
.........
750
731,235
Anchorage
Capital
CLO
20
Ltd.,
Series
2021-
20A,
Class
A1,
(LIBOR
USD
3
Month
+
1.20%),
5.44%,
01/20/35
(a)(b)
.........
1,000
973,023
Anchorage
Capital
CLO
9
Ltd.,
Series
2016-9A,
Class
BR2,
(LIBOR
USD
3
Month
+
1.75%),
5.83%,
07/15/32
(a)(b)
...............
750
720,722
Anchorage
Capital
CLO
Ltd.,
Series
2018-10A,
Class
A1A,
(LIBOR
USD
3
Month
+
1.20%),
5.28%,
10/15/31
(a)(b)
...............
500
492,000
Apidos
CLO
XXXIV,
Series
2020-34A,
Class
A1R,
(LIBOR
USD
3
Month
+
1.15%),
5.39%,
01/20/35
(a)(b)
...............
1,000
973,734
Ares
LXI
CLO
Ltd.,
Series
2021-61A,
Class
A,
(LIBOR
USD
3
Month
+
1.15%),
5.39%,
10/20/34
(a)(b)
....................
1,500
1,458,025
Ares
XXXIR
CLO
Ltd.,
Series
2014-31RA,
Class
A2,
(LIBOR
USD
3
Month
+
1.30%),
6.06%,
05/24/30
(a)(b)
...............
500
479,982
Ares
XXXVII
CLO
Ltd.,
Series
2015-4A,
Class
A1R,
(LIBOR
USD
3
Month
+
1.17%),
5.25%,
10/15/30
(a)(b)
...............
250
247,410
Ares
XXXVR
CLO
Ltd.,
Series
2015-35RA,
Class
A2,
(LIBOR
USD
3
Month
+
1.40%),
5.48%,
07/15/30
(a)(b)
...............
1,000
970,273
Bain
Capital
Credit
CLO
Ltd.
(a)(b)
Series
2019-2A,
Class
CR,
(LIBOR
USD
3
Month
+
2.10%),
6.18%,
10/17/32
...
1,000
943,003
Series
2021-3A,
Class
A,
(LIBOR
USD
3
Month
+
1.16%),
5.48%,
07/24/34
...
500
486,851
Bardot
CLO
Ltd.,
Series
2019-2A,
Class
CR,
(LIBOR
USD
3
Month
+
1.90%),
6.22%,
10/22/32
(a)(b)
....................
1,000
936,901
Battalion
CLO
XX
Ltd.,
Series
2021-20A,
Class
A,
(LIBOR
USD
3
Month
+
1.18%),
5.26%,
07/15/34
(a)(b)
....................
500
486,946
Security
Par
(000)
Par
(000)
Value
Asset-Backed
Securities
(continued)
Battalion
CLO
XXII
Ltd.,
Series
2021-22A,
Class
A,
(LIBOR
USD
3
Month
+
1.18%),
5.42%,
01/20/35
(a)(b)
...............
USD
1,000
$
970,749
Bayview
Financial
Revolving
Asset
Trust,
Series
2005-A,
Class
A1,
(LIBOR
USD
1
Month
+
1.00%),
5.39%,
02/28/40
(a)(b)
...
616
573,944
Benefit
Street
Partners
CLO
VIII
Ltd.,
Series
2015-8A,
Class
A1AR,
(LIBOR
USD
3
Month
+
1.10%),
5.34%,
01/20/31
(a)(b)
...
500
492,985
Benefit
Street
Partners
CLO
XIX
Ltd.,
Series
2019-19A,
Class
A,
(LIBOR
USD
3
Month
+
1.35%),
5.43%,
01/15/33
(a)(b)
.........
1,000
981,074
Boyce
Park
CLO
Ltd.,
Series
2022-1A,
Class
C,
(3
Month
CME
Term
SOFR
+
2.10%),
6.09%,
04/21/35
(a)(b)
...............
1,000
927,420
Buckhorn
Park
CLO
Ltd.
(a)(b)
Series
2019-1A,
Class
B1R,
(LIBOR
USD
3
Month
+
1.65%),
5.84%,
07/18/34
...
1,000
953,539
Series
2019-1A,
Class
CR,
(LIBOR
USD
3
Month
+
2.00%),
6.19%,
07/18/34
...
500
462,639
Canyon
Capital
CLO
Ltd.,
Series
2016-1A,
Class
CR,
(LIBOR
USD
3
Month
+
1.90%),
5.98%,
07/15/31
(a)(b)
...............
1,000
938,392
Canyon
CLO
Ltd.
(a)(b)
Series
2018-1A,
Class
C,
(LIBOR
USD
3
Month
+
1.90%),
5.98%,
07/15/31
...
1,000
934,951
Series
2020-2A,
Class
AR,
(LIBOR
USD
3
Month
+
1.19%),
5.27%,
10/15/34
...
1,000
971,352
Series
2021-4A,
Class
B,
(LIBOR
USD
3
Month
+
1.70%),
5.78%,
10/15/34
...
450
430,294
Carlyle
US
CLO
Ltd.,
Series
2017-1A,
Class
A2R,
(LIBOR
USD
3
Month
+
1.60%),
5.84%,
04/20/31
(a)(b)
...............
675
643,802
CBAM
Ltd.,
Series
2020-13A,
Class
A,
(LIBOR
USD
3
Month
+
1.43%),
5.67%,
01/20/34
(a)(b)
1,000
982,569
CIFC
Funding
Ltd.
(a)(b)
Series
2013-4A,
Class
A2RR,
(LIBOR
USD
3
Month
+
1.30%),
5.66%,
04/27/31
..
650
633,011
Series
2017-3A,
Class
A1,
(LIBOR
USD
3
Month
+
1.22%),
5.46%,
07/20/30
...
1,841
1,823,367
Series
2018-4A,
Class
B,
(LIBOR
USD
3
Month
+
2.10%),
6.18%,
10/17/31
...
500
476,875
Series
2019-4A,
Class
A2R,
(LIBOR
USD
3
Month
+
1.65%),
5.73%,
10/15/34
...
1,000
950,214
Series
2019-5A,
Class
A2RS,
(LIBOR
USD
3
Month
+
1.75%),
5.83%,
01/15/35
..
1,500
1,439,817
Series
2021-1A,
Class
C,
(LIBOR
USD
3
Month
+
1.80%),
6.16%,
04/25/33
...
1,000
937,739
Dryden
49
Senior
Loan
Fund,
Series
2017-49A,
Class
CR,
(LIBOR
USD
3
Month
+
2.05%),
6.24%,
07/18/30
(a)(b)
...............
500
474,122
Dryden
83
CLO
Ltd.,
Series
2020-83A,
Class
A,
(LIBOR
USD
3
Month
+
1.22%),
5.41%,
01/18/32
(a)(b)
....................
1,000
983,612
Dryden
Senior
Loan
Fund,
Series
2017-47A,
Class
CR,
(LIBOR
USD
3
Month
+
2.05%),
6.13%,
04/15/28
(a)(b)
...............
500
482,709
Dryden
XXVI
Senior
Loan
Fund,
Series
2013-
26A,
Class
CR,
(LIBOR
USD
3
Month
+
1.85%),
5.93%,
04/15/29
(a)(b)
.........
500
470,800
Eaton
Vance
CLO
Ltd.
(a)(b)
Series
2013-1A,
Class
B3R,
(LIBOR
USD
3
Month
+
2.15%),
6.23%,
01/15/34
...
1,000
943,247
Series
2018-1A,
Class
C,
(LIBOR
USD
3
Month
+
2.20%),
6.28%,
10/15/30
...
500
470,911
BlackRock
Managed
Income
Fund
Schedule
of
Investments
11
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Asset-Backed
Securities
(continued)
Elevation
CLO
Ltd.,
Series
2017-8A,
Class
C,
(LIBOR
USD
3
Month
+
2.05%),
6.41%,
10/25/30
(a)(b)
....................
USD
1,000
$
930,875
Elmwood
CLO
II
Ltd.,
Series
2019-2A,
Class
CR,
(LIBOR
USD
3
Month
+
2.00%),
6.24%,
04/20/34
(a)(b)
....................
700
657,543
First
Franklin
Mortgage
Loan
Trust,
Series
2005-FF10,
Class
A6M,
(LIBOR
USD
1
Month
+
0.70%),
5.09%,
11/25/35
(a)
.....
645
591,545
Flatiron
CLO
17
Ltd.,
Series
2017-1A,
Class
CR,
(LIBOR
USD
3
Month
+
1.90%),
6.51%,
05/15/30
(a)(b)
....................
400
381,527
Galaxy
XXII
CLO
Ltd.
(a)(b)
Series
2016-22A,
Class
ARR,
(LIBOR
USD
3
Month
+
1.20%),
5.28%,
04/16/34
..
750
728,625
Series
2016-22A,
Class
BRR,
(LIBOR
USD
3
Month
+
1.70%),
5.78%,
04/16/34
..
500
479,242
Generate
CLO
9
Ltd.
(a)(b)
Series
9A,
Class
A,
(LIBOR
USD
3
Month
+
1.20%),
5.44%,
10/20/34
.........
1,000
969,042
Series
9A,
Class
B,
(LIBOR
USD
3
Month
+
1.70%),
5.99%,
10/20/34
.........
1,500
1,437,020
Series
9A,
Class
C,
(LIBOR
USD
3
Month
+
2.25%),
6.49%,
10/20/34
.........
1,000
919,902
Gilbert
Park
CLO
Ltd.,
Series
2017-1A,
Class
A,
(LIBOR
USD
3
Month
+
1.19%),
5.27%,
10/15/30
(a)(b)
....................
750
742,609
GoldenTree
Loan
Management
US
CLO
1
Ltd.,
Series
2017-1A,
Class
CR2,
(LIBOR
USD
3
Month
+
1.80%),
6.04%,
04/20/34
(a)(b)
...
2,500
2,317,902
GoldenTree
Loan
Management
US
CLO
10
Ltd.,
Series
2021-10A,
Class
B,
(LIBOR
USD
3
Month
+
1.60%),
5.84%,
07/20/34
(a)(b)
2,000
1,910,297
Golub
Capital
Partners
CLO
53B
Ltd.,
Series
2021-53A,
Class
B,
(LIBOR
USD
3
Month
+
1.80%),
6.04%,
07/20/34
(a)(b)
.........
1,000
962,920
Golub
Capital
Partners
CLO
58B
Ltd.,
Series
2021-58A,
Class
A1,
(LIBOR
USD
3
Month
+
1.18%),
5.54%,
01/25/35
(a)(b)
........
1,000
975,906
Greywolf
CLO
II
Ltd.,
Series
2013-1A,
Class
A2AR,
(LIBOR
USD
3
Month
+
1.60%),
5.68%,
04/15/34
(a)(b)
...............
300
284,485
Greywolf
CLO
VII
Ltd.,
Series
2018-2A,
Class
A1,
(3
Month
CME
Term
SOFR
+
1.44%),
5.40%,
10/20/31
(a)(b)
...............
500
491,893
Gulf
Stream
Meridian
4
Ltd.,
Series
2021-4A,
Class
A1,
(LIBOR
USD
3
Month
+
1.20%),
5.28%,
07/15/34
(a)(b)
...............
2,500
2,434,473
HalseyPoint
CLO
3
Ltd.,
Series
2020-3A,
Class
A1A,
(LIBOR
USD
3
Month
+
1.45%),
5.86%,
11/30/32
(a)(b)
...............
1,500
1,480,017
HalseyPoint
CLO
4
Ltd.,
Series
2021-4A,
Class
A,
(LIBOR
USD
3
Month
+
1.22%),
5.46%,
04/20/34
(a)(b)
....................
500
487,077
HalseyPoint
CLO
I
Ltd.,
Series
2019-1A,
Class
A1A1,
(LIBOR
USD
3
Month
+
1.35%),
5.59%,
01/20/33
(a)(b)
...............
2,000
1,966,385
Highbridge
Loan
Management
Ltd.,
Series
12A-18,
Class
A2,
(LIBOR
USD
3
Month
+
1.50%),
5.69%,
07/18/31
(a)(b)
.........
500
486,342
Invesco
CLO
Ltd.,
Series
2021-2A,
Class
A,
(LIBOR
USD
3
Month
+
1.12%),
5.20%,
07/15/34
(a)(b)
....................
1,000
973,627
Madison
Park
Funding
XX
Ltd.,
Series
2016-
20A,
Class
CR,
(LIBOR
USD
3
Month
+
1.90%),
6.26%,
07/27/30
(a)(b)
.........
1,000
939,808
Security
Par
(000)
Par
(000)
Value
Asset-Backed
Securities
(continued)
Madison
Park
Funding
XXXIII
Ltd.
(a)(b)
Series
2019-33A,
Class
BR,
(3
Month
CME
Term
SOFR
+
1.80%),
5.66%,
10/15/32
USD
1,000
$
963,091
Series
2019-33A,
Class
CR,
(3
Month
CME
Term
SOFR
+
2.20%),
6.06%,
10/15/32
1,000
944,818
Milos
CLO
Ltd.,
Series
2017-1A,
Class
BR,
(LIBOR
USD
3
Month
+
1.55%),
5.79%,
10/20/30
(a)(b)
....................
1,000
966,796
Neuberger
Berman
Loan
Advisers
CLO
26
Ltd.,
Series
2017-26A,
Class
C,
(LIBOR
USD
3
Month
+
1.75%),
5.94%,
10/18/30
(a)(b)
...
1,000
940,934
OCP
CLO
Ltd.,
Series
2021-22A,
Class
C,
(LIBOR
USD
3
Month
+
2.05%),
6.29%,
12/02/34
(a)(b)
....................
500
466,135
Octagon
Investment
Partners
26
Ltd.,
Series
2016-1A,
Class
BR,
(LIBOR
USD
3
Month
+
1.60%),
5.68%,
07/15/30
(a)(b)
.........
500
479,686
Octagon
Investment
Partners
41
Ltd.
(a)(b)
Series
2019-2A,
Class
B1R,
(LIBOR
USD
3
Month
+
1.70%),
5.78%,
10/15/33
...
1,500
1,429,649
Series
2019-2A,
Class
CR,
(LIBOR
USD
3
Month
+
2.15%),
6.23%,
10/15/33
...
1,000
940,736
OHA
Credit
Partners
XVI,
Series
2021-16A,
Class
A,
(LIBOR
USD
3
Month
+
1.15%),
5.34%,
10/18/34
(a)(b)
...............
1,500
1,462,707
OHA
Loan
Funding
Ltd.,
Series
2013-1A,
Class
BR2,
(LIBOR
USD
3
Month
+
1.60%),
5.92%,
07/23/31
(a)(b)
...............
1,000
967,524
Palmer
Square
CLO
Ltd.
(a)(b)
Series
2014-1A,
Class
A2R2,
(LIBOR
USD
3
Month
+
1.45%),
5.53%,
01/17/31
...
1,500
1,454,781
Series
2019-1A,
Class
A1R,
(LIBOR
USD
3
Month
+
1.15%),
5.80%,
11/14/34
...
1,000
974,739
Series
2019-1A,
Class
A2R,
(LIBOR
USD
3
Month
+
1.70%),
6.35%,
11/14/34
...
1,000
949,984
Series
2021-2A,
Class
C,
(LIBOR
USD
3
Month
+
1.80%),
5.88%,
07/15/34
...
1,000
926,006
Series
2021-4A,
Class
A,
(LIBOR
USD
3
Month
+
1.17%),
5.25%,
10/15/34
...
2,000
1,949,275
Series
2022-1A,
Class
B,
(3
Month
CME
Term
SOFR
+
1.80%),
5.76%,
04/20/35
500
476,397
Series
2022-1A,
Class
C,
(3
Month
CME
Term
SOFR
+
2.05%),
6.01%,
04/20/35
500
466,703
Park
Avenue
Institutional
Advisers
CLO
Ltd.,
Series
2021-2A,
Class
C,
(LIBOR
USD
3
Month
+
2.25%),
6.33%,
07/15/34
(a)(b)
...
1,000
926,224
Pikes
Peak
CLO
6
(a)(b)
Series
2020-6A,
Class
AR2,
(LIBOR
USD
3
Month
+
1.17%),
5.84%,
05/18/34
...
500
485,809
Series
2020-6A,
Class
BR2,
(LIBOR
USD
3
Month
+
1.70%),
6.37%,
05/18/34
...
500
478,989
Pikes
Peak
CLO
8,
Series
2021-8A,
Class
B,
(LIBOR
USD
3
Month
+
1.75%),
5.99%,
07/20/34
(a)(b)
....................
500
479,278
PPM
CLO
4
Ltd.,
Series
2020-4A,
Class
CR,
(LIBOR
USD
3
Month
+
2.10%),
6.29%,
10/18/34
(a)(b)
....................
750
691,066
PPM
CLO
5
Ltd.,
Series
2021-5A,
Class
A,
(LIBOR
USD
3
Month
+
1.20%),
5.39%,
10/18/34
(a)(b)
....................
1,500
1,455,749
Progress
Residential
Trust
(b)
Series
2020-SFR1,
Class
F,
3.43%,
04/17/37
....................
1,000
907,891
Series
2020-SFR2,
Class
A,
2.08%,
06/17/37
....................
999
917,598
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
12
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Asset-Backed
Securities
(continued)
Series
2020-SFR2,
Class
B,
2.58%,
06/17/37
....................
USD
1,000
$
921,827
Rad
CLO
12
Ltd.,
Series
2021-12A,
Class
C,
(LIBOR
USD
3
Month
+
2.05%),
6.46%,
10/30/34
(a)(b)
....................
1,000
928,177
Rad
CLO
3
Ltd.,
Series
2019-3A,
Class
A,
(LIBOR
USD
3
Month
+
1.48%),
5.56%,
04/15/32
(a)(b)
....................
1,000
988,182
Regatta
VIII
Funding
Ltd.,
Series
2017-1A,
Class
A,
(LIBOR
USD
3
Month
+
1.25%),
5.33%,
10/17/30
(a)(b)
...............
500
494,159
Regatta
XI
Funding
Ltd.,
Series
2018-1A,
Class
B,
(LIBOR
USD
3
Month
+
1.65%),
5.73%,
07/17/31
(a)(b)
....................
650
628,635
Regatta
XIV
Funding
Ltd.,
Series
2018-3A,
Class
A,
(LIBOR
USD
3
Month
+
1.19%),
5.55%,
10/25/31
(a)(b)
...............
1,000
981,292
Regatta
XV
Funding
Ltd.,
Series
2018-4A,
Class
A2,
(LIBOR
USD
3
Month
+
1.85%),
6.21%,
10/25/31
(a)(b)
...............
1,500
1,448,241
Rockford
Tower
CLO
Ltd.
(a)(b)
Series
2017-3A,
Class
C,
(LIBOR
USD
3
Month
+
1.80%),
6.04%,
10/20/30
...
1,000
943,723
Series
2019-2A,
Class
CR,
(LIBOR
USD
3
Month
+
2.00%),
6.68%,
08/20/32
...
500
468,851
Series
2021-3A,
Class
A1,
(LIBOR
USD
3
Month
+
1.18%),
5.42%,
10/20/34
...
1,250
1,217,718
Series
2021-3A,
Class
C,
(LIBOR
USD
3
Month
+
2.15%),
6.39%,
10/20/34
...
1,000
924,722
RR
17
Ltd.,
Series
2021-17A,
Class
A2,
(LIBOR
USD
3
Month
+
1.65%),
5.73%,
07/15/34
(a)(b)
500
480,175
Signal
Peak
CLO
10
Ltd.,
Series
2021-9A,
Class
B,
(LIBOR
USD
3
Month
+
1.70%),
5.98%,
07/21/34
(a)(b)
...............
2,000
1,915,245
Sixth
Street
CLO
XIX
Ltd.,
Series
2021-19A,
Class
B,
(LIBOR
USD
3
Month
+
1.70%),
5.94%,
07/20/34
(a)(b)
...............
1,000
957,925
Sound
Point
CLO
XXIII,
Series
2019-2A,
Class
AR,
(LIBOR
USD
3
Month
+
1.17%),
5.25%,
07/15/34
(a)(b)
....................
1,000
964,311
TCI-Flatiron
CLO
Ltd.
(a)(b)
Series
2018-1A,
Class
CR,
(LIBOR
USD
3
Month
+
1.75%),
6.16%,
01/29/32
...
1,000
935,850
Series
2018-1A,
Class
DR,
(LIBOR
USD
3
Month
+
2.75%),
7.16%,
01/29/32
...
1,000
929,045
TCW
CLO
Ltd.,
Series
2021-1A,
Class
C,
(LIBOR
USD
3
Month
+
1.90%),
6.14%,
03/18/34
(a)(b)
....................
500
460,520
TICP
CLO
VI
Ltd.,
Series
2016-6A,
Class
BR2,
(LIBOR
USD
3
Month
+
1.50%),
5.58%,
01/15/34
(a)(b)
....................
1,000
954,575
TICP
CLO
VII
Ltd.,
Series
2017-7A,
Class
ASR,
(LIBOR
USD
3
Month
+
1.27%),
5.35%,
04/15/33
(a)(b)
....................
1,300
1,277,667
Webster
Park
CLO
Ltd.,
Series
2015-1A,
Class
A1BR,
(LIBOR
USD
3
Month
+
1.35%),
5.59%,
07/20/30
(a)(b)
...............
1,000
964,467
Whitebox
CLO
III
Ltd.,
Series
2021-3A,
Class
A1,
(LIBOR
USD
3
Month
+
1.22%),
5.30%,
10/15/34
(a)(b)
....................
2,000
1,944,781
Total
Asset-Backed
Securities
—
14.3%
(Cost:
$113,499,345)
.............................
109,919,745
Security
Shares
Shares
Value
Common
Stocks
Air
Freight
&
Logistics
—
0.2%
United
Parcel
Service,
Inc.,
Class
B
......
8,090
$
1,406,366
Banks
—
0.6%
Bank
Rakyat
Indonesia
Persero
Tbk.
PT
...
2,139,900
678,456
Citizens
Financial
Group,
Inc.
..........
46,058
1,813,304
DBS
Group
Holdings
Ltd.
.............
40,600
1,027,651
M&T
Bank
Corp.
...................
7,722
1,120,153
4,639,564
Beverages
—
0.2%
Diageo
plc
.......................
32,374
1,417,071
Biotechnology
—
0.2%
AbbVie,
Inc.
......................
10,974
1,773,508
Building
Products
—
0.0%
AZEK
Co.,
Inc.
(The),
Class
A
(c)
.........
54
1,097
Capital
Markets
—
0.2%
Intercontinental
Exchange,
Inc.
.........
16,600
1,702,994
Chemicals
—
0.2%
Air
Liquide
SA
.....................
7,474
1,060,825
International
Flavors
&
Fragrances,
Inc.
....
6,796
712,493
1,773,318
Consumer
Finance
—
0.1%
Synchrony
Financial
.................
30,539
1,003,511
Diversified
Telecommunication
Services
—
0.4%
Cellnex
Telecom
SA
(b)(d)
...............
8,304
275,454
Koninklijke
KPN
NV
.................
350,196
1,083,947
TELUS
Corp.
.....................
77,162
1,489,101
2,848,502
Electric
Utilities
—
0.1%
EDP
-
Energias
de
Portugal
SA
.........
224,106
1,117,125
Electrical
Equipment
—
0.2%
Schneider
Electric
SE
................
10,035
1,409,262
Electronic
Equipment,
Instruments
&
Components
—
0.2%
TE
Connectivity
Ltd.
.................
12,347
1,417,436
Energy
Equipment
&
Services
—
0.1%
Baker
Hughes
Co.,
Class
A
............
33,408
986,538
Equity
Real
Estate
Investment
Trusts
(REITs)
—
0.8%
Alexandria
Real
Estate
Equities,
Inc.
......
1,839
267,887
American
Tower
Corp.
...............
1,034
219,063
Assura
plc
.......................
467,932
308,593
Boston
Properties,
Inc.
...............
2,894
195,576
Community
Healthcare
Trust,
Inc.
........
2,729
97,698
Covivio
.........................
2,129
126,374
Cromwell
European
REIT
(d)
............
61,800
99,285
Crown
Castle,
Inc.
..................
1,649
223,670
Digital
Realty
Trust,
Inc.
..............
1,728
173,267
EPR
Properties
....................
5,760
217,267
Equinix,
Inc.
......................
192
125,766
ESR
Kendall
Square
REIT
Co.
Ltd.
.......
60,126
190,045
Goodman
Group
...................
21,350
251,084
Healthpeak
Properties,
Inc.
............
8,749
219,337
LondonMetric
Property
plc
.............
53,532
111,119
LXI
REIT
plc
(d)
.....................
82,962
113,370
Omega
Healthcare
Investors,
Inc.
........
8,129
227,206
Outfront
Media,
Inc.
.................
10,336
171,371
Physicians
Realty
Trust
...............
17,508
253,341
Prologis,
Inc.
......................
3,300
372,009
BlackRock
Managed
Income
Fund
Schedule
of
Investments
13
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Shares
Shares
Value
Equity
Real
Estate
Investment
Trusts
(REITs)
(continued)
Rexford
Industrial
Realty,
Inc.
..........
4,301
$
235,007
SL
Green
Realty
Corp.
...............
4,391
148,065
Spirit
Realty
Capital,
Inc.
..............
6,205
247,766
Sun
Communities,
Inc.
...............
2,126
304,018
Target
Healthcare
REIT
plc
............
159,152
154,310
UDR,
Inc.
........................
9,438
365,534
VICI
Properties,
Inc.
.................
11,613
376,261
Warehouses
De
Pauw
CVA
............
6,417
183,826
5,978,115
Food
&
Staples
Retailing
—
0.2%
Wal-Mart
de
Mexico
SAB
de
CV
.........
349,127
1,234,078
Health
Care
Equipment
&
Supplies
—
0.3%
EssilorLuxottica
SA
.................
5,513
997,485
Medtronic
plc
.....................
18,334
1,424,918
2,422,403
Health
Care
Providers
&
Services
—
0.2%
UnitedHealth
Group,
Inc.
..............
2,668
1,414,520
Household
Durables
—
0.2%
Taylor
Wimpey
plc
..................
1,148,639
1,406,737
Household
Products
—
0.3%
Reckitt
Benckiser
Group
plc
............
30,205
2,093,701
Insurance
—
0.6%
Assurant,
Inc.
.....................
9,017
1,127,666
Prudential
plc
.....................
137,006
1,868,117
Zurich
Insurance
Group
AG
............
3,071
1,468,176
4,463,959
IT
Services
—
0.6%
Accenture
plc,
Class
A
...............
5,940
1,585,030
NEXTDC
Ltd.
(c)
....................
37,175
229,392
Paychex,
Inc.
.....................
11,708
1,352,977
SUNeVision
Holdings
Ltd.
.............
276,000
148,886
Visa,
Inc.,
Class
A
..................
6,719
1,395,939
4,712,224
Life
Sciences
Tools
&
Services
—
0.2%
Lonza
Group
AG
(Registered)
..........
2,710
1,330,272
Machinery
—
0.4%
Epiroc
AB,
Class
A
..................
76,942
1,401,045
Otis
Worldwide
Corp.
................
18,961
1,484,836
2,885,881
Oil,
Gas
&
Consumable
Fuels
—
0.2%
Chevron
Corp.
.....................
3,773
677,216
Williams
Cos.,
Inc.
(The)
..............
20,890
687,281
1,364,497
Personal
Products
—
0.1%
Estee
Lauder
Cos.,
Inc.
(The),
Class
A
....
3,271
811,568
Pharmaceuticals
—
0.7%
AstraZeneca
plc
...................
15,265
2,065,650
Novo
Nordisk
A/S,
Class
B
............
10,725
1,456,622
Sanofi
..........................
22,227
2,143,274
5,665,546
Professional
Services
—
0.2%
NMG,
Inc.
(c)
.......................
265
40,081
RELX
plc
........................
48,861
1,353,502
1,393,583
Security
Shares
Shares
Value
Real
Estate
Management
&
Development
—
0.1%
Hulic
Co.
Ltd.
.....................
18,700
$
146,843
VGP
NV
.........................
1,186
99,236
Vonovia
SE
.......................
9,724
229,063
475,142
Semiconductors
&
Semiconductor
Equipment
—
0.4%
MediaTek,
Inc.
.....................
57,000
1,152,480
Taiwan
Semiconductor
Manufacturing
Co.
Ltd.
121,000
1,757,339
2,909,819
Software
—
0.5%
Intuit,
Inc.
........................
4,458
1,735,143
Microsoft
Corp.
....................
9,989
2,395,562
4,130,705
Specialty
Retail
—
0.2%
Industria
de
Diseno
Textil
SA
...........
72,295
1,920,231
Textiles,
Apparel
&
Luxury
Goods
—
0.3%
Kering
SA
........................
3,093
1,574,114
LVMH
Moet
Hennessy
Louis
Vuitton
SE
....
953
693,492
2,267,606
Tobacco
—
0.3%
Philip
Morris
International,
Inc.
..........
19,013
1,924,306
Trading
Companies
&
Distributors
—
0.2%
Ferguson
plc
......................
11,872
1,490,457
Wireless
Telecommunication
Services
—
0.1%
KDDI
Corp.
.......................
31,800
964,395
Total
Common
Stocks
—
9.8%
(Cost:
$79,655,075)
..............................
74,756,037
Par
(000)
Par
(000)
Corporate
Bonds
Aerospace
&
Defense
—
0.8%
Boeing
Co.
(The)
2.20%,
02/04/26
.................
USD
600
545,138
5.15%,
05/01/30
.................
128
124,882
3.63%,
02/01/31
.................
83
72,722
3.85%,
11/01/48
.................
175
120,119
3.90%,
05/01/49
.................
100
70,216
5.81%,
05/01/50
.................
782
725,052
5.93%,
05/01/60
.................
228
207,695
Bombardier,
Inc.
(b)
7.50%,
03/15/25
.................
10
9,903
7.13%,
06/15/26
.................
227
220,239
7.88%,
04/15/27
.................
30
29,099
6.00%,
02/15/28
.................
127
117,440
7.45%,
05/01/34
.................
100
100,000
BWX
Technologies,
Inc.,
4.13%,
06/30/28
(b)
.
114
102,457
General
Dynamics
Corp.,
4.25%,
04/01/40
.
100
91,234
Howmet
Aerospace,
Inc.,
5.13%,
10/01/24
.
2
1,978
L3Harris
Technologies,
Inc.
3.83%,
04/27/25
.................
75
72,833
3.85%,
12/15/26
.................
100
95,368
4.40%,
06/15/28
.................
540
516,896
2.90%,
12/15/29
.................
250
213,249
5.05%,
04/27/45
.................
50
44,796
Lockheed
Martin
Corp.
4.07%,
12/15/42
.................
115
99,482
5.70%,
11/15/54
.................
110
115,254
Northrop
Grumman
Corp.
3.85%,
04/15/45
.................
100
79,757
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
14
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Aerospace
&
Defense
(continued)
5.25%,
05/01/50
.................
USD
50
$
49,234
Raytheon
Technologies
Corp.
3.13%,
05/04/27
.................
400
372,487
2.25%,
07/01/30
.................
115
95,697
4.50%,
06/01/42
.................
255
229,326
4.15%,
05/15/45
.................
95
79,196
3.03%,
03/15/52
.................
450
305,077
Rolls-Royce
plc,
5.75%,
10/15/27
(b)
......
200
190,500
Spirit
AeroSystems,
Inc.
(b)
7.50%,
04/15/25
.................
28
27,668
9.38%,
11/30/29
.................
81
85,269
TransDigm,
Inc.
8.00%,
12/15/25
(b)
................
531
538,854
6.25%,
03/15/26
(b)
................
447
440,827
6.38%,
06/15/26
.................
12
11,675
7.50%,
03/15/27
.................
39
38,587
5.50%,
11/15/27
.................
22
20,659
4.88%,
05/01/29
.................
71
61,930
Triumph
Group,
Inc.,
8.88%,
06/01/24
(b)
...
69
70,208
Wesco
Aircraft
Holdings,
Inc.,
9.00%,
11/15/26
(b)
....................
92
61,640
6,454,643
Air
Freight
&
Logistics
—
0.1%
FedEx
Corp.
3.10%,
08/05/29
.................
40
35,299
4.25%,
05/15/30
.................
150
141,489
4.55%,
04/01/46
.................
195
158,197
5.25%,
05/15/50
.................
25
22,762
357,747
Airlines
—
0.2%
Air
Canada,
3.88%,
08/15/26
(b)
.........
74
65,544
Air
Canada
Pass-Through
Trust,
Series
2017-1,
Class
AA,
3.30%,
01/15/30
(b)
........
14
12,219
Allegiant
Travel
Co.,
7.25%,
08/15/27
(b)
...
45
42,802
American
Airlines
Pass-Through
Trust
Series
2019-1,
Class
B,
3.85%,
02/15/28
61
51,266
Series
2017-1,
Class
AA,
3.65%,
02/15/29
57
50,923
American
Airlines,
Inc.
(b)
11.75%,
07/15/25
................
146
156,599
5.75%,
04/20/29
.................
201
183,829
British
Airways
Pass-Through
Trust,
Series
2019-1,
Class
A,
3.35%,
06/15/29
(b)
....
33
28,277
Delta
Air
Lines,
Inc.
3.80%,
04/19/23
.................
100
98,750
7.00%,
05/01/25
(b)
................
59
60,294
4.75%,
10/20/28
(b)
................
37
34,925
Hawaiian
Brand
Intellectual
Property
Ltd.,
5.75%,
01/20/26
(b)
...............
60
54,300
Mileage
Plus
Holdings
LLC,
6.50%,
06/20/27
(b)
180
179,415
Spirit
Loyalty
Cayman
Ltd.
8.00%,
09/20/25
(b)
................
59
59,425
United
Airlines
Pass-Through
Trust
Series
2020-1,
Class
B,
4.88%,
01/15/26
27
25,373
Series
2020-1,
Class
A,
5.88%,
10/15/27
534
526,011
Series
2019-2,
Class
AA,
2.70%,
05/01/32
40
32,117
United
Airlines,
Inc.
(b)
4.38%,
04/15/26
.................
61
56,542
4.63%,
04/15/29
.................
192
167,174
1,885,785
Auto
Components
—
0.2%
Aptiv
plc
2.40%,
02/18/25
.................
195
183,884
3.25%,
03/01/32
.................
115
94,065
5.40%,
03/15/49
.................
25
21,207
Security
Par
(000)
Par
(000)
Value
Auto
Components
(continued)
3.10%,
12/01/51
.................
USD
205
$
121,152
BorgWarner,
Inc.,
5.00%,
10/01/25
(b)
.....
150
146,975
Clarios
Global
LP
(b)
6.75%,
05/15/25
.................
184
184,426
6.25%,
05/15/26
.................
42
41,055
8.50%,
05/15/27
.................
399
389,622
Dealer
Tire
LLC,
8.00%,
02/01/28
(b)
......
37
32,555
Goodyear
Tire
&
Rubber
Co.
(The)
9.50%,
05/31/25
.................
14
14,385
5.00%,
07/15/29
.................
5
4,171
5.63%,
04/30/33
.................
68
55,508
Icahn
Enterprises
LP
6.25%,
05/15/26
.................
49
47,084
5.25%,
05/15/27
.................
35
32,046
4.38%,
02/01/29
.................
91
76,954
1,445,089
Automobiles
—
0.7%
BMW
US
Capital
LLC,
1.25%,
08/12/26
(b)
..
60
52,464
Ford
Motor
Co.
0.00%,
03/15/26
(e)(f)
...............
34
32,079
4.35%,
12/08/26
.................
12
11,380
3.25%,
02/12/32
.................
50
37,497
6.10%,
08/19/32
.................
65
60,019
5.29%,
12/08/46
.................
11
8,382
General
Motors
Co.
4.00%,
04/01/25
.................
125
121,913
6.13%,
10/01/25
.................
50
50,885
6.80%,
10/01/27
.................
225
233,546
5.40%,
10/15/29
.................
59
56,303
5.60%,
10/15/32
.................
190
176,509
6.25%,
10/02/43
.................
211
195,076
5.20%,
04/01/45
.................
71
57,707
6.75%,
04/01/46
.................
60
57,522
5.40%,
04/01/48
.................
203
165,917
5.95%,
04/01/49
.................
139
121,141
Hyundai
Capital
America
(b)
0.80%,
01/08/24
.................
675
642,134
1.00%,
09/17/24
.................
455
420,378
1.80%,
10/15/25
.................
395
355,270
Mercedes-Benz
Finance
North
America
LLC
(b)
3.25%,
08/01/24
.................
175
169,716
5.50%,
11/27/24
.................
360
362,035
1.45%,
03/02/26
.................
150
134,172
Nissan
Motor
Acceptance
Co.
LLC
(b)
3.88%,
09/21/23
.................
78
76,570
1.85%,
09/16/26
.................
196
163,628
2.45%,
09/15/28
.................
115
89,362
Nissan
Motor
Co.
Ltd.
(b)
3.52%,
09/17/25
.................
209
194,140
4.35%,
09/17/27
.................
435
394,434
Stellantis
Finance
US,
Inc.,
1.71%,
01/29/27
(b)
200
171,613
Volkswagen
Group
of
America
Finance
LLC,
1.25%,
11/24/25
(b)
...............
400
356,581
4,968,373
Banks
—
7.9%
Australia
&
New
Zealand
Banking
Group
Ltd.,
5.09%,
12/08/25
................
345
346,385
Banco
Bilbao
Vizcaya
Argentaria
SA,
(USD
Swap
Semi
5
Year
+
3.87%),
6.13%
(a)(g)
..
800
681,144
Banco
Nacional
de
Panama,
2.50%,
08/11/30
(b)
300
239,494
Banco
Santander
SA
3.13%,
02/23/23
.................
200
199,414
2.71%,
06/27/24
.................
200
191,911
2.75%,
05/28/25
.................
200
187,178
BlackRock
Managed
Income
Fund
Schedule
of
Investments
15
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Banks
(continued)
1.85%,
03/25/26
.................
USD
200
$
176,528
Bank
of
America
Corp.
(SOFR
1
Day
+
0.67%),
1.84%,
02/04/25
(a)
315
302,013
(LIBOR
USD
3
Month
+
1.09%),
3.09%,
10/01/25
(a)
...................
250
239,506
(LIBOR
USD
3
Month
+
0.87%),
2.46%,
10/22/25
(a)
...................
225
212,593
(SOFR
1
Day
+
0.65%),
1.53%,
12/06/25
(a)
105
96,841
(LIBOR
USD
3
Month
+
0.81%),
3.37%,
01/23/26
(a)
...................
650
619,763
(LIBOR
USD
3
Month
+
0.64%),
2.02%,
02/13/26
(a)
...................
400
371,288
(SOFR
1
Day
+
1.15%),
1.32%,
06/19/26
(a)
523
470,959
4.25%,
10/22/26
.................
91
87,901
(SOFR
1
Day
+
1.01%),
1.20%,
10/24/26
(a)
150
133,354
Series
N,
(SOFR
1
Day
+
0.91%),
1.66%,
03/11/27
(a)
...................
52
46,005
(SOFR
1
Day
+
0.96%),
1.73%,
07/22/27
(a)
200
175,223
(SOFR
1
Day
+
1.05%),
2.55%,
02/04/28
(a)
950
843,778
(LIBOR
USD
3
Month
+
1.51%),
3.71%,
04/24/28
(a)
...................
150
138,809
(LIBOR
USD
3
Month
+
1.37%),
3.59%,
07/21/28
(a)
...................
300
276,177
(SOFR
1
Day
+
2.04%),
4.95%,
07/22/28
(a)
1,505
1,469,874
(SOFR
1
Day
+
1.99%),
6.20%,
11/10/28
(a)
422
435,703
(LIBOR
USD
3
Month
+
1.04%),
3.42%,
12/20/28
(a)
...................
960
869,308
(SOFR
1
Day
+
1.06%),
2.09%,
06/14/29
(a)
150
126,224
(LIBOR
USD
3
Month
+
1.21%),
3.97%,
02/07/30
(a)
...................
645
585,808
(LIBOR
USD
3
Month
+
1.18%),
3.19%,
07/23/30
(a)
...................
300
258,025
(SOFR
1
Day
+
2.15%),
2.59%,
04/29/31
(a)
295
240,259
(SOFR
1
Day
+
1.32%),
2.69%,
04/22/32
(a)
420
336,161
(SOFR
1
Day
+
1.21%),
2.57%,
10/20/32
(a)
425
332,861
(SOFR
1
Day
+
1.33%),
2.97%,
02/04/33
(a)
440
354,472
(SOFR
1
Day
+
1.83%),
4.57%,
04/27/33
(a)
45
41,162
(SOFR
1
Day
+
2.16%),
5.02%,
07/22/33
(a)
50
47,470
Series
L,
4.75%,
04/21/45
..........
135
114,506
(SOFR
1
Day
+
1.88%),
2.83%,
10/24/51
(a)
30
18,391
Bank
of
Ireland
Group
plc,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.65%),
6.25%,
09/16/26
(a)(b)
.......
330
327,354
Bank
of
Montreal,
Series
H,
4.25%,
09/14/24
585
577,207
Bank
of
Nova
Scotia
(The),
5.25%,
12/06/24
420
420,775
Barclays
Bank
plc,
0.00%,
02/04/25
(e)(f)
....
26
33,842
Barclays
plc
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.80%),
1.01%,
12/10/24
(a)
..............
600
571,144
(LIBOR
USD
3
Month
+
1.61%),
3.93%,
05/07/25
(a)
...................
200
193,948
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.87%),
6.13%
(a)(g)
....................
775
707,188
4.38%,
01/12/26
.................
400
387,076
5.20%,
05/12/26
.................
470
457,073
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.41%),
4.38%
(a)(g)
....................
200
152,500
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.43%),
8.00%
(a)(g)
....................
730
682,550
(LIBOR
USD
3
Month
+
3.05%),
5.09%,
06/20/30
(a)
...................
400
368,424
Security
Par
(000)
Par
(000)
Value
Banks
(continued)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
3.00%),
5.75%,
08/09/33
(a)
..............
USD
200
$
188,932
BNP
Paribas
SA
(b)
3.38%,
01/09/25
.................
400
384,928
(LIBOR
USD
3
Month
+
2.24%),
4.71%,
01/10/25
(a)
...................
200
198,001
(LIBOR
USD
3
Month
+
1.11%),
2.82%,
11/19/25
(a)
...................
200
189,456
(SOFR
1
Day
+
1.00%),
1.32%,
01/13/27
(a)
200
174,805
(USD
Swap
Semi
5
Year
+
3.98%),
7.00%
(a)
(g)
.........................
200
189,078
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.34%),
4.63%
(a)(g)
....................
1,750
1,352,051
Citigroup,
Inc.
(LIBOR
USD
3
Month
+
0.90%),
3.35%,
04/24/25
(a)
...................
850
824,226
(SOFR
1
Day
+
2.84%),
3.11%,
04/08/26
(a)
600
567,950
3.40%,
05/01/26
.................
225
213,258
3.20%,
10/21/26
.................
100
92,516
(SOFR
1
Day
+
0.77%),
1.12%,
01/28/27
(a)
270
235,301
4.45%,
09/29/27
.................
625
595,880
(LIBOR
USD
3
Month
+
1.56%),
3.89%,
01/10/28
(a)
...................
900
841,021
(LIBOR
USD
3
Month
+
1.39%),
3.67%,
07/24/28
(a)
...................
125
114,799
4.13%,
07/25/28
.................
100
93,075
(LIBOR
USD
3
Month
+
1.15%),
3.52%,
10/27/28
(a)
...................
125
114,050
(SOFR
1
Day
+
1.42%),
2.98%,
11/05/30
(a)
250
210,206
(SOFR
1
Day
+
3.91%),
4.41%,
03/31/31
(a)
25
22,957
(SOFR
1
Day
+
2.11%),
2.57%,
06/03/31
(a)
345
279,033
(SOFR
1
Day
+
1.17%),
2.56%,
05/01/32
(a)
190
149,998
(SOFR
1
Day
+
1.35%),
3.06%,
01/25/33
(a)
65
52,456
(SOFR
1
Day
+
1.94%),
3.79%,
03/17/33
(a)
545
466,134
(SOFR
1
Day
+
2.34%),
6.27%,
11/17/33
(a)
195
201,170
Commonwealth
Bank
of
Australia,
1.13%,
06/15/26
(b)
....................
165
144,971
Cooperatieve
Rabobank
UA
(a)(b)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.00%),
1.34%,
06/24/26
...............
295
265,243
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.55%),
1.11%,
02/24/27
...............
250
218,362
Credit
Agricole
SA,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.24%),
4.75%
(a)(b)(g)
..............
810
649,148
Danske
Bank
A/S
(a)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.45%),
3.77%,
03/28/25
(b)
..............
200
193,790
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
7
Year
+
4.13%),
7.00%
(d)(g)
....................
725
686,937
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.35%),
1.62%,
09/11/26
(b)
..............
200
176,147
Discover
Bank
4.20%,
08/08/23
.................
250
248,373
(USD
Swap
Semi
5
Year
+
1.73%),
4.68%,
08/09/28
(a)
...................
375
359,917
DNB
Bank
ASA,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.72%),
1.54%,
05/25/27
(a)(b)
..............
200
173,836
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
16
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Banks
(continued)
Fifth
Third
Bancorp,
(SOFR
1
Day
+
2.19%),
6.36%,
10/27/28
(a)
...............
USD
240
$
246,935
HSBC
Holdings
plc
4.25%,
03/14/24
.................
225
221,006
(SOFR
1
Day
+
0.53%),
0.73%,
08/17/24
(a)
880
847,983
(SOFR
1
Day
+
0.58%),
1.16%,
11/22/24
(a)
200
190,492
(LIBOR
USD
3
Month
+
1.21%),
3.80%,
03/11/25
(a)
...................
200
194,426
(SOFR
1
Day
+
0.71%),
0.98%,
05/24/25
(a)
235
217,582
(SOFR
1
Day
+
1.40%),
2.63%,
11/07/25
(a)
250
234,784
(SOFR
1
Day
+
1.51%),
4.18%,
12/09/25
(a)
530
514,725
(SOFR
1
Day
+
1.43%),
3.00%,
03/10/26
(a)
200
187,975
(SOFR
1
Day
+
1.54%),
1.65%,
04/18/26
(a)
500
451,306
(SOFR
1
Day
+
3.03%),
7.34%,
11/03/26
(a)
395
410,828
4.38%,
11/23/26
.................
250
240,081
(SOFR
1
Day
+
3.35%),
7.39%,
11/03/28
(a)
800
840,760
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.65%),
4.60%
(a)(g)
....................
260
202,276
(SOFR
1
Day
+
4.25%),
8.11%,
11/03/33
(a)
515
544,911
Huntington
Bancshares,
Inc.,
(SOFR
1
Day
+
1.97%),
4.44%,
08/04/28
(a)
..........
210
200,030
ING
Groep
NV
4.10%,
10/02/23
.................
200
198,379
3.55%,
04/09/24
.................
200
195,633
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.10%),
1.40%,
07/01/26
(a)(b)
.............
200
179,804
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.86%),
3.88%
(a)(g)
....................
860
626,612
JPMorgan
Chase
&
Co.
(LIBOR
USD
3
Month
+
1.00%),
4.02%,
12/05/24
(a)
...................
500
492,542
(SOFR
1
Day
+
1.16%),
2.30%,
10/15/25
(a)
700
659,647
(3
Month
CME
Term
SOFR
+
1.59%),
2.01%,
03/13/26
(a)
..............
535
495,172
(SOFR
1
Day
+
0.80%),
1.05%,
11/19/26
(a)
200
176,407
(3
Month
CME
Term
SOFR
+
0.70%),
1.04%,
02/04/27
(a)
..............
590
513,222
(SOFR
1
Day
+
0.89%),
1.58%,
04/22/27
(a)
1,202
1,056,152
(SOFR
1
Day
+
0.77%),
1.47%,
09/22/27
(a)
125
108,220
(LIBOR
USD
3
Month
+
1.34%),
3.78%,
02/01/28
(a)
...................
410
383,061
(SOFR
1
Day
+
1.89%),
2.18%,
06/01/28
(a)
320
279,803
(SOFR
1
Day
+
1.02%),
2.07%,
06/01/29
(a)
225
187,917
(SOFR
1
Day
+
2.52%),
2.96%,
05/13/31
(a)
100
82,396
(SOFR
1
Day
+
2.58%),
5.72%,
09/14/33
(a)
888
866,736
6.40%,
05/15/38
.................
60
64,812
(LIBOR
USD
3
Month
+
1.36%),
3.88%,
07/24/38
(a)
...................
455
377,649
(SOFR
1
Day
+
2.46%),
3.11%,
04/22/41
(a)
535
388,798
(SOFR
1
Day
+
1.46%),
3.16%,
04/22/42
(a)
350
254,073
4.85%,
02/01/44
.................
65
59,229
4.95%,
06/01/45
.................
160
142,951
Series
W,
(LIBOR
USD
3
Month
+
1.00%),
5.61%,
05/15/47
(a)
..............
117
89,572
Lloyds
Banking
Group
plc
4.05%,
08/16/23
.................
510
506,537
4.50%,
11/04/24
.................
400
390,346
4.45%,
05/08/25
.................
400
392,343
(USD
Swap
Semi
5
Year
+
4.50%),
7.50%
(a)
(g)
.........................
200
192,941
4.58%,
12/10/25
.................
340
329,221
Security
Par
(000)
Par
(000)
Value
Banks
(continued)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
1.00%),
2.44%,
02/05/26
(a)
..............
USD
200
$
186,205
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.82%),
6.75%
(a)(g)
....................
200
189,804
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.85%),
1.63%,
05/11/27
(a)
..............
200
173,109
Mitsubishi
UFJ
Financial
Group,
Inc.
3.76%,
07/26/23
.................
220
218,178
3.41%,
03/07/24
.................
70
68,534
1.41%,
07/17/25
.................
600
544,854
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.67%),
1.64%,
10/13/27
(a)
..............
200
173,213
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.83%),
2.34%,
01/19/28
(a)
..............
200
176,037
3.96%,
03/02/28
.................
105
99,746
3.20%,
07/18/29
.................
200
174,634
2.05%,
07/17/30
.................
200
157,760
Mizuho
Financial
Group,
Inc.,
(SOFR
1
Day
+
1.25%),
1.24%,
07/10/24
(a)
..........
220
214,675
National
Australia
Bank
Ltd.,
3.91%,
06/09/27
250
239,630
NatWest
Group
plc
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.15%),
2.36%,
05/22/24
(a)
..............
580
571,693
(LIBOR
USD
3
Month
+
1.76%),
4.27%,
03/22/25
(a)
...................
700
684,515
4.80%,
04/05/26
.................
200
195,586
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.85%),
7.47%,
11/10/26
(a)
..............
620
645,172
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.10%),
3.75%,
11/01/29
(a)
..............
200
185,500
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.35%),
3.03%,
11/28/35
(a)
..............
200
147,254
Nordea
Bank
Abp
(b)
3.75%,
08/30/23
.................
220
217,882
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.11%),
6.63%
(a)(g)
....................
550
540,134
1.50%,
09/30/26
.................
800
690,799
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.60%),
3.75%
(a)(g)
....................
260
200,734
PNC
Financial
Services
Group,
Inc.
(The)
3.90%,
04/29/24
.................
430
424,730
2.20%,
11/01/24
.................
100
95,547
3.45%,
04/23/29
.................
70
63,985
2.55%,
01/22/30
.................
75
63,629
(SOFR
Index
+
2.14%),
6.04%,
10/28/33
(a)
52
54,137
Royal
Bank
of
Canada
3.38%,
04/14/25
.................
150
144,948
6.00%,
11/01/27
.................
340
354,430
Santander
UK
Group
Holdings
plc
(a)
(LIBOR
USD
3
Month
+
1.57%),
4.80%,
11/15/24
....................
200
196,638
(SOFR
1
Day
+
1.22%),
2.47%,
01/11/28
300
256,188
Santander
UK
plc,
5.00%,
11/07/23
(b)
.....
487
485,508
Skandinaviska
Enskilda
Banken
AB,
0.85%,
09/02/25
(b)
....................
200
178,524
BlackRock
Managed
Income
Fund
Schedule
of
Investments
17
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Banks
(continued)
Societe
Generale
SA
(a)(b)(g)
(USD
Swap
Rate
5
Year
+
5.87%),
8.00%
USD
400
$
400,500
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.51%),
5.38%
......................
400
324,055
Standard
Chartered
plc,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.14%),
4.30%
(a)(b)(g)
.............
400
306,978
Sumitomo
Mitsui
Financial
Group,
Inc.
2.45%,
09/27/24
.................
450
427,748
2.35%,
01/15/25
.................
200
189,240
1.47%,
07/08/25
.................
340
309,797
1.40%,
09/17/26
.................
200
174,164
3.54%,
01/17/28
.................
100
92,046
3.94%,
07/19/28
.................
100
94,000
2.75%,
01/15/30
.................
250
209,773
Svenska
Handelsbanken
AB,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.63%),
1.42%,
06/11/27
(a)(b)
....
250
218,964
Swedbank
AB,
5.34%,
09/20/27
(b)
.......
200
198,348
Toronto-Dominion
Bank
(The)
0.70%,
09/10/24
.................
150
139,596
3.77%,
06/06/25
.................
530
514,339
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.08%),
8.13%,
10/31/82
(a)
..............
866
900,640
Truist
Financial
Corp.,
(SOFR
1
Day
+
0.61%),
1.27%,
03/02/27
(a)
...............
400
354,360
UniCredit
SpA,
(USD
Swap
Semi
5
Year
+
5.18%),
8.00%
(a)(d)(g)
..............
400
381,868
US
Bancorp
(SOFR
1
Day
+
1.66%),
4.55%,
07/22/28
(a)
380
371,112
1.38%,
07/22/30
.................
5
3,864
Wells
Fargo
&
Co.
(LIBOR
USD
3
Month
+
0.75%),
2.16%,
02/11/26
(a)
...................
420
391,538
(SOFR
1
Day
+
1.32%),
3.91%,
04/25/26
(a)
1,100
1,069,098
(SOFR
1
Day
+
2.00%),
2.19%,
04/30/26
(a)
275
255,931
4.30%,
07/22/27
.................
131
126,065
(SOFR
1
Day
+
1.51%),
3.53%,
03/24/28
(a)
395
365,770
(SOFR
1
Day
+
2.10%),
2.39%,
06/02/28
(a)
150
132,388
(SOFR
1
Day
+
1.98%),
4.81%,
07/25/28
(a)
300
293,009
4.15%,
01/24/29
.................
75
70,495
(3
Month
CME
Term
SOFR
+
1.43%),
2.88%,
10/30/30
(a)
..............
75
63,705
5.61%,
01/15/44
.................
150
145,424
4.40%,
06/14/46
.................
145
116,468
4.75%,
12/07/46
.................
100
83,745
(SOFR
1
Day
+
4.50%),
5.01%,
04/04/51
(a)
225
198,197
Westpac
Banking
Corp.
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
1.75%),
2.67%,
11/15/35
(a)
..............
135
100,340
3.13%,
11/18/41
.................
135
89,048
60,576,374
Beverages
—
0.2%
Anheuser-Busch
Cos.
LLC
4.70%,
02/01/36
.................
45
42,500
4.90%,
02/01/46
.................
1,022
929,075
Anheuser-Busch
InBev
Finance,
Inc.,
4.90%,
02/01/46
.....................
115
104,544
Anheuser-Busch
InBev
Worldwide,
Inc.
4.75%,
01/23/29
.................
140
138,193
4.95%,
01/15/42
.................
25
23,443
4.44%,
10/06/48
.................
55
46,971
Security
Par
(000)
Par
(000)
Value
Beverages
(continued)
5.55%,
01/23/49
.................
USD
70
$
69,202
5.80%,
01/23/59
.................
105
107,401
Fomento
Economico
Mexicano
SAB
de
CV,
3.50%,
01/16/50
................
150
103,837
Keurig
Dr
Pepper,
Inc.
4.42%,
05/25/25
.................
32
31,637
4.50%,
04/15/52
.................
110
91,656
1,688,459
Biotechnology
—
0.6%
AbbVie,
Inc.
2.60%,
11/21/24
.................
100
95,666
3.80%,
03/15/25
.................
75
73,096
3.60%,
05/14/25
.................
465
450,653
3.20%,
05/14/26
.................
90
85,215
2.95%,
11/21/26
.................
1,440
1,339,177
4.50%,
05/14/35
.................
350
324,207
4.05%,
11/21/39
.................
215
184,029
4.70%,
05/14/45
.................
100
88,820
4.45%,
05/14/46
.................
230
197,669
4.88%,
11/14/48
.................
150
136,629
4.25%,
11/21/49
.................
126
104,566
Amgen,
Inc.
2.60%,
08/19/26
.................
175
161,694
2.00%,
01/15/32
.................
120
93,780
4.40%,
05/01/45
.................
30
25,135
4.56%,
06/15/48
.................
35
29,884
3.00%,
01/15/52
.................
150
95,735
4.20%,
02/22/52
.................
85
67,405
4.88%,
03/01/53
.................
130
115,294
4.40%,
02/22/62
.................
143
113,137
Gilead
Sciences,
Inc.
3.50%,
02/01/25
.................
235
227,539
3.65%,
03/01/26
.................
215
207,274
4.80%,
04/01/44
.................
25
22,925
4.50%,
02/01/45
.................
82
72,141
4.75%,
03/01/46
.................
229
206,083
4,517,753
Building
Products
—
0.1%
Advanced
Drainage
Systems,
Inc.
(b)
5.00%,
09/30/27
.................
114
106,305
6.38%,
06/15/30
.................
19
18,462
Camelot
Return
Merger
Sub,
Inc.,
8.75%,
08/01/28
(b)
....................
61
55,975
Carlisle
Cos.,
Inc.,
2.20%,
03/01/32
......
265
201,317
Carrier
Global
Corp.,
2.24%,
02/15/25
....
10
9,419
JELD-WEN,
Inc.,
6.25%,
05/15/25
(b)
.....
30
28,060
Masonite
International
Corp.
(b)
5.38%,
02/01/28
.................
23
21,266
3.50%,
02/15/30
.................
29
23,459
New
Enterprise
Stone
&
Lime
Co.,
Inc.
(b)
5.25%,
07/15/28
.................
31
27,527
9.75%,
07/15/28
.................
36
33,262
Smyrna
Ready
Mix
Concrete
LLC,
6.00%,
11/01/28
(b)
....................
147
131,521
Standard
Industries,
Inc.
(b)
5.00%,
02/15/27
.................
67
61,823
4.38%,
07/15/30
.................
59
48,081
Summit
Materials
LLC,
5.25%,
01/15/29
(b)
..
58
54,000
820,477
Capital
Markets
—
2.8%
AG
TTMT
Escrow
Issuer
LLC,
8.63%,
09/30/27
(b)
....................
44
44,220
Aretec
Escrow
Issuer,
Inc.,
7.50%,
04/01/29
(b)
39
32,184
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
18
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Capital
Markets
(continued)
Bank
of
New
York
Mellon
(The),
(SOFR
1
Day
+
0.80%),
5.22%,
11/21/25
(a)
.........
USD
500
$
501,314
Bank
of
New
York
Mellon
Corp.
(The)
(a)
(SOFR
1
Day
+
1.15%),
3.99%,
06/13/28
350
334,820
(SOFR
Index
+
1.80%),
5.80%,
10/25/28
70
72,383
Blackstone
Holdings
Finance
Co.
LLC
(b)
5.90%,
11/03/27
.................
49
49,367
6.20%,
04/22/33
.................
91
91,728
Blackstone
Private
Credit
Fund
7.05%,
09/29/25
(b)
................
116
115,081
2.63%,
12/15/26
.................
275
227,624
3.25%,
03/15/27
.................
260
218,910
Charles
Schwab
Corp.
(The)
3.63%,
04/01/25
.................
250
243,374
1.15%,
05/13/26
.................
400
355,422
2.45%,
03/03/27
.................
160
145,861
Compass
Group
Diversified
Holdings
LLC,
5.25%,
04/15/29
(b)
...............
74
63,329
Credit
Suisse
AG,
2.95%,
04/09/25
......
250
225,001
Deutsche
Bank
AG
(a)
(SOFR
1
Day
+
2.16%),
2.22%,
09/18/24
740
714,710
(SOFR
1
Day
+
1.13%),
1.45%,
04/01/25
555
515,457
Series
2020,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.52%),
6.00%
(g)
...............
800
678,457
(SOFR
1
Day
+
3.19%),
6.12%,
07/14/26
150
148,996
(SOFR
1
Day
+
1.87%),
2.13%,
11/24/26
150
132,331
(SOFR
1
Day
+
1.32%),
2.55%,
01/07/28
600
510,027
Goldman
Sachs
Group,
Inc.
(The)
3.20%,
02/23/23
.................
445
443,884
5.70%,
11/01/24
.................
400
404,761
3.50%,
04/01/25
.................
470
451,972
(LIBOR
USD
3
Month
+
1.20%),
3.27%,
09/29/25
(a)
...................
345
332,452
(SOFR
1
Day
+
0.61%),
0.86%,
02/12/26
(a)
100
90,422
Series
U,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.92%),
3.65%
(a)(g)
....................
400
323,000
3.50%,
11/16/26
.................
385
360,892
(SOFR
1
Day
+
0.79%),
1.09%,
12/09/26
(a)
100
88,153
(SOFR
1
Day
+
0.80%),
1.43%,
03/09/27
(a)
760
666,450
(SOFR
1
Day
+
0.91%),
1.95%,
10/21/27
(a)
135
118,042
(SOFR
1
Day
+
1.11%),
2.64%,
02/24/28
(a)
400
356,154
(SOFR
1
Day
+
1.73%),
4.48%,
08/23/28
(a)
695
666,098
(LIBOR
USD
3
Month
+
1.16%),
3.81%,
04/23/29
(a)
...................
75
68,507
(LIBOR
USD
3
Month
+
1.30%),
4.22%,
05/01/29
(a)
...................
125
116,452
(SOFR
1
Day
+
1.09%),
1.99%,
01/27/32
(a)
575
438,044
(SOFR
1
Day
+
1.28%),
2.62%,
04/22/32
(a)
195
155,511
(SOFR
1
Day
+
1.25%),
2.38%,
07/21/32
(a)
100
77,591
(SOFR
1
Day
+
1.26%),
2.65%,
10/21/32
(a)
275
217,132
6.13%,
02/15/33
.................
90
93,230
(SOFR
1
Day
+
1.41%),
3.10%,
02/24/33
(a)
824
669,072
6.75%,
10/01/37
.................
175
186,729
5.15%,
05/22/45
.................
65
58,384
Intercontinental
Exchange,
Inc.
4.00%,
09/15/27
.................
234
226,073
4.60%,
03/15/33
.................
175
167,325
4.25%,
09/21/48
.................
5
4,187
5.20%,
06/15/62
.................
70
66,043
Lehman
Brothers
Holdings,
Inc.,
6.88%,
07/17/37
(c)(h)(i)
..................
203
—
Morgan
Stanley
(a)
(SOFR
1
Day
+
1.16%),
3.62%,
04/17/25
335
326,894
Security
Par
(000)
Par
(000)
Value
Capital
Markets
(continued)
(SOFR
1
Day
+
0.53%),
0.79%,
05/30/25
USD
605
$
562,465
(SOFR
1
Day
+
1.15%),
2.72%,
07/22/25
454
434,033
(SOFR
1
Day
+
1.99%),
2.19%,
04/28/26
5
4,646
(SOFR
1
Day
+
0.72%),
0.99%,
12/10/26
470
411,821
(SOFR
1
Day
+
0.88%),
1.59%,
05/04/27
1,110
973,730
(SOFR
1
Day
+
0.86%),
1.51%,
07/20/27
1,000
867,788
(SOFR
1
Day
+
1.00%),
2.48%,
01/21/28
250
222,138
(SOFR
1
Day
+
1.61%),
4.21%,
04/20/28
1,200
1,141,313
(LIBOR
USD
3
Month
+
1.34%),
3.59%,
07/22/28
....................
75
68,794
(LIBOR
USD
3
Month
+
1.63%),
4.43%,
01/23/30
....................
100
93,070
(SOFR
1
Day
+
3.12%),
3.62%,
04/01/31
165
144,045
(SOFR
1
Day
+
1.02%),
1.93%,
04/28/32
60
45,272
(SOFR
1
Day
+
1.29%),
2.94%,
01/21/33
105
84,943
(SOFR
1
Day
+
1.49%),
3.22%,
04/22/42
55
40,699
(SOFR
1
Day
+
1.43%),
2.80%,
01/25/52
40
24,628
MSCI,
Inc.
(b)
4.00%,
11/15/29
.................
12
10,452
3.88%,
02/15/31
.................
16
13,303
3.63%,
11/01/31
.................
26
21,502
Nomura
Holdings,
Inc.
1.65%,
07/14/26
.................
200
174,059
2.61%,
07/14/31
.................
200
154,681
Northern
Trust
Corp.
3.15%,
05/03/29
.................
50
45,227
6.13%,
11/02/32
.................
78
82,246
Owl
Rock
Capital
Corp.
3.75%,
07/22/25
.................
81
74,837
3.40%,
07/15/26
.................
33
28,814
OWL
Rock
Core
Income
Corp.
5.50%,
03/21/25
.................
46
44,592
7.75%,
09/16/27
(b)
................
128
127,586
S&P
Global,
Inc.
2.45%,
03/01/27
(b)
................
200
182,658
2.90%,
03/01/32
(b)
................
105
89,560
3.25%,
12/01/49
.................
35
25,027
State
Street
Corp.
(a)
(LIBOR
USD
3
Month
+
0.77%),
3.78%,
12/03/24
....................
55
54,363
(LIBOR
USD
3
Month
+
1.00%),
5.77%,
06/15/47
....................
1,788
1,371,475
UBS
Group
AG
(a)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
0.83%),
1.01%,
07/30/24
(b)
..............
255
247,948
(USD
Swap
Semi
5
Year
+
4.87%),
7.00%
(d)
(g)
.........................
200
197,500
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.40%),
4.88%
(b)(g)
....................
520
440,700
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
1
Year
+
2.05%),
4.70%,
08/05/27
(b)
..............
200
193,297
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.31%),
4.38%
(b)(g)
....................
200
151,952
21,445,214
Chemicals
—
0.3%
Air
Products
&
Chemicals,
Inc.,
1.50%,
10/15/25
.....................
50
46,020
Ashland
LLC,
3.38%,
09/01/31
(b)
........
82
65,540
Avient
Corp.,
7.13%,
08/01/30
(b)
........
65
63,540
Axalta
Coating
Systems
LLC,
3.38%,
02/15/29
(b)
....................
150
123,775
BlackRock
Managed
Income
Fund
Schedule
of
Investments
19
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Chemicals
(continued)
Celanese
US
Holdings
LLC,
6.17%,
07/15/27
USD
49
$
48,330
Chemours
Co.
(The),
5.75%,
11/15/28
(b)
...
37
33,235
Diamond
BC
BV,
4.63%,
10/01/29
(b)
......
117
93,892
DuPont
de
Nemours,
Inc.
5.32%,
11/15/38
.................
110
105,716
5.42%,
11/15/48
.................
61
58,060
Eastman
Chemical
Co.,
4.80%,
09/01/42
..
65
54,616
Ecolab,
Inc.,
2.70%,
12/15/51
.........
190
118,182
Element
Solutions,
Inc.,
3.88%,
09/01/28
(b)
.
278
236,300
Gates
Global
LLC,
6.25%,
01/15/26
(b)
.....
53
51,145
Herens
Holdco
SARL,
4.75%,
05/15/28
(b)
..
200
149,482
Illuminate
Buyer
LLC,
9.00%,
07/01/28
(b)
...
105
87,909
Ingevity
Corp.,
3.88%,
11/01/28
(b)
.......
26
22,356
Kobe
U.S.
Midco
2,
Inc.,
9.25%,
11/01/26
(a)(b)
97
67,900
LSF11
A5
HoldCo
LLC,
6.63%,
10/15/29
(b)
..
43
35,523
LYB
International
Finance
III
LLC
1.25%,
10/01/25
.................
241
214,997
4.20%,
10/15/49
.................
75
55,771
3.63%,
04/01/51
.................
100
66,908
LyondellBasell
Industries
NV,
4.63%,
02/26/55
25
19,462
Minerals
Technologies,
Inc.,
5.00%,
07/01/28
(b)
46
40,968
Nutrien
Ltd.,
5.90%,
11/07/24
.........
65
65,817
PPG
Industries,
Inc.,
1.20%,
03/15/26
....
45
39,887
Scotts
Miracle-Gro
Co.
(The)
4.00%,
04/01/31
.................
31
23,682
4.38%,
02/01/32
.................
10
7,537
Sherwin-Williams
Co.
(The)
4.25%,
08/08/25
.................
35
34,389
2.30%,
05/15/30
.................
45
36,995
4.50%,
06/01/47
.................
100
83,918
SK
Invictus
Intermediate
II
SARL,
5.00%,
10/30/29
(b)
....................
95
77,900
WR
Grace
Holdings
LLC
(b)
4.88%,
06/15/27
.................
31
27,470
5.63%,
08/15/29
.................
297
239,759
2,496,981
Commercial
Services
&
Supplies
—
0.3%
ADT
Security
Corp.
(The)
4.13%,
06/15/23
.................
14
13,861
4.88%,
07/15/32
(b)
................
41
34,843
Allied
Universal
Holdco
LLC
(b)
6.63%,
07/15/26
.................
40
36,600
9.75%,
07/15/27
.................
33
28,710
4.63%,
06/01/28
.................
407
333,116
6.00%,
06/01/29
.................
200
145,152
APi
Group
DE,
Inc.
(b)
4.13%,
07/15/29
.................
22
18,234
4.75%,
10/15/29
.................
38
32,941
APX
Group,
Inc.
(b)
6.75%,
02/15/27
.................
54
51,977
5.75%,
07/15/29
.................
74
61,286
Aramark
Services,
Inc.
(b)
5.00%,
04/01/25
.................
17
16,588
6.38%,
05/01/25
.................
91
89,882
5.00%,
02/01/28
.................
6
5,598
Brink's
Co.
(The),
5.50%,
07/15/25
(b)
.....
14
13,746
Clean
Harbors,
Inc.,
4.88%,
07/15/27
(b)
....
51
48,322
Covanta
Holding
Corp.
4.88%,
12/01/29
(b)
................
43
35,228
5.00%,
09/01/30
.................
37
29,879
Garda
World
Security
Corp.,
4.63%,
02/15/27
(b)
39
34,436
GFL
Environmental,
Inc.
(b)
4.25%,
06/01/25
.................
18
17,193
5.13%,
12/15/26
.................
45
43,034
3.50%,
09/01/28
.................
22
19,342
Security
Par
(000)
Par
(000)
Value
Commercial
Services
&
Supplies
(continued)
4.75%,
06/15/29
.................
USD
98
$
85,774
4.38%,
08/15/29
.................
126
106,779
Iliad
Holding
SASU,
7.00%,
10/15/28
(b)
....
200
180,758
Legends
Hospitality
Holding
Co.
LLC,
5.00%,
02/01/26
(b)
....................
27
24,030
Madison
IAQ
LLC,
5.88%,
06/30/29
(b)
.....
188
128,855
Neptune
Bidco
US,
Inc.,
9.29%,
04/15/29
(b)
.
56
52,780
Prime
Security
Services
Borrower
LLC
(b)
5.25%,
04/15/24
.................
24
23,576
6.25%,
01/15/28
.................
82
74,633
RELX
Capital,
Inc.,
3.50%,
03/16/23
.....
40
39,838
Republic
Services,
Inc.,
0.88%,
11/15/25
...
40
35,825
Waste
Pro
USA,
Inc.,
5.50%,
02/15/26
(b)
...
129
113,920
1,976,736
Communications
Equipment
—
0.2%
CommScope
Technologies
LLC,
6.00%,
06/15/25
(b)
....................
7
6,370
CommScope,
Inc.
(b)
8.25%,
03/01/27
.................
63
48,825
7.13%,
07/01/28
.................
80
57,190
4.75%,
09/01/29
.................
122
98,356
Motorola
Solutions,
Inc.
4.60%,
02/23/28
.................
250
242,138
4.60%,
05/23/29
.................
285
271,242
2.30%,
11/15/30
.................
120
93,835
2.75%,
05/24/31
.................
275
219,874
5.50%,
09/01/44
.................
10
9,004
Nokia
OYJ,
6.63%,
05/15/39
..........
32
30,373
Viasat,
Inc.
(b)
5.63%,
09/15/25
.................
91
84,429
5.63%,
04/15/27
.................
30
27,250
6.50%,
07/15/28
.................
57
42,763
Viavi
Solutions,
Inc.,
3.75%,
10/01/29
(b)
...
49
41,182
1,272,831
Construction
&
Engineering
—
0.0%
(b)
Arcosa,
Inc.,
4.38%,
04/15/29
.........
92
79,781
Dycom
Industries,
Inc.,
4.50%,
04/15/29
...
35
30,464
MasTec,
Inc.,
4.50%,
08/15/28
.........
50
44,784
155,029
Consumer
Finance
—
1.9%
AerCap
Ireland
Capital
DAC
4.13%,
07/03/23
.................
150
148,952
4.88%,
01/16/24
.................
175
173,330
3.50%,
01/15/25
.................
1,410
1,342,854
4.45%,
10/01/25
.................
270
259,534
Ally
Financial,
Inc.,
5.75%,
11/20/25
.....
234
226,687
American
Express
Co.
3.95%,
08/01/25
.................
900
881,674
3.13%,
05/20/26
.................
175
164,784
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.85%),
3.55%
(a)(g)
....................
1,198
984,157
2.55%,
03/04/27
.................
345
313,848
American
Honda
Finance
Corp.
2.15%,
09/10/24
.................
50
47,704
1.50%,
01/13/25
.................
250
233,898
1.00%,
09/10/25
.................
365
329,222
1.30%,
09/09/26
.................
125
110,298
2.00%,
03/24/28
.................
265
228,309
Capital
One
Financial
Corp.
3.90%,
01/29/24
.................
230
227,117
3.75%,
04/24/24
.................
430
421,862
3.30%,
10/30/24
.................
400
386,060
(SOFR
1
Day
+
0.69%),
1.34%,
12/06/24
(a)
430
411,661
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
20
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Consumer
Finance
(continued)
4.25%,
04/30/25
.................
USD
185
$
181,409
(SOFR
1
Day
+
1.37%),
4.17%,
05/09/25
(a)
215
210,011
(SOFR
1
Day
+
1.29%),
2.64%,
03/03/26
(a)
655
613,503
Series
M,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.16%),
3.95%
(a)(g)
....................
1,000
785,381
3.80%,
01/31/28
.................
305
285,075
(SOFR
1
Day
+
1.27%),
2.62%,
11/02/32
(a)
25
19,143
Caterpillar
Financial
Services
Corp.,
4.90%,
01/17/25
.....................
750
751,979
Discover
Financial
Services,
6.70%,
11/29/32
25
25,412
Ford
Motor
Credit
Co.
LLC
5.58%,
03/18/24
.................
400
394,740
3.38%,
11/13/25
.................
255
230,523
2.70%,
08/10/26
.................
200
173,680
2.90%,
02/10/29
.................
200
159,752
General
Motors
Financial
Co.,
Inc.
3.25%,
01/05/23
.................
175
174,989
4.15%,
06/19/23
.................
240
238,715
4.00%,
01/15/25
.................
50
48,515
4.35%,
04/09/25
.................
535
520,462
4.30%,
07/13/25
.................
35
33,896
1.25%,
01/08/26
.................
490
431,484
4.35%,
01/17/27
.................
480
456,090
Global
Aircraft
Leasing
Co.
Ltd.,
6.50%,
(6.50%
Cash
or
7.25%
PIK),
09/15/24
(b)(j)
......
59
48,695
John
Deere
Capital
Corp.,
4.05%,
09/08/25
.
380
373,992
Navient
Corp.
5.88%,
10/25/24
.................
23
22,254
5.50%,
03/15/29
.................
26
21,216
OneMain
Finance
Corp.
7.13%,
03/15/26
.................
35
33,281
6.63%,
01/15/28
.................
65
59,854
5.38%,
11/15/29
.................
35
28,626
4.00%,
09/15/30
.................
58
43,276
SLM
Corp.,
3.13%,
11/02/26
..........
65
55,279
Synchrony
Financial
4.25%,
08/15/24
.................
200
195,407
4.88%,
06/13/25
.................
3
2,923
4.50%,
07/23/25
.................
72
69,016
3.95%,
12/01/27
.................
90
80,267
Toyota
Motor
Credit
Corp.
0.80%,
10/16/25
.................
165
147,716
1.15%,
08/13/27
.................
275
233,925
2.15%,
02/13/30
.................
190
159,854
1.90%,
09/12/31
.................
75
59,216
VistaJet
Malta
Finance
plc,
6.38%,
02/01/30
(b)
50
40,091
14,301,598
Containers
&
Packaging
—
0.4%
ARD
Finance
SA,
6.50%,
06/30/27
(b)
.....
200
139,106
Ardagh
Metal
Packaging
Finance
USA
LLC
(b)
6.00%,
06/15/27
.................
200
195,789
4.00%,
09/01/29
.................
200
158,506
Ball
Corp.
2.88%,
08/15/30
.................
12
9,577
3.13%,
09/15/31
.................
14
11,244
Berry
Global,
Inc.,
1.57%,
01/15/26
......
605
538,944
Clydesdale
Acquisition
Holdings,
Inc.
(b)
6.63%,
04/15/29
.................
192
182,544
8.75%,
04/15/30
.................
90
77,038
Crown
Cork
&
Seal
Co.,
Inc.,
7.38%,
12/15/26
39
40,151
Graham
Packaging
Co.,
Inc.,
7.13%,
08/15/28
(b)
10
8,343
Graphic
Packaging
International
LLC
(b)
4.75%,
07/15/27
.................
15
14,119
3.50%,
03/15/28
.................
45
39,164
Security
Par
(000)
Par
(000)
Value
Containers
&
Packaging
(continued)
LABL,
Inc.,
5.88%,
11/01/28
(b)
.........
USD
71
$
61,860
Mauser
Packaging
Solutions
Holding
Co.,
5.50%,
04/15/24
(b)
...............
55
53,479
Sonoco
Products
Co.,
2.25%,
02/01/27
...
135
120,040
Trivium
Packaging
Finance
BV
(b)(k)
5.50%,
08/15/26
.................
200
183,387
8.50%,
08/15/27
.................
200
183,505
WestRock
MWV
LLC,
8.20%,
01/15/30
....
125
140,949
WRKCo,
Inc.
3.75%,
03/15/25
.................
155
149,905
4.90%,
03/15/29
.................
125
120,010
3.00%,
06/15/33
.................
325
258,102
2,685,762
Distributors
—
0.0%
(b)
American
Builders
&
Contractors
Supply
Co.,
Inc.,
3.88%,
11/15/29
.............
17
13,897
BCPE
Empire
Holdings,
Inc.,
7.63%,
05/01/27
48
43,045
Resideo
Funding,
Inc.,
4.00%,
09/01/29
...
23
18,597
75,539
Diversified
Consumer
Services
—
0.2%
Johns
Hopkins
University,
Series
A,
4.71%,
07/01/32
.....................
445
442,559
Metis
Merger
Sub
LLC,
6.50%,
05/15/29
(b)
..
50
41,974
Northwestern
University,
4.64%,
12/01/44
..
105
100,371
Service
Corp.
International,
4.00%,
05/15/31
137
115,385
Sotheby's,
7.38%,
10/15/27
(b)
..........
355
332,859
Trustees
of
Boston
University,
Series
CC,
4.06%,
10/01/48
................
21
17,379
University
of
Miami,
Series
2022,
4.06%,
04/01/52
.....................
75
61,117
University
of
Southern
California,
Series
2017,
3.84%,
10/01/47
................
85
70,646
1,182,290
Diversified
Financial
Services
—
0.4%
Jefferies
Finance
LLC,
5.00%,
08/15/28
(b)
..
200
163,146
LSEGA
Financing
plc,
1.38%,
04/06/26
(b)
..
500
438,139
MPH
Acquisition
Holdings
LLC,
5.50%,
09/01/28
(b)
....................
60
46,806
NTT
Finance
Corp.,
1.16%,
04/03/26
(b)
....
1,435
1,269,050
Sabre
GLBL,
Inc.
(b)
9.25%,
04/15/25
.................
44
43,830
7.38%,
09/01/25
.................
49
47,091
11.25%,
12/15/27
................
24
24,713
Shell
International
Finance
BV
2.38%,
11/07/29
.................
10
8,643
2.75%,
04/06/30
.................
10
8,774
3.63%,
08/21/42
.................
25
20,104
3.00%,
11/26/51
.................
15
10,157
Shift4
Payments
LLC,
4.63%,
11/01/26
(b)
...
27
25,509
Siemens
Financieringsmaatschappij
NV
(b)
1.20%,
03/11/26
.................
760
677,231
2.88%,
03/11/41
.................
250
183,574
Verscend
Escrow
Corp.,
9.75%,
08/15/26
(b)
.
438
429,113
3,395,880
Diversified
Telecommunication
Services
—
1.0%
Altice
France
SA,
5.13%,
07/15/29
(b)
.....
380
284,902
AT&T,
Inc.
1.70%,
03/25/26
.................
145
130,674
3.80%,
02/15/27
.................
200
190,867
2.30%,
06/01/27
.................
145
128,961
4.35%,
03/01/29
.................
140
133,135
2.55%,
12/01/33
.................
23
17,676
4.50%,
05/15/35
.................
655
595,427
4.85%,
03/01/39
.................
100
89,459
BlackRock
Managed
Income
Fund
Schedule
of
Investments
21
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Diversified
Telecommunication
Services
(continued)
3.50%,
06/01/41
.................
USD
200
$
149,147
4.65%,
06/01/44
.................
17
14,270
3.65%,
06/01/51
.................
155
109,168
3.55%,
09/15/55
.................
270
180,156
3.80%,
12/01/57
.................
71
48,985
CCO
Holdings
LLC
(b)
5.00%,
02/01/28
.................
34
30,872
4.75%,
03/01/30
.................
34
29,322
4.75%,
02/01/32
.................
256
207,539
4.25%,
01/15/34
.................
330
243,555
Consolidated
Communications,
Inc.,
6.50%,
10/01/28
(b)
....................
79
61,388
Frontier
Communications
Holdings
LLC
(b)
5.88%,
10/15/27
.................
75
69,643
6.75%,
05/01/29
.................
114
94,308
6.00%,
01/15/30
.................
91
71,487
8.75%,
05/15/30
.................
72
73,206
Level
3
Financing,
Inc.
(b)
3.40%,
03/01/27
.................
112
94,638
4.63%,
09/15/27
.................
35
29,138
4.25%,
07/01/28
.................
19
14,966
3.63%,
01/15/29
.................
70
51,257
3.75%,
07/15/29
.................
14
10,071
3.88%,
11/15/29
.................
7
5,524
Lumen
Technologies,
Inc.
(b)
4.00%,
02/15/27
.................
122
103,389
4.50%,
01/15/29
.................
50
34,511
5.38%,
06/15/29
.................
11
7,919
Sprint
Capital
Corp.
6.88%,
11/15/28
.................
110
114,173
8.75%,
03/15/32
.................
256
304,666
Telecom
Italia
Capital
SA
6.38%,
11/15/33
.................
8
6,545
6.00%,
09/30/34
.................
60
45,342
7.20%,
07/18/36
.................
29
23,545
7.72%,
06/04/38
.................
21
17,430
Telefonica
Emisiones
SA
4.10%,
03/08/27
.................
150
142,316
5.52%,
03/01/49
.................
150
125,386
Verizon
Communications,
Inc.
1.45%,
03/20/26
.................
480
430,907
3.00%,
03/22/27
.................
810
752,644
1.50%,
09/18/30
.................
100
77,743
2.55%,
03/21/31
.................
100
82,236
4.40%,
11/01/34
.................
150
137,738
4.27%,
01/15/36
.................
1,265
1,126,084
2.65%,
11/20/40
.................
250
168,746
3.40%,
03/22/41
.................
525
394,749
2.85%,
09/03/41
.................
130
89,466
2.99%,
10/30/56
.................
100
61,010
3.70%,
03/22/61
.................
192
133,918
Zayo
Group
Holdings,
Inc.
(b)
4.00%,
03/01/27
.................
302
223,048
6.13%,
03/01/28
.................
322
182,599
7,945,851
Electric
Utilities
—
2.2%
Alabama
Power
Co.
3.94%,
09/01/32
.................
250
229,603
3.75%,
03/01/45
.................
25
19,422
Alliant
Energy
Finance
LLC,
3.75%,
06/15/23
(b)
245
243,302
Baltimore
Gas
&
Electric
Co.
3.35%,
07/01/23
.................
150
148,909
4.25%,
09/15/48
.................
50
41,909
3.20%,
09/15/49
.................
50
35,173
2.90%,
06/15/50
.................
95
62,778
Security
Par
(000)
Par
(000)
Value
Electric
Utilities
(continued)
CenterPoint
Energy
Houston
Electric
LLC,
Series
AG,
3.00%,
03/01/32
.........
USD
100
$
86,177
Duke
Energy
Carolinas
LLC
2.85%,
03/15/32
.................
190
160,726
6.10%,
06/01/37
.................
24
24,828
3.75%,
06/01/45
.................
100
77,581
3.70%,
12/01/47
.................
60
45,644
3.95%,
03/15/48
.................
50
40,000
3.20%,
08/15/49
.................
100
70,087
3.45%,
04/15/51
.................
25
18,248
Duke
Energy
Corp.
3.95%,
10/15/23
.................
240
237,508
5.00%,
12/08/25
.................
200
199,567
2.65%,
09/01/26
.................
560
517,224
2.55%,
06/15/31
.................
100
81,481
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.32%),
3.25%,
01/15/82
(a)
..............
335
244,685
Duke
Energy
Florida
LLC
2.50%,
12/01/29
.................
395
337,573
1.75%,
06/15/30
.................
140
111,259
2.40%,
12/15/31
.................
75
61,242
6.40%,
06/15/38
.................
115
126,137
5.65%,
04/01/40
.................
50
50,406
Duke
Energy
Progress
LLC
3.45%,
03/15/29
.................
313
288,122
4.10%,
05/15/42
.................
150
125,908
4.10%,
03/15/43
.................
25
20,937
2.50%,
08/15/50
.................
30
18,001
Edison
International
4.70%,
08/15/25
.................
390
381,597
Series
B,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.90%),
5.00%
(a)(g)
....................
47
39,289
6.95%,
11/15/29
.................
205
214,078
Emera
US
Finance
LP,
0.83%,
06/15/24
...
265
247,290
Enel
Finance
International
NV,
1.38%,
07/12/26
(b)
....................
695
598,924
Eversource
Energy,
Series
H,
3.15%,
01/15/25
250
240,237
Exelon
Corp.
2.75%,
03/15/27
(b)
................
40
36,683
4.05%,
04/15/30
.................
50
46,420
4.70%,
04/15/50
.................
70
60,975
FirstEnergy
Corp.
Series
B,
4.40%,
07/15/27
(k)
.........
185
172,096
2.65%,
03/01/30
.................
210
171,221
Series
B,
2.25%,
09/01/30
..........
7
5,556
Series
C,
5.35%,
07/15/47
(k)
.........
18
16,070
Series
C,
3.40%,
03/01/50
..........
10
6,598
FirstEnergy
Transmission
LLC
(b)
4.35%,
01/15/25
.................
205
199,760
5.45%,
07/15/44
.................
174
161,859
Florida
Power
&
Light
Co.
5.96%,
04/01/39
.................
50
53,160
4.13%,
02/01/42
.................
120
103,946
3.70%,
12/01/47
.................
25
20,043
3.15%,
10/01/49
.................
60
43,217
2.88%,
12/04/51
.................
97
65,052
Georgia
Power
Co.,
4.70%,
05/15/32
.....
480
462,749
Interstate
Power
&
Light
Co.,
3.50%,
09/30/49
25
17,802
Interstate
Power
and
Light
Co.,
3.25%,
12/01/24
.....................
100
96,460
MidAmerican
Energy
Co.
3.65%,
04/15/29
.................
225
210,367
4.25%,
07/15/49
.................
260
220,540
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
22
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Electric
Utilities
(continued)
Mid-Atlantic
Interstate
Transmission
LLC,
4.10%,
05/15/28
(b)
...............
USD
265
$
249,369
NextEra
Energy
Capital
Holdings,
Inc.
4.20%,
06/20/24
.................
660
651,301
1.88%,
01/15/27
.................
140
123,908
3.55%,
05/01/27
.................
300
282,637
1.90%,
06/15/28
.................
250
213,438
2.25%,
06/01/30
.................
100
82,235
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.55%),
3.80%,
03/15/82
(a)
..............
1,032
840,920
NextEra
Energy
Operating
Partners
LP,
4.25%,
09/15/24
(b)
....................
4
3,719
Northern
States
Power
Co.
2.90%,
03/01/50
.................
62
42,406
2.60%,
06/01/51
.................
60
38,031
NRG
Energy,
Inc.
2.45%,
12/02/27
(b)
................
145
120,141
5.75%,
01/15/28
.................
27
25,344
5.25%,
06/15/29
(b)
................
15
13,241
Ohio
Power
Co.
Series
P,
2.60%,
04/01/30
..........
200
170,073
4.00%,
06/01/49
.................
120
94,634
Series
R,
2.90%,
10/01/51
..........
120
78,075
Oncor
Electric
Delivery
Co.
LLC
2.75%,
06/01/24
.................
240
232,195
2.75%,
05/15/30
.................
132
114,956
4.10%,
11/15/48
.................
146
123,365
3.10%,
09/15/49
.................
100
70,778
2.70%,
11/15/51
.................
150
97,964
Pacific
Gas
&
Electric
Co.
3.40%,
08/15/24
.................
190
182,307
3.45%,
07/01/25
.................
274
259,384
3.30%,
12/01/27
.................
140
123,555
4.50%,
07/01/40
.................
50
39,078
4.45%,
04/15/42
.................
85
63,221
4.00%,
12/01/46
.................
46
30,796
4.95%,
07/01/50
.................
372
288,241
5.25%,
03/01/52
.................
130
106,127
PacifiCorp
2.90%,
06/15/52
.................
175
114,238
5.35%,
12/01/53
.................
200
197,940
Pattern
Energy
Operations
LP,
4.50%,
08/15/28
(b)
....................
110
98,630
PECO
Energy
Co.,
2.85%,
09/15/51
.....
35
23,037
PPL
Electric
Utilities
Corp.,
3.95%,
06/01/47
25
20,229
Progress
Energy,
Inc.,
6.00%,
12/01/39
...
105
106,145
Public
Service
Co.
of
Colorado
3.80%,
06/15/47
.................
60
47,253
Series
34,
3.20%,
03/01/50
.........
125
88,664
2.70%,
01/15/51
.................
25
16,096
Public
Service
Electric
&
Gas
Co.
4.90%,
12/15/32
.................
395
395,707
2.05%,
08/01/50
.................
78
43,463
Southern
California
Edison
Co.
Series
J,
0.70%,
08/01/23
..........
230
224,053
1.10%,
04/01/24
.................
260
246,938
Series
E,
3.70%,
08/01/25
..........
25
24,187
Series
D,
4.70%,
06/01/27
..........
115
112,608
5.95%,
11/01/32
.................
272
287,395
4.00%,
04/01/47
.................
46
35,948
Series
C,
4.13%,
03/01/48
..........
9
7,182
Series
B,
4.88%,
03/01/49
..........
65
57,156
3.65%,
02/01/50
.................
75
54,774
Series
20A,
2.95%,
02/01/51
........
75
48,047
Security
Par
(000)
Par
(000)
Value
Electric
Utilities
(continued)
Series
H,
3.65%,
06/01/51
..........
USD
135
$
98,121
3.45%,
02/01/52
.................
100
71,143
Series
E,
5.45%,
06/01/52
..........
155
148,012
Southern
Co.
(The),
4.48%,
08/01/24
(k)
....
710
701,104
Tampa
Electric
Co.
4.45%,
06/15/49
.................
100
82,506
3.45%,
03/15/51
.................
35
24,434
Virginia
Electric
&
Power
Co.
8.88%,
11/15/38
.................
205
268,213
4.45%,
02/15/44
.................
100
85,734
2.45%,
12/15/50
.................
125
74,093
Vistra
Operations
Co.
LLC
(b)
5.13%,
05/13/25
.................
520
508,414
5.50%,
09/01/26
.................
15
14,451
5.00%,
07/31/27
.................
7
6,497
Wisconsin
Electric
Power
Co.,
2.05%,
12/15/24
250
236,633
16,946,910
Electrical
Equipment
—
0.0%
(b)
Sensata
Technologies
BV,
5.00%,
10/01/25
.
4
3,906
Vertiv
Group
Corp.,
4.13%,
11/15/28
.....
129
109,650
113,556
Electronic
Equipment,
Instruments
&
Components
—
0.0%
Amphenol
Corp.,
2.05%,
03/01/25
.......
70
65,800
CDW
LLC
3.28%,
12/01/28
.................
19
16,267
3.25%,
02/15/29
.................
57
48,546
Coherent
Corp.,
5.00%,
12/15/29
(b)
......
104
89,693
Sensata
Technologies,
Inc.
(b)
4.38%,
02/15/30
.................
110
95,755
3.75%,
02/15/31
.................
18
14,808
330,869
Energy
Equipment
&
Services
—
0.1%
Archrock
Partners
LP
(b)
6.88%,
04/01/27
.................
59
56,325
6.25%,
04/01/28
.................
69
63,136
Enerflex
Ltd.,
9.00%,
10/15/27
(b)
........
67
66,815
Halliburton
Co.
3.80%,
11/15/25
.................
2
1,945
2.92%,
03/01/30
.................
165
141,458
5.00%,
11/15/45
.................
85
75,263
Nabors
Industries
Ltd.
(b)
7.25%,
01/15/26
.................
48
45,235
7.50%,
01/15/28
.................
81
74,107
Nabors
Industries,
Inc.,
5.75%,
02/01/25
...
152
144,949
Precision
Drilling
Corp.,
6.88%,
01/15/29
(b)
.
4
3,724
Schlumberger
Finance
Canada
Ltd.,
1.40%,
09/17/25
.....................
40
36,637
Tervita
Corp.,
11.00%,
12/01/25
(b)
.......
35
37,627
Transocean,
Inc.,
11.50%,
01/30/27
(b)
.....
19
19,048
USA
Compression
Partners
LP
6.88%,
04/01/26
.................
42
40,290
6.88%,
09/01/27
.................
73
68,255
Weatherford
International
Ltd.
(b)
6.50%,
09/15/28
.................
55
53,916
8.63%,
04/30/30
.................
138
132,523
1,061,253
Entertainment
—
0.2%
Lions
Gate
Capital
Holdings
LLC,
5.50%,
04/15/29
(b)
....................
157
91,028
Live
Nation
Entertainment,
Inc.
(b)
4.88%,
11/01/24
.................
9
8,714
6.50%,
05/15/27
.................
198
193,753
4.75%,
10/15/27
.................
99
88,142
BlackRock
Managed
Income
Fund
Schedule
of
Investments
23
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Entertainment
(continued)
Netflix,
Inc.,
4.88%,
04/15/28
..........
USD
350
$
337,955
Playtika
Holding
Corp.,
4.25%,
03/15/29
(b)
..
30
23,549
TWDC
Enterprises
18
Corp.,
4.13%,
06/01/44
55
47,088
Walt
Disney
Co.
(The)
4.63%,
03/23/40
.................
92
85,949
3.50%,
05/13/40
.................
126
101,431
Warnermedia
Holdings,
Inc.
(b)
3.53%,
03/15/24
.................
450
436,071
5.14%,
03/15/52
.................
200
145,393
5.39%,
03/15/62
.................
62
45,261
1,604,334
Equity
Real
Estate
Investment
Trusts
(REITs)
—
1.4%
Alexandria
Real
Estate
Equities,
Inc.
3.80%,
04/15/26
.................
200
193,395
2.75%,
12/15/29
.................
25
21,257
4.90%,
12/15/30
.................
185
180,230
2.00%,
05/18/32
.................
275
210,571
1.88%,
02/01/33
.................
160
118,968
American
Tower
Corp.
4.00%,
06/01/25
.................
175
170,506
1.45%,
09/15/26
.................
140
122,156
3.38%,
10/15/26
.................
185
172,968
3.65%,
03/15/27
.................
825
770,534
3.95%,
03/15/29
.................
255
235,073
2.10%,
06/15/30
.................
270
213,718
1.88%,
10/15/30
.................
105
81,028
2.70%,
04/15/31
.................
206
167,674
2.30%,
09/15/31
.................
150
116,605
4.05%,
03/15/32
.................
103
91,855
AvalonBay
Communities,
Inc.,
5.00%,
02/15/33
115
113,150
Boston
Properties
LP
4.50%,
12/01/28
.................
155
143,691
3.40%,
06/21/29
.................
30
25,836
3.25%,
01/30/31
.................
45
37,201
Brookfield
Property
REIT,
Inc.,
4.50%,
04/01/27
(b)
....................
45
37,612
Camden
Property
Trust,
2.80%,
05/15/30
..
70
60,230
Crown
Castle,
Inc.
1.05%,
07/15/26
.................
800
691,203
2.90%,
03/15/27
.................
210
191,007
4.30%,
02/15/29
.................
45
42,495
3.10%,
11/15/29
.................
60
52,299
2.25%,
01/15/31
.................
250
200,558
2.50%,
07/15/31
.................
240
193,405
2.90%,
04/01/41
.................
200
137,012
4.15%,
07/01/50
.................
60
46,504
Digital
Realty
Trust
LP,
5.55%,
01/15/28
...
30
30,198
Equinix,
Inc.
2.90%,
11/18/26
.................
765
699,207
1.55%,
03/15/28
.................
150
123,977
3.20%,
11/18/29
.................
30
26,113
3.90%,
04/15/32
.................
333
295,851
3.00%,
07/15/50
.................
25
15,696
2.95%,
09/15/51
.................
135
84,088
3.40%,
02/15/52
.................
75
51,084
ERP
Operating
LP
2.85%,
11/01/26
.................
90
83,387
4.15%,
12/01/28
.................
50
46,624
2.50%,
02/15/30
.................
50
41,707
Global
Net
Lease,
Inc.,
3.75%,
12/15/27
(b)
..
37
30,596
GLP
Capital
LP
4.00%,
01/15/30
.................
115
100,719
3.25%,
01/15/32
.................
112
89,531
HAT
Holdings
I
LLC,
3.38%,
06/15/26
(b)
...
67
58,210
Security
Par
(000)
Par
(000)
Value
Equity
Real
Estate
Investment
Trusts
(REITs)
(continued)
Healthpeak
Properties,
Inc.
3.00%,
01/15/30
.................
USD
55
$
47,300
2.88%,
01/15/31
.................
50
41,786
Iron
Mountain
Information
Management
Services,
Inc.,
5.00%,
07/15/32
(b)
......
33
27,413
Iron
Mountain,
Inc.
(b)
5.00%,
07/15/28
.................
10
8,982
5.63%,
07/15/32
.................
45
38,998
Kimco
Realty
Corp.,
4.60%,
02/01/33
.....
225
205,766
Mid-America
Apartments
LP,
1.70%,
02/15/31
45
35,085
MPT
Operating
Partnership
LP
4.63%,
08/01/29
.................
20
15,252
3.50%,
03/15/31
.................
246
168,629
Prologis
LP
3.88%,
09/15/28
.................
50
47,266
2.88%,
11/15/29
.................
50
43,503
2.25%,
04/15/30
.................
100
83,312
Realty
Income
Corp.
3.00%,
01/15/27
.................
125
115,556
3.95%,
08/15/27
.................
155
147,770
2.20%,
06/15/28
.................
110
94,200
5.63%,
10/13/32
.................
220
223,438
2.85%,
12/15/32
.................
20
16,219
Regency
Centers
LP
4.13%,
03/15/28
.................
70
64,976
3.70%,
06/15/30
.................
675
588,821
RHP
Hotel
Properties
LP,
4.75%,
10/15/27
.
116
104,981
RLJ
Lodging
Trust
LP,
3.75%,
07/01/26
(b)
..
51
45,420
SBA
Communications
Corp.
3.88%,
02/15/27
.................
90
81,316
3.13%,
02/01/29
.................
21
17,461
Simon
Property
Group
LP,
3.80%,
07/15/50
.
225
163,361
UDR,
Inc.,
2.10%,
08/01/32
...........
70
51,427
Uniti
Group
LP,
4.75%,
04/15/28
(b)
.......
27
21,600
Ventas
Realty
LP
3.00%,
01/15/30
.................
55
46,141
4.75%,
11/15/30
.................
100
93,370
VICI
Properties
LP
3.50%,
02/15/25
(b)
................
457
430,873
4.38%,
05/15/25
.................
30
29,095
4.63%,
06/15/25
(b)
................
30
28,763
4.50%,
09/01/26
(b)
................
3
2,823
4.25%,
12/01/26
(b)
................
7
6,531
4.50%,
01/15/28
(b)
................
123
112,868
3.88%,
02/15/29
(b)
................
20
17,529
4.95%,
02/15/30
.................
117
111,374
5.13%,
05/15/32
.................
215
199,079
5.63%,
05/15/52
.................
240
212,297
10,406,310
Food
&
Staples
Retailing
—
0.2%
7-Eleven,
Inc.
(b)
0.80%,
02/10/24
.................
275
261,695
0.95%,
02/10/26
.................
550
481,687
Albertsons
Cos.,
Inc.
(b)
3.25%,
03/15/26
.................
62
56,547
5.88%,
02/15/28
.................
16
15,211
4.88%,
02/15/30
.................
47
41,946
Performance
Food
Group,
Inc.,
4.25%,
08/01/29
(b)
....................
76
65,863
United
Natural
Foods,
Inc.,
6.75%,
10/15/28
(b)
28
26,903
US
Foods,
Inc.
(b)
4.75%,
02/15/29
.................
46
40,844
4.63%,
06/01/30
.................
58
51,076
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
24
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Food
&
Staples
Retailing
(continued)
Walmart,
Inc.,
2.65%,
09/22/51
........
USD
170
$
114,938
1,156,710
Food
Products
—
0.4%
Chobani
LLC
(b)
7.50%,
04/15/25
.................
145
141,194
4.63%,
11/15/28
.................
181
157,580
Darling
Ingredients,
Inc.,
6.00%,
06/15/30
(b)
.
116
113,390
General
Mills,
Inc.
3.65%,
02/15/24
.................
460
451,916
4.00%,
04/17/25
.................
95
92,778
5.24%,
11/18/25
.................
125
125,311
2.25%,
10/14/31
.................
10
8,042
JBS
USA
LUX
SA,
3.75%,
12/01/31
(b)
.....
87
71,070
Kraft
Heinz
Foods
Co.
3.00%,
06/01/26
.................
65
60,828
3.88%,
05/15/27
.................
78
74,521
4.38%,
06/01/46
.................
341
277,098
4.88%,
10/01/49
.................
507
440,098
5.50%,
06/01/50
.................
266
254,215
Lamb
Weston
Holdings,
Inc.
(b)
4.88%,
05/15/28
.................
65
61,587
4.13%,
01/31/30
.................
33
29,146
McCormick
&
Co.,
Inc.,
0.90%,
02/15/26
...
145
127,009
Nestle
Holdings,
Inc.,
1.15%,
01/14/27
(b)
...
300
261,146
Pilgrim's
Pride
Corp.,
3.50%,
03/01/32
(b)
...
48
37,560
Post
Holdings,
Inc.
(b)
5.50%,
12/15/29
.................
9
8,144
4.50%,
09/15/31
.................
25
21,017
Simmons
Foods,
Inc.,
4.63%,
03/01/29
(b)
..
66
53,728
Tyson
Foods,
Inc.,
3.90%,
09/28/23
......
40
39,637
2,907,015
Gas
Utilities
—
0.1%
Atmos
Energy
Corp.
2.63%,
09/15/29
.................
40
34,698
2.85%,
02/15/52
.................
125
80,887
CenterPoint
Energy
Resources
Corp.,
1.75%,
10/01/30
.....................
55
43,361
ONE
Gas,
Inc.,
1.10%,
03/11/24
........
210
201,362
Piedmont
Natural
Gas
Co.,
Inc.,
3.35%,
06/01/50
.....................
50
33,445
Suburban
Propane
Partners
LP,
5.00%,
06/01/31
(b)
....................
34
28,899
422,652
Health
Care
Equipment
&
Supplies
—
0.2%
Abbott
Laboratories
3.75%,
11/30/26
.................
68
66,200
4.75%,
11/30/36
.................
150
148,476
4.90%,
11/30/46
.................
70
68,245
Avantor
Funding,
Inc.
(b)
4.63%,
07/15/28
.................
127
115,397
3.88%,
11/01/29
.................
6
5,039
Becton
Dickinson
and
Co.
3.73%,
12/15/24
.................
52
50,707
3.70%,
06/06/27
.................
374
353,365
Embecta
Corp.,
6.75%,
02/15/30
(b)
......
35
31,587
Garden
Spinco
Corp.,
8.63%,
07/20/30
(b)
..
61
64,660
GE
HealthCare
Technologies,
Inc.
(b)
5.60%,
11/15/25
.................
405
407,495
5.86%,
03/15/30
.................
200
204,673
6.38%,
11/22/52
.................
100
106,211
Medline
Borrower
LP
(b)
3.88%,
04/01/29
.................
65
52,388
5.25%,
10/01/29
.................
208
165,208
Security
Par
(000)
Par
(000)
Value
Health
Care
Equipment
&
Supplies
(continued)
Teleflex,
Inc.,
4.63%,
11/15/27
.........
USD
28
$
26,687
1,866,338
Health
Care
Providers
&
Services
—
1.1%
Acadia
Healthcare
Co.,
Inc.,
5.50%,
07/01/28
(b)
13
12,331
AdaptHealth
LLC
(b)
6.13%,
08/01/28
.................
20
18,334
5.13%,
03/01/30
.................
10
8,513
Aetna,
Inc.
4.13%,
11/15/42
.................
50
40,821
3.88%,
08/15/47
.................
136
104,430
AHP
Health
Partners,
Inc.,
5.75%,
07/15/29
(b)
85
66,406
Banner
Health,
Series
2020,
3.18%,
01/01/50
25
17,473
Cano
Health
LLC,
6.25%,
10/01/28
(b)
.....
39
23,595
Centene
Corp.
2.45%,
07/15/28
.................
214
180,627
3.00%,
10/15/30
.................
96
78,696
2.50%,
03/01/31
.................
447
349,766
2.63%,
08/01/31
.................
123
96,653
CommonSpirit
Health
3.35%,
10/01/29
.................
200
174,049
2.78%,
10/01/30
.................
40
32,993
3.91%,
10/01/50
.................
205
151,718
Community
Health
Systems,
Inc.
(b)
5.63%,
03/15/27
.................
37
31,726
6.00%,
01/15/29
.................
134
112,088
5.25%,
05/15/30
.................
66
49,767
CVS
Health
Corp.
3.63%,
04/01/27
.................
50
47,447
1.30%,
08/21/27
.................
75
63,498
4.30%,
03/25/28
.................
153
147,988
3.75%,
04/01/30
.................
250
226,666
1.88%,
02/28/31
.................
460
360,825
4.78%,
03/25/38
.................
60
54,656
5.13%,
07/20/45
.................
175
159,496
5.05%,
03/25/48
.................
220
197,460
Elevance
Health,
Inc.
2.38%,
01/15/25
.................
815
773,649
5.35%,
10/15/25
.................
90
90,996
4.10%,
03/01/28
.................
120
114,999
2.25%,
05/15/30
.................
15
12,409
5.50%,
10/15/32
.................
210
214,982
2.75%,
10/15/42
(e)
................
6
43,876
4.65%,
01/15/43
.................
155
140,469
3.70%,
09/15/49
.................
1
759
3.13%,
05/15/50
.................
126
86,364
6.10%,
10/15/52
.................
30
31,982
Encompass
Health
Corp.
4.50%,
02/01/28
.................
7
6,359
4.75%,
02/01/30
.................
50
43,907
4.63%,
04/01/31
.................
75
64,464
HCA,
Inc.
5.38%,
09/01/26
.................
185
182,942
3.13%,
03/15/27
(b)
................
165
150,014
3.50%,
09/01/30
.................
100
86,248
5.50%,
06/15/47
.................
189
167,855
5.25%,
06/15/49
.................
315
268,289
3.50%,
07/15/51
.................
310
198,886
4.63%,
03/15/52
(b)
................
225
175,116
HealthEquity,
Inc.,
4.50%,
10/01/29
(b)
.....
106
92,633
Legacy
LifePoint
Health
LLC
(b)
6.75%,
04/15/25
.................
19
17,881
4.38%,
02/15/27
.................
28
23,683
Memorial
Health
Services,
3.45%,
11/01/49
.
115
83,426
Molina
Healthcare,
Inc.
(b)
4.38%,
06/15/28
.................
14
12,776
BlackRock
Managed
Income
Fund
Schedule
of
Investments
25
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Health
Care
Providers
&
Services
(continued)
3.88%,
11/15/30
.................
USD
77
$
65,253
Mount
Nittany
Medical
Center
Obligated
Group,
Series
2022,
3.80%,
11/15/52
........
60
45,346
Nationwide
Children's
Hospital,
Inc.,
4.56%,
11/01/52
.....................
45
39,923
Northwell
Healthcare,
Inc.,
4.26%,
11/01/47
.
19
15,091
Option
Care
Health,
Inc.,
4.38%,
10/31/29
(b)
.
109
95,343
RWJ
Barnabas
Health,
Inc.,
3.48%,
07/01/49
130
94,330
Surgery
Center
Holdings,
Inc.
(b)
6.75%,
07/01/25
.................
8
7,886
10.00%,
04/15/27
................
57
57,998
Sutter
Health
Series
20A,
2.29%,
08/15/30
........
223
180,347
Series
20A,
3.36%,
08/15/50
........
68
46,088
Tenet
Healthcare
Corp.
(b)
4.63%,
09/01/24
.................
19
18,454
4.88%,
01/01/26
.................
95
89,836
5.13%,
11/01/27
.................
58
53,954
4.63%,
06/15/28
.................
12
10,737
6.13%,
10/01/28
.................
58
51,928
4.25%,
06/01/29
.................
17
14,727
6.13%,
06/15/30
.................
50
47,640
UnitedHealth
Group,
Inc.
5.15%,
10/15/25
.................
145
146,654
3.10%,
03/15/26
.................
10
9,515
2.30%,
05/15/31
.................
120
100,003
3.50%,
08/15/39
.................
105
85,815
2.75%,
05/15/40
.................
105
76,176
3.05%,
05/15/41
.................
125
93,929
4.38%,
03/15/42
.................
200
178,700
4.75%,
07/15/45
.................
105
98,325
4.25%,
06/15/48
.................
20
17,275
3.70%,
08/15/49
.................
50
39,566
2.90%,
05/15/50
.................
75
50,739
3.25%,
05/15/51
.................
45
32,199
5.88%,
02/15/53
.................
150
161,965
3.88%,
08/15/59
.................
26
20,340
6.05%,
02/15/63
.................
95
103,088
8,042,156
Health
Care
Technology
—
0.0%
AthenaHealth
Group,
Inc.,
6.50%,
02/15/30
(b)
276
203,393
Hotels,
Restaurants
&
Leisure
—
0.5%
1011778
BC
ULC
(b)
5.75%,
04/15/25
.................
65
64,493
4.38%,
01/15/28
.................
21
18,803
Booking
Holdings,
Inc.
2.75%,
03/15/23
.................
445
442,922
0.75%,
05/01/25
(e)
................
13
17,315
Boyd
Gaming
Corp.
4.75%,
12/01/27
.................
27
25,147
4.75%,
06/15/31
(b)
................
72
62,640
Boyne
USA,
Inc.,
4.75%,
05/15/29
(b)
.....
100
88,505
Caesars
Entertainment,
Inc.
(b)
6.25%,
07/01/25
.................
162
157,412
8.13%,
07/01/27
.................
71
69,761
4.63%,
10/15/29
.................
261
212,404
Caesars
Resort
Collection
LLC,
5.75%,
07/01/25
(b)
....................
42
41,114
Carnival
Corp.
(b)
10.50%,
02/01/26
................
75
75,357
7.63%,
03/01/26
.................
38
30,118
5.75%,
03/01/27
.................
121
86,399
9.88%,
08/01/27
.................
101
95,445
4.00%,
08/01/28
.................
46
37,509
Security
Par
(000)
Par
(000)
Value
Hotels,
Restaurants
&
Leisure
(continued)
6.00%,
05/01/29
.................
USD
60
$
39,983
Carnival
Holdings
Bermuda
Ltd.,
10.38%,
05/01/28
(b)
....................
181
185,816
CCM
Merger,
Inc.,
6.38%,
05/01/26
(b)
.....
54
50,885
CDI
Escrow
Issuer,
Inc.,
5.75%,
04/01/30
(b)
.
56
50,200
Cedar
Fair
LP
5.50%,
05/01/25
(b)
................
48
47,478
6.50%,
10/01/28
.................
18
17,415
Churchill
Downs,
Inc.
(b)
5.50%,
04/01/27
.................
56
53,063
4.75%,
01/15/28
.................
26
23,267
Expedia
Group,
Inc.,
6.25%,
05/01/25
(b)
...
75
75,636
Fertitta
Entertainment
LLC
(b)
4.63%,
01/15/29
.................
88
74,469
6.75%,
01/15/30
.................
26
20,971
Hilton
Domestic
Operating
Co.,
Inc.
(b)
5.38%,
05/01/25
.................
15
14,847
5.75%,
05/01/28
.................
25
24,250
3.75%,
05/01/29
.................
14
12,110
Hilton
Worldwide
Finance
LLC,
4.88%,
04/01/27
.....................
41
39,025
Life
Time,
Inc.
(b)
5.75%,
01/15/26
.................
66
61,413
8.00%,
04/15/26
.................
63
56,543
Lindblad
Expeditions
LLC,
6.75%,
02/15/27
(b)
99
89,810
MajorDrive
Holdings
IV
LLC,
6.38%,
06/01/29
(b)
70
52,233
MGM
Resorts
International,
5.75%,
06/15/25
29
28,184
Midwest
Gaming
Borrower
LLC,
4.88%,
05/01/29
(b)
....................
59
50,201
NCL
Corp.
Ltd.
(b)
5.88%,
03/15/26
.................
16
12,568
7.75%,
02/15/29
.................
30
22,576
NCL
Finance
Ltd.,
6.13%,
03/15/28
(b)
.....
50
36,911
Premier
Entertainment
Sub
LLC
(b)
5.63%,
09/01/29
.................
44
32,446
5.88%,
09/01/31
.................
24
16,977
Raptor
Acquisition
Corp.,
4.88%,
11/01/26
(b)
.
46
40,866
Royal
Caribbean
Cruises
Ltd.
(b)
11.50%,
06/01/25
................
8
8,580
4.25%,
07/01/26
.................
20
16,167
5.50%,
08/31/26
.................
34
28,602
5.38%,
07/15/27
.................
39
31,578
11.63%,
08/15/27
................
24
24,102
8.25%,
01/15/29
.................
68
68,332
9.25%,
01/15/29
.................
28
28,773
Scientific
Games
International,
Inc.
(b)
8.63%,
07/01/25
.................
32
32,647
7.25%,
11/15/29
.................
27
25,920
Six
Flags
Entertainment
Corp.,
5.50%,
04/15/27
(b)
....................
51
45,933
Station
Casinos
LLC
(b)
4.50%,
02/15/28
.................
26
22,604
4.63%,
12/01/31
.................
79
63,372
Vail
Resorts,
Inc.,
6.25%,
05/15/25
(b)
.....
33
33,000
Viking
Ocean
Cruises
Ship
VII
Ltd.,
5.63%,
02/15/29
(b)
....................
21
16,905
Wyndham
Hotels
&
Resorts,
Inc.,
4.38%,
08/15/28
(b)
....................
49
43,963
Wynn
Las
Vegas
LLC,
5.25%,
05/15/27
(b)
..
77
69,490
Wynn
Resorts
Finance
LLC
(b)
7.75%,
04/15/25
.................
21
20,884
5.13%,
10/01/29
.................
96
82,284
Yum!
Brands,
Inc.
5.38%,
04/01/32
.................
35
32,419
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
26
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Hotels,
Restaurants
&
Leisure
(continued)
5.35%,
11/01/43
.................
USD
14
$
11,515
3,462,557
Household
—
0.1%
Ashton
Woods
USA
LLC
(b)
6.63%,
01/15/28
.................
11
9,678
4.63%,
08/01/29
.................
13
10,410
4.63%,
04/01/30
.................
56
44,946
Brookfield
Residential
Properties,
Inc.
(b)
5.00%,
06/15/29
.................
49
38,287
4.88%,
02/15/30
.................
47
36,644
CD&R
Smokey
Buyer,
Inc.,
6.75%,
07/15/25
(b)
56
48,055
DR
Horton,
Inc.,
1.30%,
10/15/26
.......
55
47,298
Installed
Building
Products,
Inc.,
5.75%,
02/01/28
(b)
....................
21
18,882
K.
Hovnanian
Enterprises,
Inc.,
7.75%,
02/15/26
(b)
....................
46
44,160
KB
Home,
7.25%,
07/15/30
...........
27
26,235
Lennar
Corp.,
4.50%,
04/30/24
........
150
147,995
Mattamy
Group
Corp.
(b)
5.25%,
12/15/27
.................
27
23,945
4.63%,
03/01/30
.................
20
16,209
Meritage
Homes
Corp.,
5.13%,
06/06/27
...
17
15,983
SWF
Escrow
Issuer
Corp.,
6.50%,
10/01/29
(b)
89
51,571
Taylor
Morrison
Communities,
Inc.
(b)
5.88%,
06/15/27
.................
61
58,567
5.13%,
08/01/30
.................
11
9,529
Tempur
Sealy
International,
Inc.
(b)
4.00%,
04/15/29
.................
49
41,168
3.88%,
10/15/31
.................
7
5,495
TRI
Pointe
Homes,
Inc.
5.25%,
06/01/27
.................
19
16,962
5.70%,
06/15/28
.................
14
12,682
724,701
Household
Products
—
0.0%
Central
Garden
&
Pet
Co.
5.13%,
02/01/28
.................
2
1,860
4.13%,
10/15/30
.................
46
37,785
Spectrum
Brands,
Inc.
5.75%,
07/15/25
.................
6
5,932
5.00%,
10/01/29
(b)
................
22
19,039
5.50%,
07/15/30
(b)
................
42
37,067
101,683
Independent
Power
and
Renewable
Electricity
Producers
—
0.2%
AES
Corp.
(The)
1.38%,
01/15/26
.................
390
346,315
2.45%,
01/15/31
.................
230
182,970
Alexander
Funding
Trust,
1.84%,
11/15/23
(b)
200
191,590
Calpine
Corp.,
5.13%,
03/15/28
(b)
.......
98
87,445
Clearway
Energy
Operating
LLC,
4.75%,
03/15/28
(b)
....................
92
84,911
Colbun
SA,
3.15%,
01/19/32
(b)
.........
300
252,244
TransAlta
Corp.,
7.75%,
11/15/29
.......
29
29,617
1,175,092
Insurance
—
0.7%
Acrisure
LLC,
6.00%,
08/01/29
(b)
........
64
52,303
Alliant
Holdings
Intermediate
LLC
(b)
4.25%,
10/15/27
.................
264
236,446
6.75%,
10/15/27
.................
118
106,065
5.88%,
11/01/29
.................
442
363,501
Allianz
SE
(a)(b)(g)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.97%),
3.50%
......................
400
335,071
Security
Par
(000)
Par
(000)
Value
Insurance
(continued)
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.17%),
3.20%
......................
USD
400
$
297,304
Allstate
Corp.
(The),
Series
B,
(LIBOR
USD
3
Month
+
2.94%),
5.75%,
08/15/53
(a)
....
250
235,000
American
International
Group,
Inc.
2.50%,
06/30/25
.................
166
156,272
4.80%,
07/10/45
.................
58
52,060
4.75%,
04/01/48
.................
50
44,586
AmWINS
Group,
Inc.,
4.88%,
06/30/29
(b)
...
80
67,852
Aon
Corp.
2.85%,
05/28/27
.................
80
73,484
3.75%,
05/02/29
.................
100
92,244
2.80%,
05/15/30
.................
125
106,603
2.60%,
12/02/31
.................
315
257,106
Aon
Global
Ltd.,
4.45%,
05/24/43
.......
140
111,663
Berkshire
Hathaway
Finance
Corp.,
3.85%,
03/15/52
.....................
5
3,985
GTCR
AP
Finance,
Inc.,
8.00%,
05/15/27
(b)
.
26
24,905
Hartford
Financial
Services
Group,
Inc.
(The)
4.40%,
03/15/48
.................
20
16,495
2.90%,
09/15/51
.................
15
9,429
HUB
International
Ltd.,
7.00%,
05/01/26
(b)
..
158
154,680
Jones
Deslauriers
Insurance
Management,
Inc.,
10.50%,
12/15/30
(b)
...........
64
63,031
Liberty
Mutual
Group,
Inc.,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.32%),
4.13%,
12/15/51
(a)(b)
.......
400
325,840
Marsh
&
McLennan
Cos.,
Inc.
3.50%,
06/03/24
.................
150
146,761
3.50%,
03/10/25
.................
260
252,365
4.38%,
03/15/29
.................
75
72,441
2.25%,
11/15/30
.................
190
155,548
2.38%,
12/15/31
.................
55
44,415
Met
Tower
Global
Funding
(b)
3.70%,
06/13/25
.................
150
145,442
1.25%,
09/14/26
.................
180
156,662
MetLife,
Inc.
4.72%,
12/15/44
(k)
................
35
32,000
5.00%,
07/15/52
.................
60
57,117
Metropolitan
Life
Global
Funding
I,
2.80%,
03/21/25
(b)
....................
230
220,506
NFP
Corp.
(b)
4.88%,
08/15/28
.................
88
74,914
6.88%,
08/15/28
.................
281
231,623
7.50%,
10/01/30
.................
42
39,496
Principal
Life
Global
Funding
II,
2.25%,
11/21/24
(b)
....................
160
151,108
Progressive
Corp.
(The),
3.00%,
03/15/32
..
65
56,438
Prudential
Financial,
Inc.
4.35%,
02/25/50
.................
95
80,439
3.70%,
03/13/51
.................
25
19,077
Ryan
Specialty
Group
LLC,
4.38%,
02/01/30
(b)
55
47,624
Teachers
Insurance
&
Annuity
Association
of
America
(b)
6.85%,
12/16/39
.................
57
62,738
4.27%,
05/15/47
.................
125
102,208
Travelers
Cos.,
Inc.
(The)
4.30%,
08/25/45
.................
35
29,768
2.55%,
04/27/50
.................
15
9,267
5,373,882
Interactive
Media
&
Services
—
0.1%
Alphabet,
Inc.
1.90%,
08/15/40
.................
280
185,814
2.05%,
08/15/50
.................
50
29,223
BlackRock
Managed
Income
Fund
Schedule
of
Investments
27
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Interactive
Media
&
Services
(continued)
Meta
Platforms,
Inc.
3.50%,
08/15/27
.................
USD
300
$
279,600
3.85%,
08/15/32
.................
290
255,182
Tencent
Holdings
Ltd.,
3.84%,
04/22/51
(b)
..
200
141,750
891,569
Internet
&
Direct
Marketing
Retail
—
0.2%
Amazon.com,
Inc.
4.60%,
12/01/25
.................
655
653,388
3.15%,
08/22/27
.................
405
380,566
3.88%,
08/22/37
.................
19
16,832
4.05%,
08/22/47
.................
30
25,723
3.10%,
05/12/51
.................
144
102,558
3.95%,
04/13/52
.................
105
86,907
2.70%,
06/03/60
.................
110
66,257
3.25%,
05/12/61
.................
245
167,725
4.10%,
04/13/62
.................
110
90,773
ANGI
Group
LLC,
3.88%,
08/15/28
(b)
.....
58
43,041
Go
Daddy
Operating
Co.
LLC,
5.25%,
12/01/27
(b)
....................
63
59,627
Match
Group
Holdings
II
LLC
(b)
4.63%,
06/01/28
.................
38
33,875
5.63%,
02/15/29
.................
27
25,110
3.63%,
10/01/31
.................
23
17,638
1,770,020
IT
Services
—
0.7%
Acuris
Finance
US,
Inc.,
5.00%,
05/01/28
(b)
.
200
159,500
Ahead
DB
Holdings
LLC,
6.63%,
05/01/28
(b)
57
45,814
Arches
Buyer,
Inc.,
4.25%,
06/01/28
(b)
....
35
27,374
Block,
Inc.,
3.50%,
06/01/31
..........
245
195,492
Booz
Allen
Hamilton,
Inc.
(b)
3.88%,
09/01/28
.................
53
46,956
4.00%,
07/01/29
.................
26
22,884
CA
Magnum
Holdings,
5.38%,
10/31/26
(b)
..
201
181,931
Cablevision
Lightpath
LLC,
5.63%,
09/15/28
(b)
200
148,585
Fidelity
National
Information
Services,
Inc.
4.50%,
07/15/25
.................
55
53,931
1.15%,
03/01/26
.................
213
186,778
Fiserv,
Inc.
2.75%,
07/01/24
.................
265
255,996
3.20%,
07/01/26
.................
600
561,515
3.50%,
07/01/29
.................
100
90,092
4.40%,
07/01/49
.................
40
32,452
Gartner,
Inc.
(b)
4.50%,
07/01/28
.................
70
65,263
3.63%,
06/15/29
.................
34
29,877
Global
Payments,
Inc.
3.75%,
06/01/23
.................
35
34,777
2.65%,
02/15/25
.................
145
136,423
1.20%,
03/01/26
.................
1,065
928,315
4.80%,
04/01/26
.................
50
48,649
2.15%,
01/15/27
.................
60
52,341
3.20%,
08/15/29
.................
317
269,466
5.40%,
08/15/32
.................
237
225,707
4.15%,
08/15/49
.................
115
81,824
5.95%,
08/15/52
.................
275
248,644
International
Business
Machines
Corp.
3.30%,
05/15/26
.................
250
237,867
2.20%,
02/09/27
.................
200
179,702
Mastercard,
Inc.
3.35%,
03/26/30
.................
95
87,103
3.65%,
06/01/49
.................
5
4,047
3.85%,
03/26/50
.................
45
37,550
Northwest
Fiber
LLC
(b)
4.75%,
04/30/27
.................
102
89,746
Security
Par
(000)
Par
(000)
Value
IT
Services
(continued)
6.00%,
02/15/28
.................
USD
35
$
27,100
10.75%,
06/01/28
................
22
20,457
PayPal
Holdings,
Inc.
1.65%,
06/01/25
.................
390
362,058
2.85%,
10/01/29
.................
50
43,552
2.30%,
06/01/30
.................
100
82,150
4.40%,
06/01/32
.................
125
117,652
Shift4
Payments,
Inc.,
0.00%,
12/15/25
(e)(f)
..
28
27,737
Tempo
Acquisition
LLC,
5.75%,
06/01/25
(b)
.
7
7,012
Twilio,
Inc.,
3.88%,
03/15/31
..........
106
84,096
5,538,415
Leisure
Products
—
0.0%
Mattel,
Inc.
3.75%,
04/01/29
(b)
................
11
9,662
6.20%,
10/01/40
.................
101
87,179
5.45%,
11/01/41
.................
42
34,188
131,029
Life
Sciences
Tools
&
Services
—
0.1%
Charles
River
Laboratories
International,
Inc.,
3.75%,
03/15/29
(b)
...............
12
10,613
Syneos
Health,
Inc.,
3.63%,
01/15/29
(b)
...
32
25,483
Thermo
Fisher
Scientific,
Inc.
4.80%,
11/21/27
.................
280
280,909
2.00%,
10/15/31
.................
425
344,194
4.95%,
11/21/32
.................
140
141,974
803,173
Machinery
—
0.1%
Amsted
Industries,
Inc.,
5.63%,
07/01/27
(b)
.
22
20,871
ATS
Corp.,
4.13%,
12/15/28
(b)
.........
34
29,334
Chart
Industries,
Inc.
(b)
7.50%,
01/01/30
.................
134
134,709
9.50%,
01/01/31
.................
22
22,563
Daimler
Trucks
Finance
North
America
LLC,
2.00%,
12/14/26
(b)
...............
180
158,597
EnPro
Industries,
Inc.,
5.75%,
10/15/26
...
78
75,660
GrafTech
Finance,
Inc.,
4.63%,
12/15/28
(b)
..
44
36,134
Husky
III
Holding
Ltd.,
13.00%,
(13.00%
Cash
or
13.75%
PIK),
02/15/25
(b)(j)
.........
218
192,930
Mueller
Water
Products,
Inc.,
4.00%,
06/15/29
(b)
39
34,271
OT
Merger
Corp.,
7.88%,
10/15/29
(b)
.....
44
23,320
Otis
Worldwide
Corp.
2.57%,
02/15/30
.................
43
36,128
3.11%,
02/15/40
.................
16
11,669
Stevens
Holding
Co.,
Inc.,
6.13%,
10/01/26
(b)
21
21,052
Terex
Corp.,
5.00%,
05/15/29
(b)
........
81
72,799
Titan
International,
Inc.,
7.00%,
04/30/28
..
22
20,771
TK
Elevator
US
Newco,
Inc.,
5.25%,
07/15/27
(b)
200
177,508
Wabash
National
Corp.,
4.50%,
10/15/28
(b)
.
60
51,095
1,119,411
Marine
—
0.0%
Seaspan
Corp.,
5.50%,
08/01/29
(b)
......
91
68,960
Media
—
1.3%
Altice
Financing
SA,
5.75%,
08/15/29
(b)
....
343
269,791
AMC
Networks,
Inc.
4.75%,
08/01/25
.................
38
28,880
4.25%,
02/15/29
.................
41
25,547
Block
Communications,
Inc.,
4.88%,
03/01/28
(b)
39
34,028
Cable
One,
Inc.
0.00%,
03/15/26
(e)(f)
...............
21
16,496
1.13%,
03/15/28
(e)
................
81
60,183
4.00%,
11/15/30
(b)
................
66
51,791
Charter
Communications
Operating
LLC
4.91%,
07/23/25
.................
926
907,573
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
28
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Media
(continued)
5.05%,
03/30/29
.................
USD
300
$
282,251
4.40%,
04/01/33
.................
81
69,308
6.38%,
10/23/35
.................
99
96,504
6.48%,
10/23/45
.................
661
596,073
5.75%,
04/01/48
.................
75
61,402
5.13%,
07/01/49
.................
365
275,999
4.80%,
03/01/50
.................
160
116,152
3.70%,
04/01/51
.................
200
121,614
3.90%,
06/01/52
.................
50
31,391
5.25%,
04/01/53
.................
71
54,801
6.83%,
10/23/55
.................
12
11,070
5.50%,
04/01/63
.................
286
218,078
Clear
Channel
Outdoor
Holdings,
Inc.
(b)
5.13%,
08/15/27
.................
304
263,416
7.75%,
04/15/28
.................
423
308,794
CMG
Media
Corp.,
8.88%,
12/15/27
(b)
....
83
62,474
Comcast
Corp.
2.35%,
01/15/27
.................
1,510
1,371,982
3.15%,
02/15/28
.................
10
9,232
4.15%,
10/15/28
.................
75
71,921
2.65%,
02/01/30
.................
25
21,628
5.50%,
11/15/32
.................
125
130,336
3.75%,
04/01/40
.................
615
507,206
4.00%,
03/01/48
.................
92
73,767
2.80%,
01/15/51
.................
170
107,288
2.89%,
11/01/51
.................
788
506,089
4.05%,
11/01/52
.................
150
118,714
2.94%,
11/01/56
.................
249
153,988
CSC
Holdings
LLC
5.25%,
06/01/24
.................
97
90,309
4.50%,
11/15/31
(b)
................
246
170,678
Directv
Financing
LLC,
5.88%,
08/15/27
(b)
..
55
49,206
DISH
DBS
Corp.
5.25%,
12/01/26
(b)
................
201
169,309
5.75%,
12/01/28
(b)
................
188
150,048
5.13%,
06/01/29
.................
81
52,254
DISH
Network
Corp.,
11.75%,
11/15/27
(b)
..
5
5,150
GCI
LLC,
4.75%,
10/15/28
(b)
..........
51
42,844
Interpublic
Group
of
Cos.,
Inc.
(The)
3.38%,
03/01/41
.................
75
52,624
5.40%,
10/01/48
.................
15
13,707
Liberty
Broadband
Corp.
(b)(e)
1.25%,
09/30/50
.................
91
87,815
2.75%,
09/30/50
.................
122
118,822
Midcontinent
Communications,
5.38%,
08/15/27
(b)
....................
39
35,310
Omnicom
Group,
Inc.,
3.65%,
11/01/24
...
125
122,552
Outfront
Media
Capital
LLC
(b)
5.00%,
08/15/27
.................
54
48,613
4.25%,
01/15/29
.................
51
42,316
4.63%,
03/15/30
.................
29
23,993
Paramount
Global,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.00%),
6.38%,
03/30/62
(a)
..........
208
170,042
Radiate
Holdco
LLC
(b)
4.50%,
09/15/26
.................
121
88,899
6.50%,
09/15/28
.................
345
144,560
Sinclair
Television
Group,
Inc.,
4.13%,
12/01/30
(b)
....................
114
85,464
Sirius
XM
Radio,
Inc.
(b)
3.13%,
09/01/26
.................
142
126,087
4.00%,
07/15/28
.................
26
22,628
5.50%,
07/01/29
.................
37
33,773
4.13%,
07/01/30
.................
34
28,057
3.88%,
09/01/31
.................
18
14,043
Security
Par
(000)
Par
(000)
Value
Media
(continued)
Sky
Ltd.,
3.75%,
09/16/24
(b)
...........
USD
200
$
195,224
Stagwell
Global
LLC,
5.63%,
08/15/29
(b)
...
38
31,334
Telenet
Finance
Luxembourg
Notes
SARL,
5.50%,
03/01/28
(b)
...............
200
180,000
Time
Warner
Cable
LLC
5.88%,
11/15/40
.................
70
60,986
4.50%,
09/15/42
.................
37
27,088
Univision
Communications,
Inc.
(b)
5.13%,
02/15/25
.................
33
31,429
7.38%,
06/30/30
.................
33
31,538
9,582,469
Metals
&
Mining
—
0.3%
Arconic
Corp.
(b)
6.00%,
05/15/25
.................
61
59,969
6.13%,
02/15/28
.................
40
37,530
ATI,
Inc.
4.88%,
10/01/29
.................
38
33,582
5.13%,
10/01/31
.................
78
68,687
BHP
Billiton
Finance
USA
Ltd.,
5.00%,
09/30/43
30
29,064
Big
River
Steel
LLC,
6.63%,
01/31/29
(b)
...
234
222,938
Carpenter
Technology
Corp.,
7.63%,
03/15/30
64
64,153
Commercial
Metals
Co.,
4.38%,
03/15/32
..
30
26,098
Constellium
SE
(b)
5.88%,
02/15/26
.................
250
240,818
3.75%,
04/15/29
.................
250
203,109
ERO
Copper
Corp.,
6.50%,
02/15/30
(b)
....
45
36,253
Kaiser
Aluminum
Corp.
(b)
4.63%,
03/01/28
.................
64
55,848
4.50%,
06/01/31
.................
81
65,104
New
Gold,
Inc.,
7.50%,
07/15/27
(b)
......
129
113,204
Newmont
Corp.
2.80%,
10/01/29
.................
111
94,365
2.25%,
10/01/30
.................
50
40,187
4.88%,
03/15/42
.................
25
22,708
Novelis
Corp.
(b)
4.75%,
01/30/30
.................
228
202,137
3.88%,
08/15/31
.................
237
193,485
Nucor
Corp.
3.95%,
05/23/25
.................
240
234,809
2.00%,
06/01/25
.................
125
116,330
4.30%,
05/23/27
.................
140
136,573
Steel
Dynamics,
Inc.
2.40%,
06/15/25
.................
20
18,753
1.65%,
10/15/27
.................
210
175,949
3.25%,
10/15/50
.................
100
64,833
2,556,486
Mortgage
Real
Estate
Investment
Trusts
(REITs)
—
0.0%
Starwood
Property
Trust,
Inc.
(b)
5.50%,
11/01/23
.................
80
79,304
4.38%,
01/15/27
.................
30
26,252
105,556
Multiline
Retail
—
0.0%
NMG
Holding
Co.,
Inc.,
7.13%,
04/01/26
(b)
..
83
77,793
Multi-Utilities
—
0.3%
Berkshire
Hathaway
Energy
Co.,
4.60%,
05/01/53
(b)
....................
100
86,831
CMS
Energy
Corp.
3.00%,
05/15/26
.................
125
116,304
3.45%,
08/15/27
.................
100
92,712
Consumers
Energy
Co.
3.60%,
08/15/32
.................
155
141,200
3.10%,
08/15/50
.................
80
55,529
2.50%,
05/01/60
.................
115
64,367
BlackRock
Managed
Income
Fund
Schedule
of
Investments
29
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Multi-Utilities
(continued)
Dominion
Energy,
Inc.
3.07%,
08/15/24
(k)
................
USD
35
$
33,725
3.90%,
10/01/25
.................
120
116,864
Series
A,
1.45%,
04/15/26
..........
150
133,539
Series
C,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.20%),
4.35%
(a)(g)
....................
365
306,576
Series
C,
3.38%,
04/01/30
..........
100
88,122
NiSource,
Inc.
3.60%,
05/01/30
.................
30
26,713
4.80%,
02/15/44
.................
107
94,022
5.65%,
02/01/45
.................
50
48,785
Puget
Sound
Energy,
Inc.,
4.22%,
06/15/48
.
25
20,252
San
Diego
Gas
&
Electric
Co.,
2.95%,
08/15/51
75
50,653
Sempra
Energy
3.30%,
04/01/25
.................
75
71,921
3.25%,
06/15/27
.................
50
46,249
3.40%,
02/01/28
.................
165
153,136
3.70%,
04/01/29
.................
90
82,033
3.80%,
02/01/38
.................
150
123,007
1,952,540
Oil,
Gas
&
Consumable
Fuels
—
3.0%
Aethon
United
BR
LP,
8.25%,
02/15/26
(b)
...
100
99,195
Antero
Midstream
Partners
LP
(b)
5.75%,
03/01/27
.................
69
65,230
5.75%,
01/15/28
.................
19
17,624
Apache
Corp.
4.25%,
01/15/30
.................
62
54,864
5.35%,
07/01/49
.................
21
16,966
Ascent
Resources
Utica
Holdings
LLC
(b)
9.00%,
11/01/27
.................
185
227,550
5.88%,
06/30/29
.................
67
59,739
BP
Capital
Markets
America,
Inc.
3.54%,
04/06/27
.................
175
166,312
3.59%,
04/14/27
.................
35
33,338
3.94%,
09/21/28
.................
50
47,745
1.75%,
08/10/30
.................
110
87,691
3.06%,
06/17/41
.................
430
318,299
3.38%,
02/08/61
.................
25
16,991
BP
Capital
Markets
plc,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.40%),
4.88%
(a)(g)
..............
300
262,500
Buckeye
Partners
LP
5.85%,
11/15/43
.................
34
25,332
5.60%,
10/15/44
.................
18
13,144
Callon
Petroleum
Co.
6.38%,
07/01/26
.................
48
44,738
8.00%,
08/01/28
(b)
................
23
21,926
7.50%,
06/15/30
(b)
................
181
165,615
Cameron
LNG
LLC,
3.30%,
01/15/35
(b)
....
190
152,972
Cenovus
Energy,
Inc.,
3.75%,
02/15/52
...
115
80,753
Cheniere
Corpus
Christi
Holdings
LLC
5.88%,
03/31/25
.................
640
643,888
5.13%,
06/30/27
.................
150
148,189
Cheniere
Energy
Partners
LP
4.50%,
10/01/29
.................
2
1,798
4.00%,
03/01/31
.................
123
104,717
3.25%,
01/31/32
.................
284
225,697
Chesapeake
Energy
Corp.,
6.75%,
04/15/29
(b)
43
41,865
CITGO
Petroleum
Corp.
(b)
7.00%,
06/15/25
.................
24
23,409
6.38%,
06/15/26
.................
86
82,893
Civitas
Resources,
Inc.,
5.00%,
10/15/26
(b)
.
34
31,085
CNX
Midstream
Partners
LP,
4.75%,
04/15/30
(b)
37
30,365
Security
Par
(000)
Par
(000)
Value
Oil,
Gas
&
Consumable
Fuels
(continued)
CNX
Resources
Corp.
2.25%,
05/01/26
(e)
................
USD
29
$
42,514
7.38%,
01/15/31
(b)
................
34
32,589
Colgate
Energy
Partners
III
LLC
(b)
7.75%,
02/15/26
.................
117
113,495
5.88%,
07/01/29
.................
63
54,108
Comstock
Resources,
Inc.
(b)
6.75%,
03/01/29
.................
57
51,443
5.88%,
01/15/30
.................
135
116,059
ConocoPhillips
Co.,
3.80%,
03/15/52
.....
125
98,268
CQP
Holdco
LP,
5.50%,
06/15/31
(b)
......
400
349,404
Crescent
Energy
Finance
LLC,
7.25%,
05/01/26
(b)
....................
100
94,234
Crestwood
Midstream
Partners
LP
(b)
5.63%,
05/01/27
.................
26
24,180
6.00%,
02/01/29
.................
18
16,515
CrownRock
LP
(b)
5.63%,
10/15/25
.................
146
140,890
5.00%,
05/01/29
.................
17
15,275
DCP
Midstream
Operating
LP
5.63%,
07/15/27
.................
18
17,855
3.25%,
02/15/32
.................
166
137,304
6.45%,
11/03/36
(b)
................
39
38,217
6.75%,
09/15/37
(b)
................
45
45,359
Devon
Energy
Corp.
5.25%,
10/15/27
.................
300
296,859
4.50%,
01/15/30
.................
200
186,199
4.75%,
05/15/42
.................
93
78,723
Diamondback
Energy,
Inc.
3.50%,
12/01/29
.................
200
175,465
3.13%,
03/24/31
.................
50
41,403
6.25%,
03/15/33
.................
420
426,286
4.25%,
03/15/52
.................
194
141,944
6.25%,
03/15/53
.................
80
77,308
DT
Midstream,
Inc.
(b)
4.13%,
06/15/29
.................
57
48,969
4.38%,
06/15/31
.................
47
39,429
Earthstone
Energy
Holdings
LLC,
8.00%,
04/15/27
(b)
....................
68
65,052
Eastern
Gas
Transmission
&
Storage,
Inc.,
4.60%,
12/15/44
................
50
41,051
El
Paso
Natural
Gas
Co.
LLC,
3.50%,
02/15/32
(b)
....................
49
41,082
Enbridge
Energy
Partners
LP,
7.38%,
10/15/45
50
55,849
Enbridge,
Inc.
4.00%,
10/01/23
.................
250
247,986
0.55%,
10/04/23
.................
105
101,513
2.50%,
01/15/25
.................
305
288,546
2.50%,
02/14/25
.................
65
61,320
3.70%,
07/15/27
.................
50
46,804
Series
16-A,
(LIBOR
USD
3
Month
+
3.89%),
6.00%,
01/15/77
(a)
........
775
711,635
Energy
Transfer
LP
3.60%,
02/01/23
.................
30
29,942
5.88%,
01/15/24
.................
585
586,471
4.90%,
02/01/24
.................
330
328,116
4.25%,
04/01/24
.................
600
589,200
Series
H,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.69%),
6.50%
(a)(g)
....................
192
165,120
4.00%,
10/01/27
.................
90
83,995
5.55%,
02/15/28
.................
205
203,346
5.25%,
04/15/29
.................
50
48,348
3.75%,
05/15/30
.................
50
44,084
5.75%,
02/15/33
.................
60
58,702
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
30
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Oil,
Gas
&
Consumable
Fuels
(continued)
6.50%,
02/01/42
.................
USD
10
$
9,884
5.95%,
10/01/43
.................
10
9,188
5.35%,
05/15/45
.................
50
42,402
6.13%,
12/15/45
.................
50
46,262
5.30%,
04/15/47
.................
224
186,365
5.40%,
10/01/47
.................
200
169,411
6.25%,
04/15/49
.................
545
506,782
5.00%,
05/15/50
.................
160
127,829
EnLink
Midstream
LLC
(b)
5.63%,
01/15/28
.................
117
111,442
6.50%,
09/01/30
.................
31
30,681
EnLink
Midstream
Partners
LP
4.15%,
06/01/25
.................
16
15,121
4.85%,
07/15/26
.................
26
24,441
5.60%,
04/01/44
.................
20
16,495
5.05%,
04/01/45
.................
4
3,031
5.45%,
06/01/47
.................
27
21,688
Enterprise
Products
Operating
LLC
3.90%,
02/15/24
.................
270
265,852
6.13%,
10/15/39
.................
175
179,169
6.45%,
09/01/40
.................
106
110,547
5.95%,
02/01/41
.................
65
65,119
4.45%,
02/15/43
.................
50
42,103
4.90%,
05/15/46
.................
40
34,782
4.25%,
02/15/48
.................
145
116,350
4.80%,
02/01/49
.................
25
21,303
4.20%,
01/31/50
.................
60
47,176
3.70%,
01/31/51
.................
75
54,067
3.30%,
02/15/53
.................
70
46,563
EOG
Resources,
Inc.,
4.95%,
04/15/50
...
20
19,029
EQM
Midstream
Partners
LP
6.00%,
07/01/25
(b)
................
22
21,230
4.13%,
12/01/26
.................
40
35,578
6.50%,
07/01/27
(b)
................
29
27,717
4.50%,
01/15/29
(b)
................
17
14,279
7.50%,
06/01/30
(b)
................
35
33,723
4.75%,
01/15/31
(b)
................
11
8,992
EQT
Corp.
1.75%,
05/01/26
(e)
................
14
32,508
5.70%,
04/01/28
.................
75
74,597
Exxon
Mobil
Corp.
2.99%,
03/19/25
.................
55
52,976
3.04%,
03/01/26
.................
10
9,538
Genesis
Energy
LP
6.50%,
10/01/25
.................
23
21,981
7.75%,
02/01/28
.................
29
26,694
Gulfport
Energy
Corp.,
8.00%,
05/17/26
(b)
..
17
16,087
Harvest
Midstream
I
LP,
7.50%,
09/01/28
(b)
.
20
19,089
Hess
Corp.
4.30%,
04/01/27
.................
645
616,010
5.60%,
02/15/41
.................
202
190,944
5.80%,
04/01/47
.................
187
178,522
Hess
Midstream
Operations
LP,
4.25%,
02/15/30
(b)
....................
28
23,938
HF
Sinclair
Corp.,
2.63%,
10/01/23
......
155
151,775
Hilcorp
Energy
I
LP
(b)
6.25%,
11/01/28
.................
71
64,255
5.75%,
02/01/29
.................
57
50,734
6.00%,
04/15/30
.................
6
5,336
6.00%,
02/01/31
.................
6
5,175
6.25%,
04/15/32
.................
3
2,589
ITT
Holdings
LLC,
6.50%,
08/01/29
(b)
.....
91
76,635
Kinder
Morgan
Energy
Partners
LP
4.25%,
09/01/24
.................
460
452,142
6.95%,
01/15/38
.................
145
153,412
Security
Par
(000)
Par
(000)
Value
Oil,
Gas
&
Consumable
Fuels
(continued)
6.38%,
03/01/41
.................
USD
97
$
95,947
5.50%,
03/01/44
.................
70
63,298
Kinder
Morgan,
Inc.
3.15%,
01/15/23
.................
315
314,727
4.30%,
06/01/25
.................
215
210,847
4.80%,
02/01/33
.................
31
28,741
5.55%,
06/01/45
.................
204
186,010
5.20%,
03/01/48
.................
62
53,496
5.45%,
08/01/52
.................
105
94,246
Kinetik
Holdings
LP,
5.88%,
06/15/30
(b)
....
55
51,578
Magnolia
Oil
&
Gas
Operating
LLC,
6.00%,
08/01/26
(b)
....................
13
12,480
Marathon
Oil
Corp.
4.40%,
07/15/27
.................
291
277,897
6.60%,
10/01/37
.................
5
4,969
5.20%,
06/01/45
.................
10
8,558
Marathon
Petroleum
Corp.
4.70%,
05/01/25
.................
35
34,465
4.75%,
09/15/44
.................
54
45,090
MPLX
LP
1.75%,
03/01/26
.................
640
570,477
4.13%,
03/01/27
.................
190
179,457
4.00%,
03/15/28
.................
70
65,108
4.70%,
04/15/48
.................
20
15,783
5.50%,
02/15/49
.................
216
189,840
4.95%,
03/14/52
.................
350
285,895
Murphy
Oil
Corp.,
6.13%,
12/01/42
(k)
.....
5
3,900
New
Fortress
Energy,
Inc.
(b)
6.75%,
09/15/25
.................
141
133,358
6.50%,
09/30/26
.................
210
195,027
NGL
Energy
Operating
LLC,
7.50%,
02/01/26
(b)
90
80,135
NGPL
PipeCo
LLC,
7.77%,
12/15/37
(b)
....
96
99,890
Northern
Oil
&
Gas,
Inc.,
8.13%,
03/01/28
(b)
.
173
166,114
NuStar
Logistics
LP
5.75%,
10/01/25
.................
82
78,829
6.38%,
10/01/30
.................
6
5,548
Occidental
Petroleum
Corp.
6.95%,
07/01/24
.................
9
9,171
8.88%,
07/15/30
.................
35
39,515
6.63%,
09/01/30
.................
50
51,669
7.50%,
05/01/31
.................
58
61,971
6.45%,
09/15/36
.................
26
26,520
6.20%,
03/15/40
.................
150
146,790
6.60%,
03/15/46
.................
24
24,696
ONEOK,
Inc.,
4.95%,
07/13/47
.........
63
50,742
Ovintiv,
Inc.,
6.63%,
08/15/37
.........
86
86,494
PDC
Energy,
Inc.,
6.13%,
09/15/24
......
17
16,903
Permian
Resources
Operating
LLC
6.88%,
04/01/27
(b)
................
10
9,422
3.25%,
04/01/28
(e)
................
32
54,032
Phillips
66
0.90%,
02/15/24
.................
195
186,365
3.30%,
03/15/52
.................
170
117,306
Pioneer
Natural
Resources
Co.
0.55%,
05/15/23
.................
170
167,200
0.25%,
05/15/25
(e)
................
16
37,312
1.13%,
01/15/26
.................
315
280,762
1.90%,
08/15/30
.................
65
50,903
2.15%,
01/15/31
.................
190
150,176
Plains
All
American
Pipeline
LP
3.55%,
12/15/29
.................
20
17,342
6.65%,
01/15/37
.................
57
56,079
5.15%,
06/01/42
.................
99
80,241
4.30%,
01/31/43
.................
120
87,000
Range
Resources
Corp.,
4.75%,
02/15/30
(b)
.
4
3,524
BlackRock
Managed
Income
Fund
Schedule
of
Investments
31
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Oil,
Gas
&
Consumable
Fuels
(continued)
Rockcliff
Energy
II
LLC,
5.50%,
10/15/29
(b)
.
USD
96
$
87,835
Rockies
Express
Pipeline
LLC,
4.95%,
07/15/29
(b)
....................
18
16,152
Sabine
Pass
Liquefaction
LLC
5.75%,
05/15/24
.................
255
255,062
5.63%,
03/01/25
.................
260
260,367
4.20%,
03/15/28
.................
95
89,297
5.90%,
09/15/37
(b)
................
25
25,017
SM
Energy
Co.
5.63%,
06/01/25
.................
2
1,920
6.63%,
01/15/27
.................
27
26,007
6.50%,
07/15/28
.................
12
11,505
Southwestern
Energy
Co.
5.70%,
01/23/25
(k)
................
4
3,930
5.38%,
02/01/29
.................
55
50,988
Spectra
Energy
Partners
LP
3.50%,
03/15/25
.................
400
384,472
3.38%,
10/15/26
.................
145
134,925
5.95%,
09/25/43
.................
50
48,571
Sunoco
LP,
5.88%,
03/15/28
..........
22
20,835
Tallgrass
Energy
Partners
LP
(b)
6.00%,
03/01/27
.................
19
17,739
5.50%,
01/15/28
.................
8
7,095
6.00%,
12/31/30
.................
13
11,241
6.00%,
09/01/31
.................
32
27,513
Tap
Rock
Resources
LLC,
7.00%,
10/01/26
(b)
178
165,558
Targa
Resources
Corp.,
6.25%,
07/01/52
..
76
71,725
Targa
Resources
Partners
LP,
4.00%,
01/15/32
43
36,180
Tennessee
Gas
Pipeline
Co.
LLC,
7.00%,
10/15/28
.....................
9
9,613
TotalEnergies
Capital
International
SA,
3.13%,
05/29/50
.....................
28
19,774
TransCanada
PipeLines
Ltd.
4.63%,
03/01/34
.................
15
13,669
7.63%,
01/15/39
.................
20
22,866
Transcontinental
Gas
Pipe
Line
Co.
LLC,
4.00%,
03/15/28
................
140
131,355
Valero
Energy
Corp.,
4.00%,
06/01/52
....
5
3,756
Venture
Global
Calcasieu
Pass
LLC
(b)
3.88%,
08/15/29
.................
195
170,625
4.13%,
08/15/31
.................
92
78,384
3.88%,
11/01/33
.................
310
253,239
Vermilion
Energy,
Inc.,
6.88%,
05/01/30
(b)
..
49
44,717
Western
Midstream
Operating
LP
4.75%,
08/15/28
.................
8
7,306
5.45%,
04/01/44
.................
145
120,454
5.30%,
03/01/48
.................
14
11,511
5.50%,
08/15/48
.................
29
24,069
5.50%,
02/01/50
(k)
................
28
23,067
Williams
Cos.,
Inc.
(The)
4.30%,
03/04/24
.................
125
123,488
4.55%,
06/24/24
.................
150
148,359
3.90%,
01/15/25
.................
100
97,383
3.75%,
06/15/27
.................
195
183,544
23,305,382
Paper
&
Forest
Products
—
0.1%
Georgia-Pacific
LLC
(b)
3.73%,
07/15/23
.................
25
24,770
1.75%,
09/30/25
.................
310
283,150
0.95%,
05/15/26
.................
225
197,061
Suzano
Austria
GmbH,
2.50%,
09/15/28
...
115
96,456
601,437
Security
Par
(000)
Par
(000)
Value
Personal
Products
—
0.0%
Coty,
Inc.,
4.75%,
01/15/29
(b)
..........
USD
7
$
6,335
GSK
Consumer
Healthcare
Capital
UK
plc,
3.13%,
03/24/25
................
250
237,749
244,084
Pharmaceuticals
—
0.7%
Astrazeneca
Finance
LLC,
2.25%,
05/28/31
.
45
37,431
AstraZeneca
plc,
6.45%,
09/15/37
.......
10
11,273
Bayer
US
Finance
II
LLC
(b)
4.25%,
12/15/25
.................
400
387,570
4.38%,
12/15/28
.................
360
337,938
Bayer
US
Finance
LLC,
3.38%,
10/08/24
(b)
.
400
386,524
Bristol-Myers
Squibb
Co.
2.90%,
07/26/24
.................
506
491,192
3.40%,
07/26/29
.................
10
9,254
2.95%,
03/15/32
.................
12
10,440
3.70%,
03/15/52
.................
160
124,457
Catalent
Pharma
Solutions,
Inc.
(b)
5.00%,
07/15/27
.................
15
13,958
3.13%,
02/15/29
.................
28
22,294
3.50%,
04/01/30
.................
37
29,215
Elanco
Animal
Health,
Inc.,
6.40%,
08/28/28
(k)
42
39,963
Johnson
&
Johnson,
3.55%,
03/01/36
....
25
22,151
Merck
&
Co.,
Inc.
3.40%,
03/07/29
.................
50
46,580
2.15%,
12/10/31
.................
95
77,576
6.50%,
12/01/33
(k)
................
195
219,288
2.75%,
12/10/51
.................
235
157,013
Organon
&
Co.,
4.13%,
04/30/28
(b)
......
204
180,622
Pfizer,
Inc.,
3.45%,
03/15/29
..........
160
150,882
Pharmacia
LLC,
6.60%,
12/01/28
(k)
......
200
219,550
Roche
Holdings,
Inc.
(b)
2.31%,
03/10/27
.................
200
182,198
2.61%,
12/13/51
.................
270
174,848
Shire
Acquisitions
Investments
Ireland
DAC
2.88%,
09/23/23
.................
535
525,765
3.20%,
09/23/26
.................
400
375,145
Takeda
Pharmaceutical
Co.
Ltd.
4.40%,
11/26/23
.................
225
223,193
3.18%,
07/09/50
.................
500
337,220
Teva
Pharmaceutical
Finance
Netherlands
III
BV
6.00%,
04/15/24
.................
405
397,102
3.15%,
10/01/26
.................
40
34,705
Wyeth
LLC,
5.95%,
04/01/37
..........
70
75,277
5,300,624
Professional
Services
—
0.0%
(b)
AMN
Healthcare,
Inc.,
4.00%,
04/15/29
...
29
24,816
CoreLogic,
Inc.,
4.50%,
05/01/28
.......
76
58,307
Dun
&
Bradstreet
Corp.
(The),
5.00%,
12/15/29
102
87,288
Science
Applications
International
Corp.,
4.88%,
04/01/28
................
28
25,900
196,311
Real
Estate
Management
&
Development
—
0.0%
(b)
Cushman
&
Wakefield
US
Borrower
LLC,
6.75%,
05/15/28
................
46
43,901
Howard
Hughes
Corp.
(The)
5.38%,
08/01/28
.................
2
1,801
4.13%,
02/01/29
.................
55
46,063
Realogy
Group
LLC
5.75%,
01/15/29
.................
132
99,843
5.25%,
04/15/30
.................
21
15,320
206,928
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
32
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Road
&
Rail
—
0.8%
Avis
Budget
Car
Rental
LLC,
5.38%,
03/01/29
(b)
USD
12
$
10,265
Burlington
Northern
Santa
Fe
LLC
5.75%,
05/01/40
.................
5
5,231
5.40%,
06/01/41
.................
100
100,770
5.15%,
09/01/43
.................
125
121,966
4.90%,
04/01/44
.................
90
84,953
3.55%,
02/15/50
.................
75
57,424
3.30%,
09/15/51
.................
75
54,586
2.88%,
06/15/52
.................
90
60,001
Canadian
National
Railway
Co.,
3.85%,
08/05/32
.....................
180
167,242
Canadian
Pacific
Railway
Co.
1.75%,
12/02/26
.................
45
40,101
2.05%,
03/05/30
.................
30
24,585
3.00%,
12/02/41
.................
110
82,929
3.10%,
12/02/51
.................
170
114,290
CSX
Corp.
3.25%,
06/01/27
.................
60
56,055
4.10%,
11/15/32
.................
45
42,187
4.30%,
03/01/48
.................
80
67,907
2.50%,
05/15/51
.................
75
45,548
Hertz
Corp.
(The)
(b)
4.63%,
12/01/26
.................
25
20,938
5.00%,
12/01/29
.................
40
30,344
NESCO
Holdings
II,
Inc.,
5.50%,
04/15/29
(b)
.
59
51,625
Norfolk
Southern
Corp.
2.90%,
06/15/26
.................
175
163,696
3.80%,
08/01/28
.................
160
152,093
4.15%,
02/28/48
.................
30
24,632
3.70%,
03/15/53
.................
175
131,389
3.16%,
05/15/55
.................
80
52,943
Penske
Truck
Leasing
Co.
LP
(b)
3.90%,
02/01/24
.................
280
274,088
4.00%,
07/15/25
.................
745
712,786
1.20%,
11/15/25
.................
150
131,983
4.20%,
04/01/27
.................
100
93,826
5.88%,
11/15/27
.................
305
307,140
Ryder
System,
Inc.
3.88%,
12/01/23
.................
250
246,887
3.65%,
03/18/24
.................
270
264,464
2.85%,
03/01/27
.................
135
121,865
SMBC
Aviation
Capital
Finance
DAC,
1.90%,
10/15/26
(b)
....................
200
170,239
Uber
Technologies,
Inc.
7.50%,
05/15/25
(b)
................
91
90,934
0.00%,
12/15/25
(e)(f)
...............
48
40,428
8.00%,
11/01/26
(b)
................
64
64,220
7.50%,
09/15/27
(b)
................
19
19,013
6.25%,
01/15/28
(b)
................
14
13,440
4.50%,
08/15/29
(b)
................
199
173,380
Union
Pacific
Corp.
3.65%,
02/15/24
.................
440
433,205
3.00%,
04/15/27
.................
450
418,939
3.55%,
08/15/39
.................
40
33,025
4.30%,
03/01/49
.................
10
8,526
3.80%,
10/01/51
.................
80
63,640
3.50%,
02/14/53
.................
35
26,280
3.95%,
08/15/59
.................
25
19,484
3.84%,
03/20/60
(b)
................
100
77,248
3.84%,
03/20/60
.................
118
91,153
3.80%,
04/06/71
.................
100
73,649
Williams
Scotsman
International,
Inc.,
6.13%,
06/15/25
(b)
....................
47
46,530
XPO
Escrow
Sub
LLC,
7.50%,
11/15/27
(b)
..
37
37,441
5,817,513
Security
Par
(000)
Par
(000)
Value
Semiconductors
&
Semiconductor
Equipment
—
0.9%
Analog
Devices,
Inc.,
2.80%,
10/01/41
....
USD
120
$
87,825
Applied
Materials,
Inc.,
3.30%,
04/01/27
...
280
265,871
Broadcom
Corp.,
3.88%,
01/15/27
......
775
733,065
Broadcom,
Inc.
3.15%,
11/15/25
.................
280
265,225
4.15%,
11/15/30
.................
104
93,200
2.45%,
02/15/31
(b)
................
395
311,110
4.15%,
04/15/32
(b)
................
175
153,625
4.30%,
11/15/32
.................
29
25,559
2.60%,
02/15/33
(b)
................
153
114,841
3.42%,
04/15/33
(b)
................
109
87,386
3.47%,
04/15/34
(b)
................
160
127,637
3.14%,
11/15/35
(b)
................
190
139,701
3.19%,
11/15/36
(b)
................
29
20,830
4.93%,
05/15/37
(b)
................
790
689,169
Entegris
Escrow
Corp.,
4.75%,
04/15/29
(b)
..
323
294,556
Entegris,
Inc.
(b)
4.38%,
04/15/28
.................
10
8,842
3.63%,
05/01/29
.................
59
48,041
Intel
Corp.
3.75%,
08/05/27
.................
200
192,136
2.45%,
11/15/29
.................
39
33,497
2.80%,
08/12/41
.................
35
24,439
KLA
Corp.
4.65%,
11/01/24
.................
42
41,873
4.10%,
03/15/29
.................
185
178,497
4.65%,
07/15/32
.................
15
14,692
3.30%,
03/01/50
.................
288
208,553
Lam
Research
Corp.
3.80%,
03/15/25
.................
200
195,719
3.75%,
03/15/26
.................
260
252,075
1.90%,
06/15/30
.................
15
12,222
4.88%,
03/15/49
.................
27
25,562
2.88%,
06/15/50
.................
62
41,429
Marvell
Technology,
Inc.,
2.95%,
04/15/31
..
53
42,630
Microchip
Technology,
Inc.
(e)
1.63%,
02/15/25
.................
7
21,807
1.63%,
02/15/27
.................
15
29,775
NVIDIA
Corp.,
3.50%,
04/01/40
........
202
163,581
NXP
BV
4.88%,
03/01/24
.................
435
431,139
2.70%,
05/01/25
.................
200
187,850
5.35%,
03/01/26
.................
150
149,531
3.88%,
06/18/26
.................
250
238,359
3.15%,
05/01/27
.................
100
90,863
5.55%,
12/01/28
.................
120
120,488
4.30%,
06/18/29
.................
76
70,419
2.50%,
05/11/31
.................
345
271,644
2.65%,
02/15/32
.................
170
132,260
3.25%,
05/11/41
.................
90
62,286
Qorvo,
Inc.,
4.38%,
10/15/29
..........
92
81,350
QUALCOMM,
Inc.
4.80%,
05/20/45
.................
50
46,857
4.30%,
05/20/47
.................
129
110,923
Synaptics,
Inc.,
4.00%,
06/15/29
(b)
.......
112
94,365
Texas
Instruments,
Inc.
4.60%,
02/15/28
.................
65
64,911
2.70%,
09/15/51
.................
80
54,978
7,153,193
Software
—
1.1%
ACI
Worldwide,
Inc.,
5.75%,
08/15/26
(b)
...
93
90,094
Autodesk,
Inc.
3.50%,
06/15/27
.................
350
327,869
2.40%,
12/15/31
.................
190
151,776
Boxer
Parent
Co.,
Inc.,
9.13%,
03/01/26
(b)
..
191
180,192
BlackRock
Managed
Income
Fund
Schedule
of
Investments
33
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Software
(continued)
Camelot
Finance
SA,
4.50%,
11/01/26
(b)
...
USD
77
$
72,168
Central
Parent,
Inc.,
7.25%,
06/15/29
(b)
....
98
95,856
Clarivate
Science
Holdings
Corp.
(b)
3.88%,
07/01/28
.................
204
176,745
4.88%,
07/01/29
.................
106
90,137
Cloud
Software
Group
Holdings,
Inc.,
6.50%,
03/31/29
(b)
....................
418
352,074
Condor
Merger
Sub,
Inc.,
7.38%,
02/15/30
(b)
134
107,740
Consensus
Cloud
Solutions,
Inc.
(b)
6.00%,
10/15/26
.................
27
25,252
6.50%,
10/15/28
.................
24
22,074
Elastic
NV,
4.13%,
07/15/29
(b)
.........
64
51,693
Fair
Isaac
Corp.,
4.00%,
06/15/28
(b)
......
56
50,820
Gen
Digital,
Inc.,
7.13%,
09/30/30
(b)
......
60
58,950
Microsoft
Corp.
3.45%,
08/08/36
.................
104
92,007
4.25%,
02/06/47
.................
50
46,878
2.53%,
06/01/50
.................
201
132,268
2.92%,
03/17/52
.................
561
396,908
MicroStrategy,
Inc.,
6.13%,
06/15/28
(b)
....
91
65,070
NCR
Corp.
(b)
5.00%,
10/01/28
.................
35
29,839
5.13%,
04/15/29
.................
22
18,399
Open
Text
Corp.,
6.90%,
12/01/27
(b)
.....
139
139,000
Oracle
Corp.
5.80%,
11/10/25
.................
110
112,462
1.65%,
03/25/26
.................
920
823,604
2.65%,
07/15/26
.................
65
59,743
3.25%,
11/15/27
.................
525
482,194
6.15%,
11/09/29
.................
35
36,329
2.95%,
04/01/30
.................
135
115,101
2.88%,
03/25/31
.................
180
149,243
6.25%,
11/09/32
.................
102
106,755
3.90%,
05/15/35
.................
140
117,077
3.85%,
07/15/36
.................
5
4,089
3.60%,
04/01/40
.................
165
121,046
5.38%,
07/15/40
.................
150
137,647
3.65%,
03/25/41
.................
136
100,394
4.13%,
05/15/45
.................
100
75,417
4.00%,
07/15/46
.................
164
119,513
4.00%,
11/15/47
.................
285
208,305
3.60%,
04/01/50
.................
485
326,534
3.95%,
03/25/51
.................
471
335,559
6.90%,
11/09/52
.................
205
219,314
4.38%,
05/15/55
.................
140
105,805
Roper
Technologies,
Inc.
3.65%,
09/15/23
.................
215
212,706
1.00%,
09/15/25
.................
25
22,399
3.80%,
12/15/26
.................
50
47,893
Salesforce,
Inc.
2.70%,
07/15/41
.................
95
67,804
3.05%,
07/15/61
.................
130
82,547
SS&C
Technologies,
Inc.,
5.50%,
09/30/27
(b)
144
134,841
Veritas
US,
Inc.,
7.50%,
09/01/25
(b)
......
66
45,455
VMware,
Inc.
1.40%,
08/15/26
.................
460
401,013
2.20%,
08/15/31
.................
740
561,559
Workday,
Inc.
3.50%,
04/01/27
.................
260
242,988
3.80%,
04/01/32
.................
240
211,857
ZoomInfo
Technologies
LLC,
3.88%,
02/01/29
(b)
130
109,250
8,670,252
Security
Par
(000)
Par
(000)
Value
Specialty
Retail
—
0.4%
Arko
Corp.,
5.13%,
11/15/29
(b)
.........
USD
45
$
35,334
Asbury
Automotive
Group,
Inc.
4.50%,
03/01/28
.................
23
20,249
4.75%,
03/01/30
.................
31
25,927
5.00%,
02/15/32
(b)
................
26
21,390
eG
Global
Finance
plc,
6.75%,
02/07/25
(b)
..
200
174,606
Group
1
Automotive,
Inc.,
4.00%,
08/15/28
(b)
28
23,700
GYP
Holdings
III
Corp.,
4.63%,
05/01/29
(b)
..
67
54,703
Home
Depot,
Inc.
(The)
0.90%,
03/15/28
.................
150
124,380
2.70%,
04/15/30
.................
100
87,195
4.25%,
04/01/46
.................
40
34,633
3.90%,
06/15/47
.................
75
61,653
4.50%,
12/06/48
.................
120
108,814
2.75%,
09/15/51
.................
70
45,737
Ken
Garff
Automotive
LLC,
4.88%,
09/15/28
(b)
39
32,625
LBM
Acquisition
LLC,
6.25%,
01/15/29
(b)
...
15
9,545
LCM
Investments
Holdings
II
LLC,
4.88%,
05/01/29
(b)
....................
76
60,860
Lithia
Motors,
Inc.,
3.88%,
06/01/29
(b)
.....
50
41,106
Lowe's
Cos.,
Inc.
3.35%,
04/01/27
.................
560
525,708
3.10%,
05/03/27
.................
290
269,988
5.00%,
04/15/33
.................
200
195,242
3.70%,
04/15/46
.................
237
175,485
4.55%,
04/05/49
.................
70
58,227
5.13%,
04/15/50
.................
25
22,724
3.00%,
10/15/50
.................
235
149,493
4.25%,
04/01/52
.................
160
126,848
5.63%,
04/15/53
.................
190
181,886
4.45%,
04/01/62
.................
110
85,514
Murphy
Oil
USA,
Inc.,
4.75%,
09/15/29
....
34
31,111
Penske
Automotive
Group,
Inc.,
3.50%,
09/01/25
.....................
14
12,993
Specialty
Building
Products
Holdings
LLC,
6.38%,
09/30/26
(b)
...............
27
21,739
SRS
Distribution,
Inc.
(b)
4.63%,
07/01/28
.................
127
112,582
6.13%,
07/01/29
.................
174
140,682
6.00%,
12/01/29
.................
7
5,571
Staples,
Inc.,
7.50%,
04/15/26
(b)
........
63
54,223
White
Cap
Buyer
LLC,
6.88%,
10/15/28
(b)
..
248
214,522
White
Cap
Parent
LLC,
8.25%,
(8.25%
Cash
or
9.00%
PIK),
03/15/26
(b)(j)
...........
85
73,482
3,420,477
Technology
Hardware,
Storage
&
Peripherals
—
0.3%
Apple,
Inc.
1.20%,
02/08/28
.................
130
110,142
2.20%,
09/11/29
.................
60
51,873
4.50%,
02/23/36
.................
25
24,801
4.38%,
05/13/45
.................
20
18,483
4.65%,
02/23/46
.................
200
189,345
3.85%,
08/04/46
.................
230
195,285
3.75%,
09/12/47
.................
130
107,971
2.65%,
05/11/50
.................
120
79,393
2.65%,
02/08/51
.................
135
89,029
2.70%,
08/05/51
.................
385
253,808
3.95%,
08/08/52
.................
200
169,939
Dell
International
LLC
4.00%,
07/15/24
.................
137
134,640
6.02%,
06/15/26
.................
167
170,366
HP,
Inc.
2.20%,
06/17/25
.................
175
163,496
1.45%,
06/17/26
.................
555
486,181
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
34
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Technology
Hardware,
Storage
&
Peripherals
(continued)
3.00%,
06/17/27
.................
USD
125
$
114,093
2,358,845
Textiles,
Apparel
&
Luxury
Goods
—
0.0%
(b)
Crocs,
Inc.
4.25%,
03/15/29
.................
6
5,083
4.13%,
08/15/31
.................
55
44,822
Kontoor
Brands,
Inc.,
4.13%,
11/15/29
....
37
30,196
80,101
Thrifts
&
Mortgage
Finance
—
0.1%
Enact
Holdings,
Inc.,
6.50%,
08/15/25
(b)
...
60
58,882
Home
Point
Capital,
Inc.,
5.00%,
02/01/26
(b)
.
64
44,255
Ladder
Capital
Finance
Holdings
LLLP
(b)
4.25%,
02/01/27
.................
36
30,241
4.75%,
06/15/29
.................
26
20,991
MGIC
Investment
Corp.,
5.25%,
08/15/28
..
52
47,948
Nationstar
Mortgage
Holdings,
Inc.
(b)
6.00%,
01/15/27
.................
18
16,110
5.13%,
12/15/30
.................
31
23,943
5.75%,
11/15/31
.................
42
32,655
Rocket
Mortgage
LLC,
2.88%,
10/15/26
(b)
..
110
94,288
369,313
Tobacco
—
0.4%
Altria
Group,
Inc.
2.35%,
05/06/25
.................
580
546,309
4.80%,
02/14/29
.................
130
124,739
2.45%,
02/04/32
.................
75
56,580
5.95%,
02/14/49
.................
270
240,092
3.70%,
02/04/51
.................
35
21,921
BAT
Capital
Corp.
2.79%,
09/06/24
.................
240
229,653
3.22%,
09/06/26
.................
825
761,085
3.56%,
08/15/27
.................
257
234,785
2.26%,
03/25/28
.................
175
145,236
2.73%,
03/25/31
.................
100
78,022
4.39%,
08/15/37
.................
225
174,938
3.73%,
09/25/40
.................
195
132,409
4.76%,
09/06/49
.................
45
32,592
Philip
Morris
International,
Inc.
5.13%,
11/17/27
.................
105
105,767
5.63%,
11/17/29
.................
135
136,955
5.75%,
11/17/32
.................
55
56,068
Reynolds
American,
Inc.,
7.00%,
08/04/41
..
98
96,857
3,174,008
Trading
Companies
&
Distributors
—
0.5%
Air
Lease
Corp.
4.25%,
02/01/24
.................
350
343,970
2.30%,
02/01/25
.................
150
139,654
3.38%,
07/01/25
.................
540
510,743
2.88%,
01/15/26
.................
815
754,083
1.88%,
08/15/26
.................
885
768,656
Aviation
Capital
Group
LLC
(b)
3.88%,
05/01/23
.................
160
158,698
1.95%,
09/20/26
.................
495
419,345
Beacon
Roofing
Supply,
Inc.,
4.13%,
05/15/29
(b)
44
36,564
Fortress
Transportation
&
Infrastructure
Investors
LLC
(b)
6.50%,
10/01/25
.................
18
16,924
9.75%,
08/01/27
.................
14
14,035
5.50%,
05/01/28
.................
30
25,593
Foundation
Building
Materials,
Inc.,
6.00%,
03/01/29
(b)
....................
36
26,953
H&E
Equipment
Services,
Inc.,
3.88%,
12/15/28
(b)
....................
16
13,629
Security
Par
(000)
Par
(000)
Value
Trading
Companies
&
Distributors
(continued)
Herc
Holdings,
Inc.,
5.50%,
07/15/27
(b)
....
USD
52
$
48,503
Imola
Merger
Corp.,
4.75%,
05/15/29
(b)
....
88
76,350
United
Rentals
North
America,
Inc.,
6.00%,
12/15/29
(b)
....................
295
293,156
WESCO
Distribution,
Inc.
(b)
7.13%,
06/15/25
.................
61
61,763
7.25%,
06/15/28
.................
104
105,350
3,813,969
Wireless
Telecommunication
Services
—
0.6%
America
Movil
SAB
de
CV,
4.38%,
04/22/49
200
170,822
Connect
Finco
SARL,
6.75%,
10/01/26
(b)
...
390
361,436
Ligado
Networks
LLC,
15.50%,
(15.50%
Cash
or
15.50%
PIK),
11/01/23
(a)(b)(j)
........
87
25,747
Rogers
Communications,
Inc.
3.20%,
03/15/27
(b)
................
160
148,043
3.80%,
03/15/32
(b)
................
10
8,629
4.30%,
02/15/48
.................
26
19,596
4.35%,
05/01/49
.................
58
44,344
3.70%,
11/15/49
.................
61
41,312
4.55%,
03/15/52
(b)
................
423
327,946
Sprint
Corp.,
7.63%,
03/01/26
.........
53
55,772
T-Mobile
USA,
Inc.
1.50%,
02/15/26
.................
966
864,985
2.25%,
02/15/26
.................
235
213,766
2.05%,
02/15/28
.................
230
197,531
3.88%,
04/15/30
.................
10
9,058
3.50%,
04/15/31
.................
211
182,262
2.70%,
03/15/32
.................
169
136,543
4.38%,
04/15/40
.................
215
183,481
3.00%,
02/15/41
.................
165
116,428
4.50%,
04/15/50
.................
45
36,996
3.30%,
02/15/51
.................
155
103,438
Vmed
O2
UK
Financing
I
plc,
4.75%,
07/15/31
(b)
200
162,470
Vodafone
Group
plc
6.15%,
02/27/37
.................
125
126,639
5.25%,
05/30/48
.................
76
66,935
4.88%,
06/19/49
.................
25
20,890
(USD
Swap
Semi
5
Year
+
4.87%),
7.00%,
04/04/79
(a)
...................
515
517,796
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.45%),
3.25%,
06/04/81
(a)
..............
265
221,249
4,364,114
Total
Corporate
Bonds
—
37.7%
(Cost:
$323,635,467)
.............................
289,221,794
Equity-Linked
Notes
Air
Freight
&
Logistics
—
0.0%
Royal
Bank
of
Canada
(United
Parcel
Service,
Inc.),
13.31%, 02/01/23
(b)
...........
1
262,422
Airlines
—
0.1%
JPMorgan
Structured
Products
BV
(Delta
Air
Lines,
Inc.),
14.51%, 01/17/23
........
7
237,410
Societe
Generale
SA
(Southwest
Airlines
Co.),
15.19%, 01/26/23
................
7
226,126
463,536
Automobiles
—
0.1%
Mizuho
Financial
Group,
Inc.
(Tesla,
Inc.),
32.10%, 01/26/23
................
1
158,390
UBS
AG
(Ford
Motor
Co.),
23.30%, 02/03/23
28
327,200
485,590
BlackRock
Managed
Income
Fund
Schedule
of
Investments
35
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Banks
—
0.1%
Barclays
Bank
plc
(KeyCorp.),
14.62%, 01/20/23
................
USD
10
$
182,750
Mizuho
Financial
Group,
Inc.
(Truist
Financial
Corp.),
12.66%, 01/19/23
...........
4
182,083
UBS
AG
(JPMorgan
Chase
&
Co.),
14.40%, 01/17/23
................
3
377,476
742,309
Beverages
—
0.1%
UBS
AG
(Coca-Cola
Co.
(The)),
6.60%, 02/10/23
.................
9
597,144
Capital
Markets
—
0.2%
BNP
Paribas
SA
(LPL
Financial
Holdings,
Inc.),
12.17%, 02/03/23
(b)
...............
1
241,249
Citigroup,
Inc.
(Blackstone,
Inc.),
13.97%, 01/18/23
................
5
377,939
Royal
Bank
of
Canada
(Nasdaq,
Inc.),
10.89%, 01/26/23
(b)
...............
4
251,471
Societe
Generale
SA
(Goldman
Sachs
Group,
Inc.
(The)),
14.55%, 01/18/23
........
1
277,204
Societe
Generale
SA
(Morgan
Stanley),
12.61%, 01/18/23
................
3
288,462
1,436,325
Chemicals
—
0.1%
BNP
Paribas
SA
(Mosaic
Co.
(The)),
19.64%, 02/23/23
(b)
...............
5
236,885
Societe
Generale
SA
(CF
Industries
Holdings,
Inc.),
21.28%, 02/15/23
.............
2
204,415
441,300
Commercial
Services
&
Supplies
—
0.0%
(b)
BNP
Paribas
SA
(Republic
Services,
Inc.),
8.01%, 02/10/23
.................
1
93,115
Royal
Bank
of
Canada
(Downer
EDI
Ltd),
14.39%, 01/27/23
................
5
273,095
366,210
Construction
Materials
—
0.0%
Barclays
Bank
plc
(Vulcan
Materials
Co.),
13.09%, 02/16/23
................
1
94,516
Consumer
Finance
—
0.1%
Citigroup,
Inc.
(American
Express
Co.),
18.35%, 01/25/23
................
2
300,919
Royal
Bank
of
Canada
(Discover
Financial
Services),
18.84%, 01/20/23
(b)
........
2
171,067
Royal
Bank
of
Canada
(Synchrony
Financial),
20.92%, 01/27/23
(b)
...............
4
128,013
599,999
Containers
&
Packaging
—
0.0%
JPMorgan
Structured
Products
BV
(Graphic
Packaging
Holding
Co.),
16.25%, 02/01/23
10
231,832
Distributors
—
0.0%
BNP
Paribas
SA
(Genuine
Parts
Co.),
11.56%, 02/17/23
(b)
...............
1
92,846
Diversified
Financial
Services
—
0.1%
BNP
Paribas
SA
(SPDR
S&P
500
ETF
Trust),
12.22%, 01/25/23
(b)
...............
1
447,675
Citigroup,
Inc.
(SPDR
S&P
500
ETF
Trust),
8.25%, 01/04/23
.................
1
444,862
892,537
Security
Par
(000)
Par
(000)
Value
Diversified
Telecommunication
Services
—
0.0%
Royal
Bank
of
Canada
(TELUS
Corp.),
17.71%, 01/26/23
................
USD
17
$
314,562
Societe
Generale
SA
(TELUS
Corp.),
17.21%, 01/26/23
................
5
89,565
404,127
Electric
Utilities
—
0.1%
BNP
Paribas
SA
(NextEra
Energy,
Inc.),
12.41%, 01/24/23
(b)
...............
4
354,109
Societe
Generale
SA
(American
Electric
Power
Co.,
Inc.),
7.61%, 01/18/23
..........
5
471,332
825,441
Electrical
Equipment
—
0.1%
Societe
Generale
SA
(Eaton
Corp.
plc),
9.20%, 01/18/23
.................
3
439,950
Electronic
Equipment,
Instruments
&
Components
—
0.0%
Royal
Bank
of
Canada
(Corning,
Inc.),
12.65%, 01/26/23
(b)
...............
5
176,231
Energy
Equipment
&
Services
—
0.0%
Mizuho
Financial
Group,
Inc.
(Schlumberger
Ltd),
12.75%, 01/23/23
.............
5
246,176
Entertainment
—
0.1%
BNP
Paribas
SA
(Walt
Disney
Co.
(The)),
13.06%, 02/09/23
(b)
...............
2
214,221
Mizuho
Financial
Group,
Inc.
(Netflix,
Inc.),
25.70%, 01/19/23
................
1
358,025
572,246
Equity
Real
Estate
Investment
Trusts
(REITs)
—
0.1%
BNP
Paribas
SA
(Host
Hotels
&
Resorts,
Inc.),
13.51%, 02/16/23
(b)
...............
6
103,441
BNP
Paribas
SA
(Public
Storage),
15.14%, 02/23/23
(b)
...............
1
166,266
Royal
Bank
of
Canada
(Prologis,
Inc.),
17.19%, 01/20/23
(b)
...............
3
364,792
Societe
Generale
SA
(Prologis,
Inc.),
16.62%, 01/19/23
................
1
76,652
711,151
Food
&
Staples
Retailing
—
0.2%
BNP
Paribas
SA
(Walmart,
Inc.),
9.23%, 02/22/23
(b)
................
4
555,057
Mizuho
Financial
Group,
Inc.
(Tesco
plc),
11.70%, 01/27/23
................
1
231,111
Societe
Generale
SA
(Walmart,
Inc.),
9.93%, 01/18/23
.................
3
435,978
1,222,146
Food
Products
—
0.1%
Mizuho
Financial
Group,
Inc.
(Hershey
Co.
(The)),
7.11%, 02/03/23
............
1
199,675
Royal
Bank
of
Canada
(Archer-Daniels-Midland
Co.),
13.75%, 01/24/23
(b)
............
5
485,529
Societe
Generale
SA
(Mondelez
International,
Inc.),
10.06%, 01/27/23
.............
2
154,364
839,568
Gas
Utilities
—
0.0%
Citigroup,
Inc.
(APA
Group),
19.43%, 01/06/23
8
358,010
Health
Care
Providers
&
Services
—
0.4%
BNP
Paribas
SA
(Cigna
Corp.),
12.94%, 01/06/23
(b)
...............
1
491,810
BNP
Paribas
SA
(CVS
Health
Corp.),
11.25%, 01/06/23
(b)
...............
5
456,364
BNP
Paribas
SA
(Elevance
Health,
Inc.),
11.64%, 01/26/23
(b)
...............
1
358,338
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
36
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Health
Care
Providers
&
Services
(continued)
BNP
Paribas
SA
(Humana,
Inc.),
13.34%, 01/06/23
(b)
...............
USD
1
$
433,621
BNP
Paribas
SA
(McKesson
Corp.),
11.88%, 01/06/23
(b)
...............
1
452,355
BNP
Paribas
SA
(UnitedHealth
Group,
Inc.),
11.01%, 01/06/23
(b)
...............
1
466,135
Citigroup,
Inc.
(UnitedHealth
Group,
Inc.),
13.43%, 01/19/23
................
1
372,252
JPMorgan
Structured
Products
BV
(CVS
Health
Corp.),
12.94%, 02/09/23
...........
1
71,296
Societe
Generale
SA
(Elevance
Health,
Inc.),
14.13%, 01/26/23
................
—
(l)
75,874
3,178,045
Hotels,
Restaurants
&
Leisure
—
0.1%
BNP
Paribas
SA
(Expedia
Group,
Inc.),
17.48%, 02/10/23
(b)
...............
1
105,120
Mizuho
Financial
Group,
Inc.
(Marriott
International,
Inc.),
14.46%, 02/14/23
...
1
183,803
Royal
Bank
of
Canada
(Hilton
Worldwide
Holdings,
Inc.),
11.80%, 02/14/23
(b)
.....
3
351,918
Royal
Bank
of
Canada
(McDonald's
Corp.),
5.47%, 01/25/23
(b)
................
2
481,202
1,122,043
Household
Products
—
0.1%
BNP
Paribas
SA
(Procter
&
Gamble
Co.
(The)),
7.80%, 01/19/23
(b)
................
4
598,657
JPMorgan
Structured
Products
BV
(Kimberly-
Clark
Corp.),
5.13%, 01/25/23
........
2
271,557
870,214
Insurance
—
0.1%
Barclays
Bank
plc
(Marsh
&
McLennan
Cos.,
Inc..),
9.31%, 01/27/23
.............
2
310,716
Citigroup,
Inc.
(Progressive
Corp.
(The)),
13.05%, 01/26/23
................
2
238,580
Mizuho
Financial
Group,
Inc.
(Allstate
Corp.
(The)),
11.76%, 01/24/23
...........
1
201,051
Mizuho
Financial
Group,
Inc.
(MetLife,
Inc.),
9.61%, 02/02/23
.................
3
185,974
Societe
Generale
SA
(MetLife,
Inc.),
12.82%, 02/02/23
................
1
73,708
Societe
Generale
SA
(Travelers
Cos.,
Inc.
(The)),
12.19%, 01/20/23
...........
—
(l)
77,247
1,087,276
Interactive
Media
&
Services
—
0.1%
Societe
Generale
SA
(Alphabet,
Inc.),
13.81%, 02/01/23
................
5
474,671
Internet
&
Direct
Marketing
Retail
—
0.1%
BMO
Capital
Markets
Corp.
(Amazon.com,
Inc.),
15.37%, 01/26/23
.............
6
467,150
BNP
Paribas
SA
(Amazon.com,
Inc.),
19.38%, 02/03/23
(b)
...............
2
201,492
Societe
Generale
SA
(Amazon.com,
Inc.),
22.40%, 02/03/23
................
1
113,570
782,212
IT
Services
—
0.1%
BMO
Capital
Markets
Corp.
(Mastercard,
Inc.),
13.26%, 01/26/23
................
1
495,199
BNP
Paribas
SA
(Fiserv,
Inc.),
11.57%, 02/08/23
(b)
...............
2
240,959
JPMorgan
Structured
Products
BV
(Fiserv,
Inc.),
12.34%, 02/08/23
.............
1
75,880
Mizuho
Financial
Group,
Inc.
(Global
Payments,
Inc.),
16.31%, 02/10/23
.....
1
92,811
Security
Par
(000)
Par
(000)
Value
IT
Services
(continued)
Mizuho
Financial
Group,
Inc.
(PayPal
Holdings,
Inc.),
22.06%, 02/01/23
.............
USD
3
$
202,153
1,107,002
Life
Sciences
Tools
&
Services
—
0.1%
Societe
Generale
SA
(Agilent
Technologies,
Inc.),
15.10%, 02/23/23
.............
1
105,680
Societe
Generale
SA
(Danaher
Corp.),
18.91%, 01/27/23
................
2
485,764
Societe
Generale
SA
(Thermo
Fisher
Scientific,
Inc.),
15.02%, 02/02/23
.............
—
(l)
185,552
776,996
Machinery
—
0.6%
(b)
BNP
Paribas
SA
(Spirax-Sarco
Engineering
plc)
8.01%,
01/13/23
(b)
................
—
(l)
488,467
10.86%,
11/13/23
(b)
...............
—
(l)
488,611
Citigroup,
Inc.
(Spirax-Sarco
Engineering
plc)
8.91%,
01/13/23
.................
—
(l)
442,587
9.35%,
01/31/23
.................
—
(l)
444,011
Mizuho
Financial
Group,
Inc.
(Caterpillar,
Inc.),
15.11%, 01/27/23
................
2
372,633
Royal
Bank
of
Canada
(Spirax-Sarco
Engineering
plc)
10.87%,
02/07/23
(b)
...............
—
(l)
349,919
11.06%,
02/14/23
(b)
...............
—
(l)
349,645
10.81%,
02/22/23
(b)
...............
—
(l)
356,765
Societe
Generale
SA
(Deere
&
Co.),
18.63%, 02/17/23
................
—
(l)
181,479
Societe
Generale
SA
(Spirax-Sarco
Engineering
plc)
9.63%,
01/13/23
.................
—
(l)
477,362
9.89%,
01/25/23
.................
—
(l)
478,691
4,430,170
Media
—
0.1%
Royal
Bank
of
Canada
(Comcast
Corp.),
15.95%, 01/24/23
(b)
...............
14
484,426
Metals
&
Mining
—
0.1%
Barclays
Bank
plc
(Alcoa
Corp.),
34.04%, 01/19/23
................
4
176,324
Citigroup,
Inc.
(Freeport-McMoRan,
Inc.),
19.47%, 01/06/23
................
12
421,683
Royal
Bank
of
Canada
(Nucor
Corp.),
19.70%, 01/30/23
(b)
...............
2
244,959
842,966
Multiline
Retail
—
0.1%
JPMorgan
Structured
Products
BV
(Macy's,
Inc.),
22.64%, 02/22/23
.............
13
277,896
Societe
Generale
SA
(Target
Corp.),
20.20%, 03/02/23
................
1
169,918
447,814
Oil,
Gas
&
Consumable
Fuels
—
0.3%
Barclays
Bank
plc
(Pioneer
Natural
Resources
Co.),
27.36%, 01/06/23
.............
2
434,964
BNP
Paribas
SA
(Occidental
Petroleum
Corp.),
18.60%, 01/06/23
(b)
...............
5
316,997
Societe
Generale
SA
(Chevron
Corp.),
14.01%, 01/27/23
................
1
250,771
Societe
Generale
SA
(Devon
Energy
Corp.),
22.32%, 01/18/23
................
7
410,410
Societe
Generale
SA
(Diamondback
Energy,
Inc.),
14.08%, 02/23/23
.............
2
244,150
Societe
Generale
SA
(Exxon
Mobil
Corp.),
8.94%, 02/01/23
.................
2
251,349
BlackRock
Managed
Income
Fund
Schedule
of
Investments
37
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Oil,
Gas
&
Consumable
Fuels
(continued)
UBS
AG
(Chevron
Corp.),
11.30%, 01/27/23
.
USD
—
(l)
$
76,366
1,985,007
Pharmaceuticals
—
0.2%
Mizuho
Financial
Group,
Inc.
(Eli
Lilly
&
Co.),
12.40%, 02/01/23
................
1
493,311
UBS
AG
(Jazz
Pharmaceuticals
plc),
10.70%, 01/26/23
................
2
256,081
UBS
AG
(Merck
KGaA),
14.90%, 02/01/23
..
4
500,296
1,249,688
Road
&
Rail
—
0.1%
Barclays
Bank
plc
(Old
Dominion
Freight
Line,
Inc.),
14.25%, 01/25/23
.............
1
345,464
BNP
Paribas
SA
(Union
Pacific
Corp.),
12.34%, 01/20/23
(b)
...............
1
226,410
Societe
Generale
SA
(CSX
Corp.),
15.26%, 01/20/23
................
11
356,199
928,073
Semiconductors
&
Semiconductor
Equipment
—
0.1%
Royal
Bank
of
Canada
(KLA
Corp.),
13.11%, 01/25/23
(b)
...............
1
349,112
Societe
Generale
SA
(Analog
Devices,
Inc.),
17.42%, 02/16/23
................
1
184,390
533,502
Software
—
0.3%
Barclays
Bank
plc
(Cadence
Design
Systems,
Inc.),
20.31%, 02/23/23
.............
1
177,060
BNP
Paribas
SA
(Fortinet,
Inc.),
16.19%, 02/06/23
(b)
...............
5
237,277
Citigroup,
Inc.
(Microsoft
Corp.),
16.91%, 01/25/23
................
4
879,475
JPMorgan
Structured
Products
BV
(Paycom
Software,
Inc.),
15.13%, 02/08/23
(b)(d)
...
—
(l)
106,641
Societe
Generale
SA
(Palo
Alto
Networks,
Inc.),
12.22%, 01/18/23
................
3
384,693
UBS
AG
(ServiceNow,
Inc.),
13.60%, 01/25/23
1
349,491
2,134,637
Specialty
Retail
—
0.2%
Mizuho
Financial
Group,
Inc.
(Ulta
Beauty,
Inc.),
12.20%, 01/26/23
.............
1
243,963
Societe
Generale
SA
(Home
Depot,
Inc.
(The)),
14.71%, 01/18/23
................
1
464,792
Societe
Generale
SA
(O'Reilly
Automotive,
Inc.),
10.57%, 02/09/23
.............
—
(l)
236,875
UBS
AG
(O'Reilly
Automotive,
Inc.),
10.50%, 02/03/23
................
—
(l)
381,651
1,327,281
Technology
Hardware,
Storage
&
Peripherals
—
0.2%
Barclays
Bank
plc
(Apple,
Inc.)
7.98%,
01/26/23
.................
7
910,578
13.10%,
02/15/23
................
7
917,237
1,827,815
Tobacco
—
0.1%
Barclays
Bank
plc
(Philip
Morris
International,
Inc.),
13.36%, 02/10/23
.............
6
566,877
UBS
AG
(Altria
Group,
Inc.),
27.60%, 01/25/23
8
369,954
936,831
Trading
Companies
&
Distributors
—
0.1%
Mizuho
Financial
Group,
Inc.
(United
Rentals,
Inc.),
13.50%, 01/26/23
.............
1
492,001
Royal
Bank
of
Canada
(United
Rentals,
Inc.),
10.80%, 01/25/23
(b)
...............
1
361,386
853,387
Security
Par
(000)
Par
(000)
Value
Transportation
Infrastructure
—
0.1%
Mizuho
Financial
Group,
Inc.
(Aeroports
de
Paris),
10.16%, 01/26/23
............
USD
1
$
228,479
UBS
AG
(Aeroports
de
Paris),
12.60%, 01/26/23
................
1
355,599
584,078
Total
Equity-Linked
Notes
—
5.3%
(Cost:
$41,789,542)
..............................
40,465,746
Floating
Rate
Loan
Interests
Aerospace
&
Defense
—
0.2%
(a)
Atlas
CC
Acquisition
Corp.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
4.25%),
8.98%
,
05/25/28
.................
161
134,478
Atlas
CC
Acquisition
Corp.,
1st
Lien
Term
Loan
C,
(LIBOR
USD
3
Month
+
4.25%),
8.98%
,
05/25/28
.................
33
27,324
Cobham
Ultra
SeniorCo
SARL,
Facility
Term
Loan
B,
(LIBOR
USD
6
Month
+
3.75%),
7.06%
,
08/03/29
.................
49
47,411
Dynasty
Acquisition
Co.,
Inc.,
Term
Loan
B1,
(1
Month
CME
Term
SOFR
+
3.50%),
7.92%
,
04/06/26
.................
210
199,432
Dynasty
Acquisition
Co.,
Inc.,
Term
Loan
B2,
(1
Month
CME
Term
SOFR
+
3.50%),
7.92%
,
04/06/26
.................
113
107,202
Peraton
Corp.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
02/01/28
264
257,106
Peraton
Corp.,
2nd
Lien
Term
Loan
B1,
(LIBOR
USD
1
Month
+
7.75%),
12.09%
,
02/01/29
73
69,320
Setanta
Aircraft
Leasing
DAC,
Term
Loan,
(LIBOR
USD
3
Month
+
2.00%),
6.73%
,
11/05/28
.................
144
143,064
TransDigm,
Inc.,
Term
Loan
H,
(3
Month
CME
Term
SOFR
+
3.25%),
7.83%
,
02/22/27
..
250
248,370
1,233,707
Airlines
—
0.2%
(a)
AAdvantage
Loyalty
IP
Ltd.,
Term
Loan,
(LIBOR
USD
3
Month
+
4.75%),
8.99%
,
04/20/28
260
258,887
Air
Canada,
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
8.13%
,
08/11/28
..........
214
210,639
American
Airlines,
Inc.,
Term
Loan
(LIBOR
USD
1
Month
+
1.75%),
6.14%, 06/27/25
...............
245
234,785
(LIBOR
USD
1
Month
+
1.75%),
6.14%, 01/29/27
...............
81
76,794
Kestrel
Bidco,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.35%
,
12/11/26
......
49
44,466
Mileage
Plus
Holdings
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
5.25%),
10.00%
,
06/21/27
279
286,779
United
AirLines,
Inc.,
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.75%),
8.11%
,
04/21/28
.
314
309,744
1,422,094
Auto
Components
—
0.1%
(a)
Adient
US
LLC,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
04/10/28
.....
62
61,052
Clarios
Global
LP,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
04/30/26
306
299,356
360,408
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
38
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Automobiles
—
0.0%
Dealer
Tire
Financial,
LLC,
Term
Loan
B2,
(3
Month
CME
Term
SOFR
+
4.50%),
8.82%
,
12/14/27
(a)
................
USD
169
$
166,498
Beverages
—
0.1%
(a)
Naked
Juice
LLC,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.25%),
7.93%
,
01/24/29
.................
308
274,795
Naked
Juice
LLC,
2nd
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
6.00%),
10.68%
,
01/24/30
................
194
152,254
427,049
Building
Products
—
0.1%
(a)
Cornerstone
Building
Brands,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.25%),
7.57%
,
04/12/28
.................
49
43,667
CP
Atlas
Buyer,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.50%),
4.25%
-
7.88%
,
11/23/27
.................
221
193,264
CP
Iris
Holdco
I,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
10/02/28
.................
89
79,379
CP
Iris
Holdco
I,
Inc.,
Delayed
Draw
1st
Lien
Term
Loan,
10/02/28
(m)
.............
16
14,206
CPG
International
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
2.50%),
6.92%
,
04/28/29
.................
74
71,601
Jeld-Wen,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
07/28/28
.....
69
64,604
Wilsonart
LLC,
Term
Loan
E,
(LIBOR
USD
3
Month
+
3.25%),
7.98%
,
12/31/26
.....
193
183,343
650,064
Capital
Markets
—
0.1%
(a)
Advisor
Group
Holdings,
Inc.,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
4.50%),
8.88%
,
07/31/26
.................
132
129,288
Axalta
Coating
Systems
Dutch
Holding
B
BV,
Facility
Term
Loan
B4,
(3
Month
CME
Term
SOFR
+
3.00%),
7.51%
,
12/20/29
.....
132
132,000
Azalea
TopCo,
Inc.,
1st
Lien
Term
Loan
(LIBOR
USD
1
Month
+
3.50%),
7.88%, 07/24/26
...............
116
105,976
(LIBOR
USD
1
Month
+
3.75%),
8.13%, 07/24/26
...............
88
80,990
Castlelake
Aviation
One
DAC,
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
7.52%
,
10/22/26
.................
136
135,002
Focus
Financial
Partners
LLC,
Term
Loan
B4,
(1
Month
CME
Term
SOFR
+
2.50%),
6.82%
,
06/30/28
.................
135
132,540
Greenhill
&
Co.,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
04/12/24
....
85
82,480
Mercury
Borrower,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
8.25%
,
08/02/28
.................
225
214,592
Mercury
Borrower,
Inc.,
2nd
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
6.50%),
10.25%
,
08/02/29
................
53
46,069
1,058,937
Security
Par
(000)
Par
(000)
Value
Chemicals
—
0.2%
(a)
ARC
Falcon
I,
Inc.,
Delayed
Draw
Term
Loan,
09/30/28
(m)
.....................
USD
18
$
16,004
ARC
Falcon
I,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
09/30/28
.....
124
108,533
Aruba
Investments
Holdings
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.14%
,
11/24/27
.................
32
31,136
Ascend
Performance
Materials
Operations
LLC,
Term
Loan,
(6
Month
CME
Term
SOFR
+
4.75%),
8.83%
,
08/27/26
..........
230
215,633
CPC
Acquisition
Corp.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.75%),
8.48%
,
12/29/27
.................
55
39,559
Discovery
Purchaser
Corp.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
4.38%),
7.97%
,
10/04/29
.................
163
148,208
Ecovyst
Catalyst
Technologies
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
2.50%),
6.91%
,
06/09/28
.................
144
141,668
Element
Solutions,
Inc.,
Term
Loan
B1,
(1
Month
CME
Term
SOFR
+
2.00%),
6.32%
,
01/31/26
.................
196
195,455
Herens
Holdco
SARL,
Facility
Term
Loan
B,
(LIBOR
USD
3
Month
+
4.00%),
8.73%
,
07/03/28
.................
109
99,573
Lummus
Technology
Holdings
V
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
06/30/27
.................
82
78,743
Messer
Industries
GmbH,
Term
Loan
B1,
(LIBOR
USD
3
Month
+
2.50%),
7.23%
,
03/02/26
.................
137
135,181
Momentive
Performance
Materials,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.64%
,
05/15/24
...........
148
147,475
Nouryon
Finance
BV,
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
7.16%
,
10/01/25
....
14
13,544
Oxea
Holding
Vier
GMBH,
Term
Loan
B2,
(LIBOR
USD
1
Month
+
3.25%),
7.00%
,
10/14/24
.................
177
166,489
SCIH
Salt
Holdings,
Inc.,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
3
Month
+
4.00%),
8.41%
,
03/16/27
.................
74
72,117
Sparta
US
HoldCo
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.62%
,
08/02/28
.................
124
120,257
WR
Grace
Holdings
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.75%),
8.50%
,
09/22/28
78
76,451
1,806,026
Commercial
Services
&
Supplies
—
0.2%
(a)
Allied
Universal
Holdco
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.75%),
8.17%
,
05/12/28
.................
256
242,252
Aramark
Intermediate
HoldCo
Corp.,
Term
Loan
B3,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
03/11/25
.................
43
42,664
Aramark
Intermediate
HoldCo
Corp.,
Term
Loan
B5,
(LIBOR
USD
1
Month
+
2.50%),
6.88%
,
04/06/28
.................
141
138,383
Asplundh
Tree
Expert
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
09/07/27
143
143,248
Clean
Harbors,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
10/08/28
.....
88
87,812
BlackRock
Managed
Income
Fund
Schedule
of
Investments
39
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Commercial
Services
&
Supplies
(continued)
Covanta
Holding
Corp.,
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
2.50%),
6.82%
,
11/30/28
.................
USD
143
$
141,911
Covanta
Holding
Corp.,
Term
Loan
C,
(1
Month
CME
Term
SOFR
+
2.50%),
6.82%
,
11/30/28
.................
11
10,933
LABL,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
5.00%),
9.38%
,
10/29/28
...........
72
67,854
PECF
USS
Intermediate
Holding
III
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
4.25%),
8.63%
,
12/15/28
.................
88
73,025
Prime
Security
Services
Borrower
LLC,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
3
Month
+
2.75%),
6.50%
,
09/23/26
...........
81
80,034
Tempo
Acquisition
LLC,
Term
Loan
B1,
(1
Month
CME
Term
SOFR
+
3.00%),
7.32%
,
08/31/28
.................
441
439,709
TruGreen
LP,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
4.00%),
8.38%
,
11/02/27
....
92
81,877
Viad
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
5.00%),
9.38%
,
07/30/28
(i)
...........
116
109,266
1,658,968
Communications
Equipment
—
0.0%
ViaSat,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.50%),
8.94%
,
03/02/29
(a)
....
169
164,177
Construction
&
Engineering
—
0.1%
(a)
Brand
Industrial
Services,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
4.25%),
7.92%
-
8.61%
,
06/21/24
.................
244
217,345
Pike
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.39%
,
01/21/28
...........
80
78,764
USIC
Holdings,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
05/12/28
.................
117
111,400
407,509
Construction
Materials
—
0.1%
(a)
American
Builders
&
Contractors
Supply
Co.,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
01/15/27
...........
141
139,489
New
AMI
I
LLC,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
6.00%),
10.32%
,
03/08/29
................
92
78,316
Oscar
AcquisitionCo
LLC,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
4.50%),
9.18%
,
04/29/29
.................
98
92,189
Standard
Industries,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.25%),
6.43%
,
09/22/28
110
108,431
418,425
Containers
&
Packaging
—
0.1%
(a)
Charter
Next
Generation,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
12/01/27
.................
294
285,389
Mauser
Packaging
Solutions
Holding
Co.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.37%
-
7.62%
,
04/03/24
...........
233
227,270
Pactiv
Evergreen,
Inc.,
Term
Loan
B2,
(LIBOR
USD
1
Month
+
3.25%),
7.32%
-
7.63%
,
02/05/26
.................
50
49,138
Pregis
TopCo
LLC,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.75%),
8.19%
,
07/31/26
.................
45
43,664
Security
Par
(000)
Par
(000)
Value
Containers
&
Packaging
(continued)
Reynolds
Consumer
Products
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
02/04/27
.................
USD
16
$
15,463
Tosca
Services
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.50%),
7.94%
,
08/18/27
..
190
152,115
Trident
TPI
Holdings,
Inc.,
Delayed
Draw
Term
Loan
B3,
(LIBOR
USD
3
Month
+
4.00%),
7.67%
-
8.07%
,
09/15/28
...........
14
13,209
Trident
TPI
Holdings,
Inc.,
Term
Loan
B3,
(LIBOR
USD
3
Month
+
4.00%),
7.67%
,
09/15/28
.................
97
92,720
878,968
Distributors
—
0.0%
PAI
Holdco,
Inc.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.75%),
8.16%
,
10/28/27
(a)
135
117,955
Diversified
Consumer
Services
—
0.2%
(a)
Ascend
Learning
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
12/11/28
.................
177
167,416
Ascend
Learning
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
5.75%),
10.13%
,
12/10/29
................
113
96,474
Bright
Horizons
Family
Solutions
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.25%),
6.69%
,
11/24/28
.................
102
100,314
Sotheby's,
Term
Loan,
(LIBOR
USD
3
Month
+
4.50%),
8.58%
,
01/15/27
...........
196
190,770
Spring
Education
Group,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.00%),
8.73%
,
07/30/25
.................
78
76,218
Veritas
US,
Inc.,
Term
Loan
B,
(LIBOR
USD
3
Month
+
5.00%),
9.73%
,
09/01/25
.....
373
261,475
Wand
Newco
3,
Inc.,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
02/05/26
.................
221
209,103
WCG
Purchaser
Corp.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
4.00%),
8.38%
,
01/08/27
.................
106
96,111
1,197,881
Diversified
Financial
Services
—
0.2%
(a)
Belron
Finance
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
2.25%),
6.69%
,
10/30/26
....
58
57,291
Belron
Group
SA,
Term
Loan,
(LIBOR
USD
3
Month
+
2.50%),
7.06%
,
04/13/28
.....
135
133,162
Deerfield
Dakota
Holding
LLC,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.75%),
8.07%
,
04/09/27
.................
344
320,674
Deerfield
Dakota
Holding
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
6.75%),
11.13%
,
04/07/28
................
133
126,017
LBM
Acquisition
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.75%),
7.12%
,
12/17/27
.................
80
69,076
Lions
Gate
Capital
Holdings
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
03/24/25
.................
97
92,664
Sotera
Health
Holdings
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
7.16%
,
12/11/26
.................
166
152,720
Travelport
Finance
SARL,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
5.00%),
9.73%
,
05/29/26
.................
161
108,936
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
40
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Diversified
Financial
Services
(continued)
UPC
Financing
Partnership,
Facility
Term
Loan
AX,
(LIBOR
USD
1
Month
+
2.93%),
7.24%
,
01/31/29
.................
USD
74
$
71,765
White
Cap
Supply
Holdings
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.75%),
8.07%
,
10/19/27
.................
145
140,391
1,272,696
Diversified
Telecommunication
Services
—
0.2%
(a)
Altice
Financing
SA,
Term
Loan
(LIBOR
USD
3
Month
+
2.75%),
6.83%, 07/15/25
...............
15
14,401
(LIBOR
USD
3
Month
+
2.75%),
6.83%, 01/31/26
...............
174
166,737
Altice
France
SA,
Term
Loan
B13,
(LIBOR
USD
3
Month
+
4.00%),
8.65%
,
08/14/26
....
166
154,127
Cablevision
Lightpath
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.57%
,
11/30/27
.
24
22,493
Connect
Finco
SARL,
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.58%
,
12/11/26
....
398
393,333
Consolidated
Communications,
Inc.,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
10/02/27
.................
34
30,145
Frontier
Communications
Holdings
LLC,
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.75%),
8.50%
,
05/01/28
.................
129
122,593
Iridium
Satellite
LLC,
Term
Loan
B2,
(1
Month
CME
Term
SOFR
+
2.50%),
6.92%
,
11/04/26
.................
189
187,040
Level
3
Financing,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
03/01/27
101
96,550
Orbcomm,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.25%),
8.63%
-
8.98%
,
09/01/28
.................
168
143,144
Radiate
Holdco
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
09/25/26
....
181
146,190
Virgin
Media
Bristol
LLC,
Facility
Term
Loan
N,
(LIBOR
USD
1
Month
+
2.50%),
6.82%
,
01/31/28
.................
63
61,865
Virgin
Media
Bristol
LLC,
Facility
Term
Loan
Q,
(LIBOR
USD
1
Month
+
3.25%),
7.57%
,
01/31/29
.................
44
43,527
Zayo
Group
Holdings,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
03/09/27
313
252,565
1,834,710
Electric
Utilities
—
0.0%
(a)
Calpine
Construction
Finance
Co.
LP,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.00%),
6.39%
,
01/15/25
.................
34
33,659
Edgewater
Generation
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
12/13/25
.................
61
57,586
91,245
Electrical
Equipment
—
0.0%
(a)
Arcline
FM
Holdings
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.75%),
9.48%
,
06/23/28
.................
136
129,305
AZZ,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.25%),
8.67%
,
05/13/29
.....
47
46,848
Graftech
International
Ltd.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
02/12/25
25
24,792
200,945
Security
Par
(000)
Par
(000)
Value
Electronic
Equipment,
Instruments
&
Components
—
0.0%
Coherent
Corp.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
07/02/29
(a)
....
USD
107
$
105,683
Entertainment
—
0.2%
(a)
AMC
Entertainment
Holdings,
Inc.,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.00%),
7.27%
,
04/22/26
.................
267
144,024
Aristocrat
Technologies,
Inc.,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
2.25%),
6.93%
,
05/24/29
.................
24
23,448
City
Football
Group
Ltd.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.36%
,
07/21/28
133
124,051
Formula
One
Management
Ltd.,
1st
Lien
Facility
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
3.25%),
7.57%
,
01/15/30
.....
116
115,855
Kingpin
Intermediate
Holdings
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.89%
,
07/03/24
(i)
................
184
183,338
Live
Nation
Entertainment,
Inc.,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
10/19/26
.................
296
288,508
Playtika
Holding
Corp.,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
03/13/28
189
180,225
SMG
US
Midco
2,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
2.50%),
6.91%
,
01/23/25
.................
117
113,484
UFC
Holdings
LLC,
1st
Lien
Term
Loan
B3,
(LIBOR
USD
3
Month
+
2.75%),
7.11%
,
04/29/26
.................
93
91,967
William
Morris
Endeavor
Entertainment
LLC,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
1
Month
+
2.75%),
7.14%
,
05/18/25
.....
307
300,226
WMG
Acquisition
Corp.,
Term
Loan
G,
(LIBOR
USD
1
Month
+
2.13%),
6.51%
,
01/20/28
216
213,179
1,778,305
Equity
Real
Estate
Investment
Trusts
(REITs)
—
0.0%
RHP
Hotel
Properties
LP,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.00%),
6.39%
,
05/11/24
(a)
73
72,237
Food
&
Staples
Retailing
—
0.0%
US
Foods,
Inc.,
Term
Loan
B
(a)
(LIBOR
USD
1
Month
+
2.00%),
6.38%, 09/13/26
...............
168
165,966
(LIBOR
USD
1
Month
+
2.75%),
7.13%, 11/22/28
...............
104
103,665
269,631
Food
Products
—
0.2%
(a)
8th
Avenue
Food
&
Provisions,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
10/01/25
.................
168
139,630
B&G
Foods,
Inc.,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
2.50%),
6.88%
,
10/10/26
....
24
22,920
Chobani
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
10/25/27
.....
350
342,634
Froneri
International
Ltd.,
Facility
1st
Lien
Term
Loan
B2,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
01/29/27
.................
364
353,961
Hostess
Brands
LLC,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
2.25%),
6.63%
-
6.66%
,
08/03/25
.................
133
132,652
Nomad
Foods
Ltd.,
Facility
Term
Loan
B2,
(3
Month
CME
Term
SOFR
+
3.75%),
8.23%
,
11/12/29
.................
106
105,792
BlackRock
Managed
Income
Fund
Schedule
of
Investments
41
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Food
Products
(continued)
Sovos
Brands
Intermediate,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
7.91%
,
06/08/28
.................
USD
143
$
138,795
Triton
Water
Holdings,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
8.23%
,
03/31/28
.................
223
206,677
Utz
Quality
Foods
LLC,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.00%),
7.44%
,
01/20/28
.................
182
179,504
1,622,565
Health
Care
Equipment
&
Supplies
—
0.1%
(a)
Chariot
Buyer
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
11/03/28
.
286
268,881
Femur
Buyer,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.50%),
9.23%
,
03/05/26
133
113,542
Insulet
Corp.,
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
3.25%),
7.69%
,
05/04/28
..
59
57,926
Medline
Borrower
LP,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
10/23/28
....
413
392,107
832,456
Health
Care
Providers
&
Services
—
0.2%
(a)
CHG
Healthcare
Services,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
09/29/28
.................
138
134,343
CNT
Holding
I
Corp.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.50%),
7.24%
,
11/08/27
.................
72
69,846
Electron
Bidco,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
11/01/28
.................
216
210,098
Envision
Healthcare
Corp.,
Term
Loan
(3
Month
CME
Term
SOFR
+
4.25%),
8.83%, 03/31/27
...............
133
45,120
(3
Month
CME
Term
SOFR
+
7.88%),
12.61%, 03/31/27
..............
51
45,552
EyeCare
Partners
LLC,
1st
Lien
Term
Loan
(LIBOR
USD
3
Month
+
3.75%),
8.48%, 02/18/27
...............
163
129,775
(LIBOR
USD
3
Month
+
3.75%),
8.48%, 11/15/28
...............
87
72,843
EyeCare
Partners
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
6.75%),
11.48%
,
11/15/29
.................
78
63,777
MED
ParentCo.
LP,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
4.25%),
8.63%
,
08/31/26
.................
222
188,730
Medical
Solutions
Holdings,
Inc.,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
7.00%),
11.38%
,
11/01/29
.................
110
101,200
Option
Care
Health,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
10/27/28
.................
82
81,476
PetVet
Care
Centers
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
02/14/25
.................
4
3,672
Surgery
Center
Holdings,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.05%
,
08/31/26
.................
54
53,338
Vizient,
Inc.,
Term
Loan
B7,
(1
Month
CME
Term
SOFR
+
2.25%),
6.67%
,
05/16/29
..
46
45,617
Security
Par
(000)
Par
(000)
Value
Health
Care
Providers
&
Services
(continued)
WP
CityMD
Bidco
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
12/22/28
USD
152
$
151,552
1,396,939
Health
Care
Technology
—
0.1%
(a)
Athenahealth
Group,
Inc.,
Delayed
Draw
Term
Loan,
(3
Month
CME
Term
SOFR
+
0.00%),
3.50%
-
7.82%
,
02/15/29
...........
11
9,793
Athenahealth
Group,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.50%),
7.82%
,
02/15/29
.................
224
202,035
Polaris
Newco
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.00%),
8.73%
,
06/02/28
.................
159
145,175
Verscend
Holding
Corp.,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
4.00%),
8.38%
,
08/27/25
233
230,803
587,806
Hotels,
Restaurants
&
Leisure
—
0.4%
(a)
1011778
BC
Unlimited
Liability
Co.,
Term
Loan
B4,
(LIBOR
USD
3
Month
+
1.75%),
6.13%
-
6.16%
,
11/19/26
.................
232
227,771
Aimbridge
Acquisition
Co.,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
02/02/26
.................
29
25,926
Bally's
Corp.,
Facility
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.25%),
7.54%
,
10/02/28
73
67,596
Caesars
Resort
Collection
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
12/23/24
.................
136
135,630
Caesars
Resort
Collection
LLC,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
07/21/25
.................
96
96,082
Carnival
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
06/30/25
.....
150
142,988
Churchill
Downs,
Inc.,
Facility
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.00%),
6.39%
,
12/27/24
.................
107
106,651
Churchill
Downs,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.00%),
6.39%
,
03/17/28
67
66,086
Fertitta
Entertainment
LLC,
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
4.00%),
8.32%
,
01/27/29
.................
435
412,987
Flutter
Entertainment
plc,
Term
Loan,
(LIBOR
USD
3
Month
+
2.25%),
6.98%
,
07/21/26
150
147,448
Flutter
Entertainment
plc,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
3.25%),
8.09%
,
07/22/28
.................
112
111,084
Four
Seasons
Holdings,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.25%),
7.44%
,
11/30/29
.................
236
235,652
Hilton
Worldwide
Finance
LLC,
Term
Loan
B2,
(1
Month
CME
Term
SOFR
+
1.75%),
6.17%
,
06/22/26
.................
51
50,463
IRB
Holding
Corp.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
02/05/25
....
141
139,925
Packers
Holdings
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.54%
,
03/09/28
160
138,891
Penn
National
Gaming,
Inc.,
Facility
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
2.75%),
7.17%
,
05/03/29
.................
172
170,193
Playa
Resorts
Holding
BV,
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.25%),
8.58%
,
01/05/29
.................
38
36,979
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
42
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Hotels,
Restaurants
&
Leisure
(continued)
Scientific
Games
International,
Inc.,
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
3.00%),
7.42%
,
04/14/29
.................
USD
69
$
68,261
Station
Casinos
LLC,
Facility
Term
Loan
B1,
(LIBOR
USD
1
Month
+
2.25%),
6.64%
,
02/08/27
.................
195
190,376
Whatabrands
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
08/03/28
....
217
209,734
Wyndham
Hotels
&
Resorts,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
05/30/25
.................
37
36,475
2,817,198
Household
Durables
—
0.1%
(a)
ACProducts
Holdings,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
4.25%),
8.98%
,
05/17/28
131
97,213
Hunter
Douglas
Holding
BV,
Term
Loan
B1,
(3
Month
CME
Term
SOFR
+
3.50%),
7.86%
,
02/26/29
.................
222
194,716
SWF
Holdings
I
Corp.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.00%),
8.75%
,
10/06/28
.................
119
97,089
Weber-Stephen
Products
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
10/30/27
.................
239
200,736
589,754
Household
Products
—
0.0%
(a)
Diamond
(BC)
BV,
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
7.16%
,
09/29/28
.....
189
182,353
Spectrum
Brands,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.00%),
6.42%
-
6.74%
,
03/03/28
.................
32
31,628
213,981
Independent
Power
and
Renewable
Electricity
Producers
—
0.0%
(a)
Calpine
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
08/12/26
.....
34
33,438
Constellation
Renewables
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
2.50%),
7.24%
,
12/15/27
.................
147
145,294
178,732
Insurance
—
0.2%
(a)
Alliant
Holdings
Intermediate
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
05/09/25
.................
197
194,589
Alliant
Holdings
Intermediate
LLC,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
3.50%),
7.85%
,
11/05/27
.................
298
290,733
AmWINS
Group,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
02/19/28
....
224
219,562
AssuredPartners,
Inc.,
Term
Loan
(LIBOR
USD
1
Month
+
3.50%),
7.88%, 02/12/27
...............
213
205,970
Hub
International
Ltd.,
Term
Loan
(LIBOR
USD
3
Month
+
3.00%),
7.33%, 04/25/25
...............
142
140,347
(3
Month
CME
Term
SOFR
+
4.00%),
8.22%, 11/10/29
...............
98
96,830
Hub
International
Ltd.,
Term
Loan
B3,
(LIBOR
USD
3
Month
+
3.25%),
7.53%
,
04/25/25
172
169,873
NFP
Corp.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
02/15/27
...........
40
38,554
Security
Par
(000)
Par
(000)
Value
Insurance
(continued)
Ryan
Specialty
Group
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.00%),
7.42%
,
09/01/27
.................
USD
129
$
128,028
Sedgwick
Claims
Management
Services,
Inc.,
Term
Loan
(LIBOR
USD
1
Month
+
3.25%),
7.63%, 12/31/25
...............
114
110,902
(LIBOR
USD
1
Month
+
4.25%),
8.63%, 09/03/26
...............
29
28,242
USI,
Inc.,
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.75%),
8.33%
,
11/22/29
......
184
181,910
1,805,540
Interactive
Media
&
Services
—
0.1%
(a)
Adevinta
ASA,
Facility
Term
Loan
B2,
(LIBOR
USD
3
Month
+
2.75%),
7.48%
,
06/26/28
136
134,085
Camelot
US
Acquisition
1
Co.,
Term
Loan
(LIBOR
USD
1
Month
+
3.00%),
7.38%, 10/30/26
...............
376
369,351
GoodRx,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
10/10/25
....
62
60,382
Grab
Holdings,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
4.50%),
8.89%
,
01/29/26
.....
139
137,024
700,842
Internet
&
Direct
Marketing
Retail
—
0.0%
(a)
Fanatics
Commerce
Intermediate
Holdco
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
11/24/28
(i)
................
69
67,401
Pug
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
02/12/27
...........
265
218,058
Pug
LLC,
Term
Loan
B2,
(LIBOR
USD
1
Month
+
4.25%),
8.63%
,
02/12/27
(i)
.........
49
40,734
326,193
IT
Services
—
0.2%
(a)
Asurion
LLC,
2nd
Lien
Term
Loan
B3,
(LIBOR
USD
1
Month
+
5.25%),
9.63%
,
01/31/28
69
53,532
Asurion
LLC,
2nd
Lien
Term
Loan
B4,
(LIBOR
USD
1
Month
+
5.25%),
9.63%
,
01/20/29
134
103,563
Asurion
LLC,
Term
Loan
B7,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
11/03/24
......
85
82,345
Asurion
LLC,
Term
Loan
B8,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
12/23/26
.....
180
159,681
Epicor
Software
Corp.,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
7.75%),
12.13%
,
07/31/28
................
119
117,348
Epicor
Software
Corp.,
Term
Loan
C,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
07/30/27
79
75,737
FleetCor
Technologies
Operating
Co.
LLC,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
04/28/28
...........
184
182,008
Gainwell
Acquisition
Corp.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
4.00%),
8.73%
,
10/01/27
.................
276
258,343
Go
Daddy
Operating
Co.
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.25%),
7.57%
,
11/09/29
.................
127
126,701
Go
Daddy
Operating
Co.
LLC,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
08/10/27
.................
85
84,508
Venga
Finance
SARL,
Term
Loan,
(LIBOR
USD
3
Month
+
4.75%),
9.48%
,
06/28/29
....
87
79,160
VS
Buyer
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
02/28/27
.....
217
210,070
BlackRock
Managed
Income
Fund
Schedule
of
Investments
43
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
IT
Services
(continued)
WEX,
Inc.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
03/31/28
..........
USD
74
$
73,675
1,606,671
Leisure
Products
—
0.0%
(a)
Fender
Musical
Instruments
Corp.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.00%),
8.42%
,
12/01/28
(i)
................
123
98,695
Peloton
Interactive,
Inc.,
Term
Loan,
(6
Month
CME
Term
SOFR
+
6.50%),
11.76%
,
05/25/27
................
85
82,954
181,649
Life
Sciences
Tools
&
Services
—
0.2%
(a)
Avantor
Funding,
Inc.,
Term
Loan
B5,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
11/08/27
.
213
211,935
Catalent
Pharma
Solutions,
Inc.,
Term
Loan
B3,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
02/22/28
.................
168
165,058
eResearchTechnology,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
4.50%),
8.88%
,
02/04/27
.................
188
165,630
ICON
plc,
Term
Loan
(LIBOR
USD
3
Month
+
2.25%),
7.00%, 07/03/28
...............
286
284,908
Maravai
Intermediate
Holdings
LLC,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
3.00%),
6.96%
,
10/19/27
.................
149
145,670
Phoenix
Newco,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.32%
,
11/15/28
.................
289
277,686
1,250,887
Machinery
—
0.3%
(a)
Albion
Financing
3
SARL,
Term
Loan,
(LIBOR
USD
3
Month
+
5.25%),
9.57%
,
08/17/26
118
111,567
Clark
Equipment
Co.,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
2.50%),
7.18%
,
04/20/29
.................
64
63,427
Columbus
McKinnon
Corp.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
7.50%
,
05/14/28
49
47,870
Filtration
Group
Corp.,
Term
Loan
(LIBOR
USD
1
Month
+
3.00%),
7.38%, 03/31/25
...............
147
144,999
(LIBOR
USD
1
Month
+
3.50%),
7.88%, 10/21/28
...............
140
137,606
Fluidra
SA,
Term
Loan,
(1
Month
CME
Term
SOFR
+
2.00%),
6.42%
,
01/29/29
.....
45
43,019
Gardner
Denver,
Inc.,
Term
Loan
B2,
(1
Month
CME
Term
SOFR
+
1.75%),
6.17%
,
03/01/27
.................
133
132,069
Gates
Global
LLC,
Term
Loan
B3,
(LIBOR
USD
1
Month
+
2.50%),
6.88%
,
03/31/27
....
197
192,229
Husky
Injection
Molding
Systems
Ltd.,
Term
Loan,
(LIBOR
USD
3
Month
+
3.00%),
5.88%
,
03/28/25
.................
281
261,538
Ingersoll-Rand
Services
Co.,
Term
Loan
B1,
(1
Month
CME
Term
SOFR
+
1.75%),
6.17%
,
03/01/27
.................
153
151,936
Madison
IAQ
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.25%),
7.99%
,
06/21/28
.....
159
147,178
SPX
Flow,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.50%),
8.92%
,
04/05/29
..
115
106,771
Security
Par
(000)
Par
(000)
Value
Machinery
(continued)
TK
Elevator
Midco
GmbH,
Facility
Term
Loan
B1,
(LIBOR
USD
6
Month
+
3.50%),
6.87%
,
07/30/27
.................
USD
231
$
221,697
Vertiv
Group
Corp.,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.75%),
7.12%
,
03/02/27
....
191
184,225
Zurn
LLC,
1st
Lien
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.00%),
6.38%
,
10/04/28
....
29
28,602
1,974,733
Media
—
0.2%
AVSC
Holding
Corp.,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
1
Month
+
3.25%),
7.43%
,
03/03/25
(a)
................
101
91,914
AVSC
Holding
Corp.,
1st
Lien
Term
Loan
B3,
15.00%
,
10/15/26
(n)
...............
47
47,662
Charter
Communications
Operating
LLC,
Term
Loan
B1,
(LIBOR
USD
1
Month
+
1.75%),
6.14%
,
04/30/25
(a)
................
109
107,953
Clear
Channel
Outdoor
Holdings,
Inc.,
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.50%),
7.91%
,
08/21/26
(a)
................
297
270,383
CMG
Media
Corp.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.50%),
8.23%
,
12/17/26
(a)
................
84
78,554
Cogeco
Communications
Finance
LP,
Term
Loan
B,
(LIBOR
USD
1
Month
+
2.50%),
6.88%
,
09/01/28
(a)
................
139
134,704
CSC
Holdings
LLC,
Term
Loan
(a)
(LIBOR
USD
1
Month
+
2.25%),
6.57%, 07/17/25
...............
6
5,959
(LIBOR
USD
1
Month
+
2.50%),
6.82%, 04/15/27
...............
131
116,403
DirecTV
Financing
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
5.00%),
9.38%
,
08/02/27
(a)
234
227,029
Eagle
Broadband
Investments
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.00%),
7.75%
,
11/12/27
(a)
................
124
118,418
EW
Scripps
Co.
(The),
Term
Loan
B3,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
01/07/28
(a)
37
36,179
Learfield
Communications
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.64%
,
12/01/23
(a)
................
179
133,168
Sinclair
Television
Group,
Inc.,
Term
Loan
B4,
(1
Month
CME
Term
SOFR
+
3.75%),
8.17%
,
04/21/29
(a)
................
82
77,320
Voyage
Digital
Ltd.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
4.50%),
8.78%
,
05/11/29
(a)(i)
...............
160
157,245
Ziggo
Financing
Partnership,
Facility
Term
Loan
I,
(LIBOR
USD
1
Month
+
2.50%),
6.82%
,
04/30/28
(a)
................
143
139,202
1,742,093
Metals
&
Mining
—
0.0%
Equinox
Holdings,
Inc.,
1st
Lien
Term
Loan
B1,
(LIBOR
USD
3
Month
+
3.00%),
7.73%
,
03/08/24
(a)
................
390
291,871
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
44
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Multiline
Retail
—
0.1%
(a)
New
SK
Holdco
Sub
LLC,
Term
Loan,
(1
Month
CME
Term
SOFR
+
6.75%),
11.17%
,
06/30/27
................
USD
430
$
368,601
Woof
Holdings,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.10%
,
12/21/27
.................
80
74,776
443,377
Oil,
Gas
&
Consumable
Fuels
—
0.1%
(a)
Ascent
Resources
Utica
Holdings
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
9.00%),
12.94%
,
11/01/25
...........
46
48,484
Freeport
LNG
investments
LLLP,
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.50%),
7.74%
,
12/21/28
.................
356
338,145
M6
ETX
Holdings
II
Midco
LLC,
Term
Loan,
(3
Month
CME
Term
SOFR
+
4.50%),
9.16%
,
09/19/29
.................
44
43,849
Medallion
Midland
Acquisition
LLC,
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.75%),
8.59%
,
10/18/28
.................
184
182,365
Oryx
Midstream
Services
Permian
Basin
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.25%),
7.92%
,
10/05/28
.................
219
216,245
829,088
Personal
Products
—
0.1%
Sunshine
Luxembourg
VII
SARL,
Facility
Term
Loan
B3,
(LIBOR
USD
3
Month
+
3.75%),
8.48%
,
10/01/26
(a)
................
436
416,460
Pharmaceuticals
—
0.1%
(a)
Amneal
Pharmaceuticals
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
7.94%
-
8.25%
,
05/04/25
.................
163
145,472
Bausch
Health
Cos.,
Inc.,
Term
Loan,
(1
Month
CME
Term
SOFR
+
5.25%),
9.67%
,
02/01/27
.................
111
83,759
Elanco
Animal
Health,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
1.75%),
5.87%
,
08/01/27
223
213,631
Jazz
Pharmaceuticals
plc,
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.88%
,
05/05/28
215
212,974
Organon
&
Co.,
Term
Loan,
(LIBOR
USD
3
Month
+
3.00%),
7.75%
,
06/02/28
.....
143
141,103
Precision
Medicine
Group
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.00%),
7.73%
,
11/18/27
(i)
................
199
184,843
981,782
Professional
Services
—
0.2%
(a)
AlixPartners
LLP,
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
02/04/28
.....
191
189,403
CoreLogic,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.50%),
7.94%
,
06/02/28
366
304,507
Dun
&
Bradstreet
Corp.
(The),
Term
Loan,
(LIBOR
USD
1
Month
+
3.25%),
7.64%
,
02/06/26
.................
364
360,266
Dun
&
Bradstreet
Corp.
(The),
Term
Loan
B2,
(1
Month
CME
Term
SOFR
+
3.25%),
7.57%
,
01/18/29
.................
76
74,646
Element
Materials
Technology
Group
US
Holdings,
Inc.,
Delayed
Draw
1st
Lien
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
4.25%),
8.93%
,
06/22/29
...........
58
56,688
Security
Par
(000)
Par
(000)
Value
Professional
Services
(continued)
Element
Materials
Technology
Group
US
Holdings,
Inc.,
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
4.25%),
8.93%
,
06/22/29
..
USD
129
$
126,074
Galaxy
US
Opco,
Inc.,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.75%),
9.07%
,
04/29/29
.................
221
199,452
Genuine
Financial
Holdings
LLC,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.75%),
8.33%
,
07/11/25
.................
95
91,550
Trans
Union
LLC,
Term
Loan
B5,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
11/16/26
....
145
143,235
Trans
Union
LLC,
Term
Loan
B6,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
12/01/28
....
193
190,496
1,736,317
Real
Estate
Management
&
Development
—
0.0%
Cushman
&
Wakefield
US
Borrower
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
08/21/25
(a)
................
217
211,896
Road
&
Rail
—
0.1%
(a)
AIT
Worldwide
Logistics
Holdings,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
4.75%),
8.49%
,
04/06/28
.................
80
72,915
Avis
Budget
Car
Rental
LLC,
Term
Loan
B,
(LIBOR
USD
1
Month
+
1.75%),
6.14%
,
08/06/27
.................
97
94,090
Genesee
&
Wyoming,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.00%),
6.73%
,
12/30/26
106
105,467
SIRVA
Worldwide,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
5.50%),
9.88%
-
10.23%
,
08/04/25
................
86
76,367
Uber
Technologies,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
8.23%
,
02/25/27
298
296,846
645,685
Semiconductors
&
Semiconductor
Equipment
—
0.0%
(a)
MKS
Instruments,
Inc.,
Term
Loan
B,
08/17/29
(m)
.....................
90
88,763
ON
Semiconductor
Corp.,
Term
Loan
B4,
(1
Month
CME
Term
SOFR
+
2.00%),
6.42%
,
09/19/26
.................
21
21,258
Synaptics,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.25%),
7.40%
,
12/02/28
.....
83
80,791
190,812
Software
—
0.7%
(a)
Applied
Systems,
Inc.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
4.50%),
9.08%
,
09/18/26
.................
109
108,786
Applied
Systems,
Inc.,
2nd
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
6.75%),
10.91%
,
09/17/27
................
48
47,460
Boxer
Parent
Co.,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
10/02/25
168
160,290
CCC
Intelligent
Solutions,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
09/21/28
.................
184
182,242
Central
Parent,
Inc.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
4.50%),
9.08%
,
07/06/29
.................
110
108,875
Cloudera,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
10/08/28
76
71,278
Cloudera,
Inc.,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
6.00%),
10.38%
,
10/08/29
83
69,029
BlackRock
Managed
Income
Fund
Schedule
of
Investments
45
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Software
(continued)
Delta
Topco,
Inc.,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.75%),
8.15%
,
12/01/27
.................
USD
113
$
104,540
Delta
Topco,
Inc.,
2nd
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
7.25%),
11.65%
,
12/01/28
................
30
23,362
Genesys
Cloud
Services
Holdings
I
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
4.00%),
8.38%
,
12/01/27
.................
318
304,509
Informatica
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.19%
,
10/27/28
.....
262
256,390
Instructure
Holdings,
Inc.,
Term
Loan,
(LIBOR
USD
3
Month
+
2.75%),
6.12%
,
10/30/28
(i)
68
66,939
Magenta
Buyer
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.75%),
9.17%
,
07/27/28
.................
162
137,801
Magenta
Buyer
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
8.25%),
12.67%
,
07/27/29
................
441
345,286
McAfee
Corp.,
Term
Loan
B1,
(1
Month
CME
Term
SOFR
+
3.75%),
7.97%
,
03/01/29
..
304
282,389
MH
Sub
I
LLC,
1st
Lien
Term
Loan
(LIBOR
USD
1
Month
+
3.75%),
8.13%, 09/13/24
...............
390
378,023
MH
Sub
I
LLC,
2nd
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
6.25%),
10.65%
,
02/23/29
................
252
225,033
Planview
Parent,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
4.00%),
8.73%
,
12/17/27
.................
130
120,171
Proofpoint,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.25%),
7.98%
,
08/31/28
411
394,455
RealPage,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
3.00%),
7.38%
,
04/24/28
444
421,149
Severin
Acquisition
LLC,
1st
Lien
Term
Loan,
(3
Month
CME
Term
SOFR
+
3.00%),
7.09%
,
08/01/25
.................
159
157,777
Sophia
LP,
1st
Lien
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.50%),
8.23%
,
10/07/27
....
167
160,924
SS&C
Technologies
Holdings,
Inc.,
Term
Loan
B3,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
04/16/25
.................
16
15,433
SS&C
Technologies
Holdings,
Inc.,
Term
Loan
B4,
(LIBOR
USD
1
Month
+
1.75%),
6.13%
,
04/16/25
.................
13
12,546
TIBCO
Software,
Inc.,
1st
Lien
Term
Loan
B,
(3
Month
CME
Term
SOFR
+
4.50%),
9.18%
,
03/30/29
.................
377
336,001
UKG,
Inc.,
1st
Lien
Term
Loan
(LIBOR
USD
3
Month
+
3.25%),
7.00%, 05/04/26
...............
103
98,062
(LIBOR
USD
1
Month
+
3.75%),
8.13%, 05/04/26
...............
146
140,489
UKG,
Inc.,
2nd
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
5.25%),
9.00%
,
05/03/27
.....
152
139,238
Voyage
Australia
Pty
Ltd.,
1st
Lien
Term
Loan,
(LIBOR
USD
3
Month
+
3.50%),
7.74%
,
07/20/28
(i)
................
52
48,867
ZoomInfo
LLC,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
3.00%),
7.48%
,
02/02/26
.................
20
19,906
4,937,250
Security
Par
(000)
Par
(000)
Value
Specialty
Retail
—
0.1%
(a)
EG
Group
Ltd.,
Facility
Term
Loan
(LIBOR
USD
3
Month
+
4.00%),
8.73%, 02/07/25
...............
USD
114
$
107,646
(LIBOR
USD
3
Month
+
4.25%),
8.98%, 03/31/26
...............
97
90,601
Mavis
Tire
Express
Services
Topco
Corp.,
1st
Lien
Term
Loan,
(1
Month
CME
Term
SOFR
+
4.00%),
8.50%
,
05/04/28
..........
146
138,627
PetSmart
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
3.75%),
8.13%
,
02/11/28
......
190
185,247
Pilot
Travel
Centers
LLC,
Term
Loan
B,
(1
Month
CME
Term
SOFR
+
2.00%),
6.42%
,
08/04/28
.................
151
148,668
Restoration
Hardware,
Inc.,
Term
Loan
(LIBOR
USD
1
Month
+
2.50%),
6.88%, 10/20/28
...............
73
66,839
(1
Month
CME
Term
SOFR
+
3.25%),
7.67%, 10/20/28
...............
116
108,206
845,834
Technology
Hardware,
Storage
&
Peripherals
—
0.0%
Electronics
for
Imaging,
Inc.,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
5.00%),
9.38%
,
07/23/26
(a)
................
74
49,214
Textiles,
Apparel
&
Luxury
Goods
—
0.0%
Crocs,
Inc.,
Term
Loan,
(6
Month
CME
Term
SOFR
+
3.50%),
7.73%
,
02/20/29
(a)
....
133
130,305
Trading
Companies
&
Distributors
—
0.1%
(a)
Beacon
Roofing
Supply,
Inc.,
Term
Loan,
(LIBOR
USD
1
Month
+
2.25%),
6.63%
,
05/19/28
.................
143
141,721
Core
&
Main
LP,
Term
Loan
B,
(LIBOR
USD
3
Month
+
2.50%),
6.89%
-
7.42%
,
07/27/28
302
297,382
SRS
Distribution,
Inc.,
Term
Loan
(LIBOR
USD
1
Month
+
3.50%),
7.88%, 06/02/28
...............
212
202,648
(1
Month
CME
Term
SOFR
+
3.50%),
7.92%, 06/02/28
...............
104
98,829
TMK
Hawk
Parent
Corp.,
Term
Loan
A,
(LIBOR
USD
3
Month
+
7.50%),
12.26%
,
05/30/24
(i)
37
33,930
TMK
Hawk
Parent
Corp.,
Term
Loan
B,
(LIBOR
USD
3
Month
+
3.50%),
8.26%
,
08/28/24
119
60,664
835,174
Transportation
Infrastructure
—
0.0%
(a)
KKR
Apple
Bidco
LLC,
1st
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
2.75%),
7.13%
,
09/22/28
.................
39
38,484
KKR
Apple
Bidco
LLC,
2nd
Lien
Term
Loan,
(LIBOR
USD
1
Month
+
5.75%),
10.13%
,
09/21/29
................
45
43,264
OLA
Netherlands
BV,
Term
Loan,
(1
Month
CME
Term
SOFR
+
6.25%),
10.67%
,
12/15/26
(i)
................
126
118,233
199,981
Wireless
Telecommunication
Services
—
0.1%
(a)
Digicel
International
Finance
Ltd.,
1st
Lien
Term
Loan
B,
(LIBOR
USD
1
Month
+
3.25%),
7.63%
,
05/27/24
.................
120
100,830
Gogo
Intermediate
Holdings
LLC,
Term
Loan,
(LIBOR
USD
3
Month
+
3.75%),
8.16%
,
04/30/28
.................
92
91,321
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
46
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Wireless
Telecommunication
Services
(continued)
SBA
Senior
Finance
II
LLC,
Term
Loan,
(LIBOR
USD
1
Month
+
1.75%),
6.14%
,
04/11/25
.
USD
177
$
176,154
368,305
Total
Floating
Rate
Loan
Interests
—
6.3%
(Cost:
$51,311,818)
..............................
48,535,508
Foreign
Agency
Obligations
Ireland
—
0.1%
AIB
Group
plc,
(LIBOR
USD
3
Month
+
1.87%),
4.26%
,
04/10/25
(a)(b)
...............
675
651,248
Mexico
—
0.0%
Petroleos
Mexicanos,
6.88%
,
08/04/26
....
175
166,338
Total
Foreign
Agency
Obligations
—
0.1%
(Cost:
$876,518)
................................
817,586
Shares
Shares
Investment
Companies
(o)
BlackRock
Allocation
Target
Shares
-
BATS
Series
A
.......................
6,885,757
62,729,250
BlackRock
Floating
Rate
Income
Portfolio,
Class
K
Shares
..................
428,707
4,029,841
BlackRock
GNMA
Portfolio,
Class
K
Shares
.
3,159,592
24,802,800
BlackRock
High
Yield
Bond
Portfolio,
Class
K
Shares
........................
63,184
419,542
iShares
Core
Dividend
Growth
ETF
......
483,776
24,188,800
iShares
iBoxx
$
High
Yield
Corporate
Bond
ETF
(p)
........................
105,452
7,764,431
iShares
iBoxx
$
Investment
Grade
Corporate
Bond
ETF
......................
73,183
7,715,684
iShares
MBS
ETF
..................
84,368
7,825,132
Total
Investment
Companies
—
18.2%
(Cost:
$151,552,467)
.............................
139,475,480
Par
(000)
Par
(000)
Non-Agency
Mortgage-Backed
Securities
Collateralized
Mortgage
Obligations
—
1.4%
(b)
CHNGE
Mortgage
Trust,
Series
2022-2,
Class
A1,
3.76%,
03/25/67
(a)
.............
892
828,487
COLT
Mortgage
Loan
Trust
Series
2022-5,
Class
A1,
4.55%,
04/25/67
(a)
263
254,069
Series
2022-9,
Class
A1,
6.79%,
12/25/67
(k)
820
828,122
Ellington
Financial
Mortgage
Trust,
Series
2021-2,
Class
A1,
0.93%,
06/25/66
(a)
....
134
102,849
GCAT
Trust
(a)
Series
2022-NQM2,
Class
A1,
4.21%,
02/25/67
....................
169
158,964
Series
2022-NQM3,
Class
A1,
4.35%,
04/25/67
....................
859
820,961
JP
Morgan
Mortgage
Trust,
Series
2022-DSC1,
Class
A1,
4.75%,
01/25/63
(a)
.........
879
832,615
MFRA
Trust,
Series
2022-CHM1,
Class
A1,
3.88%,
09/25/56
(k)
................
788
737,040
OBX
Trust
(k)
Series
2022-NQM7,
Class
A1,
5.11%,
08/25/62
....................
364
357,036
Series
2022-NQM8,
Class
A1,
6.10%,
09/25/62
....................
196
194,462
Series
2022-NQM9,
Class
A1A,
6.45%,
09/25/62
....................
1,277
1,271,094
Security
Par
(000)
Par
(000)
Value
Collateralized
Mortgage
Obligations
(continued)
PRKCM
Trust,
Series
2022-AFC2,
Class
A1,
5.33%,
08/25/57
(a)
................
USD
991
$
971,638
SG
Residential
Mortgage
Trust,
Series
2022-2,
Class
A1,
5.35%,
08/25/62
(k)
.........
1,070
1,051,034
Spruce
Hill
Mortgage
Loan
Trust,
Series
2022-
SH1,
Class
A1A,
4.10%,
07/25/57
(k)
....
1,075
979,654
Verus
Securitization
Trust
(k)
Series
2022-3,
Class
A1,
4.13%,
02/25/67
683
645,058
Series
2022-INV2,
Class
A1,
6.79%,
10/25/67
....................
1,053
1,060,595
11,093,678
Total
Non-Agency
Mortgage-Backed
Securities
—
1.4%
(Cost:
$11,004,114)
..............................
11,093,678
Beneficial
Interest
(000)
Other
Interests
(q)
Capital
Markets
—
0.0%
Lehman
Brothers
Holdings,
Inc.
(c)(h)(i)
......
15
—
Total
Other
Interests
—
0.0%
(Cost:
$—)
....................................
—
Par
(000)
Pa
r
(
000)
Preferred
Securities
Capital
Trusts
—
1.7%
Banks
—
0.5%
(a)(g)
Bank
of
America
Corp.,
Series
RR,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.76%),
4.38%
......
650
550,505
Citigroup,
Inc.
Series
U,
(SOFR
1
Day
+
3.81%),
5.00%
.
1,063
946,083
Series
W,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.60%),
4.00%
......................
50
43,556
Series
Y,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.00%),
4.15%
......................
10
8,164
JPMorgan
Chase
&
Co.
Series
FF,
(SOFR
1
Day
+
3.38%),
5.00%
144
131,750
Series
HH,
(SOFR
1
Day
+
3.13%),
4.60%
40
35,250
PNC
Financial
Services
Group,
Inc.
(The)
Series
T,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.60%),
3.40%
......................
800
634,000
Series
V,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.24%),
6.20%
......................
122
119,225
US
Bancorp,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.54%),
3.70%
........................
555
453,712
Wells
Fargo
&
Co.
Series
S,
(LIBOR
USD
3
Month
+
3.11%),
5.90%
......................
395
353,766
Series
BB,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.45%),
3.90%
......................
892
780,736
4,056,747
BlackRock
Managed
Income
Fund
Schedule
of
Investments
47
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Security
Par
(000)
Par
(000)
Value
Capital
Markets
—
0.4%
(a)(g)
Bank
of
New
York
Mellon
Corp.
(The),
Series
H,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.35%),
3.70%
USD
775
$
689,281
Charles
Schwab
Corp.
(The)
Series
I,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.17%),
4.00%
......................
1,100
954,250
Series
H,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
10
Year
+
3.08%),
4.00%
................
834
665,073
Goldman
Sachs
Group,
Inc.
(The)
Series
R,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.22%),
4.95%
......................
97
88,269
Series
T,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
2.97%),
3.80%
......................
600
488,821
2,885,694
Consumer
Finance
—
0.3%
(a)(g)
Ally
Financial,
Inc.,
Series
B,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.87%),
4.70%
.............
1,325
886,094
Discover
Financial
Services,
Series
C,
(LIBOR
USD
3
Month
+
3.08%),
5.50%
.......
725
577,113
General
Motors
Financial
Co.,
Inc.,
Series
C,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.00%),
5.70%
631
534,063
1,997,270
Diversified
Financial
Services
—
0.1%
Voya
Financial,
Inc.,
Series
A,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.36%),
6.13%
(a)(g)
...........
475
462,544
Electric
Utilities
—
0.1%
Edison
International,
Series
A,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.70%),
5.38%
(a)(g)
...........
1,222
1,000,073
Independent
Power
and
Renewable
Electricity
Producers
—
0.0%
Vistra
Corp.,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.74%),
7.00%
(a)(b)(g)
.....................
68
61,875
Insurance
—
0.1%
MetLife,
Inc.,
Series
G,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
3.58%),
3.85%
(a)(g)
...............
950
882,313
Multi-Utilities
—
0.0%
Sempra
Energy,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
4.55%),
4.88%
(a)(g)
......................
450
416,106
Oil,
Gas
&
Consumable
Fuels
—
0.2%
Energy
Transfer
LP,
Series
G,
(US
Treasury
Yield
Curve
Rate
T
Note
Constant
Maturity
5
Year
+
5.31%),
7.13%
(a)(g)
...........
1,650
1,377,750
Total
Capital
Trusts
—
1.7%
(Cost:
$15,573,999)
..............................
13,140,372
Shares
Shares
Preferred
Stocks
—
0.2%
Consumer
Finance
—
0.0%
SLM
Corp.,
Series
B,
(LIBOR
USD
3
Month
+
1.70%),
6.47%
(a)(g)
................
2,500
143,850
Security
Shares
Shares
Value
Insurance
—
0.1%
Allstate
Corp.
(The),
Series
H,
5.10%
(g)
....
15,000
$
297,150
Oil,
Gas
&
Consumable
Fuels
—
0.1%
Energy
Transfer
LP,
Series
E,
(LIBOR
USD
3
Month
+
5.16%),
7.60%
(a)(g)
..........
25,000
547,250
Total
Preferred
Stocks
—
0.2%
(Cost:
$1,170,581)
..............................
988,250
Trust
Preferreds
—
0.0%
Commercial
Services
&
Supplies
—
0.0%
ILFC
E-Capital
Trust
I
,
(30Y
CMT
+
1.55%),
6.29%, 12/21/65
(a)(b)
...............
100,000
59,000
Total
Trust
Preferreds
—
0.0%
(Cost:
$95,250)
................................
59,000
Total
Preferred
Securities
—
1.9%
(Cost:
$16,839,830)
..............................
14,187,622
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)
(c)
(i)
............................
766
—
Oil,
Gas
&
Consumable
Fuels
—
0.0%
California
Resources
Corp.
(Issued/Exercisable
10/23/20,
1
share
for
1
warrant,
Expires
10/27/24,
Strike
Price
USD
36.00)
(c)
....
52
655
Total
Warrants
—
0.0%
(Cost:
$—)
....................................
655
Total
Long-Term
Investments
—
95.0%
(Cost:
$790,164,176)
.............................
728,473,851
Short-Term
Securities
Money
Market
Funds
—
3.6%
(o)(r)
BlackRock
Liquidity
Funds,
T-Fund,
Institutional
Class,
4.03%
...................
23,716,077
23,716,077
SL
Liquidity
Series,
LLC,
Money
Market
Series,
4.49%
(s)
.......................
3,710,763
3,710,763
Total
Short-Term
Securities
—
3.6%
(Cost:
$27,426,840)
..............................
27,426,840
Total
Investments
—
98.6%
(Cost:
$817,591,016
)
.............................
755,900,691
Other
Assets
Less
Liabilities
—
1.4%
...................
11,010,951
Net
Assets
—
100.0%
..............................
$
766,911,642
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
48
(Percentages
shown
are
based
on
Net
Assets)
Schedule
of
Investments
(continued)
December
31,
2022
Affiliates
Investments
in
issuers
considered
to
be
affiliate(s)
of
the
Fund
during
the year
ended
December
31,
2022
for
purposes
of
Section
2(a)(3)
of
the
Investment
Company
Act
of
1940,
as
amended,
were
as
follows:
(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)
Non-income
producing
security.
(d)
This
security
may
be
resold
to
qualified
foreign
investors
and
foreign
institutional
buyers
under
Regulation
S
of
the
Securities
Act
of
1933.
(e)
Convertible
security.
(f)
Zero-coupon
bond.
(g)
Perpetual
security
with
no
stated
maturity
date.
(h)
Issuer
filed
for
bankruptcy
and/or
is
in
default.
(i)
Security
is
valued
using
significant
unobservable
inputs
and
is
classified
as
Level
3
in
the
fair
value
hierarchy.
(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)
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.
(l)
Rounds
to
less
than
1,000.
(m)
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.
(n)
Fixed
rate.
(o)
Affiliate
of
the
Fund.
(p)
All
or
a
portion
of
this
security
is
on
loan.
(q)
Other
interests
represent
beneficial
interests
in
liquidation
trusts
and
other
reorganization
or
private
entities.
(r)
Annualized
7-day
yield
as
of
period
end.
(s)
All
or
a
portion
of
this
security
was
purchased
with
the
cash
collateral
from
loaned
securities.
Affiliated
Issuer
Value
at
12/31/21
Purchases
at
Cost
Proceeds
from
Sale
Net
Realized
Gain
(Loss)
Change
in
Unrealized
Appreciation
(Depreciation)
Value
at
12/31/22
Shares
Held
at
12/31/22
Income
Capital
Gain
Distributions
from
Underlying
Funds
BlackRock
Liquidity
Funds,
T-Fund,
Institutional
Class
...
$
35,824,234
$
—
$
(12,108,157)
(a)
$
—
$
—
$
23,716,077
23,716,077
$
388,778
$
—
SL
Liquidity
Series,
LLC,
Money
Market
Series
...........
35,553,336
—
(31
,
842,573
)
(a)
(796)
796
3,710,763
3,710,763
6,469
(b)
—
BlackRock
Allocation
Target
Shares
-
BATS
Series
A
....
68,719,858
—
—
—
(5,990,608)
62,729,250
6,885,757
2,544,319
—
BlackRock
Floating
Rate
Income
Portfolio,
Class
K
Shares
...
20,171,128
11,276,368
(25,764,374)
(1,451,050)
(202,231)
4,029,841
428,707
946,711
—
BlackRock
GNMA
Portfolio,
Class
K
Shares
..............
—
32,222,767
(2,728,295)
(571,542)
(4,120,130)
24,802,800
3,159,592
715,415
7,357
BlackRock
High
Yield
Bond
Portfolio,
Class
K
Shares
...
—
23,746,478
(20,685,109)
(2,638,075)
(3,752)
419,542
63,184
646,479
—
iShares
Core
Dividend
Growth
ETF
..................
20,580,329
29,829,472
(22,503,680)
1,732,780
(5,450,101)
24,188,800
483,776
374,460
—
iShares
iBoxx
$
High
Yield
Corporate
Bond
ETF
......
19,892,139
8,031,340
(19,880,607)
516,578
(795,019)
7,764,431
105,452
41,794
—
iShares
iBoxx
$
Investment
Grade
Corporate
Bond
ETF
......
9,426,678
8,036,862
(9,325,762)
195,698
(617,792)
7,715,684
73,183
24,265
—
iShares
MBS
ETF
..........
31,749,432
8,046,564
(31,627,717)
(469,621)
126,474
7,825,132
84,368
20,334
—
iShares
U.S.
Real
Estate
ETF
(c)
.
15,251,389
—
(14,266,201)
(249,027)
(736,161)
—
—
56,809
—
$
(2,935,055)
$
(17,788,524)
$
166,902,320
$
5,765,833
$
7,357
—
—
(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.
BlackRock
Managed
Income
Fund
Schedule
of
Investments
49
Schedule
of
Investments
(continued)
December
31,
2022
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)
Long
Contracts
S&P
500
E-Mini
Index
......................................................
48
03/17/23
$
9,266
$
(305,338)
U.S.
Treasury
10
Year
Note
...................................................
1,102
03/22/23
123,579
(644,976)
U.S.
Treasury
10
Year
Ultra
Note
...............................................
213
03/22/23
25,111
(165,219)
U.S.
Treasury
2
Year
Note
....................................................
17
03/31/23
3,485
(4,892)
U.S.
Treasury
5
Year
Note
....................................................
947
03/31/23
102,113
(1,259,788)
(2,380,213)
Short
Contracts
GBP
Currency
............................................................
168
03/13/23
12,688
332,275
JPY
Currency
............................................................
17
03/13/23
1,638
(50,509)
U.S.
Treasury
10
Year
Note
...................................................
36
03/22/23
4,037
61,535
U.S.
Treasury
Long
Bond
....................................................
4
03/22/23
499
16,556
U.S.
Treasury
Ultra
Bond
....................................................
45
03/22/23
6,009
498,378
858,235
$
(1,521,978)
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
Investment
Grade
Index
Series
39.V1
................
1.00
%
Quarterly
12/20/27
USD
3,072
$
(25,423)
$
(8,979)
$
(16,444)
Balances
Reported
in
the
Statement
of
Assets
and
Liabilities
for
Centrally
Cleared
Swaps
Description
Swap
Premiums
Paid
Swap
Premiums
Received
Unrealized
Appreciation
Unrealized
Depreciation
Centrally
Cleared
Swaps
(a)
.........................................................
$
—
$
(8,979)
$
—
$
(16,444)
(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
Statement
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
Statement
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)
.....
$
—
$
—
$
—
$
332,275
$
576,469
$
—
$
908,744
Liabilities
—
Derivative
Financial
Instruments
Futures
contracts
Unrealized
depreciation
on
futures
contracts
(a)
.....
$
—
$
—
$
305,338
$
50,509
$
2,074,875
$
—
$
2,430,722
Swaps
—
centrally
cleared
Unrealized
depreciation
on
centrally
cleared
swaps
(a)
.
—
16,444
—
—
—
—
16,444
$
—
$
16,444
$
305,338
$
50,509
$
2,074,875
$
—
$
2,447,166
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
50
Schedule
of
Investments
(continued)
December
31,
2022
For
more
information
about
the
Fund’s
investment
risks
regarding
derivative
financial
instruments,
refer
to
the
Notes
to
Financial
Statements.
Fair
Value
Hierarchy
as
of Period
End
Various
inputs
are
used
in
determining
the
fair
value
of
financial
instruments.
For
a
description
of
the
input
levels
and
information
about
the
Fund’s
policy
regarding
valuation
of
financial
instruments,
refer
to
the
Notes
to
Financial
Statements.
The
following
table
summarizes
the
Fund’s
financial
instruments
categorized
in
the
fair
value
hierarchy.
The
breakdown
of
the
Fund's
financial
instruments
into
major
categories
is
disclosed
in
the
Schedule
of
Investments
above.
(a)
Net
cumulative
unrealized
appreciation
(depreciation)
on
futures
contracts
and
centrally
cleared
swaps,
if
any,
are
reported
in
the
Schedule
of
Investments.
In
the
Statement
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
December
31,
2022,
the
effect
of
derivative
financial
instruments
in
the
Statement
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
.......................
$
—
$
—
$
(1,372,064)
$
1,325,051
$
(494,053)
$
—
$
(541,066)
Options
purchased
(a)
....................
—
—
3,507,633
—
—
—
3,507,633
Options
written
........................
—
—
(738,033)
—
—
—
(738,033)
Swaps
..............................
—
(20,661)
—
—
—
—
(20,661)
$
—
$
(20,661)
$
1,397,536
$
1,325,051
$
(494,053)
$
—
$
2,207,873
Net
Change
in
Unrealized
Appreciation
(Depreciation)
on
Futures
contracts
.......................
$
—
$
—
$
(539,777)
$
615,312
$
(1,708,340)
$
—
$
(1,632,805)
Swaps
..............................
—
28,499
—
—
—
—
28,499
$
—
$
28,499
$
(539,777)
$
615,312
$
(1,708,340)
$
—
$
(1,604,306)
(a)
Options
purchased
are
included
in
net
realized
gain
(loss)
from
investments
—
unaffiliated.
Average
Quarterly
Balances
of
Outstanding
Derivative
Financial
Instruments
Futures
contracts
Average
notional
value
of
contracts
—
long
..................................................................................
$
146,727,895
Average
notional
value
of
contracts
—
short
.................................................................................
$
27,465,234
Options
Average
value
of
option
contracts
purchased
................................................................................
$
662,859
Average
value
of
option
contracts
written
...................................................................................
$
296,418
Credit
default
swaps
Average
notional
value
—
buy
protection
...................................................................................
$
768,000
Level
1
Level
2
Level
3
Total
Assets
Investments
Long-Term
Investments
Asset-Backed
Securities
...................................
$
—
$
109,919,745
$
—
$
109,919,745
Common
Stocks
Air
Freight
&
Logistics
....................................
1,406,366
—
—
1,406,366
Banks
...............................................
2,933,457
1,706,107
—
4,639,564
Beverages
...........................................
—
1,417,071
—
1,417,071
Biotechnology
.........................................
1,773,508
—
—
1,773,508
Building
Products
.......................................
1,097
—
—
1,097
Capital
Markets
........................................
1,702,994
—
—
1,702,994
Chemicals
............................................
712,493
1,060,825
—
1,773,318
Consumer
Finance
......................................
1,003,511
—
—
1,003,511
Diversified
Telecommunication
Services
........................
1,489,101
1,359,401
—
2,848,502
Electric
Utilities
........................................
—
1,117,125
—
1,117,125
Electrical
Equipment
.....................................
—
1,409,262
—
1,409,262
Electronic
Equipment,
Instruments
&
Components
.................
1,417,436
—
—
1,417,436
Energy
Equipment
&
Services
..............................
986,538
—
—
986,538
Equity
Real
Estate
Investment
Trusts
(REITs)
....................
4,903,012
1,075,103
—
5,978,115
Food
&
Staples
Retailing
..................................
1,234,078
—
—
1,234,078
Health
Care
Equipment
&
Supplies
...........................
1,424,918
997,485
—
2,422,403
BlackRock
Managed
Income
Fund
Schedule
of
Investments
51
Schedule
of
Investments
(continued)
December
31,
2022
Level
1
Level
2
Level
3
Total
Health
Care
Providers
&
Services
............................
$
1,414,520
$
—
$
—
$
1,414,520
Household
Durables
.....................................
—
1,406,737
—
1,406,737
Household
Products
.....................................
—
2,093,701
—
2,093,701
Insurance
............................................
1,127,666
3,336,293
—
4,463,959
IT
Services
...........................................
4,333,946
378,278
—
4,712,224
Life
Sciences
Tools
&
Services
..............................
—
1,330,272
—
1,330,272
Machinery
............................................
1,484,836
1,401,045
—
2,885,881
Oil,
Gas
&
Consumable
Fuels
...............................
1,364,497
—
—
1,364,497
Personal
Products
......................................
811,568
—
—
811,568
Pharmaceuticals
.......................................
—
5,665,546
—
5,665,546
Professional
Services
....................................
—
1,393,583
—
1,393,583
Real
Estate
Management
&
Development
.......................
—
475,142
—
475,142
Semiconductors
&
Semiconductor
Equipment
....................
—
2,909,819
—
2,909,819
Software
.............................................
4,130,705
—
—
4,130,705
Specialty
Retail
........................................
—
1,920,231
—
1,920,231
Textiles,
Apparel
&
Luxury
Goods
............................
—
2,267,606
—
2,267,606
Tobacco
.............................................
1,924,306
—
—
1,924,306
Trading
Companies
&
Distributors
............................
—
1,490,457
—
1,490,457
Wireless
Telecommunication
Services
.........................
—
964,395
—
964,395
Corporate
Bonds
Aerospace
&
Defense
....................................
—
6,454,643
—
6,454,643
Air
Freight
&
Logistics
....................................
—
357,747
—
357,747
Airlines
..............................................
—
1,885,785
—
1,885,785
Auto
Components
......................................
—
1,445,089
—
1,445,089
Automobiles
..........................................
—
4,968,373
—
4,968,373
Banks
...............................................
—
60,576,374
—
60,576,374
Beverages
...........................................
—
1,688,459
—
1,688,459
Biotechnology
.........................................
—
4,517,753
—
4,517,753
Building
Products
.......................................
—
820,477
—
820,477
Capital
Markets
........................................
—
21,445,214
—
21,445,214
Chemicals
............................................
—
2,496,981
—
2,496,981
Commercial
Services
&
Supplies
.............................
—
1,976,736
—
1,976,736
Communications
Equipment
................................
—
1,272,831
—
1,272,831
Construction
&
Engineering
................................
—
155,029
—
155,029
Consumer
Finance
......................................
—
14,301,598
—
14,301,598
Containers
&
Packaging
..................................
—
2,685,762
—
2,685,762
Distributors
...........................................
—
75,539
—
75,539
Diversified
Consumer
Services
..............................
—
1,182,290
—
1,182,290
Diversified
Financial
Services
...............................
—
3,395,880
—
3,395,880
Diversified
Telecommunication
Services
........................
—
7,945,851
—
7,945,851
Electric
Utilities
........................................
—
16,946,910
—
16,946,910
Electrical
Equipment
.....................................
—
113,556
—
113,556
Electronic
Equipment,
Instruments
&
Components
.................
—
330,869
—
330,869
Energy
Equipment
&
Services
..............................
—
1,061,253
—
1,061,253
Entertainment
.........................................
—
1,604,334
—
1,604,334
Equity
Real
Estate
Investment
Trusts
(REITs)
....................
—
10,406,310
—
10,406,310
Food
&
Staples
Retailing
..................................
—
1,156,710
—
1,156,710
Food
Products
.........................................
—
2,907,015
—
2,907,015
Gas
Utilities
...........................................
—
422,652
—
422,652
Health
Care
Equipment
&
Supplies
...........................
—
1,866,338
—
1,866,338
Health
Care
Providers
&
Services
............................
—
8,042,156
—
8,042,156
Health
Care
Technology
..................................
—
203,393
—
203,393
Hotels,
Restaurants
&
Leisure
..............................
—
3,462,557
—
3,462,557
Household
Durables
.....................................
—
724,701
—
724,701
Household
Products
.....................................
—
101,683
—
101,683
Independent
Power
and
Renewable
Electricity
Producers
............
—
1,175,092
—
1,175,092
Insurance
............................................
—
5,373,882
—
5,373,882
Interactive
Media
&
Services
...............................
—
891,569
—
891,569
Internet
&
Direct
Marketing
Retail
............................
—
1,770,020
—
1,770,020
IT
Services
...........................................
—
5,538,415
—
5,538,415
Leisure
Products
.......................................
—
131,029
—
131,029
Life
Sciences
Tools
&
Services
..............................
—
803,173
—
803,173
Machinery
............................................
—
1,119,411
—
1,119,411
Marine
..............................................
—
68,960
—
68,960
Fair
Value
Hierarchy
as
of Period
End
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
BlackRock
Managed
Income
Fund
52
Schedule
of
Investments
(continued)
December
31,
2022
Level
1
Level
2
Level
3
Total
Media
...............................................
$
—
$
9,582,469
$
—
$
9,582,469
Metals
&
Mining
........................................
—
2,556,486
—
2,556,486
Mortgage
Real
Estate
Investment
Trusts
(REITs)
..................
—
105,556
—
105,556
Multiline
Retail
.........................................
—
77,793
—
77,793
Multi-Utilities
..........................................
—
1,952,540
—
1,952,540
Oil,
Gas
&
Consumable
Fuels
...............................
—
23,305,382
—
23,305,382
Paper
&
Forest
Products
..................................
—
601,437
—
601,437
Personal
Products
......................................
—
244,084
—
244,084
Pharmaceuticals
.......................................
—
5,300,624
—
5,300,624
Professional
Services
....................................
—
196,311
—
196,311
Real
Estate
Management
&
Development
.......................
—
206,928
—
206,928
Road
&
Rail
...........................................
—
5,817,513
—
5,817,513
Semiconductors
&
Semiconductor
Equipment
....................
—
7,153,193
—
7,153,193
Software
.............................................
—
8,670,252
—
8,670,252
Specialty
Retail
........................................
—
3,420,477
—
3,420,477
Technology
Hardware,
Storage
&
Peripherals
....................
—
2,358,845
—
2,358,845
Textiles,
Apparel
&
Luxury
Goods
............................
—
80,101
—
80,101
Thrifts
&
Mortgage
Finance
................................
—
369,313
—
369,313
Tobacco
.............................................
—
3,174,008
—
3,174,008
Trading
Companies
&
Distributors
............................
—
3,813,969
—
3,813,969
Wireless
Telecommunication
Services
.........................
—
4,364,114
—
4,364,114
Equity-Linked
Notes
......................................
—
40,465,746
—
40,465,746
Floating
Rate
Loan
Interests
Aerospace
&
Defense
....................................
—
1,233,707
—
1,233,707
Airlines
..............................................
—
1,422,094
—
1,422,094
Auto
Components
......................................
—
360,408
—
360,408
Automobiles
..........................................
—
166,498
—
166,498
Beverages
...........................................
—
427,049
—
427,049
Building
Products
.......................................
—
650,064
—
650,064
Capital
Markets
........................................
—
1,058,937
—
1,058,937
Chemicals
............................................
—
1,806,026
—
1,806,026
Commercial
Services
&
Supplies
.............................
—
1,549,702
109,266
1,658,968
Communications
Equipment
................................
—
164,177
—
164,177
Construction
&
Engineering
................................
—
407,509
—
407,509
Construction
Materials
....................................
—
418,425
—
418,425
Containers
&
Packaging
..................................
—
878,968
—
878,968
Distributors
...........................................
—
117,955
—
117,955
Diversified
Consumer
Services
..............................
—
1,197,881
—
1,197,881
Diversified
Financial
Services
...............................
—
1,272,696
—
1,272,696
Diversified
Telecommunication
Services
........................
—
1,834,710
—
1,834,710
Electric
Utilities
........................................
—
91,245
—
91,245
Electrical
Equipment
.....................................
—
200,945
—
200,945
Electronic
Equipment,
Instruments
&
Components
.................
—
105,683
—
105,683
Entertainment
.........................................
—
1,594,967
183,338
1,778,305
Equity
Real
Estate
Investment
Trusts
(REITs)
....................
—
72,237
—
72,237
Food
&
Staples
Retailing
..................................
—
269,631
—
269,631
Food
Products
.........................................
—
1,622,565
—
1,622,565
Health
Care
Equipment
&
Supplies
...........................
—
832,456
—
832,456
Health
Care
Providers
&
Services
............................
—
1,396,939
—
1,396,939
Health
Care
Technology
..................................
—
587,806
—
587,806
Hotels,
Restaurants
&
Leisure
..............................
—
2,817,198
—
2,817,198
Household
Durables
.....................................
—
589,754
—
589,754
Household
Products
.....................................
—
213,981
—
213,981
Independent
Power
and
Renewable
Electricity
Producers
............
—
178,732
—
178,732
Insurance
............................................
—
1,805,540
—
1,805,540
Interactive
Media
&
Services
...............................
—
700,842
—
700,842
Internet
&
Direct
Marketing
Retail
............................
—
218,058
108,135
326,193
IT
Services
...........................................
—
1,606,671
—
1,606,671
Leisure
Products
.......................................
—
82,954
98,695
181,649
Life
Sciences
Tools
&
Services
..............................
—
1,250,887
—
1,250,887
Machinery
............................................
—
1,974,733
—
1,974,733
Media
...............................................
—
1,584,848
157,245
1,742,093
Metals
&
Mining
........................................
—
291,871
—
291,871
Multiline
Retail
.........................................
—
443,377
—
443,377
Fair
Value
Hierarchy
as
of Period
End
(continued)
BlackRock
Managed
Income
Fund
Schedule
of
Investments
53
Schedule
of
Investments
(continued)
December
31,
2022
See
notes
to
financial
statements.
Level
1
Level
2
Level
3
Total
Oil,
Gas
&
Consumable
Fuels
...............................
$
—
$
829,088
$
—
$
829,088
Personal
Products
......................................
—
416,460
—
416,460
Pharmaceuticals
.......................................
—
796,939
184,843
981,782
Professional
Services
....................................
—
1,736,317
—
1,736,317
Real
Estate
Management
&
Development
.......................
—
211,896
—
211,896
Road
&
Rail
...........................................
—
645,685
—
645,685
Semiconductors
&
Semiconductor
Equipment
....................
—
190,812
—
190,812
Software
.............................................
—
4,821,444
115,806
4,937,250
Specialty
Retail
........................................
—
845,834
—
845,834
Technology
Hardware,
Storage
&
Peripherals
....................
—
49,214
—
49,214
Textiles,
Apparel
&
Luxury
Goods
............................
—
130,305
—
130,305
Trading
Companies
&
Distributors
............................
—
801,244
33,930
835,174
Transportation
Infrastructure
...............................
—
81,748
118,233
199,981
Wireless
Telecommunication
Services
.........................
—
368,305
—
368,305
Foreign
Agency
Obligations
.................................
—
817,586
—
817,586
Investment
Companies
....................................
76,746,230
—
—
76,746,230
Non-Agency
Mortgage-Backed
Securities
........................
—
11,093,678
—
11,093,678
Other
Interests
..........................................
—
—
—
—
Preferred
Securities
Banks
...............................................
—
4,056,747
—
4,056,747
Capital
Markets
........................................
—
2,885,694
—
2,885,694
Commercial
Services
&
Supplies
.............................
—
59,000
—
59,000
Consumer
Finance
......................................
143,850
1,997,270
—
2,141,120
Diversified
Financial
Services
...............................
—
462,544
—
462,544
Electric
Utilities
........................................
—
1,000,073
—
1,000,073
Independent
Power
and
Renewable
Electricity
Producers
............
—
61,875
—
61,875
Insurance
............................................
297,150
882,313
—
1,179,463
Multi-Utilities
..........................................
—
416,106
—
416,106
Oil,
Gas
&
Consumable
Fuels
...............................
547,250
1,377,750
—
1,925,000
Warrants
..............................................
655
—
—
655
Short-Term
Securities
Money
Market
Funds
......................................
23,716,077
—
—
23,716,077
Liabilities
Unfunded
Floating
Rate
Loan
Interests
(a)
..............................
—
(3,088)
—
(3,088)
$
139,031,765
$
549,316,334
$
1,109,491
$
689,457,590
Investments
valued
at
NAV
(b)
......................................
66,440,013
$
—
$
755,897,603
$
—
Derivative
Financial
Instruments
(c)
Assets
Foreign
currency
exchange
contracts
............................
$
332,275
$
—
$
—
$
332,275
Interest
rate
contracts
.......................................
576,469
—
—
576,469
Liabilities
Credit
contracts
...........................................
—
(16,444)
—
(16,444)
Equity
contracts
...........................................
(305,338)
—
—
(305,338)
Foreign
currency
exchange
contracts
............................
(50,509)
—
—
(50,509)
Interest
rate
contracts
.......................................
(2,074,875)
—
—
(2,074,875)
$
(1,521,978)
$
(16,444)
$
—
$
(1,538,422)
(a)
Unfunded
floating
rate
loan
interests
are
valued
at
the
unrealized
appreciation
(depreciation)
on
the
commitment.
(b)
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.
(c)
Derivative
financial
instruments
are
swaps
and
futures
contracts.
Swaps
and
futures
contracts
are
valued
at
the
unrealized
appreciation
(depreciation)
on
the
instrument.
Fair
Value
Hierarchy
as
of Period
End
(continued)
Statement
of
Assets
and
Liabilities
December
31,
2022
2022
BlackRock
Annual
Report
to
Shareholders
54
BlackRock
Managed
Income
Fund
ASSETS
Investments,
at
value
—
unaffiliated
(a)
(b)
.......................................................................................
$
588,998,371
Investments,
at
value
—
affiliated
(c)
..........................................................................................
166,902,320
Cash
.............................................................................................................
458,848
Cash
pledged:
–
Futures
contracts
....................................................................................................
5,610,000
Centrally
cleared
swaps
................................................................................................
49,000
Foreign
currency,
at
value
(d)
...............................................................................................
20,709
Receivables:
–
Investments
sold
....................................................................................................
6,707,563
Securities
lending
income
—
affiliated
......................................................................................
1,085
Capital
shares
sold
...................................................................................................
1,394,091
Dividends
—
unaffiliated
...............................................................................................
161,526
Dividends
—
affiliated
.................................................................................................
472,443
Interest
—
unaffiliated
.................................................................................................
5,167,560
From
the
Manager
...................................................................................................
58,992
Variation
margin
on
futures
contracts
.......................................................................................
41,186
Prepaid
expenses
.....................................................................................................
65,103
Total
assets
.........................................................................................................
776,108,797
LIABILITIES
Collateral
on
securities
loaned
.............................................................................................
3,717,114
Payables:
–
Investments
purchased
................................................................................................
351,471
Administration
fees
...................................................................................................
2,726
Capital
shares
redeemed
...............................................................................................
3,540,787
Income
dividend
distributions
............................................................................................
133,378
Investment
advisory
fees
..............................................................................................
211,433
Trustees'
and
Officer's
fees
.............................................................................................
2,448
Other
affiliate
fees
...................................................................................................
2,594
Professional
fees
....................................................................................................
110,196
Service
and
distribution
fees
.............................................................................................
92,694
Variation
margin
on
futures
contracts
.......................................................................................
610,976
Variation
margin
on
centrally
cleared
swaps
..................................................................................
3,027
Other
accrued
expenses
...............................................................................................
415,223
Unrealized
depreciation
on:
–
Unfunded
floating
rate
loan
interests
.......................................................................................
3,088
Total
liabilities
........................................................................................................
9,197,155
NET
ASSETS
........................................................................................................
$
766,911,642
NET
ASSETS
CONSIST
OF:
Paid-in
capital
........................................................................................................
$
882,465,495
Accumulated
loss
.....................................................................................................
(115,553,853)
NET
ASSETS
........................................................................................................
$
766,911,642
(a)
Investments,
at
cost
—
unaffiliated
........................................................................................
$
638,611,709
(b)
Securities
loaned,
at
value
..............................................................................................
$
3,629,738
(c)
Investments,
at
cost
—
affiliated
..........................................................................................
$
178,979,307
(d)
Foreign
currency,
at
cost
...............................................................................................
$
20,203
See
notes
to
financial
statements.
Statement
of
Assets
and
Liabilities
(continued)
December
31,
2022
55
Financial
Statements
BlackRock
Managed
Income
Fund
NET
ASSET
VALUE
Institutional
Net
assets
..........................................................................................................
$
340,824,349
Shares
outstanding
...................................................................................................
38,073,786
Net
asset
value
......................................................................................................
$
8.95
Shares
authorized
....................................................................................................
Unlimited
Par
value
..........................................................................................................
$
0.001
Investor
A
Net
assets
..........................................................................................................
$
322,849,292
Shares
outstanding
...................................................................................................
36,057,428
Net
asset
value
......................................................................................................
$
8.95
Shares
authorized
....................................................................................................
Unlimited
Par
value
..........................................................................................................
$
0.001
Investor
C
Net
assets
..........................................................................................................
$
23,296,024
Shares
outstanding
...................................................................................................
2,599,770
Net
asset
value
......................................................................................................
$
8.96
Shares
authorized
....................................................................................................
Unlimited
Par
value
..........................................................................................................
$
0.001
Class
K
Net
assets
..........................................................................................................
$
79,941,977
Shares
outstanding
...................................................................................................
8,906,546
Net
asset
value
......................................................................................................
$
8.98
Shares
authorized
....................................................................................................
Unlimited
Par
value
..........................................................................................................
$
0.001
See
notes
to
financial
statements.
Statement
of
Operations
Year
Ended
December
31,
2022
2022
BlackRock
Annual
Report
to
Shareholders
56
See
notes
to
financial
statements.
BlackRock
Managed
Income
Fund
INVESTMENT
INCOME
Dividends
—
unaffiliated
...............................................................................................
$
2,431,001
Dividends
—
affiliated
.................................................................................................
5,759,364
Interest
—
unaffiliated
.................................................................................................
33,019,446
Securities
lending
income
—
affiliated
—
net
.................................................................................
6,469
Foreign
taxes
withheld
................................................................................................
(141,553)
Total
investment
income
.................................................................................................
41,074,727
EXPENSES
Investment
advisory
..................................................................................................
3,211,919
Service
and
distribution
—
class
specific
....................................................................................
1,140,834
Transfer
agent
—
class
specific
..........................................................................................
558,968
Accounting
services
..................................................................................................
407,157
Administration
.....................................................................................................
379,489
Professional
.......................................................................................................
192,020
Administration
—
class
specific
..........................................................................................
183,570
Registration
.......................................................................................................
146,327
Custodian
.........................................................................................................
85,373
Printing
and
postage
.................................................................................................
22,754
Trustees
and
Officer
..................................................................................................
13,528
Miscellaneous
......................................................................................................
78,715
Total
expenses
.......................................................................................................
6,420,654
Less:
–
Fees
waived
and/or
reimbursed
by
the
Manager
...............................................................................
(1,269,065)
Transfer
agent
fees
waived
and/or
reimbursed
by
the
Manager
—
class
specific
..........................................................
(174,058)
Administration
fees
waived
by
the
Manager
—
class
specific
.......................................................................
(156,584)
Total
expenses
after
fees
waived
and/or
reimbursed
..............................................................................
4,820,947
Net
investment
income
..................................................................................................
36,253,780
REALIZED
AND
UNREALIZED
GAIN
(LOSS)
$
(136,671,066)
Net
realized
gain
(loss)
from:
$
–
Investments
—
unaffiliated
...........................................................................................
(47,218,155)
Investments
—
affiliated
.............................................................................................
(2,935,055)
Capital
gain
distributions
from
underlying
funds
—
affiliated
......................................................................
7,357
Foreign
currency
transactions
.........................................................................................
(25,255)
Futures
contracts
..................................................................................................
(541,066)
Options
written
...................................................................................................
(738,033)
Swaps
.........................................................................................................
(20,661)
A
(51,470,868)
Net
change
in
unrealized
appreciation
(depreciation)
on:
Investments
—
unaffiliated
...........................................................................................
(65,795,299)
Investments
—
affiliated
.............................................................................................
(17,788,524)
Foreign
currency
translations
..........................................................................................
(8,777)
Futures
contracts
..................................................................................................
(1,632,805)
Swaps
.........................................................................................................
28,499
Unfunded
floating
rate
loan
interests
.....................................................................................
(3,292)
A
(85,200,198)
Net
realized
and
unrealized
loss
............................................................................................
(136,671,066)
NET
DECREASE
IN
NET
ASSETS
RESULTING
FROM
OPERATIONS
.................................................................
$
(100,417,286)
Statements
of
Changes
in
Net
Assets
57
Financial
Statements
BlackRock
Managed
Income
Fund
Year
Ended
12/31/22
Year
Ended
12/31/21
INCREASE
(DECREASE)
IN
NET
ASSETS
OPERATIONS
Net
investment
income
..............................................................................
$
36,253,780
$
25,944,877
Net
realized
gain
(loss)
..............................................................................
(51,470,868
)
21,879,225
Net
change
in
unrealized
appreciation
(depreciation)
..........................................................
(85,200,198
)
(3,399,590
)
Net
increase
(decrease)
in
net
assets
resulting
from
operations
.....................................................
(100,417,286
)
44,424,512
DISTRIBUTIONS
TO
SHAREHOLDERS
(a)
Institutional
....................................................................................
(18,874,692
)
(21,513,873
)
Investor
A
.....................................................................................
(14,291,989
)
(17,731,220
)
Investor
C
.....................................................................................
(837,475
)
(1,196,903
)
Class
K
.......................................................................................
(4,048,256
)
(5,017,403
)
Decrease
in
net
assets
resulting
from
distributions
to
shareholders
...................................................
(38,052,412
)
(45,459,399
)
CAPITAL
SHARE
TRANSACTIONS
Net
increase
(decrease)
in
net
assets
derived
from
capital
share
transactions
...........................................
(75,228,634
)
292,417,674
NET
ASSETS
Total
increase
(decrease)
in
net
assets
.....................................................................
(213,698,332
)
291,382,787
Beginning
of
year
....................................................................................
980,609,974
689,227,187
End
of
year
........................................................................................
$
766,911,642
$
980,609,974
(a)
Distributions
for
annual
periods
determined
in
accordance
with
U.S.
federal
income
tax
regulations.
See
notes
to
financial
statements.
Financial
Highlights
(For
a
share
outstanding
throughout
each
period)
2022
BlackRock
Annual
Report
to
Shareholders
58
(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)
Excludes
fees
and
expenses
incurred
indirectly
as
a
result
of
investments
in
underlying
funds.
(e)
Excludes
equity-linked
notes.
Additional
information
regarding
portfolio
turnover
rate
is
as
follows:
BlackRock
Managed
Income
Fund
Institutional
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Net
asset
value,
beginning
of
year
..................................
$
10.31
$
10.28
$
10.08
$
9.56
$
10.02
Net
investment
income
(a)
........................................
0.38
0.33
0.35
0.39
0.40
Net
realized
and
unrealized
gain
(loss)
...............................
(1.34
)
0.24
0.21
0.52
(0.46
)
Net
increase
(decrease)
from
investment
operations
.......................
(0.96
)
0.57
0.56
0.91
(0.06
)
Distributions
(b)
–
–
–
–
–
From
net
investment
income
.....................................
(0.39
)
(0.34
)
(0.34
)
(0.39
)
(0.38
)
From
net
realized
gain
..........................................
(0.01
)
(0.20
)
(0.02
)
—
(0.02
)
Total
distributions
..............................................
(0.40
)
(0.54
)
(0.36
)
(0.39
)
(0.40
)
Net
asset
value,
end
of
year
......................................
$
8.95
$
10.31
$
10.28
$
10.08
$
9.56
Total
Return
(c)
—
—
—
—
—
Based
on
net
asset
value
.........................................
(9.27
)%
5.61
%
5.78
%
9.63
%
(0.57
)%
Ratios
to
Average
Net
Assets
(d)
Total
expenses
................................................
0.60
%
0.61
%
0.62
%
0.59
%
0.72
%
Total
expenses
after
fees
waived
and/or
reimbursed
.......................
0.41
%
0.40
%
0.38
%
0.34
%
0.27
%
Net
investment
income
..........................................
4.06
%
3.17
%
3.51
%
3.90
%
4.09
%
Supplemental
Data
Net
assets,
end
of
year
(000)
.......................................
$
340,824
$
447,218
$
317,679
$
199,220
$
117,904
Portfolio
turnover
rate
(e)
...........................................
60
%
45
%
76
%
71
%
79
%
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Portfolio
turnover
rate
(including
equity-linked
notes)
...................................
103%
88%
94%
91%
100%
See
notes
to
financial
statements.
Financial
Highlights
(continued)
(For
a
share
outstanding
throughout
each
period)
59
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)
Excludes
fees
and
expenses
incurred
indirectly
as
a
result
of
investments
in
underlying
funds.
(e)
Excludes
equity-linked
notes.
Additional
information
regarding
portfolio
turnover
rate
is
as
follows:
BlackRock
Managed
Income
Fund
Investor
A
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Net
asset
value,
beginning
of
year
..................................
$
10.31
$
10.28
$
10.08
$
9.56
$
10.02
Net
investment
income
(a)
........................................
0.36
0.30
0.32
0.36
0.38
Net
realized
and
unrealized
gain
(loss)
...............................
(1.34
)
0.24
0.22
0.52
(0.46
)
Net
increase
(decrease)
from
investment
operations
.......................
(0.98
)
0.54
0.54
0.88
(0.08
)
Distributions
(b)
–
–
–
–
–
From
net
investment
income
.....................................
(0.37
)
(0.31
)
(0.32
)
(0.36
)
(0.36
)
From
net
realized
gain
..........................................
(0.01
)
(0.20
)
(0.02
)
—
(0.02
)
Total
distributions
..............................................
(0.38
)
(0.51
)
(0.34
)
(0.36
)
(0.38
)
Net
asset
value,
end
of
year
......................................
$
8.95
$
10.31
$
10.28
$
10.08
$
9.56
Total
Return
(c)
—
—
—
—
—
Based
on
net
asset
value
.........................................
(9.51
)%
5.36
%
5.51
%
9.36
%
(0.82
)%
Ratios
to
Average
Net
Assets
(d)
Total
expenses
................................................
0.81
%
0.82
%
0.83
%
0.80
%
0.95
%
Total
expenses
after
fees
waived
and/or
reimbursed
.......................
0.66
%
0.65
%
0.62
%
0.59
%
0.52
%
Net
investment
income
..........................................
3.83
%
2.91
%
3.27
%
3.65
%
3.83
%
Supplemental
Data
Net
assets,
end
of
year
(000)
.......................................
$
322,849
$
401,138
$
261,322
$
190,848
$
107,314
Portfolio
turnover
rate
(e)
...........................................
60
%
45
%
76
%
71
%
79
%
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Portfolio
turnover
rate
(including
equity-linked
notes)
...................................
103%
88%
94%
91%
100%
See
notes
to
financial
statements.
Financial
Highlights
(continued)
(For
a
share
outstanding
throughout
each
period)
2022
BlackRock
Annual
Report
to
Shareholders
60
(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)
Excludes
fees
and
expenses
incurred
indirectly
as
a
result
of
investments
in
underlying
funds.
(e)
Excludes
equity-linked
notes.
Additional
information
regarding
portfolio
turnover
rate
is
as
follows:
BlackRock
Managed
Income
Fund
Investor
C
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Net
asset
value,
beginning
of
year
..................................
$
10.31
$
10.29
$
10.09
$
9.56
$
10.03
Net
investment
income
(a)
........................................
0.29
0.23
0.25
0.29
0.31
Net
realized
and
unrealized
gain
(loss)
...............................
(1.33
)
0.23
0.21
0.53
(0.48
)
Net
increase
(decrease)
from
investment
operations
.......................
(1.04
)
0.46
0.46
0.82
(0.17
)
Distributions
(b)
–
–
–
–
–
From
net
investment
income
.....................................
(0.30
)
(0.24
)
(0.24
)
(0.29
)
(0.28
)
From
net
realized
gain
..........................................
(0.01
)
(0.20
)
(0.02
)
—
(0.02
)
Total
distributions
..............................................
(0.31
)
(0.44
)
(0.26
)
(0.29
)
(0.30
)
Net
asset
value,
end
of
year
......................................
$
8.96
$
10.31
$
10.29
$
10.09
$
9.56
Total
Return
(c)
—
—
—
—
—
Based
on
net
asset
value
.........................................
(10.12
)%
4.50
%
4.72
%
8.65
%
(1.67
)%
Ratios
to
Average
Net
Assets
(d)
Total
expenses
................................................
1.59
%
1.59
%
1.60
%
1.58
%
1.74
%
Total
expenses
after
fees
waived
and/or
reimbursed
.......................
1.41
%
1.40
%
1.37
%
1.34
%
1.28
%
Net
investment
income
..........................................
3.08
%
2.18
%
2.54
%
2.89
%
3.11
%
Supplemental
Data
Net
assets,
end
of
year
(000)
.......................................
$
23,296
$
29,565
$
26,419
$
23,347
$
11,983
Portfolio
turnover
rate
(e)
...........................................
60
%
45
%
76
%
71
%
79
%
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Portfolio
turnover
rate
(including
equity-linked
notes)
...................................
103%
88%
94%
91%
100%
See
notes
to
financial
statements.
Financial
Highlights
(continued)
(For
a
share
outstanding
throughout
each
period)
61
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)
Excludes
fees
and
expenses
incurred
indirectly
as
a
result
of
investments
in
underlying
funds.
(e)
Excludes
equity-linked
notes.
Additional
information
regarding
portfolio
turnover
rate
is
as
follows:
BlackRock
Managed
Income
Fund
Class
K
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Net
asset
value,
beginning
of
year
..................................
$
10.33
$
10.30
$
10.11
$
9.58
$
10.05
Net
investment
income
(a)
........................................
0.39
0.34
0.36
0.39
0.41
Net
realized
and
unrealized
gain
(loss)
...............................
(1.33
)
0.23
0.20
0.53
(0.47
)
Net
increase
(decrease)
from
investment
operations
.......................
(0.94
)
0.57
0.56
0.92
(0.06
)
Distributions
(b)
–
–
–
–
–
From
net
investment
income
.....................................
(0.40
)
(0.34
)
(0.35
)
(0.39
)
(0.39
)
From
net
realized
gain
..........................................
(0.01
)
(0.20
)
(0.02
)
—
(0.02
)
Total
distributions
..............................................
(0.41
)
(0.54
)
(0.37
)
(0.39
)
(0.41
)
Net
asset
value,
end
of
year
......................................
$
8.98
$
10.33
$
10.30
$
10.11
$
9.58
Total
Return
(c)
—
—
—
—
—
Based
on
net
asset
value
.........................................
(9.10
)%
5.66
%
5.72
%
9.78
%
(0.61
)%
Ratios
to
Average
Net
Assets
(d)
Total
expenses
................................................
0.52
%
0.52
%
0.52
%
0.50
%
0.64
%
Total
expenses
after
fees
waived
and/or
reimbursed
.......................
0.36
%
0.35
%
0.33
%
0.29
%
0.22
%
Net
investment
income
..........................................
4.13
%
3.22
%
3.58
%
3.97
%
4.10
%
Supplemental
Data
Net
assets,
end
of
year
(000)
.......................................
$
79,942
$
102,690
$
83,808
$
59,493
$
59,030
Portfolio
turnover
rate
(e)
...........................................
60
%
45
%
76
%
71
%
79
%
Year
Ended
12/31/22
Year
Ended
12/31/21
Year
Ended
12/31/20
Year
Ended
12/31/19
Year
Ended
12/31/18
Portfolio
turnover
rate
(including
equity-linked
notes)
...................................
103%
88%
94%
91%
100%
See
notes
to
financial
statements.
Notes
to
Financial
Statements
2022
BlackRock
Annual
Report
to
Shareholders
62
1.
ORGANIZATION
BlackRock
Funds
II (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.
BlackRock
Managed
Income
Fund
(the
“Fund”)
is
a
series
of
the
Trust.
The
Fund
is
classified
as
diversified.
The
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
and
Investor
C
Shares
bear
certain
expenses
related
to
shareholder
servicing
of
such
shares,
and
Investor
C
Shares
also
bear
certain
expenses
related
to
the
distribution
of
such
shares.
Investor
A
and
Investor
C
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
(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
Fund,
together
with
certain
other
registered
investment
companies
advised
by
BlackRock
Advisors,
LLC
(the
“Manager”) or
its
affiliates,
is
included
in
a
complex
of
funds
referred
to
as
the BlackRock
Multi-Asset
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.
The
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
Fund
is
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,
is
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:
The
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.
The
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
Statement
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.
The
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
Fund
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
the
Fund
invests.
These
foreign
taxes,
if
any,
are
paid
by
the
Fund
and
are
reflected
in
its
Statement
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
December
31,
2022
,
if
any,
are
disclosed
in
the
Statement
of
Assets
and
Liabilities.
The
Fund
files
withholding
tax
reclaims
in
certain
jurisdictions
to
recover
a
portion
of
amounts
previously
withheld.
The
Fund
may
record
a
reclaim
receivable
based
on
collectability,
which
includes
factors
such
as
the
jurisdiction’s
applicable
laws,
payment
history
and
market
convention.
The
Statement
of
Operations
includes
tax
reclaims
recorded
as
well
as
professional
and
other
fees,
if
any,
associated
with
recovery
of
foreign
withholding
taxes.
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
Investor
C
Shares
...........................................
No
Yes
(b)
To
Investor
A
Shares
after
approximately
8
years
Notes
to
Financial
Statements
(continued)
63
Notes
to
Financial
Statements
Collateralization:
If
required
by
an
exchange
or
counterparty
agreement,
the
Fund
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
distributed
at
least
annually
and
are
recorded
on
the
ex-dividend
dates.
The
character
and
timing
of
distributions
are
determined
in
accordance
with
U.S.
federal
income
tax
regulations,
which
may
differ
from
U.S.
GAAP
.
Indemnifications:
In
the
normal
course
of
business,
the
Fund
enters
into
contracts
that
contain
a
variety
of
representations
that
provide
general
indemnification.
The
Fund’s
maximum
exposure
under
these
arrangements
is
unknown
because
it
involves
future
potential
claims
against
the
Fund,
which
cannot
be
predicted
with
any
certainty.
Other:
Expenses
directly
related
to the
Fund
or
its
classes
are
charged
to
the
Fund
or
the
applicable
class.
Expenses
directly
related
to
the
Fund
and
other
shared
expenses
prorated
to
the
Fund
are
allocated
daily
to
each
class
based
on
its
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:
The
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
Trustees
of
the
Trust
(the
“Board”)
has
approved
the
designation
of
the
Fund’s
Manager
as
the
valuation
designee
for
the
Fund.
The
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
the
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.
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
Fund
uses
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
the
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.
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
64
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 the
Fund.
Typically,
the
most
recently
available
information
by
a
Private
Company
is
as
of
a
date
that
is
earlier
than
the
date the
Fund
is
calculating
its
NAV.
This
factor
may
result
in
a
difference
between
the
value
of
the
investment
and
the
price the
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
the
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
December
31,
2022,
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.
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
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
(continued)
65
Notes
to
Financial
Statements
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.
Equity-Linked
Notes:
Equity-linked
notes
seek
to
generate
income
and
provide
exposure
to
the
performance
of
an
underlying
security,
group
of
securities
or
exchange-
traded
funds
(the
“underlying
reference
instrument”).
In
an
equity-linked
note,
a
fund
purchases
a
note
from
a
bank
or
broker-dealer
and
in
return,
the
issuer
provides
for
interest
payments
during
the
term
of
the
note.
At
maturity
or
when
the
security
is
sold,
a
fund
will
either
settle
by
taking
physical
delivery
of
the
underlying
reference
instrument
or
by
receipt
of
a
cash
settlement
amount
equal
to
the
value
of
the
note
at
termination
or
maturity.
The
use
of
equity-linked
notes
involves
the
risk
that
the
value
of
the
note
changes
unfavorably
due
to
movements
in
the
value
of
the
underlying
reference
instrument.
Equity-linked
notes
are
considered
general
unsecured
contractual
obligations
of
the
bank
or
broker-dealer.
A
fund
must
rely
on
the
creditworthiness
of
the
issuer
for
its
investment
returns.
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
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
66
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,
the
Fund
may
also
enter
into
unfunded
floating
rate
loan
interests
(“commitments”).
In
connection
with
these
commitments,
the
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
Statement
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
Statement
of
Assets
and
Liabilities
and
Statement
of
Operations.
As
of
period
end,
the
Fund
had
the
following
unfunded
floating
rate
loan
interests:
Securities
Lending:
The
Fund
may
lend
its
securities
to
approved
borrowers,
such
as
brokers,
dealers
and
other
financial
institutions.
The
borrower
pledges
and
maintains
with
the
Fund
collateral
consisting
of
cash,
an
irrevocable
letter
of
credit
issued
by
a
bank,
or
securities
issued
or
guaranteed
by
the
U.S.
Government.
The
initial
collateral
received
by
the
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
Fund
is
entitled
to
all
distributions
made
on
or
in
respect
of
the
loaned
securities,
but
does
not
receive
interest
income
on
securities
received
as
collateral.
Loans
of
securities
are
terminable
at
any
time
and
the
borrower,
after
notice,
is
required
to
return
borrowed
securities
within
the
standard
time
period
for
settlement
of
securities
transactions.
As
of
period
end,
any
securities
on
loan
were
collateralized
by
cash
and/or
U.S.
Government
obligations.
Cash
collateral
invested
by
the
securities
lending
agent, BlackRock
Investment
Management,
LLC
(“BIM”),
if
any,
is
disclosed
in
the
Schedule
of
Investments.
Any
non-cash
collateral
received
cannot
be
sold,
re-invested
or
pledged
by
the
Fund,
except
in
the
event
of
borrower
default.
The
securities
on
loan,
if
any,
are
disclosed
in
the
Fund’s
Schedule
of
Investments.
The
market
value
of
any
securities
on
loan
and
the
value
of
any
related
collateral
are
shown
separately
in
the
Statement
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
Fund
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
Fund,
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
Fund
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.
Fund
Name
Borrower
Par
Commitment
Amount
Value
Unrealized
Appreciation
(Depreciation)
BlackRock
Managed
Income
Fund
Athenahealth
Group,
Inc.,
Delayed
Draw
Term
Loan
.........
$
32,631
$
32,468
$
29,380
$
(3,088)
As
of
period
end,
the
following
table
is
a
summary
of
the
Fund's
securities
on
loan
by
counterparty
which
are
subject
to
offset
under
an
MSLA:
Counterparty
Securities
Loaned
at
Value
Cash
Collateral
Received
(a)
Non-Cash
Collateral
Received,
at
Fair
Value
Net
Amount
Morgan
Stanley
..................................
$
3,629,738
$
(3,629,738)
$
—
$
—
(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
Statement
of
Assets
and
Liabilities.
Notes
to
Financial
Statements
(continued)
67
Notes
to
Financial
Statements
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
Fund
benefits
from
a
borrower
default
indemnity
provided
by
BIM.
BIM’s
indemnity
allows
for
full
replacement
of
the
securities
loaned
to
the
extent the
collateral
received
does
not
cover
the
value
on
the
securities
loaned
in
the
event
of
borrower
default.
The
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
Fund.
5.
Derivative
Financial
Instruments
The
Fund
engages
in
various
portfolio
investment
strategies
using
derivative
contracts
both
to
increase
the
returns
of
the
Fund
and/or
to
manage
its
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
Schedule
of
Investments.
These
contracts
may
be
transacted
on
an
exchange or
over-the-counter
(“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
Fund
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
Fund
is
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 Statement
of
Assets
and
Liabilities.
Securities
deposited
as
initial
margin
are
designated
in
the
Schedule
of
Investments
and
cash
deposited,
if
any, are
shown
as
cash
pledged
for
futures
contracts
in
the
Statement
of
Assets
and
Liabilities.
Pursuant
to
the
contract,
the
Fund
agrees
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
Statement
of
Assets
and
Liabilities.
When
the
contract
is
closed,
a
realized
gain
or
loss
is
recorded
in
the
Statement
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.
Options:
The
Fund
may purchase
and
write
call
and
put
options
to
increase
or
decrease
its
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
Statement
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
Statement
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
Statement
of
Operations
to
the
extent
the
cost
of
the
closing
transaction
exceeds
the
premiums
received
or
paid.
When
the
Fund
writes
a
call
option,
such
option
is
typically
“covered,”
meaning
that
it
holds
the
underlying
instrument
subject
to
being
called
by
the
option
counterparty.
When
the
Fund
writes
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
Statement
of
Assets
and
Liabilities.
In
purchasing
and
writing
options,
the
Fund
bears
the
risk
of
an
unfavorable
change
in
the
value
of
the
underlying
instrument
or
the
risk
that
it
may
not
be
able
to
enter
into
a
closing
transaction
due
to
an
illiquid
market.
Exercise
of
a
written
option
could
result
in
the
Fund
purchasing
or
selling
a
security
when
it
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
Fund
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
Statement
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
Statement
of
Assets
and
Liabilities.
Payments
received
or
paid
are
recorded
in
the
Statement
of
Operations
as
realized
gains
or
losses,
respectively.
When
an
OTC
swap
is
terminated,
a
realized
gain
or
loss
is
recorded
in
the
Statement
of
Operations
equal
to
the
difference
between
the
proceeds
from
(or
cost
of)
the
closing
transaction
and
the
Fund’s
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 Fund’s
counterparty
on
the
swap.
The
Fund
is
required
to
interface
with
the
CCP
through
the
broker.
Upon
entering
into
a
centrally
cleared
swap,
the
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
Schedule
of
Investments
and
cash
deposited
is
shown
as
cash
pledged
for
centrally
cleared
swaps
in
the
Statement
of
Assets
and
Liabilities. Amounts
pledged,
which
are
considered
restricted
cash,
are
included
in
cash
pledged
for
centrally
cleared
swaps
in
the
Statement
of
Assets
and
Liabilities.
Pursuant
to
the
contract,
the
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
Statement
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
Statement
of
Operations,
including
those
at
termination.
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
68
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
Fund
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
Fund
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
Fund
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.
Swap
transactions
involve,
to
varying
degrees,
elements
of
interest
rate,
credit
and
market
risks
in
excess
of
the
amounts
recognized
in
the
Statement
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, the
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
and
the
counterparty.
Cash
collateral
that
has
been
pledged
to
cover
obligations
of
the
Fund
and
cash
collateral
received
from
the
counterparty,
if
any,
is
reported
separately
in
the
Statement
of
Assets
and
Liabilities
as
cash
pledged
as
collateral
and
cash
received
as
collateral,
respectively.
Non-cash
collateral
pledged
by
the
Fund,
if
any,
is
noted
in
the
Schedule
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
Fund.
Any
additional
required
collateral
is
delivered
to/pledged
by
the
Fund
on
the
next
business
day.
Typically,
the
counterparty
is
not
permitted
to
sell,
re-pledge
or
use
cash
and
non-cash
collateral
it
receives.
The
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
Fund
from the
counterparties
are
not
fully
collateralized, the
Fund bears
the
risk
of
loss
from
counterparty
non-performance.
Likewise,
to
the
extent
the
Fund
has
delivered
collateral
to
a
counterparty
and
stands
ready
to
perform
under
the
terms
of
its
agreement
with
such
counterparty, the
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
Fund
does
not
offset
derivative
assets
and
derivative
liabilities
that
are
subject
to
netting
arrangements,
if
any,
in
the
Statement
of
Assets
and
Liabilities.
6.
INVESTMENT
ADVISORY
AGREEMENT
AND
OTHER
TRANSACTIONS
WITH
AFFILIATES
Investment
Advisory:
The
Trust,
on
behalf
of
the
Fund,
entered
into
an
Investment
Advisory
Agreement
with
the
Manager,
the
Fund’s
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 the
Fund’s
portfolio
and
provides
the
personnel,
facilities,
equipment
and
certain
other
services
necessary
to
the
operations
of the
Fund.
For
such
services,
the
Fund
pays
the
Manager
a
monthly
fee
at
an
annual
rate
equal
to
the
following
percentages
of
the
average
daily
value
of
the
Fund’s
net
assets:
The
Manager
entered
into
separate
sub-advisory
agreements
with
each
of
BlackRock
International
Limited
(“BIL”),
and
effective
February
8,
2022,
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
the
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
the
Fund
to
the
Manager.
Average
Daily
Net
Assets
Investment
Advisory
Fees
First
$1
billion
.........................................................................................................
0.35%
$1
billion
-
$2
billion
.....................................................................................................
0.34
$2
billion
-
$3
billion
.....................................................................................................
0.33
Greater
than
$3
billion
...................................................................................................
0.32
Notes
to
Financial
Statements
(continued)
69
Notes
to
Financial
Statements
Service
and
Distribution
Fees:
The
Trust
,
on behalf
of
the
Fund,
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,
the
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
the
Fund
as
follows:
BRIL
and
broker-dealers,
pursuant
to
sub-agreements
with
BRIL,
provide
shareholder
servicing
and
distribution
services to
the
Fund.
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 year
ended
December
31,
2022,
the
following
table
shows
the
class
specific
service
and
distribution
fees
borne
directly
by
each
share
class
of
the
Fund:
Administration:
The
Trust,
on
behalf
of
the
Fund,
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
the
Fund.
The
administration
fee,
which
is
shown
as
administration
in
the
Statement
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
Statement
of
Operations,
at
an
annual
rate
of
0.02% of
the
average
daily
net
assets
of
each
respective
class.
For
the
year
ended
December
31,
2022, the
following
table
shows
the
class
specific
administration
fees
borne
directly
by
each
share
class
of
the
Fund:
Transfer
Agent:
Pursuant
to
written
agreements,
certain
financial
intermediaries,
some
of
which
may
be
affiliates,
provide
the
Fund
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
year ended December
31,
2022,
the
Fund
did
not
pay
any
amounts
to
affiliates
in
return
for
these
services.
The
Manager
maintains
a
call
center
that
is
responsible
for
providing
certain
shareholder
services
to
the
Fund.
Shareholder
services
include
responding
to
inquiries
and
processing
purchases
and
sales
based
upon
instructions
from
shareholders.
For
the year
ended
December
31,
2022,
the
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
Statement
of
Operations:
For
the
year ended
December
31,
2022,
the
following
table
shows
the
class
specific
transfer
agent
fees
borne
directly
by
each
share
class
of
the
Fund:
Other
Fees:
For
the
year
ended
December
31,
2022
,
affiliates
earned
underwriting
discounts,
direct
commissions
and
dealer
concessions
on
sales
of
the Fund's
Investor
A
Shares for
a
total
of
$6,758
.
For
the year
ended
December
31,
2022,
affiliates
received
CDSCs
as
follows:
Expense
Limitations,
Waivers
and
Reimbursements:
The
Manager
contractually
agreed
to
waive
its
investment
advisory
fees
by
the
amount
of
investment
advisory
fees
the
Fund
pays
to
the
Manager
indirectly
through
its
investment
in
affiliated
money
market
funds
(the
“affiliated
money
market
fund
waiver”)
through
June
30,
2023.
The
contractual
agreement
may
be
terminated
upon
90
days’
notice
by
a
majority
of
the
trustees
who
are
not
"interested
persons"
of
the
Fund,
as
defined
in
the
1940
Act
(“
Independent
Trustees
”)
,
or
by
a
vote
of
a
majority
of
the
outstanding
voting
securities
of
the
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. This
amount
is
included
in
fees
waived
and/or
reimbursed
by
the
Manager
in
the
Statement
of
Operations.
For
the
year
ended
December
31,
2022,
the
amount
waived
was
$16,163.
Share
Class
Service
Fees
Distribution
Fees
Investor
A
.................................................................................................
0.25%
—%
Investor
C
.................................................................................................
0.25
0.75
Share
Class
Service
and
Distribution
Fees
Investor
A
........................................................................................................
$
883,799
Investor
C
........................................................................................................
257,035
$
1,140,834
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
Institutional
Investor
A
Investor
C
Class
K
Total
Administration
fees
-
class
specific
..........................................
$
89,062
$
70,702
$
5,141
$
18,665
$
183,570
Institutional
Investor
A
Investor
C
Class
K
Total
Amount
.......................................
$
978
$
3,587
$
297
$
244
$
5,106
Institutional
Investor
A
Investor
C
Class
K
Total
Transfer
agent
fees
-
class
specific
..........................................
$
388,891
$
149,762
$
18,541
$
1,774
$
558,968
Investor
A
$
49,550
Investor
C
4,092
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
70
The
Manager
has
contractually
agreed
to
waive
its
investment
advisory
fee
with
respect
to
any
portion
of
the
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,
2023.
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
the
Fund.
This
amount
is
included
in
fees
waived
and/or
reimbursed
by
the
Manager
in
the
Statement
of
Operations.
For
the
year
ended
December
31,
2022,
the
Manager
waived
$297,517
in
investment
advisory
fees
pursuant
to
this
arrangement.
The
Manager
contractually
agreed
to
waive
and/or
reimburse
fees
or
expenses
in
order
to
limit
Other
Expenses
("expense
limitation")
through
June
30,
2023.
Other
expenses
include
accounting,
transfer
agency,
custody,
professional
and
registration
fees
and
exclude
dividend
expense,
interest
expense,
and
certain
other
fund
expenses
that
constitute
extraordinary
expenses
not
incurred
in
the
ordinary
course
of
the
Fund's
business.
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,
2023,
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 the
Fund.
For
the
year ended
December
31,
2022,
the
Manager
waived
and/or
reimbursed
investment
advisory
fees
of
$955,385
pursuant
to
this
arrangement,
which
is
included
in
fees
waived
and/or
reimbursed
by
the
Manager
in
the
Statement
of
Operations.
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
Manager
—
class
specific,
respectively,
in
the
Statement
of
Operations.
For
the
year ended
December
31,
2022,
class
specific
expense
waivers
and/or
reimbursements are 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
Fund,
subject
to
applicable
conditions.
As
securities
lending
agent,
BIM
bears
all
operational
costs
directly
related
to
securities
lending.
The
Fund
is
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,
SL
Liquidity
Series,
LLC,
Money
Market
Series
(the
“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
Fund.
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.
The
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,
the
Fund
retains
82%
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 Multi-Asset
Complex
in
a
calendar
year
exceeds
a
specified
threshold, the
Fund,
pursuant
to
the
securities
lending
agreement,
will
retain
for
the
remainder
of
that
calendar
year
securities
lending
income
in
an
amount
equal
to
85%
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
the
Fund
is
shown
as
securities
lending
income
—
affiliated
—
net
in
the
Statement
of
Operations.
For
the year
ended December
31,
2022,
the
Fund
paid
BIM $907
for
securities
lending agent
services.
Interfund
Lending:
In
accordance
with
an
exemptive
order
(the
“Order”)
from
the
SEC,
the
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.
The
Fund
is
currently
permitted
to
borrow under
the
Interfund
Lending
Program.
Institutional
.............................................................................................................
0.09%
Investor
A
..............................................................................................................
0.09
Investor
C
..............................................................................................................
0.09
Class
K
...............................................................................................................
0.04
Fund
Name/Share
Class
Administration
Fees
Waived
by
the
Manager
-
Class
Specific
Transfer
Agent
Fees
Waived
and/or
Reimbursed
by
the
Manager
-
Class
Specific
BlackRock
Managed
Income
Fund
Institutional
....................................................................................
$
89,062
$
166,588
Investor
A
.....................................................................................
43,716
—
Investor
C
.....................................................................................
5,141
5,696
Class
K
......................................................................................
18,665
1,774
$
156,584
$
174,058
Notes
to
Financial
Statements
(continued)
71
Notes
to
Financial
Statements
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
year
ended
December
31,
2022,
the
Fund
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
Fund
reimburses
the
Manager
for
a
portion
of
the
compensation
paid
to
the
Trust’s
Chief
Compliance
Officer,
which
is
included
in
Trustees and
Officer
in
the
Statement
of
Operations.
Other
Transactions:
The
Fund
may
purchase
securities
from,
or
sell
securities
to,
an
affiliated
fund
provided
the
affiliation
is
due
solely
to
having
a
common
investment
adviser,
common
officers,
or
common
trustees.
For
the
year ended
December
31,
2022,
the
purchase
and
sale
transactions
and
any
net
realized
gains
(losses)
with
an
affiliated
fund
in
compliance
with
Rule
17a-7
under
the
1940
Act
were
as
follows:
7.
PURCHASES
AND
SALES
For
the year
ended
December
31,
2022,
purchases
and
sales
of
investments,
excluding
short-term
securities
and
equity-linked
notes, were $499,664,393
and
$570,840,102,
respectively.
For
the
year ended
December
31,
2022,
purchases
and
sales
related
to
equity-linked
notes
were
$408,280,031
and
$409,565,807.
8.
INCOME
TAX
INFORMATION
It
is
the
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.
The
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
the
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
the
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 Fund
as
of
December
31,
2022,
inclusive
of
the
open
tax
return
years,
and
does
not
believe
that
there
are
any
uncertain
tax
positions
that
require
recognition
of
a
tax
liability
in
the
Fund’s
financial
statements.
U.S.
GAAP
requires
that
certain
components
of
net
assets
be
adjusted
to
reflect
permanent
differences
between
financial
and
tax
reporting.
These
reclassifications
have
no
effect
on
net
assets
or
NAVs
per
share.
As
of
period
end,
permanent
differences
attributable
to
nondeductible
expenses
were
reclassified
to
the
following
accounts:
The
tax
character
of
distributions
paid
was
as
follows:
As
of
December
31,
2022,
the
tax
components
of
accumulated earnings
(loss) were
as
follows:
(a)
Amounts
available
to
offset
future
realized
capital
gains.
(b)
The
difference
between
book-basis
and
tax-basis
net
unrealized
gains
(losses)
was
attributable
primarily
to
the
tax
deferral
of
losses
on
wash
sales,
amortization
and
accretion
methods
of
premiums
and
discounts
on
fixed
income
securities,
the
realization
for
tax
purposes
of
unrealized
gains
(losses)
on
certain
futures,
the
realization
for
tax
purposes
of
unrealized
gains
on
investments
in
passive
foreign
investment
companies,
the
timing
and
recognition
of
partnership
income,
the
accounting
for
swap
agreements
and
classification
of
investments.
Purchases
...............................................................................................................
$
9,758,496
Sales
...................................................................................................................
12,845,135
Net
Realized
Loss
..........................................................................................................
(1,105,835)
Fund
Name
Paid-in
Capital
Accumulated
Earnings
(Loss)
BlackRock
Managed
Income
Fund
...............................................................
$
(22)
$
22
Fund
Name
Year
Ended
12/31/22
Year
Ended
12/31/21
BlackRock
Managed
Income
Fund
Ordinary
income
...........................................................................................
$
36,681,404
$
38,845,301
Long-term
capital
gains
......................................................................................
1,371,008
6,614,098
$
38,052,412
$
45,459,399
Fund
Name
Undistributed
Ordinary
Income
Non-Expiring
Capital
Loss
Carryforwards
(a)
Net
Unrealized
Gains
(Losses)
(b
Total
BlackRock
Managed
Income
Fund
................................................
$
824,980
$
(52,648,845)
$
(63,729,988)
$
(115,553,853)
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
72
As
of
December
31,
2022, gross
unrealized
appreciation
and
depreciation
based
on
cost
of
investments
(including
short
positions
and
derivatives,
if
any)
for
U.S.
federal
income
tax
purposes
were
as
follows:
9.
BANK
BORROWINGS
The
Trust, on
behalf
of
the
Fund,
along
with
certain
other
funds
managed
by
the
Manager
and
its
affiliates
(“Participating
Funds”), are
a
party
to
a
364-day,
$2.50
billion
credit
agreement
with
a
group
of
lenders.
Under
this
agreement,
the
Fund
may
borrow
to
fund
shareholder
redemptions.
Excluding
commitments
designated
for
certain
individual
funds,
the
Participating
Funds,
including
the
Fund,
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,
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
year ended
December
31,
2022,
the
Fund
did
not
borrow
under
the
credit
agreement.
10.
PRINCIPAL
RISKS
In
the
normal
course
of
business,
the
Fund
invests
in
securities
or
other
instruments
and
may
enter
into
certain
transactions,
and
such
activities
subject
the
Fund
to
various
risks,
including
among
others,
fluctuations
in
the
market
(market
risk)
or
failure
of
an
issuer
to
meet
all
of
its
obligations.
The
value
of
securities
or
other
instruments
may
also
be
affected
by
various
factors,
including,
without
limitation:
(i)
the
general
economy;
(ii)
the
overall
market
as
well
as
local,
regional
or
global
political
and/or
social
instability;
(iii)
regulation,
taxation
or
international
tax
treaties
between
various
countries;
or
(iv)
currency,
interest
rate
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
Fund
and its
investments.
The
Fund’s
prospectus
provides
details
of
the
risks
to
which
the
Fund
is
subject.
The
Fund
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:
The
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
the
Fund
to
reinvest
in
lower
yielding
securities. The
Fund
may
also
be
exposed
to
reinvestment
risk,
which
is
the
risk
that
income
from
the
Fund’s
portfolio
will
decline
if
the Fund
invests
the
proceeds
from
matured,
traded
or
called
fixed-income
securities
at
market
interest
rates
that
are
below
the
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. The
Fund
may
invest
in
illiquid
investments.
An
illiquid
investment
is
any
investment
that the
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. The
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
the
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 the
Fund
may
lose
value,
regardless
of
the
individual
results
of
the
securities
and
other
instruments
in
which the
Fund
invests.
The
price the
Fund
could
receive
upon
the
sale
of
any
particular
portfolio
investment
may
differ
from the
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
the
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 the
Fund,
and the
Fund
could
realize
a
greater
than
expected
loss
or
lesser
than
expected
gain
upon
the
sale
of
the
investment. The
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
Fund
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
Fund
manages
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
Fund
to
market,
issuer
and
counterparty
credit
risks,
consist
principally
of
financial
instruments
and
receivables
due
from
counterparties.
The
extent
of
the
Fund’s
exposure
to
market,
issuer
and
counterparty
credit
risks
with
respect
to
these
financial
assets
is
approximately
their
value
recorded
in
the
Statement
of
Assets
and
Liabilities,
less
any
collateral
held
by
the
Fund.
Fund
Name
Tax
Cost
Gross
Unrealized
Appreciation
Gross
Unrealized
Depreciation
Net
Unrealized
Appreciation
(Depreciation)
BlackRock
Managed
Income
Fund
......................................
$
819,618,417
$
4,627,137
$
(68,360,366)
$
(63,733,229)
Notes
to
Financial
Statements
(continued)
73
Notes
to
Financial
Statements
A
derivative
contract
may
suffer
a
mark-to-market
loss
if
the
value
of
the
contract
decreases
due
to
an
unfavorable
change
in
the
market
rates
or
values
of
the
underlying
instrument.
Losses
can
also
occur
if
the
counterparty
does
not
perform
under
the
contract.
With
exchange-traded
futures
and
centrally
cleared
swaps,
there
is
less
counterparty
credit
risk
to
the
Fund
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, the
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
Fund.
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
the
Fund’s
portfolio
are
disclosed
in
its Schedule
of
Investments.
The
Fund
invests
a
significant
portion
of
its
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
Fund
invests
a
significant
portion
of
its
assets
in fixed-income securities and/or uses
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
Fund
may
be
subject
to
a
greater
risk
of
rising
interest
rates
due
to
the recent
period
of
historically
low
interest rates. The
Federal
Reserve
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
Fund’s
performance.
Significant
Shareholder
Redemption
Risk:
Certain
shareholders
may
own
or
manage
a
substantial
amount
of
fund
shares
and/or
hold
their
fund
investments
for
a
limited
period
of
time.
Large
redemptions
of
fund
shares
by
these
shareholders
may
force
a
fund
to
sell
portfolio
securities,
which
may
negatively
impact
the
fund’s
NAV,
increase
the
fund’s
brokerage
costs,
and/or
accelerate
the
realization
of
taxable
income/gains
and
cause
the
fund
to
make
additional
taxable
distributions
to
shareholders.
LIBOR
Transition
Risk:
The
United
Kingdom’s
Financial
Conduct
Authority
announced
a phase
out of
the
LIBOR.
Although
many
LIBOR
rates
ceased
to
be
published
or
no
longer are
representative
of
the
underlying
market
they
seek
to
measure
after
December
31,
2021,
a
selection
of
widely
used
USD
LIBOR
rates
will
continue
to
be
published
through
June
2023
in
order
to
assist
with
the
transition.
The
Fund
may
be
exposed
to
financial
instruments
tied
to
LIBOR
to
determine
payment
obligations,
financing
terms,
hedging
strategies
or
investment
value.
The
transition
process
away
from
LIBOR
might
lead
to
increased
volatility
and
illiquidity
in
markets
for,
and
reduce
the
effectiveness
of
new
hedges
placed
against
instruments
whose
terms
currently
include
LIBOR.
The
ultimate
effect
of
the
LIBOR
transition
process
on
the
Fund
is
uncertain.
11.
CAPITAL
SHARE
TRANSACTIONS
Transactions
in
capital
shares
for
each
class
were
as
follows:
Year
Ended
12/31/22
Year
Ended
12/31/21
Fund
Name/Share
Class
Shares
Amount
Shares
Amount
BlackRock
Managed
Income
Fund
Institutional
Shares
sold
.............................................
30,758,600
$
294,798,975
22,708,323
$
236,175,835
Shares
issued
in
reinvestment
of
distributions
........................
2,012,421
18,660,414
2,069,994
21,453,907
Shares
redeemed
.........................................
(38,093,781)
(350,679,791)
(12,287,499)
(127,910,759)
(5,322,760)
$
(37,220,402)
12,490,818
$
129,718,983
Investor
A
Shares
sold
and
automatic
conversion
of
shares
......................
10,785,262
$
101,705,766
21,582,431
$
224,980,947
Shares
issued
in
reinvestment
of
distributions
........................
1,540,910
14,249,573
1,706,724
17,686,847
Shares
redeemed
.........................................
(15,192,961)
(142,413,853)
(9,784,445)
(101,955,327)
(2,866,789)
$
(26,458,514)
13,504,710
$
140,712,467
Investor
C
Shares
sold
.............................................
505,249
$
4,736,983
813,169
$
8,483,411
Shares
issued
in
reinvestment
of
distributions
........................
90,662
836,724
115,335
1,195,073
Shares
redeemed
and
automatic
conversion
of
shares
..................
(863,782)
(8,095,480)
(628,997)
(6,550,879)
(267,871)
$
(2,521,773)
299,507
$
3,127,605
Class
K
Shares
sold
.............................................
2,292,432
$
22,132,854
3,303,108
$
34,517,332
Shares
issued
in
reinvestment
of
distributions
........................
396,922
3,681,561
443,099
4,602,542
Shares
redeemed
.........................................
(3,721,675)
(34,842,360)
(1,940,445)
(20,261,255)
(1,032,321)
$
(9,027,945)
1,805,762
$
18,858,619
(9,489,741)
$
(75,228,634)
28,100,797
$
292,417,674
Notes
to
Financial
Statements
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
74
12.
SUBSEQUENT
EVENTS
Management
has
evaluated
the
impact
of
all
subsequent
events
on
the
Fund
through
the
date
the
financial
statements
were
issued
and
has
determined
that
there
were
no
subsequent
events
requiring
adjustment
or
additional
disclosure
in
the
financial
statements.
Report
of
Independent
Registered
Public
Accounting
Firm
75
Report
of
Independent
Registered
Public
Accounting
Firm
To
the
Shareholders
of
BlackRock
Managed
Income
Fund
and
the
Board
of
Trustees
of
BlackRock
Funds
II:
Opinion
on
the
Financial
Statements
and
Financial
Highlights
We
have
audited
the
accompanying
statement
of
assets
and
liabilities
of
BlackRock
Managed
Income
Fund
of
BlackRock
Funds
II
(the
“Fund”),
including
the
schedule
of
investments,
as
of
December
31,
2022,
the
related
statement
of
operations
for
the
year
then
ended,
the
statements
of
changes
in
net
assets
for
each
of
the
two
years
in
the
period
then
ended,
the
financial
highlights
for
each
of
the
five
years
in
the
period
then
ended,
and
the
related
notes.
In
our
opinion,
the
financial
statements
and
financial
highlights
present
fairly,
in
all
material
respects,
the
financial
position
of
the
Fund
as
of
December
31,
2022,
and
the
results
of
its
operations
for
the
year
then
ended,
the
changes
in
its
net
assets
for
each
of
the
two
years
in
the
period
then
ended,
and
the
financial
highlights
for
each
of
the
five
years
in
the
period
then
ended,
in
conformity
with
accounting
principles
generally
accepted
in
the
United
States
of
America.
Basis
for
Opinion
These
financial
statements
and
financial
highlights
are
the
responsibility
of
the
Fund’s
management.
Our
responsibility
is
to
express
an
opinion
on
the
Fund’s
financial
statements
and
financial
highlights
based
on
our
audits.
We
are
a
public
accounting
firm
registered
with
the
Public
Company
Accounting
Oversight
Board
(United
States)
(PCAOB)
and
are
required
to
be
independent
with
respect
to
the
Fund
in
accordance
with
the
U.S.
federal
securities
laws
and
the
applicable
rules
and
regulations
of
the
Securities
and
Exchange
Commission
and
the
PCAOB.
We
conducted
our
audits
in
accordance
with
the
standards
of
the
PCAOB.
Those
standards
require
that
we
plan
and
perform
the
audit
to
obtain
reasonable
assurance
about
whether
the
financial
statements
and
financial
highlights
are
free
of
material
misstatement,
whether
due
to
error
or
fraud.
The
Fund
is
not
required
to
have,
nor
were
we
engaged
to
perform,
an
audit
of
its
internal
control
over
financial
reporting.
As
part
of
our
audits
we
are
required
to
obtain
an
understanding
of
internal
control
over
financial
reporting
but
not
for
the
purpose
of
expressing
an
opinion
on
the
effectiveness
of
the
Fund’s
internal
control
over
financial
reporting.
Accordingly,
we
express
no
such
opinion.
Our
audits
included
performing
procedures
to
assess
the
risks
of
material
misstatement
of
the
financial
statements
and
financial
highlights,
whether
due
to
error
or
fraud,
and
performing
procedures
that
respond
to
those
risks.
Such
procedures
included
examining,
on
a
test
basis,
evidence
regarding
the
amounts
and
disclosures
in
the
financial
statements
and
financial
highlights.
Our
audits
also
included
evaluating
the
accounting
principles
used
and
significant
estimates
made
by
management,
as
well
as
evaluating
the
overall
presentation
of
the
financial
statements
and
financial
highlights.
Our
procedures
included
confirmation
of
securities
owned
as
of
December
31,
2022,
by
correspondence
with
custodians
or
counterparties;
when
replies
were
not
received,
we
performed
other
auditing
procedures.
We
believe
that
our
audits
provide
a
reasonable
basis
for
our
opinion.
Deloitte
&
Touche
LLP
Boston,
Massachusetts
February
23,
2023
We
have
served
as
the
auditor
of
one
or
more
BlackRock
investment
companies
since
1992.
Important
Tax
Information
(Unaudited)
2022
BlackRock
Annual
Report
to
Shareholders
76
The
following
amount,
or maximum
amount
allowable
by
law, is
hereby
designated
as
qualified
dividend
income
for
individuals
for
the
fiscal
year
ended
December
31,
2022:
The
Fund
hereby
designates
the
following
amount,
or
maximum
amount
allowable
by
law,
as
capital
gain
dividends,
subject
to
a
long-term
capital
gains
tax
rate
as
noted
below,
for
the
fiscal
year
ended
December
31,
2022:
The
following
percentage,
or
maximum
percentage
allowable
by
law,
of
ordinary
income
distributions
paid
during
the
fiscal
year
ended
December
31,
2022
qualified
for
the
dividends-received
deduction
for
corporate
shareholders:
The
Fund
hereby
designates
the
following
amount,
or
maximum
amount
allowable
by
law,
as
interest
income
eligible
to
be
treated
as
a
Section
163(j)
interest
dividend
for
the
fiscal
year
ended
December
31,
2022:
The
Fund
hereby
designates
the
following
amount,
or
maximum
amount
allowable
by
law,
as
interest-related
dividends
for
exemption
from
U.S.
withholding
tax
for
nonresident
aliens
and
foreign
corporations
for
the
fiscal
year
ended
December
31,
2022:
Fund
Name
Qualified
Dividend
Income
BlackRock
Managed
Income
Fund
.......................................................................................
$
4,409,203
Fund
Name
20%
Rate
Long-Term
Capital
Gain
Dividends
BlackRock
Managed
Income
Fund
.......................................................................................
$
1,371,089
Fund
Name
Dividends-Received
Deduction
BlackRock
Managed
Income
Fund
.......................................................................................
6.45%
Fund
Name
Interest
Dividends
BlackRock
Managed
Income
Fund
.......................................................................................
$
23,318,382
Fund
Name
Interest-Related
Dividends
BlackRock
Managed
Income
Fund
.......................................................................................
$
18,832,191
Statement
Regarding
Liquidity
Risk
Management
Program
77
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
II
(the
“Trust”)
has
adopted
and
implemented
a
liquidity
risk
management
program
(the
“Program”)
for
BlackRock
Managed
Income
Fund
(the
“Fund”),
a
series
of
the
Trust,
which
is
reasonably
designed
to
assess
and
manage
the
Fund’s
liquidity
risk.
The
Board
of
Trustees
(the
“Board”)
of
the
Trust,
on
behalf
of
the
Fund,
met
on
November
8-9,
2022
(the
“Meeting”)
to
review
the
Program.
The
Board
previously
appointed
BlackRock
Advisors,
LLC
or
BlackRock
Fund
Advisors
(“BlackRock”),
each
an
investment
adviser
to
certain
BlackRock
funds,
as
the
program
administrator
for
the
Fund’s
Program,
as
applicable.
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
the
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
the
Fund’s
investments
(including
derivative
transactions)
into
one
of
four
liquidity
buckets.
It
also
referenced
the
methodology
used
by
BlackRock
to
establish
the
Fund’s
HLIM
and
noted
that
the
Committee
reviews
and
ratifies
the
HLIM
assigned
to
the
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
the
Fund’s
liquidity
risk,
as
follows:
a)
The
Fund’s
investment
strategy
and
liquidity
of
portfolio
investments
during
both
normal
and
reasonably
foreseea
ble
stressed
conditions
.
During
the
Program
Reporting
Period,
the
Committee
reviewed
whether
the
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
the
Fund’s
reasonably
anticipated
trading
size
utilized
for
liquidity
classifications.
The
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
the
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.
Trustee
and
Officer
Information
2022
BlackRock
Annual
Report
to
Shareholders
78
Independent
Trustees
(a)
Name
Year
of
Birth
(b)
Position(s)
Held
(Length
of
Service)
(c)
Principal
Occupation(s)
During
Past
5
Years
Number
of
BlackRock-Advised
Registered
Investment
Companies
(“RICs”)
Consisting
of
Investment
Portfolios
(“Portfolios”)
Overseen
Public
Company
and
Other
Investment
Company
Directorships
Held
During
Past
5
Years
Mark
Stalnecker
1951
Chair
of
the
Board
and
Trustee
(Since
2019)
Chief
Investment
Officer,
University
of
Delaware
from
1999
to
2013;
Trustee
and
Chair
of
the
Finance
and
Investment
Committees,
Winterthur
Museum
and
Country
Estate
from
2005
to
2016;
Member
of
the
Investment
Committee,
Delaware
Public
Employees’
Retirement
System
since
2002;
Member
of
the
Investment
Committee,
Christiana
Care
Health
System
from
2009
to
2017;
Member
of
the
Investment
Committee,
Delaware
Community
Foundation
from
2013
to
2014;
Director
and
Chair
of
the
Audit
Committee,
SEI
Private
Trust
Co.
from
2001
to
2014.
28
RICs
consisting
of
164
Portfolios
None
Susan
J.
Carter
1956
Trustee
(Since
2019)
Trustee,
Financial
Accounting
Foundation
from
2017
to
2021;
Advisory
Board
Member,
Center
for
Private
Equity
and
Entrepreneurship
at
Tuck
School
of
Business
from
1997
to
2021;
Director,
Pacific
Pension
Institute
from
2014
to
2018;
Senior
Advisor,
Commonfund
Capital,
Inc.
(“CCI”)
(investment
adviser)
in
2015;
Chief
Executive
Officer,
CCI
from
2013
to
2014;
President
&
Chief
Executive
Officer,
CCI
from
1997
to
2013;
Advisory
Board
Member,
Girls
Who
Invest
from
2015
to
2018
and
Board
Member
thereof
since
2018;
Advisory
Board
Member,
Bridges
Fund
Management
since
2016;
Practitioner
Advisory
Board
Member,
Private
Capital
Research
Institute
("PCRI")
since
2017;
Lecturer
in
the
Practice
of
Management,
Yale
School
of
Management
since
2019;
Advisor
to
Finance
Committee,
Altman
Foundation
since
2020;
Investment
Committee
Member,
Tostan
since
2021.
28
RICs
consisting
of
164
Portfolios
None
Collette
Chilton
1958
Trustee
(Since
2019)
Chief
Investment
Officer,
Williams
College
since
2006;
Chief
Investment
Officer,
Lucent
Asset
Management
Corporation
from
1998
to
2006;
Director,
Boys
and
Girls
Club
of
Boston
since
2017;
Director,
B1
Capital
since
2018;
Director,
David
and
Lucile
Packard
Foundation
since
2020.
28
RICs
consisting
of
164
Portfolios
None
Neil
A.
Cotty
1954
Trustee
(Since
2019)
Bank
of
America
Corporation
from
1996
to
2015,
serving
in
various
senior
finance
leadership
roles,
including
Chief
Accounting
Officer
from
2009
to
2015,
Chief
Financial
Officer
of
Global
Banking,
Markets
and
Wealth
Management
from
2008
to
2009,
Chief
Accounting
Officer
from
2004
to
2008,
Chief
Financial
Officer
of
Consumer
Bank
from
2003
to
2004,
Chief
Financial
Officer
of
Global
Corporate
Investment
Bank
from
1999
to
2002.
28
RICs
consisting
of
164
Portfolios
None
Lena
G.
Goldberg
1949
Trustee
(Since
2016)
Director,
Charles
Stark
Draper
Laboratory,
Inc.
from
2013
to
2021;
Senior
Lecturer,
Harvard
Business
School
from
2008
to
2021;
FMR
LLC/Fidelity
Investments
(financial
services)
from
1996
to
2008,
serving
in
various
senior
roles
including
Executive
Vice
President
-
Strategic
Corporate
Initiatives
and
Executive
Vice
President
and
General
Counsel;
Partner,
Sullivan
&
Worcester
LLP
from
1985
to
1996
and
Associate
thereof
from
1979
to
1985.
28
RICs
consisting
of
164
Portfolios
None
Henry
R.
Keizer
1956
Trustee
(Since
2016)
Director,
Park
Indemnity
Ltd.
(captive
insurer)
since
2010;
Director,
MUFG
Americas
Holdings
Corporation
and
MUFG
Union
Bank,
N.A.
(financial
and
bank
holding
company)
from
2014
to
2016;
Director,
American
Institute
of
Certified
Public
Accountants
from
2009
to
2011;
Director,
KPMG
LLP
(audit,
tax
and
advisory
services)
from
2004
to
2005
and
2010
to
2012;
Director,
KPMG
International
in
2012,
Deputy
Chairman
and
Chief
Operating
Officer
thereof
from
2010
to
2012
and
U.S.
Vice
Chairman
of
Audit
thereof
from
2005
to
2010;
Global
Head
of
Audit,
KPMGI
(consortium
of
KPMG
firms)
from
2006
to
2010;
Director,
YMCA
of
Greater
New
York
from
2006
to
2010.
28
RICs
consisting
of
164
Portfolios
Hertz
Global
Holdings
(car
rental)
from
2015
to
2021;
GrafTech
International
Ltd.
(materials
manufacturing);
WABCO
(commercial
vehicle
safety
systems)
from
2015
to
2020;
Sealed
Air
Corp.
(packaging)
from
2015
to
2021
Cynthia
A.
Montgomery
1952
Trustee
(Since
2019)
Professor,
Harvard
Business
School
since
1989.
28
RICs
consisting
of
164
Portfolios
None
Trustee
and
Officer
Information
(continued)
79
Trustee
and
Officer
Information
Name
Year
of
Birth
(b)
Position(s)
Held
(Length
of
Service)
(c)
Principal
Occupation(s)
During
Past
5
Years
Number
of
BlackRock-Advised
Registered
Investment
Companies
(“RICs”)
Consisting
of
Investment
Portfolios
(“Portfolios”)
Overseen
Public
Company
and
Other
Investment
Company
Directorships
Held
During
Past
5
Years
Donald
C.
Opatrny
1952
Trustee
(Since
2015)
Director,
Athena
Capital
Advisors
LLC
(investment
management
firm)
from
2013
to
2020;
Trustee,
Vice
Chair,
Member
of
the
Executive
Committee
and
Chair
of
the
Investment
Committee,
Cornell
University
from
2004
to
2019;
President
and
Trustee,
the
Center
for
the
Arts,
Jackson
Hole
from
2011
to
2018;
Member
of
the
Board
and
Investment
Committee,
University
School
from
2007
to
2018;
Trustee,
Artstor
(a
Mellon
Foundation
affiliate)
from
2010
to
2015;
Member
of
the
Investment
Committee,
Mellon
Foundation
from
2009
to
2015;
President,
Trustee
and
Member
of
the
Investment
Committee,
The
Aldrich
Contemporary
Art
Museum
from
2007
to
2014;
Trustee
and
Chair
of
the
Investment
Committee,
Community
Foundation
of
Jackson
Hole
since
2014;
Member
of
Affordable
Housing
Supply
Board
of
Jackson,
Wyoming
since
2017;
Member,
Investment
Funds
Committee,
State
of
Wyoming
since
2017;
Trustee,
Phoenix
Art
Museum
since
2018;
Trustee,
Arizona
Community
Foundation
and
Member
of
Investment
Committee
since
2020.
28
RICs
consisting
of
164
Portfolios
None
Joseph
P.
Platt
1947
Trustee
(Since
2019)
General
Partner,
Thorn
Partners,
LP
(private
investments)
since
1998;
Director,
WQED
Multi-Media
(public
broadcasting
not-for-
profit)
since
2001;
Chair,
Basic
Health
International
(non-profit)
since
2015.
28
RICs
consisting
of
164
Portfolios
Greenlight
Capital
Re,
Ltd.
(reinsurance
company);
Consol
Energy
Inc.
Kenneth
L.
Urish
1951
Trustee
(Since
2019)
Managing
Partner,
Urish
Popeck
&
Co.,
LLC
(certified
public
accountants
and
consultants)
since
1976;
Past-Chairman
of
the
Professional
Ethics
Committee
of
the
Pennsylvania
Institute
of
Certified
Public
Accountants
and
Committee
Member
thereof
since
2007;
Member
of
External
Advisory
Board,
The
Pennsylvania
State
University
Accounting
Department
since
founding
in
2001;
Principal,
UP
Strategic
Wealth
Investment
Advisors,
LLC
since
2013;
Trustee,
The
Holy
Family
Institute
from
2001
to
2010;
President
and
Trustee,
Pittsburgh
Catholic
Publishing
Associates
from
2003
to
2008;
Director,
Inter-Tel
from
2006
to
2007;
Member,
Advisory
Board,
ESG
Competent
Boards
since
2020.
28
RICs
consisting
of
164
Portfolios
None
Claire
A.
Walton
1957
Trustee
(Since
2019)
Chief
Operating
Officer
and
Chief
Financial
Officer
of
Liberty
Square
Asset
Management,
LP
from
1998
to
2015;
General
Partner
of
Neon
Liberty
Capital
Management,
LLC
since
2003;
Director,
Boston
Hedge
Fund
Group
from
2009
to
2018;
Director,
Woodstock
Ski
Runners
since
2013;
Director,
Massachusetts
Council
on
Economic
Education
from
2013
to
2015.
28
RICs
consisting
of
164
Portfolios
None
Independent
Trustees
(a)
(continued)
Trustee
and
Officer
Information
(continued)
2022
BlackRock
Annual
Report
to
Shareholders
80
Interested
Trustees
(a)(d)
(a)
The
address
of
each
Trustee
is
c/o
BlackRock,
Inc.,
55
East
52nd
Street,
New
York,
New
York
10055.
(b)
Each
Independent
Trustee
holds
office
until
his
or
her
successor
is
duly
elected
and
qualifies
or
until
his
or
her
earlier
death,
resignation,
retirement
or
removal
as
provided
by
the
Trust’s
by-laws
or
charter
or
statute,
or
until
December
31
of
the
year
in
which
he
or
she
turns
75.
Trustees
who
are
"interested
persons,"
as
defined
in
the
1940
Act,
serve
until
their
successor
is
duly
elected
and
qualifies
or
until
their
earlier
death,
resignation,
retirement
or
removal
as
provided
by
the
Trust’s
by-laws
or
statute,
or
until
December
31
of
the
year
in
which
they
turn
72.
The
Board
may
determine
to
extend
the
terms
of
Independent
Trustees
on
a
case-by-case
basis,
as
appropriate.
(c)
Following
the
combination
of
Merrill
Lynch
Investment
Managers,
L.P.
(“MLIM”)
and
BlackRock,
Inc.
in
September
2006,
the
various
legacy
MLIM
and
legacy
BlackRock
fund
boards
were
realigned
and
consolidated
into
three
new
fund
boards
in
2007.
In
addition,
effective
January
1,
2019,
three
BlackRock
Fund
Complexes
were
realigned
and
consolidated
into
two
BlackRock
Fund
Complexes.
As
a
result,
although
the
chart
shows
the
year
that
each
Independent
Trustees
joined
the
Board,
certain
Independent
Trustees
first
became
members
of
the
boards
of
other
BlackRock-advised
Funds,
legacy
MLIM
funds
or
legacy
BlackRock
funds
as
follows:
Susan
J.
Carter,
2016;
Collette
Chilton,
2015;
Neil
A.
Cotty,
2016;
Cynthia
A.
Montgomery,
1994;
Joseph
P.
Platt,
1999;
Mark
Stalnecker,
2015;
Kenneth
L.
Urish,
1999;
Claire
A.
Walton,
2016.
(d)
Mr.
Fairbairn
and
Mr.
Perlowski
are
both
“interested
persons,”
as
defined
in
the
1940
Act,
of
the
Trust
based
on
their
positions
with
BlackRock,
Inc.
and
its
affiliates.
Mr.
Fairbairn
and
Mr.
Perlowski
are
also
board
members
of
the
BlackRock
Fixed-Income
Complex.
(e)
Mr.
Perlowski
is
also
a
trustee
of
the
BlackRock
Credit
Strategies
Fund
and
BlackRock
Private
Investments
Fund.
Name
Year
of
Birth
(b)
Position(s)
Held
(Length
of
Service)
(c)
Principal
Occupation(s)
During
Past
5
Years
Number
of
BlackRock-Advised
Registered
Investment
Companies
(“RICs”)
Consisting
of
Investment
Portfolios
(“Portfolios”)
Overseen
Public
Company
and
Other
Investment
Company
Directorships
Held
During
Past
5
Years
Robert
Fairbairn
1965
Trustee
(Since
2015)
Vice
Chairman
of
BlackRock,
Inc.
since
2019;
Member
of
BlackRock's
Global
Executive
and
Global
Operating
Committees;
Co-Chair
of
BlackRock's
Human
Capital
Committee;
Senior
Managing
Director
of
BlackRock,
Inc.
from
2010
to
2019;
oversaw
BlackRock's
Strategic
Partner
Program
and
Strategic
Product
Management
Group
from
2012
to
2019;
Member
of
the
Board
of
Managers
of
BlackRock
Investments,
LLC
from
2011
to
2018;
Global
Head
of
BlackRock's
Retail
and
iShares
®
businesses
from
2012
to
2016.
98
RICs
consisting
of
266
Portfolios
None
John
M.
Perlowski
(e)
1964
Trustee
(Since
2015);
President
and
Chief
Executive
Officer
(Since
2010)
Managing
Director
of
BlackRock,
Inc.
since
2009;
Head
of
BlackRock
Global
Accounting
and
Product
Services
since
2009;
Advisory
Director
of
Family
Resource
Network
(charitable
foundation)
since
2009.
100
RICs
consisting
of
268
Portfolios
None
Trustee
and
Officer
Information
(continued)
81
Trustee
and
Officer
Information
Officers
Who
Are
Not
Trustees
(a)
(a)
The
address
of
each
Officer
is
c/o
BlackRock,
Inc.,
55
East
52nd
Street,
New
York,
New
York
10055.
(b)
Officers
of
the
Trust
serve
at
the
pleasure
of
the
Board.
Further
information
about
the
Trust's
Trustees
and
Officers
is
available
in
the
Trust's
Statement
of
Additional
Information,
which
can
be
obtained
without
charge
by
calling
(800)
441-7762.
Name
Year
of
Birth
(b)
Position(s)
Held
(Length
of
Service)
Principal
Occupation(s)
During
Past
5
Years
Jennifer
McGovern
1977
Vice
President
(Since
2014)
Managing
Director
of
BlackRock,
Inc.
since
2016;
Director
of
BlackRock,
Inc.
from
2011
to
2015;
Head
of
Americas
Product
Development
and
Governance
for
BlackRock’s
Global
Product
Group
since
2019;
Head
of
Product
Structure
and
Oversight
for
BlackRock's
U.S.
Wealth
Advisory
Group
from
2013
to
2019.
Trent
Walker
1974
Chief
Financial
Officer
(Since
2021)
Managing
Director
of
BlackRock,
Inc.
since
September
2019;
Executive
Vice
President
of
PIMCO
from
2016
to
2019;
Senior
Vice
President
of
PIMCO
from
2008
to
2015;
Treasurer
from
2013
to
2019
and
Assistant
Treasurer
from
2007
to
2017
of
PIMCO
Funds,
PIMCO
Variable
Insurance
Trust,
PIMCO
ETF
Trust,
PIMCO
Equity
Series,
PIMCO
Equity
Series
VIT,
PIMCO
Managed
Accounts
Trust,
2
PIMCO-sponsored
interval
funds
and
21
PIMCO-sponsored
closed-end
funds.
Jay
M.
Fife
1970
Treasurer
(Since
2007)
Managing
Director
of
BlackRock,
Inc.
since
2007.
Charles
Park
1967
Chief
Compliance
Officer
(Since
2014)
Anti-Money
Laundering
Compliance
Officer
for
certain
BlackRock-advised
Funds
from
2014
to
2015;
Chief
Compliance
Officer
of
BlackRock
Advisors,
LLC
and
the
BlackRock-advised
Funds
in
the
BlackRock
Multi-Asset
Complex
and
the
BlackRock
Fixed-Income
Complex
since
2014;
Principal
of
and
Chief
Compliance
Officer
for
iShares
®
Delaware
Trust
Sponsor
LLC
since
2012
and
BlackRock
Fund
Advisors
(“BFA”)
since
2006;
Chief
Compliance
Officer
for
the
BFA-advised
iShares
®
exchange
traded
funds
since
2006;
Chief
Compliance
Officer
for
BlackRock
Asset
Management
International
Inc.
since
2012.
Lisa
Belle
1968
Anti-Money
Laundering
Compliance
Officer
(Since
2019)
Managing
Director
of
BlackRock,
Inc.
since
2019;
Global
Financial
Crime
Head
for
Asset
and
Wealth
Management
of
JP
Morgan
from
2013
to
2019;
Managing
Director
of
RBS
Securities
from
2012
to
2013;
Head
of
Financial
Crimes
for
Barclays
Wealth
Americas
from
2010
to
2012.
Janey
Ahn
1975
Secretary
(Since
2019)
Managing
Director
of
BlackRock,
Inc.
since
2018;
Director
of
BlackRock,
Inc.
from
2009
to
2017.
Effective
March
31,
2022,
Thomas
Callahan
resigned
as
a
Vice
President
of
the
Trust
and
effective
May
10,
2022,
Roland
Villacorta
was
appointed
as
a
Vice
President
of
the
Trust.
Effective
December
31,
2022,
Joseph
P.
Platt
retired
as
a
Trustee
of
the
Trust.
Additional
Information
2022
BlackRock
Annual
Report
to
Shareholders
82
General
Information
Quarterly
performance,
semi-annual
and
annual
reports,
current
net
asset
value
and
other
information
regarding
the
Fund
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
Fund
and
does
not,
and
is
not
intended
to,
incorporate
BlackRock’s
website
in
this
report.
Householding
The
Fund
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
Fund at
(800)
441-7762.
Availability
of
Quarterly
Schedule
of
Investments
The
Fund
files
its
complete
schedule
of
portfolio
holdings
with
the
SEC
for
the
first
and
third
quarters
of
each
fiscal
year
as
an
exhibit
to
its
reports
on
Form
N-PORT.
The
Fund’s
Form
N-PORT is
available
on
the
SEC’s
website
at
sec.gov
.
Additionally,
the
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
Fund
uses
to
determine
how
to
vote
proxies
relating
to
portfolio
securities
and
information
about
how
the
Fund
voted
proxies
relating
to
securities
held
in
the
Fund's
portfolio
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)
83
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-Adviser
BlackRock
International
Limited
Edinburgh,
EH3
8BL
United
Kingdom
BlackRock
(Singapore)
Limited
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
10022
Legal
Counsel
Sidley
Austin
LLP
New
York,
NY
10019
Address
of
the
Trust
100
Bellevue
Parkway
Wilmington,
DE
19809
Glossary
of
Terms
Used
in
this
Report
2022
BlackRock
Annual
Report
to
Shareholders
84
Currency
Abbreviation
GBP
British
Pound
JPY
Japanese
Yen
USD
United
States
Dollar
Portfolio
Abbreviation
CDI
Crest
Depository
Interests
CLO
Collateralized
Loan
Obligation
CMT
Constant
Maturity
Treasury
DAC
Designated
Activity
Company
ETF
Exchange-Traded
Fund
LIBOR
London
Interbank
Offered
Rate
MBS
Mortgage-Backed
Securities
MSCI
Morgan
Stanley
Capital
International
PIK
Payment-In-Kind
REIT
Real
Estate
Investment
Trust
S&P
Standard
&
Poor's
SOFR
Secured
Overnight
Financing
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
Fund
unless
preceded
or
accompanied
by
the
Fund’s
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.
MIIP-12/22-AR
Item 2 – Code of Ethics –
The registrant (or the “Fund”) has adopted a code of ethics, as of the end of the period covered by this report, applicable to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions. During the period covered by this report, the code of ethics was amended to update certain information and to make other non-material changes. During the period covered by this report, there have been no waivers granted under the code of ethics. The
registrant undertakes to provide a copy of the code of ethics to any person upon request, without charge, who calls 1-800-441-7762.
Item 3 – Audit Committee Financial Expert – The registrant’s board of directors (the “board of directors”), has determined that (i) the registrant has the following audit committee financial experts serving on its audit committee and (ii) each audit committee financial expert is independent:
Neil A. Cotty
Henry R. Keizer
Kenneth L. Urish
Under applicable securities laws, a person determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and board of directors in the absence of such designation or identification. The designation or identification of a person as an audit committee financial expert does not affect the duties, obligations, or liability of any other member of the audit committee or board of directors.
Item 4 – Principal Accountant Fees and Services
The following table presents fees billed by Deloitte & Touche LLP (“D&T”) in each of the last two fiscal years for the services rendered to the Fund:
(a) Audit Fees | (b) Audit-Related Fees1 | (c) Tax Fees2 | (d) All Other Fees | |||||
Entity Name | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End | Current Fiscal Year End | Previous Fiscal Year End |
BlackRock Managed Income Fund | $59,976 | $59,388 | $44 | $210 | $16,900 | $20,300 | $431 | $0 |
The following table presents fees billed by D&T that were required to be approved by the registrant’s audit committee (the “Committee”) for services that relate directly to the operations or financial reporting of the Fund and that are rendered on behalf of BlackRock Advisors, LLC (the “Investment Adviser” or “BlackRock”) and entities controlling, controlled by, or under common control with BlackRock (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser) that provide ongoing services to the Fund (“Affiliated Service Providers”):
Current Fiscal Year End | Previous Fiscal Year End | |
(b) Audit-Related Fees1 | $0 | $0 |
(c) Tax Fees2 | $0 | $0 |
(d) All Other Fees3 | $2,098,000 | $2,032,000 |
1
The nature of the services includes assurance and related services reasonably related to the performance of the audit or review of financial statements not included in Audit Fees, including accounting consultations, agreed-upon procedure reports, attestation reports, comfort letters, out-of-pocket expenses and internal control reviews not required by regulators.
2
The nature of the services includes tax compliance and/or tax preparation, including services relating to the filing or amendment of federal, state or local income tax returns, regulated investment company qualification reviews, taxable income and tax distribution calculations.
3
Non-audit fees of $2,098,000 and $2,032,000 for the current fiscal year and previous fiscal year, respectively, were paid to the Fund’s principal accountant in their entirety by BlackRock, in connection with services provided to the Affiliated Service Providers of the Fund and of certain other funds sponsored and advised by BlackRock or its affiliates for a service organization review and an accounting research tool subscription. These amounts represent aggregate fees paid by BlackRock and were not allocated on a per fund basis.
(e)(1) Audit Committee Pre-Approval Policies and Procedures:
The Committee has adopted policies and procedures with regard to the pre-approval of services. Audit, audit-related and tax compliance services provided to the registrant on an annual basis require specific pre-approval by the Committee. The Committee also must approve other non-audit services provided to the registrant and those non-audit services provided to the Investment Adviser and Affiliated Service Providers that relate directly to the operations and the financial reporting of the registrant. Certain of these non-audit services that the Committee believes are (a) consistent with the SEC’s auditor independence rules and (b) routine and recurring services that will not impair the independence of the independent accountants may be approved by the Committee without consideration on a specific case-by-case basis (“general pre-approval”). The term of any general pre-approval is 12 months from the date of the pre-approval, unless the Committee provides for a different period. Tax or other non-audit services provided to the registrant which have a direct impact on the operations or financial reporting of the registrant will only be deemed pre-approved provided that any individual project does not exceed $10,000 attributable to the registrant or $50,000 per project. For this purpose, multiple projects will be aggregated to determine if they exceed the previously mentioned cost levels.
Any proposed services exceeding the pre-approved cost levels will require specific pre-approval by the Committee, as will any other services not subject to general pre-approval (e.g., unanticipated but permissible services). The Committee is informed of each service approved subject to general pre-approval at the next regularly scheduled in-person board meeting. At this meeting, an analysis of such services is presented to the Committee for ratification. The Committee may delegate to the Committee Chairman the authority to approve the provision of and fees for any specific engagement of permitted non-audit services, including services exceeding pre-approved cost levels.
(e)(2) None of the services described in each of Items 4(b) through (d) were approved by the Committee pursuant to the de minimis exception in paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X.
(f) Not Applicable
(g)
The aggregate non-audit fees, defined as the sum of the fees shown under “Audit-Related Fees,” “Tax Fees” and “All Other Fees,” paid to the accountant for services rendered by the accountant to the registrant, the Investment Adviser and the Affiliated Service Providers were:
Entity Name | Current Fiscal Year End | Previous Fiscal Year End |
BlackRock Managed Income Fund | $17,375 | $20,510 |
Additionally, the amounts billed by D&T in connection with services provided to the Affiliated Service Providers of the Fund and of other funds sponsored and advised by BlackRock or its affiliates during the current and previous fiscal years for a service organization review and an accounting research tool subscription were:
Current Fiscal Year End | Previous Fiscal Year End |
$2,098,000 | $2,032,000 |
These amounts represent aggregate fees paid by BlackRock and were not allocated on a per fund basis.
(h) The Committee has considered and determined that the provision of non-audit services that were rendered to the Investment Adviser and
the Affiliated Service Providers
that were not pre-approved pursuant to paragraph (c)(7)(ii) of Rule 2-01 of Regulation S-X is compatible with maintaining the principal accountant’s independence.
(i) – Not Applicable
(j) – Not Applicable
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 – See Item 2
(a)(2) Section 302 Certifications are attached
(a)(3)
Any written solicitation to purchase securities under Rule 23c-1 – Not Applicable
(a)(4)
Change in Registrant’s independent public accountant – Not Applicable
(b) Section 906 Certifications are attached
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 II
By: /s/ John M. Perlowski _
John M. Perlowski
Chief Executive Officer (principal executive officer) of
BlackRock Funds II
Date: February 23, 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 II
Date: February 23, 2023
By: /s/ Trent Walker _
Trent Walker
Chief Financial Officer (principal financial officer) of
BlackRock Funds II
Date: February 23, 2023