{"annotation_id":"cc3144ce-bfa4-40ac-a982-efd495f1945c","file_hash":"8d56811b57a890fe051c2533dae21bd5027efcc3ba085c10bdbdeb7b3ac772b0","schema_id":"open/document-extraction","schema_version":"0.5.0","record":{"extraction_type":"boxes","producer":"pdf-extractor-v0.5.0","blocks":[{"id":"7d7e80d7-c1a3-4ae2-8d14-3b9abfdf9b03","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":1,"box":{"x":116,"y":87,"width":296,"height":12}},{"id":"726c27ef-b6b9-4775-b08f-197c772840e9","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":1,"box":{"x":116,"y":103,"width":325,"height":12}},{"id":"a50e5c9c-f914-4bf5-9c6e-c8596c95dea6","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":1,"box":{"x":116,"y":118,"width":266,"height":12}},{"id":"676f35a2-88b6-452b-b226-0cbf1de28f42","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":1,"box":{"x":116,"y":134,"width":232,"height":11}},{"id":"9b0c20b5-14b6-4439-96ac-611fc9836d4c","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":1,"box":{"x":116,"y":150,"width":203,"height":11}},{"id":"c8c03c00-be14-439f-8ad9-e24b9cfcc98f","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":1,"box":{"x":116,"y":165,"width":331,"height":12}},{"id":"853d13ea-097e-4f24-bfc7-eb68ce8ba1d1","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":1,"box":{"x":116,"y":180,"width":317,"height":12}},{"id":"e2774f9a-5f34-4837-9523-6c07b3eb0fad","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":1,"box":{"x":116,"y":196,"width":301,"height":12}},{"id":"49edf9a0-c4df-479d-9a3d-fc919833450b","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":1,"box":{"x":116,"y":212,"width":248,"height":11}},{"id":"7d7654cc-741d-4e3b-8e76-fc8ad93fa21a","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":1,"box":{"x":116,"y":227,"width":332,"height":9}},{"id":"da7b3fbd-5290-4f9d-a426-94ec2d99361c","block_type":"box","text":"BlackRock Funds","page_number":1,"box":{"x":116,"y":243,"width":127,"height":9}},{"id":"8c74e95e-3860-49d6-a07f-0c3997671068","block_type":"box","text":"SM","page_number":1,"box":{"x":244,"y":242,"width":15,"height":6}},{"id":"6ee436f6-eb53-456e-b271-7e606bc9b9e9","block_type":"box","text":"BlackRock Funds II","page_number":1,"box":{"x":116,"y":258,"width":149,"height":9}},{"id":"45aee391-a9ee-4ca4-9476-67c053b3a532","block_type":"box","text":"BlackRock Funds III","page_number":1,"box":{"x":116,"y":274,"width":155,"height":9}},{"id":"316f7937-24e7-4ae3-9998-3fcbf09941fc","block_type":"box","text":"BlackRock Funds IV","page_number":1,"box":{"x":116,"y":289,"width":154,"height":9}},{"id":"a938a18d-245e-4244-914d-3f6534cd568e","block_type":"box","text":"BlackRock Funds V","page_number":1,"box":{"x":116,"y":305,"width":148,"height":9}},{"id":"ad0e88fe-55ef-46ff-a007-8dc49e6c96df","block_type":"box","text":"BlackRock Funds VI","page_number":1,"box":{"x":116,"y":320,"width":154,"height":9}},{"id":"130ea24c-bfc7-450b-b6a7-5d0e31f9f488","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":1,"box":{"x":116,"y":336,"width":292,"height":11}},{"id":"4111eb83-c45c-4392-b1e6-53524bd72fd2","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":1,"box":{"x":116,"y":351,"width":213,"height":11}},{"id":"f8467fc0-c621-41b7-af77-b071f25a709c","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":1,"box":{"x":520,"y":87,"width":324,"height":12}},{"id":"4b28f931-9aca-40db-851c-85d4c441fc98","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":1,"box":{"x":520,"y":103,"width":349,"height":12}},{"id":"c65e1c13-22bd-4a5b-afa1-f4db8125f6de","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":1,"box":{"x":520,"y":118,"width":335,"height":12}},{"id":"6c0d1993-e5ec-496d-88d4-a73387ecaf70","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":1,"box":{"x":520,"y":134,"width":296,"height":12}},{"id":"73715e26-f108-46c0-8e22-581499b413a8","block_type":"box","text":"BlackRock Liquidity Funds","page_number":1,"box":{"x":520,"y":149,"width":203,"height":12}},{"id":"854b5d29-7e8b-4a43-a262-d610c717cbc9","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":1,"box":{"x":520,"y":165,"width":282,"height":12}},{"id":"54bfe732-c6fb-42b4-9dbe-0563d53951b2","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":1,"box":{"x":520,"y":180,"width":339,"height":12}},{"id":"bfe2fdec-2f15-4531-8506-de5e92f9c3a6","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":196,"width":282,"height":12}},{"id":"a03f4e98-6aa8-48bd-97a4-7dbfc867ec65","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":1,"box":{"x":520,"y":211,"width":252,"height":12}},{"id":"87052551-9a38-4a47-8488-23fcd2b80402","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":1,"box":{"x":520,"y":227,"width":264,"height":9}},{"id":"7ed8dd00-6a55-49a9-9343-09e482c86ece","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":1,"box":{"x":520,"y":242,"width":208,"height":12}},{"id":"4a6c8938-e3dd-474b-a849-b2a3a5ad301d","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":1,"box":{"x":520,"y":258,"width":226,"height":11}},{"id":"6a91286e-92a0-47aa-8064-8da0ce27598b","block_type":"box","text":"BlackRock Series, Inc.","page_number":1,"box":{"x":520,"y":274,"width":166,"height":11}},{"id":"e8851a3b-26a9-4ff4-b153-4c544f8523db","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":1,"box":{"x":520,"y":289,"width":325,"height":12}},{"id":"c4f355bd-86a6-4583-8202-3a32fb3e9c1d","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":1,"box":{"x":520,"y":305,"width":288,"height":11}},{"id":"61fee290-01c4-4366-87c3-ed23a953fadb","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":1,"box":{"x":520,"y":320,"width":282,"height":11}},{"id":"5b3d13f2-41da-4b57-a5d7-69e1669f3eb8","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":1,"box":{"x":520,"y":336,"width":299,"height":11}},{"id":"e8d6076e-731c-4075-be2f-1436cc3983b7","block_type":"box","text":"Supplement dated October 16, 2026","page_number":1,"box":{"x":372,"y":378,"width":260,"height":12}},{"id":"bfe49fdb-8cee-4c7f-b22b-e261babcabbb","block_type":"box","text":"to the Statement of Additional Information (“SAI”) of each of the funds listed","page_number":1,"box":{"x":221,"y":394,"width":561,"height":11}},{"id":"e9e4f11c-e2f8-4b97-858f-2eaa75b5e35e","block_type":"box","text":"in Appendix A (each, a “Fund”), as amended from time to time.","page_number":1,"box":{"x":271,"y":409,"width":461,"height":12}},{"id":"877be638-74c1-4c22-97b4-4a885e32d830","block_type":"box","text":"Each Fund’s SAI is amended as follows:","page_number":1,"box":{"x":116,"y":436,"width":292,"height":9}},{"id":"328f3746-3625-4dfd-aec5-cf6d63dffbbb","block_type":"box","text":"The list in the section entitled “Purchase of Shares - Additional Payments by BlackRock - D. Service","page_number":1,"box":{"x":116,"y":463,"width":722,"height":12}},{"id":"bf9ffa97-4e78-4b37-8df9-38e82865e39c","block_type":"box","text":"Organizations Receiving Additional Payments” in Part II, or in the section entitled “Miscellaneous -","page_number":1,"box":{"x":116,"y":479,"width":721,"height":12}},{"id":"1737db97-a75b-497c-be4e-059da1001527","block_type":"box","text":"Additional Payments by BlackRock - D. Service Organizations Receiving Additional Payments,”","page_number":1,"box":{"x":116,"y":494,"width":695,"height":12}},{"id":"92d1fcfa-50dd-4004-ac6d-cf72c3ec2c52","block_type":"box","text":"“Investment Advisory Arrangements - Additional Payments by BlackRock - D. Service Organizations","page_number":1,"box":{"x":116,"y":510,"width":734,"height":12}},{"id":"ed89a843-fe35-4c35-8049-b9d2ab3681c7","block_type":"box","text":"Receiving Additional Payments” or “Investment Adviser and Other Service Providers - Additional","page_number":1,"box":{"x":116,"y":525,"width":712,"height":12}},{"id":"15b3cafb-64e5-49f8-8a39-7b32775eb997","block_type":"box","text":"Payments by BlackRock - D. Service Organizations Receiving Additional Payments,” as applicable, of each","page_number":1,"box":{"x":116,"y":541,"width":771,"height":12}},{"id":"e0da873e-3392-4473-af37-6ea37734130e","block_type":"box","text":"Fund’s current SAI, is deleted in its entirety and replaced with the following:","page_number":1,"box":{"x":116,"y":556,"width":557,"height":12}},{"id":"5791fd5c-21fc-47f9-b3ba-2d48ebca5102","block_type":"box","text":"&Partners","page_number":1,"box":{"x":116,"y":584,"width":72,"height":9}},{"id":"f0152132-db3a-491d-a416-73c88579d905","block_type":"box","text":"AccuTech Systems Corporation","page_number":1,"box":{"x":116,"y":599,"width":219,"height":12}},{"id":"0ddf2dfc-2acf-42fd-9a46-fcac52508235","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":1,"box":{"x":116,"y":615,"width":173,"height":10}},{"id":"81d2e59c-2563-44f7-aa51-acaea6a5427c","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":1,"box":{"x":116,"y":630,"width":215,"height":12}},{"id":"1f22c495-563e-4a6b-bed4-5d0cc1fa56b1","block_type":"box","text":"Advisor Group, Inc.","page_number":1,"box":{"x":116,"y":646,"width":140,"height":11}},{"id":"78fe23e0-1f48-42eb-8d0a-d773e5d4943c","block_type":"box","text":"AE Wealth Management, LLC","page_number":1,"box":{"x":116,"y":661,"width":207,"height":12}},{"id":"5d3dc399-8960-4c37-aefd-3babc22bc082","block_type":"box","text":"Alight Solutions LLC","page_number":1,"box":{"x":116,"y":677,"width":146,"height":11}},{"id":"3b7b024a-a362-4e7c-a0e0-76e00fa5cb9e","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":1,"box":{"x":116,"y":692,"width":250,"height":11}},{"id":"b6f9ba9e-7751-4216-9ac3-1af2b0959d6a","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":1,"box":{"x":116,"y":708,"width":314,"height":11}},{"id":"53dfa312-dcaf-405d-b678-4a504d258af1","block_type":"box","text":"Allianz Life Insurance Company of North America","page_number":1,"box":{"x":116,"y":723,"width":345,"height":12}},{"id":"add0e374-9471-43df-b03e-7dc70163f05c","block_type":"box","text":"Altruist Financial LLC","page_number":1,"box":{"x":116,"y":739,"width":154,"height":9}},{"id":"9f5023be-1bf0-4e18-bbb8-dd456390050b","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":1,"box":{"x":116,"y":754,"width":313,"height":12}},{"id":"ebd84cc7-01ef-4a54-8925-09027642c2a2","block_type":"box","text":"American General Life Insurance Company","page_number":1,"box":{"x":116,"y":770,"width":295,"height":11}},{"id":"7ed0f4e3-3d59-4112-a70d-5737710fe193","block_type":"box","text":"American United Life Insurance Company","page_number":1,"box":{"x":116,"y":785,"width":288,"height":12}},{"id":"07f74e28-1751-4b3d-9bd4-8bb6b5476b21","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":1,"box":{"x":116,"y":801,"width":292,"height":11}},{"id":"8bfae925-5821-4e2a-a465-008254bc82a1","block_type":"box","text":"Anthem Securities LLC","page_number":1,"box":{"x":116,"y":816,"width":160,"height":9}},{"id":"abbecb7c-8168-439a-9ed2-fed2d372aec3","block_type":"box","text":"Argent Institutional Trust Company","page_number":1,"box":{"x":116,"y":832,"width":246,"height":11}},{"id":"7d9f1f99-182c-4550-b15a-05a7435f314c","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":1,"box":{"x":116,"y":847,"width":263,"height":11}},{"id":"131a28f0-1263-4e4d-a563-4aaf5b54252c","block_type":"box","text":"Ascensus, Inc.","page_number":1,"box":{"x":116,"y":863,"width":102,"height":10}},{"id":"9dfc3d53-2ea0-4aef-9284-2fafc8c6fa14","block_type":"box","text":"Atomic Brokerage LLC","page_number":1,"box":{"x":116,"y":878,"width":165,"height":12}},{"id":"ea07503a-1fec-4f16-9199-a173ecf6f3ca","block_type":"box","text":"Avantax Investment Services, LLC","page_number":1,"box":{"x":116,"y":894,"width":242,"height":10}},{"id":"f050e3f9-94e7-448e-8330-b83603e623fb","block_type":"box","text":"Bancroft Capital LLC","page_number":1,"box":{"x":116,"y":909,"width":147,"height":12}},{"id":"cb81da3b-cb91-41df-9229-5471ec58dba5","block_type":"box","text":"Bank of America, N.A.","page_number":1,"box":{"x":520,"y":584,"width":161,"height":10}},{"id":"a16f7515-9bbe-4791-a926-1a825952ba04","block_type":"box","text":"Bank of New York Mellon","page_number":1,"box":{"x":520,"y":599,"width":185,"height":9}},{"id":"61056fc0-9ffb-474b-b7fb-32ddcaab7dee","block_type":"box","text":"Barclays Capital Inc.","page_number":1,"box":{"x":520,"y":615,"width":146,"height":11}},{"id":"5b111591-b47d-4eeb-a6a9-21c0aa5a6baf","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":1,"box":{"x":520,"y":630,"width":295,"height":11}},{"id":"fea76056-5910-46e6-acb6-4b7a95d4769f","block_type":"box","text":"Benefit Trust Company","page_number":1,"box":{"x":520,"y":646,"width":163,"height":11}},{"id":"32ec3add-eb94-48d0-a899-56cbe3866b9a","block_type":"box","text":"Beta Capital Securities LLC","page_number":1,"box":{"x":520,"y":661,"width":190,"height":12}},{"id":"eeb22413-0ef0-4043-878f-380183072efb","block_type":"box","text":"bfinance US Ltd.","page_number":1,"box":{"x":520,"y":677,"width":114,"height":9}},{"id":"74b8a1e2-4cb2-4f66-9f35-1e2c2a017d4f","block_type":"box","text":"BlackRock Advisors, LLC","page_number":1,"box":{"x":520,"y":692,"width":179,"height":11}},{"id":"d098fa2d-22a1-43cf-bde0-37105d8a438a","block_type":"box","text":"BMO Capital Markets Corp.","page_number":1,"box":{"x":520,"y":708,"width":191,"height":11}},{"id":"fc452386-aac1-45af-a3a6-3d044e39b502","block_type":"box","text":"BNP Paribas","page_number":1,"box":{"x":520,"y":723,"width":85,"height":9}},{"id":"9693ad52-fc8e-450f-9d37-7d336fcb30df","block_type":"box","text":"BNP Paribas Investment Partners UK Limited","page_number":1,"box":{"x":520,"y":739,"width":311,"height":9}},{"id":"e6d1fee6-3de5-4d5b-a2ae-2251f81614da","block_type":"box","text":"BNY Mellon, N.A.","page_number":1,"box":{"x":520,"y":754,"width":128,"height":11}},{"id":"994e2f8f-1b87-47d3-8280-56b13b1c7e1f","block_type":"box","text":"BofA Securities, Inc.","page_number":1,"box":{"x":520,"y":770,"width":141,"height":10}},{"id":"e10e26af-a17c-42a3-ba0c-8b5d40956c41","block_type":"box","text":"BOKF, N.A.","page_number":1,"box":{"x":520,"y":785,"width":84,"height":11}},{"id":"dd16c6a8-6ee7-4475-a3e3-b07c71ff4e88","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":1,"box":{"x":520,"y":801,"width":253,"height":11}},{"id":"2488409c-096e-4820-a44e-0b32274f85be","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":1,"box":{"x":520,"y":816,"width":300,"height":12}},{"id":"3dc2d685-b596-440e-8be0-3df186068aa0","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":1,"box":{"x":520,"y":832,"width":327,"height":11}},{"id":"b49f50a7-388e-4d03-b137-2bfa9f627ce1","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":1,"box":{"x":520,"y":847,"width":226,"height":9}},{"id":"c6b3dfa1-05ef-4584-afb7-f396c5e3c5e3","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":1,"box":{"x":520,"y":863,"width":210,"height":11}},{"id":"da63ece6-5e34-40be-85f1-0563c6a17433","block_type":"box","text":"Capital One, N.A.","page_number":1,"box":{"x":520,"y":878,"width":126,"height":12}},{"id":"c0865b50-0ed0-42a5-9f12-827074f47065","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":1,"box":{"x":520,"y":894,"width":212,"height":9}},{"id":"3a005f9e-ca20-4e7e-a33d-f286b62ce44f","block_type":"box","text":"Cetera Advisors LLC","page_number":1,"box":{"x":520,"y":909,"width":144,"height":9}},{"id":"055b407d-b388-425e-904f-50ecbbdcccee","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":1,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"1c57b267-acc5-401b-8a24-ca4f1ff4fe33","block_type":"box","text":"Cetera Financial Group","page_number":2,"box":{"x":116,"y":88,"width":162,"height":11}},{"id":"e33e6974-e66c-49b3-9f88-55bf8b587c3a","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":2,"box":{"x":116,"y":103,"width":227,"height":12}},{"id":"15d7b438-16f9-4d97-85f0-66302f056870","block_type":"box","text":"Cetera Investment Services LLC","page_number":2,"box":{"x":116,"y":119,"width":224,"height":9}},{"id":"7f61ae49-70d7-4b8e-a665-e981e53249c0","block_type":"box","text":"CF Secured, LLC","page_number":2,"box":{"x":116,"y":134,"width":123,"height":11}},{"id":"88fa32fb-4fab-4e90-9370-c54cd24cfcad","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":2,"box":{"x":116,"y":150,"width":192,"height":10}},{"id":"218d7298-b841-4431-a228-0a4c0963495a","block_type":"box","text":"Charles Schwab Trust Bank","page_number":2,"box":{"x":116,"y":165,"width":192,"height":9}},{"id":"5e326cbb-6663-4718-9bad-658ec30e61cc","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":2,"box":{"x":116,"y":181,"width":238,"height":11}},{"id":"b7ae63de-8ab1-441c-b994-85525dc0a358","block_type":"box","text":"CIM Investment Management, Inc.","page_number":2,"box":{"x":116,"y":196,"width":241,"height":12}},{"id":"31eb777e-2f0c-4407-bd9d-cc7c5f4cbc9a","block_type":"box","text":"Citco Securities, LLC","page_number":2,"box":{"x":116,"y":212,"width":151,"height":10}},{"id":"b41b28c1-8eaa-48fc-a74b-4a4bcfae0861","block_type":"box","text":"CitiBank, National Association","page_number":2,"box":{"x":116,"y":227,"width":215,"height":11}},{"id":"09e1548a-983e-48c3-9d86-d4249c7ae6bf","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":2,"box":{"x":116,"y":243,"width":212,"height":11}},{"id":"b042516f-bb1e-4339-a246-156387ffc36e","block_type":"box","text":"Citizens Bank","page_number":2,"box":{"x":116,"y":258,"width":99,"height":9}},{"id":"0caf2e93-a934-4e86-aea7-8e6a74a3a28f","block_type":"box","text":"Citizens Business Bank","page_number":2,"box":{"x":116,"y":274,"width":163,"height":9}},{"id":"b8342c8e-5408-489a-a6e6-d8a145e74b4c","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":2,"box":{"x":116,"y":289,"width":231,"height":12}},{"id":"87fcce25-0fde-4656-931a-687c09b6388f","block_type":"box","text":"CMFG Life Insurance Company","page_number":2,"box":{"x":116,"y":305,"width":223,"height":11}},{"id":"aab625c5-afd9-4bec-ae71-7d00eef33ebd","block_type":"box","text":"Comerica Bank","page_number":2,"box":{"x":116,"y":320,"width":109,"height":9}},{"id":"3e55b665-9c1b-4d73-a0b4-e46a68ce55a9","block_type":"box","text":"Commonwealth Financial Network","page_number":2,"box":{"x":116,"y":336,"width":242,"height":9}},{"id":"74cf1fdd-c29c-4f8c-9f50-57f247bec768","block_type":"box","text":"Computershare Trust Company","page_number":2,"box":{"x":116,"y":351,"width":216,"height":12}},{"id":"a8e35478-9f5a-453f-a60f-f2a3bf6bd2f5","block_type":"box","text":"Conduent HR Services, LLC","page_number":2,"box":{"x":116,"y":367,"width":198,"height":10}},{"id":"ffc3e463-746e-411b-9e9c-75a454300510","block_type":"box","text":"Delaware Life Insurance Company","page_number":2,"box":{"x":116,"y":382,"width":240,"height":12}},{"id":"f5687a97-f163-405f-977f-b67a918eaa31","block_type":"box","text":"Delaware Trust Company","page_number":2,"box":{"x":116,"y":398,"width":178,"height":11}},{"id":"c9bb67cd-aeca-47f6-a0ee-03ea499db560","block_type":"box","text":"Deutsche Bank AG","page_number":2,"box":{"x":116,"y":413,"width":135,"height":9}},{"id":"2db1550e-049e-45e0-9c47-0fce382c8fd6","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":2,"box":{"x":116,"y":429,"width":285,"height":11}},{"id":"fc516b51-f635-4f69-b323-0fa53819f466","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":2,"box":{"x":116,"y":444,"width":232,"height":12}},{"id":"d9f4f397-d611-42fc-8880-fad8d8abf9f3","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":2,"box":{"x":116,"y":460,"width":328,"height":10}},{"id":"4830e2d7-5be7-4902-ad17-1954108d549e","block_type":"box","text":"Dynasty Financial Partners LLC","page_number":2,"box":{"x":116,"y":475,"width":223,"height":12}},{"id":"7cf5072e-5577-479b-aeeb-18b43952e099","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":2,"box":{"x":116,"y":491,"width":200,"height":10}},{"id":"528ce3f0-1278-4e41-a3bb-bfd28796f7d1","block_type":"box","text":"Empire Fidelity Investments Life Insurance","page_number":2,"box":{"x":116,"y":506,"width":298,"height":12}},{"id":"051d68f1-ff56-426e-9566-7313c9386f16","block_type":"box","text":"Company","page_number":2,"box":{"x":116,"y":522,"width":69,"height":11}},{"id":"d146b970-3a38-47a6-88f8-e8fdbacf8bbf","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":2,"box":{"x":116,"y":537,"width":349,"height":12}},{"id":"e1c6202f-eeea-4f61-9bc7-4adae03c2780","block_type":"box","text":"Empower Financial Services, Inc.","page_number":2,"box":{"x":116,"y":553,"width":232,"height":11}},{"id":"15b21b6e-725c-4d55-973a-1c3530244c30","block_type":"box","text":"Empower Life & Annuity Insurance Company of","page_number":2,"box":{"x":116,"y":568,"width":336,"height":12}},{"id":"7e8cd5b8-9632-46de-a48b-6c8ed5e93395","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":584,"width":74,"height":9}},{"id":"5cde8a73-353c-4a1d-8954-5267fbd747fd","block_type":"box","text":"Empower Plan Services, LLC","page_number":2,"box":{"x":116,"y":599,"width":205,"height":12}},{"id":"2b7fae93-fdda-41f9-89c4-dc8d45d45853","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":2,"box":{"x":116,"y":615,"width":238,"height":11}},{"id":"f275a7da-69d0-413d-8c95-df50ba98c50a","block_type":"box","text":"Equitable Advisors, LLC","page_number":2,"box":{"x":116,"y":630,"width":174,"height":12}},{"id":"1246d852-032b-4756-8f38-f361d7cd1ff8","block_type":"box","text":"Equitable Life Insurance Company","page_number":2,"box":{"x":116,"y":646,"width":240,"height":11}},{"id":"d08654fb-4c47-40dc-b746-58ce93d8dedd","block_type":"box","text":"E*trade Savings Bank","page_number":2,"box":{"x":116,"y":661,"width":150,"height":12}},{"id":"5587bfee-fd88-44e0-a607-f5c12f63b1c2","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":2,"box":{"x":116,"y":677,"width":262,"height":11}},{"id":"57c217dc-ecac-4a0a-9c26-7122b4dcda68","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":2,"box":{"x":116,"y":692,"width":223,"height":12}},{"id":"24bbba4d-6083-4212-bae8-1855eea2f6e2","block_type":"box","text":"Fidelity Investments Institutional Operations","page_number":2,"box":{"x":116,"y":708,"width":301,"height":11}},{"id":"47fea5d5-f6c0-4579-906d-0628ed8cc711","block_type":"box","text":"Company, Inc.","page_number":2,"box":{"x":116,"y":723,"width":98,"height":12}},{"id":"a3163696-678b-4de0-bf44-c004ecaa6912","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":2,"box":{"x":116,"y":739,"width":309,"height":11}},{"id":"81291067-c18b-4c85-b16c-28d1c28a76c0","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":2,"box":{"x":116,"y":754,"width":178,"height":11}},{"id":"3a351185-5cda-44b5-bf86-76e812b12018","block_type":"box","text":"First Allied Securities, Inc.","page_number":2,"box":{"x":116,"y":770,"width":181,"height":10}},{"id":"b4688948-7a58-44e7-affd-b3d2564bf6b3","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":2,"box":{"x":116,"y":785,"width":269,"height":12}},{"id":"c84527d9-c8bb-4ac6-ad63-4f1f2e435641","block_type":"box","text":"First Hawaiian Bank","page_number":2,"box":{"x":116,"y":801,"width":139,"height":9}},{"id":"cfd33266-9db7-439d-91e3-561d6c83c4da","block_type":"box","text":"First Republic Bank","page_number":2,"box":{"x":116,"y":816,"width":136,"height":12}},{"id":"1586be1d-d56a-4bc3-ace4-18e90670c9fb","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":2,"box":{"x":116,"y":832,"width":339,"height":11}},{"id":"76455175-52ab-4961-bb59-e4014a3313d2","block_type":"box","text":"Company of New York","page_number":2,"box":{"x":116,"y":847,"width":162,"height":12}},{"id":"fd2a1082-a1c2-472f-be42-8c7bcf7cf3ed","block_type":"box","text":"First Symetra National Life Insurance Company of","page_number":2,"box":{"x":116,"y":863,"width":348,"height":11}},{"id":"f2cfa08e-684e-4fda-a8f9-ea374f7f5161","block_type":"box","text":"New York","page_number":2,"box":{"x":116,"y":878,"width":74,"height":9}},{"id":"4c8e4aa7-28bd-4e94-8138-5b4aab5dd0e0","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":2,"box":{"x":116,"y":894,"width":262,"height":11}},{"id":"25020cc4-3fa6-454e-b0a6-03e367cf3244","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":2,"box":{"x":116,"y":909,"width":283,"height":12}},{"id":"902677f3-13a2-4ec7-949d-16f956183ab9","block_type":"box","text":"FNEX Capital, LLC","page_number":2,"box":{"x":520,"y":88,"width":141,"height":11}},{"id":"9b0e5d7b-012d-48f7-b08b-2a2c62975bfc","block_type":"box","text":"Forethought Life Insurance Company","page_number":2,"box":{"x":520,"y":103,"width":258,"height":12}},{"id":"43e0b65c-76a2-4a58-aa9b-afe6543ee9c0","block_type":"box","text":"FSC Securities Corporation","page_number":2,"box":{"x":520,"y":119,"width":190,"height":11}},{"id":"ddd66c5e-24f8-41a8-ab7f-b32d91864bc9","block_type":"box","text":"Genworth Life and Annuity Insurance Company","page_number":2,"box":{"x":520,"y":134,"width":331,"height":12}},{"id":"16ca9a79-24fa-48b0-bd4c-22e0f91e36c1","block_type":"box","text":"Genworth Life Insurance Company of New York","page_number":2,"box":{"x":520,"y":150,"width":336,"height":11}},{"id":"269a125c-f456-4dca-9ad9-2dca26d4fb3a","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":2,"box":{"x":520,"y":165,"width":233,"height":11}},{"id":"8757ca5f-796f-4821-993f-9bf49467c37e","block_type":"box","text":"Goldman Sachs & Co.","page_number":2,"box":{"x":520,"y":181,"width":156,"height":9}},{"id":"8223795d-801e-4075-9d0d-c2886e3a1fa1","block_type":"box","text":"Great Pacific Securities, LLC","page_number":2,"box":{"x":520,"y":196,"width":203,"height":11}},{"id":"aec5628a-c319-4ffd-b234-f03e6760450b","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":2,"box":{"x":520,"y":212,"width":275,"height":11}},{"id":"5a5ca369-7798-4c61-9098-d4fb2c832fba","block_type":"box","text":"Hancock Whitney Bank","page_number":2,"box":{"x":520,"y":227,"width":166,"height":12}},{"id":"37a550b0-e4cf-47df-8e55-5770280073f8","block_type":"box","text":"Hartford Funds Management Company","page_number":2,"box":{"x":520,"y":243,"width":269,"height":11}},{"id":"9607746a-899c-46a1-95cc-7bb892b186f3","block_type":"box","text":"Hartford Securities Distribution Company, Inc.","page_number":2,"box":{"x":520,"y":258,"width":322,"height":12}},{"id":"1c127f42-299e-4647-b2be-c794465d0c22","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":2,"box":{"x":520,"y":274,"width":203,"height":10}},{"id":"32dc9264-04e2-4176-9e65-934c44432b47","block_type":"box","text":"Hightower Securities, Inc.","page_number":2,"box":{"x":520,"y":289,"width":181,"height":12}},{"id":"edddffa3-01d0-48d7-a15f-5989ee6fe800","block_type":"box","text":"Hilltop Securities Inc.","page_number":2,"box":{"x":520,"y":305,"width":152,"height":11}},{"id":"e0114360-59ec-40f8-9b8e-0a64afaa1db3","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":2,"box":{"x":520,"y":320,"width":166,"height":11}},{"id":"4e05368a-3a8e-490f-8e1b-b3371fd55d33","block_type":"box","text":"Huntington Securities, Inc.","page_number":2,"box":{"x":520,"y":336,"width":186,"height":11}},{"id":"cf0bd6e3-0083-45a1-be3e-f3e2dc021dd2","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":2,"box":{"x":520,"y":351,"width":249,"height":11}},{"id":"dfe62376-4f7b-48a4-80f4-8b679c97c08f","block_type":"box","text":"Integrity Life Insurance Company","page_number":2,"box":{"x":520,"y":367,"width":234,"height":11}},{"id":"e8c5e7a1-f7dd-4d94-b0b0-d6b9dd2f369a","block_type":"box","text":"Interactive Brokers, LLC","page_number":2,"box":{"x":520,"y":382,"width":174,"height":11}},{"id":"65f4782a-4a64-47c1-ab3a-dcec99239b4c","block_type":"box","text":"Investment Trust of California","page_number":2,"box":{"x":520,"y":398,"width":209,"height":9}},{"id":"7d8b9564-a42e-4fb6-964c-e349244670dd","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":2,"box":{"x":520,"y":413,"width":287,"height":12}},{"id":"4eff5050-a578-4de0-a1a1-96b6acab147b","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":2,"box":{"x":520,"y":429,"width":193,"height":11}},{"id":"b309c9f0-ca1c-4840-886b-5e7b42f8dc24","block_type":"box","text":"Jefferies LLC","page_number":2,"box":{"x":520,"y":444,"width":97,"height":9}},{"id":"9c8d6224-0655-47af-a17b-f2f37e3b7141","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":2,"box":{"x":520,"y":460,"width":300,"height":11}},{"id":"82dc6077-c737-460b-8691-43cae6af12e0","block_type":"box","text":"Jefferson National Life Insurance Company of New","page_number":2,"box":{"x":520,"y":475,"width":354,"height":12}},{"id":"bc6fc7ec-d247-441c-8cd4-21c40d9a3287","block_type":"box","text":"York","page_number":2,"box":{"x":520,"y":491,"width":39,"height":9}},{"id":"92b962c6-84ca-4c07-8dc6-05fd872a2b46","block_type":"box","text":"John Hancock Life Insurance Company (U.S.A.)","page_number":2,"box":{"x":520,"y":506,"width":333,"height":12}},{"id":"be8fbe3b-9f53-4b2c-af14-d9991c980c74","block_type":"box","text":"John Hancock Life Insurance Company of New York","page_number":2,"box":{"x":520,"y":522,"width":365,"height":11}},{"id":"319425c9-5566-4e66-9175-83583459b434","block_type":"box","text":"John Hancock Trust Company","page_number":2,"box":{"x":520,"y":537,"width":209,"height":12}},{"id":"4564133f-4de7-4524-91b3-47c34dc09d27","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":2,"box":{"x":520,"y":553,"width":199,"height":11}},{"id":"8febf4a3-a3f4-4d5e-b96f-db69febf27e7","block_type":"box","text":"Kestra Investment Services, LLC","page_number":2,"box":{"x":520,"y":568,"width":229,"height":11}},{"id":"158ddd4a-059e-492b-98cd-8ab6c7fac1e5","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":2,"box":{"x":520,"y":584,"width":274,"height":11}},{"id":"a06189ca-3082-48b3-b6de-cba93a06cb2d","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":2,"box":{"x":520,"y":599,"width":280,"height":12}},{"id":"b2e3d255-d0c4-4fc8-9477-4c6b92c2c455","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":2,"box":{"x":520,"y":615,"width":328,"height":11}},{"id":"3aad2b7c-56a0-445a-8b90-aedab4f60f18","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":2,"box":{"x":520,"y":630,"width":290,"height":12}},{"id":"eec66019-6add-49e9-a026-516343a514f6","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":2,"box":{"x":520,"y":646,"width":233,"height":9}},{"id":"7caaf906-8c81-4c71-9ebe-7a96d6908dce","block_type":"box","text":"Lombard International Life Assurance Company","page_number":2,"box":{"x":520,"y":661,"width":328,"height":12}},{"id":"09ebd82d-5156-4d29-abd0-0ee651bc94f2","block_type":"box","text":"LPL Financial LLC","page_number":2,"box":{"x":520,"y":677,"width":132,"height":9}},{"id":"249eb16b-215a-46a8-bb8a-420d8a1e8d0d","block_type":"box","text":"M&T Securities Inc.","page_number":2,"box":{"x":520,"y":692,"width":138,"height":9}},{"id":"d5eeba56-f078-42b4-996b-51a7d6f2336d","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":2,"box":{"x":520,"y":708,"width":291,"height":11}},{"id":"e861f6b7-8f83-4390-bfc8-0d9832cd2bdc","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":2,"box":{"x":520,"y":723,"width":321,"height":12}},{"id":"6ca7a058-eb8f-48d0-b569-ca84a792b333","block_type":"box","text":"Members Life Insurance Company","page_number":2,"box":{"x":520,"y":739,"width":235,"height":11}},{"id":"8c6b347f-98ba-4cb6-96e9-818429840bad","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":2,"box":{"x":520,"y":754,"width":353,"height":12}},{"id":"658a4480-28e8-4e3a-985b-f1ecf2559bc9","block_type":"box","text":"Metavante Corporation","page_number":2,"box":{"x":520,"y":770,"width":156,"height":11}},{"id":"c1a4f856-7778-4e9a-ad08-bc212a1a6262","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":2,"box":{"x":520,"y":785,"width":259,"height":12}},{"id":"72bfe595-6555-4b19-abcd-8fa49546beda","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":2,"box":{"x":520,"y":801,"width":328,"height":11}},{"id":"5050032e-9b5b-4e45-bdf1-b3240a4a9b59","block_type":"box","text":"Midland Life Insurance Company","page_number":2,"box":{"x":520,"y":816,"width":228,"height":12}},{"id":"cb5f9b85-36b3-4c56-b929-dc869d82cca9","block_type":"box","text":"Minnesota Life Insurance Company","page_number":2,"box":{"x":520,"y":832,"width":247,"height":11}},{"id":"ed15c9ea-4ede-449a-8c94-4a7ed3e442d8","block_type":"box","text":"Mischler Financial Group","page_number":2,"box":{"x":520,"y":847,"width":178,"height":12}},{"id":"b2a9869b-4985-48b2-ae84-41b9b2a5463e","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":2,"box":{"x":520,"y":863,"width":195,"height":9}},{"id":"4f2f2b61-a0fd-4b65-b3bb-3aafb8562124","block_type":"box","text":"MML Distributors, LLC","page_number":2,"box":{"x":520,"y":878,"width":169,"height":11}},{"id":"d12760f2-dd3c-41dd-b296-4f951277894d","block_type":"box","text":"MML Investors Services, LLC","page_number":2,"box":{"x":520,"y":894,"width":212,"height":10}},{"id":"f322f70a-972a-410a-8b65-d0e5738ae641","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":2,"box":{"x":520,"y":909,"width":189,"height":12}},{"id":"7e121b9e-b565-4504-9ebc-5ddcd7aa138a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":2,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"4343d7d2-3e19-4b5f-9963-4adf6e412de5","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":3,"box":{"x":116,"y":88,"width":232,"height":11}},{"id":"339f19d4-4b93-4591-a2bc-6233b8074dde","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":3,"box":{"x":116,"y":103,"width":245,"height":12}},{"id":"93517d2b-c75d-483c-bd1c-a8c4ec19a6b2","block_type":"box","text":"MUFG Union Bank, National Association","page_number":3,"box":{"x":116,"y":119,"width":289,"height":10}},{"id":"7219f060-002a-4122-9ae4-0458726ab4a3","block_type":"box","text":"Nassau Life Insurance Company","page_number":3,"box":{"x":116,"y":134,"width":224,"height":12}},{"id":"ae3b76a1-69dd-4493-92bc-072bd2fb05b2","block_type":"box","text":"National Financial Services LLC","page_number":3,"box":{"x":116,"y":150,"width":226,"height":9}},{"id":"63399f35-1859-40a2-838b-874f34b2d895","block_type":"box","text":"National Integrity Life Insurance Company","page_number":3,"box":{"x":116,"y":165,"width":296,"height":12}},{"id":"c930a1cb-ffa7-4d4a-99c2-b9147942166e","block_type":"box","text":"National Life Insurance Company","page_number":3,"box":{"x":116,"y":181,"width":234,"height":11}},{"id":"2602706f-bbfb-4e3e-a35d-2427e0d737ed","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":3,"box":{"x":116,"y":196,"width":245,"height":11}},{"id":"8bd3a2aa-6268-4ed4-aca7-cc654e8c23d3","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":3,"box":{"x":116,"y":212,"width":242,"height":9}},{"id":"16f161a0-7ad6-458a-b065-92c314ebead7","block_type":"box","text":"Nationwide Retirement Solutions","page_number":3,"box":{"x":116,"y":227,"width":230,"height":9}},{"id":"882fe97e-09b0-4085-a9f9-2bb14674bff5","block_type":"box","text":"NCB Federal Savings Bank","page_number":3,"box":{"x":116,"y":243,"width":191,"height":11}},{"id":"909e96cf-02af-4850-9c3f-c881d1486531","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":3,"box":{"x":116,"y":258,"width":288,"height":12}},{"id":"c45a52f0-c545-44e9-ab79-b16cca25fe0a","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":3,"box":{"x":116,"y":274,"width":350,"height":11}},{"id":"43d9fcbb-ebd5-4cc0-b9cb-401f71b3c0ad","block_type":"box","text":"Newport Retirement Services, Inc.","page_number":3,"box":{"x":116,"y":289,"width":237,"height":12}},{"id":"beeb6300-a54b-4d4b-b3e1-fb6725f1d67d","block_type":"box","text":"Northbrook Bank & Trust Company","page_number":3,"box":{"x":116,"y":305,"width":249,"height":11}},{"id":"8414c58b-f8c3-4937-af24-3efb6aaf4029","block_type":"box","text":"Northern Trust Company","page_number":3,"box":{"x":116,"y":320,"width":174,"height":12}},{"id":"d64b5286-ce91-4ca2-b5d2-09ac6404941a","block_type":"box","text":"Northwestern Mutual Investment Services, LLC","page_number":3,"box":{"x":116,"y":336,"width":329,"height":10}},{"id":"7ffad05f-6191-4fbf-962e-0cb364eddb63","block_type":"box","text":"Northwestern Mutual Life Insurance Company","page_number":3,"box":{"x":116,"y":351,"width":320,"height":12}},{"id":"523c9a91-f97a-4389-b715-c0c84e435716","block_type":"box","text":"NYLife Distributors LLC","page_number":3,"box":{"x":116,"y":367,"width":177,"height":9}},{"id":"b2c270c7-95dd-47c2-8e31-059711be73ea","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":3,"box":{"x":116,"y":382,"width":175,"height":12}},{"id":"efdeb183-624d-4bfd-bc1f-fb1dfd170b55","block_type":"box","text":"Orion Advisor Services, LLC","page_number":3,"box":{"x":116,"y":398,"width":203,"height":10}},{"id":"d02a5560-c27d-4b2c-8d54-ba6c1141e1cb","block_type":"box","text":"Osaic Wealth, Inc.","page_number":3,"box":{"x":116,"y":413,"width":129,"height":11}},{"id":"4558a6c9-0949-4a17-bf8c-3b46f66b11d3","block_type":"box","text":"Pacific Life & Annuity Company","page_number":3,"box":{"x":116,"y":429,"width":230,"height":11}},{"id":"9ff42cb4-05a5-4deb-9f97-bfee7b26a14a","block_type":"box","text":"Pacific Life Insurance Company","page_number":3,"box":{"x":116,"y":444,"width":223,"height":12}},{"id":"edd9e441-64ad-4549-aca2-33a7f39829e7","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":3,"box":{"x":116,"y":460,"width":221,"height":10}},{"id":"7044e7a3-e762-457d-a10b-fe01808f76a9","block_type":"box","text":"Park Avenue Securities LLC","page_number":3,"box":{"x":116,"y":475,"width":198,"height":9}},{"id":"80c51285-7cb3-4b64-a1b4-aa7ff247df64","block_type":"box","text":"Penserra Securities LLC","page_number":3,"box":{"x":116,"y":491,"width":169,"height":9}},{"id":"e0fdbfa8-511b-459b-a29d-0fd4f7a4930a","block_type":"box","text":"Pershing LLC","page_number":3,"box":{"x":116,"y":506,"width":99,"height":12}},{"id":"1241b741-c740-449c-94da-16586f5e8414","block_type":"box","text":"PFPC Inc.","page_number":3,"box":{"x":116,"y":522,"width":73,"height":9}},{"id":"36f05504-dfcc-4a90-b9cb-965e09e657f3","block_type":"box","text":"Piper Jaffray & Co.","page_number":3,"box":{"x":116,"y":537,"width":136,"height":12}},{"id":"2a74fda4-84fd-4b6a-a281-f2ffd9d2764f","block_type":"box","text":"PNC Bank, National Association","page_number":3,"box":{"x":116,"y":553,"width":226,"height":10}},{"id":"d2dc7fb1-ff71-4d20-a8fb-ea696f1cbd24","block_type":"box","text":"PNC Capital Markets LLC","page_number":3,"box":{"x":116,"y":568,"width":185,"height":12}},{"id":"e44c1d05-687a-4e50-9b3e-5b9cdbac952c","block_type":"box","text":"PNC Investments LLC","page_number":3,"box":{"x":116,"y":584,"width":158,"height":9}},{"id":"6780cbc5-5777-48af-af0a-9379445a330a","block_type":"box","text":"Principal Bank","page_number":3,"box":{"x":116,"y":599,"width":105,"height":12}},{"id":"a5758e03-ad8e-477b-860d-6431016b514f","block_type":"box","text":"Principal Life Insurance Company","page_number":3,"box":{"x":116,"y":615,"width":237,"height":11}},{"id":"9cdd12b5-9274-4bd2-960f-1b1a3a2a3ce9","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":3,"box":{"x":116,"y":630,"width":332,"height":12}},{"id":"73b5a4dc-d3fa-401f-9073-023bfb5f25e3","block_type":"box","text":"Protective Life Insurance Company","page_number":3,"box":{"x":116,"y":646,"width":244,"height":11}},{"id":"12ea16cc-fba6-4b3b-a384-757ea5ce2507","block_type":"box","text":"Pruco Life Insurance Company","page_number":3,"box":{"x":116,"y":661,"width":210,"height":12}},{"id":"da5310b3-77f1-41b4-8363-33cd03cc63c0","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":3,"box":{"x":116,"y":677,"width":311,"height":11}},{"id":"0a391ecb-56e8-4f19-ad55-fa241e18688f","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":3,"box":{"x":116,"y":692,"width":257,"height":11}},{"id":"d345c145-02bc-4828-89c5-66b4e5a4154b","block_type":"box","text":"Prudential Insurance Company of America","page_number":3,"box":{"x":116,"y":708,"width":289,"height":11}},{"id":"75cb8605-f309-4743-8221-77c2425d45fc","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":3,"box":{"x":116,"y":723,"width":237,"height":12}},{"id":"8f6f1991-56e7-4b3d-a4ec-a8154fc649e2","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":3,"box":{"x":116,"y":739,"width":272,"height":11}},{"id":"13ae8abd-21e8-42d4-b301-9263dd753f0f","block_type":"box","text":"RBC Capital Markets, LLC","page_number":3,"box":{"x":116,"y":754,"width":185,"height":12}},{"id":"c4980ffa-165b-46a1-ac86-5dfb87f03d67","block_type":"box","text":"Regions Bank","page_number":3,"box":{"x":116,"y":770,"width":95,"height":11}},{"id":"83244519-95f9-403f-af8b-3d5bbffe1955","block_type":"box","text":"Reliance Trust Company","page_number":3,"box":{"x":116,"y":785,"width":168,"height":12}},{"id":"65049fa2-1517-451b-854d-6c680c51f8a7","block_type":"box","text":"Reliastar Life Insurance Company","page_number":3,"box":{"x":116,"y":801,"width":231,"height":11}},{"id":"af1a416c-63a7-4b32-a596-517a81b630ea","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":3,"box":{"x":116,"y":816,"width":325,"height":12}},{"id":"33c7bd52-cf2c-4688-ac3d-50fe0dd99581","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":3,"box":{"x":116,"y":832,"width":207,"height":10}},{"id":"99dc7e84-ba8b-433e-b7c4-14b4f9ee529c","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":3,"box":{"x":116,"y":847,"width":311,"height":9}},{"id":"59d5a138-977b-4930-8fe9-da28668f5995","block_type":"box","text":"RiverSource Life Insurance Company","page_number":3,"box":{"x":116,"y":863,"width":260,"height":11}},{"id":"37e5964f-ddd3-4e3c-be7f-7f83c9543cc9","block_type":"box","text":"SagePoint Financial, Inc.","page_number":3,"box":{"x":116,"y":878,"width":173,"height":12}},{"id":"ca047010-a12f-4d86-b910-a2c9a800c450","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":3,"box":{"x":116,"y":894,"width":252,"height":10}},{"id":"2c0a04ab-927a-4e4e-b15d-5667befd470e","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":3,"box":{"x":116,"y":909,"width":207,"height":12}},{"id":"df48e721-91a6-43e2-96dc-dc947b08f669","block_type":"box","text":"Santander Bank, N.A.","page_number":3,"box":{"x":520,"y":88,"width":152,"height":10}},{"id":"72fef1b1-8cdb-42f9-9452-8b49fb5c21f2","block_type":"box","text":"Saturna Trust Company","page_number":3,"box":{"x":520,"y":103,"width":165,"height":12}},{"id":"418279c4-2bc3-4070-a851-70d561eb7536","block_type":"box","text":"Securities America, Inc.","page_number":3,"box":{"x":520,"y":119,"width":167,"height":10}},{"id":"87d9dfba-4544-4956-affc-90b992b75f15","block_type":"box","text":"Securities Finance Trust Company","page_number":3,"box":{"x":520,"y":134,"width":238,"height":12}},{"id":"f2597bf1-fadd-409e-94d7-3fee93d6a7f5","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":3,"box":{"x":520,"y":150,"width":286,"height":11}},{"id":"659d9260-e0be-4a29-b269-bd25dc377959","block_type":"box","text":"Security Financial Resources, Inc.","page_number":3,"box":{"x":520,"y":165,"width":235,"height":12}},{"id":"4784d6e4-ceb7-4241-9375-e8884551f289","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":3,"box":{"x":520,"y":181,"width":304,"height":11}},{"id":"c8b7217c-08a6-49f1-a664-ef85b52521e3","block_type":"box","text":"SEI Private Trust Company","page_number":3,"box":{"x":520,"y":196,"width":191,"height":12}},{"id":"ebd954f4-caca-4b1e-8d50-0a5665fb63ef","block_type":"box","text":"SG Americas Securities, LLC","page_number":3,"box":{"x":520,"y":212,"width":205,"height":10}},{"id":"73e67f2a-14f0-4e57-958e-89a3d344095b","block_type":"box","text":"Silicon Valley Bank","page_number":3,"box":{"x":520,"y":227,"width":141,"height":12}},{"id":"86ed9ce7-e1c6-400e-ae62-1a9da5fa4abf","block_type":"box","text":"Standard Insurance Company","page_number":3,"box":{"x":520,"y":243,"width":203,"height":11}},{"id":"3c88d39a-bff3-4d21-ac97-99fd4db34eda","block_type":"box","text":"Standard Retirement Services, Inc.","page_number":3,"box":{"x":520,"y":258,"width":239,"height":11}},{"id":"16bb5ac4-92cf-4211-bf24-14c1d7668b90","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":3,"box":{"x":520,"y":274,"width":347,"height":11}},{"id":"3053e6a6-03fe-4e62-a897-b9ef2a6eb782","block_type":"box","text":"State Farm Life Insurance Company","page_number":3,"box":{"x":520,"y":289,"width":249,"height":12}},{"id":"1215bf5c-623a-4c5a-b297-78b48b68ed6c","block_type":"box","text":"State Farm VP Management Corp.","page_number":3,"box":{"x":520,"y":305,"width":237,"height":11}},{"id":"92100b68-3da4-4f8d-ae16-7f01f3f9d8df","block_type":"box","text":"State Street Bank and Trust Company","page_number":3,"box":{"x":520,"y":320,"width":259,"height":12}},{"id":"01527dbf-0fc9-4fc1-9a81-7d570d3fe146","block_type":"box","text":"State Street Global Markets, LLC","page_number":3,"box":{"x":520,"y":336,"width":231,"height":10}},{"id":"27cea5bc-4483-480a-8aea-a8ca0a8d4bdd","block_type":"box","text":"Stern Brothers & Co.","page_number":3,"box":{"x":520,"y":351,"width":147,"height":9}},{"id":"4f3429a8-3dea-47a8-83ca-4b559b2e432d","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":3,"box":{"x":520,"y":367,"width":290,"height":11}},{"id":"9474893e-650a-4101-8ccd-740660b5be58","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":3,"box":{"x":520,"y":382,"width":227,"height":12}},{"id":"40a629e6-c66f-4ee1-a898-99c867262834","block_type":"box","text":"SVB Asset Management","page_number":3,"box":{"x":520,"y":398,"width":170,"height":11}},{"id":"5dfc8150-7eb1-4496-99f8-2320d7057275","block_type":"box","text":"Symetra Life Insurance Company","page_number":3,"box":{"x":520,"y":413,"width":232,"height":12}},{"id":"12149195-9082-4b02-b064-5c7c01bb5fa6","block_type":"box","text":"Syntal Capital Partners, LLC","page_number":3,"box":{"x":520,"y":429,"width":200,"height":11}},{"id":"ca322c5c-44db-4388-8098-47bd1799fba5","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":3,"box":{"x":520,"y":444,"width":310,"height":11}},{"id":"d2db31d2-32e0-4100-850c-4ef9e3dcac6b","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance","page_number":3,"box":{"x":520,"y":460,"width":319,"height":11}},{"id":"a106c657-3a9d-4095-9b1e-a105e36624f8","block_type":"box","text":"Company","page_number":3,"box":{"x":520,"y":475,"width":69,"height":12}},{"id":"738afaa0-7cd4-4e63-9a9f-0fcfe744ce32","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":3,"box":{"x":520,"y":491,"width":301,"height":11}},{"id":"7f406348-1ac8-49c4-ac2d-b1b7046df20d","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":3,"box":{"x":520,"y":506,"width":204,"height":12}},{"id":"a5185759-69ab-4ced-9d1a-d01d3cfe42ad","block_type":"box","text":"TD Ameritrade, Inc.","page_number":3,"box":{"x":520,"y":522,"width":141,"height":10}},{"id":"693968a4-9545-4624-8461-78a8e10bfd99","block_type":"box","text":"TD Prime Services (US) LLC","page_number":3,"box":{"x":520,"y":537,"width":205,"height":11}},{"id":"c5cd0c85-55a8-4f42-8c26-2a63c83bf514","block_type":"box","text":"Teachers Insurance and Annuity Association of","page_number":3,"box":{"x":520,"y":553,"width":325,"height":11}},{"id":"28023635-3603-45e0-8b68-d62309b19cde","block_type":"box","text":"America","page_number":3,"box":{"x":520,"y":568,"width":62,"height":9}},{"id":"ec7b40e1-63de-4ee5-88df-e228e948402f","block_type":"box","text":"Tigress Financial Partners, LLC","page_number":3,"box":{"x":520,"y":584,"width":220,"height":11}},{"id":"3f4f3bf6-bf2d-40f1-8578-33bcfd442988","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":3,"box":{"x":520,"y":599,"width":335,"height":12}},{"id":"f8ee9aab-5289-43f8-826d-c7d19ee7361a","block_type":"box","text":"Transamerica Life Insurance Company","page_number":3,"box":{"x":520,"y":615,"width":268,"height":11}},{"id":"1dd4ca03-a7c0-4eaf-9cba-498798297b66","block_type":"box","text":"Treasury Brokerage","page_number":3,"box":{"x":520,"y":630,"width":138,"height":12}},{"id":"1ea82598-4af4-4ea6-936d-63ba50b40124","block_type":"box","text":"Triad Advisors, LLC","page_number":3,"box":{"x":520,"y":646,"width":146,"height":10}},{"id":"d960dd59-60ec-4055-8b57-69784eb6279a","block_type":"box","text":"Truist Bank","page_number":3,"box":{"x":520,"y":661,"width":80,"height":9}},{"id":"01491019-6c28-45ad-a4f6-6186d266944e","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":3,"box":{"x":520,"y":677,"width":210,"height":11}},{"id":"53f79cbe-ed41-44c5-89b5-d8e775c3cc22","block_type":"box","text":"U.S. Bank, National Association","page_number":3,"box":{"x":520,"y":692,"width":219,"height":11}},{"id":"9fceb2f0-56f6-461d-9ee1-7f1923f721f8","block_type":"box","text":"UBATCO & Co.","page_number":3,"box":{"x":520,"y":708,"width":113,"height":9}},{"id":"11dfe3d4-b91c-4008-831f-e674ca175c3e","block_type":"box","text":"UBS Financial Services, Inc.","page_number":3,"box":{"x":520,"y":723,"width":194,"height":11}},{"id":"89f3bec6-2b02-43f6-b3f4-fb289a69ac80","block_type":"box","text":"UBS Securities LLC","page_number":3,"box":{"x":520,"y":739,"width":139,"height":9}},{"id":"31113c8a-f067-4c11-a6ba-6411e87b86d3","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":3,"box":{"x":520,"y":754,"width":200,"height":11}},{"id":"ea81e1d3-6842-48ae-a4e0-8826430d7f3e","block_type":"box","text":"UMB Bank, National Association","page_number":3,"box":{"x":520,"y":770,"width":228,"height":10}},{"id":"4ba4e1a1-eb4d-45f1-91fa-626f0b0e4806","block_type":"box","text":"United States Life Insurance Company in the City of","page_number":3,"box":{"x":520,"y":785,"width":356,"height":12}},{"id":"392c7a9e-5796-45ad-95d3-40cbaa8a67f5","block_type":"box","text":"New York","page_number":3,"box":{"x":520,"y":801,"width":70,"height":9}},{"id":"ca171fb8-459b-4749-813f-e1d9b2dd9f66","block_type":"box","text":"VALIC Retirement Services Company","page_number":3,"box":{"x":520,"y":816,"width":261,"height":12}},{"id":"2402ffcb-205d-4286-96a4-fcda40562b1d","block_type":"box","text":"Vanguard Group, Inc.","page_number":3,"box":{"x":520,"y":832,"width":152,"height":11}},{"id":"6ee50a53-da0b-4e38-a4a2-ec423c2933c2","block_type":"box","text":"Vanguard Marketing Corporation","page_number":3,"box":{"x":520,"y":847,"width":230,"height":12}},{"id":"6d64d3d5-b35e-4b9b-9957-b8bfbf7dfe7c","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":3,"box":{"x":520,"y":863,"width":207,"height":11}},{"id":"ed312802-c9d7-411e-a56d-4325d696cafa","block_type":"box","text":"Voya Financial Partners, LLC","page_number":3,"box":{"x":520,"y":878,"width":207,"height":12}},{"id":"adad2a7e-0331-4117-a310-8ab129687069","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":3,"box":{"x":520,"y":894,"width":262,"height":11}},{"id":"f8dde22e-af0e-4009-a3b4-28df584ab0a0","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":3,"box":{"x":520,"y":909,"width":263,"height":12}},{"id":"0673b585-2770-4a85-afc0-5c56c3f1381e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":3,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"f1c72e27-110d-4c58-bd4a-5ac00be2ea8c","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":4,"box":{"x":116,"y":88,"width":245,"height":11}},{"id":"6654887c-83e8-490d-a43d-09c670dd4d96","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":4,"box":{"x":116,"y":103,"width":347,"height":12}},{"id":"d3d276c3-92df-4a61-afca-eb3c70309149","block_type":"box","text":"Waddell & Reed, Inc.","page_number":4,"box":{"x":116,"y":119,"width":151,"height":10}},{"id":"36e89a0b-eac0-4bdf-9c0c-71e840c128d8","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":4,"box":{"x":116,"y":134,"width":192,"height":12}},{"id":"2e6ebfe2-660d-4c22-979f-4adfdc7f16df","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":4,"box":{"x":116,"y":150,"width":322,"height":11}},{"id":"15604438-487f-4497-ba6f-fed19dc20c25","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":4,"box":{"x":116,"y":165,"width":168,"height":12}},{"id":"850188d9-ff06-4db9-9255-671896dd676f","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":4,"box":{"x":520,"y":88,"width":251,"height":11}},{"id":"cec1bd27-3d3a-4d2a-ac85-5aa3712aa2e9","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":4,"box":{"x":520,"y":103,"width":213,"height":12}},{"id":"fecb906e-306d-4cfd-b55a-1e6ff5f1a187","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":4,"box":{"x":520,"y":119,"width":198,"height":11}},{"id":"2ead12cb-eaa5-472d-958a-f45407024c9a","block_type":"box","text":"Wilmington Trust, National Association","page_number":4,"box":{"x":520,"y":134,"width":275,"height":12}},{"id":"ff20a58f-84e5-44cf-8e2a-21f028dee9ec","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":4,"box":{"x":520,"y":150,"width":238,"height":11}},{"id":"2140b5b2-9b4e-4b75-8c53-3b5c9aec2df2","block_type":"box","text":"ZB, National Association","page_number":4,"box":{"x":520,"y":165,"width":176,"height":11}},{"id":"334dedfc-c4e6-48e1-bc74-070fdb67d76f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":4,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"06dc5176-7873-43a9-ba22-34875b25f9ed","block_type":"box","text":"Appendix A","page_number":5,"box":{"x":456,"y":87,"width":91,"height":12}},{"id":"97abea99-cb89-48f5-87e2-daa7d32428bf","block_type":"box","text":"BlackRock Advantage Global Fund, Inc.","page_number":5,"box":{"x":116,"y":118,"width":296,"height":12}},{"id":"d11f9ab5-5902-4309-b792-3e7ea89dd42c","block_type":"box","text":"BlackRock Advantage SMID Cap Fund, Inc.","page_number":5,"box":{"x":116,"y":149,"width":325,"height":12}},{"id":"b797675e-b56b-47c6-8554-4065a4af3d6b","block_type":"box","text":"BlackRock Allocation Target Shares","page_number":5,"box":{"x":116,"y":180,"width":266,"height":12}},{"id":"416fa2ba-0a12-4cc5-9317-7a93af0d4f1b","block_type":"box","text":"BATS: Securitized Total Return Series","page_number":5,"box":{"x":150,"y":196,"width":267,"height":9}},{"id":"8bd1a925-85a0-4778-bb5e-5a27818d49cd","block_type":"box","text":"BATS: Corporate Credit Total Return Series","page_number":5,"box":{"x":150,"y":212,"width":304,"height":11}},{"id":"c7ae8579-3fd4-445a-a42c-49fbb5d65a62","block_type":"box","text":"BATS: High Income Municipal Series","page_number":5,"box":{"x":150,"y":227,"width":263,"height":12}},{"id":"e0589780-f705-4eae-afea-b4680cb6570a","block_type":"box","text":"BATS: High Income Taxable Series","page_number":5,"box":{"x":150,"y":243,"width":248,"height":11}},{"id":"c77c0f38-0e9e-46d4-ba74-c96e19788a49","block_type":"box","text":"BATS: Mortgage Total Return Series","page_number":5,"box":{"x":150,"y":258,"width":256,"height":12}},{"id":"aa3b221e-4eac-4542-90f3-df34c7ebc572","block_type":"box","text":"BATS: Interest Rate Hedge Series","page_number":5,"box":{"x":150,"y":274,"width":235,"height":11}},{"id":"b55918a7-7a0d-4a18-acb8-2fa76c8111d8","block_type":"box","text":"BATS: Short Duration Taxable Total","page_number":5,"box":{"x":150,"y":289,"width":254,"height":9}},{"id":"8714a398-16fd-47a6-8afc-ee6443fd7ffb","block_type":"box","text":"Return Series","page_number":5,"box":{"x":150,"y":305,"width":95,"height":9}},{"id":"54d9af05-143d-4164-9891-8251fdfdbe29","block_type":"box","text":"BATS: Short Term Municipal Income Series","page_number":5,"box":{"x":150,"y":320,"width":306,"height":12}},{"id":"dfbc65ac-1f8f-4a78-a66c-5797dea7e4a4","block_type":"box","text":"BlackRock Balanced Fund, Inc.","page_number":5,"box":{"x":116,"y":351,"width":232,"height":11}},{"id":"3c3716de-7cf5-494a-94f2-80d5fe05ffa7","block_type":"box","text":"BlackRock Bond Fund, Inc.","page_number":5,"box":{"x":116,"y":382,"width":203,"height":11}},{"id":"fe8525dc-0a06-433e-9373-e279e762706a","block_type":"box","text":"BlackRock Total Return Fund","page_number":5,"box":{"x":150,"y":398,"width":207,"height":9}},{"id":"ecb37834-106d-4d1f-b3c7-b19340ff4c08","block_type":"box","text":"BlackRock California Municipal Series Trust","page_number":5,"box":{"x":116,"y":429,"width":331,"height":11}},{"id":"f8b877d3-d644-465a-89c0-ed6a5ed3bd9b","block_type":"box","text":"BlackRock California Municipal Opportunities","page_number":5,"box":{"x":150,"y":444,"width":321,"height":12}},{"id":"f1fb65bd-46a3-4c95-96c9-f7db922000da","block_type":"box","text":"Fund","page_number":5,"box":{"x":150,"y":460,"width":38,"height":9}},{"id":"e4076cf9-a205-4dc1-baf8-3f035537c2ec","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.","page_number":5,"box":{"x":116,"y":491,"width":317,"height":11}},{"id":"ed7fc84d-4519-4182-a75d-e605707e14e9","block_type":"box","text":"BlackRock Emerging Markets Fund, Inc.","page_number":5,"box":{"x":116,"y":522,"width":301,"height":11}},{"id":"bd50926b-a539-4889-b61e-b2e39337837e","block_type":"box","text":"BlackRock Equity Dividend Fund","page_number":5,"box":{"x":116,"y":553,"width":248,"height":11}},{"id":"ec38e8fd-0dfb-4a3c-aac8-3bc7ea228c7b","block_type":"box","text":"BlackRock Financial Institutions Series Trust","page_number":5,"box":{"x":116,"y":584,"width":332,"height":9}},{"id":"c12a75c6-af30-4304-ac1c-094f940d2496","block_type":"box","text":"BlackRock Summit Cash Reserves Fund","page_number":5,"box":{"x":150,"y":599,"width":278,"height":9}},{"id":"5a7bc18d-67d7-4552-9ab4-1b3a9c45e800","block_type":"box","text":"BlackRock Funds","page_number":5,"box":{"x":116,"y":630,"width":127,"height":9}},{"id":"fa4f6b97-fd08-4416-915b-b17647215281","block_type":"box","text":"SM","page_number":5,"box":{"x":244,"y":630,"width":15,"height":6}},{"id":"dd56de20-0b3b-4d74-8fb5-fc43b75675fa","block_type":"box","text":"BlackRock Advantage Emerging Markets Fund","page_number":5,"box":{"x":150,"y":646,"width":325,"height":11}},{"id":"98454fcb-f2de-49c8-a51e-ba98d2e77b7a","block_type":"box","text":"BlackRock Advantage International Fund","page_number":5,"box":{"x":150,"y":661,"width":281,"height":12}},{"id":"3e251a0a-a175-4f98-ac85-a4178261603d","block_type":"box","text":"BlackRock Advantage Large Cap Growth Fund","page_number":5,"box":{"x":150,"y":677,"width":320,"height":11}},{"id":"1a34aad1-90b3-4335-9d75-7b5615e99d16","block_type":"box","text":"BlackRock Advantage Small Cap Core Fund","page_number":5,"box":{"x":150,"y":692,"width":302,"height":12}},{"id":"06955cb8-b2cf-4de9-bc2e-15de82438ee1","block_type":"box","text":"BlackRock Advantage Small Cap Growth Fund","page_number":5,"box":{"x":150,"y":708,"width":321,"height":11}},{"id":"f07b7a0c-0323-4ee2-a7b4-a52937fc5c3a","block_type":"box","text":"BlackRock China A Opportunities Fund","page_number":5,"box":{"x":150,"y":723,"width":271,"height":12}},{"id":"3b74a313-238a-4104-b398-ae180a081300","block_type":"box","text":"BlackRock Commodity Strategies Fund","page_number":5,"box":{"x":150,"y":739,"width":268,"height":11}},{"id":"b72de8aa-6642-4d79-a5b3-c73e056fefcf","block_type":"box","text":"BlackRock Daily Reinvestment Stablecoin","page_number":5,"box":{"x":150,"y":754,"width":288,"height":12}},{"id":"33fd166f-52c0-4c70-8097-18d05941e85f","block_type":"box","text":"Reserve Vehicle","page_number":5,"box":{"x":150,"y":770,"width":110,"height":9}},{"id":"02613024-51bf-4b9f-a1f5-e8a181e85c35","block_type":"box","text":"BlackRock Defensive Advantage Emerging","page_number":5,"box":{"x":150,"y":785,"width":294,"height":12}},{"id":"7c1aa6d5-c54f-43ba-b90b-db968afb27b6","block_type":"box","text":"Markets Fund","page_number":5,"box":{"x":150,"y":801,"width":93,"height":9}},{"id":"98dd6618-f303-4243-a53d-63ae09118b53","block_type":"box","text":"BlackRock Emerging Markets ex-China Fund","page_number":5,"box":{"x":150,"y":816,"width":309,"height":12}},{"id":"b9dcb953-0159-470a-9629-b7681d358426","block_type":"box","text":"BlackRock Energy Opportunities Fund","page_number":5,"box":{"x":150,"y":832,"width":267,"height":11}},{"id":"b00de7ca-96f2-45c0-98ba-18123a3701ac","block_type":"box","text":"BlackRock Exchange Portfolio","page_number":5,"box":{"x":150,"y":847,"width":213,"height":12}},{"id":"8886942e-8189-4607-81a3-c8e5b78842a3","block_type":"box","text":"BlackRock Global Equity Market Neutral Fund","page_number":5,"box":{"x":150,"y":863,"width":324,"height":11}},{"id":"3dfe0302-06f0-456c-a18c-3368c28d8535","block_type":"box","text":"BlackRock Health Sciences Opportunities","page_number":5,"box":{"x":150,"y":878,"width":288,"height":12}},{"id":"a139111a-220a-48f5-91f9-992a44082941","block_type":"box","text":"Portfolio","page_number":5,"box":{"x":150,"y":894,"width":63,"height":9}},{"id":"ed6ec004-45c9-434d-8dd0-507941355a1a","block_type":"box","text":"BlackRock High Equity Income Fund","page_number":5,"box":{"x":150,"y":909,"width":255,"height":12}},{"id":"e545501b-466b-40d6-b8c5-d91369c4b9be","block_type":"box","text":"BlackRock Mid-Cap Growth Equity Portfolio","page_number":5,"box":{"x":554,"y":119,"width":312,"height":11}},{"id":"aac96946-b804-450e-b594-71e5e4b6b8bb","block_type":"box","text":"BlackRock Real Estate Securities Fund","page_number":5,"box":{"x":554,"y":134,"width":269,"height":9}},{"id":"9506b636-51ad-4982-ab94-83a7b809c59b","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":5,"box":{"x":554,"y":150,"width":241,"height":11}},{"id":"23da6903-27a7-4e1e-ad80-b3f31784b196","block_type":"box","text":"BlackRock Sustainable Aware Advantage","page_number":5,"box":{"x":554,"y":165,"width":287,"height":12}},{"id":"b172c777-fc65-4a11-8fd0-f89ada8ba58f","block_type":"box","text":"Emerging Markets Equity Fund","page_number":5,"box":{"x":554,"y":181,"width":218,"height":11}},{"id":"d17f3c1b-980f-409e-a617-e6760facd360","block_type":"box","text":"BlackRock Sustainable Aware Advantage Large","page_number":5,"box":{"x":554,"y":196,"width":330,"height":12}},{"id":"0193a87c-e69d-48dc-b7c7-b3dde9474fa7","block_type":"box","text":"Cap Core Fund","page_number":5,"box":{"x":554,"y":212,"width":106,"height":11}},{"id":"9e986ca8-d544-4b25-9f0d-deaadee72afd","block_type":"box","text":"BlackRock Tactical Opportunities Fund","page_number":5,"box":{"x":554,"y":227,"width":273,"height":12}},{"id":"0b3fd1b7-538d-406d-8f5c-999bd556da76","block_type":"box","text":"BlackRock Technology Opportunities Fund","page_number":5,"box":{"x":554,"y":243,"width":299,"height":11}},{"id":"c91c3ee7-3e88-454d-aa53-00dcca193336","block_type":"box","text":"BlackRock Wealth Liquid Environmentally","page_number":5,"box":{"x":554,"y":258,"width":298,"height":12}},{"id":"d397a72c-fd34-4e1c-8dce-3b3c35a2da35","block_type":"box","text":"Aware Fund","page_number":5,"box":{"x":554,"y":274,"width":87,"height":9}},{"id":"6aa6bd54-9399-4b9a-a89e-4d29734fdd7c","block_type":"box","text":"Circle Reserve Fund","page_number":5,"box":{"x":554,"y":289,"width":142,"height":9}},{"id":"5f9f150f-ad6e-44ef-9194-c7d9911dcfee","block_type":"box","text":"iShares Developed Real Estate Index Fund","page_number":5,"box":{"x":554,"y":305,"width":292,"height":11}},{"id":"8498086d-ed2c-4f69-8133-cf1e4939f6c4","block_type":"box","text":"iShares Enhanced Roll Yield Index Fund","page_number":5,"box":{"x":554,"y":320,"width":280,"height":9}},{"id":"1ef1aec8-9c46-422d-a93b-68ccf493b0b5","block_type":"box","text":"iShares FTSE NAREIT All Equity REIT Index","page_number":5,"box":{"x":554,"y":336,"width":322,"height":11}},{"id":"012fc61e-0ab5-44a6-a849-9a1cbecea43e","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":351,"width":38,"height":9}},{"id":"08d3229b-8819-4240-befc-5997f38f1006","block_type":"box","text":"iShares Municipal Bond Index Fund","page_number":5,"box":{"x":554,"y":367,"width":249,"height":11}},{"id":"4ecb7ec8-bc0b-481f-883f-bfdba5870a9e","block_type":"box","text":"iShares Russell Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":382,"width":254,"height":12}},{"id":"ff1e44e3-db72-4adf-825a-e08eab1e91db","block_type":"box","text":"iShares Russell Small/Mid-Cap Index Fund","page_number":5,"box":{"x":554,"y":398,"width":298,"height":11}},{"id":"d8956f27-4d59-4dee-82f9-e71fe9a311ad","block_type":"box","text":"iShares Short-Term TIPS Bond Index Fund","page_number":5,"box":{"x":554,"y":413,"width":297,"height":9}},{"id":"70a25c82-147d-4b6f-b3d6-3ee648079ae5","block_type":"box","text":"iShares Total U.S. Stock Market Index Fund","page_number":5,"box":{"x":554,"y":429,"width":304,"height":9}},{"id":"3397b291-3131-4d5c-b232-e03133cea1c3","block_type":"box","text":"iShares U.S. Intermediate Credit Bond Index","page_number":5,"box":{"x":554,"y":444,"width":306,"height":9}},{"id":"5d62c3eb-6e0e-429f-9e2a-b52c43e811e6","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"97c032da-1719-4a0b-97da-2806db92230e","block_type":"box","text":"iShares U.S. Intermediate Government Bond","page_number":5,"box":{"x":554,"y":475,"width":306,"height":9}},{"id":"82aa3748-ef71-492c-979d-0a7d3b8958e1","block_type":"box","text":"Index Fund","page_number":5,"box":{"x":554,"y":491,"width":81,"height":9}},{"id":"c589ba24-9cfd-444c-9ffe-fb6a106a127f","block_type":"box","text":"iShares U.S. Long Credit Bond Index Fund","page_number":5,"box":{"x":554,"y":506,"width":296,"height":12}},{"id":"f252ffaa-49e2-4e8c-8cc7-03184a3ae053","block_type":"box","text":"iShares U.S. Long Government Bond Index","page_number":5,"box":{"x":554,"y":522,"width":299,"height":11}},{"id":"ce74a908-0b91-4f26-811d-bfe17e2926b2","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":537,"width":38,"height":9}},{"id":"9668c945-e6ea-448b-b472-fe20b88af53f","block_type":"box","text":"iShares U.S. Securitized Bond Index Fund","page_number":5,"box":{"x":554,"y":553,"width":290,"height":9}},{"id":"1c153180-3828-4066-b88c-adfda5121208","block_type":"box","text":"BlackRock Funds II","page_number":5,"box":{"x":520,"y":584,"width":149,"height":9}},{"id":"7ef8d9a6-6c27-4c80-81f2-f19f75be48f8","block_type":"box","text":"BlackRock 20/80 Target Allocation Fund","page_number":5,"box":{"x":554,"y":599,"width":283,"height":12}},{"id":"58e9bdac-d4a6-4726-9e28-4a0dd8dd7304","block_type":"box","text":"BlackRock 40/60 Target Allocation Fund","page_number":5,"box":{"x":554,"y":615,"width":283,"height":11}},{"id":"f151a5be-8e4e-4cfc-9a8a-2254cd150e66","block_type":"box","text":"BlackRock 60/40 Target Allocation Fund","page_number":5,"box":{"x":554,"y":630,"width":283,"height":12}},{"id":"71ab02da-a7ab-47df-a03f-655739e76a1b","block_type":"box","text":"BlackRock 80/20 Target Allocation Fund","page_number":5,"box":{"x":554,"y":646,"width":283,"height":11}},{"id":"3cd56517-d516-4cf0-b001-12940945e151","block_type":"box","text":"BlackRock Dynamic High Income Portfolio","page_number":5,"box":{"x":554,"y":661,"width":296,"height":12}},{"id":"107a0e19-c188-4a65-a16f-73209d81b0b2","block_type":"box","text":"BlackRock Global Dividend Portfolio","page_number":5,"box":{"x":554,"y":677,"width":255,"height":9}},{"id":"fd18d0cc-7833-40be-a71c-442c4a9ee209","block_type":"box","text":"BlackRock Managed Income Fund","page_number":5,"box":{"x":554,"y":692,"width":235,"height":12}},{"id":"16087c80-08ae-4520-aeda-b54fb192e537","block_type":"box","text":"BlackRock Multi-Asset Income Portfolio","page_number":5,"box":{"x":554,"y":708,"width":277,"height":9}},{"id":"96a17e52-026a-4b62-8e75-61ec6e7d39c7","block_type":"box","text":"BlackRock Retirement Income 2030 Fund","page_number":5,"box":{"x":554,"y":723,"width":285,"height":9}},{"id":"6a8e2f57-28c8-4c9d-9e6c-405a35da9bfe","block_type":"box","text":"BlackRock Funds III","page_number":5,"box":{"x":520,"y":754,"width":151,"height":9}},{"id":"f0ffc379-44d5-4ffd-8007-ce304ef7b9af","block_type":"box","text":"BlackRock Cash Funds: Institutional","page_number":5,"box":{"x":554,"y":770,"width":247,"height":9}},{"id":"b9757988-1ad1-47cd-8871-0c6fb40dbcdf","block_type":"box","text":"BlackRock Cash Funds: Treasury","page_number":5,"box":{"x":554,"y":785,"width":226,"height":12}},{"id":"76d9a5e9-de58-4117-b443-6a25f7a8e28e","block_type":"box","text":"BlackRock Diversified Equity Alpha Fund","page_number":5,"box":{"x":554,"y":801,"width":288,"height":11}},{"id":"80ef8b66-db69-4257-b00a-3ff368dfce39","block_type":"box","text":"BlackRock Diversified Fixed Income Fund","page_number":5,"box":{"x":554,"y":816,"width":290,"height":9}},{"id":"1ea11c2f-058e-41c5-b052-ada28b2d7c37","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":832,"width":136,"height":9}},{"id":"dfc6aefa-ed81-4fa1-87e6-3f0c43aac7b5","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":831,"width":9,"height":6}},{"id":"b285ee28-ab51-425c-8f65-409a6b9df5cf","block_type":"box","text":"Dynamic Retirement","page_number":5,"box":{"x":700,"y":832,"width":149,"height":11}},{"id":"3e68e4fe-d5b7-41e7-8aa3-604b6b01a74d","block_type":"box","text":"Fund","page_number":5,"box":{"x":554,"y":847,"width":38,"height":9}},{"id":"504ef244-d79e-4fb9-a54f-573cec195c89","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":863,"width":136,"height":9}},{"id":"034c4c3f-6bd9-4f2d-bd67-0a1f07462451","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":862,"width":9,"height":6}},{"id":"2903dece-a8c6-4e60-8864-72d12824a607","block_type":"box","text":"Dynamic 2030 Fund","page_number":5,"box":{"x":700,"y":863,"width":147,"height":11}},{"id":"6f65933d-b495-4ab3-b94d-7b146497e0bb","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":878,"width":136,"height":9}},{"id":"f7537d21-4824-48dd-b76b-82cda98fad0d","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":877,"width":9,"height":7}},{"id":"b3f700f8-8134-4e0f-aade-ecb09e19e798","block_type":"box","text":"Dynamic 2035 Fund","page_number":5,"box":{"x":700,"y":878,"width":147,"height":12}},{"id":"4cafc110-175f-435b-8af0-65347ce4c2ab","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":894,"width":136,"height":9}},{"id":"131db54e-29ab-4230-9531-1137b5d5aa2a","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":893,"width":9,"height":6}},{"id":"ec94c054-ec50-4f3f-8ddb-7c86c8f83c46","block_type":"box","text":"Dynamic 2040 Fund","page_number":5,"box":{"x":700,"y":894,"width":147,"height":11}},{"id":"3c51fe2c-9b20-424a-9dbf-ac6655cc540d","block_type":"box","text":"BlackRock LifePath","page_number":5,"box":{"x":554,"y":909,"width":136,"height":9}},{"id":"b5469004-7f19-48f4-9a1d-54547ed23c66","block_type":"box","text":"®","page_number":5,"box":{"x":691,"y":908,"width":9,"height":7}},{"id":"1ba96fe1-959e-4377-b1f6-51f0bfcafcd2","block_type":"box","text":"Dynamic 2045 Fund","page_number":5,"box":{"x":705,"y":909,"width":138,"height":12}},{"id":"f2695609-b810-456e-a0c1-6378860db09c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":5,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"4927c21c-1eb7-410a-8b2c-76547d26bb37","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":88,"width":136,"height":9}},{"id":"8908cde7-4777-4e6e-ae06-c61fe59e7048","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":87,"width":9,"height":6}},{"id":"9891f70d-e9c9-4128-b5e1-f40972ab15e9","block_type":"box","text":"Dynamic 2050 Fund","page_number":6,"box":{"x":296,"y":88,"width":147,"height":11}},{"id":"3e46997f-13bf-4664-b998-72eb18454d5f","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":103,"width":136,"height":9}},{"id":"b0ca871e-0f51-407a-9246-bdd1df803c47","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":102,"width":9,"height":7}},{"id":"b9342c4c-1955-480c-8e4a-ec24be7d99b4","block_type":"box","text":"Dynamic 2055 Fund","page_number":6,"box":{"x":296,"y":103,"width":147,"height":12}},{"id":"03796cda-f3fb-4d0e-af51-62213f5bb0ff","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":119,"width":136,"height":9}},{"id":"4d13a5af-741b-44cf-9e0f-6e3ab796b3ac","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":118,"width":9,"height":6}},{"id":"e24604c4-861a-4fb2-86ad-69011598bb3d","block_type":"box","text":"Dynamic 2060 Fund","page_number":6,"box":{"x":296,"y":119,"width":147,"height":11}},{"id":"9bb6dffd-7fbf-4948-ab36-585d490ebbae","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":134,"width":136,"height":9}},{"id":"3214f39c-1583-424c-ae76-588126120c2c","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":133,"width":9,"height":7}},{"id":"8caeae65-ad0a-4618-a9ff-cc8b953be5eb","block_type":"box","text":"Dynamic 2065 Fund","page_number":6,"box":{"x":296,"y":134,"width":147,"height":12}},{"id":"0171f109-ff06-472a-add0-7c2c4df4cb66","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":150,"width":136,"height":9}},{"id":"bc050f05-752f-4554-a4f2-420def80cddf","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":149,"width":9,"height":6}},{"id":"e4d35243-e81c-4621-a6d6-03f7582cd604","block_type":"box","text":"Dynamic 2070 Fund","page_number":6,"box":{"x":296,"y":150,"width":147,"height":11}},{"id":"c8e1d649-2c30-485b-b9dd-faeac4ad28a7","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":165,"width":136,"height":9}},{"id":"9f01eb60-3c9e-4700-a1de-471f32b42e59","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":164,"width":9,"height":7}},{"id":"97825679-8c60-4231-ba2b-0769653bb802","block_type":"box","text":"Index Retirement Fund","page_number":6,"box":{"x":296,"y":165,"width":165,"height":9}},{"id":"5491d9f0-dbfd-4750-bcee-02b431e1ad31","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":181,"width":136,"height":9}},{"id":"df7121d1-3a82-4251-b1de-f491ceda479a","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":180,"width":9,"height":6}},{"id":"0e510633-814f-4ab7-b85e-12f0e2c34413","block_type":"box","text":"Index 2030 Fund","page_number":6,"box":{"x":296,"y":181,"width":124,"height":9}},{"id":"db311ad3-7cf1-4b71-a02a-26340492ff81","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":196,"width":136,"height":9}},{"id":"649e474b-4ace-4784-94be-28545bc96369","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":195,"width":9,"height":7}},{"id":"d0405bca-7129-439c-ac8e-d8f7caacf327","block_type":"box","text":"Index 2035 Fund","page_number":6,"box":{"x":296,"y":196,"width":124,"height":9}},{"id":"bcc240a9-30c7-43f1-b62d-576cdb5cfb7c","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":212,"width":136,"height":9}},{"id":"717eba4a-50a1-46bb-becb-0f307cb42030","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":211,"width":9,"height":6}},{"id":"298c99a3-f3ce-438a-8573-3d7382e8255e","block_type":"box","text":"Index 2040 Fund","page_number":6,"box":{"x":296,"y":212,"width":124,"height":9}},{"id":"a50ea004-3491-487c-bd5d-bba13c36e55e","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":227,"width":136,"height":9}},{"id":"590cdab4-50c0-4499-ba98-8693b2fa6138","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":226,"width":9,"height":7}},{"id":"e1b3e4d6-f605-45b0-9061-d88d7d001591","block_type":"box","text":"Index 2045 Fund","page_number":6,"box":{"x":296,"y":227,"width":124,"height":9}},{"id":"77c27307-a527-4d0a-b5ea-402c09157931","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":243,"width":136,"height":9}},{"id":"f0158cef-cc0c-4a88-a09e-806f595a4f57","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":242,"width":9,"height":6}},{"id":"87c97e89-349d-4831-9dea-18441f684623","block_type":"box","text":"Index 2050 Fund","page_number":6,"box":{"x":296,"y":243,"width":124,"height":9}},{"id":"392261dd-0f9c-404b-a171-bf39b6c22248","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":258,"width":136,"height":9}},{"id":"ca067e03-0d3b-439b-a9ca-841af55414f2","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":257,"width":9,"height":7}},{"id":"a02673f0-e6f5-4e2c-a3ce-e5d86d903f40","block_type":"box","text":"Index 2055 Fund","page_number":6,"box":{"x":296,"y":258,"width":124,"height":9}},{"id":"a8b664d9-64cb-4f2e-9d16-d7875b2b2dc0","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":274,"width":136,"height":9}},{"id":"fa1787e7-c5b9-4fd4-bc49-85b31c403553","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":273,"width":9,"height":6}},{"id":"a63c9009-bb55-47a3-80aa-df726ff576c7","block_type":"box","text":"Index 2060 Fund","page_number":6,"box":{"x":296,"y":274,"width":124,"height":9}},{"id":"664dfb47-ae09-45e2-9e14-e7ca1304f27c","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":289,"width":136,"height":9}},{"id":"c0df8189-3f73-472b-be79-cbe9e27339cb","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":288,"width":9,"height":7}},{"id":"f75b9cbc-089b-4582-b092-113677a22876","block_type":"box","text":"Index 2065 Fund","page_number":6,"box":{"x":296,"y":289,"width":124,"height":9}},{"id":"1403dc71-290f-4b10-b868-971c92056df4","block_type":"box","text":"BlackRock LifePath","page_number":6,"box":{"x":150,"y":305,"width":136,"height":9}},{"id":"b01d18a5-765a-415f-b87a-6613384abd8a","block_type":"box","text":"®","page_number":6,"box":{"x":287,"y":304,"width":9,"height":6}},{"id":"ce99cab6-9ba6-401a-837e-bcca1bc655c8","block_type":"box","text":"Index 2070 Fund","page_number":6,"box":{"x":296,"y":305,"width":124,"height":9}},{"id":"c9b47c11-0d18-4b64-b80e-cb58ec9f4333","block_type":"box","text":"iShares MSCI Total International Index Fund","page_number":6,"box":{"x":150,"y":320,"width":310,"height":9}},{"id":"b75e6a1e-9143-4624-92ee-54175ee82a8e","block_type":"box","text":"iShares Russell 1000 Large-Cap Index Fund","page_number":6,"box":{"x":150,"y":336,"width":303,"height":11}},{"id":"67f18d24-ed03-495d-bff3-c065b76f8382","block_type":"box","text":"iShares S&P 500 Index Fund","page_number":6,"box":{"x":150,"y":351,"width":200,"height":9}},{"id":"9c10005f-3830-4b6d-b3cd-9ed7dbf03238","block_type":"box","text":"iShares U.S. Aggregate Bond Index Fund","page_number":6,"box":{"x":150,"y":367,"width":284,"height":11}},{"id":"626cb970-8670-4944-a732-2ab99423d7bf","block_type":"box","text":"BlackRock Funds IV","page_number":6,"box":{"x":116,"y":398,"width":154,"height":9}},{"id":"32830045-02b1-4962-b386-16df2154e093","block_type":"box","text":"BlackRock Credit Relative Value Fund","page_number":6,"box":{"x":150,"y":413,"width":268,"height":9}},{"id":"28d0d0c9-8111-476e-a4a8-2c6e427a7a63","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund","page_number":6,"box":{"x":150,"y":429,"width":299,"height":11}},{"id":"5af0d323-d686-4d2f-9d75-8684faeea878","block_type":"box","text":"BlackRock Funds V","page_number":6,"box":{"x":116,"y":460,"width":148,"height":9}},{"id":"da2ce985-4c43-4701-abe9-fe59979dabe0","block_type":"box","text":"BlackRock Core Bond Portfolio","page_number":6,"box":{"x":150,"y":475,"width":220,"height":9}},{"id":"c77b6116-fbb9-4869-bf33-a8d27eb138ff","block_type":"box","text":"BlackRock Floating Rate Income Portfolio","page_number":6,"box":{"x":150,"y":491,"width":293,"height":11}},{"id":"e9b1e4b3-b508-4fc6-8cd2-a7fff4fcdacc","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":150,"y":506,"width":222,"height":12}},{"id":"73ed36ef-97ab-4eab-87b7-643a87909f2d","block_type":"box","text":"BlackRock Income Fund","page_number":6,"box":{"x":150,"y":522,"width":172,"height":9}},{"id":"596742d4-639c-47ce-8379-626b1aea0fdf","block_type":"box","text":"BlackRock Inflation Protected Bond Portfolio","page_number":6,"box":{"x":150,"y":537,"width":313,"height":9}},{"id":"1e9d537c-c03f-46e1-a7df-bb749e433223","block_type":"box","text":"BlackRock Low Duration Bond Portfolio","page_number":6,"box":{"x":150,"y":553,"width":282,"height":9}},{"id":"a2bde46c-4508-48ea-b424-3ee3993b41cc","block_type":"box","text":"BlackRock Strategic Income Opportunities","page_number":6,"box":{"x":150,"y":568,"width":294,"height":12}},{"id":"033c4d9f-2b3f-469c-a795-406d2275af1b","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":150,"y":584,"width":63,"height":9}},{"id":"f43978a6-ad89-4742-9122-bcae16f5aed0","block_type":"box","text":"BlackRock Funds VI","page_number":6,"box":{"x":116,"y":615,"width":154,"height":9}},{"id":"f64465a2-316c-426f-8c7d-8b4411da5d63","block_type":"box","text":"BlackRock Advantage CoreAlpha Bond Fund","page_number":6,"box":{"x":150,"y":630,"width":313,"height":12}},{"id":"62e51224-fbdc-4e33-a434-e5c8b23260bd","block_type":"box","text":"BlackRock Global Allocation Fund, Inc.","page_number":6,"box":{"x":116,"y":661,"width":287,"height":11}},{"id":"d9373aca-c14d-4822-943a-44f438364a2c","block_type":"box","text":"BlackRock Index Funds, Inc.","page_number":6,"box":{"x":116,"y":692,"width":208,"height":11}},{"id":"fb0f66fb-115e-465e-ac68-b3e852231750","block_type":"box","text":"iShares MSCI EAFE International Index Fund","page_number":6,"box":{"x":150,"y":708,"width":312,"height":9}},{"id":"db976c69-7c8b-4027-912d-ee3419a7c332","block_type":"box","text":"iShares Russell 2000 Small-Cap Index Fund","page_number":6,"box":{"x":150,"y":723,"width":298,"height":12}},{"id":"67a1b632-561c-4257-8e2a-160b7b60c4be","block_type":"box","text":"BlackRock International Select Equity Fund","page_number":6,"box":{"x":116,"y":754,"width":319,"height":12}},{"id":"f79f3256-220f-408e-bf6c-d2005865f7c9","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":6,"box":{"x":116,"y":785,"width":344,"height":12}},{"id":"4b9bd242-47ef-4879-b8fd-e9e59d1e7f5a","block_type":"box","text":"BlackRock Large Cap Focus Value Fund, Inc.","page_number":6,"box":{"x":116,"y":816,"width":330,"height":12}},{"id":"acabb687-3256-40fa-bff2-d3cf5a0bc10c","block_type":"box","text":"BlackRock Large Cap Series Funds, Inc.","page_number":6,"box":{"x":116,"y":847,"width":296,"height":12}},{"id":"f3286bf8-7ba3-4265-836e-49c2ffcbf2fd","block_type":"box","text":"BlackRock Advantage Large Cap Core Fund","page_number":6,"box":{"x":150,"y":863,"width":306,"height":11}},{"id":"779c3207-aef2-40ae-a024-147e15a33bfc","block_type":"box","text":"BlackRock Advantage Large Cap Value Fund","page_number":6,"box":{"x":150,"y":878,"width":314,"height":12}},{"id":"a100e283-5a50-4322-b179-bc5b8120aff7","block_type":"box","text":"BlackRock Event Driven Equity Fund","page_number":6,"box":{"x":150,"y":894,"width":261,"height":11}},{"id":"877a8627-d37c-49ad-8556-cb632026e080","block_type":"box","text":"BlackRock Liquidity Funds","page_number":6,"box":{"x":520,"y":87,"width":203,"height":12}},{"id":"62f91a46-e2d2-4df4-a1c0-08031837230e","block_type":"box","text":"FedFund","page_number":6,"box":{"x":554,"y":103,"width":63,"height":9}},{"id":"360d6470-6e3d-4a72-aa49-77f60d22d671","block_type":"box","text":"MuniCash","page_number":6,"box":{"x":554,"y":119,"width":74,"height":9}},{"id":"201e7bb8-1cdb-40a3-b770-c1a9f0f41937","block_type":"box","text":"TempCash","page_number":6,"box":{"x":554,"y":134,"width":77,"height":12}},{"id":"a65d3743-bf6e-4f86-9c01-3425374e709a","block_type":"box","text":"BlackRock Select Treasury Based Liquidity","page_number":6,"box":{"x":554,"y":150,"width":300,"height":11}},{"id":"31859d20-dd1b-44a2-8d30-a039692d949f","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":165,"width":38,"height":9}},{"id":"277b7e8e-55ae-479f-8839-52e1bf088214","block_type":"box","text":"T-Fund","page_number":6,"box":{"x":554,"y":181,"width":54,"height":9}},{"id":"8cbf109f-cf9d-4e75-aceb-b4eb7f60e9c0","block_type":"box","text":"Treasury Trust Fund","page_number":6,"box":{"x":554,"y":196,"width":142,"height":12}},{"id":"e6d7b3fc-9171-4042-a2ad-932cdba1e8d4","block_type":"box","text":"BlackRock Mid-Cap Value Series, Inc.","page_number":6,"box":{"x":520,"y":227,"width":282,"height":12}},{"id":"ca3cf404-8e55-4425-868a-c1a38ed2a564","block_type":"box","text":"BlackRock Mid-Cap Value Fund","page_number":6,"box":{"x":554,"y":243,"width":227,"height":11}},{"id":"3378c921-dec6-4277-b6ca-476f339ce118","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust","page_number":6,"box":{"x":520,"y":274,"width":339,"height":11}},{"id":"3fecb2fd-53b7-40e2-b805-e1bdc07d2f85","block_type":"box","text":"BlackRock New Jersey Municipal Bond Fund","page_number":6,"box":{"x":554,"y":289,"width":314,"height":12}},{"id":"c8db0550-da56-4e11-8f27-b47f8a5100aa","block_type":"box","text":"BlackRock New York Municipal Opportunities","page_number":6,"box":{"x":554,"y":305,"width":324,"height":11}},{"id":"0553aaf6-d1eb-4ef4-9b79-f554266019be","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":320,"width":38,"height":9}},{"id":"f95de21c-0a11-4bb4-8883-c17bb44002a2","block_type":"box","text":"BlackRock Pennsylvania Municipal Bond Fund","page_number":6,"box":{"x":554,"y":336,"width":326,"height":11}},{"id":"ed1a027e-de58-44bd-b5ee-9b82ff0634fc","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":367,"width":282,"height":11}},{"id":"0a9db862-1675-457e-9d99-c31d2422cfa3","block_type":"box","text":"BlackRock National Municipal Fund","page_number":6,"box":{"x":554,"y":382,"width":253,"height":12}},{"id":"002be8ed-ac5f-473d-b6b5-9dcf0b5dccbd","block_type":"box","text":"BlackRock Short Duration Muni Fund","page_number":6,"box":{"x":554,"y":398,"width":263,"height":9}},{"id":"145e6ad3-eb02-4542-8cb2-9bfd553a4fe2","block_type":"box","text":"BlackRock Municipal Series Trust","page_number":6,"box":{"x":520,"y":429,"width":252,"height":11}},{"id":"7c3fe2fe-81a4-4cdd-a9b1-8c419bf8ce2f","block_type":"box","text":"BlackRock Strategic Municipal Opportunities","page_number":6,"box":{"x":554,"y":444,"width":313,"height":12}},{"id":"6f7a1468-8e88-4558-b4ed-52bd88a1271e","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":460,"width":38,"height":9}},{"id":"cc2dbaba-a337-4ae8-a8a9-f9457b3bdfad","block_type":"box","text":"BlackRock Natural Resources Trust","page_number":6,"box":{"x":520,"y":491,"width":264,"height":9}},{"id":"91d30348-7f59-4ca0-b2fc-18ebcdfb64ce","block_type":"box","text":"BlackRock Series Fund, Inc.","page_number":6,"box":{"x":520,"y":522,"width":208,"height":11}},{"id":"b27f743e-333c-46ec-868b-c7bac837db78","block_type":"box","text":"BlackRock Advantage Large Cap Core Portfolio","page_number":6,"box":{"x":554,"y":537,"width":331,"height":12}},{"id":"616721ae-1111-43f0-84b3-cbd19eb4d3c8","block_type":"box","text":"BlackRock Balanced Portfolio","page_number":6,"box":{"x":554,"y":553,"width":209,"height":9}},{"id":"be996862-e087-481c-b980-365a30174f36","block_type":"box","text":"BlackRock Capital Appreciation Portfolio","page_number":6,"box":{"x":554,"y":568,"width":288,"height":12}},{"id":"b8f97145-27f1-4f56-a35a-074faca76d70","block_type":"box","text":"BlackRock Global Allocation Portfolio","page_number":6,"box":{"x":554,"y":584,"width":268,"height":9}},{"id":"071b9c53-4953-45be-8ed5-ceda4a6d71a8","block_type":"box","text":"BlackRock Government Money Market","page_number":6,"box":{"x":554,"y":599,"width":272,"height":12}},{"id":"c4d63886-71df-440d-8a6d-3012dfa81bb8","block_type":"box","text":"Portfolio","page_number":6,"box":{"x":554,"y":615,"width":63,"height":9}},{"id":"0bc41e0c-0941-4830-bb0b-bd6e851455bb","block_type":"box","text":"BlackRock Series Fund II, Inc.","page_number":6,"box":{"x":520,"y":646,"width":226,"height":11}},{"id":"860de614-ae00-41fc-970e-c91c7a50c9ba","block_type":"box","text":"BlackRock High Yield Portfolio","page_number":6,"box":{"x":554,"y":661,"width":217,"height":12}},{"id":"4957323e-ae33-45e3-a61f-51d947c1447e","block_type":"box","text":"BlackRock Series, Inc.","page_number":6,"box":{"x":520,"y":692,"width":161,"height":11}},{"id":"599264e9-7a60-4476-b81f-76d18ba77ed4","block_type":"box","text":"BlackRock International Fund","page_number":6,"box":{"x":554,"y":708,"width":203,"height":9}},{"id":"6c18f11e-835c-46c4-bbcc-c8941a2e455c","block_type":"box","text":"BlackRock Strategic Global Bond Fund, Inc.","page_number":6,"box":{"x":520,"y":739,"width":320,"height":11}},{"id":"bd676408-d2a4-462c-a846-ef0ca7e8a64b","block_type":"box","text":"BlackRock Unconstrained Equity Fund","page_number":6,"box":{"x":520,"y":770,"width":283,"height":11}},{"id":"3c4be12d-ba9a-408a-9e11-1319d26b2a90","block_type":"box","text":"BlackRock Variable Series Funds, Inc.","page_number":6,"box":{"x":520,"y":801,"width":277,"height":11}},{"id":"e649e629-545a-4091-bbc0-27c0dce6378c","block_type":"box","text":"BlackRock 60/40 Target Allocation ETF V.I.","page_number":6,"box":{"x":554,"y":816,"width":304,"height":12}},{"id":"724d47c7-28ad-4775-8864-d9bca97f4cf3","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":832,"width":38,"height":9}},{"id":"81aeedb5-c60f-4b09-92fb-431585d25bef","block_type":"box","text":"BlackRock Advantage Large Cap Core V.I.","page_number":6,"box":{"x":554,"y":847,"width":298,"height":12}},{"id":"ef7a5d61-7430-4546-8403-83e3a7ee18f3","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":863,"width":38,"height":9}},{"id":"7d6548ab-9f5e-491b-acf8-b878ffb55409","block_type":"box","text":"BlackRock Advantage Large Cap Value V.I.","page_number":6,"box":{"x":554,"y":878,"width":305,"height":12}},{"id":"db696198-0906-4a17-9562-6ebe11dc46da","block_type":"box","text":"Fund","page_number":6,"box":{"x":554,"y":894,"width":38,"height":9}},{"id":"cce48766-fe4a-4264-b87d-329a02289fd1","block_type":"box","text":"BlackRock Advantage SMID Cap V.I. Fund","page_number":6,"box":{"x":554,"y":909,"width":298,"height":12}},{"id":"56148519-d0f5-4d2d-8d2b-367114d4a44a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":6,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"e06c5ef8-a9bd-42a2-b0a6-8a4c0e50fcb4","block_type":"box","text":"BlackRock Basic Value V.I. Fund","page_number":7,"box":{"x":150,"y":88,"width":234,"height":9}},{"id":"1ef371ee-dcf9-422c-94bb-7035e2b77ecc","block_type":"box","text":"BlackRock Capital Appreciation V.I. Fund","page_number":7,"box":{"x":150,"y":103,"width":293,"height":12}},{"id":"a152eb6a-1858-4c2e-98c0-523cde12c327","block_type":"box","text":"BlackRock Equity Dividend V.I. Fund","page_number":7,"box":{"x":150,"y":119,"width":264,"height":11}},{"id":"4275c5ef-e2a9-4ead-b1f8-610b9bfdd146","block_type":"box","text":"BlackRock Global Allocation V.I. Fund","page_number":7,"box":{"x":150,"y":134,"width":273,"height":9}},{"id":"cc45d304-e003-4917-862b-369a5c5c1028","block_type":"box","text":"BlackRock Government Money Market V.I.","page_number":7,"box":{"x":150,"y":150,"width":302,"height":11}},{"id":"b6d877fe-e4f5-427f-8032-6cb19611792b","block_type":"box","text":"Fund","page_number":7,"box":{"x":150,"y":165,"width":38,"height":9}},{"id":"0af8fb0b-617f-4c18-8ee2-ea57abb7dfe5","block_type":"box","text":"BlackRock International Index V.I. Fund","page_number":7,"box":{"x":150,"y":181,"width":281,"height":9}},{"id":"5ebbb6cc-d155-4416-b28e-e153a4e69bd3","block_type":"box","text":"BlackRock International V.I. Fund","page_number":7,"box":{"x":150,"y":196,"width":238,"height":9}},{"id":"cea090bf-12eb-436b-93a9-de811241bbcf","block_type":"box","text":"BlackRock Large Cap Focus Growth V.I. Fund","page_number":7,"box":{"x":554,"y":88,"width":323,"height":11}},{"id":"d3eeda24-be01-4f6e-80bc-10b813db6e2b","block_type":"box","text":"BlackRock Managed Volatility V.I. Fund","page_number":7,"box":{"x":554,"y":103,"width":283,"height":12}},{"id":"8312b254-d0a4-42f3-833d-e86443784555","block_type":"box","text":"BlackRock S&P 500 Index V.I. Fund","page_number":7,"box":{"x":554,"y":119,"width":256,"height":9}},{"id":"19f98a9e-525a-4ecf-89c6-4430be866334","block_type":"box","text":"BlackRock Small Cap Index V.I. Fund","page_number":7,"box":{"x":554,"y":134,"width":265,"height":12}},{"id":"2dab1686-e1dd-4295-a0b2-5a28b34b2aef","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.","page_number":7,"box":{"x":520,"y":165,"width":299,"height":11}},{"id":"f05f2a30-344c-417c-a0d4-107cc9045178","block_type":"box","text":"BlackRock High Yield V.I. Fund","page_number":7,"box":{"x":554,"y":181,"width":227,"height":11}},{"id":"bc2588b4-39f6-4d0c-995f-d93f47ae25c7","block_type":"box","text":"BlackRock Total Return V.I. Fund","page_number":7,"box":{"x":554,"y":196,"width":238,"height":9}},{"id":"88857062-2fa9-40ce-b2f6-0f5e297b0d3e","block_type":"box","text":"Shareholders should retain this Supplement for future reference.","page_number":7,"box":{"x":267,"y":227,"width":470,"height":12}},{"id":"aaae6a80-3393-4c6c-a580-8c66673e2efc","block_type":"box","text":"SAI-GLOBAL-1026SUP","page_number":7,"box":{"x":116,"y":258,"width":175,"height":9}},{"id":"d6c7023a-0922-4abd-bcfd-123ad012fc84","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":7,"box":{"x":636,"y":981,"width":177,"height":7}},{"id":"4d2a9702-ec1b-4f9d-8824-f82cc91211d5","block_type":"box","text":"STATEMENT OF ADDITIONAL INFORMATION","page_number":8,"box":{"x":271,"y":83,"width":435,"height":11}},{"id":"2094b635-d5f0-4cf9-aaa0-761ab5ea7282","block_type":"box","text":"BlackRock Large Cap Focus Growth Fund, Inc.","page_number":8,"box":{"x":198,"y":120,"width":583,"height":19}},{"id":"16caffe7-9709-47a0-8be1-fd82006f2f59","block_type":"box","text":"100 Bellevue Parkway, Wilmington, Delaware 19809 • Phone No. (800) 441-7762","page_number":8,"box":{"x":118,"y":153,"width":742,"height":15}},{"id":"b6f9be0c-b737-4e34-ae48-e1678e9ad19f","block_type":"box","text":"This Statement of Additional Information of BlackRock Large Cap Focus Growth Fund, Inc. (the “Fund”) is","page_number":8,"box":{"x":101,"y":211,"width":802,"height":12}},{"id":"52a9fa85-4966-4ce6-87b7-9fbf359410b3","block_type":"box","text":"not a prospectus and should be read in conjunction with the Prospectuses of the Fund, each dated","page_number":8,"box":{"x":70,"y":226,"width":749,"height":12}},{"id":"30f2f1f9-96a2-49d1-82b6-dd3e47154821","block_type":"box","text":"September 25, 2026, as they may be amended or supplemented from time to time (the “Prospectuses”), which","page_number":8,"box":{"x":69,"y":241,"width":837,"height":12}},{"id":"81fbb711-3e13-4aac-af17-189654706c67","block_type":"box","text":"have been filed with the Securities and Exchange Commission (the “Commission” or the “SEC”) and can be","page_number":8,"box":{"x":70,"y":256,"width":811,"height":12}},{"id":"5d609c04-ed0a-44c9-bef3-ff0a017a0308","block_type":"box","text":"obtained, without charge, by calling (800) 441-7762 or by writing to the Fund at the above address. Part I of","page_number":8,"box":{"x":69,"y":271,"width":821,"height":12}},{"id":"1fa6947a-1bd3-4997-8d2b-5a2c52380432","block_type":"box","text":"this Statement of Additional Information and the portions of Part II of this Statement of Additional","page_number":8,"box":{"x":69,"y":286,"width":746,"height":12}},{"id":"3a3f5f1a-bc10-4f69-89c2-8a408324abad","block_type":"box","text":"Information that relate to the Fund have been incorporated by reference into the Fund’s Prospectuses. The","page_number":8,"box":{"x":70,"y":301,"width":810,"height":12}},{"id":"1cbc7431-67d2-4190-a577-e77d2a8f117f","block_type":"box","text":"portions of Part II of this Statement of Additional Information that do not relate to the Fund do not form a part","page_number":8,"box":{"x":70,"y":317,"width":835,"height":11}},{"id":"2966a66e-1e26-412f-9559-05ca96d2125e","block_type":"box","text":"of the Fund’s Statement of Additional Information, have not been incorporated by reference into the Fund’s","page_number":8,"box":{"x":69,"y":332,"width":815,"height":11}},{"id":"735175f6-9e5b-4cb6-9d3e-3403ff05a8d1","block_type":"box","text":"Prospectuses and should not be relied upon by investors in the Fund. The audited financial statements of the","page_number":8,"box":{"x":70,"y":347,"width":831,"height":12}},{"id":"9b365124-04c2-41ee-be7b-b87ad41d02a8","block_type":"box","text":"Fund are incorporated into this Statement of Additional Information by reference to the Fund’s Annual","page_number":8,"box":{"x":70,"y":362,"width":777,"height":12}},{"id":"ae188926-ce8b-45de-a6b8-ba4ef4b719f0","block_type":"box","text":"Financial Statements and Additional Information for the fiscal year ended May 31, 2026, as filed with the SEC","page_number":8,"box":{"x":70,"y":377,"width":834,"height":12}},{"id":"ec262815-249d-4ec3-bd9e-3da92ca58820","block_type":"box","text":"on Form N-CSR (the “2026 Annual Financial Statements”). You may request a copy of the 2026 Annual","page_number":8,"box":{"x":69,"y":392,"width":781,"height":12}},{"id":"005d05bc-141d-4683-a1b0-acc509fc7758","block_type":"box","text":"Financial Statements at no charge by calling (800) 441-7762 between 8:00 a.m. and 6:00 p.m. Eastern time","page_number":8,"box":{"x":70,"y":407,"width":820,"height":12}},{"id":"d44b4dad-82bb-4d27-84bb-ba3b427a5523","block_type":"box","text":"on any business day.","page_number":8,"box":{"x":69,"y":423,"width":157,"height":11}},{"id":"3335d311-3f01-4991-a91d-24cf696517f8","block_type":"box","text":"References to the Investment Company Act of 1940, as amended (the “Investment Company Act”), or","page_number":8,"box":{"x":103,"y":445,"width":767,"height":12}},{"id":"cbbcf106-b514-4f6a-97cd-923d05b814e4","block_type":"box","text":"other applicable law, will include any rules promulgated thereunder and any guidance, interpretations or","page_number":8,"box":{"x":69,"y":460,"width":796,"height":12}},{"id":"3745f02e-fe50-45a1-a09d-431ff1308a37","block_type":"box","text":"modifications by the Commission, Commission staff or other authority with appropriate jurisdiction, including","page_number":8,"box":{"x":70,"y":475,"width":837,"height":12}},{"id":"9048558f-6371-452e-8d4d-851cdd80849b","block_type":"box","text":"court interpretations, and exemptive, no-action or other relief or permission from the Commission,","page_number":8,"box":{"x":69,"y":490,"width":749,"height":12}},{"id":"c8784f2d-637c-4509-a09e-42f6ee243022","block_type":"box","text":"Commission staff or other authority.","page_number":8,"box":{"x":70,"y":506,"width":274,"height":11}},{"id":"2cfbb3af-aa82-41ef-95d0-e9e91877cd34","block_type":"box","text":"Class","page_number":8,"box":{"x":69,"y":534,"width":31,"height":7}},{"id":"7be3cab0-0f8f-4f64-896a-58690deb9b5e","block_type":"box","text":"Ticker Symbol","page_number":8,"box":{"x":827,"y":534,"width":82,"height":9}},{"id":"d8f17890-4cc3-4c9a-b13d-af7090d11db3","block_type":"box","text":"Investor A Shares","page_number":8,"box":{"x":70,"y":552,"width":124,"height":9}},{"id":"795e027b-1ca7-40c1-a034-66a2d3368797","block_type":"box","text":".......................................................................... M","page_number":8,"box":{"x":199,"y":552,"width":656,"height":9}},{"id":"f2c61e5c-14fb-4e1f-9a8c-0c0c54b0357d","block_type":"box","text":"DFOX","page_number":8,"box":{"x":857,"y":552,"width":37,"height":9}},{"id":"846b87d2-ac09-4b06-a2aa-b155f5a7a73c","block_type":"box","text":"Investor C Shares.","page_number":8,"box":{"x":70,"y":567,"width":131,"height":9}},{"id":"768366b4-abe5-4a21-9985-e1dbf29c2457","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . MCFOX","page_number":8,"box":{"x":208,"y":567,"width":686,"height":9}},{"id":"14a1ba96-4c4c-4e99-b67d-cc37476fdccc","block_type":"box","text":"Institutional Shares","page_number":8,"box":{"x":70,"y":582,"width":137,"height":9}},{"id":"acc12bef-75f9-4276-ade4-9eecde163c12","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . MAFOX","page_number":8,"box":{"x":216,"y":582,"width":677,"height":9}},{"id":"654b43b3-bf3d-4800-9e4f-4c6f856afec8","block_type":"box","text":"Class K Shares","page_number":8,"box":{"x":69,"y":597,"width":109,"height":9}},{"id":"74f9c907-8f6a-43d3-bbaf-a1df85e48f32","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . MKFOX","page_number":8,"box":{"x":183,"y":597,"width":711,"height":9}},{"id":"a5f30405-5ad7-4e3b-88d8-9d75cf06e17d","block_type":"box","text":"BlackRock Advisors, LLC — Manager","page_number":8,"box":{"x":260,"y":652,"width":460,"height":19}},{"id":"83c97a34-ffb1-42f5-8e94-e1a70185ae86","block_type":"box","text":"BlackRock Investments, LLC — Distributor","page_number":8,"box":{"x":222,"y":674,"width":536,"height":18}},{"id":"6976bd3b-ab32-4318-b11e-4c3654a787e6","block_type":"box","text":"The date of this Statement of Additional Information is September 25, 2026.","page_number":8,"box":{"x":199,"y":734,"width":579,"height":12}},{"id":"3796c1b9-1352-4bfe-af5b-e37c407a4ec1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":8,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"89979780-f54d-4b7d-8d71-3fe2fc2f9d80","block_type":"box","text":"TABLE OF CONTENTS","page_number":9,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"c2f69aa5-7609-4c4e-84b2-ffb6aa8f6485","block_type":"box","text":"Page","page_number":9,"box":{"x":869,"y":73,"width":28,"height":9}},{"id":"3a65fcbc-7b63-4aca-af9f-766371bc1468","block_type":"box","text":"PART I","page_number":9,"box":{"x":69,"y":92,"width":47,"height":9}},{"id":"79a102ce-a18c-4c48-a6dd-a65c77b9b0aa","block_type":"box","text":"Investment Objective and Policies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-1","page_number":9,"box":{"x":70,"y":108,"width":839,"height":11}},{"id":"04c8f492-6cc9-488f-9dda-aad61adfbd95","block_type":"box","text":"Investment Restrictions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-6","page_number":9,"box":{"x":70,"y":125,"width":839,"height":9}},{"id":"6c169a22-3da3-4a33-93a9-8b0c8ecf9422","block_type":"box","text":"Information on Directors and Officers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-7","page_number":9,"box":{"x":70,"y":141,"width":838,"height":9}},{"id":"cce4105c-fe1f-4e28-8437-2ac06a5a8942","block_type":"box","text":"Management, Advisory and Other Service Arrangements. . . . . . . . .","page_number":9,"box":{"x":70,"y":158,"width":469,"height":11}},{"id":"e31fcde2-0edd-4bb7-9285-a59594c6fd06","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-19","page_number":9,"box":{"x":545,"y":158,"width":364,"height":8}},{"id":"aa7fdf8c-fd37-418d-af6d-ad2a8ff2552b","block_type":"box","text":"Information on Sales Charges and Distribution Related Expenses .","page_number":9,"box":{"x":70,"y":174,"width":469,"height":11}},{"id":"60edb898-57e4-44a0-bebd-e9b0b7566299","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-23","page_number":9,"box":{"x":545,"y":174,"width":364,"height":9}},{"id":"1928ac06-2cc1-4dde-8d65-9b91e9c4e90e","block_type":"box","text":"Computation of Offering Price Per Share . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":190,"width":446,"height":11}},{"id":"0eab7988-1388-4d76-a1ca-8a327d439ab8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-23","page_number":9,"box":{"x":521,"y":190,"width":388,"height":9}},{"id":"44f4c7a8-203e-4891-813f-eb3cc12d5fba","block_type":"box","text":"Portfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":206,"width":283,"height":12}},{"id":"3132dc3b-db71-4c5c-a41a-10e46f02f13c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-24","page_number":9,"box":{"x":358,"y":207,"width":551,"height":8}},{"id":"d11ffc5d-da01-40da-8bb9-b78c096765f8","block_type":"box","text":"Additional Information. . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":68,"y":223,"width":308,"height":9}},{"id":"2059f239-8b6b-46e0-9e75-4907ee8f6a1a","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-26","page_number":9,"box":{"x":382,"y":223,"width":527,"height":9}},{"id":"f408a248-ecdd-4b83-aa45-db39fb26eb24","block_type":"box","text":"Financial Statements","page_number":9,"box":{"x":70,"y":239,"width":148,"height":9}},{"id":"44607e12-bae4-429a-b5e1-eae3e52e14db","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . I-27","page_number":9,"box":{"x":227,"y":239,"width":681,"height":9}},{"id":"0f8bbba2-fb13-41b4-a774-78bae9917fef","block_type":"box","text":"PART II","page_number":9,"box":{"x":69,"y":271,"width":52,"height":9}},{"id":"0a779cea-670a-4a2b-a07b-eccac4db6b9d","block_type":"box","text":"Investment Risks and Considerations . . . . . . . .","page_number":9,"box":{"x":70,"y":287,"width":330,"height":9}},{"id":"ebd390c8-04bd-4bdb-8b85-c863e78656e0","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-1","page_number":9,"box":{"x":407,"y":287,"width":502,"height":9}},{"id":"6bf0d74e-d02b-4e7b-9535-523f087c7de0","block_type":"box","text":"Management and Other Service Arrangements . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":70,"y":304,"width":461,"height":11}},{"id":"f523948f-6109-4a09-8321-d77e6f6c010b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-82","page_number":9,"box":{"x":537,"y":304,"width":372,"height":9}},{"id":"3ec1d40f-ead3-4173-a4e4-e60926d3e0bf","block_type":"box","text":"Selective Disclosure of Portfolio Holdings. . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":320,"width":446,"height":11}},{"id":"8cb45f3d-b5c5-4594-ba17-eef699686d95","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-84","page_number":9,"box":{"x":521,"y":320,"width":388,"height":9}},{"id":"18566b12-82bf-4299-8e00-722f95296b88","block_type":"box","text":"Purchase of Shares","page_number":9,"box":{"x":69,"y":336,"width":139,"height":9}},{"id":"c95db33b-51c0-493f-8d39-39997a9a3444","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . II-97","page_number":9,"box":{"x":211,"y":336,"width":697,"height":9}},{"id":"a8d1324d-037f-4596-9c35-5a109f48133f","block_type":"box","text":"Redemption of Shares . .","page_number":9,"box":{"x":70,"y":353,"width":176,"height":11}},{"id":"c385e7b3-cdea-4f67-b9ee-cee42e2d4b50","block_type":"box","text":"........................................................................... I","page_number":9,"box":{"x":252,"y":353,"width":619,"height":9}},{"id":"0e34e5dd-f1d6-49b8-ab78-e026d0c459c4","block_type":"box","text":"I-114","page_number":9,"box":{"x":874,"y":353,"width":35,"height":9}},{"id":"e862c37f-4c49-421c-923f-4f08db7bd8b7","block_type":"box","text":"Shareholder Services . .","page_number":9,"box":{"x":69,"y":369,"width":168,"height":9}},{"id":"28c9cbb3-86de-4b0b-ac5b-639c74b248b8","block_type":"box","text":"............................................................................ I","page_number":9,"box":{"x":244,"y":369,"width":627,"height":9}},{"id":"6cc32a70-1be5-4936-a73a-47d8967cd45f","block_type":"box","text":"I-118","page_number":9,"box":{"x":874,"y":369,"width":35,"height":9}},{"id":"f0a36737-bec7-42f9-9ed4-cc394871167c","block_type":"box","text":"Pricing of Shares","page_number":9,"box":{"x":69,"y":385,"width":119,"height":12}},{"id":"ddd8c79e-eeab-42be-bbe5-31c22d9f3809","block_type":"box","text":".................................................................................. I","page_number":9,"box":{"x":195,"y":386,"width":676,"height":8}},{"id":"a5192290-cae2-4e6b-828d-adc955284ea3","block_type":"box","text":"I-122","page_number":9,"box":{"x":874,"y":386,"width":35,"height":8}},{"id":"1639840b-6e8d-49b5-a09c-702b77351473","block_type":"box","text":"Portfolio Transactions and Brokerage . .","page_number":9,"box":{"x":69,"y":402,"width":283,"height":11}},{"id":"11e643ca-ec8c-42ea-b613-150f9bcea583","block_type":"box","text":".............................................................. I","page_number":9,"box":{"x":358,"y":402,"width":513,"height":9}},{"id":"d54b95fe-4f4b-40ee-af97-3be22269cde2","block_type":"box","text":"I-124","page_number":9,"box":{"x":874,"y":402,"width":35,"height":9}},{"id":"35086b07-ae7d-4c33-ae74-3779727355b3","block_type":"box","text":"Dividends and Taxes . .","page_number":9,"box":{"x":70,"y":418,"width":159,"height":9}},{"id":"6bc4d721-260c-4a9d-b78f-d4bc4243f79b","block_type":"box","text":"............................................................................. I","page_number":9,"box":{"x":236,"y":418,"width":635,"height":9}},{"id":"56b70118-f9dc-4e6e-adc1-de44a04c6a48","block_type":"box","text":"I-129","page_number":9,"box":{"x":874,"y":418,"width":35,"height":9}},{"id":"26e5c07e-9172-4ec7-83fd-ebb812a9f2ce","block_type":"box","text":"Performance Data","page_number":9,"box":{"x":69,"y":435,"width":129,"height":9}},{"id":"0f2bbf17-a1ff-47ad-bf45-26d3663269ea","block_type":"box","text":"................................................................................. I","page_number":9,"box":{"x":203,"y":435,"width":668,"height":8}},{"id":"46baf7eb-d4cf-42e0-84de-61656e9b19fa","block_type":"box","text":"I-137","page_number":9,"box":{"x":874,"y":435,"width":34,"height":9}},{"id":"63dbf543-f1bd-46cb-864c-35a1dca158af","block_type":"box","text":"Proxy Voting Policies and Procedures. . . . . . . . . . . . . . . . . . . . . .","page_number":9,"box":{"x":69,"y":451,"width":437,"height":11}},{"id":"f91aae7f-4418-4e23-9a38-f584718c3e44","block_type":"box","text":"........................................... I","page_number":9,"box":{"x":513,"y":451,"width":358,"height":9}},{"id":"96de6373-61e0-4a6c-ab00-0b16d98235b3","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":451,"width":35,"height":9}},{"id":"bdc200b3-5ad8-4636-b680-145da1837ad2","block_type":"box","text":"General Information","page_number":9,"box":{"x":69,"y":467,"width":140,"height":9}},{"id":"a6f4466d-1e94-42ab-b44a-bbf32729ff35","block_type":"box","text":"............................................................................... I","page_number":9,"box":{"x":219,"y":468,"width":652,"height":8}},{"id":"86057c4a-218b-49c1-9577-fb1f40cedbb2","block_type":"box","text":"I-139","page_number":9,"box":{"x":874,"y":467,"width":35,"height":9}},{"id":"a5a1f828-efe9-4acd-9b00-8ab2d759f46c","block_type":"box","text":"Appendix A — Description of Bond Ratings. . . .","page_number":9,"box":{"x":68,"y":484,"width":332,"height":11}},{"id":"4fd798c5-a778-4338-8132-607fe5e0fef6","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A-1","page_number":9,"box":{"x":407,"y":484,"width":502,"height":9}},{"id":"886ee5ae-bbea-496c-be05-5792a54ad705","block_type":"box","text":"Appendix B — Proxy Voting Policies . . . . . .","page_number":9,"box":{"x":68,"y":500,"width":300,"height":11}},{"id":"4a367c5a-0fcf-4ed9-b929-017a3e976179","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . B-1","page_number":9,"box":{"x":374,"y":500,"width":535,"height":9}},{"id":"94be6212-9d31-4978-a3b2-1d297db4430b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":9,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3601a86a-2294-4586-9c0e-08601416c49e","block_type":"box","text":"PART I: INFORMATION ABOUT BLACKROCK LARGE CAP FOCUS GROWTH FUND, INC.","page_number":10,"box":{"x":179,"y":45,"width":620,"height":11}},{"id":"e7c4901d-949f-4d55-aac3-8e0ca7f74ac8","block_type":"box","text":"Part I of this Statement of Additional Information (“SAI”) sets forth information about BlackRock Large Cap","page_number":10,"box":{"x":102,"y":67,"width":762,"height":12}},{"id":"f8e89ea7-6623-4173-a4b8-d8def10a39b6","block_type":"box","text":"Focus Growth Fund, Inc. (the “Fund”). It includes information about the Fund’s Board of Directors (the “Board” or the","page_number":10,"box":{"x":70,"y":82,"width":831,"height":11}},{"id":"200b8d58-f453-4c5f-b565-1ca10870e4d8","block_type":"box","text":"“Board of Directors”), the management services provided to and the management fees applicable to the Fund and","page_number":10,"box":{"x":70,"y":98,"width":814,"height":11}},{"id":"a85ef2a8-7513-4fe4-9f15-a5d0fb55b750","block_type":"box","text":"information about other fees applicable to and services provided to the Fund. This Part I of this SAI should be read in","page_number":10,"box":{"x":70,"y":113,"width":835,"height":11}},{"id":"06c8c73c-363c-43a2-a814-2453b6334363","block_type":"box","text":"conjunction with the Fund’s Prospectuses and those portions of Part II of this SAI that pertain to the Fund.","page_number":10,"box":{"x":69,"y":128,"width":760,"height":11}},{"id":"16a6449c-9c22-4048-a492-34aaca79b741","block_type":"box","text":"I. Investment Objective and Policies","page_number":10,"box":{"x":69,"y":158,"width":262,"height":11}},{"id":"a183d1be-25ae-4b14-b32d-2059ee213ae2","block_type":"box","text":"Please see the section “Details About the Fund — How the Fund Invests” in the Fund’s Prospectuses for","page_number":10,"box":{"x":102,"y":181,"width":747,"height":11}},{"id":"a882ede2-1675-48f8-982f-421671c01657","block_type":"box","text":"information about the Fund’s investment objective and policies.","page_number":10,"box":{"x":70,"y":196,"width":450,"height":11}},{"id":"0bc01afb-df68-4722-8ce5-91a4052d398a","block_type":"box","text":"The Fund is subject to Rule 35d-1 under the Investment Company Act of 1940, as amended (the “Investment","page_number":10,"box":{"x":101,"y":218,"width":779,"height":12}},{"id":"07507b19-4692-44bc-8972-a7c348b629c6","block_type":"box","text":"Company Act”), which means the Fund will not change its investment policies required by that rule without giving","page_number":10,"box":{"x":69,"y":234,"width":801,"height":11}},{"id":"541d8c86-b211-4a50-8320-b8d10eca1110","block_type":"box","text":"shareholders 60 days’ prior written notice.","page_number":10,"box":{"x":69,"y":249,"width":301,"height":11}},{"id":"33415af1-0927-47d6-8659-be9e40e3d0bc","block_type":"box","text":"In implementing the Fund’s investment strategy, from time to time, BlackRock Advisors, LLC (“BlackRock” or the","page_number":10,"box":{"x":102,"y":271,"width":799,"height":12}},{"id":"6a6f6575-67cf-4921-8f50-7cefdc2f88dd","block_type":"box","text":"“Manager”), the Fund’s investment manager, may consider and employ techniques and strategies designed to","page_number":10,"box":{"x":70,"y":287,"width":784,"height":11}},{"id":"d37535e9-8750-4220-9dc8-b2e8ecc1b8c6","block_type":"box","text":"minimize and defer the U.S. federal income taxes which may be incurred by shareholders in connection with their","page_number":10,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"ca645770-2898-45cf-9dc6-23205121e8b8","block_type":"box","text":"investment in the Fund.","page_number":10,"box":{"x":70,"y":317,"width":165,"height":9}},{"id":"95676099-6349-47c5-b6a4-068b7a67f8bb","block_type":"box","text":"Set forth below is a listing of some of the types of investments and investment strategies that the Fund may","page_number":10,"box":{"x":102,"y":339,"width":774,"height":12}},{"id":"b311f903-e5bf-4c29-9323-ea4d40dcebb6","block_type":"box","text":"use, and the risks and considerations associated with those investments and investment strategies. Please see Part","page_number":10,"box":{"x":69,"y":355,"width":837,"height":11}},{"id":"96d784e0-2f99-4ebc-ba13-5ed6d24d50f2","block_type":"box","text":"II of this SAI for further information on these investments and investment strategies. Information contained in Part II","page_number":10,"box":{"x":70,"y":370,"width":828,"height":11}},{"id":"e0e0dd3e-55d2-492c-a5ab-64411f7b67e3","block_type":"box","text":"about the risks and considerations associated with investments and/or investment strategies applies only to the","page_number":10,"box":{"x":69,"y":385,"width":805,"height":11}},{"id":"152f5db0-8098-43b9-af58-70ad7d389d29","block_type":"box","text":"extent the Fund makes each type of investment or uses each investment strategy. Also set forth below is a listing of","page_number":10,"box":{"x":69,"y":400,"width":830,"height":11}},{"id":"caa2ab4d-99db-4869-8143-78f55dfa3590","block_type":"box","text":"the proxy voting policy and related guidelines applicable to the Fund. Please see “Proxy Voting Policies and","page_number":10,"box":{"x":68,"y":415,"width":760,"height":11}},{"id":"586804ac-3bb4-4b5b-b25a-94fc024a93da","block_type":"box","text":"Procedures” in Part II of this SAI for further information about these policies. A copy of each policy is included in","page_number":10,"box":{"x":69,"y":430,"width":801,"height":11}},{"id":"6c1bd843-6eeb-4d82-ab90-8d5c5981aedc","block_type":"box","text":"Appendix B.","page_number":10,"box":{"x":68,"y":446,"width":83,"height":10}},{"id":"f4a761e1-c132-4dac-a487-4c2004466dab","block_type":"box","text":"Information that does not apply to the Fund does not form a part of the Fund’s SAI and should not be relied on","page_number":10,"box":{"x":102,"y":468,"width":789,"height":11}},{"id":"97517d30-64a0-47a8-bfff-f9e9649a232f","block_type":"box","text":"by investors in the Fund. Only information that is clearly identified as applicable to the Fund is considered to form a","page_number":10,"box":{"x":69,"y":483,"width":822,"height":11}},{"id":"1daa719c-7db6-490c-97b5-d2291495e567","block_type":"box","text":"part of the Fund’s SAI.","page_number":10,"box":{"x":70,"y":498,"width":158,"height":11}},{"id":"32e77c79-00ac-46cc-bd8e-81c52da21f24","block_type":"box","text":"BlackRock","page_number":10,"box":{"x":818,"y":527,"width":63,"height":7}},{"id":"fad98562-0236-4c9f-a32a-7ed384d8dc78","block_type":"box","text":"Large Cap","page_number":10,"box":{"x":820,"y":537,"width":58,"height":9}},{"id":"e4a8032e-57d5-42e6-af8d-40a0ef32ae24","block_type":"box","text":"Focus Growth","page_number":10,"box":{"x":809,"y":547,"width":80,"height":7}},{"id":"0082b976-e25a-4c2c-8adb-46d4450c8b9a","block_type":"box","text":"Fund, Inc.","page_number":10,"box":{"x":821,"y":557,"width":56,"height":9}},{"id":"c429a648-c45d-4835-bd9b-734ae5e6d047","block_type":"box","text":"Asset-Backed Securities","page_number":10,"box":{"x":72,"y":577,"width":161,"height":8}},{"id":"bc6c7c31-25fd-4b90-84aa-9725a37add59","block_type":"box","text":"Asset-Based Securities","page_number":10,"box":{"x":72,"y":597,"width":152,"height":8}},{"id":"6b1b2535-5432-45d0-874c-3efbf9b95d51","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":597,"width":8,"height":8}},{"id":"407de622-aa84-4a01-87af-fe8fc2863fb3","block_type":"box","text":"Precious Metal-Related Securities","page_number":10,"box":{"x":83,"y":617,"width":215,"height":8}},{"id":"e2ce5807-3a6a-41f7-b228-1a77dd03698c","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":617,"width":8,"height":8}},{"id":"9e9bef7a-1435-45b5-87c2-d649952d7fd3","block_type":"box","text":"Borrowing and Leverage","page_number":10,"box":{"x":73,"y":637,"width":157,"height":10}},{"id":"b6adacb5-a475-45b5-ad90-32e5fd4e75b6","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":637,"width":8,"height":8}},{"id":"710b9013-b05e-42cb-be63-609c43eba274","block_type":"box","text":"Cash Management","page_number":10,"box":{"x":73,"y":657,"width":122,"height":10}},{"id":"aec2233c-f1bd-4c10-9f1d-b6b6de6187dc","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":657,"width":8,"height":8}},{"id":"aa191181-0fd9-4e3f-8a0c-a12bc5e307b3","block_type":"box","text":"Collateralized Debt Obligations","page_number":10,"box":{"x":73,"y":677,"width":202,"height":10}},{"id":"a5ca1e35-121b-4494-b92a-8cc2c764db26","block_type":"box","text":"Collateralized Bond Obligations","page_number":10,"box":{"x":83,"y":698,"width":198,"height":10}},{"id":"ae533c3d-35aa-48d4-9615-54286b5aa132","block_type":"box","text":"Collateralized Loan Obligations","page_number":10,"box":{"x":83,"y":718,"width":196,"height":10}},{"id":"c887587a-00f5-4d83-9143-f99d1b7a399b","block_type":"box","text":"Commercial Paper","page_number":10,"box":{"x":73,"y":738,"width":120,"height":10}},{"id":"953338d1-fd52-4f50-9601-60a3bf78f8d9","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":738,"width":8,"height":8}},{"id":"b8b6d67d-dfa1-4313-a60b-3a1a472c4fcb","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments","page_number":10,"box":{"x":73,"y":758,"width":431,"height":10}},{"id":"cf18c170-9304-4437-b8b3-25012be82c7f","block_type":"box","text":"Qualifying Hybrid Instruments","page_number":10,"box":{"x":83,"y":778,"width":187,"height":10}},{"id":"6613fc41-64a8-4b8c-bfb0-97612796a803","block_type":"box","text":"Hybrid Instruments Without Principal Protection","page_number":10,"box":{"x":83,"y":798,"width":301,"height":10}},{"id":"71d23a88-997e-4d1d-ac6a-c730bd72e6be","block_type":"box","text":"Limitations on Leverage","page_number":10,"box":{"x":83,"y":819,"width":151,"height":10}},{"id":"1ba253bc-0e09-417c-ad63-fc67b4465eae","block_type":"box","text":"Counterparty Risk","page_number":10,"box":{"x":83,"y":839,"width":114,"height":10}},{"id":"6724a663-0d21-402d-99f8-23a34eabaf65","block_type":"box","text":"Convertible Securities","page_number":10,"box":{"x":73,"y":859,"width":145,"height":8}},{"id":"40b85a33-39e6-4872-8bb8-067199d55741","block_type":"box","text":"X","page_number":10,"box":{"x":845,"y":859,"width":8,"height":8}},{"id":"333df69d-1cf3-45e9-a68b-98fc1e33cc02","block_type":"box","text":"Corporate Loans","page_number":10,"box":{"x":73,"y":879,"width":107,"height":10}},{"id":"9fe60f87-82cb-4234-a018-592c4c803221","block_type":"box","text":"Direct Lending","page_number":10,"box":{"x":83,"y":899,"width":91,"height":10}},{"id":"42c6247b-f6b7-444d-8185-877af05e2126","block_type":"box","text":"I-1","page_number":10,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"ba437c37-8dbb-46e5-9e0c-f5b88e64c8c4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":10,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7ffcca4e-c283-4fd2-8b3d-c6a31d2bb5c0","block_type":"box","text":"BlackRock","page_number":11,"box":{"x":818,"y":50,"width":63,"height":7}},{"id":"4557c916-1710-4ca0-ad85-73ff82cb2ea1","block_type":"box","text":"Large Cap","page_number":11,"box":{"x":820,"y":60,"width":58,"height":9}},{"id":"5f00e078-3f8a-433a-855c-a757ac616552","block_type":"box","text":"Focus Growth","page_number":11,"box":{"x":809,"y":70,"width":80,"height":7}},{"id":"3b599054-0af6-4d91-bf6c-606c281028d5","block_type":"box","text":"Fund, Inc.","page_number":11,"box":{"x":821,"y":80,"width":56,"height":9}},{"id":"c3f43602-c690-4099-9df0-d18ce0ca375e","block_type":"box","text":"Credit Linked Securities","page_number":11,"box":{"x":73,"y":99,"width":157,"height":8}},{"id":"bd12704a-6f1c-4c6a-809c-f5f36ce3a80b","block_type":"box","text":"Debt Securities","page_number":11,"box":{"x":73,"y":119,"width":100,"height":8}},{"id":"bfe1bf23-f77b-468c-9c09-01054c4f8afe","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":119,"width":8,"height":8}},{"id":"2e31108e-bd68-48ff-83aa-cc387b7d17b4","block_type":"box","text":"Floating and Variable Rate Securities","page_number":11,"box":{"x":83,"y":139,"width":234,"height":11}},{"id":"f3a705c1-6c77-47b8-86f1-692ebd0fc390","block_type":"box","text":"Inflation-Indexed Bonds","page_number":11,"box":{"x":83,"y":160,"width":148,"height":8}},{"id":"b9a6f6b6-c1e0-4cf3-bbeb-4a256607e8d7","block_type":"box","text":"Investment Grade Debt Obligations","page_number":11,"box":{"x":83,"y":180,"width":223,"height":10}},{"id":"8380f9f6-591d-4531-b7ca-5279241980ed","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":180,"width":8,"height":8}},{"id":"cf044134-d222-494d-8a28-4df292ef377a","block_type":"box","text":"High Yield Investments (“Junk Bonds”)","page_number":11,"box":{"x":83,"y":200,"width":246,"height":10}},{"id":"f354a106-ab58-40e2-9324-7a0aab0d268e","block_type":"box","text":"Mezzanine Investments","page_number":11,"box":{"x":93,"y":220,"width":149,"height":8}},{"id":"e99ea758-542c-4eaa-b4b4-860d17c6405b","block_type":"box","text":"Pay-in-kind Bonds","page_number":11,"box":{"x":83,"y":240,"width":110,"height":10}},{"id":"a7773852-9d00-4b12-bb13-bb15f8479292","block_type":"box","text":"Supranational Entities","page_number":11,"box":{"x":83,"y":260,"width":140,"height":10}},{"id":"cac6c43c-4bd9-4f8a-ac56-b0535262d01e","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs)","page_number":11,"box":{"x":73,"y":281,"width":296,"height":9}},{"id":"8f25789f-9862-4ec9-bba0-596796bc39c9","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":281,"width":8,"height":7}},{"id":"f5f63374-f833-439f-8361-6f1b2c3f6906","block_type":"box","text":"Derivatives","page_number":11,"box":{"x":73,"y":301,"width":72,"height":8}},{"id":"a065290d-7b20-4446-9262-14c8edbff53b","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":301,"width":8,"height":8}},{"id":"7a54c376-41c5-4b81-81b3-3aa19b2b2659","block_type":"box","text":"Hedging","page_number":11,"box":{"x":83,"y":321,"width":51,"height":10}},{"id":"b7b61d51-a05f-49ef-a51a-7f94eb220547","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":321,"width":8,"height":8}},{"id":"ade4a5ce-06f3-42bd-8131-254c29896942","block_type":"box","text":"Speculation","page_number":11,"box":{"x":83,"y":341,"width":74,"height":10}},{"id":"6d43b6ee-28b5-43b3-a215-66a807e0dcc7","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":341,"width":8,"height":8}},{"id":"c3aa67d7-9d9b-493e-9c2d-0035d6900e30","block_type":"box","text":"Risk Factors in Derivatives","page_number":11,"box":{"x":83,"y":361,"width":168,"height":8}},{"id":"31563e7e-3741-405d-8207-ffbba4644281","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":361,"width":8,"height":8}},{"id":"3bbd4373-9d20-4963-a9ed-103e46061599","block_type":"box","text":"Correlation Risk","page_number":11,"box":{"x":93,"y":381,"width":101,"height":8}},{"id":"97fbeaa2-66a7-4149-8d04-f4c5cf78113e","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":381,"width":8,"height":8}},{"id":"f6b50af3-9822-4318-8347-26dd7b38a4a2","block_type":"box","text":"Counterparty Risk","page_number":11,"box":{"x":93,"y":402,"width":114,"height":9}},{"id":"bc9ed4c2-e20e-45af-a6ce-8b9ff13a3584","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":402,"width":8,"height":7}},{"id":"170d2237-0027-44b6-bd14-41d9959458ff","block_type":"box","text":"Credit Risk","page_number":11,"box":{"x":93,"y":422,"width":69,"height":8}},{"id":"40dd7d81-19c1-4906-bcb4-ca07ca25900b","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":422,"width":8,"height":8}},{"id":"1139f3e9-7f43-494c-8d9f-86d044b89bda","block_type":"box","text":"Currency Risk","page_number":11,"box":{"x":93,"y":442,"width":87,"height":10}},{"id":"3c496854-6c40-4668-9af0-5235fad310ce","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":442,"width":8,"height":8}},{"id":"ce7742d4-b8d0-4e1d-bb7f-6015943b6c11","block_type":"box","text":"Illiquidity Risk","page_number":11,"box":{"x":93,"y":462,"width":87,"height":10}},{"id":"edea9637-951e-48d5-b15a-e5c09c96daa8","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":462,"width":8,"height":8}},{"id":"37388249-ad35-4416-ae77-91dc1b01f5a7","block_type":"box","text":"Index Risk","page_number":11,"box":{"x":93,"y":482,"width":65,"height":8}},{"id":"1d436fed-3685-4631-846b-494aca004fee","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":482,"width":8,"height":8}},{"id":"8d8df544-e6fe-42c7-87bc-d483f2a36078","block_type":"box","text":"Legal Risk","page_number":11,"box":{"x":93,"y":502,"width":65,"height":10}},{"id":"66043d6d-7ab3-417d-8435-44488543dc95","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":502,"width":8,"height":8}},{"id":"0607cb42-4c0c-4fef-b5df-8589c6b56570","block_type":"box","text":"Leverage Risk","page_number":11,"box":{"x":93,"y":523,"width":88,"height":10}},{"id":"ef5f8c66-6cd4-4b7b-9a15-8831b668ee86","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":523,"width":8,"height":7}},{"id":"1f7262a6-3a92-4df8-9be6-c29da8be2d6c","block_type":"box","text":"Market Risk","page_number":11,"box":{"x":93,"y":543,"width":75,"height":8}},{"id":"83edfee2-7bb2-4356-8cfc-7283f86ae16e","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":543,"width":8,"height":8}},{"id":"c6e5d976-f5e1-4624-be70-b089ed051805","block_type":"box","text":"Operational Risk","page_number":11,"box":{"x":93,"y":563,"width":104,"height":10}},{"id":"df6e8d89-e68a-446c-9c15-5c770951a4f4","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":563,"width":8,"height":8}},{"id":"decd865a-fb2c-4024-888f-5c68d5cd33b8","block_type":"box","text":"Valuation Risk","page_number":11,"box":{"x":92,"y":583,"width":90,"height":8}},{"id":"a4e8ed3b-5eb9-485c-8e1b-e48cd6b5103c","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":583,"width":8,"height":8}},{"id":"7f26fb55-2e52-4561-9015-81e01c514906","block_type":"box","text":"Volatility Risk","page_number":11,"box":{"x":92,"y":603,"width":85,"height":10}},{"id":"6de2294e-2759-4c7e-8c81-3e352e79c598","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":603,"width":8,"height":8}},{"id":"56850e7c-4e66-4100-b2a2-58b0946c53ba","block_type":"box","text":"Futures","page_number":11,"box":{"x":83,"y":623,"width":46,"height":8}},{"id":"d60eef38-df68-4300-b1b3-00d5bfbf6b18","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":623,"width":8,"height":8}},{"id":"78d46bb0-f5ae-412e-a5c6-59a4ad2fe01e","block_type":"box","text":"Swap Agreements","page_number":11,"box":{"x":83,"y":643,"width":114,"height":10}},{"id":"0967775f-65e5-45fc-bc63-5bbc2dfcebfd","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":644,"width":8,"height":7}},{"id":"b960423e-0d1c-45df-b80a-f96f22f914ca","block_type":"box","text":"Credit Default Swaps and Similar Instruments","page_number":11,"box":{"x":93,"y":663,"width":292,"height":10}},{"id":"d29f3d3f-0943-4e30-8f72-50a040981a81","block_type":"box","text":"Interest Rate Swaps, Floors and Caps","page_number":11,"box":{"x":93,"y":684,"width":241,"height":9}},{"id":"27182a29-2abd-4d18-bc79-43a2792d0ad5","block_type":"box","text":"Total Return Swaps","page_number":11,"box":{"x":92,"y":704,"width":123,"height":10}},{"id":"d460d1e0-8c7c-4404-ab8f-15e3c9f66312","block_type":"box","text":"Options","page_number":11,"box":{"x":83,"y":724,"width":48,"height":10}},{"id":"997bac11-8b10-4fbd-9df0-67aea7b77916","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":724,"width":8,"height":8}},{"id":"9815aa56-47dc-4be0-8992-651b2d2912cb","block_type":"box","text":"Options on Securities and Securities Indices X","page_number":11,"box":{"x":93,"y":744,"width":760,"height":10}},{"id":"d739a980-ec69-4d80-b2cd-106b2823d5ae","block_type":"box","text":"Call Options","page_number":11,"box":{"x":93,"y":764,"width":76,"height":10}},{"id":"5a820c89-c1c6-4351-9182-e41f33af3c02","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":764,"width":8,"height":8}},{"id":"a1d71489-802b-4225-a4bd-78f1326c1425","block_type":"box","text":"Put Options","page_number":11,"box":{"x":93,"y":785,"width":73,"height":9}},{"id":"5a571bb1-782d-4136-a4df-3871a74446c4","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":785,"width":8,"height":7}},{"id":"d9b39f60-af46-4401-9f83-e1846cc5f9c6","block_type":"box","text":"Options on Government National Mortgage Association (“GNMA”) Certificates","page_number":11,"box":{"x":93,"y":805,"width":496,"height":10}},{"id":"c91eef55-076f-4947-8b25-a1de95658d3d","block_type":"box","text":"Options on Swaps (“Swaptions”)","page_number":11,"box":{"x":93,"y":825,"width":207,"height":10}},{"id":"9768005c-5f80-4846-8a89-611581059843","block_type":"box","text":"FLEX Options","page_number":11,"box":{"x":93,"y":845,"width":82,"height":10}},{"id":"d90b9264-43ea-42ea-ada7-3ae8f2a4819d","block_type":"box","text":"Foreign Exchange Transactions","page_number":11,"box":{"x":83,"y":865,"width":196,"height":10}},{"id":"1b7e09c7-5a5f-4edd-bdab-def8c5851814","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":865,"width":8,"height":8}},{"id":"ed54ea34-b3e8-433f-8024-0a4974afb7f2","block_type":"box","text":"Spot Transactions and FX Forwards","page_number":11,"box":{"x":93,"y":885,"width":225,"height":10}},{"id":"fc5f16f1-cc32-4001-a8bd-a30b9c1b7baa","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":885,"width":8,"height":8}},{"id":"f31505ff-9c83-4032-98fc-9d243e1cfffa","block_type":"box","text":"Currency Futures","page_number":11,"box":{"x":93,"y":905,"width":107,"height":10}},{"id":"c02256dd-adc8-45a9-97f3-107c911843d7","block_type":"box","text":"X","page_number":11,"box":{"x":845,"y":906,"width":8,"height":7}},{"id":"0073d988-1d21-4ea8-884e-b5e213915136","block_type":"box","text":"I-2","page_number":11,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"13ee3995-0340-4c47-80b9-9fefd769bbd8","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":11,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a3f4c7c2-b93a-41a2-acae-b51d80e37d30","block_type":"box","text":"BlackRock","page_number":12,"box":{"x":818,"y":50,"width":63,"height":7}},{"id":"3230f419-e326-4dcd-880f-41db4ecc9b7d","block_type":"box","text":"Large Cap","page_number":12,"box":{"x":820,"y":60,"width":58,"height":9}},{"id":"ffc7effe-bf6d-4aad-aab3-9496777ff613","block_type":"box","text":"Focus Growth","page_number":12,"box":{"x":809,"y":70,"width":80,"height":7}},{"id":"5741b367-4a83-4191-8be9-e8347d018957","block_type":"box","text":"Fund, Inc.","page_number":12,"box":{"x":821,"y":80,"width":56,"height":9}},{"id":"f5808f2b-c416-4ba2-8149-1cb9d24373f8","block_type":"box","text":"Currency Options","page_number":12,"box":{"x":93,"y":99,"width":108,"height":10}},{"id":"deefec22-e3ab-4c2b-80fc-8cfc6851ddd0","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":99,"width":8,"height":8}},{"id":"25fc3ade-cfbd-4e8c-9c9a-11f714c0ac6e","block_type":"box","text":"Currency Swaps","page_number":12,"box":{"x":93,"y":119,"width":101,"height":10}},{"id":"2db0ce5d-b3fc-4781-8287-1e86f1b9df62","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":119,"width":8,"height":8}},{"id":"7a8bfade-65c8-4514-bb9f-9f8ef0ca1c2f","block_type":"box","text":"Distressed Securities","page_number":12,"box":{"x":73,"y":139,"width":139,"height":8}},{"id":"c9885ff2-e962-4d75-abfe-f5df2c21bfaa","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":12,"box":{"x":73,"y":160,"width":384,"height":10}},{"id":"d899bafb-f6d2-4248-9889-d2eb5d9c00ee","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":160,"width":8,"height":8}},{"id":"1693a430-dd6c-40d3-85bd-2407532338e6","block_type":"box","text":"Equity Securities","page_number":12,"box":{"x":73,"y":180,"width":110,"height":10}},{"id":"43db707d-8e0e-4740-a8f2-f49e5cec2f55","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":180,"width":8,"height":8}},{"id":"349b92d8-013d-4933-97a0-646f1a9a2f97","block_type":"box","text":"Real Estate-Related Securities","page_number":12,"box":{"x":83,"y":200,"width":193,"height":8}},{"id":"5feab132-702c-472b-9618-7f10f8999feb","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":200,"width":8,"height":8}},{"id":"c3c10422-c528-40be-9dfd-e7837f8480a4","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies X","page_number":12,"box":{"x":83,"y":220,"width":770,"height":10}},{"id":"22aaf5d7-d6c7-447b-bb10-04f929b164ae","block_type":"box","text":"Tracking Stocks","page_number":12,"box":{"x":82,"y":240,"width":100,"height":10}},{"id":"1d29de60-a591-410e-9250-e7747b2b2e7d","block_type":"box","text":"Exchange-Traded Notes (“ETNs”)","page_number":12,"box":{"x":73,"y":261,"width":216,"height":9}},{"id":"e365f769-7946-4bf9-b2b3-7f5dfeab8e63","block_type":"box","text":"Foreign Investments","page_number":12,"box":{"x":73,"y":281,"width":133,"height":9}},{"id":"bbf411d3-33e6-443a-9ad2-858eb650d029","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":281,"width":8,"height":7}},{"id":"d017ae59-7ff9-47b4-b3b0-0d47ae02fde1","block_type":"box","text":"Foreign Investment Risks","page_number":12,"box":{"x":83,"y":301,"width":160,"height":10}},{"id":"b66c061d-e2db-4bfb-8ada-cb7086a1f717","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":301,"width":8,"height":8}},{"id":"6c7bb701-276b-4427-b02a-7c47596f7e09","block_type":"box","text":"Foreign Market Risk","page_number":12,"box":{"x":83,"y":321,"width":127,"height":10}},{"id":"bd4fcb5a-de78-49a7-a37c-223630882260","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":321,"width":8,"height":8}},{"id":"9e709db4-d5af-42e8-87a0-5a08f0b688d0","block_type":"box","text":"Foreign Economy Risk","page_number":12,"box":{"x":83,"y":341,"width":139,"height":10}},{"id":"02d3ae35-eac7-416f-a022-d3ae921d961e","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":341,"width":8,"height":8}},{"id":"0dbbd8d7-4223-47d1-baea-f8cbe4d7bcd6","block_type":"box","text":"Currency Risk and Exchange Risk","page_number":12,"box":{"x":83,"y":361,"width":212,"height":10}},{"id":"b5ae5967-f61e-40d5-a32c-870f3d39b653","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":361,"width":8,"height":8}},{"id":"4540a08f-781f-42f0-a1ef-3d6f415ebc36","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards X","page_number":12,"box":{"x":83,"y":381,"width":770,"height":10}},{"id":"50f943cc-100d-4545-85ed-13729e9ffeb1","block_type":"box","text":"Certain Risks of Holding Fund Assets Outside the United States X","page_number":12,"box":{"x":83,"y":401,"width":770,"height":11}},{"id":"3f3873e9-268f-4ef1-9ea9-5983b2b61c84","block_type":"box","text":"Publicly Available Information","page_number":12,"box":{"x":83,"y":422,"width":185,"height":10}},{"id":"73b006ae-949b-431c-b941-5c375c8e40d9","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":422,"width":8,"height":8}},{"id":"b013b68f-588d-4a3b-8b52-0acd090120be","block_type":"box","text":"Settlement Risk","page_number":12,"box":{"x":83,"y":442,"width":101,"height":8}},{"id":"720e2e10-a4c2-4454-bf8a-6fd87cff2c67","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":442,"width":8,"height":8}},{"id":"55ee69bc-9220-4ff8-a4f5-1dd95ea3bc96","block_type":"box","text":"Sovereign Debt","page_number":12,"box":{"x":83,"y":462,"width":97,"height":10}},{"id":"892a20b6-d5d0-46c9-93c0-f2aa5fa2ca17","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":462,"width":8,"height":8}},{"id":"dd840841-ed22-4387-99ad-e2d74c9fc807","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":12,"box":{"x":82,"y":482,"width":194,"height":10}},{"id":"af6432f2-86c8-49e1-9be7-a1ff2c9b8d84","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":482,"width":8,"height":8}},{"id":"c9a54938-0e48-4fa5-a4c5-32add7a7ca09","block_type":"box","text":"U.S. Economic Trading Partners Risk","page_number":12,"box":{"x":83,"y":502,"width":234,"height":10}},{"id":"71068f2c-cd95-41f3-aec3-f4be842cf798","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":502,"width":8,"height":8}},{"id":"fc81babd-9456-431e-987d-0675cca03c55","block_type":"box","text":"Funding Agreements","page_number":12,"box":{"x":73,"y":522,"width":134,"height":10}},{"id":"efa76d82-94e2-445c-b776-80e624f627ec","block_type":"box","text":"Guarantees","page_number":12,"box":{"x":73,"y":543,"width":74,"height":8}},{"id":"cd00c7a4-b8bd-4dc1-8abb-69041ce15df6","block_type":"box","text":"Illiquid Investments","page_number":12,"box":{"x":73,"y":563,"width":128,"height":10}},{"id":"a0081330-9c58-435b-976d-86a8ba94a998","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":563,"width":8,"height":8}},{"id":"599542cb-f3fd-4764-881a-0eaddc7261fa","block_type":"box","text":"Index Funds","page_number":12,"box":{"x":73,"y":583,"width":78,"height":8}},{"id":"b1bf548d-2184-44ed-aac9-ade67d4c5885","block_type":"box","text":"Cash Flows; Expenses","page_number":12,"box":{"x":83,"y":603,"width":142,"height":10}},{"id":"cc1091f2-4705-452b-a0e7-c3f8204b7337","block_type":"box","text":"Tracking Error Risk","page_number":12,"box":{"x":82,"y":623,"width":120,"height":10}},{"id":"c91a8b3d-dbaf-420d-9a5a-9c627c4cabd8","block_type":"box","text":"S&P 500 Index","page_number":12,"box":{"x":83,"y":643,"width":96,"height":8}},{"id":"c5d8b5a9-152e-4c04-b666-068da6a19e36","block_type":"box","text":"Russell Indexes","page_number":12,"box":{"x":83,"y":664,"width":100,"height":8}},{"id":"426992de-5bd8-4af1-b674-28ec0eacb221","block_type":"box","text":"MSCI Indexes","page_number":12,"box":{"x":83,"y":684,"width":86,"height":8}},{"id":"9703e60e-d6c9-4a42-ac13-6c7074f29f3b","block_type":"box","text":"FTSE Indexes","page_number":12,"box":{"x":83,"y":704,"width":84,"height":8}},{"id":"96fe748a-37b7-49ee-9c02-5941cb06aa81","block_type":"box","text":"Bloomberg Indexes","page_number":12,"box":{"x":83,"y":724,"width":121,"height":10}},{"id":"6d897ad9-851e-407a-8c7b-b3a5016215ac","block_type":"box","text":"ICE BofA Indexes","page_number":12,"box":{"x":83,"y":744,"width":108,"height":8}},{"id":"ac58fad9-5418-4985-98d6-685bca2c205f","block_type":"box","text":"Indexed and Inverse Securities","page_number":12,"box":{"x":73,"y":764,"width":201,"height":8}},{"id":"7e5d51ef-58ae-4859-b558-8a8638aecc68","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":764,"width":8,"height":8}},{"id":"6951880b-baf8-44f6-bad1-833bec62454c","block_type":"box","text":"Inflation Risk","page_number":12,"box":{"x":73,"y":784,"width":86,"height":9}},{"id":"c286cc8f-e4ea-434e-a74c-b90778ea1264","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":785,"width":8,"height":7}},{"id":"73de1b4d-8920-4b82-9fec-64ff46be3ff4","block_type":"box","text":"Initial Public Offering (“IPO”) Risk","page_number":12,"box":{"x":73,"y":805,"width":224,"height":10}},{"id":"7230511a-541b-42f9-b73f-b1e33cb4f168","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":805,"width":8,"height":8}},{"id":"23656f82-843c-4366-8b28-080baba058c8","block_type":"box","text":"Investment in Emerging Markets","page_number":12,"box":{"x":73,"y":825,"width":214,"height":10}},{"id":"75583b4c-acb8-4b0c-8061-09c9c31e61bb","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":825,"width":8,"height":8}},{"id":"d58fab02-6120-4b99-88e9-415ec27b9c1a","block_type":"box","text":"Brady Bonds","page_number":12,"box":{"x":83,"y":845,"width":79,"height":10}},{"id":"0e90104b-1322-4f58-b3f6-a956edf87a58","block_type":"box","text":"China Investments Risk","page_number":12,"box":{"x":83,"y":865,"width":150,"height":8}},{"id":"0fe98956-d5a9-4852-bdc8-4bc596ac0084","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":865,"width":8,"height":8}},{"id":"0b1995d6-a234-43c8-863d-18044feff1c3","block_type":"box","text":"Investment in Other Investment Companies","page_number":12,"box":{"x":73,"y":885,"width":284,"height":10}},{"id":"7622647f-5794-48c1-b471-e3ef816aaa1d","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":885,"width":8,"height":8}},{"id":"cdff99d5-d591-4796-9c80-afd81ab5e289","block_type":"box","text":"Exchange-Traded Funds","page_number":12,"box":{"x":83,"y":906,"width":148,"height":10}},{"id":"48c809b1-c0d3-4db2-8cae-83471cc0aa33","block_type":"box","text":"X","page_number":12,"box":{"x":845,"y":906,"width":8,"height":7}},{"id":"fd8c2330-b3f4-4bbf-8652-0a0d9b05f8fd","block_type":"box","text":"I-3","page_number":12,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"a442a3de-c483-467b-ae15-b0de04477de7","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":12,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ffdae793-5fe1-4894-9588-bd2133e838dc","block_type":"box","text":"BlackRock","page_number":13,"box":{"x":818,"y":50,"width":63,"height":7}},{"id":"f6f2c03d-3e64-4752-a092-93cbf1a3e348","block_type":"box","text":"Large Cap","page_number":13,"box":{"x":820,"y":60,"width":58,"height":9}},{"id":"e7f578b0-1e6d-4145-a855-f4f1a66a8f03","block_type":"box","text":"Focus Growth","page_number":13,"box":{"x":809,"y":70,"width":80,"height":7}},{"id":"27d5b001-b7a1-4fdd-b279-bad7dc55354a","block_type":"box","text":"Fund, Inc.","page_number":13,"box":{"x":821,"y":80,"width":56,"height":9}},{"id":"b3d75d77-4714-41fe-aef9-ffd5a0937f21","block_type":"box","text":"Issuer Insolvency Risk","page_number":13,"box":{"x":73,"y":99,"width":146,"height":10}},{"id":"ddf798ef-04ce-4471-87bb-32c1989979c7","block_type":"box","text":"Lease Obligations","page_number":13,"box":{"x":73,"y":119,"width":116,"height":10}},{"id":"9c08802b-1920-4876-8f1c-7a83adfd636e","block_type":"box","text":"Life Settlement Investments","page_number":13,"box":{"x":73,"y":139,"width":185,"height":8}},{"id":"501b5b05-91b6-4645-8ec4-622186cacbc6","block_type":"box","text":"Liquidity Risk Management","page_number":13,"box":{"x":73,"y":160,"width":178,"height":10}},{"id":"8f403c3b-9705-4c82-ac0b-e3e11a89c2bf","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":160,"width":8,"height":8}},{"id":"d88958bf-24de-4406-b5fb-eb0dbd687dc7","block_type":"box","text":"Market Risks/Recent Market Events","page_number":13,"box":{"x":73,"y":180,"width":244,"height":10}},{"id":"9eb8e9f5-8657-4455-818b-48804a3f5b08","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":180,"width":8,"height":8}},{"id":"f7b67ac9-4839-4d0a-b53a-1ba84c0af5c9","block_type":"box","text":"Master Limited Partnerships","page_number":13,"box":{"x":73,"y":200,"width":186,"height":10}},{"id":"880d935f-9b8c-4e6e-98e7-1311230817d0","block_type":"box","text":"Merger Transaction Risk","page_number":13,"box":{"x":73,"y":220,"width":161,"height":10}},{"id":"15d7db13-29bf-4906-babb-ee728847f0c2","block_type":"box","text":"Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S. Banks","page_number":13,"box":{"x":73,"y":240,"width":646,"height":10}},{"id":"6e45013e-bb04-4f40-bfd8-bf61adfa683f","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":240,"width":8,"height":8}},{"id":"49a3de4b-76c6-4de3-8781-12fa7ed94894","block_type":"box","text":"Money Market Securities","page_number":13,"box":{"x":73,"y":260,"width":165,"height":10}},{"id":"a739ebf0-cb2e-4286-9a19-d895a12b12ee","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":261,"width":8,"height":7}},{"id":"4c102596-1b3d-43fa-9809-10dd79e8d862","block_type":"box","text":"Mortgage-Related Securities","page_number":13,"box":{"x":73,"y":281,"width":188,"height":9}},{"id":"1b91f605-f27b-4c59-a9ae-03988714b106","block_type":"box","text":"Mortgage-Backed Securities","page_number":13,"box":{"x":83,"y":301,"width":178,"height":10}},{"id":"5bc673be-9ab9-4a79-a2cb-3185e5199b2e","block_type":"box","text":"Collateralized Mortgage Obligations (“CMOs”)","page_number":13,"box":{"x":83,"y":321,"width":291,"height":10}},{"id":"1f3d7e51-e53c-4447-9913-4f706f4b312a","block_type":"box","text":"Adjustable Rate Mortgage Securities","page_number":13,"box":{"x":82,"y":341,"width":234,"height":10}},{"id":"029672b0-ea12-459f-be5c-ff65ec5d0d45","block_type":"box","text":"CMO Residuals","page_number":13,"box":{"x":83,"y":361,"width":97,"height":8}},{"id":"de0e7100-df4c-473f-9764-3e8f519c7fde","block_type":"box","text":"Stripped Mortgage-Backed Securities","page_number":13,"box":{"x":83,"y":381,"width":237,"height":10}},{"id":"641ac2f3-d667-4f6e-bbbd-e1cf2aaa0e2d","block_type":"box","text":"Tiered Index Bonds","page_number":13,"box":{"x":82,"y":402,"width":122,"height":8}},{"id":"fa9bd4b5-4b01-4250-bc02-9026f54eac67","block_type":"box","text":"TBA Commitments","page_number":13,"box":{"x":82,"y":422,"width":118,"height":8}},{"id":"15b623ff-79ae-4ca9-9dba-e784e2706ad6","block_type":"box","text":"Mortgage Dollar Rolls","page_number":13,"box":{"x":83,"y":442,"width":137,"height":10}},{"id":"11262608-0890-4ae1-a35d-c39f39fec237","block_type":"box","text":"Net Interest Margin (NIM) Securities","page_number":13,"box":{"x":83,"y":462,"width":230,"height":10}},{"id":"25257ec8-b366-48b2-af20-b1180f216c58","block_type":"box","text":"Municipal Investments","page_number":13,"box":{"x":73,"y":482,"width":148,"height":10}},{"id":"ce3ff3ad-40a8-4af5-a4c2-511ad54075c9","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds","page_number":13,"box":{"x":83,"y":502,"width":442,"height":10}},{"id":"8bf64c75-8510-45b9-9e82-a88f9f7b38c0","block_type":"box","text":"Description of Municipal Bonds","page_number":13,"box":{"x":83,"y":522,"width":198,"height":10}},{"id":"8a6f18de-0b11-4932-924a-4bdd0388a28c","block_type":"box","text":"General Obligation Bonds","page_number":13,"box":{"x":93,"y":543,"width":161,"height":10}},{"id":"bdea87b1-277a-4424-864c-166060a15be7","block_type":"box","text":"Revenue Bonds","page_number":13,"box":{"x":93,"y":563,"width":98,"height":8}},{"id":"c37cb4d9-cb5f-494b-bde4-95d02977b405","block_type":"box","text":"Private Activity Bonds (“PABs”)","page_number":13,"box":{"x":93,"y":583,"width":194,"height":10}},{"id":"5bdb6eb1-e1c2-4d3b-b6eb-76dcd9fb498d","block_type":"box","text":"Moral Obligation Bonds","page_number":13,"box":{"x":93,"y":603,"width":148,"height":10}},{"id":"5f03b78c-602b-4f79-82b4-b30066fe08b0","block_type":"box","text":"Municipal Notes","page_number":13,"box":{"x":93,"y":623,"width":102,"height":10}},{"id":"c0fe3e72-5017-4c6e-8488-30e780954fa6","block_type":"box","text":"Municipal Commercial Paper","page_number":13,"box":{"x":93,"y":643,"width":182,"height":10}},{"id":"3c2b76be-f6d0-4de6-bd26-8aa1bb4d217a","block_type":"box","text":"Municipal Lease Obligations","page_number":13,"box":{"x":93,"y":664,"width":179,"height":10}},{"id":"994581b4-c7d8-49dd-bafc-00a1472da8ee","block_type":"box","text":"Tender Option Bonds","page_number":13,"box":{"x":92,"y":684,"width":133,"height":9}},{"id":"ea7de0e0-3a99-419f-9eaf-d8ab72601665","block_type":"box","text":"Yields","page_number":13,"box":{"x":92,"y":704,"width":38,"height":8}},{"id":"2fff7c78-d45a-4a7d-904c-84cb17572ed8","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”)","page_number":13,"box":{"x":92,"y":724,"width":288,"height":10}},{"id":"803a808c-20c4-4ba8-81e2-6a6ebdf661da","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes","page_number":13,"box":{"x":92,"y":744,"width":416,"height":10}},{"id":"f8937311-715f-40c6-8cc3-ff2a7add2809","block_type":"box","text":"Call Rights","page_number":13,"box":{"x":93,"y":764,"width":67,"height":10}},{"id":"77368855-9460-4dc5-8f4a-506964c3f084","block_type":"box","text":"Municipal Interest Rate Swap Transactions","page_number":13,"box":{"x":93,"y":785,"width":272,"height":9}},{"id":"e662788a-d7b6-4c15-95be-6f0e6c6a29ca","block_type":"box","text":"Insured Municipal Bonds","page_number":13,"box":{"x":93,"y":805,"width":157,"height":9}},{"id":"4b0e6495-1ede-4a27-8c22-3bdef905f42c","block_type":"box","text":"Build America Bonds","page_number":13,"box":{"x":93,"y":825,"width":131,"height":8}},{"id":"3e95b680-9689-4c05-aee9-7172fd5424ad","block_type":"box","text":"Tax-Exempt Municipal Investments","page_number":13,"box":{"x":82,"y":845,"width":219,"height":10}},{"id":"671edf6a-41ac-4ead-b575-f9c6e2cf3174","block_type":"box","text":"Operational and Technology Risks","page_number":13,"box":{"x":73,"y":865,"width":221,"height":10}},{"id":"0be66e4a-4ce0-43d7-a3cb-f0d40830e27a","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":865,"width":8,"height":8}},{"id":"fd65e967-8162-47aa-bb8d-0c35dd201036","block_type":"box","text":"Participation Notes","page_number":13,"box":{"x":73,"y":885,"width":127,"height":10}},{"id":"7bfbd477-5b4a-457a-b0ba-5c0587537580","block_type":"box","text":"Portfolio Turnover Rates","page_number":13,"box":{"x":73,"y":905,"width":159,"height":8}},{"id":"072e67f8-0f0e-4887-89fc-e38c3e8d5753","block_type":"box","text":"X","page_number":13,"box":{"x":845,"y":906,"width":8,"height":7}},{"id":"30ed9ede-1899-4140-86d6-05ac6a1cbecd","block_type":"box","text":"I-4","page_number":13,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"dc49f634-e07d-4963-b11f-958c6128cd23","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":13,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"76d091b3-a730-4389-bee3-c7c33cb655dd","block_type":"box","text":"BlackRock","page_number":14,"box":{"x":818,"y":50,"width":63,"height":7}},{"id":"4a276b5a-1ba4-47f7-8570-effe415807ae","block_type":"box","text":"Large Cap","page_number":14,"box":{"x":820,"y":60,"width":58,"height":9}},{"id":"170138c7-dd15-4925-9325-d9edd5f7f0d1","block_type":"box","text":"Focus Growth","page_number":14,"box":{"x":809,"y":70,"width":80,"height":7}},{"id":"8cfacb3c-f082-4aa3-9a19-edff8580f082","block_type":"box","text":"Fund, Inc.","page_number":14,"box":{"x":821,"y":80,"width":56,"height":9}},{"id":"6d186bc6-5c5e-432e-855a-31f06507e554","block_type":"box","text":"Preferred Stock","page_number":14,"box":{"x":73,"y":99,"width":103,"height":8}},{"id":"f7e2bed5-16f4-462e-8b8f-69668b539b7b","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":99,"width":8,"height":8}},{"id":"adc1ad7f-dedf-4a76-a430-1b246cdbe992","block_type":"box","text":"Tax-Exempt Preferred Shares","page_number":14,"box":{"x":82,"y":119,"width":184,"height":10}},{"id":"a451cff9-ae77-454a-86e4-41ebea488bfa","block_type":"box","text":"Trust Preferred Securities","page_number":14,"box":{"x":82,"y":139,"width":164,"height":8}},{"id":"dc1297e7-722e-4635-9c35-ac794e719099","block_type":"box","text":"Proxy Voting Policies","page_number":14,"box":{"x":73,"y":160,"width":138,"height":10}},{"id":"f47e740f-df67-4482-abce-f066504921de","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":160,"width":8,"height":8}},{"id":"5b72121b-1914-4e1d-8018-74551afe6db5","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":14,"box":{"x":83,"y":180,"width":414,"height":10}},{"id":"3b23e853-4af2-46e3-89a1-5d2bb0c7f3b4","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":180,"width":8,"height":8}},{"id":"879bd293-3524-4f9e-b8bb-ee6c129125e5","block_type":"box","text":"BlackRock Active Investment Stewardship Climate and Decarbonization Stewardship Guidelines","page_number":14,"box":{"x":93,"y":200,"width":610,"height":10}},{"id":"2cc2ff38-1c10-4d3d-95fd-89d3fd257f27","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":14,"box":{"x":83,"y":220,"width":233,"height":10}},{"id":"48bdaa21-bf71-4c14-9e0e-1b843f86ab61","block_type":"box","text":"BlackRock Investment Stewardship Climate and Decarbonization Stewardship Guidelines","page_number":14,"box":{"x":93,"y":240,"width":567,"height":10}},{"id":"b79bab99-bb85-49f2-a52e-227e6d16204e","block_type":"box","text":"Real Estate Investment Trusts (“REITs”)","page_number":14,"box":{"x":73,"y":261,"width":265,"height":9}},{"id":"aa752695-5aa6-431f-b628-4341633f3fef","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":261,"width":8,"height":7}},{"id":"e121cc19-fa6a-44f5-9b78-122e6dac6955","block_type":"box","text":"Reference Rate Replacement Risk","page_number":14,"box":{"x":73,"y":281,"width":226,"height":9}},{"id":"ad1cf857-9f8b-4327-ad13-e6f7e4704c8f","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":281,"width":8,"height":7}},{"id":"82d0667e-7efc-4d21-bc28-331505440cad","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts","page_number":14,"box":{"x":73,"y":301,"width":385,"height":10}},{"id":"d488ec32-31c1-4e72-804f-9d3b169ad2ea","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":301,"width":8,"height":8}},{"id":"3bfd7cb5-9591-4a20-8619-675ece3e6ae1","block_type":"box","text":"Restricted Securities","page_number":14,"box":{"x":73,"y":321,"width":138,"height":8}},{"id":"0c24ff2b-8ae4-44e4-af9a-a35d1b3222f6","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":321,"width":8,"height":8}},{"id":"0f8cd04e-4980-4340-96ab-6b566234a88a","block_type":"box","text":"Reverse Repurchase Agreements","page_number":14,"box":{"x":73,"y":341,"width":218,"height":10}},{"id":"c34f904d-96ad-430a-8493-57268f9a8631","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":341,"width":8,"height":8}},{"id":"15d4e78e-8b3e-40f2-a40b-b1333f52aa2a","block_type":"box","text":"Rights Offerings and Warrants to Purchase","page_number":14,"box":{"x":73,"y":361,"width":281,"height":10}},{"id":"1058b5a9-c085-453a-8674-e6fcf7fb7724","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":361,"width":8,"height":8}},{"id":"bffd78ad-16b3-4ca6-85d8-141a1719647f","block_type":"box","text":"Rule 144A Securities","page_number":14,"box":{"x":73,"y":381,"width":139,"height":8}},{"id":"f85a562b-db8a-4280-b7be-3bb074a8507a","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":381,"width":8,"height":8}},{"id":"9257cc86-815e-415c-b5d5-e6e2d0848e3c","block_type":"box","text":"Securities Lending","page_number":14,"box":{"x":72,"y":402,"width":122,"height":9}},{"id":"df9a0e22-5a21-4dc3-b3f8-7539cd00f6c7","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":402,"width":8,"height":7}},{"id":"eccfaff4-e1f6-4d03-b893-62fde45a2f67","block_type":"box","text":"Short Sales","page_number":14,"box":{"x":72,"y":422,"width":76,"height":8}},{"id":"06b306aa-5b76-4c12-969f-3f49f054be8a","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":422,"width":8,"height":8}},{"id":"ef8cb6af-9fb7-4e1d-92f1-58eeccfcc49e","block_type":"box","text":"Special Purpose Acquisition Companies","page_number":14,"box":{"x":72,"y":442,"width":260,"height":10}},{"id":"8b9bbd25-501c-47f4-b428-5d0082e1ce88","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":442,"width":8,"height":8}},{"id":"cf30a0c1-d838-47f1-adc2-5bfbbe5f9b06","block_type":"box","text":"Standby Commitment Agreements","page_number":14,"box":{"x":72,"y":462,"width":226,"height":10}},{"id":"a88a057c-4df7-4e3c-80cb-ab610304ca1a","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":462,"width":8,"height":8}},{"id":"0171412d-7abd-45a4-9459-5ba8f1d9cfea","block_type":"box","text":"Stripped Securities","page_number":14,"box":{"x":72,"y":482,"width":125,"height":10}},{"id":"e23c86b9-2218-4cb5-8bc0-e4a8119c6e88","block_type":"box","text":"Structured Notes","page_number":14,"box":{"x":72,"y":502,"width":113,"height":8}},{"id":"3e36dd86-b303-49d7-bee7-ffd9b9650441","block_type":"box","text":"Taxability Risk","page_number":14,"box":{"x":73,"y":522,"width":95,"height":10}},{"id":"cb852d20-8b87-4c76-ac97-9fb77d6b26da","block_type":"box","text":"Temporary Defensive Measures","page_number":14,"box":{"x":73,"y":543,"width":204,"height":10}},{"id":"b6a77690-31a2-4d46-8a0c-c66491139815","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":543,"width":8,"height":8}},{"id":"9449965a-7f3e-4fc8-8aac-20ab499f05a5","block_type":"box","text":"U.S. Government Obligations","page_number":14,"box":{"x":73,"y":563,"width":188,"height":10}},{"id":"cd22f4d4-9989-478d-8ff0-088a14dab7e4","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":563,"width":8,"height":8}},{"id":"3ff2e82f-66d6-49b9-aff5-ac73d319c7bc","block_type":"box","text":"U.S. Treasury Obligations","page_number":14,"box":{"x":83,"y":583,"width":161,"height":10}},{"id":"3061a82c-cd05-499d-8ec9-cd2f2023927e","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":583,"width":8,"height":8}},{"id":"9fb07a7f-e8ca-4c9e-a513-4ce8603aa6de","block_type":"box","text":"U.S. Treasury Rolls","page_number":14,"box":{"x":73,"y":603,"width":124,"height":10}},{"id":"0e152d2a-32e7-48cf-84bb-52bb65215d78","block_type":"box","text":"Utility Industries","page_number":14,"box":{"x":73,"y":623,"width":108,"height":10}},{"id":"ab4d588d-e687-4387-91f0-ebdd4999aae9","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":623,"width":8,"height":8}},{"id":"2bcb1762-5daa-41c6-9e43-bb4a61418c2f","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments","page_number":14,"box":{"x":72,"y":643,"width":524,"height":10}},{"id":"da8e44e9-8253-4826-a539-b52067c43a2a","block_type":"box","text":"X","page_number":14,"box":{"x":845,"y":644,"width":8,"height":7}},{"id":"ccee4969-26fb-4806-842a-2b8dc734c529","block_type":"box","text":"Yields and Ratings","page_number":14,"box":{"x":72,"y":664,"width":123,"height":9}},{"id":"84bdd85d-69a5-4d69-a6f4-7a1dd3bb605f","block_type":"box","text":"Zero Coupon Securities","page_number":14,"box":{"x":73,"y":684,"width":154,"height":10}},{"id":"43b58346-f03e-46de-b903-10ea6f0f0a5f","block_type":"box","text":"Regulation Regarding Derivatives.","page_number":14,"box":{"x":102,"y":707,"width":246,"height":11}},{"id":"04b1782b-2c86-447d-a9db-9cf7b621cc04","block_type":"box","text":"The Commodity Futures Trading Commission (“CFTC”) subjects advisers to","page_number":14,"box":{"x":355,"y":707,"width":530,"height":12}},{"id":"a648d60b-26b1-4e23-902b-e6a45dbff8b7","block_type":"box","text":"registered investment companies to regulation by the CFTC if a fund that is advised by the investment adviser either","page_number":14,"box":{"x":69,"y":722,"width":828,"height":12}},{"id":"2dd7b121-0516-4b36-a1f1-5f52c2076ecc","block_type":"box","text":"(i) invests, directly or indirectly, more than a prescribed level of its liquidation value in CFTC-regulated futures, options","page_number":14,"box":{"x":69,"y":738,"width":837,"height":11}},{"id":"f4f74432-0fb6-48f5-b5cd-e93250f0fdfa","block_type":"box","text":"and swaps (“CFTC Derivatives”), or (ii) markets itself as providing investment exposure to such instruments.","page_number":14,"box":{"x":69,"y":753,"width":770,"height":11}},{"id":"c6c2b410-80f1-4249-9f16-0caaff20b93e","block_type":"box","text":"To the extent the Fund uses CFTC Derivatives, it intends to do so below such prescribed levels and will not","page_number":14,"box":{"x":101,"y":775,"width":760,"height":11}},{"id":"89e84965-e056-45b6-a0cd-7b8bdceac4bc","block_type":"box","text":"market itself as a “commodity pool” or a vehicle for trading such instruments. Accordingly, BlackRock has claimed an","page_number":14,"box":{"x":69,"y":790,"width":835,"height":12}},{"id":"b674036d-4d37-4334-9223-4ffcacec2c60","block_type":"box","text":"exclusion from the definition of the term “commodity pool operator” under the Commodity Exchange Act (“CEA”)","page_number":14,"box":{"x":69,"y":806,"width":796,"height":11}},{"id":"294cd1de-df8d-422c-af9b-91bbf7ca5d24","block_type":"box","text":"pursuant to Rule 4.5 under the CEA. BlackRock is not, therefore, subject to registration or regulation as a","page_number":14,"box":{"x":70,"y":821,"width":751,"height":11}},{"id":"489109cd-ee43-4d91-85f4-44c1c91b6a16","block_type":"box","text":"“commodity pool operator” under the CEA in respect of the Fund.","page_number":14,"box":{"x":70,"y":836,"width":461,"height":11}},{"id":"f7b81e1e-ffa9-486b-8dcf-97ae7e828633","block_type":"box","text":"I-5","page_number":14,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"0f179625-5172-407a-8f3c-dba631486737","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":14,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4d39c9ba-1e0b-4ddf-90bd-509d31e7b1cf","block_type":"box","text":"II. Investment Restrictions","page_number":15,"box":{"x":69,"y":45,"width":194,"height":9}},{"id":"ceed0282-ca38-4f8c-9cb2-756a8d120324","block_type":"box","text":"The Fund has adopted restrictions and policies relating to the investment of the Fund’s assets and its activities.","page_number":15,"box":{"x":101,"y":67,"width":800,"height":12}},{"id":"158c9907-6ef3-40a3-bec9-70f3cb14bfab","block_type":"box","text":"Certain of the investment restrictions are fundamental policies of the Fund and may not be changed without the","page_number":15,"box":{"x":69,"y":82,"width":797,"height":12}},{"id":"fac5191c-9112-4f19-b457-5de101a0be30","block_type":"box","text":"approval of the holders of a majority of the Fund’s outstanding voting securities (which for this purpose and under the","page_number":15,"box":{"x":69,"y":98,"width":837,"height":11}},{"id":"2ee201d8-1846-4e72-b945-5f536d68038f","block_type":"box","text":"Investment Company Act, means the lesser of (i) 67% of the shares represented at a meeting at which more than","page_number":15,"box":{"x":70,"y":113,"width":808,"height":11}},{"id":"a61ba8da-2183-4136-b94a-83a37cf2e707","block_type":"box","text":"50% of the outstanding shares are represented or (ii) more than 50% of the outstanding shares). The Fund has also","page_number":15,"box":{"x":69,"y":128,"width":826,"height":11}},{"id":"80bc2ff9-14cf-47e6-911b-22e743cd1268","block_type":"box","text":"adopted certain non-fundamental investment restrictions, which may be changed by the Board of Directors without","page_number":15,"box":{"x":69,"y":143,"width":815,"height":11}},{"id":"b2d6b992-2f91-4302-9163-3f1eed249422","block_type":"box","text":"shareholder approval. None of the following fundamental and non-fundamental investment restrictions shall prevent","page_number":15,"box":{"x":69,"y":158,"width":824,"height":11}},{"id":"3bc10ff2-7d6d-4bff-93ed-481efc507ca9","block_type":"box","text":"the Fund from investing all of its assets in shares of another registered investment company with the same","page_number":15,"box":{"x":68,"y":173,"width":766,"height":11}},{"id":"68e737af-127e-4cca-af75-85b5b5c69f97","block_type":"box","text":"investment objective and policies (in a master/feeder structure).","page_number":15,"box":{"x":70,"y":188,"width":458,"height":11}},{"id":"ad9de400-5a8a-4af3-8925-848478920011","block_type":"box","text":"Set forth below are the Fund’s fundamental and non-fundamental investment restrictions. Unless otherwise","page_number":15,"box":{"x":102,"y":211,"width":767,"height":9}},{"id":"16b36f30-032f-4c38-b7ff-4e039f839f1b","block_type":"box","text":"provided, all references below to the assets of the Fund are in terms of current market value.","page_number":15,"box":{"x":70,"y":226,"width":664,"height":11}},{"id":"b737ea12-d60d-4f3a-8b56-e59c22d891ce","block_type":"box","text":"Under its fundamental investment restrictions, the Fund may not:","page_number":15,"box":{"x":102,"y":249,"width":463,"height":11}},{"id":"dea8a0b5-6a91-45f2-b5eb-d73d705babba","block_type":"box","text":"(1) Invest more than 25% of its total assets, taken at market value at the time of each investment, in the","page_number":15,"box":{"x":134,"y":271,"width":750,"height":11}},{"id":"4694ec1e-ce83-448b-a7e1-045385ed4ded","block_type":"box","text":"securities of issuers in any particular industry (excluding the U.S. Government and its agencies and","page_number":15,"box":{"x":102,"y":286,"width":709,"height":12}},{"id":"65cf414d-5c48-4943-94f8-c008a8d45edf","block_type":"box","text":"instrumentalities).","page_number":15,"box":{"x":102,"y":302,"width":127,"height":11}},{"id":"0d8cdb38-0a28-4b39-95a3-68ec7d1c316a","block_type":"box","text":"(2) Make investments for the purpose of exercising control or management. Investments by the Fund in","page_number":15,"box":{"x":134,"y":324,"width":736,"height":12}},{"id":"8b8a772b-a806-4dc2-8023-9c0bac52cd80","block_type":"box","text":"wholly owned investment entities created under the laws of certain countries will not be deemed the making of","page_number":15,"box":{"x":101,"y":339,"width":791,"height":12}},{"id":"f32b11fc-47e6-4ec8-9567-8d26054e66ec","block_type":"box","text":"investments for the purpose of exercising control or management.","page_number":15,"box":{"x":102,"y":355,"width":469,"height":11}},{"id":"869bb972-4d36-4456-980c-bec40fe97d76","block_type":"box","text":"(3) Purchase or sell real estate, except that, to the extent permitted by applicable law, the Fund may invest","page_number":15,"box":{"x":134,"y":377,"width":762,"height":11}},{"id":"ad6440af-dd9d-4967-b84d-5d5d3c31a24a","block_type":"box","text":"in securities directly or indirectly secured by real estate or interests therein or issued by companies that invest in","page_number":15,"box":{"x":102,"y":393,"width":806,"height":11}},{"id":"f138a164-893b-4a34-9664-87e78759e492","block_type":"box","text":"real estate or interests therein.","page_number":15,"box":{"x":102,"y":408,"width":221,"height":8}},{"id":"b41e3677-0588-41a3-b4b9-9abacd235517","block_type":"box","text":"(4) Make loans to other persons, except that the acquisition of bonds, debentures or other corporate debt","page_number":15,"box":{"x":134,"y":430,"width":756,"height":11}},{"id":"43805250-1c06-43ce-993e-44fbe3a20b58","block_type":"box","text":"securities and investment in governmental obligations, commercial paper, pass-through instruments, certificates","page_number":15,"box":{"x":102,"y":445,"width":803,"height":12}},{"id":"741d56e7-06d1-4f7d-be1b-b45149ded655","block_type":"box","text":"of deposit, bankers’ acceptances, repurchase agreements, purchase and sale contracts or any similar","page_number":15,"box":{"x":102,"y":460,"width":730,"height":12}},{"id":"830cb6e3-a83e-42d0-8b97-705b486074a2","block_type":"box","text":"instruments shall not be deemed to be the making of a loan, and except further that the Fund may lend its","page_number":15,"box":{"x":102,"y":475,"width":760,"height":12}},{"id":"2c87bbe9-8596-4534-97c4-0259398c3a38","block_type":"box","text":"portfolio securities, provided that the lending of portfolio securities may be made only in accordance with","page_number":15,"box":{"x":102,"y":491,"width":749,"height":11}},{"id":"3c427cb4-7438-49e0-8bfc-29193ecf68ea","block_type":"box","text":"applicable law and the guidelines set forth in the Fund’s Prospectus and Statement of Additional Information, as","page_number":15,"box":{"x":102,"y":506,"width":802,"height":11}},{"id":"7175ea5d-45a8-450a-8e4c-50f7a9bb654e","block_type":"box","text":"they may be amended from time to time.","page_number":15,"box":{"x":101,"y":521,"width":289,"height":11}},{"id":"25e409a8-b209-4116-9999-a26ee6c70521","block_type":"box","text":"(5) Issue senior securities to the extent such issuance would violate applicable law.","page_number":15,"box":{"x":134,"y":544,"width":595,"height":11}},{"id":"dd476711-faa8-4c16-8f29-c0c00ba98339","block_type":"box","text":"(6) Borrow money, except that (i) the Fund may borrow from banks (as defined in the Investment Company","page_number":15,"box":{"x":134,"y":566,"width":756,"height":11}},{"id":"a83fdb8b-a4da-42ed-8312-6b8c4410c5fb","block_type":"box","text":"Act) in amounts up to 33","page_number":15,"box":{"x":101,"y":581,"width":177,"height":11}},{"id":"400b8728-f5fa-4f56-b18f-f042b8b308c4","block_type":"box","text":"1⁄","page_number":15,"box":{"x":280,"y":582,"width":5,"height":5}},{"id":"819e7e29-bd89-45d8-bd44-72d14956313d","block_type":"box","text":"1⁄3","page_number":15,"box":{"x":283,"y":582,"width":8,"height":8}},{"id":"64c166f1-d45a-4c96-807e-791d6b80a9e8","block_type":"box","text":"⁄3","page_number":15,"box":{"x":289,"y":585,"width":6,"height":5}},{"id":"ce65aacd-f3ec-428a-93ef-1f3f4f9911ea","block_type":"box","text":"% of its total assets (including the amount borrowed), (ii) the Fund may borrow up to","page_number":15,"box":{"x":295,"y":581,"width":600,"height":12}},{"id":"cdca8eb6-c27b-481a-9403-28190827a004","block_type":"box","text":"an additional 5% of its total assets for temporary purposes, (iii) the Fund may obtain such short-term credit as","page_number":15,"box":{"x":102,"y":596,"width":787,"height":12}},{"id":"e2553424-cbf8-43e9-b215-442b4c6fcd24","block_type":"box","text":"may be necessary for the clearance of purchases and sales of portfolio securities and (iv) the Fund may","page_number":15,"box":{"x":102,"y":612,"width":742,"height":11}},{"id":"6c5279dd-f971-420b-b7b9-a62bf81239d8","block_type":"box","text":"purchase securities on margin to the extent permitted by applicable law. The Fund may not pledge its assets","page_number":15,"box":{"x":102,"y":627,"width":773,"height":11}},{"id":"dd9a1de9-f63d-4cad-99a8-b7db87d6d4e9","block_type":"box","text":"other than to secure such borrowings or, to the extent permitted by the Fund’s investment policies as set forth in","page_number":15,"box":{"x":102,"y":642,"width":807,"height":11}},{"id":"49534fba-2664-48fe-96a0-1133a90e0b68","block_type":"box","text":"its Prospectus and Statement of Additional Information, as they may be amended from time to time, in","page_number":15,"box":{"x":102,"y":657,"width":731,"height":11}},{"id":"704c4fb9-ae7c-44b0-a28f-c04dc31d8fc7","block_type":"box","text":"connection with hedging transactions, short sales, when-issued and forward commitment transactions and","page_number":15,"box":{"x":101,"y":672,"width":761,"height":11}},{"id":"677cac1c-68e2-4b8e-8708-ea520f78f42d","block_type":"box","text":"similar investment strategies.","page_number":15,"box":{"x":102,"y":687,"width":209,"height":11}},{"id":"a03f35d5-1f99-4dd0-96bb-d2e56593fb0a","block_type":"box","text":"(7) Underwrite securities of other issuers except insofar as the Fund technically may be deemed an","page_number":15,"box":{"x":134,"y":710,"width":707,"height":11}},{"id":"1dbd9ef8-cd99-4703-8b9f-c0bf6b78a168","block_type":"box","text":"underwriter under the Securities Act of 1933, as amended (the “Securities Act”) in selling portfolio securities.","page_number":15,"box":{"x":102,"y":725,"width":783,"height":11}},{"id":"fb150723-f4c7-4156-8b14-a8ddb33cf110","block_type":"box","text":"(8) Purchase or sell commodities or contracts on commodities, except to the extent that the Fund may do so","page_number":15,"box":{"x":134,"y":748,"width":773,"height":11}},{"id":"761f550d-f8d2-4a0a-b8cc-bc56d5bba867","block_type":"box","text":"in accordance with applicable law and the Fund’s Prospectus and this Statement of Additional Information, as","page_number":15,"box":{"x":102,"y":763,"width":782,"height":11}},{"id":"a3fd91ed-721e-4410-9cc6-dabb96a57583","block_type":"box","text":"they may be amended from time to time, and without registering as a commodity pool operator under the","page_number":15,"box":{"x":101,"y":778,"width":748,"height":11}},{"id":"1cdbb5df-7050-4a53-b658-e31541660252","block_type":"box","text":"Commodity Exchange Act.","page_number":15,"box":{"x":102,"y":793,"width":181,"height":11}},{"id":"ab11889d-40bb-4754-8dc6-9328eb85d4ed","block_type":"box","text":"Under its non-fundamental investment restrictions, the Fund may not:","page_number":15,"box":{"x":135,"y":816,"width":492,"height":11}},{"id":"119596bc-d638-4783-b636-85d1b271c715","block_type":"box","text":"(a) Purchase securities of other investment companies, except to the extent permitted by the Investment","page_number":15,"box":{"x":134,"y":838,"width":747,"height":11}},{"id":"a005cefa-159c-4848-ba05-eec168e9f623","block_type":"box","text":"Company Act. As a matter of policy, however, the Fund will not purchase shares of any registered open-end","page_number":15,"box":{"x":102,"y":853,"width":759,"height":12}},{"id":"99a0853f-3661-4294-8c5c-e297251a5fe3","block_type":"box","text":"investment company or registered unit investment trust, in reliance on Section 12(d)(1)(F) or (G) (the “fund of","page_number":15,"box":{"x":102,"y":869,"width":779,"height":11}},{"id":"19e36268-bbf1-415c-b949-3657afd4b437","block_type":"box","text":"I-6","page_number":15,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"0550a3db-7955-4986-97db-a7ca8888b5d7","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":15,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"54d822b3-5dbb-4196-8002-090d3a1fcb31","block_type":"box","text":"funds” provisions) of the Investment Company Act, at any time the Fund has knowledge that its shares are","page_number":16,"box":{"x":101,"y":45,"width":761,"height":11}},{"id":"669e9644-8ff8-4ed4-a648-dc53fa7a393e","block_type":"box","text":"purchased by another investment company investor in reliance on the provisions of subparagraph (G) of Section","page_number":16,"box":{"x":102,"y":60,"width":795,"height":11}},{"id":"402077a8-bf79-4747-b180-c5f8f9efc60c","block_type":"box","text":"12(d)(1).","page_number":16,"box":{"x":102,"y":75,"width":60,"height":11}},{"id":"b36fc7fd-4749-47d0-8b79-bc099b52816b","block_type":"box","text":"(b) Make short sales of securities or maintain a short position, except to the extent permitted by the Fund’s","page_number":16,"box":{"x":134,"y":98,"width":770,"height":11}},{"id":"64f214ce-9601-4c55-837b-c9b43ea2b9fb","block_type":"box","text":"Prospectus and Statement of Additional Information, as amended from time to time, and applicable law.","page_number":16,"box":{"x":102,"y":113,"width":740,"height":11}},{"id":"320917ed-b274-4448-9696-8a8df748f77e","block_type":"box","text":"Except with respect to restriction (6) above or with respect to policies adopted pursuant to Rule 35d-1 under the","page_number":16,"box":{"x":102,"y":135,"width":799,"height":11}},{"id":"165550e9-65f7-49bb-8659-13d0c451a0d4","block_type":"box","text":"Investment Company Act, all limitations under the Fund’s fundamental or non-fundamental investment restrictions","page_number":16,"box":{"x":70,"y":150,"width":810,"height":12}},{"id":"1344b9d4-4867-4c1d-9424-a7636a7e996a","block_type":"box","text":"apply only at the time that a transaction is undertaken. Any change in the percentage of the Fund’s assets invested","page_number":16,"box":{"x":69,"y":166,"width":824,"height":11}},{"id":"e04961db-1ad7-48da-bff1-faee26376133","block_type":"box","text":"in certain securities or other instruments resulting from market fluctuations or other changes in the Fund’s total","page_number":16,"box":{"x":70,"y":181,"width":797,"height":11}},{"id":"1da3acf1-aa6c-44b6-b05f-a664616a3154","block_type":"box","text":"assets will not require the Fund to dispose of any investment until BlackRock determines that it is practicable to sell","page_number":16,"box":{"x":69,"y":196,"width":830,"height":11}},{"id":"3de7dfa3-9b26-49a2-a80f-6bdb457db5e2","block_type":"box","text":"or close out the investment without undue market or tax consequences.","page_number":16,"box":{"x":69,"y":211,"width":511,"height":11}},{"id":"ffc86245-8051-4a65-81fe-bf18af69d87d","block_type":"box","text":"For purposes of investment restriction (1), with respect to the Fund’s industry classifications, the Fund currently","page_number":16,"box":{"x":102,"y":234,"width":798,"height":11}},{"id":"42356c3e-ff50-4483-a571-a910960b2ddf","block_type":"box","text":"utilizes any one or more of the industry sub-classifications used by one or more widely recognized market indexes or","page_number":16,"box":{"x":69,"y":249,"width":829,"height":11}},{"id":"c4e75799-51b9-4713-9550-6bd564626480","block_type":"box","text":"rating group indexes, and/or as defined by Fund management. The policy also will be interpreted to give broad","page_number":16,"box":{"x":69,"y":264,"width":784,"height":11}},{"id":"c032298b-aeb9-4e3d-ae2b-b9089daaa91f","block_type":"box","text":"authority to the Fund as to how to classify issuers within or among industries.","page_number":16,"box":{"x":69,"y":279,"width":552,"height":11}},{"id":"99f11904-7ffc-4e4b-9ca6-564b8c6cf3d7","block_type":"box","text":"The Fund is currently classified as a diversified fund under the Investment Company Act. This means that the","page_number":16,"box":{"x":101,"y":302,"width":777,"height":11}},{"id":"3c7d12cd-414d-45d7-a55f-66e739f55280","block_type":"box","text":"Fund may not purchase securities of an issuer (other than (i) obligations issued or guaranteed by the U.S.","page_number":16,"box":{"x":70,"y":317,"width":751,"height":11}},{"id":"8bdc1a7b-dbf6-40c3-b57c-7e1c28c2c47b","block_type":"box","text":"government, its agencies or instrumentalities and (ii) securities of other investment companies) if, with respect to","page_number":16,"box":{"x":68,"y":332,"width":812,"height":11}},{"id":"8ea4c513-680c-4bcb-a4d1-58d3d457abc8","block_type":"box","text":"75% of its total assets, (a) more than 5% of the Fund’s total assets would be invested in securities of that issuer or","page_number":16,"box":{"x":69,"y":347,"width":827,"height":11}},{"id":"169f62de-6534-490f-9fe4-431f4558985c","block_type":"box","text":"(b) the Fund would hold more than 10% of the outstanding voting securities of that issuer. With respect to the","page_number":16,"box":{"x":69,"y":362,"width":781,"height":11}},{"id":"dd69ac38-104b-43b3-b1b3-79aaf7ad7585","block_type":"box","text":"remaining 25% of its total assets, the Fund can invest more than 5% of its assets in one issuer. Under the","page_number":16,"box":{"x":69,"y":377,"width":759,"height":12}},{"id":"9f15b042-b968-46b8-bd79-ebd7de0e87cd","block_type":"box","text":"Investment Company Act, the Fund cannot change its classification from diversified to non-diversified without","page_number":16,"box":{"x":70,"y":392,"width":774,"height":12}},{"id":"91449f7d-3904-45e1-8f11-5959a77e533c","block_type":"box","text":"shareholder approval.","page_number":16,"box":{"x":69,"y":408,"width":153,"height":10}},{"id":"f80f829a-2dd6-4532-93f5-1d380b9b3216","block_type":"box","text":"With respect to the fundamental policy relating to issuing senior securities above, the Investment Company Act,","page_number":16,"box":{"x":101,"y":430,"width":795,"height":11}},{"id":"2673edb2-5796-4877-ab0d-44f075a82c17","block_type":"box","text":"including the rules and regulations thereunder, generally prohibits the Fund from issuing senior securities (other than","page_number":16,"box":{"x":70,"y":445,"width":832,"height":12}},{"id":"fc9a1489-e50d-42f0-8407-6a3811087570","block_type":"box","text":"certain temporary borrowings) unless immediately after the issuance the Fund has satisfied an asset coverage","page_number":16,"box":{"x":69,"y":460,"width":790,"height":12}},{"id":"11beb5ca-d6bb-41de-9c86-dcc7957f9e7e","block_type":"box","text":"requirement with respect to senior securities representing indebtedness prescribed by the Investment Company Act.","page_number":16,"box":{"x":69,"y":476,"width":828,"height":11}},{"id":"4fcad460-f2cd-478f-9591-0962a9d5a663","block_type":"box","text":"Certain trading practices and investments, such as derivatives transactions, may be treated as senior securities.","page_number":16,"box":{"x":69,"y":491,"width":805,"height":11}},{"id":"1a6f0130-a2e2-47a3-b85b-a9d3821512f7","block_type":"box","text":"Prior to the adoption and implementation of Rule 18f-4 under the Investment Company Act, when the Fund engaged in","page_number":16,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"d0016e2d-8e30-45a0-b309-0cbd2bcb5456","block_type":"box","text":"a derivatives transaction that creates future payment obligations, consistent with SEC staff guidance and","page_number":16,"box":{"x":69,"y":521,"width":749,"height":11}},{"id":"5d828a90-29a8-4878-95a4-c81b681da7db","block_type":"box","text":"interpretations, the Fund was permitted to segregate or earmark liquid assets, or enter into an offsetting position, in","page_number":16,"box":{"x":70,"y":536,"width":830,"height":11}},{"id":"879dfd35-190e-41fe-95ea-4361d40d5718","block_type":"box","text":"an amount at least equal to the Fund’s exposure, on a mark-to-market basis, to the transaction, instead of meeting","page_number":16,"box":{"x":69,"y":551,"width":823,"height":11}},{"id":"02acb886-3fe7-4872-876c-2510d116cc64","block_type":"box","text":"the asset coverage requirement with respect to senior securities prescribed by the Investment Company Act. The SEC","page_number":16,"box":{"x":68,"y":566,"width":840,"height":11}},{"id":"ad32df06-675e-4d0c-be15-56a338c24a38","block_type":"box","text":"staff guidance and interpretations were rescinded in connection with the adoption of Rule 18f-4, and the Fund now","page_number":16,"box":{"x":69,"y":581,"width":817,"height":12}},{"id":"51897479-9119-46c8-bebd-2f80b4051479","block_type":"box","text":"complies with Rule 18f-4 with respect to its derivatives transactions. Thus, the fundamental policy relating to issuing","page_number":16,"box":{"x":69,"y":596,"width":831,"height":12}},{"id":"d67ea98d-e8cf-45b2-8cd8-72e9ee1c0468","block_type":"box","text":"senior securities above will not restrict the Fund from entering into derivatives transactions that are treated as senior","page_number":16,"box":{"x":69,"y":612,"width":836,"height":11}},{"id":"ed764973-d6be-49b4-b2bd-3390e581a08d","block_type":"box","text":"securities so long as the Fund complies with Rule 18f-4 with respect to such derivatives transactions.","page_number":16,"box":{"x":69,"y":627,"width":724,"height":11}},{"id":"58c62078-ae9c-4c72-9ccf-d46e098d849c","block_type":"box","text":"III. Information on Directors and Officers","page_number":16,"box":{"x":69,"y":657,"width":294,"height":9}},{"id":"3a7a4678-5c7f-4189-9101-4309e9b2a581","block_type":"box","text":"The Board consists of fifteen individuals (each, a “Director”), thirteen of whom are not “interested persons” of","page_number":16,"box":{"x":101,"y":680,"width":790,"height":11}},{"id":"30aad0b9-d65e-48db-9eaf-4df63f07cef2","block_type":"box","text":"the Fund as defined in the Investment Company Act (the “Independent Directors”). The registered investment","page_number":16,"box":{"x":68,"y":695,"width":780,"height":11}},{"id":"126708d6-2f3c-4ee0-b685-8f2e0c5c35f8","block_type":"box","text":"companies advised by the Manager or its affiliates (the “BlackRock-advised Funds”) are organized into the BlackRock","page_number":16,"box":{"x":69,"y":710,"width":837,"height":11}},{"id":"522d87b0-c326-4acf-a46b-cf0d462882be","block_type":"box","text":"Multi-Asset Complex, the BlackRock Fixed-Income Complex, and the iShares Complex (each, a “BlackRock Fund","page_number":16,"box":{"x":70,"y":725,"width":793,"height":11}},{"id":"d4c11015-4a58-4320-bce6-0354cecf9fe6","block_type":"box","text":"Complex”). The Fund is included in the BlackRock Fund Complex referred to as the BlackRock Multi-Asset Complex.","page_number":16,"box":{"x":69,"y":740,"width":820,"height":11}},{"id":"855bb704-2fc8-4b27-84ac-5419411cb758","block_type":"box","text":"The Directors also oversee as board members the operations of the other open-end registered investment companies","page_number":16,"box":{"x":68,"y":755,"width":839,"height":11}},{"id":"58656a55-b005-472f-8dcc-d8b66567605f","block_type":"box","text":"included in the BlackRock Multi-Asset Complex.","page_number":16,"box":{"x":70,"y":770,"width":335,"height":11}},{"id":"f6feff37-eeb4-4495-b64c-e38531a46e9b","block_type":"box","text":"The Board has overall responsibility for the oversight of the Fund. The Chair of the Board is an Independent","page_number":16,"box":{"x":101,"y":793,"width":764,"height":11}},{"id":"9cb94d38-2b3d-44c4-a087-a9863b7d9551","block_type":"box","text":"Director, and the Chair of each Board committee (each, a “Committee”) is an Independent Director. The Board has","page_number":16,"box":{"x":70,"y":808,"width":815,"height":11}},{"id":"e6dd0298-a208-4c00-8ccf-e58f128e74cc","block_type":"box","text":"five standing Committees: an Audit Committee, a Governance and Nominating Committee, a Compliance Committee,","page_number":16,"box":{"x":68,"y":823,"width":832,"height":12}},{"id":"96e1a73d-f1af-4e29-85da-509bfcd114b8","block_type":"box","text":"a Performance Oversight Committee and an Ad Hoc Topics Committee. The role of the Chair of the Board is to","page_number":16,"box":{"x":69,"y":838,"width":784,"height":12}},{"id":"b984f41f-8e51-4469-b80d-e55fcfae6b0e","block_type":"box","text":"preside at all meetings of the Board and to act as a liaison with service providers, officers, attorneys and other","page_number":16,"box":{"x":70,"y":853,"width":793,"height":12}},{"id":"f31be6e9-2db1-4239-a6eb-654b153dd756","block_type":"box","text":"Directors generally between meetings. The Chair of each Committee performs a similar role with respect to the","page_number":16,"box":{"x":70,"y":869,"width":790,"height":11}},{"id":"4e6bf524-446b-4db9-8e73-ef0178a9b1d4","block_type":"box","text":"Committee. The Chair of the Board or the Chair of a Committee may also perform such other functions as may be","page_number":16,"box":{"x":69,"y":884,"width":810,"height":11}},{"id":"517b1bc0-85a2-4636-9c84-58d5b7cec790","block_type":"box","text":"delegated by the Board or the Committee from time to time. The Independent Directors meet regularly outside the","page_number":16,"box":{"x":69,"y":899,"width":811,"height":11}},{"id":"edc00d8c-9a53-42a8-8001-9de2ccf8181b","block_type":"box","text":"I-7","page_number":16,"box":{"x":481,"y":943,"width":16,"height":9}},{"id":"a4d64cb1-f476-40d7-b7c9-846368c3c496","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":16,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"05f29004-59af-4755-a2a5-19bec602d7dc","block_type":"box","text":"presence of Fund management, in executive session or with other service providers to the Fund. The Board has","page_number":17,"box":{"x":70,"y":45,"width":794,"height":11}},{"id":"8323c194-a3b2-49b2-9a7a-519090de08c5","block_type":"box","text":"regular meetings five times a year, and may hold special meetings if required before its next regular meeting. Each","page_number":17,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"f598503b-9f96-4b3f-b022-5006ca326855","block_type":"box","text":"Committee meets regularly to conduct the oversight functions delegated to that Committee by the Board and reports","page_number":17,"box":{"x":69,"y":75,"width":831,"height":11}},{"id":"8292efe9-dc88-494d-a64e-4a8a240fec24","block_type":"box","text":"its findings to the Board. The Board and each standing Committee conduct annual assessments of their oversight","page_number":17,"box":{"x":70,"y":90,"width":811,"height":11}},{"id":"bd17716e-fe67-4101-a356-d552719538d1","block_type":"box","text":"function and structure. The Board has determined that the Board’s leadership structure is appropriate because it","page_number":17,"box":{"x":68,"y":105,"width":809,"height":11}},{"id":"c9e8dea9-cb37-490e-ac90-41a1883b6f70","block_type":"box","text":"allows the Board to exercise independent judgment over management and to allocate areas of responsibility among","page_number":17,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"c95cddc5-45d5-478d-8663-dba0e5cbfe39","block_type":"box","text":"Committees and the full Board to enhance effective oversight.","page_number":17,"box":{"x":69,"y":135,"width":441,"height":12}},{"id":"04d78820-d70b-4cc9-93eb-fde00760e58b","block_type":"box","text":"The Board has engaged the Manager to manage the Fund on a day-to-day basis. The Board is responsible for","page_number":17,"box":{"x":101,"y":158,"width":777,"height":11}},{"id":"c9f0ff78-fa63-463a-8cf6-968e2629483a","block_type":"box","text":"overseeing the Manager, other service providers, the operations of the Fund and associated risks in accordance with","page_number":17,"box":{"x":69,"y":173,"width":832,"height":11}},{"id":"16c63f7c-d8f4-4dc9-9dd1-8060197741c3","block_type":"box","text":"the provisions of the Investment Company Act, state law, other applicable laws, the Fund’s charter, and the Fund’s","page_number":17,"box":{"x":68,"y":188,"width":819,"height":11}},{"id":"4d41fced-5c1c-4d98-9806-aa671a08c7ba","block_type":"box","text":"investment objective and strategies. The Board reviews, on an ongoing basis, the Fund’s performance, operations","page_number":17,"box":{"x":70,"y":203,"width":812,"height":12}},{"id":"26b497f4-d9cc-4142-bfa4-2be8970473f9","block_type":"box","text":"and investment strategies and techniques. The Board also conducts reviews of the Manager and its role in running","page_number":17,"box":{"x":69,"y":218,"width":819,"height":12}},{"id":"3692286d-2b94-4fda-b353-151ea9a3df46","block_type":"box","text":"the operations of the Fund.","page_number":17,"box":{"x":68,"y":234,"width":192,"height":11}},{"id":"a83af825-ebc3-4e68-b021-d3818fc7915f","block_type":"box","text":"Day-to-day risk management with respect to the Fund is the responsibility of the Manager or of sub-advisers or","page_number":17,"box":{"x":102,"y":256,"width":785,"height":12}},{"id":"d4332cde-15a7-4ad6-a8b1-8b3045d1d544","block_type":"box","text":"other service providers (depending on the nature of the risk), subject to the supervision of the Manager. The Fund is","page_number":17,"box":{"x":69,"y":271,"width":828,"height":12}},{"id":"6a7e213a-576e-45cf-b229-0f72eeb7195f","block_type":"box","text":"subject to a number of risks, including investment, compliance, operational and valuation risks, among others. While","page_number":17,"box":{"x":69,"y":286,"width":832,"height":12}},{"id":"f03849fe-e13b-4cb3-a221-4996dc0c5ef0","block_type":"box","text":"there are a number of risk management functions performed by the Manager and the sub-advisers or other service","page_number":17,"box":{"x":68,"y":302,"width":820,"height":11}},{"id":"860dfad6-e9e5-4fd1-a1a7-ac43bedd6119","block_type":"box","text":"providers, as applicable, it is not possible to eliminate all of the risks applicable to the Fund. Risk oversight forms","page_number":17,"box":{"x":70,"y":317,"width":811,"height":11}},{"id":"d714d34b-9e74-4e0d-93eb-af154f5754a0","block_type":"box","text":"part of the Board’s general oversight of the Fund and is addressed as part of various Board and Committee","page_number":17,"box":{"x":70,"y":332,"width":767,"height":11}},{"id":"bf22ae8a-5b61-456a-8475-6b5f6c8dce10","block_type":"box","text":"activities. The Board, directly or through a Committee, also reviews reports from, among others, management, the","page_number":17,"box":{"x":69,"y":347,"width":815,"height":11}},{"id":"c2fb9732-04c2-4c73-bc39-f5f0c040c93e","block_type":"box","text":"independent registered public accounting firm for the Fund, sub-advisers and internal auditors for the investment","page_number":17,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"69df4036-b320-4f83-b807-8f765b97a902","block_type":"box","text":"adviser or its affiliates, as appropriate, regarding risks faced by the Fund and management’s or the service provider’s","page_number":17,"box":{"x":69,"y":377,"width":840,"height":12}},{"id":"b2ac1a0f-51e3-4b21-88a5-0ab7e45c833c","block_type":"box","text":"risk functions. The Committee system facilitates the timely and efficient consideration of matters by the Directors,","page_number":17,"box":{"x":69,"y":392,"width":814,"height":12}},{"id":"a3bdec58-76db-4044-8dbc-c2f0efe57e9f","block_type":"box","text":"and facilitates effective oversight of compliance with legal and regulatory requirements and of the Fund’s activities","page_number":17,"box":{"x":69,"y":407,"width":817,"height":12}},{"id":"93667204-eba2-4691-becb-07aa3e670c1f","block_type":"box","text":"and associated risks. The Board has appointed a Chief Compliance Officer, who oversees the implementation and","page_number":17,"box":{"x":69,"y":423,"width":812,"height":11}},{"id":"5bb2d01b-ed49-4061-9593-fa45850fe721","block_type":"box","text":"testing of the Fund’s compliance program and reports to the Board regarding compliance matters for the Fund and its","page_number":17,"box":{"x":68,"y":438,"width":840,"height":11}},{"id":"d0771093-2656-4a59-af58-e7e3dc1bf7f5","block_type":"box","text":"service providers. The Independent Directors have engaged independent legal counsel to assist them in performing","page_number":17,"box":{"x":69,"y":453,"width":824,"height":11}},{"id":"3ee2f15b-8b5b-4a7c-9910-f84e382abcdc","block_type":"box","text":"their oversight responsibilities.","page_number":17,"box":{"x":68,"y":468,"width":218,"height":11}},{"id":"752acbfc-d7c7-4665-a7e7-1198ed18e9ff","block_type":"box","text":"Audit Committee.","page_number":17,"box":{"x":101,"y":491,"width":122,"height":9}},{"id":"175eb2f3-f069-43cf-9e98-647c2f889c4c","block_type":"box","text":"The members of the Audit Committee (the “Audit Committee”) are Henry R. Keizer (Chair), Neil","page_number":17,"box":{"x":229,"y":491,"width":673,"height":11}},{"id":"1ccd2cab-91df-456e-9d38-560b569fa8ee","block_type":"box","text":"A. Cotty, Jeffrey Jarczyk, Lori Richards, Kenneth L. Urish and Claire A. Walton, all of whom are Independent Directors.","page_number":17,"box":{"x":68,"y":506,"width":834,"height":11}},{"id":"42ef579b-690b-4dcd-ba04-2e034b1d29b5","block_type":"box","text":"The principal responsibilities of the Audit Committee are to approve, and recommend to the full Board for approval,","page_number":17,"box":{"x":68,"y":521,"width":820,"height":11}},{"id":"17eb4925-2dd6-4408-9221-e3082e292a7f","block_type":"box","text":"the selection, retention, termination and compensation of the Fund’s independent registered public accounting firm","page_number":17,"box":{"x":68,"y":536,"width":823,"height":11}},{"id":"671ed91c-9bc7-483f-b374-e41d54885ed3","block_type":"box","text":"(the “Independent Registered Public Accounting Firm”) and to oversee the Independent Registered Public Accounting","page_number":17,"box":{"x":69,"y":551,"width":830,"height":11}},{"id":"0306a6fb-3a9d-4577-99fd-1a37d6683f40","block_type":"box","text":"Firm’s work. The Audit Committee’s responsibilities include, without limitation, to (1) evaluate the qualifications and","page_number":17,"box":{"x":70,"y":566,"width":825,"height":11}},{"id":"d96317cd-97d9-4720-94e7-20d767874e95","block_type":"box","text":"independence of the Independent Registered Public Accounting Firm; (2) approve all audit engagement terms and","page_number":17,"box":{"x":70,"y":581,"width":807,"height":12}},{"id":"3fd34b25-ae9a-473d-bc27-448a01fe9608","block_type":"box","text":"fees for the Fund; (3) review the conduct and results of each independent audit of the Fund’s annual financial","page_number":17,"box":{"x":68,"y":596,"width":781,"height":11}},{"id":"d4aa1a93-444e-47ba-8965-c623c8daf3d2","block_type":"box","text":"statements; (4) review any issues raised by the Independent Registered Public Accounting Firm or Fund management","page_number":17,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"a2607b15-c904-46d7-b653-979ef601f580","block_type":"box","text":"regarding the accounting or financial reporting policies and practices of the Fund and the internal controls of the Fund","page_number":17,"box":{"x":69,"y":627,"width":838,"height":11}},{"id":"8b010422-d9bd-443d-a49d-4c41bd2b7f8d","block_type":"box","text":"and certain service providers; (5) oversee the performance of the Fund’s Independent Registered Public Accounting","page_number":17,"box":{"x":69,"y":642,"width":825,"height":11}},{"id":"a000b97d-25bc-469e-8765-256535c6777e","block_type":"box","text":"Firm; (6) review and discuss with management and the Fund’s Independent Registered Public Accounting Firm the","page_number":17,"box":{"x":70,"y":657,"width":809,"height":11}},{"id":"12cfea11-ee16-4e3a-a39a-8290791634c0","block_type":"box","text":"performance and findings of the Fund’s internal auditors; (7) discuss with Fund management its policies regarding","page_number":17,"box":{"x":70,"y":672,"width":815,"height":11}},{"id":"cf63f37d-6dbf-4acd-82a8-fd0cb3d11a46","block_type":"box","text":"risk assessment and risk management as such matters relate to the Fund’s financial reporting and controls;","page_number":17,"box":{"x":69,"y":687,"width":774,"height":11}},{"id":"9c169734-2f49-4bb1-a230-24922f4b11db","block_type":"box","text":"(8) resolve any disagreements between Fund management and the Independent Registered Public Accounting Firm","page_number":17,"box":{"x":69,"y":702,"width":815,"height":12}},{"id":"08752415-f867-434e-a0db-93cc0f06436e","block_type":"box","text":"regarding financial reporting; and (9) undertake such other duties and responsibilities as may from time to time be","page_number":17,"box":{"x":69,"y":717,"width":819,"height":12}},{"id":"bdc1121a-83aa-41b2-b7c4-efa87b065df8","block_type":"box","text":"delegated by the Board to the Audit Committee. The Board has adopted a written charter for the Audit Committee.","page_number":17,"box":{"x":69,"y":732,"width":812,"height":12}},{"id":"5877ddca-2e10-4aed-a097-b110c88519de","block_type":"box","text":"During the fiscal year ended May 31, 2026, the Audit Committee met four times.","page_number":17,"box":{"x":70,"y":748,"width":574,"height":11}},{"id":"e1b4b93e-2cae-43a7-b930-c88a5b2013f2","block_type":"box","text":"Governance and Nominating Committee.","page_number":17,"box":{"x":102,"y":770,"width":286,"height":12}},{"id":"fc02cdf9-783e-4965-bb55-b4ccd81be2a7","block_type":"box","text":"The members of the Governance and Nominating Committee (the","page_number":17,"box":{"x":394,"y":770,"width":464,"height":12}},{"id":"c8d291a0-c3d0-46bb-8d9e-ebf874341b32","block_type":"box","text":"“Governance Committee”) are Cynthia A. Montgomery (Chair), Christopher J. Ailman, Susan J. Carter, Collette Chilton,","page_number":17,"box":{"x":70,"y":786,"width":838,"height":11}},{"id":"a0b51413-2906-403c-b1f6-4df142fc9c06","block_type":"box","text":"Henry R. Keizer and Marc D. Stern, all of whom are Independent Directors. The principal responsibilities of the","page_number":17,"box":{"x":70,"y":801,"width":786,"height":11}},{"id":"63d30687-a256-4f62-9703-3734c1ccacbd","block_type":"box","text":"Governance Committee are to (1) identify individuals qualified to serve as Independent Directors of the Fund and","page_number":17,"box":{"x":69,"y":816,"width":804,"height":11}},{"id":"8475af14-ee5a-4577-b86c-4310563457e2","block_type":"box","text":"recommend Independent Director nominees for election by shareholders or appointment by the Board; (2) advise the","page_number":17,"box":{"x":69,"y":831,"width":831,"height":11}},{"id":"66e70393-d9a8-498b-a524-e9878cda5a40","block_type":"box","text":"Board with respect to Board composition, procedures and committees (other than the Audit Committee); (3) oversee","page_number":17,"box":{"x":70,"y":846,"width":828,"height":11}},{"id":"028c60d4-9d76-4233-ab3c-5a3ebf35db07","block_type":"box","text":"periodic self-assessments of the Board and committees of the Board (other than the Audit Committee); (4) review","page_number":17,"box":{"x":70,"y":861,"width":809,"height":11}},{"id":"8452d0e0-11d5-46ce-90f8-72fe7ed5a329","block_type":"box","text":"and make recommendations regarding Independent Director compensation; (5) monitor corporate governance","page_number":17,"box":{"x":69,"y":876,"width":780,"height":11}},{"id":"420e5b05-7eb2-4da4-82e5-cc5e3d01e904","block_type":"box","text":"matters and develop appropriate recommendations to the Board; (6) act as the administrative committee with","page_number":17,"box":{"x":69,"y":891,"width":782,"height":11}},{"id":"d5989856-536f-4ebc-b9c1-7ad23fcf35a8","block_type":"box","text":"respect to Board policies and procedures, committee policies and procedures (other than the Audit Committee) and","page_number":17,"box":{"x":69,"y":906,"width":824,"height":11}},{"id":"2f9e0aad-2b8c-47ed-a3df-4a116a67b0ea","block_type":"box","text":"I-8","page_number":17,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"bebcee12-da02-439b-9ad6-82e478e6c932","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":17,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"706820fe-8bb3-451f-8746-ae32521861fd","block_type":"box","text":"codes of ethics as they relate to Independent Directors; and (7) undertake such other duties and responsibilities as","page_number":18,"box":{"x":69,"y":45,"width":827,"height":11}},{"id":"fe95d463-0567-4b7e-b9dc-f458679380e9","block_type":"box","text":"may from time to time be delegated by the Board to the Governance Committee. The Governance Committee may","page_number":18,"box":{"x":69,"y":60,"width":809,"height":11}},{"id":"7505a70c-2258-4ce6-9027-872d2110ab5e","block_type":"box","text":"consider nominations for Directors made by the Fund’s shareholders as it deems appropriate. Under the Fund’s","page_number":18,"box":{"x":69,"y":75,"width":796,"height":11}},{"id":"1e656a4b-2412-4bd2-8fd3-a23d3300a549","block_type":"box","text":"Amended and Restated Bylaws (“Bylaws”), shareholders must follow certain procedures to nominate a person for","page_number":18,"box":{"x":68,"y":90,"width":811,"height":11}},{"id":"8165fd85-76b3-4722-bcf4-446e7a56cf73","block_type":"box","text":"election as a Director at a shareholder meeting at which Directors are to be elected. Under these advance notice","page_number":18,"box":{"x":69,"y":105,"width":804,"height":11}},{"id":"512003eb-9f90-45fa-a704-792f7fd8ade1","block_type":"box","text":"procedures, notice of the proposed nominee to the Secretary of the Fund must be delivered to or mailed and received","page_number":18,"box":{"x":70,"y":120,"width":839,"height":11}},{"id":"c5ae6b33-bc88-45c0-b622-33dcaf1ed323","block_type":"box","text":"at the principal executive offices of the Fund not later than the close of business on the fifth day following the day on","page_number":18,"box":{"x":69,"y":135,"width":833,"height":12}},{"id":"73e2a379-43ec-4559-87a0-514a8d743645","block_type":"box","text":"which notice of the date of the meeting was mailed or public disclosure of the date of the meeting was made,","page_number":18,"box":{"x":68,"y":150,"width":781,"height":12}},{"id":"de2bef83-7898-4666-a653-6d2d33b1b7f8","block_type":"box","text":"whichever first occurs. The Fund’s Bylaws provide that notice of a proposed nomination must include certain","page_number":18,"box":{"x":68,"y":166,"width":773,"height":11}},{"id":"6f90b139-f913-447e-a5d2-f0dd83e813fb","block_type":"box","text":"information about the shareholder and the nominee, as well as certain other information, including a written consent","page_number":18,"box":{"x":70,"y":181,"width":832,"height":11}},{"id":"e214c373-1830-407f-ab84-daf133bc98f1","block_type":"box","text":"of the proposed nominee to serve if elected. Reference is made to the Fund’s Bylaws for more details. The Board","page_number":18,"box":{"x":69,"y":196,"width":809,"height":11}},{"id":"cd8ee4f1-5558-455b-9732-2a6825aeaf74","block_type":"box","text":"has adopted a written charter for the Governance Committee. During the fiscal year ended May 31, 2026, the","page_number":18,"box":{"x":69,"y":211,"width":783,"height":11}},{"id":"e5740e1f-bc29-4169-ac2a-f3ec341ee3a9","block_type":"box","text":"Governance Committee met ten times.","page_number":18,"box":{"x":69,"y":226,"width":274,"height":9}},{"id":"aa4fea43-7bd1-466d-a32d-f6b13d5c2013","block_type":"box","text":"Compliance Committee.","page_number":18,"box":{"x":102,"y":249,"width":168,"height":11}},{"id":"52015bc0-4377-4a75-b2e8-ca78f3883829","block_type":"box","text":"The members of the Compliance Committee (the “Compliance Committee”) are Claire A.","page_number":18,"box":{"x":276,"y":249,"width":629,"height":11}},{"id":"24d1ca9f-b4ce-4caa-b227-2beeb7d31d2f","block_type":"box","text":"Walton (Chair), Jeffrey Jarczyk, Cynthia A. Montgomery, Donald C. Opatrny, Lori Richards and Kenneth L. Urish, all of","page_number":18,"box":{"x":68,"y":264,"width":828,"height":11}},{"id":"5f0390bd-55d8-4ce7-8ac5-99ce8676ae45","block_type":"box","text":"whom are Independent Directors. The Compliance Committee’s purpose is to assist the Board in fulfilling its","page_number":18,"box":{"x":68,"y":279,"width":773,"height":11}},{"id":"c641741e-0e32-4ee9-a647-7a901ca12863","block_type":"box","text":"responsibility to oversee regulatory and fiduciary compliance matters involving the Fund, the fund-related activities of","page_number":18,"box":{"x":69,"y":294,"width":834,"height":11}},{"id":"daaf6091-1dc4-4e3a-baf5-46d5e0a6d9ab","block_type":"box","text":"BlackRock and any sub-adviser and the Fund’s third-party service providers. The Compliance Committee’s","page_number":18,"box":{"x":70,"y":309,"width":753,"height":11}},{"id":"0d0ace5d-439c-49e7-a181-941039df86d8","block_type":"box","text":"responsibilities include, without limitation, to (1) oversee the compliance policies and procedures of the Fund and its","page_number":18,"box":{"x":69,"y":324,"width":832,"height":11}},{"id":"c825dc85-4b85-4fe7-b5d6-c292c5623e80","block_type":"box","text":"service providers and recommend changes or additions to such policies and procedures; (2) review information on","page_number":18,"box":{"x":69,"y":339,"width":815,"height":12}},{"id":"b1e4a2da-f8be-4377-9cca-4b2e41bb1fd8","block_type":"box","text":"and, where appropriate, recommend policies concerning the Fund’s compliance with applicable law; (3) review","page_number":18,"box":{"x":69,"y":355,"width":784,"height":11}},{"id":"cb9f14bb-0a54-4bb2-864c-0bd6d7669d0f","block_type":"box","text":"reports from, oversee the annual performance review of, and make certain recommendations and determinations","page_number":18,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"74a370a0-5e60-4a5a-8a90-f89ae9403918","block_type":"box","text":"regarding the Fund’s Chief Compliance Officer (the “CCO”), including determining the amount and structure of the","page_number":18,"box":{"x":69,"y":385,"width":811,"height":11}},{"id":"4e84ed4c-f243-4efe-ac2e-a4bd9b0d33cc","block_type":"box","text":"CCO’s compensation and recommending such amount and structure to the full Board for approval and ratification;","page_number":18,"box":{"x":69,"y":400,"width":812,"height":11}},{"id":"bd5fb54f-bc23-421e-91c5-b463a850ef0b","block_type":"box","text":"and (4) undertake such other duties and responsibilities as may from time to time be delegated by the Board to the","page_number":18,"box":{"x":69,"y":415,"width":825,"height":11}},{"id":"21220657-a5bb-4d23-9b85-3e12bd2e0038","block_type":"box","text":"Compliance Committee. The Board has adopted a written charter for the Compliance Committee. During the fiscal","page_number":18,"box":{"x":69,"y":430,"width":811,"height":11}},{"id":"f464eda7-b30d-44dd-a4fd-ffadc186b4a1","block_type":"box","text":"year ended May 31, 2026, the Compliance Committee met four times.","page_number":18,"box":{"x":68,"y":445,"width":502,"height":11}},{"id":"be257cc3-921a-4377-8e09-82d8e7f7c06a","block_type":"box","text":"Per formance Oversight Committee.","page_number":18,"box":{"x":102,"y":468,"width":248,"height":11}},{"id":"1b70b035-59d5-41de-bf63-0a29a21f7e80","block_type":"box","text":"The members of the Performance Oversight Committee (the “Performance","page_number":18,"box":{"x":356,"y":468,"width":531,"height":11}},{"id":"50af69a0-c2ce-4e99-a457-e877ec5c60c7","block_type":"box","text":"Oversight Committee”) are Donald C. Opatrny (Chair), Christopher J. Ailman, Susan J. Carter, Collette Chilton, Neil A.","page_number":18,"box":{"x":69,"y":483,"width":829,"height":11}},{"id":"2bfe324f-5ef3-4391-8289-9f02a1515bae","block_type":"box","text":"Cotty and Marc D. Stern, all of whom are Independent Directors. The Performance Oversight Committee’s purpose is","page_number":18,"box":{"x":69,"y":498,"width":832,"height":11}},{"id":"19d9fc00-73dc-453f-a6d9-c0c3da32a326","block_type":"box","text":"to assist the Board in fulfilling its responsibility to oversee the Fund’s investment performance relative to its agreed","page_number":18,"box":{"x":68,"y":513,"width":832,"height":12}},{"id":"762b55f8-3de9-4974-893d-61b19c5273c0","block_type":"box","text":"upon performance objectives and to assist the Independent Directors in their consideration of investment advisory","page_number":18,"box":{"x":69,"y":528,"width":818,"height":12}},{"id":"40994718-94f7-4a09-8f9e-8c3643843e0c","block_type":"box","text":"agreements. The Performance Oversight Committee’s responsibilities include, without limitation, to (1) review","page_number":18,"box":{"x":69,"y":543,"width":782,"height":12}},{"id":"9a6d2ed1-8635-4387-80bf-f14810761867","block_type":"box","text":"information on, and make recommendations to the full Board in respect of, the Fund’s investment objective, policies","page_number":18,"box":{"x":70,"y":559,"width":829,"height":11}},{"id":"15db2efb-8982-4b52-b212-68ab23436bd2","block_type":"box","text":"and practices; (2) review information on the Fund’s investment performance; (3) review information on appropriate","page_number":18,"box":{"x":69,"y":574,"width":816,"height":11}},{"id":"27d3cd96-4c24-4fee-98ec-1f7f16be86ed","block_type":"box","text":"benchmarks and competitive universes and unusual or exceptional investment matters; (4) review personnel and","page_number":18,"box":{"x":69,"y":589,"width":803,"height":11}},{"id":"87aea553-5901-4e16-8784-2fc346e222b6","block_type":"box","text":"other resources devoted to management of the Fund and evaluate the nature and quality of information furnished to","page_number":18,"box":{"x":69,"y":604,"width":827,"height":11}},{"id":"0eea7641-adab-412d-8504-f7ac0217469d","block_type":"box","text":"the Performance Oversight Committee; (5) recommend any required action regarding changes in fundamental and","page_number":18,"box":{"x":68,"y":619,"width":811,"height":11}},{"id":"23cdefad-3389-488d-952a-89d9d522fa5b","block_type":"box","text":"non-fundamental investment policies and restrictions, fund mergers or liquidations; (6) request and review","page_number":18,"box":{"x":69,"y":634,"width":757,"height":12}},{"id":"8929af90-e41c-46bb-b84e-f44dda2bbc63","block_type":"box","text":"information on the nature, extent and quality of services provided to the shareholders; (7) make recommendations to","page_number":18,"box":{"x":70,"y":649,"width":835,"height":12}},{"id":"c8db3621-d0f8-4718-aead-b1838f2dd486","block_type":"box","text":"the Board concerning the approval or renewal of investment advisory agreements; and (8) undertake such other","page_number":18,"box":{"x":68,"y":664,"width":800,"height":12}},{"id":"f7996917-a23b-48b9-83c0-f2fbdb0c18b6","block_type":"box","text":"duties and responsibilities as may from time to time be delegated by the Board to the Performance Oversight","page_number":18,"box":{"x":69,"y":680,"width":780,"height":11}},{"id":"253e5f18-8c8f-4aa0-b92d-2ea62146fe50","block_type":"box","text":"Committee. The Board has adopted a written charter for the Performance Oversight Committee. During the fiscal year","page_number":18,"box":{"x":69,"y":695,"width":838,"height":11}},{"id":"d87654fc-3488-47ca-a506-959908812e7c","block_type":"box","text":"ended May 31, 2026, the Performance Oversight Committee met five times.","page_number":18,"box":{"x":69,"y":710,"width":544,"height":11}},{"id":"2c264d9b-f9f6-419b-8eb6-8e86e27bc2b0","block_type":"box","text":"Ad Hoc Topics Committee.","page_number":18,"box":{"x":101,"y":733,"width":186,"height":10}},{"id":"3798b5a7-ccfa-4dfe-b31f-63baa2e05048","block_type":"box","text":"The members of the Ad Hoc Topics Committee (the “Ad Hoc Topics Committee”) are","page_number":18,"box":{"x":293,"y":732,"width":598,"height":12}},{"id":"69502f35-6cfb-4332-9008-2c5abd899aaf","block_type":"box","text":"Mark Stalnecker (Chair) and Claire A. Walton, both of whom are Independent Directors, and John M. Perlowski, who","page_number":18,"box":{"x":70,"y":748,"width":819,"height":11}},{"id":"535e9fce-4f27-4209-9f63-3d747a68f46f","block_type":"box","text":"serves as an interested Director. The principal responsibilities of the Ad Hoc Topics Committee are to (1) act on","page_number":18,"box":{"x":69,"y":763,"width":796,"height":11}},{"id":"c98a9330-f472-4ecc-afc2-fd21600a0bab","block_type":"box","text":"routine matters between meetings of the Board; (2) act on such matters as may require urgent action between","page_number":18,"box":{"x":69,"y":778,"width":788,"height":11}},{"id":"91f00492-af90-48d7-8d32-b58815915000","block_type":"box","text":"meetings of the Board; and (3) exercise such other authority as may from time to time be delegated to the Ad Hoc","page_number":18,"box":{"x":69,"y":793,"width":813,"height":11}},{"id":"5eddb4f5-5a7c-4932-a3a2-95d96126afff","block_type":"box","text":"Topics Committee by the Board. The Board has adopted a written charter for the Ad Hoc Topics Committee. During","page_number":18,"box":{"x":68,"y":808,"width":816,"height":11}},{"id":"79902ac2-978a-426c-9223-c6b81aaa711e","block_type":"box","text":"the fiscal year ended May 31, 2026, the Ad Hoc Topics Committee did not meet.","page_number":18,"box":{"x":68,"y":823,"width":575,"height":11}},{"id":"722ae4e6-9ccd-4b81-b04a-e7b68413de85","block_type":"box","text":"The Governance Committee has adopted a statement of policy that describes the experience, qualifications,","page_number":18,"box":{"x":101,"y":846,"width":771,"height":11}},{"id":"85bfb7b6-690e-475e-ad66-8637e0d4c8de","block_type":"box","text":"skills and attributes that are necessary and desirable for potential Independent Director candidates (the “Statement","page_number":18,"box":{"x":69,"y":861,"width":830,"height":11}},{"id":"8e930063-6d05-4368-85d1-3a4202c51747","block_type":"box","text":"of Policy”). The Board believes that each Independent Director satisfied, at the time he or she was initially elected or","page_number":18,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"f24bad60-d132-486c-baf7-cd3609bba46e","block_type":"box","text":"appointed a Director, and continues to satisfy, the standards contemplated by the Statement of Policy. Furthermore,","page_number":18,"box":{"x":69,"y":891,"width":827,"height":11}},{"id":"125df9eb-c5db-4dec-9c52-d0fe216a2c63","block_type":"box","text":"in determining that a particular Independent Director was and continues to be qualified to serve as a Director, the","page_number":18,"box":{"x":70,"y":906,"width":811,"height":12}},{"id":"bd1b23de-454a-4d8c-8618-cb0cec808d08","block_type":"box","text":"I-9","page_number":18,"box":{"x":481,"y":943,"width":17,"height":9}},{"id":"74106765-03a2-445b-a56b-4baadbea60b8","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":18,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9d0a7be6-da2f-4bcb-a435-e20b24149394","block_type":"box","text":"Board has considered a variety of criteria, none of which, in isolation, was controlling. The Board believes that,","page_number":19,"box":{"x":70,"y":45,"width":787,"height":11}},{"id":"d04b23b3-3cdb-49e8-9361-b0108c520f1a","block_type":"box","text":"collectively, the Independent Directors have balanced and diverse experience, skills, attributes and qualifications,","page_number":19,"box":{"x":69,"y":60,"width":807,"height":11}},{"id":"e9e3fd20-d0ac-4c82-8cf2-5cb419fff9ec","block_type":"box","text":"which allow the Board to operate effectively in governing the Fund and protecting the interests of shareholders.","page_number":19,"box":{"x":68,"y":75,"width":792,"height":11}},{"id":"7465d68d-55d1-4440-b90c-4d54f176e4ea","block_type":"box","text":"Among the attributes common to all Independent Directors are their ability to review critically, evaluate, question and","page_number":19,"box":{"x":68,"y":90,"width":832,"height":11}},{"id":"0933d182-c6cf-41b4-ab41-e37b9fecc7a5","block_type":"box","text":"discuss information provided to them, to interact effectively with the Fund’s investment adviser, sub-advisers, other","page_number":19,"box":{"x":69,"y":105,"width":823,"height":11}},{"id":"9bf680c7-5951-42c8-b9a0-4bb65ee1c3c8","block_type":"box","text":"service providers, counsel and the Independent Registered Public Accounting Firm, and to exercise effective","page_number":19,"box":{"x":69,"y":120,"width":771,"height":12}},{"id":"17d057d6-ed7f-4228-a6d3-ef8d9c71db79","block_type":"box","text":"business judgment in the performance of their duties as Directors.","page_number":19,"box":{"x":69,"y":135,"width":475,"height":12}},{"id":"afdbec62-88dd-44b2-8a43-8e6345642320","block_type":"box","text":"Each Director’s ability to perform his or her duties effectively is evidenced by his or her educational background","page_number":19,"box":{"x":102,"y":158,"width":794,"height":11}},{"id":"beb2403e-a514-416e-a759-8451256fc83e","block_type":"box","text":"or professional training; business, consulting, public service or academic positions; experience from service as a","page_number":19,"box":{"x":69,"y":173,"width":807,"height":11}},{"id":"e593b796-4be1-45fb-983b-dafb6c9717fc","block_type":"box","text":"board member of the Fund and the other funds in the BlackRock Fund Complexes (and any predecessor funds), other","page_number":19,"box":{"x":69,"y":188,"width":835,"height":11}},{"id":"b5c9d229-a41e-429c-8779-f088fd3d2809","block_type":"box","text":"investment funds, public companies, non-profit entities or other organizations; ongoing commitment to and","page_number":19,"box":{"x":70,"y":203,"width":759,"height":12}},{"id":"eb6549cd-12e1-4d96-9373-e2023448fce3","block_type":"box","text":"participation in Board and Committee meetings, as well as his or her leadership of standing and","page_number":19,"box":{"x":70,"y":218,"width":685,"height":12}},{"id":"34760e06-013a-4426-a703-7983f7a1b653","block_type":"box","text":"ad hoc","page_number":19,"box":{"x":762,"y":219,"width":47,"height":8}},{"id":"e1834fcf-8d52-43a3-9585-150fc86f0dfe","block_type":"box","text":"committees","page_number":19,"box":{"x":814,"y":219,"width":82,"height":8}},{"id":"60fcb37b-9451-4d9d-82d9-62f180a17e6b","block_type":"box","text":"throughout the years; or other relevant life experiences.","page_number":19,"box":{"x":68,"y":234,"width":395,"height":11}},{"id":"f1e77cfc-08b6-476d-af82-715034205687","block_type":"box","text":"The table below discusses some of the experiences, qualifications and skills of each of the Directors that","page_number":19,"box":{"x":101,"y":256,"width":754,"height":11}},{"id":"ad66e632-4b72-492f-9440-0c5c0be61ed7","block_type":"box","text":"support the conclusion that each Director should serve on the Board.","page_number":19,"box":{"x":69,"y":272,"width":494,"height":10}},{"id":"41160edf-edcb-40f9-b9b6-eb664b23c9be","block_type":"box","text":"Directors Experience, Qualifications and Skills","page_number":19,"box":{"x":69,"y":300,"width":408,"height":8}},{"id":"83ac613b-2288-4396-810c-d99c07337179","block_type":"box","text":"Independent Directors","page_number":19,"box":{"x":70,"y":316,"width":156,"height":11}},{"id":"435c5a1c-fbaf-4ece-b0a2-46d5f63f1e9b","block_type":"box","text":"Christopher J. Ailman Christopher Ailman has more than 30 years of experience in the financial services","page_number":19,"box":{"x":69,"y":331,"width":781,"height":11}},{"id":"c5e5c017-fa2e-4de8-9a49-3ac313b4ae14","block_type":"box","text":"industry, including most recently serving as Chief Investment Officer of the California","page_number":19,"box":{"x":265,"y":346,"width":604,"height":12}},{"id":"1a9a72b1-d7d3-4de0-97e6-2a050a26441e","block_type":"box","text":"State Teachers Retirement System (CalSTRS) from 2000 to June 2024 where he led its","page_number":19,"box":{"x":265,"y":361,"width":623,"height":12}},{"id":"86606cda-ea8f-4e25-af1a-774c5fc96fc5","block_type":"box","text":"investment program. Mr. Ailman currently is a principal at Ailman Advisers. In addition, he","page_number":19,"box":{"x":265,"y":377,"width":637,"height":11}},{"id":"cd738aec-ee7f-4912-9d15-e56e765a8c92","block_type":"box","text":"has held various roles in the industry, including as member and chair of the asset owner","page_number":19,"box":{"x":265,"y":392,"width":631,"height":11}},{"id":"dd967290-1d29-41b9-ad9c-e4db27e7a096","block_type":"box","text":"committee of the Kroner Center for Financial Research, chairman of the North American","page_number":19,"box":{"x":264,"y":407,"width":626,"height":10}},{"id":"f7e1fc1c-c239-43a1-8215-a3af0e5c6cbd","block_type":"box","text":"Chapter of the 300 Club of Global CIOs, and co-chair of the Milken Global Capital Markets","page_number":19,"box":{"x":265,"y":422,"width":639,"height":11}},{"id":"63270730-8e1b-4a71-b9e0-b3867ceb3ab7","block_type":"box","text":"Advisory Council. These positions have provided Mr. Ailman with considerable investment","page_number":19,"box":{"x":264,"y":437,"width":637,"height":11}},{"id":"e3ea5e5f-f147-456d-ab5e-dc6b83d7f9be","block_type":"box","text":"expertise across asset classes and strategies, and insight and perspective on the","page_number":19,"box":{"x":265,"y":452,"width":586,"height":11}},{"id":"68ceb079-d8a4-489a-91cc-e6c0ca64ed85","block_type":"box","text":"markets and the economy. In addition, Mr. Ailman serves as a member of the Governance","page_number":19,"box":{"x":265,"y":467,"width":640,"height":11}},{"id":"c7fb4a55-a8e0-4d3f-86bb-6c93b7c27652","block_type":"box","text":"Committee and the Performance Oversight Committee.","page_number":19,"box":{"x":265,"y":482,"width":389,"height":12}},{"id":"74c233d5-346b-43c0-88d0-e9e97dfe48c8","block_type":"box","text":"Susan J. Carter Susan J. Carter has over 35 years of experience in investment management. She has","page_number":19,"box":{"x":69,"y":505,"width":806,"height":11}},{"id":"a58ee296-2119-4e67-b64a-0642ddea26fd","block_type":"box","text":"served as President & Chief Executive Officer of Commonfund Capital, Inc. (“CCI”), a","page_number":19,"box":{"x":265,"y":520,"width":604,"height":11}},{"id":"d7257105-4389-4558-88aa-6774941f322f","block_type":"box","text":"registered investment adviser focused on non-profit investors, from 1997 to 2013, Chief","page_number":19,"box":{"x":265,"y":535,"width":632,"height":12}},{"id":"d2b55724-2b57-4369-9557-cc85d9ccbcb0","block_type":"box","text":"Executive Officer of CCI from 2013 to 2014 and Senior Advisor to CCI in 2015.","page_number":19,"box":{"x":265,"y":550,"width":562,"height":9}},{"id":"02536712-9f66-40ab-be5f-8416ee339e2d","block_type":"box","text":"Ms. Carter also served as director of the Pacific Pension Institute from 2014 to 2018,","page_number":19,"box":{"x":265,"y":566,"width":616,"height":10}},{"id":"239d1cfc-9867-4da4-ad51-faa260ab429d","block_type":"box","text":"trustee to the Financial Accounting Foundation from 2017 to 2021, Advisory Board","page_number":19,"box":{"x":264,"y":581,"width":591,"height":11}},{"id":"1bcf6f48-b6fc-4551-a855-a1cba5a2bf87","block_type":"box","text":"Member for the Center for Private Equity and Entrepreneurship at Tuck School of Business","page_number":19,"box":{"x":265,"y":596,"width":641,"height":11}},{"id":"5f92cab3-75a9-4f08-8641-98c6541328a1","block_type":"box","text":"from 1997 to 2021, Advisory Board Member for Bridges Fund Management from 2016 to","page_number":19,"box":{"x":264,"y":611,"width":638,"height":11}},{"id":"9dbf564e-3c26-49c0-8167-145e46f815dd","block_type":"box","text":"2018, Advisory Board Member for Girls Who Invest from 2015 to 2018 and Board","page_number":19,"box":{"x":265,"y":626,"width":584,"height":11}},{"id":"e90320a6-d334-42fd-a8b2-42e7d23aad97","block_type":"box","text":"Member thereof from 2018 to 2022, and Practitioner Advisory Board Member for Private","page_number":19,"box":{"x":265,"y":641,"width":630,"height":11}},{"id":"d69e9112-ac42-4dc0-8d76-621f2921a179","block_type":"box","text":"Capital Research Institute (“PCRI”) from 2017 to 2024. She currently serves as Member","page_number":19,"box":{"x":265,"y":656,"width":634,"height":11}},{"id":"2d040fb7-38b9-4e5b-9baf-46c7414af1df","block_type":"box","text":"of the President’s Counsel for Commonfund. These positions have provided her with","page_number":19,"box":{"x":265,"y":671,"width":599,"height":11}},{"id":"7a5f4c64-cc2b-4e75-8463-531c1a6002e9","block_type":"box","text":"insight and perspective on the markets and the economy.","page_number":19,"box":{"x":265,"y":687,"width":407,"height":11}},{"id":"068d10a9-aacc-408b-bb99-abd61c92f4c8","block_type":"box","text":"Collette Chilton Collette Chilton has over 20 years of experience in investment management. She held the","page_number":19,"box":{"x":69,"y":709,"width":837,"height":11}},{"id":"40c29c8b-df34-4966-9c2a-7f9bf3f04b62","block_type":"box","text":"position of Chief Investment Officer of Williams College from October 2006 to June 2023.","page_number":19,"box":{"x":265,"y":724,"width":638,"height":12}},{"id":"a2b4a5a6-3874-4cf1-84b9-658e5003ca36","block_type":"box","text":"Prior to that she was President and Chief Investment Officer of Lucent Asset Management","page_number":19,"box":{"x":265,"y":739,"width":642,"height":12}},{"id":"52e802e9-9fab-48f3-9645-11b4a0a4c021","block_type":"box","text":"Corporation, where she oversaw approximately $40 billion in pension and retirement","page_number":19,"box":{"x":265,"y":754,"width":601,"height":12}},{"id":"77c29e79-081a-4249-b3d8-ed15c612b593","block_type":"box","text":"savings assets for the company. These positions have provided her with insight and","page_number":19,"box":{"x":265,"y":770,"width":595,"height":11}},{"id":"00bfb179-f6bb-412b-9073-c05ccb86f180","block_type":"box","text":"perspective on the markets and the economy.","page_number":19,"box":{"x":265,"y":785,"width":323,"height":11}},{"id":"c4f9839d-4dc8-4ddd-9115-122cec2b08bf","block_type":"box","text":"Neil A. Cotty Neil A. Cotty has more than 30 years of experience in the financial services industry,","page_number":19,"box":{"x":70,"y":807,"width":798,"height":12}},{"id":"c562243f-073f-4377-8465-f3b548b7bf79","block_type":"box","text":"including 19 years at Bank of America Corporation and its affiliates, where he served, at","page_number":19,"box":{"x":265,"y":823,"width":631,"height":11}},{"id":"6162b732-ef7c-496f-bb72-699a04cfd316","block_type":"box","text":"different times, as the Chief Financial Officer of various businesses including Investment","page_number":19,"box":{"x":265,"y":838,"width":633,"height":11}},{"id":"d45e82f2-77e1-4ecc-9f17-d3e5fbb7861b","block_type":"box","text":"Banking, Global Markets, Wealth Management and Consumer and also served ten years","page_number":19,"box":{"x":265,"y":853,"width":628,"height":11}},{"id":"a0de299e-ef5f-4ae1-8cd0-06b43ac1fdcc","block_type":"box","text":"as the Chief Accounting Officer for Bank of America Corporation. Mr. Cotty has been","page_number":19,"box":{"x":265,"y":868,"width":596,"height":11}},{"id":"eccc3bcf-3c79-41f6-99ce-150353f7b8bb","block_type":"box","text":"determined by the Audit Committee to be an audit committee financial expert, as such","page_number":19,"box":{"x":265,"y":883,"width":616,"height":11}},{"id":"4494fea5-af85-4969-974f-7e24f77d3f39","block_type":"box","text":"term is defined in the applicable Commission rules.","page_number":19,"box":{"x":264,"y":898,"width":368,"height":11}},{"id":"6b28cc73-ec29-40a5-8412-ef0ca958a359","block_type":"box","text":"I-10","page_number":19,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"fef18b7c-3e40-4a6a-80c6-b285afde21b2","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":19,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8150884f-12ea-429d-966f-43388871ba45","block_type":"box","text":"Directors Experience, Qualifications and Skills","page_number":20,"box":{"x":69,"y":49,"width":408,"height":9}},{"id":"5cfd4855-3719-4af7-a272-4dfc0cee6c8e","block_type":"box","text":"Jeffrey Jarczyk Jeffrey Jarczyk is a CPA and has more than 30 years of experience in the financial","page_number":20,"box":{"x":69,"y":65,"width":777,"height":12}},{"id":"e9d470df-4d38-4be5-b97e-0f4987e05053","block_type":"box","text":"services industry, including over 19 years at Fidelity Investments, where he served, at","page_number":20,"box":{"x":265,"y":81,"width":613,"height":11}},{"id":"bdff2df8-18b4-4bfb-aabb-9d0f149815ae","block_type":"box","text":"different times, as the Chief Auditor and the Chief Accounting Officer of Fidelity","page_number":20,"box":{"x":265,"y":96,"width":563,"height":11}},{"id":"870c88e9-10bd-4800-9443-16dc393be755","block_type":"box","text":"Investments’ parent company, FMR LLC. Prior to working at Fidelity, Mr. Jarczyk was a","page_number":20,"box":{"x":265,"y":111,"width":607,"height":11}},{"id":"a027c000-a5cf-49a0-abc4-e558eb445e89","block_type":"box","text":"partner at Deloitte and Arthur Andersen for approximately 17 years. These positions have","page_number":20,"box":{"x":265,"y":126,"width":638,"height":11}},{"id":"ff442b2c-48c7-4637-a27d-272aacabb49c","block_type":"box","text":"allowed him to work extensively with audit and risk committees and company executives","page_number":20,"box":{"x":265,"y":141,"width":626,"height":11}},{"id":"ff10c13d-ca77-4b45-a694-edcab3686f03","block_type":"box","text":"helping to identify, manage and mitigate risks for financial services companies.","page_number":20,"box":{"x":265,"y":156,"width":563,"height":11}},{"id":"68701711-ad06-4035-bd74-5f79db9fbcba","block_type":"box","text":"Mr. Jarczyk also served as consultant to the Independent Directors prior to becoming an","page_number":20,"box":{"x":265,"y":171,"width":627,"height":12}},{"id":"049dd885-d418-4733-8b8e-945d628ec395","block_type":"box","text":"Independent Director. Mr. Jarczyk has been determined by the Audit Committee to be an","page_number":20,"box":{"x":265,"y":186,"width":627,"height":12}},{"id":"a726e0ba-0bc4-42a3-9c48-f5f866a35697","block_type":"box","text":"audit committee financial expert, as such term is defined in the applicable Commission","page_number":20,"box":{"x":265,"y":201,"width":623,"height":11}},{"id":"df662434-db2d-4e99-bb1e-3e95e41a4001","block_type":"box","text":"rules.","page_number":20,"box":{"x":265,"y":217,"width":38,"height":9}},{"id":"b5a373ec-c85d-4df4-81a4-b0baf4fd8131","block_type":"box","text":"Henry R. Keizer Henry R. Keizer brings over 40 years of executive, financial, operational, strategic and","page_number":20,"box":{"x":70,"y":239,"width":806,"height":12}},{"id":"59b7775f-ba3c-4558-9630-c0da7f9bba9c","block_type":"box","text":"global expertise gained through his 35 year career at KPMG, a global professional","page_number":20,"box":{"x":264,"y":254,"width":584,"height":12}},{"id":"0be31515-8c3f-4655-a21a-e747ba250d1c","block_type":"box","text":"services organization and by his service as a director to both publicly and privately held","page_number":20,"box":{"x":265,"y":270,"width":622,"height":11}},{"id":"569b5fec-277e-44f0-9e25-5bbd6a601a39","block_type":"box","text":"organizations. He has extensive experience with issues facing complex, global companies","page_number":20,"box":{"x":265,"y":285,"width":638,"height":11}},{"id":"f5b229d7-3a59-4153-ae1a-2801ef1df160","block_type":"box","text":"and expertise in financial reporting, accounting, auditing, risk management, and","page_number":20,"box":{"x":265,"y":300,"width":570,"height":11}},{"id":"8316031a-dd9a-4724-9729-db3ce0350cdc","block_type":"box","text":"regulatory affairs for such companies. Mr. Keizer’s experience also includes service as an","page_number":20,"box":{"x":265,"y":315,"width":642,"height":11}},{"id":"3e1db02f-de39-4042-9d59-a0b9b5995f1e","block_type":"box","text":"audit committee chair to both publicly and privately held organizations across numerous","page_number":20,"box":{"x":265,"y":330,"width":626,"height":11}},{"id":"97d939be-8879-4274-b445-a14b18b97e0b","block_type":"box","text":"industries including professional services, property and casualty reinsurance, insurance,","page_number":20,"box":{"x":265,"y":345,"width":630,"height":11}},{"id":"8282365d-ec22-4213-a54e-d11544f036a6","block_type":"box","text":"diversified financial services, banking, direct to consumer, business to business and","page_number":20,"box":{"x":265,"y":360,"width":602,"height":12}},{"id":"de031b66-372a-4fea-b08e-aef4a862db8c","block_type":"box","text":"technology. Mr. Keizer is a certified public accountant and also served on the board of the","page_number":20,"box":{"x":264,"y":375,"width":643,"height":12}},{"id":"126ca341-eef6-4f79-ab91-360f167dca94","block_type":"box","text":"American Institute of Certified Public Accountants. Mr. Keizer has been determined by the","page_number":20,"box":{"x":264,"y":390,"width":639,"height":12}},{"id":"5854de38-2e9d-4879-9100-4b8414df0229","block_type":"box","text":"Audit Committee to be an audit committee financial expert, as such term is defined in the","page_number":20,"box":{"x":264,"y":406,"width":641,"height":11}},{"id":"418e3ff3-85cd-4387-8dc8-676752092365","block_type":"box","text":"applicable Commission rules.","page_number":20,"box":{"x":265,"y":421,"width":208,"height":11}},{"id":"c308f5ec-0823-430d-a560-c9eda7e982c9","block_type":"box","text":"Cynthia A. Montgomery Cynthia A. Montgomery has served for over 20 years on the boards of registered","page_number":20,"box":{"x":69,"y":443,"width":769,"height":12}},{"id":"36f13bd4-4ad1-456c-b779-b3b785dd80de","block_type":"box","text":"investment companies, most recently as a member of the boards of certain BlackRock","page_number":20,"box":{"x":265,"y":458,"width":621,"height":12}},{"id":"6143a418-e05f-4778-b9c1-4b8ba12ec0a5","block_type":"box","text":"advised Funds and predecessor funds, including the legacy Merrill Lynch Investment","page_number":20,"box":{"x":265,"y":474,"width":599,"height":11}},{"id":"09b7740d-59c8-4444-a8df-56fdab902b13","block_type":"box","text":"Managers, L.P. (“MLIM”) funds. The Board benefits from Ms. Montgomery’s more than 20","page_number":20,"box":{"x":265,"y":489,"width":641,"height":11}},{"id":"8558ee98-a7ff-45ab-9d2f-90a4b27a56d4","block_type":"box","text":"years of academic experience as a professor at Harvard Business School where she","page_number":20,"box":{"x":264,"y":504,"width":602,"height":11}},{"id":"59ca1d46-07c8-45ce-acfa-65050b285cc4","block_type":"box","text":"taught courses on corporate strategy and corporate governance. Ms. Montgomery also","page_number":20,"box":{"x":264,"y":519,"width":617,"height":11}},{"id":"d4c64204-9472-4db8-b96b-ad38f694a374","block_type":"box","text":"has business management and corporate governance experience through her service on","page_number":20,"box":{"x":265,"y":534,"width":629,"height":11}},{"id":"74e8b53e-7f4f-4a76-bd2f-6d30481c717e","block_type":"box","text":"the corporate boards of a variety of public companies. She has also authored numerous","page_number":20,"box":{"x":264,"y":549,"width":628,"height":11}},{"id":"c7fea975-11c6-4129-ab9e-acc1c9a1cb94","block_type":"box","text":"articles and books on these topics.","page_number":20,"box":{"x":265,"y":565,"width":251,"height":10}},{"id":"b1295756-df66-4865-a675-f644477b1e49","block_type":"box","text":"Donald C. Opatrny Donald C. Opatrny has more than 40 years of business, oversight and executive","page_number":20,"box":{"x":70,"y":587,"width":764,"height":11}},{"id":"6b9aaf2b-f6a5-41b2-b45b-20e00d3f6c87","block_type":"box","text":"experience, including through his service as president, director and investment committee","page_number":20,"box":{"x":265,"y":602,"width":642,"height":11}},{"id":"11bcf7e9-4bf6-4dab-8170-d73f15267c60","block_type":"box","text":"chair for academic and not-for-profit organizations, and his experience as a partner,","page_number":20,"box":{"x":264,"y":617,"width":593,"height":12}},{"id":"47d2bb9a-3978-4a1e-9fcd-8b386b9d8970","block_type":"box","text":"managing director and advisory director at Goldman Sachs for 32 years. He also has","page_number":20,"box":{"x":265,"y":632,"width":603,"height":12}},{"id":"2f24102c-696d-4d65-9c75-838cffd5606e","block_type":"box","text":"investment management experience as a board member of Athena Capital Advisors LLC.","page_number":20,"box":{"x":265,"y":647,"width":629,"height":12}},{"id":"e62a27f1-f092-47b3-8527-c182d8bd5e5d","block_type":"box","text":"I-11","page_number":20,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"8f5f6d21-eaf4-4a44-a91d-a8963b94e7be","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":20,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c70d3fc1-cd90-485a-9d8c-7ae5f7978b62","block_type":"box","text":"Directors Experience, Qualifications and Skills","page_number":21,"box":{"x":69,"y":49,"width":408,"height":9}},{"id":"a710240b-f5dd-46dc-af32-366ce059e087","block_type":"box","text":"Lori Richards Lori Richards has more than 30 years of experience in the financial services industry,","page_number":21,"box":{"x":70,"y":65,"width":804,"height":12}},{"id":"9f5c4e39-68d4-48c9-8547-97c25f0c5fb6","block_type":"box","text":"most notably as the first Director of the Office of Compliance Inspections and","page_number":21,"box":{"x":265,"y":81,"width":552,"height":11}},{"id":"5f411a31-5e46-4970-92c3-063c9d8461d0","block_type":"box","text":"Examinations (“OCIE”) of the Securities and Exchange Commission (“SEC”) from 1995 to","page_number":21,"box":{"x":265,"y":96,"width":636,"height":11}},{"id":"b3a8eeb4-8378-4f2a-855a-06fc950d7220","block_type":"box","text":"2009. During 14 years as the Director of OCIE, she led the SEC’s nationwide examination","page_number":21,"box":{"x":265,"y":111,"width":639,"height":11}},{"id":"76e28dee-a93d-4f6a-b445-2ceacdfd018f","block_type":"box","text":"oversight program for advisers, mutual funds, hedge funds, broker-dealers, stock","page_number":21,"box":{"x":265,"y":126,"width":576,"height":11}},{"id":"05c2d13f-926b-47aa-92fc-5b393fb6f0a4","block_type":"box","text":"exchanges, and other industry firms. Prior to that, from 1985 to 1995, she held various","page_number":21,"box":{"x":265,"y":141,"width":626,"height":11}},{"id":"22f9fcd6-125e-4022-83cd-14d2595f6f4b","block_type":"box","text":"roles at the SEC, including Associate Director for Enforcement for the SEC’s Pacific","page_number":21,"box":{"x":265,"y":156,"width":592,"height":11}},{"id":"da2b91c4-fcd4-4599-9ad3-68fdf3677202","block_type":"box","text":"Regional Office and executive assistant and senior advisor to then SEC Chairman Arthur","page_number":21,"box":{"x":265,"y":171,"width":629,"height":12}},{"id":"3c0e65b6-9c1b-4d8d-a542-eb3e6388d0d8","block_type":"box","text":"Levitt. More recently, Ms. Richards served as Chief Compliance Officer of the Asset and","page_number":21,"box":{"x":265,"y":186,"width":626,"height":12}},{"id":"f3ae39dd-31cb-4031-89fe-8d6c3661f4d9","block_type":"box","text":"Wealth Management global lines of business at JPMorgan Chase & Co. from 2013 to","page_number":21,"box":{"x":264,"y":201,"width":608,"height":12}},{"id":"daf35f8f-d928-4b23-84da-121ad7c3accb","block_type":"box","text":"2018 where she led its global compliance program, advised business leaders on","page_number":21,"box":{"x":265,"y":217,"width":575,"height":11}},{"id":"21511d4a-23f7-4a74-acf4-6b2e84b2776d","block_type":"box","text":"compliance issues, oversaw risk assessment, monitoring, testing and training, and","page_number":21,"box":{"x":264,"y":232,"width":591,"height":11}},{"id":"3bb12a52-04b5-4344-a8cf-dcdacbd06ed1","block_type":"box","text":"maintained relationships with regulators. In addition, Ms. Richards served as a member","page_number":21,"box":{"x":265,"y":247,"width":627,"height":11}},{"id":"5ddfc4ce-4cf4-428e-b56a-f3e5843fbed5","block_type":"box","text":"of the National Adjudicatory Council of the Financial Industry Regulatory Authority","page_number":21,"box":{"x":265,"y":262,"width":578,"height":11}},{"id":"231274b0-82f8-4b02-bc54-12f4323b9c28","block_type":"box","text":"(FINRA) from 2019 to 2022 and held the chair and vice chair posts during her tenure.","page_number":21,"box":{"x":265,"y":277,"width":607,"height":11}},{"id":"e20b6a2a-e849-47da-be29-d48afd2aa32d","block_type":"box","text":"Prior thereto, from 2010 to 2013, she was a Principal at PricewaterhouseCoopers LLP","page_number":21,"box":{"x":265,"y":292,"width":615,"height":11}},{"id":"108715c4-4411-4c83-9afb-ca1a6925acc0","block_type":"box","text":"(“PwC”) and co-leader of its Asset Management Regulatory group. At PwC, she assisted a","page_number":21,"box":{"x":265,"y":307,"width":638,"height":12}},{"id":"72880eec-a686-4cbd-8d2c-9b2aae1dec73","block_type":"box","text":"broad range of financial services clients in designing and implementing risk management","page_number":21,"box":{"x":265,"y":322,"width":635,"height":12}},{"id":"30d67926-1d98-41cc-aa67-97b2ab2b036f","block_type":"box","text":"and compliance programs, and preparing for new regulatory expectations. These positions","page_number":21,"box":{"x":265,"y":338,"width":642,"height":11}},{"id":"58a20164-2497-477e-ac8d-e47a4c8c2ff8","block_type":"box","text":"have provided her with insight and perspective on the markets and the economy, as well","page_number":21,"box":{"x":265,"y":353,"width":627,"height":11}},{"id":"d21a0082-6caa-40f5-98f9-b13e4cc9993c","block_type":"box","text":"as asset management regulation and compliance. In addition, Ms. Richards serves as a","page_number":21,"box":{"x":265,"y":368,"width":628,"height":11}},{"id":"63e301fe-94b9-4eb9-a3be-bbd59edf9080","block_type":"box","text":"member of the Audit Committee and the Compliance Committee.","page_number":21,"box":{"x":265,"y":383,"width":460,"height":11}},{"id":"7e0fe2bf-b87b-43f6-b0f6-92a08bdf71ea","block_type":"box","text":"Mark Stalnecker Mark Stalnecker has gained a wealth of experience in investing and asset management","page_number":21,"box":{"x":70,"y":406,"width":818,"height":11}},{"id":"d684ea32-974f-4371-8e37-6956588ef9ea","block_type":"box","text":"from his over 13 years of service as the Chief Investment Officer of the University of","page_number":21,"box":{"x":264,"y":421,"width":603,"height":11}},{"id":"4fa078de-357b-4a54-a9ad-1d07d6d81442","block_type":"box","text":"Delaware as well as from his various positions with First Union Corporation, including","page_number":21,"box":{"x":265,"y":436,"width":606,"height":11}},{"id":"7ca83e1c-fe37-4c74-a405-53b488bcbd5d","block_type":"box","text":"Senior Vice President and State Investment Director of First Investment Advisors. The","page_number":21,"box":{"x":265,"y":451,"width":608,"height":9}},{"id":"e9abee6c-73cc-48f0-9156-df1204ddb413","block_type":"box","text":"Board benefits from his experience and perspective as the Chief Investment Officer of a","page_number":21,"box":{"x":265,"y":466,"width":626,"height":11}},{"id":"d8e5c87d-c689-4b93-8725-ed20ea2e519e","block_type":"box","text":"university endowment and from the oversight experience he gained from service on","page_number":21,"box":{"x":265,"y":481,"width":591,"height":11}},{"id":"73496b73-77f6-4eed-ae28-29aac032a82c","block_type":"box","text":"various private and non-profit boards.","page_number":21,"box":{"x":264,"y":496,"width":265,"height":11}},{"id":"62edd5a8-b51c-4f28-a931-c070dfaf3b64","block_type":"box","text":"Marc D. Stern Marc D. Stern has more than 30 years of experience in investing and asset management.","page_number":21,"box":{"x":70,"y":519,"width":833,"height":11}},{"id":"29855fba-70a5-4332-b2e9-e40e9db14eef","block_type":"box","text":"Mr. Stern served as the Chief Executive Officer at Bessemer Trust, a wealth management","page_number":21,"box":{"x":265,"y":534,"width":638,"height":11}},{"id":"5b185bea-81fe-49f0-bcb1-3d4f91d6f4c7","block_type":"box","text":"business, for 13 years. During his tenure at Bessemer Trust, Mr. Stern served on the","page_number":21,"box":{"x":265,"y":549,"width":608,"height":11}},{"id":"f866814f-d61b-409d-b807-d6b11afefffa","block_type":"box","text":"firm’s board of directors, chaired the board’s trust and investment committee, and led the","page_number":21,"box":{"x":264,"y":564,"width":645,"height":11}},{"id":"38f7b3a3-bd34-4502-b37f-734a8f37b03d","block_type":"box","text":"firm’s executive committee. He also served as Bessemer’s Chief Investment Officer for 8","page_number":21,"box":{"x":264,"y":579,"width":639,"height":9}},{"id":"81e2838c-1c94-49e3-9010-515657a360ff","block_type":"box","text":"years, where he was Chair of the Investment Policy and Strategy Committee with","page_number":21,"box":{"x":264,"y":595,"width":573,"height":11}},{"id":"35acb637-694d-4c7c-b4f6-d6ef066dd2c4","block_type":"box","text":"responsibility for overall asset allocation and investment strategy. Mr. Stern also served","page_number":21,"box":{"x":265,"y":610,"width":625,"height":11}},{"id":"57192aad-7b37-4c64-99ce-a7c7083331f3","block_type":"box","text":"as Chair of the Private Clients Investment group at AllianceBernstein. These positions","page_number":21,"box":{"x":265,"y":625,"width":610,"height":11}},{"id":"9b55df4c-5242-44c7-80c9-5e253809748a","block_type":"box","text":"provide Mr. Stern with insight and perspective into investment management, the economy,","page_number":21,"box":{"x":265,"y":640,"width":642,"height":11}},{"id":"8f5fb201-7124-4f12-9267-67263954db55","block_type":"box","text":"and fiduciary governance. Mr. Stern also served as consultant to the Independent","page_number":21,"box":{"x":265,"y":655,"width":583,"height":11}},{"id":"bce1bdfd-90c7-463c-95ae-7832efbb7302","block_type":"box","text":"Directors prior to becoming an Independent Director.","page_number":21,"box":{"x":265,"y":670,"width":372,"height":11}},{"id":"2934ec3a-3810-4eba-8c30-66cfe0502d30","block_type":"box","text":"Kenneth L. Urish Kenneth L. Urish has served for over 15 years on the boards of registered investment","page_number":21,"box":{"x":70,"y":693,"width":807,"height":11}},{"id":"59e5433a-84d2-457c-bbea-57c0b094733c","block_type":"box","text":"companies, most recently as a member of the boards of certain BlackRock-advised Funds","page_number":21,"box":{"x":264,"y":708,"width":641,"height":11}},{"id":"277c9770-bc82-4da6-b29c-89b02e7dec67","block_type":"box","text":"and predecessor funds, including the legacy BlackRock funds. He has over 30 years of","page_number":21,"box":{"x":265,"y":723,"width":618,"height":11}},{"id":"6a913c9e-a3d2-4bbc-9896-90e57437903f","block_type":"box","text":"experience in public accounting. Mr. Urish has served as a managing member of an","page_number":21,"box":{"x":265,"y":738,"width":594,"height":11}},{"id":"868a1f59-c0c9-4537-92ee-a2c653ce3da9","block_type":"box","text":"accounting and consulting firm. Mr. Urish has been determined by the Audit Committee to","page_number":21,"box":{"x":265,"y":753,"width":639,"height":12}},{"id":"6925f91c-e2f5-4fd1-9bbf-5d887d8194ec","block_type":"box","text":"be an audit committee financial expert, as such term is defined in the applicable","page_number":21,"box":{"x":265,"y":768,"width":575,"height":11}},{"id":"50e99459-e954-48ee-9180-a36d74911467","block_type":"box","text":"Commission rules.","page_number":21,"box":{"x":265,"y":784,"width":131,"height":9}},{"id":"2ec8376f-ef5b-459d-bd8e-c3e0a92da42f","block_type":"box","text":"I-12","page_number":21,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"fe5b57a9-ce65-4bfd-b4ad-0200e782ff53","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":21,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f5e46196-128c-418e-a524-77bbfc3cb011","block_type":"box","text":"Directors Experience, Qualifications and Skills","page_number":22,"box":{"x":69,"y":49,"width":408,"height":9}},{"id":"ac9d76e5-5413-43cc-82be-63d41104c0e9","block_type":"box","text":"Claire A. Walton Claire A. Walton has over 25 years of experience in investment management. She has","page_number":22,"box":{"x":69,"y":65,"width":808,"height":12}},{"id":"4ff50b4c-2e66-42b7-88c2-ddd7fa5eb60d","block_type":"box","text":"served as the Chief Operating Officer and Chief Financial Officer of Liberty Square Asset","page_number":22,"box":{"x":265,"y":81,"width":630,"height":11}},{"id":"1a0c42ca-43ee-4fc3-a28e-832d980409d6","block_type":"box","text":"Management, LP / Steel Partners Japan Asset Management, LP from 1998 to 2015, an","page_number":22,"box":{"x":265,"y":96,"width":627,"height":11}},{"id":"a8655920-dfd9-40c3-8298-7d2f4049762a","block_type":"box","text":"investment manager that specialized in long/short non-U.S. equity investments, and was","page_number":22,"box":{"x":265,"y":111,"width":632,"height":11}},{"id":"4d0cf4cd-dfe5-4b28-b66c-629a03cb3de6","block_type":"box","text":"an owner and General Partner of Neon Liberty Capital Management, LLC from 2003 to","page_number":22,"box":{"x":265,"y":126,"width":615,"height":11}},{"id":"7d2f1a38-5f45-43ea-8f53-cdc3be59c385","block_type":"box","text":"2023, a firm focusing on long/short equities in global emerging and frontier markets.","page_number":22,"box":{"x":265,"y":141,"width":608,"height":11}},{"id":"8db85103-6a0a-4603-a882-13b42ec7227d","block_type":"box","text":"These positions have provided her with insight and perspective on the markets and the","page_number":22,"box":{"x":264,"y":156,"width":620,"height":11}},{"id":"604c4b42-dde7-41f6-b993-de0dda806c46","block_type":"box","text":"economy. Ms. Walton has been determined by the Audit Committee to be an audit","page_number":22,"box":{"x":265,"y":171,"width":584,"height":11}},{"id":"49a7c569-634a-4f95-8101-e3877df87c24","block_type":"box","text":"committee financial expert, as such term is defined in the applicable Commission rules.","page_number":22,"box":{"x":264,"y":186,"width":629,"height":11}},{"id":"bd06efdc-1fc9-4a67-b361-19843d7da7fb","block_type":"box","text":"Interested Directors","page_number":22,"box":{"x":70,"y":209,"width":140,"height":9}},{"id":"0ac17451-6ea2-4aca-bc5a-7630bd32c2c0","block_type":"box","text":"Robert Fairbairn Robert Fairbairn has more than 25 years of experience with BlackRock, Inc. and over 30","page_number":22,"box":{"x":70,"y":224,"width":823,"height":11}},{"id":"dd66ed3c-c84d-43fb-8b80-f56b898f581e","block_type":"box","text":"years of experience in finance and asset management. In particular, Mr. Fairbairn’s","page_number":22,"box":{"x":264,"y":239,"width":593,"height":12}},{"id":"70ab4294-abfb-4ddc-9af1-b13ab88b2665","block_type":"box","text":"positions as Vice Chairman of BlackRock, Inc., Member of BlackRock’s Global Operating","page_number":22,"box":{"x":265,"y":254,"width":629,"height":12}},{"id":"fa127bb7-b300-4445-a17b-69c02150bd32","block_type":"box","text":"Committee and Co-Chair of BlackRock’s Human Capital Committee provide the Board with","page_number":22,"box":{"x":265,"y":269,"width":639,"height":11}},{"id":"1da99899-9dea-4e8a-890a-472c34b38a1b","block_type":"box","text":"a wealth of practical business knowledge and leadership. In addition, Mr. Fairbairn has","page_number":22,"box":{"x":265,"y":285,"width":617,"height":11}},{"id":"e3c333e6-1ad3-4fdc-a3f2-24ea17a72a1c","block_type":"box","text":"global investment management and oversight experience through his former positions as","page_number":22,"box":{"x":264,"y":300,"width":634,"height":11}},{"id":"2323be42-c8b9-4b76-80db-5ef0830bc451","block_type":"box","text":"Member of BlackRock’s Global Executive Committee, Global Head of BlackRock’s Retail","page_number":22,"box":{"x":265,"y":315,"width":624,"height":10}},{"id":"a39d4f49-3d25-4d63-a283-7054a39acff0","block_type":"box","text":"and iShares","page_number":22,"box":{"x":265,"y":330,"width":84,"height":9}},{"id":"54a2377d-a73e-4213-9414-326fed2ce491","block_type":"box","text":"®","page_number":22,"box":{"x":350,"y":330,"width":6,"height":5}},{"id":"492b38b5-9f61-4bf9-a04d-61804c87a2d1","block_type":"box","text":"businesses, Head of BlackRock’s Global Client Group, Chairman of","page_number":22,"box":{"x":362,"y":330,"width":478,"height":11}},{"id":"dc581142-5e79-4767-9534-fa6b9530b50e","block_type":"box","text":"BlackRock’s international businesses and his previous oversight over BlackRock’s","page_number":22,"box":{"x":265,"y":345,"width":585,"height":11}},{"id":"15d82e09-4d99-4a6f-9cff-a12c64e10dc0","block_type":"box","text":"Strategic Partner Program and Strategic Product Management Group. Mr. Fairbairn also","page_number":22,"box":{"x":265,"y":360,"width":620,"height":12}},{"id":"cc3a1261-b873-437d-8383-a4d16be78a50","block_type":"box","text":"serves as a board member for the funds in the BlackRock Fixed-Income Complex.","page_number":22,"box":{"x":265,"y":375,"width":578,"height":11}},{"id":"cdf88550-991a-46b6-94d0-57b5b30c7c0d","block_type":"box","text":"John M. Perlowski John M. Perlowski’s experience as Senior Managing Director of BlackRock, Inc. since","page_number":22,"box":{"x":69,"y":398,"width":800,"height":11}},{"id":"ca278f8b-6044-4d40-9d3d-953474213991","block_type":"box","text":"2026, as Managing Director of BlackRock, Inc. from 2009 to 2025, as the Head of","page_number":22,"box":{"x":265,"y":413,"width":593,"height":11}},{"id":"36a31954-819a-4212-8fa2-b67d6d2906de","block_type":"box","text":"BlackRock Global Business Operations Services since 2009, and as President and Chief","page_number":22,"box":{"x":265,"y":428,"width":633,"height":11}},{"id":"bb72a158-d3f8-4274-b85b-21da86c321c0","block_type":"box","text":"Executive Officer of the BlackRock-advised Funds provides him with a strong","page_number":22,"box":{"x":265,"y":443,"width":542,"height":12}},{"id":"f58046e8-b9d9-43f5-b24b-3813d2c442bc","block_type":"box","text":"understanding of the BlackRock-advised Funds, their operations, and the business and","page_number":22,"box":{"x":265,"y":458,"width":617,"height":12}},{"id":"a880f35e-5829-4dd1-bcdc-d0724bb60039","block_type":"box","text":"regulatory issues facing the BlackRock-advised Funds. Mr. Perlowski’s prior position as","page_number":22,"box":{"x":265,"y":474,"width":620,"height":11}},{"id":"0d5480c2-8bf6-44ce-b4b3-ccc0562e6ad4","block_type":"box","text":"Managing Director and Chief Operating Officer of the Global Product Group at Goldman","page_number":22,"box":{"x":265,"y":489,"width":616,"height":11}},{"id":"83219062-3269-4d68-89d3-9d99a593273d","block_type":"box","text":"Sachs Asset Management, and his former service as Treasurer and Senior Vice President","page_number":22,"box":{"x":265,"y":504,"width":639,"height":11}},{"id":"822b7c02-317d-4e76-b6e4-edad4a85981a","block_type":"box","text":"of the Goldman Sachs Mutual Funds and as Director of the Goldman Sachs Offshore","page_number":22,"box":{"x":265,"y":519,"width":603,"height":9}},{"id":"1312fe62-aae8-499c-90fd-9c59f8427ca0","block_type":"box","text":"Funds provides the Board with the benefit of his experience with the management","page_number":22,"box":{"x":265,"y":534,"width":582,"height":11}},{"id":"4a96347e-7348-4486-9aac-f68df04f0dad","block_type":"box","text":"practices of other financial companies. Mr. Perlowski also serves as a board member for","page_number":22,"box":{"x":265,"y":549,"width":632,"height":11}},{"id":"001b74d4-a47d-4cfd-ba29-d6759915adab","block_type":"box","text":"the funds in the BlackRock Fixed-Income Complex. Mr. Perlowski is a member of","page_number":22,"box":{"x":264,"y":564,"width":572,"height":11}},{"id":"44323757-d4d5-45e4-af8b-af5b94b525b5","block_type":"box","text":"BlackRock’s Global Executive Committee.","page_number":22,"box":{"x":265,"y":580,"width":294,"height":8}},{"id":"1977fac4-5bb3-4fe4-8cbb-52c0339cddd2","block_type":"box","text":"Biographical Information","page_number":22,"box":{"x":69,"y":611,"width":178,"height":11}},{"id":"a4065667-6174-46e4-9990-caef2cbaa4de","block_type":"box","text":"Certain biographical and other information relating to the Directors of the Fund is set forth below, including their","page_number":22,"box":{"x":102,"y":634,"width":799,"height":11}},{"id":"4915ef87-7866-41fc-b1bd-70f11824709e","block_type":"box","text":"address and year of birth, principal occupations for at least the last five years, length of time served, total number of","page_number":22,"box":{"x":69,"y":649,"width":836,"height":11}},{"id":"3ef7ec72-d330-42ee-ad1d-61c7bd142d29","block_type":"box","text":"registered investment companies and investment portfolios overseen in the BlackRock-advised Funds and any","page_number":22,"box":{"x":69,"y":664,"width":785,"height":11}},{"id":"2f15507c-6315-419d-bbe0-afe57f527d74","block_type":"box","text":"currently held public company and other investment company directorships.","page_number":22,"box":{"x":69,"y":679,"width":536,"height":11}},{"id":"d05f3c1f-476a-4975-8b1a-5e5fe48329ba","block_type":"box","text":"I-13","page_number":22,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"f4b5753b-c355-48ce-8a64-0152243a089c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":22,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f7d8f4af-ecda-482c-bfb4-d2667dbd6827","block_type":"box","text":"Name","page_number":23,"box":{"x":131,"y":130,"width":32,"height":7}},{"id":"b972975c-f9ee-4279-9219-6ca6cbb230a0","block_type":"box","text":"and Year of Birth","page_number":23,"box":{"x":93,"y":140,"width":97,"height":7}},{"id":"6ed9d278-e683-478f-9bfa-465326949f08","block_type":"box","text":"1,2","page_number":23,"box":{"x":191,"y":140,"width":9,"height":4}},{"id":"7d319319-512c-4536-8953-3a7ff1042a36","block_type":"box","text":"Position(s)","page_number":23,"box":{"x":252,"y":109,"width":62,"height":9}},{"id":"f030c02b-f5d7-4f3c-b013-3a4296eeaf49","block_type":"box","text":"Held","page_number":23,"box":{"x":271,"y":120,"width":25,"height":7}},{"id":"6220db4a-402b-41dc-bb2d-a9c51405a1b2","block_type":"box","text":"(Length","page_number":23,"box":{"x":262,"y":130,"width":43,"height":8}},{"id":"5e53ef80-c5c3-4a52-af45-ac3e239fabbc","block_type":"box","text":"of Service)","page_number":23,"box":{"x":250,"y":140,"width":62,"height":8}},{"id":"49519f0a-043b-4903-8af2-a93e653d591d","block_type":"box","text":"3","page_number":23,"box":{"x":313,"y":140,"width":4,"height":3}},{"id":"5d9df9d1-bf1d-488e-936e-a0e9399d15f4","block_type":"box","text":"Principal Occupation(s)","page_number":23,"box":{"x":411,"y":130,"width":136,"height":8}},{"id":"90fdb13d-5a3e-4d39-bf52-53d1b4ad261c","block_type":"box","text":"During Past Five Years","page_number":23,"box":{"x":414,"y":140,"width":130,"height":9}},{"id":"7e24a8b2-adea-438e-960f-23ec24cd8f3d","block_type":"box","text":"Number of BlackRock","page_number":23,"box":{"x":630,"y":49,"width":129,"height":7}},{"id":"ee2ce0aa-063b-4041-a934-1355e04dd580","block_type":"box","text":"Advised Registered","page_number":23,"box":{"x":638,"y":59,"width":112,"height":9}},{"id":"027bd65d-2595-49ae-be0f-221091a50ece","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":69,"width":65,"height":7}},{"id":"313974be-e255-4049-8003-20cabc20c102","block_type":"box","text":"Companies","page_number":23,"box":{"x":663,"y":79,"width":63,"height":9}},{"id":"261c0922-cb19-4972-9861-22ea9f06110b","block_type":"box","text":"(“RICs”)","page_number":23,"box":{"x":670,"y":89,"width":48,"height":9}},{"id":"f9060a31-5953-44df-b513-9c27a8b79256","block_type":"box","text":"Consisting of","page_number":23,"box":{"x":656,"y":99,"width":77,"height":9}},{"id":"0029439b-bab6-4c46-9614-6f8016559b08","block_type":"box","text":"Investment","page_number":23,"box":{"x":662,"y":110,"width":65,"height":7}},{"id":"193c271a-683f-4519-84d6-26b21e5522c2","block_type":"box","text":"Portfolios","page_number":23,"box":{"x":667,"y":120,"width":55,"height":7}},{"id":"2edfdc22-da4d-4531-9027-1255be775cbf","block_type":"box","text":"(“Portfolios”)","page_number":23,"box":{"x":655,"y":130,"width":78,"height":8}},{"id":"789e822c-113b-45f5-bcf4-c068f230b639","block_type":"box","text":"Overseen","page_number":23,"box":{"x":668,"y":140,"width":53,"height":7}},{"id":"40a7a958-8e52-4174-9bfe-cd4b38f0b126","block_type":"box","text":"Public","page_number":23,"box":{"x":824,"y":69,"width":35,"height":7}},{"id":"7172a000-1a4b-48c8-b278-12a731d45fcf","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":79,"width":53,"height":9}},{"id":"e549ea97-b0b1-4eb7-a2bc-34755b9f036f","block_type":"box","text":"and Other","page_number":23,"box":{"x":813,"y":89,"width":57,"height":7}},{"id":"7b540b90-d3e3-4ec5-b5ff-3e622657d209","block_type":"box","text":"Investment","page_number":23,"box":{"x":809,"y":100,"width":64,"height":7}},{"id":"04ecfd61-7d2a-4616-a944-3c9c956f9f5e","block_type":"box","text":"Company","page_number":23,"box":{"x":815,"y":109,"width":53,"height":9}},{"id":"7960968e-b5ac-4add-a4b3-4742342c68cf","block_type":"box","text":"Directorships","page_number":23,"box":{"x":803,"y":120,"width":77,"height":8}},{"id":"882a1a31-f366-432f-ba37-73cbf5424fd9","block_type":"box","text":"Held During","page_number":23,"box":{"x":808,"y":130,"width":67,"height":8}},{"id":"bacc8b68-cac9-4913-a6b5-d780d704051b","block_type":"box","text":"Past Five Years","page_number":23,"box":{"x":797,"y":140,"width":88,"height":7}},{"id":"9d3a9ef8-7bff-4a68-a9dd-204a5d535042","block_type":"box","text":"Independent Directors","page_number":23,"box":{"x":70,"y":154,"width":140,"height":10}},{"id":"c4c78de8-5022-4feb-a3b8-66f6f7ac23e1","block_type":"box","text":"Mark Stalnecker","page_number":23,"box":{"x":69,"y":172,"width":98,"height":8}},{"id":"621255e2-5ef2-4e7a-8115-f266184760bf","block_type":"box","text":"1951","page_number":23,"box":{"x":69,"y":187,"width":33,"height":8}},{"id":"58d55285-92fe-46c3-b2c3-e502902e7c86","block_type":"box","text":"Chair of the","page_number":23,"box":{"x":235,"y":171,"width":69,"height":9}},{"id":"81779d85-3368-473e-afe8-9b8412bf9f74","block_type":"box","text":"Board and","page_number":23,"box":{"x":236,"y":184,"width":60,"height":8}},{"id":"ed91a140-e9e3-4198-8641-a54e330cf356","block_type":"box","text":"Director","page_number":23,"box":{"x":236,"y":196,"width":46,"height":8}},{"id":"78cb12e6-e134-40d6-99c2-b8f054b3d013","block_type":"box","text":"(Since 2019)","page_number":23,"box":{"x":235,"y":208,"width":78,"height":9}},{"id":"977e03ed-2912-440c-b0dd-1bb905c05d87","block_type":"box","text":"Chief Investment Officer, University of","page_number":23,"box":{"x":343,"y":171,"width":226,"height":11}},{"id":"354370fc-90e4-4b9e-b6d4-f957ef6c0c7b","block_type":"box","text":"Delaware from 1999 to 2013; Trustee and","page_number":23,"box":{"x":343,"y":183,"width":257,"height":10}},{"id":"c28bd661-b8df-4929-94d5-545b9cc386c7","block_type":"box","text":"Chair of the Finance and Investment","page_number":23,"box":{"x":343,"y":195,"width":217,"height":9}},{"id":"81cca33f-9fc6-4a15-8187-7ae36d0106af","block_type":"box","text":"Committees, Winterthur Museum and","page_number":23,"box":{"x":343,"y":208,"width":227,"height":9}},{"id":"7cb0766c-fa42-4b91-80d9-60765675b81a","block_type":"box","text":"Country Estate from 2005 to 2016; Member","page_number":23,"box":{"x":343,"y":219,"width":270,"height":10}},{"id":"70e3d1de-8fe9-4c6c-b065-16e7ff09ec4a","block_type":"box","text":"of the Investment Committee, Delaware","page_number":23,"box":{"x":343,"y":231,"width":239,"height":10}},{"id":"b908dbc8-6b47-494f-abc6-c54611c87410","block_type":"box","text":"Public Employees’ Retirement System from","page_number":23,"box":{"x":343,"y":243,"width":259,"height":10}},{"id":"29807b9a-9da0-44ac-951f-09c9de0acd8f","block_type":"box","text":"2002 to 2024; Member of the Investment","page_number":23,"box":{"x":343,"y":255,"width":254,"height":10}},{"id":"409c2ecf-a9b3-425c-82f0-340d41c319a1","block_type":"box","text":"Committee, Christiana Care Health System","page_number":23,"box":{"x":343,"y":267,"width":258,"height":10}},{"id":"b30002ce-4b28-4e19-9474-a1ee307807b8","block_type":"box","text":"from 2009 to 2017; Member of the","page_number":23,"box":{"x":342,"y":279,"width":215,"height":10}},{"id":"fdc176e7-f358-4c39-99bf-9d5bca7c742f","block_type":"box","text":"Investment Committee, Delaware Community","page_number":23,"box":{"x":343,"y":291,"width":273,"height":10}},{"id":"7d69dc1e-0133-43af-9838-de9be93cdbcf","block_type":"box","text":"Foundation from 2013 to 2014; Director and","page_number":23,"box":{"x":343,"y":303,"width":269,"height":10}},{"id":"6e3a97ac-0d22-40db-93d9-7fdc8fb07066","block_type":"box","text":"Chair of the Audit Committee, SEI Private","page_number":23,"box":{"x":343,"y":315,"width":246,"height":10}},{"id":"4d1cfb14-0c8a-45e8-b841-d4412220291b","block_type":"box","text":"Trust Co. from 2001 to 2014.","page_number":23,"box":{"x":342,"y":327,"width":180,"height":8}},{"id":"eb801540-f58a-4a01-a89a-a2c573301921","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":171,"width":129,"height":11}},{"id":"5f8a37ed-ec56-447c-8292-873b14283ac8","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":183,"width":85,"height":9}},{"id":"aea76196-aab3-4fd3-9c91-8a65052e05dc","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":172,"width":30,"height":8}},{"id":"c63506e2-da16-415d-8bcf-d9ef739bfc43","block_type":"box","text":"Christopher J. Ailman","page_number":23,"box":{"x":69,"y":345,"width":126,"height":10}},{"id":"f0ac1470-b5fa-413f-b72a-df2c7bf6e770","block_type":"box","text":"1958","page_number":23,"box":{"x":69,"y":361,"width":33,"height":8}},{"id":"e69a3f7c-8b55-4a3a-bc47-e3af1dd8f56b","block_type":"box","text":"Director","page_number":23,"box":{"x":236,"y":345,"width":46,"height":8}},{"id":"be27aa13-c97a-422c-9070-9852999b7acc","block_type":"box","text":"(Since 2024)","page_number":23,"box":{"x":235,"y":357,"width":78,"height":10}},{"id":"4c676e1d-26a5-457c-bc5f-58ad2c147bc6","block_type":"box","text":"Principal, Ailman Advisers, since 2024; Chief","page_number":23,"box":{"x":343,"y":345,"width":270,"height":10}},{"id":"cbcce675-0918-45a8-99d0-84b776c0a471","block_type":"box","text":"Investment Officer, California State Teachers","page_number":23,"box":{"x":343,"y":357,"width":268,"height":9}},{"id":"d1ce5e4c-345d-487a-96c4-594348fc1927","block_type":"box","text":"Retirement System (CalSTRS) from 2000 to","page_number":23,"box":{"x":343,"y":369,"width":264,"height":10}},{"id":"de6a46ca-c7a3-43cc-8e0e-c0508bf8f837","block_type":"box","text":"2024.","page_number":23,"box":{"x":343,"y":381,"width":36,"height":8}},{"id":"71415d05-f783-4187-b7f8-0565eee74390","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":345,"width":129,"height":10}},{"id":"fd847d4e-777d-43aa-a7e1-fa1531ae3438","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":357,"width":85,"height":8}},{"id":"ef232fc6-f4d3-421e-a15d-8a89efc6120b","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":345,"width":30,"height":8}},{"id":"75823593-db49-443b-b8b9-b988d6120978","block_type":"box","text":"Susan J. Carter","page_number":23,"box":{"x":69,"y":398,"width":93,"height":8}},{"id":"376bef8b-921d-4cd5-828d-e6d274c7cde4","block_type":"box","text":"1956","page_number":23,"box":{"x":69,"y":414,"width":33,"height":8}},{"id":"01ae477b-2dcc-4b83-b018-96534ad4fe0e","block_type":"box","text":"Director","page_number":23,"box":{"x":236,"y":399,"width":46,"height":7}},{"id":"0dc265d0-05bb-4484-9d22-989c4593b5a7","block_type":"box","text":"(Since 2019)","page_number":23,"box":{"x":235,"y":410,"width":78,"height":10}},{"id":"d74899fb-78e5-4b5e-b6ca-461be195d591","block_type":"box","text":"Trustee, Financial Accounting Foundation","page_number":23,"box":{"x":342,"y":399,"width":246,"height":9}},{"id":"d20712b8-2008-421f-ba8e-642795409e56","block_type":"box","text":"from 2017 to 2021; Advisory Board","page_number":23,"box":{"x":342,"y":410,"width":217,"height":10}},{"id":"6097cb26-6720-4e95-be21-27af1abd2e6b","block_type":"box","text":"Member, Center for Private Equity and","page_number":23,"box":{"x":343,"y":422,"width":227,"height":10}},{"id":"61243ad4-9c7b-43ef-b17f-89942ed71f74","block_type":"box","text":"Entrepreneurship at Tuck School of Business","page_number":23,"box":{"x":343,"y":434,"width":270,"height":10}},{"id":"ffdff5bd-cd8d-4762-9e7c-4192ac237c26","block_type":"box","text":"from 1997 to 2021; Director, Pacific Pension","page_number":23,"box":{"x":342,"y":446,"width":272,"height":10}},{"id":"4fe79ca2-c31f-4062-ac93-d062a3dca99a","block_type":"box","text":"Institute from 2014 to 2018; Senior Advisor,","page_number":23,"box":{"x":343,"y":458,"width":267,"height":10}},{"id":"3a798627-ef84-4a82-bf96-05fd29857fd2","block_type":"box","text":"Commonfund Capital, Inc. (“CCI”)","page_number":23,"box":{"x":343,"y":470,"width":201,"height":10}},{"id":"46dc3c53-69d2-41b8-bd99-1995b89e79e9","block_type":"box","text":"(investment adviser) in 2015; Chief Executive","page_number":23,"box":{"x":343,"y":482,"width":272,"height":10}},{"id":"128c37c8-f92b-4059-bdb1-6e1d3442a402","block_type":"box","text":"Officer, CCI from 2013 to 2014; President &","page_number":23,"box":{"x":343,"y":494,"width":268,"height":9}},{"id":"93b5247c-5555-4ce3-aa76-e2aa6751de6b","block_type":"box","text":"Chief Executive Officer, CCI from 1997 to","page_number":23,"box":{"x":343,"y":506,"width":247,"height":9}},{"id":"ed517211-fbba-4f72-bb14-849107348d4c","block_type":"box","text":"2013; Advisory Board Member, Girls Who","page_number":23,"box":{"x":343,"y":518,"width":250,"height":10}},{"id":"fb55220c-7ce8-4bed-8e6d-9110cf46135f","block_type":"box","text":"Invest from 2015 to 2018 and Board","page_number":23,"box":{"x":343,"y":530,"width":223,"height":8}},{"id":"74baa825-3aac-42f9-a165-76d4fab55876","block_type":"box","text":"Member thereof from 2018 to 2022;","page_number":23,"box":{"x":343,"y":542,"width":222,"height":9}},{"id":"0e9ec071-0d1c-45e3-960c-2726097ba0ca","block_type":"box","text":"Advisory Board Member, Bridges Fund","page_number":23,"box":{"x":342,"y":554,"width":230,"height":10}},{"id":"4ae4bdfa-2960-4529-bbd4-32d66db18720","block_type":"box","text":"Management from 2016 to 2018;","page_number":23,"box":{"x":343,"y":566,"width":204,"height":10}},{"id":"d3afa2cb-a348-4632-b523-7d6791bac0a3","block_type":"box","text":"Practitioner Advisory Board Member, Private","page_number":23,"box":{"x":343,"y":578,"width":263,"height":10}},{"id":"f383800b-4272-4e62-bb11-558f6bf760fa","block_type":"box","text":"Capital Research Institute (“PCRI”) from","page_number":23,"box":{"x":343,"y":590,"width":240,"height":10}},{"id":"e1f8f9c0-0ff5-43c8-8f0f-dae1a511c94e","block_type":"box","text":"2017 to 2024; Lecturer in the Practice of","page_number":23,"box":{"x":343,"y":602,"width":249,"height":9}},{"id":"65236732-3570-4557-aa23-c7faf0976f27","block_type":"box","text":"Management, Yale School of Management","page_number":23,"box":{"x":343,"y":614,"width":255,"height":10}},{"id":"9fc8f404-c5a7-4fa9-93d2-927fc2c65a89","block_type":"box","text":"from 2019 to 2025; Advisor to Finance","page_number":23,"box":{"x":342,"y":626,"width":236,"height":9}},{"id":"0da2fa46-b193-40de-997f-f43e43f87d1a","block_type":"box","text":"Committee, Altman Foundation from 2020 to","page_number":23,"box":{"x":343,"y":638,"width":271,"height":9}},{"id":"2151f9ef-5893-4ffb-b0aa-09dd3e8ea96c","block_type":"box","text":"2024; Investment Committee Member,","page_number":23,"box":{"x":343,"y":650,"width":234,"height":9}},{"id":"addeea46-facd-4080-844f-01e6acb01c85","block_type":"box","text":"Tostan since 2021; Member of the","page_number":23,"box":{"x":342,"y":662,"width":210,"height":9}},{"id":"7713decd-60c6-47bb-8cc7-9ba926231947","block_type":"box","text":"President’s Counsel, Commonfund since","page_number":23,"box":{"x":343,"y":674,"width":245,"height":9}},{"id":"754fc2a0-df58-4f85-8aa1-9b5b49ac40c7","block_type":"box","text":"2023.","page_number":23,"box":{"x":343,"y":686,"width":36,"height":8}},{"id":"a597336f-6a48-40ee-8a2d-9252675f6ea6","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":398,"width":129,"height":10}},{"id":"16a5bf3a-6d24-4992-9889-b1be5aa8d150","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":410,"width":85,"height":8}},{"id":"204b908f-a465-46bd-ad75-6a28971779f2","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":399,"width":30,"height":7}},{"id":"9bf0d5f7-b698-4d24-a495-6d9ed5392613","block_type":"box","text":"Collette Chilton","page_number":23,"box":{"x":69,"y":703,"width":90,"height":8}},{"id":"d227cda9-300b-47ad-bbe8-585f3f9328ad","block_type":"box","text":"1958","page_number":23,"box":{"x":69,"y":719,"width":33,"height":8}},{"id":"0db119a1-7a6f-44c9-9472-e00af6032313","block_type":"box","text":"Director","page_number":23,"box":{"x":236,"y":703,"width":46,"height":8}},{"id":"76051aca-f626-4a77-bb17-33a4952ad684","block_type":"box","text":"(Since 2019)","page_number":23,"box":{"x":235,"y":715,"width":78,"height":10}},{"id":"3c2b2f62-8335-4aec-a868-fdd92dfbd294","block_type":"box","text":"Trustee, UC Berkeley Foundation Board since","page_number":23,"box":{"x":342,"y":703,"width":273,"height":10}},{"id":"31795ed5-e66b-40d5-b1cd-ccf5e5f82c68","block_type":"box","text":"2024; Committee member, Oxford University","page_number":23,"box":{"x":343,"y":715,"width":269,"height":10}},{"id":"c23187ea-f78c-43e7-9a85-be56f5f5eb78","block_type":"box","text":"Endowment Management since 2024;","page_number":23,"box":{"x":343,"y":727,"width":230,"height":10}},{"id":"e85967e1-e842-48be-9a33-d926883756e2","block_type":"box","text":"Senior advisor, Insignia since 2024; Chief","page_number":23,"box":{"x":343,"y":739,"width":252,"height":10}},{"id":"413be3a7-2ad5-4b26-9697-17e21a9936ed","block_type":"box","text":"Investment Officer, Williams College from","page_number":23,"box":{"x":343,"y":751,"width":247,"height":10}},{"id":"a8cda01a-b910-492a-992a-d4d874ab167d","block_type":"box","text":"2006 to 2023; Chief Investment Officer,","page_number":23,"box":{"x":343,"y":763,"width":242,"height":9}},{"id":"7c79526f-112a-49a4-b93b-b965f0241f68","block_type":"box","text":"Lucent Asset Management Corporation from","page_number":23,"box":{"x":343,"y":775,"width":266,"height":10}},{"id":"256e7f68-8f0a-43af-8133-8f4c143f45ef","block_type":"box","text":"1998 to 2006; Director, Boys and Girls Club","page_number":23,"box":{"x":343,"y":787,"width":266,"height":10}},{"id":"a10ee9f5-bd78-4e22-a03a-55eda3c42ec9","block_type":"box","text":"of Boston since 2017; Director, B1 Capital","page_number":23,"box":{"x":343,"y":799,"width":255,"height":10}},{"id":"0d084647-eb96-471f-8a27-c19e2d0648f5","block_type":"box","text":"since 2018.","page_number":23,"box":{"x":343,"y":811,"width":72,"height":8}},{"id":"884a5c92-99ae-4969-b2b9-813e7cdfa405","block_type":"box","text":"26 RICs consisting of","page_number":23,"box":{"x":627,"y":703,"width":129,"height":10}},{"id":"744c3d24-33c8-4345-ba4b-d3641a2ed751","block_type":"box","text":"170 Portfolios","page_number":23,"box":{"x":627,"y":715,"width":85,"height":8}},{"id":"0fc68b08-69f2-4a30-810b-30e9864266a3","block_type":"box","text":"None","page_number":23,"box":{"x":774,"y":703,"width":30,"height":8}},{"id":"aa2c67fd-3539-40a5-8618-4e09d0ffb91c","block_type":"box","text":"I-14","page_number":23,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"c44db61a-cac9-4321-8a60-d053c7667a0f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":23,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3848be7a-d311-4b91-838a-b76caa93789a","block_type":"box","text":"Name","page_number":24,"box":{"x":131,"y":130,"width":32,"height":7}},{"id":"eb075621-5dcf-4b76-8ab6-1b799847bc81","block_type":"box","text":"and Year of Birth","page_number":24,"box":{"x":93,"y":140,"width":97,"height":7}},{"id":"b290e4d9-638e-4019-b8be-1cc193b1582f","block_type":"box","text":"1,2","page_number":24,"box":{"x":191,"y":140,"width":9,"height":4}},{"id":"baf6f3b2-b6cc-4051-bbc7-968e3206f085","block_type":"box","text":"Position(s)","page_number":24,"box":{"x":252,"y":109,"width":62,"height":9}},{"id":"afc2825b-7724-41b7-941d-6853159eb46f","block_type":"box","text":"Held","page_number":24,"box":{"x":271,"y":120,"width":25,"height":7}},{"id":"bbc33a3f-0223-42ba-b533-f340cd5128d5","block_type":"box","text":"(Length","page_number":24,"box":{"x":262,"y":130,"width":43,"height":8}},{"id":"ee735b88-00c9-4301-86d7-ed69048ea92e","block_type":"box","text":"of Service)","page_number":24,"box":{"x":250,"y":140,"width":62,"height":8}},{"id":"2ee613d0-8105-4275-be30-2e27ca3fc45f","block_type":"box","text":"3","page_number":24,"box":{"x":313,"y":140,"width":4,"height":3}},{"id":"6ebbc2b5-fd2d-407a-b3df-3380c2dee3e2","block_type":"box","text":"Principal Occupation(s)","page_number":24,"box":{"x":411,"y":130,"width":136,"height":8}},{"id":"6afdf2da-fdf8-484f-8145-afd2529980ce","block_type":"box","text":"During Past Five Years","page_number":24,"box":{"x":414,"y":140,"width":130,"height":9}},{"id":"e4d780c3-916c-4b7b-8875-b3660e7d0e6c","block_type":"box","text":"Number of BlackRock","page_number":24,"box":{"x":630,"y":49,"width":129,"height":7}},{"id":"9af26efc-809d-4281-8b2a-23a6c5319db6","block_type":"box","text":"Advised Registered","page_number":24,"box":{"x":638,"y":59,"width":112,"height":9}},{"id":"b475e38a-31b2-4227-b791-f39acea91985","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":69,"width":65,"height":7}},{"id":"ecdbbe28-8018-4b4a-972a-5181c811bddd","block_type":"box","text":"Companies","page_number":24,"box":{"x":663,"y":79,"width":63,"height":9}},{"id":"588b8b75-39f1-41a7-8d5a-e623c98f711b","block_type":"box","text":"(“RICs”)","page_number":24,"box":{"x":670,"y":89,"width":48,"height":9}},{"id":"8425f12d-d8eb-47aa-94b0-060c11e8739c","block_type":"box","text":"Consisting of","page_number":24,"box":{"x":656,"y":99,"width":77,"height":9}},{"id":"9d4d160d-bfd0-4e68-b827-b3c46e0caeeb","block_type":"box","text":"Investment","page_number":24,"box":{"x":662,"y":110,"width":65,"height":7}},{"id":"3a563c57-53df-4d91-8339-e174f523f0e1","block_type":"box","text":"Portfolios","page_number":24,"box":{"x":667,"y":120,"width":55,"height":7}},{"id":"0b450e04-bd66-4181-8aa5-93db3295f254","block_type":"box","text":"(“Portfolios”)","page_number":24,"box":{"x":655,"y":130,"width":78,"height":8}},{"id":"577118e5-f28e-454b-92a0-c4e009a70510","block_type":"box","text":"Overseen","page_number":24,"box":{"x":668,"y":140,"width":53,"height":7}},{"id":"bc00d507-bfab-4c41-9fba-23d4a2973c2c","block_type":"box","text":"Public","page_number":24,"box":{"x":824,"y":69,"width":35,"height":7}},{"id":"69b9f66f-3560-43ec-ad12-c41e5be9e2d1","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":79,"width":53,"height":9}},{"id":"27a92cce-1703-42cc-bc7e-53e49c97c720","block_type":"box","text":"and Other","page_number":24,"box":{"x":813,"y":89,"width":57,"height":7}},{"id":"23cdf7d6-6823-4751-aae3-d71bfb7fe904","block_type":"box","text":"Investment","page_number":24,"box":{"x":809,"y":100,"width":64,"height":7}},{"id":"f00b7d34-cd89-4aee-9a1e-2a157c3fa5f9","block_type":"box","text":"Company","page_number":24,"box":{"x":815,"y":109,"width":53,"height":9}},{"id":"4e38d6ee-9a51-426a-a8b4-ac3e5e17a0f1","block_type":"box","text":"Directorships","page_number":24,"box":{"x":803,"y":120,"width":77,"height":8}},{"id":"4b92b0a9-4486-433c-8947-10f2590de4d6","block_type":"box","text":"Held During","page_number":24,"box":{"x":808,"y":130,"width":67,"height":8}},{"id":"71f73ca4-6860-4b8d-adf3-483bf7db2198","block_type":"box","text":"Past Five Years","page_number":24,"box":{"x":797,"y":140,"width":88,"height":7}},{"id":"ed9bdd8c-4d12-4c5b-acfb-45abb435b14a","block_type":"box","text":"Neil A. Cotty","page_number":24,"box":{"x":69,"y":154,"width":73,"height":10}},{"id":"6cef16fd-7000-42e5-a15c-d01c888a5cf0","block_type":"box","text":"1954","page_number":24,"box":{"x":69,"y":170,"width":33,"height":8}},{"id":"2b82f976-59fc-4fd9-bdef-2de2a0aa8f3f","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":154,"width":46,"height":8}},{"id":"2944699b-ad2a-4580-8648-b5292758f756","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":166,"width":78,"height":10}},{"id":"6d1a5f5b-a815-4f88-9d43-531898eea6e8","block_type":"box","text":"Bank of America Corporation from 1996 to","page_number":24,"box":{"x":343,"y":154,"width":256,"height":10}},{"id":"07b03aab-f722-4376-8e9a-887cca48e073","block_type":"box","text":"2015, serving in various senior finance","page_number":24,"box":{"x":343,"y":166,"width":235,"height":10}},{"id":"909c8a62-515a-4eb6-8d86-d07423969f91","block_type":"box","text":"leadership roles, including Chief Accounting","page_number":24,"box":{"x":343,"y":178,"width":261,"height":10}},{"id":"aa12ecbe-6953-4786-8aaf-6cb78317f7d1","block_type":"box","text":"Officer from 2009 to 2015, Chief Financial","page_number":24,"box":{"x":343,"y":190,"width":256,"height":9}},{"id":"f33b673c-1a52-4cb8-9461-7e54301dcd98","block_type":"box","text":"Officer of Global Banking, Markets and","page_number":24,"box":{"x":343,"y":202,"width":232,"height":10}},{"id":"c0346d54-1d1a-46e5-8ec4-b7f642802b55","block_type":"box","text":"Wealth Management from 2008 to 2009,","page_number":24,"box":{"x":342,"y":214,"width":251,"height":10}},{"id":"26179f33-d604-4210-aa8c-d7bda24adaa2","block_type":"box","text":"Chief Accounting Officer from 2004 to 2008,","page_number":24,"box":{"x":343,"y":226,"width":269,"height":10}},{"id":"edef5ba3-7b5f-42ea-8794-ee06e3cd3f0b","block_type":"box","text":"Chief Financial Officer of Consumer Bank","page_number":24,"box":{"x":343,"y":238,"width":247,"height":8}},{"id":"e42086e0-5126-48e7-ab3d-06ccdeb6716d","block_type":"box","text":"from 2003 to 2004, Chief Financial Officer of","page_number":24,"box":{"x":342,"y":250,"width":274,"height":9}},{"id":"658c0f1d-6b12-454e-8312-76b309a5909b","block_type":"box","text":"Global Corporate Investment Bank from","page_number":24,"box":{"x":343,"y":262,"width":237,"height":9}},{"id":"f9e18993-7866-4704-a405-2178d18bf33e","block_type":"box","text":"1999 to 2002.","page_number":24,"box":{"x":343,"y":274,"width":89,"height":8}},{"id":"2b2c3c04-2f04-4faf-bde7-11b1a409581e","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":154,"width":129,"height":10}},{"id":"b7a0e5a4-c697-40df-8b7a-6a7ccf303c7b","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":166,"width":85,"height":8}},{"id":"cd1068b4-4a84-4690-b777-9a89c6d7b69e","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":154,"width":30,"height":8}},{"id":"6f2ffecc-2bde-47e5-ac3f-6cf4a27546da","block_type":"box","text":"Jeffrey Jarczyk","page_number":24,"box":{"x":69,"y":291,"width":86,"height":10}},{"id":"eed45f63-d86d-470c-a9f6-f42b8f15350a","block_type":"box","text":"1964","page_number":24,"box":{"x":69,"y":307,"width":33,"height":8}},{"id":"3cacb480-afd0-496b-8a3a-f67e6b4f45ec","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":291,"width":46,"height":8}},{"id":"fed4ed0a-6a0b-4471-a770-c1135e385e1b","block_type":"box","text":"(Since 2026)","page_number":24,"box":{"x":235,"y":303,"width":78,"height":10}},{"id":"a59b7020-8104-4918-b3e7-2075bfba39db","block_type":"box","text":"Director, The Friends of the Public Garden","page_number":24,"box":{"x":343,"y":291,"width":249,"height":10}},{"id":"4b82b38f-faa2-4afc-bd74-4e6079968843","block_type":"box","text":"since 2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":303,"width":263,"height":10}},{"id":"6d3dd415-a9ad-4578-b140-8d5fabe0ee55","block_type":"box","text":"Auditor, Fidelity Investments from 2016 to","page_number":24,"box":{"x":342,"y":315,"width":253,"height":10}},{"id":"a7fafdba-a50b-4774-8ed4-2903f555ef6f","block_type":"box","text":"2021; Executive Vice President, Chief","page_number":24,"box":{"x":343,"y":327,"width":227,"height":10}},{"id":"6607c50d-2ff8-4fdc-af1d-8537829dc10f","block_type":"box","text":"Accounting Officer, Fidelity Investments from","page_number":24,"box":{"x":342,"y":339,"width":267,"height":10}},{"id":"03e21497-3521-4e8e-b36a-dc0d28935b97","block_type":"box","text":"2007 to 2016.","page_number":24,"box":{"x":343,"y":351,"width":89,"height":8}},{"id":"29eeb0fa-c310-4e2e-9913-75967f864cea","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":291,"width":129,"height":10}},{"id":"8d2b555c-3fb2-4840-a599-3705f749e2b7","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":303,"width":85,"height":8}},{"id":"29b70e80-cc1d-4e44-b77d-046e685246b3","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":291,"width":30,"height":8}},{"id":"dd90d266-1307-4b4f-8440-ef9c87ae64f5","block_type":"box","text":"Henry R. Keizer","page_number":24,"box":{"x":69,"y":369,"width":93,"height":10}},{"id":"e50de363-4ac9-4d5f-980e-fd33a99d906e","block_type":"box","text":"1956","page_number":24,"box":{"x":69,"y":385,"width":33,"height":8}},{"id":"5a81e3ab-3b71-4054-acba-c305f78c9d05","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":369,"width":46,"height":8}},{"id":"50f068da-9ad2-4dc8-8449-88396094a112","block_type":"box","text":"(Since 2016)","page_number":24,"box":{"x":235,"y":381,"width":78,"height":10}},{"id":"5182bedc-6af3-4de0-b21b-a4a71ac3e532","block_type":"box","text":"Director, Park Indemnity Ltd. (captive insurer)","page_number":24,"box":{"x":343,"y":369,"width":269,"height":10}},{"id":"bba146c4-4c67-4e5b-a8f1-d00d657e4364","block_type":"box","text":"from 2010 to 2022.","page_number":24,"box":{"x":342,"y":381,"width":122,"height":8}},{"id":"b93ec775-afe9-4527-b5f0-e8427fd9d857","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":369,"width":129,"height":10}},{"id":"42b5497f-6625-40da-a206-e034de32a2d2","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":381,"width":85,"height":8}},{"id":"3ffcf743-ce64-48eb-a862-c59db2f3cc7a","block_type":"box","text":"GrafTech International","page_number":24,"box":{"x":773,"y":369,"width":131,"height":8}},{"id":"72a991d7-19d7-4e31-a7e4-b039eae179ed","block_type":"box","text":"Ltd. (materials","page_number":24,"box":{"x":774,"y":381,"width":85,"height":10}},{"id":"ebe0240c-27c2-47fc-9b27-21e836a0a587","block_type":"box","text":"manufacturing);","page_number":24,"box":{"x":774,"y":393,"width":92,"height":10}},{"id":"9305de6e-5032-4353-b026-7d66ff73cf86","block_type":"box","text":"Sealed Air Corp.","page_number":24,"box":{"x":773,"y":405,"width":96,"height":9}},{"id":"4d0cab5c-36c3-47c3-8cbd-eabee5d36fbd","block_type":"box","text":"(packaging); Hertz","page_number":24,"box":{"x":773,"y":417,"width":109,"height":10}},{"id":"2b308ef5-4856-4784-8305-459a815e914f","block_type":"box","text":"Global Holdings (car","page_number":24,"box":{"x":773,"y":429,"width":121,"height":10}},{"id":"17e70821-262c-4064-aa1d-26efe736b334","block_type":"box","text":"rental) from 2015 to","page_number":24,"box":{"x":774,"y":440,"width":122,"height":10}},{"id":"d3098e2b-28dd-4cb3-b949-cc57aa4d9b7e","block_type":"box","text":"2021.","page_number":24,"box":{"x":773,"y":453,"width":36,"height":8}},{"id":"9a4e45da-1673-4f91-abf9-1553581b3ac7","block_type":"box","text":"Cynthia A. Montgomery","page_number":24,"box":{"x":69,"y":470,"width":140,"height":10}},{"id":"e34dbf5d-0272-4a74-8ca3-2536c960f167","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":486,"width":32,"height":8}},{"id":"6afcbf02-748a-4508-af04-affbd87d03fa","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":470,"width":46,"height":8}},{"id":"d28c0830-ca58-4bcb-9ffa-f60d8e11ae11","block_type":"box","text":"(Since 2019)","page_number":24,"box":{"x":235,"y":482,"width":78,"height":10}},{"id":"ebc59b6a-5306-499a-95f7-e19ec0271842","block_type":"box","text":"Professor, Harvard Business School since","page_number":24,"box":{"x":343,"y":470,"width":253,"height":10}},{"id":"3192c676-ec19-44c2-b6d9-84ef14d333fa","block_type":"box","text":"1989.","page_number":24,"box":{"x":343,"y":482,"width":36,"height":8}},{"id":"23bd2319-9a9c-4a62-bb4e-4089cc3ab3f8","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":470,"width":129,"height":10}},{"id":"4f2810da-4142-4dbf-8c58-1dd67a6580db","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":482,"width":85,"height":8}},{"id":"69aa4c7d-47f8-4a99-8f96-2897115d4b45","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":470,"width":30,"height":8}},{"id":"2bccb08c-7fae-4f0d-8558-5385fa3bc73c","block_type":"box","text":"Donald C. Opatrny","page_number":24,"box":{"x":70,"y":504,"width":108,"height":10}},{"id":"d6285fc2-c633-409b-96b2-0b9dab51036c","block_type":"box","text":"1952","page_number":24,"box":{"x":69,"y":519,"width":32,"height":8}},{"id":"ee326a55-3e6c-4f60-800c-69ef01855d8f","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":504,"width":46,"height":8}},{"id":"aa645771-9221-4956-9790-df418433d17f","block_type":"box","text":"(Since 2015)","page_number":24,"box":{"x":235,"y":516,"width":78,"height":9}},{"id":"d27a62df-920f-46d2-865e-ee8ae87e0e6e","block_type":"box","text":"Chair of the Board of Phoenix Art Museum","page_number":24,"box":{"x":343,"y":503,"width":253,"height":9}},{"id":"61e168e4-d686-4dc4-b109-17e9e053a7d0","block_type":"box","text":"since 2022 and Trustee thereof since 2018;","page_number":24,"box":{"x":343,"y":515,"width":268,"height":10}},{"id":"cbc9e65d-d0fc-43e8-b870-9297fa06bf28","block_type":"box","text":"Chair of the Investment Committee of The","page_number":24,"box":{"x":343,"y":527,"width":251,"height":9}},{"id":"9f2b1b03-49fb-40b3-8725-6297947787fc","block_type":"box","text":"Arizona Community Foundation since 2022","page_number":24,"box":{"x":342,"y":539,"width":259,"height":10}},{"id":"9e2deaf5-3374-4a2c-8fc7-43f441e23b11","block_type":"box","text":"and Trustee thereof since 2020; Director,","page_number":24,"box":{"x":343,"y":551,"width":249,"height":10}},{"id":"a7b3e30b-bfc2-48b2-a400-c37d5037acc4","block_type":"box","text":"Athena Capital Advisors LLC (investment","page_number":24,"box":{"x":342,"y":563,"width":244,"height":10}},{"id":"aa779fe8-e022-498a-a87f-168d58011cda","block_type":"box","text":"management firm) from 2013 to 2020;","page_number":24,"box":{"x":343,"y":575,"width":236,"height":10}},{"id":"c3cb0792-42fa-4bc9-bb1c-79ac06906c83","block_type":"box","text":"Trustee, Vice Chair, Member of the Executive","page_number":24,"box":{"x":342,"y":587,"width":270,"height":10}},{"id":"ac5414bd-2b00-452d-932b-cf90ebf6e93b","block_type":"box","text":"Committee and Chair of the Investment","page_number":24,"box":{"x":343,"y":599,"width":237,"height":8}},{"id":"a3a61d2b-380f-4305-9f0a-23f84389b433","block_type":"box","text":"Committee, Cornell University from 2004 to","page_number":24,"box":{"x":343,"y":611,"width":262,"height":10}},{"id":"6d32909c-d58c-46e7-945b-e34385c398e5","block_type":"box","text":"2019; Member of Affordable Housing Supply","page_number":24,"box":{"x":343,"y":623,"width":270,"height":10}},{"id":"353814d2-b87e-4356-beed-c96f610abf1f","block_type":"box","text":"Board of Jackson, Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":635,"width":251,"height":10}},{"id":"5117f721-c441-4f06-a900-8ddf38f0d0d3","block_type":"box","text":"2022; Member, Investment Funds","page_number":24,"box":{"x":343,"y":647,"width":205,"height":10}},{"id":"e76e9078-7211-40e0-9e23-0d756b1b3ee8","block_type":"box","text":"Committee, State of Wyoming from 2017 to","page_number":24,"box":{"x":343,"y":659,"width":264,"height":10}},{"id":"2c119c0b-7d58-429d-a798-3e2be8022ea6","block_type":"box","text":"2023; Member of the Investment","page_number":24,"box":{"x":343,"y":671,"width":201,"height":9}},{"id":"a7b9985a-358f-42f3-80c9-59f2119f651c","block_type":"box","text":"Committee, Mellon Foundation from 2009 to","page_number":24,"box":{"x":343,"y":683,"width":269,"height":9}},{"id":"c1e7938a-0475-42f0-af0d-a7198530ef07","block_type":"box","text":"2015; President, Trustee and Member of the","page_number":24,"box":{"x":343,"y":695,"width":270,"height":9}},{"id":"376ad71e-6131-4683-9c98-30a62e5030fc","block_type":"box","text":"Investment Committee, The Aldrich","page_number":24,"box":{"x":343,"y":707,"width":210,"height":9}},{"id":"e8aac9ee-bbf3-4561-a1c2-9f2c51e11946","block_type":"box","text":"Contemporary Art Museum from 2007 to","page_number":24,"box":{"x":343,"y":719,"width":248,"height":10}},{"id":"33679739-bc4a-4f66-9af5-3248cfcf0085","block_type":"box","text":"2014; Trustee and Chair of the Investment","page_number":24,"box":{"x":343,"y":731,"width":258,"height":9}},{"id":"b25ef638-42a0-4f1a-be80-c983c7376650","block_type":"box","text":"Committee, Community Foundation of","page_number":24,"box":{"x":343,"y":743,"width":228,"height":10}},{"id":"a409a791-e2aa-4837-a57d-eb20d4dff490","block_type":"box","text":"Jackson Hole since 2014.","page_number":24,"box":{"x":342,"y":755,"width":157,"height":8}},{"id":"f6999e2d-c8af-4b05-a29a-afadc3e78628","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":503,"width":129,"height":11}},{"id":"eaca2c7b-be31-4cc4-908d-014c57e36780","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":515,"width":85,"height":9}},{"id":"e126fc69-cd31-49a1-a991-0c95e437e200","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":504,"width":30,"height":8}},{"id":"35e970fe-099a-4dca-b26a-fe3470bd703c","block_type":"box","text":"Lori Richards","page_number":24,"box":{"x":69,"y":773,"width":78,"height":8}},{"id":"ec629412-721a-43d4-bb78-0acdf49a1399","block_type":"box","text":"1960","page_number":24,"box":{"x":69,"y":788,"width":33,"height":8}},{"id":"395acd3b-01ea-47bd-8449-18ddac96b74a","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":773,"width":46,"height":8}},{"id":"4327ef09-4b54-4a07-8649-3870d2a8498e","block_type":"box","text":"(Since 2024)","page_number":24,"box":{"x":235,"y":785,"width":78,"height":9}},{"id":"9307c4d7-6250-4005-be4b-b37fc4e1cbc9","block_type":"box","text":"President and Trustee, SEC Historical Society","page_number":24,"box":{"x":343,"y":773,"width":273,"height":9}},{"id":"2e52522e-f644-42ca-84e2-4e5f4a40148b","block_type":"box","text":"since 2018; Trustee, Garrett College","page_number":24,"box":{"x":343,"y":785,"width":220,"height":10}},{"id":"112aef7f-515d-48f7-a825-e620fa5e4028","block_type":"box","text":"Foundation since 2019; Member, Vice-Chair","page_number":24,"box":{"x":343,"y":796,"width":264,"height":10}},{"id":"531e83ca-68f0-4b31-9dbd-e82adf1e6e4c","block_type":"box","text":"or Chair of FINRA National Adjudicatory","page_number":24,"box":{"x":343,"y":808,"width":233,"height":10}},{"id":"196c835e-4e1f-450a-ac1f-218ac6a4697c","block_type":"box","text":"Council from 2019 to 2022; Director,","page_number":24,"box":{"x":343,"y":820,"width":223,"height":10}},{"id":"9147f92b-4adc-4638-962a-58618c80ec3a","block_type":"box","text":"PharmaCann, Inc. from 2021 to 2024;","page_number":24,"box":{"x":343,"y":832,"width":232,"height":10}},{"id":"fb67274d-183a-4c61-94e5-6ed9fc204620","block_type":"box","text":"Director, Wahed Invest from 2022 to 2024.","page_number":24,"box":{"x":343,"y":844,"width":260,"height":10}},{"id":"8b7c17d5-21c1-4bc4-9496-a5d4b307816b","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":772,"width":129,"height":11}},{"id":"9bb8d8c8-b1af-4324-8e3f-8b60502e6348","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":784,"width":85,"height":9}},{"id":"7f190745-5138-45c1-b2eb-718e3d7779e5","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":773,"width":30,"height":8}},{"id":"dc2542d3-e6f4-4b76-8425-9d7f8b321ade","block_type":"box","text":"Marc D. Stern","page_number":24,"box":{"x":69,"y":862,"width":83,"height":8}},{"id":"58986de1-5ba1-41f9-9519-a63a12ddda76","block_type":"box","text":"1962","page_number":24,"box":{"x":69,"y":878,"width":32,"height":8}},{"id":"a9981ddb-c8d0-4f64-95ad-a32494fa2de5","block_type":"box","text":"Director","page_number":24,"box":{"x":236,"y":862,"width":46,"height":8}},{"id":"4a8b3545-925f-4cda-998f-7cea5e502e50","block_type":"box","text":"(Since 2026)","page_number":24,"box":{"x":235,"y":874,"width":78,"height":10}},{"id":"0ecf9656-c80f-4f20-8c0d-e40b244b9e48","block_type":"box","text":"Chief Executive Officer and Director,","page_number":24,"box":{"x":343,"y":862,"width":214,"height":9}},{"id":"4db96c62-c609-4fdc-a94b-3b2cc0e318c6","block_type":"box","text":"Bessemer Trust from 2013 to 2026.","page_number":24,"box":{"x":343,"y":874,"width":221,"height":8}},{"id":"78294f05-b355-4799-8832-4bcebe9ea74e","block_type":"box","text":"26 RICs consisting of","page_number":24,"box":{"x":627,"y":862,"width":129,"height":10}},{"id":"e4378014-5918-4be5-a3e5-d396ae1f002d","block_type":"box","text":"170 Portfolios","page_number":24,"box":{"x":627,"y":874,"width":85,"height":8}},{"id":"8f990621-6eae-49e6-a1d1-7cb0cd95ec2a","block_type":"box","text":"None","page_number":24,"box":{"x":774,"y":862,"width":30,"height":8}},{"id":"c48796bb-3b22-4fb1-b28a-6ef3ed584302","block_type":"box","text":"I-15","page_number":24,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"d2c6da4c-7af2-4552-9d33-fad0a3d70111","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":24,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d830abef-2b79-425b-a850-84e19b5ec7ce","block_type":"box","text":"Name","page_number":25,"box":{"x":131,"y":130,"width":32,"height":7}},{"id":"2b84e3f4-d5d4-4dbd-92aa-5d63eac5c742","block_type":"box","text":"and Year of Birth","page_number":25,"box":{"x":93,"y":140,"width":97,"height":7}},{"id":"f8011c60-3f73-455e-a804-63044e6072ae","block_type":"box","text":"1,2","page_number":25,"box":{"x":191,"y":140,"width":9,"height":4}},{"id":"8c08042b-12f4-41bd-a012-d08cef0d57cd","block_type":"box","text":"Position(s)","page_number":25,"box":{"x":252,"y":109,"width":62,"height":9}},{"id":"e29630ed-6886-40d5-9050-6dc1cd12a995","block_type":"box","text":"Held","page_number":25,"box":{"x":271,"y":120,"width":25,"height":7}},{"id":"57f9f0dd-dec8-4978-938b-6ea6017b3946","block_type":"box","text":"(Length","page_number":25,"box":{"x":262,"y":130,"width":43,"height":8}},{"id":"580ca4ef-93da-428e-864c-8dad862824b4","block_type":"box","text":"of Service)","page_number":25,"box":{"x":250,"y":140,"width":62,"height":8}},{"id":"c1907751-9e06-47f2-bf10-17712af069a7","block_type":"box","text":"3","page_number":25,"box":{"x":313,"y":140,"width":4,"height":3}},{"id":"f741410f-1c71-430a-ba49-771ec1c807ba","block_type":"box","text":"Principal Occupation(s)","page_number":25,"box":{"x":411,"y":130,"width":136,"height":8}},{"id":"08cfa3cb-9e5e-46a4-a2ad-9d10c8e9761f","block_type":"box","text":"During Past Five Years","page_number":25,"box":{"x":414,"y":140,"width":130,"height":9}},{"id":"dde60802-198d-4d4f-b6db-65e144ffdad2","block_type":"box","text":"Number of BlackRock","page_number":25,"box":{"x":630,"y":49,"width":129,"height":7}},{"id":"ee872e11-c77a-4036-8b04-7ccfb1b161cf","block_type":"box","text":"Advised Registered","page_number":25,"box":{"x":638,"y":59,"width":112,"height":9}},{"id":"8712f88a-9d11-4467-8b64-dba73f2bbba1","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":69,"width":65,"height":7}},{"id":"79bf2463-7ece-4c4f-9a47-4c4dec24558b","block_type":"box","text":"Companies","page_number":25,"box":{"x":663,"y":79,"width":63,"height":9}},{"id":"2998338e-82f3-4b8e-ae04-5e11be53fb74","block_type":"box","text":"(“RICs”)","page_number":25,"box":{"x":670,"y":89,"width":48,"height":9}},{"id":"fe8bc281-0948-483c-956f-7edabc6eb8d3","block_type":"box","text":"Consisting of","page_number":25,"box":{"x":656,"y":99,"width":77,"height":9}},{"id":"0bcff413-7c95-4969-af3e-177c1fc21ac1","block_type":"box","text":"Investment","page_number":25,"box":{"x":662,"y":110,"width":65,"height":7}},{"id":"d195b459-aa54-45ff-88da-489928807ada","block_type":"box","text":"Portfolios","page_number":25,"box":{"x":667,"y":120,"width":55,"height":7}},{"id":"e10aaaf3-b229-4bc1-87c5-c751f0ddba3f","block_type":"box","text":"(“Portfolios”)","page_number":25,"box":{"x":655,"y":130,"width":78,"height":8}},{"id":"4546f826-feec-4d6b-ac7b-f2e606f88b78","block_type":"box","text":"Overseen","page_number":25,"box":{"x":668,"y":140,"width":53,"height":7}},{"id":"2a7db049-29ba-4942-a195-727235fe0a7f","block_type":"box","text":"Public","page_number":25,"box":{"x":824,"y":69,"width":35,"height":7}},{"id":"1143b340-80e5-41d1-8c73-7ebb875a5721","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":79,"width":53,"height":9}},{"id":"2926e45b-e25b-4532-9939-a306e5c6f7e1","block_type":"box","text":"and Other","page_number":25,"box":{"x":813,"y":89,"width":57,"height":7}},{"id":"34f29531-ec2f-486d-803e-f058639cf35c","block_type":"box","text":"Investment","page_number":25,"box":{"x":809,"y":100,"width":64,"height":7}},{"id":"e95e8299-2e59-435d-8f2f-57d07d910422","block_type":"box","text":"Company","page_number":25,"box":{"x":815,"y":109,"width":53,"height":9}},{"id":"ab71d8f2-a1a8-4107-ba8f-66c3b35a2e66","block_type":"box","text":"Directorships","page_number":25,"box":{"x":803,"y":120,"width":77,"height":8}},{"id":"69e4b591-47a0-4d58-8058-f6133e09fb16","block_type":"box","text":"Held During","page_number":25,"box":{"x":808,"y":130,"width":67,"height":8}},{"id":"148020b3-c620-4560-8fcc-41c32e4ed829","block_type":"box","text":"Past Five Years","page_number":25,"box":{"x":797,"y":140,"width":88,"height":7}},{"id":"91fb2fa2-6aa4-439d-ad84-12b426341fc2","block_type":"box","text":"Kenneth L. Urish","page_number":25,"box":{"x":70,"y":154,"width":98,"height":8}},{"id":"8b4ef93b-f610-49e3-a96b-52750a910dda","block_type":"box","text":"1951","page_number":25,"box":{"x":69,"y":170,"width":33,"height":8}},{"id":"e7c7ea73-842b-4929-b092-9ef61b0290a5","block_type":"box","text":"Director","page_number":25,"box":{"x":236,"y":154,"width":46,"height":8}},{"id":"f57296f0-4e56-4f01-adf9-d60955ae8c92","block_type":"box","text":"(Since 2019)","page_number":25,"box":{"x":235,"y":166,"width":78,"height":10}},{"id":"200ad956-a7eb-426b-8ea3-0b23959bf4ad","block_type":"box","text":"Managing Partner, Urish Popeck & Co., LLC","page_number":25,"box":{"x":343,"y":154,"width":261,"height":10}},{"id":"d26c5c55-ba26-41ef-9965-85f13dfdbb3e","block_type":"box","text":"(certified public accountants and","page_number":25,"box":{"x":343,"y":166,"width":196,"height":10}},{"id":"0797c324-5847-4faa-983a-8f81bcd7d2cd","block_type":"box","text":"consultants) since 1976; Past-Chairman of","page_number":25,"box":{"x":343,"y":178,"width":259,"height":10}},{"id":"cae18d72-0cb7-40cb-8b64-6152a36a14e5","block_type":"box","text":"the Professional Ethics Committee of the","page_number":25,"box":{"x":342,"y":190,"width":247,"height":8}},{"id":"f6ec8c0e-8578-4650-88ea-2167003fd7f3","block_type":"box","text":"Pennsylvania Institute of Certified Public","page_number":25,"box":{"x":343,"y":202,"width":241,"height":10}},{"id":"5de9ae53-58e5-48bb-b1b2-70b6b9df3633","block_type":"box","text":"Accountants and Committee Member thereof","page_number":25,"box":{"x":342,"y":214,"width":273,"height":8}},{"id":"dee30f0c-f3f2-4194-bfab-1c1ee8d7e51e","block_type":"box","text":"since 2007; Member of External Advisory","page_number":25,"box":{"x":343,"y":226,"width":250,"height":10}},{"id":"7aae22b1-a7e8-4948-886e-1ed23641ad87","block_type":"box","text":"Board, The Pennsylvania State University","page_number":25,"box":{"x":343,"y":238,"width":246,"height":10}},{"id":"1161ae5a-b8da-4b5b-aaac-3ef4c5ef3736","block_type":"box","text":"Accounting Department since 2001,","page_number":25,"box":{"x":342,"y":250,"width":219,"height":10}},{"id":"147c2e93-db95-4c74-938a-aa49cc37a4fa","block_type":"box","text":"Emeritus since 2022; Principal, UP Strategic","page_number":25,"box":{"x":343,"y":262,"width":267,"height":10}},{"id":"eff9acf0-f43e-40ba-ab07-67fd8cce8cfe","block_type":"box","text":"Wealth Investment Advisors, LLC since","page_number":25,"box":{"x":342,"y":274,"width":233,"height":9}},{"id":"00b21629-6f16-49dc-9260-ada5eded7bca","block_type":"box","text":"2013; Trustee, The Holy Family Institute from","page_number":25,"box":{"x":343,"y":285,"width":272,"height":11}},{"id":"47fef90a-f7e1-40c1-ab7b-3588bcff8ad3","block_type":"box","text":"2001 to 2010; President and Trustee,","page_number":25,"box":{"x":343,"y":298,"width":230,"height":9}},{"id":"66a0b775-f722-477b-92ae-d35e1955a4bd","block_type":"box","text":"Pittsburgh Catholic Publishing Associates","page_number":25,"box":{"x":343,"y":310,"width":248,"height":10}},{"id":"6b09bda6-b5f7-43bb-9af6-ca31b54d050f","block_type":"box","text":"from 2003 to 2008; Director, Inter-Tel from","page_number":25,"box":{"x":342,"y":321,"width":259,"height":10}},{"id":"c67805c8-92b5-4fad-b0e6-8481f88ff735","block_type":"box","text":"2006 to 2007; Member, Advisory Board,","page_number":25,"box":{"x":343,"y":333,"width":245,"height":10}},{"id":"e243bd1d-ba2c-4259-9a46-877c008559d9","block_type":"box","text":"ESG Competent Boards since 2020.","page_number":25,"box":{"x":343,"y":345,"width":219,"height":10}},{"id":"ef6c1c31-1ddf-43d4-9ed8-77937484029d","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":154,"width":129,"height":10}},{"id":"7f5d5824-7d02-4671-9c8e-487f672575a0","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":166,"width":85,"height":8}},{"id":"0e5f76a9-7ae3-462d-90a0-fd4c3bf630ab","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":154,"width":30,"height":8}},{"id":"8977c4c0-d16f-4bff-a3f5-02472799ab4b","block_type":"box","text":"Claire A. Walton","page_number":25,"box":{"x":69,"y":363,"width":94,"height":8}},{"id":"62059764-87b9-4015-b210-a3b37a432052","block_type":"box","text":"1957","page_number":25,"box":{"x":69,"y":379,"width":32,"height":8}},{"id":"291061a2-50b6-401a-8252-11bda4e8f603","block_type":"box","text":"Director","page_number":25,"box":{"x":236,"y":363,"width":46,"height":8}},{"id":"58ee3597-4f97-4f08-b15e-f70c3dbc76e9","block_type":"box","text":"(Since 2019)","page_number":25,"box":{"x":235,"y":375,"width":78,"height":10}},{"id":"066d0c11-e63f-4557-8fbc-c82c8b0b0cb2","block_type":"box","text":"Director/Treasurer, Reading Community Trust","page_number":25,"box":{"x":343,"y":363,"width":273,"height":10}},{"id":"4ccf1196-91f2-4a34-9036-05be1c0c21f0","block_type":"box","text":"since 2024; Advisory Board Member,","page_number":25,"box":{"x":343,"y":375,"width":224,"height":10}},{"id":"be82bacc-9695-477c-8622-8b2c3d846ccd","block_type":"box","text":"Grossman School of Business at the","page_number":25,"box":{"x":343,"y":387,"width":221,"height":8}},{"id":"d36fbb09-9bd9-4c7e-9f93-cfbd31d545b8","block_type":"box","text":"University of Vermont since 2023; Advisory","page_number":25,"box":{"x":343,"y":399,"width":259,"height":10}},{"id":"3d1eb89d-9fd4-4ccf-a155-fe5962408104","block_type":"box","text":"Board Member, Scientific Financial Systems","page_number":25,"box":{"x":343,"y":411,"width":264,"height":10}},{"id":"05e6e5f3-a36b-40c0-9cea-6c9c32e5c4c7","block_type":"box","text":"from 2022 to 2025; General Partner of Neon","page_number":25,"box":{"x":342,"y":423,"width":273,"height":9}},{"id":"eadb3047-80ea-49b1-a452-801eedfd9797","block_type":"box","text":"Liberty Capital Management, LLC from 2003","page_number":25,"box":{"x":343,"y":435,"width":269,"height":10}},{"id":"e1606f49-bd9d-4c44-ab70-20e558d1a4a1","block_type":"box","text":"to 2023; Chief Operating Officer and Chief","page_number":25,"box":{"x":342,"y":447,"width":256,"height":10}},{"id":"943ae4fb-adbf-47b4-a655-8d20ab8d1a05","block_type":"box","text":"Financial Officer of Liberty Square Asset","page_number":25,"box":{"x":343,"y":459,"width":241,"height":10}},{"id":"b985f64c-8689-4dd7-9cd4-da80b51122d8","block_type":"box","text":"Management, LP / Steel Partners Japan","page_number":25,"box":{"x":343,"y":471,"width":242,"height":10}},{"id":"6b69de8c-57b8-4393-9b77-bc2b312e0abe","block_type":"box","text":"Asset Management, LP from 1998 to 2015;","page_number":25,"box":{"x":342,"y":483,"width":266,"height":10}},{"id":"61877029-96b9-4490-855f-740361c2e7d4","block_type":"box","text":"Director, Boston Hedge Fund Group from","page_number":25,"box":{"x":343,"y":495,"width":244,"height":10}},{"id":"ba2bd9fd-2625-485a-9c2a-c5440f0a6602","block_type":"box","text":"2009 to 2018; Director, Massachusetts","page_number":25,"box":{"x":343,"y":507,"width":242,"height":9}},{"id":"ff9f5251-0715-4cfa-aa8d-8545e95321a9","block_type":"box","text":"Council on Economic Education from 2013","page_number":25,"box":{"x":343,"y":519,"width":257,"height":8}},{"id":"43f51326-a762-4b4d-90db-b9d98b21d831","block_type":"box","text":"to 2015.","page_number":25,"box":{"x":342,"y":531,"width":53,"height":8}},{"id":"78703903-9509-439b-800c-39becd53e9ac","block_type":"box","text":"26 RICs consisting of","page_number":25,"box":{"x":627,"y":363,"width":129,"height":10}},{"id":"a3cd4366-1556-4304-b5fd-0e2534ffcc62","block_type":"box","text":"170 Portfolios","page_number":25,"box":{"x":627,"y":375,"width":85,"height":8}},{"id":"7fe746c5-6bc6-4637-be88-180e30151099","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":363,"width":30,"height":8}},{"id":"14a96227-73c5-4549-8297-18aeb21ef5ce","block_type":"box","text":"Interested Directors","page_number":25,"box":{"x":70,"y":548,"width":126,"height":8}},{"id":"7a42db66-ec42-4d73-95eb-70884ff96af2","block_type":"box","text":"5","page_number":25,"box":{"x":197,"y":544,"width":4,"height":4}},{"id":"6eebb076-21cf-4517-977b-3603bbfbe80b","block_type":"box","text":"Robert Fairbairn","page_number":25,"box":{"x":69,"y":566,"width":96,"height":8}},{"id":"496076e0-dae5-496f-bfe5-747a7348704f","block_type":"box","text":"1965","page_number":25,"box":{"x":69,"y":582,"width":33,"height":8}},{"id":"fc55c4c6-94fa-4c6a-9af8-8c1866afa3a8","block_type":"box","text":"Director","page_number":25,"box":{"x":236,"y":566,"width":46,"height":8}},{"id":"11877f9d-e369-45bf-8864-70e18541eff9","block_type":"box","text":"(Since 2015)","page_number":25,"box":{"x":235,"y":578,"width":78,"height":10}},{"id":"e9645686-e04a-4ba7-874e-e0b14515ec41","block_type":"box","text":"Vice Chairman of BlackRock, Inc. since","page_number":25,"box":{"x":342,"y":566,"width":235,"height":9}},{"id":"aa2073f3-aa7d-412a-9ba0-3542e0cc6694","block_type":"box","text":"2019; Member of BlackRock’s Global","page_number":25,"box":{"x":343,"y":578,"width":225,"height":9}},{"id":"3320c1cf-4a61-4cb7-9392-642e6514e92b","block_type":"box","text":"Operating Committee; Co-Chair of","page_number":25,"box":{"x":343,"y":590,"width":202,"height":10}},{"id":"30318ce7-68c3-4260-925f-7281d1ac5bef","block_type":"box","text":"BlackRock’s Human Capital Committee;","page_number":25,"box":{"x":343,"y":602,"width":240,"height":10}},{"id":"816477f2-c0ed-4aab-ae18-9e10edba0b36","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":25,"box":{"x":343,"y":614,"width":262,"height":10}},{"id":"f4988d0c-a2ab-4134-a9a2-56b821158f94","block_type":"box","text":"from 2010 to 2019; oversaw BlackRock’s","page_number":25,"box":{"x":342,"y":626,"width":254,"height":9}},{"id":"e4589beb-fa29-42e0-83b4-7de1bbda101c","block_type":"box","text":"Strategic Partner Program and Strategic","page_number":25,"box":{"x":343,"y":638,"width":239,"height":10}},{"id":"f86f3883-9ce7-41e4-8c42-ac6037adff05","block_type":"box","text":"Product Management Group from 2012 to","page_number":25,"box":{"x":343,"y":650,"width":254,"height":10}},{"id":"8ad1737b-2064-4032-92c6-bc95d44b197d","block_type":"box","text":"2019; Member of the Board of Managers of","page_number":25,"box":{"x":343,"y":662,"width":265,"height":10}},{"id":"23352a23-bcde-4b0b-a8d0-6ec425bdc1f0","block_type":"box","text":"BlackRock Investments, LLC from 2011 to","page_number":25,"box":{"x":343,"y":674,"width":255,"height":9}},{"id":"9c1db14c-04e1-48de-a622-6be5f0a5646c","block_type":"box","text":"2018; Global Head of BlackRock’s Retail","page_number":25,"box":{"x":343,"y":685,"width":245,"height":10}},{"id":"a1390784-586a-42ae-9df6-1ac38df84b97","block_type":"box","text":"and iShares","page_number":25,"box":{"x":343,"y":698,"width":72,"height":8}},{"id":"04f313ff-572f-4771-bb9f-934ef7ea064f","block_type":"box","text":"®","page_number":25,"box":{"x":415,"y":697,"width":5,"height":4}},{"id":"a3f399f5-0aa3-431f-9a03-0b6e7216fc9a","block_type":"box","text":"businesses from 2012 to","page_number":25,"box":{"x":425,"y":697,"width":153,"height":9}},{"id":"c7dd8405-8988-47c3-97a3-5f369800874a","block_type":"box","text":"2016.","page_number":25,"box":{"x":343,"y":710,"width":36,"height":8}},{"id":"8f993883-71b4-4179-8840-5529c1f35615","block_type":"box","text":"78 RICs consisting of","page_number":25,"box":{"x":627,"y":566,"width":129,"height":10}},{"id":"69e791a8-3ae9-4364-b6fe-d27f69540324","block_type":"box","text":"255 Portfolios","page_number":25,"box":{"x":627,"y":578,"width":85,"height":8}},{"id":"23f76f94-2f02-42c3-9490-8d11648be121","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":566,"width":30,"height":8}},{"id":"15a03d75-8edf-4f6a-b50b-5421fcbc0dea","block_type":"box","text":"John M. Perlowski","page_number":25,"box":{"x":69,"y":727,"width":107,"height":8}},{"id":"a3d280d3-0b1e-4f99-aebe-570473b6143d","block_type":"box","text":"6","page_number":25,"box":{"x":177,"y":727,"width":4,"height":4}},{"id":"57e24d7d-d61c-4fcc-80ac-65857884f8e2","block_type":"box","text":"1964","page_number":25,"box":{"x":69,"y":743,"width":33,"height":8}},{"id":"17626c7e-d724-45aa-a1f7-413375e0788a","block_type":"box","text":"Director","page_number":25,"box":{"x":236,"y":727,"width":46,"height":8}},{"id":"5345e68d-0d73-4004-aa50-acb1d7ac9ac1","block_type":"box","text":"(Since 2015)","page_number":25,"box":{"x":235,"y":739,"width":78,"height":10}},{"id":"c72277e9-dc6f-4f2d-8112-c43bfd1d2581","block_type":"box","text":"President and","page_number":25,"box":{"x":236,"y":751,"width":82,"height":8}},{"id":"8405b3fb-50ea-479f-be30-66a7006e0a09","block_type":"box","text":"Chief Executive","page_number":25,"box":{"x":235,"y":763,"width":91,"height":8}},{"id":"f645ae5b-074d-456e-9935-3fc21014d4ee","block_type":"box","text":"Officer","page_number":25,"box":{"x":235,"y":775,"width":40,"height":8}},{"id":"fc8c1abb-1d2c-4eca-ba2c-46ef37b84535","block_type":"box","text":"(Since 2010)","page_number":25,"box":{"x":235,"y":787,"width":78,"height":10}},{"id":"bbd71967-369e-46c7-a265-0ce0fd16b792","block_type":"box","text":"Senior Managing Director of BlackRock, Inc.","page_number":25,"box":{"x":343,"y":727,"width":262,"height":10}},{"id":"ba0d1c17-2091-42a7-bab0-41606134972b","block_type":"box","text":"since 2026; Managing Director of BlackRock,","page_number":25,"box":{"x":343,"y":739,"width":272,"height":10}},{"id":"e239269c-e686-4212-b0b0-22bef67fe7b7","block_type":"box","text":"Inc. from 2009 to 2025; Member of","page_number":25,"box":{"x":343,"y":751,"width":218,"height":9}},{"id":"a65a992d-0368-43ae-b537-6b9c7f061f5d","block_type":"box","text":"BlackRock’s Global Executive Committee","page_number":25,"box":{"x":343,"y":763,"width":246,"height":8}},{"id":"bed4f929-6b7f-499f-88e7-4886105ceed9","block_type":"box","text":"since 2025; Head of BlackRock Global","page_number":25,"box":{"x":343,"y":775,"width":232,"height":9}},{"id":"425c4c80-6c21-42cd-9ae7-4c321ec7f9f1","block_type":"box","text":"Business Operations Services since 2009;","page_number":25,"box":{"x":343,"y":787,"width":258,"height":10}},{"id":"2bfd100b-7241-4c8b-85d9-af31e9f45cf1","block_type":"box","text":"Advisory Director of Family Resource Network","page_number":25,"box":{"x":342,"y":799,"width":274,"height":10}},{"id":"bc38dddf-059d-460f-9f7c-8631572d1ffc","block_type":"box","text":"(charitable foundation) since 2009.","page_number":25,"box":{"x":343,"y":811,"width":211,"height":10}},{"id":"944a90fc-ccf2-4159-9687-b939102acca3","block_type":"box","text":"78 RICs consisting of","page_number":25,"box":{"x":627,"y":727,"width":129,"height":10}},{"id":"e992d448-fc6b-495c-8e7f-9b6b5843c318","block_type":"box","text":"255 Portfolios","page_number":25,"box":{"x":627,"y":739,"width":85,"height":8}},{"id":"6ef17a9a-2d3f-41df-827b-ac05226156b0","block_type":"box","text":"None","page_number":25,"box":{"x":774,"y":727,"width":30,"height":8}},{"id":"19c24cdb-44c2-40ab-bee8-08e4a4207238","block_type":"box","text":"1","page_number":25,"box":{"x":69,"y":835,"width":3,"height":3}},{"id":"76ec2e8f-38c3-4dfb-aad9-28811fef222d","block_type":"box","text":"The address of each Director is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001.","page_number":25,"box":{"x":93,"y":834,"width":565,"height":9}},{"id":"71d64695-65ed-4ce9-b6f7-de25a6dfd8ec","block_type":"box","text":"2","page_number":25,"box":{"x":69,"y":847,"width":3,"height":4}},{"id":"b1ba39b6-bec3-4642-8a95-537dc9a46b26","block_type":"box","text":"Each Independent Director holds office until his or her successor is duly elected and qualifies or until his or her earlier death, resignation,","page_number":25,"box":{"x":94,"y":847,"width":784,"height":9}},{"id":"137cfdcc-12e8-42f6-b71b-7eccd1b531bb","block_type":"box","text":"retirement or removal as provided by the Fund’s by-laws or charter or statute, or until December 31 of the year in which he or she turns 75.","page_number":25,"box":{"x":94,"y":857,"width":794,"height":9}},{"id":"e395e9b3-5bdf-4e3d-8214-a38bfebb5e15","block_type":"box","text":"Directors who are “interested persons,” as defined in the Investment Company Act, serve until their successor is duly elected and qualifies or","page_number":25,"box":{"x":94,"y":867,"width":810,"height":9}},{"id":"befbdc3e-2c15-44df-b425-fa8fdd5e88f0","block_type":"box","text":"until their earlier death, resignation, retirement or removal as provided by the Fund’s by-laws or statute, or until December 31 of the year in","page_number":25,"box":{"x":94,"y":877,"width":792,"height":9}},{"id":"e8c622c4-b356-46c3-ae91-ec9e66b8bc4f","block_type":"box","text":"which they turn 72. The Board may determine to extend the terms of Independent Directors on a case-by-case basis, as appropriate.","page_number":25,"box":{"x":93,"y":887,"width":756,"height":9}},{"id":"4f889f7b-b739-4d76-aaa2-dbd71caee996","block_type":"box","text":"3","page_number":25,"box":{"x":69,"y":900,"width":3,"height":4}},{"id":"86a6c2ca-67cb-4fd2-8189-57cb83e485e7","block_type":"box","text":"Following the combination of MLIM and BlackRock, Inc. in September 2006, the various legacy MLIM and legacy BlackRock fund boards were","page_number":25,"box":{"x":94,"y":900,"width":804,"height":9}},{"id":"f915ee27-f951-4203-b12d-ef5bd0104992","block_type":"box","text":"realigned and consolidated into three new fund boards in 2007. In addition, effective January 1, 2019, three BlackRock Fund Complexes were","page_number":25,"box":{"x":94,"y":910,"width":812,"height":9}},{"id":"bc333055-32dc-435b-8a99-466a22d7f250","block_type":"box","text":"I-16","page_number":25,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"53ff3294-15dd-412d-baf0-6a8cd8a6e3d1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":25,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"592b3a9f-8181-4a82-9456-4c4e3274733a","block_type":"box","text":"realigned and consolidated into two BlackRock Fund Complexes. As a result, although the chart shows the year that each Independent Director","page_number":26,"box":{"x":94,"y":45,"width":816,"height":9}},{"id":"2af6d6a3-26f6-4e0d-8f5b-91abb79151cb","block_type":"box","text":"joined the Board, certain Independent Directors first became members of the boards of other BlackRock-advised Funds, legacy MLIM funds or","page_number":26,"box":{"x":92,"y":55,"width":811,"height":9}},{"id":"c79543d9-16b3-45b7-a056-baa00b072472","block_type":"box","text":"legacy BlackRock funds as follows: Susan J. Carter, 2016; Collette Chilton, 2015; Neil A. Cotty, 2016; Cynthia A. Montgomery, 1994; Mark","page_number":26,"box":{"x":94,"y":65,"width":794,"height":9}},{"id":"8e4d56d5-a1e3-4534-8d6b-8c27fff87402","block_type":"box","text":"Stalnecker, 2015; Kenneth L. Urish, 1999; Claire A. Walton, 2016.","page_number":26,"box":{"x":93,"y":75,"width":381,"height":9}},{"id":"2d40bfdd-cfdc-4c4d-a68f-4ff820e31a3d","block_type":"box","text":"4","page_number":26,"box":{"x":68,"y":88,"width":4,"height":4}},{"id":"79083350-1063-4de8-a534-9e397f7dba18","block_type":"box","text":"Mr. Jarczyk and Mr. Stern were each appointed as Director of the Fund effective July 1, 2026. Previously, each served as a consultant to the","page_number":26,"box":{"x":94,"y":88,"width":801,"height":9}},{"id":"3a2f1e15-113a-4564-aacf-6ae93b4d056c","block_type":"box","text":"Independent Directors from April 1, 2026 to July 1, 2026.","page_number":26,"box":{"x":94,"y":98,"width":326,"height":9}},{"id":"624caa24-6ea1-4dea-8e89-e984e18d210a","block_type":"box","text":"5","page_number":26,"box":{"x":69,"y":111,"width":3,"height":3}},{"id":"93f06132-6fad-48c2-a272-58b6ec6a3dba","block_type":"box","text":"Mr. Fairbairn and Mr. Perlowski are both “interested persons,” as defined in the Investment Company Act, of the Fund based on their positions","page_number":26,"box":{"x":94,"y":111,"width":813,"height":9}},{"id":"a3c479f9-bffd-467c-a7ff-f7154bbfde34","block_type":"box","text":"with BlackRock, Inc. and its affiliates. Mr. Fairbairn and Mr. Perlowski are also board members of the BlackRock Fixed-Income Complex.","page_number":26,"box":{"x":93,"y":121,"width":772,"height":9}},{"id":"678458c0-c268-4935-82f3-3bddcce285da","block_type":"box","text":"6","page_number":26,"box":{"x":69,"y":133,"width":3,"height":4}},{"id":"9f66e32a-4156-4720-920a-69b1deb24bc5","block_type":"box","text":"Mr. Perlowski is also a trustee of the BlackRock HPS Credit Strategies Fund and BlackRock Private Investments Fund.","page_number":26,"box":{"x":94,"y":133,"width":669,"height":9}},{"id":"21da6d0d-4448-42d5-bfb8-c61b889ea824","block_type":"box","text":"Certain biographical and other information relating to the officers of the Fund who are not Directors is set forth","page_number":26,"box":{"x":102,"y":154,"width":788,"height":12}},{"id":"b9576f85-5261-4d06-a29c-65310e268d6a","block_type":"box","text":"below, including their address and year of birth, principal occupations for at least the last five years and length of","page_number":26,"box":{"x":69,"y":169,"width":808,"height":12}},{"id":"309bfd9f-4990-4565-96ce-0f3e7a71b341","block_type":"box","text":"time served.","page_number":26,"box":{"x":68,"y":185,"width":89,"height":8}},{"id":"00135b84-9ae4-4816-9a0e-cafb3568ba96","block_type":"box","text":"Name","page_number":26,"box":{"x":160,"y":213,"width":32,"height":7}},{"id":"23129718-17e2-4a10-8b2a-8c8e74e839b1","block_type":"box","text":"and Year of Birth","page_number":26,"box":{"x":122,"y":223,"width":97,"height":7}},{"id":"21798df5-94c6-4894-8d8d-1f4347a36d03","block_type":"box","text":"1,2","page_number":26,"box":{"x":220,"y":223,"width":10,"height":4}},{"id":"17cb2d98-d118-4393-b50b-5452f5d6b0fc","block_type":"box","text":"Position(s) Held","page_number":26,"box":{"x":335,"y":213,"width":93,"height":9}},{"id":"ed77f627-c09c-4260-b87c-6ce92cdc9942","block_type":"box","text":"(Length of Service)","page_number":26,"box":{"x":326,"y":223,"width":110,"height":9}},{"id":"42c86540-0c07-480a-bfa7-1ecaca35dd5f","block_type":"box","text":"Principal Occupation(s)","page_number":26,"box":{"x":626,"y":213,"width":136,"height":9}},{"id":"3aceff97-98ae-4147-ba0b-9962aa3c34b0","block_type":"box","text":"During Past Five Years","page_number":26,"box":{"x":629,"y":223,"width":131,"height":9}},{"id":"ab11e0ed-13a2-41a0-b856-111fdcf1f74c","block_type":"box","text":"Officers Who Are Not Directors","page_number":26,"box":{"x":69,"y":237,"width":197,"height":8}},{"id":"d9ef259d-618b-44f4-a379-8c5214c690a6","block_type":"box","text":"Jennifer McGovern","page_number":26,"box":{"x":69,"y":255,"width":110,"height":8}},{"id":"b4cee3cb-ec49-42bd-9a2b-d8b94b6dcedb","block_type":"box","text":"1977","page_number":26,"box":{"x":69,"y":271,"width":32,"height":8}},{"id":"6206fc09-daf8-40ed-b626-c60ba089d3f0","block_type":"box","text":"Vice President","page_number":26,"box":{"x":293,"y":255,"width":87,"height":8}},{"id":"ab2547a2-8b79-4b44-9a83-32f7c709efae","block_type":"box","text":"(Since 2014)","page_number":26,"box":{"x":294,"y":267,"width":78,"height":10}},{"id":"f5c8f82f-4059-48bc-9d0a-3532a237d502","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2016.","page_number":26,"box":{"x":480,"y":255,"width":297,"height":10}},{"id":"54c8a63a-a244-4927-b565-6faea7a6fbdf","block_type":"box","text":"Trent Walker","page_number":26,"box":{"x":68,"y":288,"width":75,"height":8}},{"id":"ae52c7c0-1029-40d8-9ebe-3d08fbc213a4","block_type":"box","text":"1974","page_number":26,"box":{"x":69,"y":304,"width":33,"height":8}},{"id":"5e36bf95-9427-4a0c-a2bc-a034d37df8a5","block_type":"box","text":"Chief","page_number":26,"box":{"x":294,"y":288,"width":31,"height":8}},{"id":"acb48e58-89af-4b3f-b1aa-92551c455ca2","block_type":"box","text":"Financial","page_number":26,"box":{"x":294,"y":300,"width":51,"height":8}},{"id":"feb419fe-b20f-438d-b3e9-3117d3d31220","block_type":"box","text":"Officer","page_number":26,"box":{"x":294,"y":312,"width":40,"height":8}},{"id":"a7ea2910-9f63-4dec-bb3c-aeec456ffcc0","block_type":"box","text":"(Since 2021)","page_number":26,"box":{"x":294,"y":324,"width":78,"height":10}},{"id":"4231de9f-2459-4f93-b2df-9ccbe0f2f935","block_type":"box","text":"and Treasurer","page_number":26,"box":{"x":294,"y":336,"width":83,"height":8}},{"id":"b27dd376-23d4-4599-88be-e3de808fd3b1","block_type":"box","text":"(Since 2026)","page_number":26,"box":{"x":294,"y":348,"width":78,"height":10}},{"id":"c38bac93-fcc1-42b5-9d30-9d1b1557fe7e","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":288,"width":297,"height":10}},{"id":"bc4ac56f-094c-49e8-a2da-10b732c9b1c5","block_type":"box","text":"Charles Park","page_number":26,"box":{"x":69,"y":366,"width":76,"height":8}},{"id":"c65da044-0050-4ce4-a164-feac40f91731","block_type":"box","text":"3","page_number":26,"box":{"x":145,"y":365,"width":4,"height":4}},{"id":"9da91f58-6c68-4063-b748-46b5c8127bff","block_type":"box","text":"1967","page_number":26,"box":{"x":69,"y":381,"width":32,"height":8}},{"id":"90cc1687-696b-482b-9c81-3656c230b243","block_type":"box","text":"Chief Compliance Officer","page_number":26,"box":{"x":294,"y":365,"width":149,"height":10}},{"id":"a32c2a0c-7464-4429-ace5-0bdf73f99754","block_type":"box","text":"(Since 2026; and from","page_number":26,"box":{"x":294,"y":377,"width":136,"height":10}},{"id":"6b3c1085-21e2-4498-8979-1d084599f41d","block_type":"box","text":"2014-2023)","page_number":26,"box":{"x":294,"y":390,"width":73,"height":9}},{"id":"313eb665-dbd5-449f-83fa-125563193855","block_type":"box","text":"Managing Director of BlackRock, Inc. (since 2006); Chief Compliance","page_number":26,"box":{"x":480,"y":365,"width":415,"height":11}},{"id":"4edd0219-a656-474c-8b57-797c8404262c","block_type":"box","text":"Officer of BlackRock Advisors, LLC (since 2014) and BlackRock Fund","page_number":26,"box":{"x":480,"y":377,"width":414,"height":10}},{"id":"41febc0f-c487-400f-ba1a-8f00076f182f","block_type":"box","text":"Advisors (since 2006); Chief Compliance Officer of the iShares","page_number":26,"box":{"x":479,"y":389,"width":378,"height":10}},{"id":"ff851e14-d640-489e-89db-0f5f62b555bd","block_type":"box","text":"Complex (since 2026 and 2006-2023); Chief Compliance Officer of","page_number":26,"box":{"x":480,"y":401,"width":407,"height":10}},{"id":"d007591d-8393-4410-829d-a3623d3e9123","block_type":"box","text":"the BlackRock Multi-Asset Complex and the BlackRock Fixed-Income","page_number":26,"box":{"x":479,"y":414,"width":411,"height":9}},{"id":"86848574-5530-4de9-b01a-7c6f3c6c77a5","block_type":"box","text":"Complex (since 2026 and 2014-2023).","page_number":26,"box":{"x":480,"y":425,"width":236,"height":10}},{"id":"9d5c0c86-7fe0-4f1a-aced-6af59d76fd84","block_type":"box","text":"Lisa Belle","page_number":26,"box":{"x":69,"y":443,"width":58,"height":8}},{"id":"c82e673b-34f4-431e-a525-300a6ab07215","block_type":"box","text":"1968","page_number":26,"box":{"x":69,"y":459,"width":33,"height":8}},{"id":"d1a4d966-e252-43d0-b861-9f22d241090a","block_type":"box","text":"Anti-Money Laundering","page_number":26,"box":{"x":293,"y":443,"width":136,"height":10}},{"id":"f25f43df-49ca-45bc-9f33-4a87b56800bd","block_type":"box","text":"Compliance Officer","page_number":26,"box":{"x":294,"y":455,"width":114,"height":10}},{"id":"fe87bf6c-3869-4ab1-acf9-bbadd8d269c4","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":467,"width":78,"height":10}},{"id":"d721d444-209c-42c6-8afe-837dcd2de29d","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2019.","page_number":26,"box":{"x":480,"y":443,"width":297,"height":10}},{"id":"f6ecb4da-da63-42b7-aa31-92fcecfd5978","block_type":"box","text":"Janey Ahn","page_number":26,"box":{"x":69,"y":485,"width":59,"height":10}},{"id":"e0d0f44a-326d-4d01-bdf5-bfffa2e79ab7","block_type":"box","text":"1975","page_number":26,"box":{"x":69,"y":500,"width":33,"height":8}},{"id":"c25f423f-4efc-4012-a92a-95541734eac9","block_type":"box","text":"Secretary","page_number":26,"box":{"x":294,"y":485,"width":58,"height":10}},{"id":"00b3dbbf-3c3f-46a6-8d72-a17f95c335ec","block_type":"box","text":"(Since 2019)","page_number":26,"box":{"x":294,"y":497,"width":78,"height":9}},{"id":"6872d1e5-bc36-4346-9774-0dec1a183e76","block_type":"box","text":"Managing Director of BlackRock, Inc. since 2018.","page_number":26,"box":{"x":480,"y":485,"width":297,"height":10}},{"id":"b0f14792-e841-45b5-a2dd-75413e05b59e","block_type":"box","text":"1","page_number":26,"box":{"x":69,"y":524,"width":3,"height":4}},{"id":"367c64b5-f93b-4056-8312-231d202711b9","block_type":"box","text":"The address of each Officer is c/o BlackRock, Inc., 50 Hudson Yards, New York, New York 10001.","page_number":26,"box":{"x":93,"y":524,"width":559,"height":9}},{"id":"da271f49-9bdb-4d24-ab4e-fd989bdc1776","block_type":"box","text":"2","page_number":26,"box":{"x":69,"y":537,"width":3,"height":3}},{"id":"a7d7c1ac-7fd5-478c-bcc8-5f04327a9766","block_type":"box","text":"Officers of the Fund serve at the pleasure of the Board.","page_number":26,"box":{"x":93,"y":536,"width":317,"height":9}},{"id":"bb06d511-1dc1-4f72-bb21-914ca6990724","block_type":"box","text":"3","page_number":26,"box":{"x":69,"y":549,"width":3,"height":4}},{"id":"665978ea-0b46-406a-954a-98f9c278c480","block_type":"box","text":"Effective August 1, 2026, Charles Park succeeded Aaron Wasserman as Chief Compliance Officer.","page_number":26,"box":{"x":94,"y":549,"width":560,"height":9}},{"id":"3b147b6f-a21d-44d4-997b-d15f52905ab9","block_type":"box","text":"Share Ownership","page_number":26,"box":{"x":68,"y":578,"width":123,"height":11}},{"id":"bbebf8d4-04f5-429a-a561-3be302e5dc14","block_type":"box","text":"Information relating to each Director’s share ownership in the Fund and in all BlackRock-advised Funds that are","page_number":26,"box":{"x":102,"y":600,"width":793,"height":12}},{"id":"48e04b45-277c-4803-8b81-3beb7c93eae2","block_type":"box","text":"currently overseen by the respective Director (“Supervised Funds”) as of December 31, 2025, except as otherwise","page_number":26,"box":{"x":69,"y":615,"width":820,"height":11}},{"id":"1334d8af-2aeb-4b2a-8e26-5161d75f9f75","block_type":"box","text":"noted, is set forth in the chart below. Amounts shown may include shares as to which a Director has indirect","page_number":26,"box":{"x":69,"y":630,"width":776,"height":12}},{"id":"8291df19-2455-49d3-a052-43c595ca716b","block_type":"box","text":"beneficial ownership, such as through participation in certain family accounts, 529 college savings plan interests, or","page_number":26,"box":{"x":69,"y":646,"width":833,"height":11}},{"id":"dcf14950-2f9f-45e5-851c-6acb56495891","block_type":"box","text":"similar arrangements where the Director has beneficial economic interest but not a direct ownership interest.","page_number":26,"box":{"x":69,"y":661,"width":778,"height":11}},{"id":"fd78c5f6-6802-4c95-81ee-eb0561a35cdb","block_type":"box","text":"Name","page_number":26,"box":{"x":69,"y":709,"width":32,"height":7}},{"id":"2392c829-6c87-4ff5-b438-1d64b57c9240","block_type":"box","text":"Dollar","page_number":26,"box":{"x":660,"y":689,"width":33,"height":7}},{"id":"c7bb3bd2-cbdb-4402-ad7f-eb1ca8fa5990","block_type":"box","text":"Range of Equity","page_number":26,"box":{"x":631,"y":699,"width":91,"height":9}},{"id":"d75ee473-2946-4157-a42d-32c94c7b6521","block_type":"box","text":"Securities in the Fund","page_number":26,"box":{"x":612,"y":709,"width":128,"height":7}},{"id":"233de776-3458-482e-850c-fd21313befdc","block_type":"box","text":"Aggregate Dollar Range","page_number":26,"box":{"x":770,"y":689,"width":139,"height":9}},{"id":"df2e040b-7a59-4c2e-b6e4-884d44e847a3","block_type":"box","text":"of Equity Securities","page_number":26,"box":{"x":783,"y":699,"width":113,"height":9}},{"id":"3bc6ef9c-def7-4861-a9f3-117bd13071cc","block_type":"box","text":"in Supervised Funds","page_number":26,"box":{"x":782,"y":709,"width":116,"height":9}},{"id":"e71bd683-7627-4f5a-b14b-c89e0006c14a","block_type":"box","text":"Independent Directors","page_number":26,"box":{"x":70,"y":727,"width":156,"height":11}},{"id":"1f2afa50-65a2-49da-866b-65285e05ab83","block_type":"box","text":"Christopher J. Ailman","page_number":26,"box":{"x":79,"y":742,"width":149,"height":11}},{"id":"aec3d4a1-c829-4290-992e-37c1b4a29bd2","block_type":"box","text":"...........................................","page_number":26,"box":{"x":237,"y":749,"width":345,"height":2}},{"id":"674c3395-e7c7-4869-a999-085ace178c01","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":741,"width":235,"height":11}},{"id":"1209daf2-7e60-4254-87d1-821339246d10","block_type":"box","text":"Susan J. Carter","page_number":26,"box":{"x":79,"y":757,"width":110,"height":9}},{"id":"32f7bf22-da5b-4341-a21b-b9ac17b74274","block_type":"box","text":"................................................","page_number":26,"box":{"x":197,"y":765,"width":385,"height":1}},{"id":"01de8960-829b-439b-9903-c1c155d12fdb","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":756,"width":235,"height":12}},{"id":"c76a4475-b750-47d5-9e1f-927af4f744b0","block_type":"box","text":"Collette Chilton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":772,"width":503,"height":9}},{"id":"976a0249-0a61-4ac5-8b2a-c67722d3cceb","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":772,"width":235,"height":11}},{"id":"277d4f70-b9ab-4302-b3c5-6a77c0d5d8e0","block_type":"box","text":"Neil A. Cotty . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":787,"width":503,"height":11}},{"id":"b16e1747-8695-4249-bd9f-354a0aa880a3","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":787,"width":235,"height":11}},{"id":"45f91315-d924-42e3-9a52-4bacaa2fe24d","block_type":"box","text":"Jeffrey Jarczyk","page_number":26,"box":{"x":78,"y":802,"width":103,"height":12}},{"id":"c9af4b0d-ce1a-4bce-80ad-3dbe979325cf","block_type":"box","text":"*","page_number":26,"box":{"x":182,"y":803,"width":3,"height":3}},{"id":"ef422a13-3365-42d0-8b1e-8ffb6e26fed7","block_type":"box","text":".................................................","page_number":26,"box":{"x":189,"y":810,"width":393,"height":1}},{"id":"c1526d03-bc31-41af-8774-130d59b9eabc","block_type":"box","text":"None None","page_number":26,"box":{"x":659,"y":803,"width":199,"height":8}},{"id":"41baaeba-cded-4720-b226-1ce8c83b195f","block_type":"box","text":"Henry R. Keizer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":818,"width":503,"height":11}},{"id":"47f9c5d5-f3d5-46e7-943a-60e4fd40675d","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":817,"width":235,"height":11}},{"id":"4a3f4eff-eeef-4bcd-875b-76db80738bdf","block_type":"box","text":"Cynthia A. Montgomery. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":26,"box":{"x":79,"y":833,"width":503,"height":11}},{"id":"ce0d5f81-179c-4995-8058-22c2e822d074","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":832,"width":235,"height":11}},{"id":"936fd8ff-17cc-4023-a04b-cd2f6a7c1a06","block_type":"box","text":"Donald C. Opatrny","page_number":26,"box":{"x":79,"y":848,"width":129,"height":11}},{"id":"89eaa5dd-ea79-483f-8f30-c71857cd35f8","block_type":"box","text":"..............................................","page_number":26,"box":{"x":213,"y":855,"width":369,"height":2}},{"id":"12b65c21-d4a6-45a5-b554-78c38c34abd5","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":847,"width":235,"height":11}},{"id":"18d31529-20bc-4481-96aa-3c0041708e48","block_type":"box","text":"Lori Richards . . .","page_number":26,"box":{"x":79,"y":863,"width":120,"height":9}},{"id":"05648c8f-d386-404d-aa38-5328801df35c","block_type":"box","text":"...............................................","page_number":26,"box":{"x":205,"y":870,"width":377,"height":2}},{"id":"abe3751f-3e93-446e-9664-33d946af8ee9","block_type":"box","text":"None None","page_number":26,"box":{"x":659,"y":863,"width":199,"height":9}},{"id":"e42411ff-802c-4f4f-9131-a19fa7dd54f1","block_type":"box","text":"Mark Stalnecker","page_number":26,"box":{"x":79,"y":878,"width":115,"height":9}},{"id":"ddc99091-0889-4ca4-9bfe-973721653bf7","block_type":"box","text":"................................................","page_number":26,"box":{"x":197,"y":885,"width":385,"height":2}},{"id":"97dc8a6a-84a0-4789-8328-5e5c258ae177","block_type":"box","text":"None Over $100,000","page_number":26,"box":{"x":659,"y":877,"width":235,"height":12}},{"id":"dda787c8-b8c0-4d70-9661-fc4480827281","block_type":"box","text":"Marc D. Stern","page_number":26,"box":{"x":79,"y":893,"width":97,"height":9}},{"id":"ad06ad0f-cb1e-435b-b835-f800fbbcc483","block_type":"box","text":"*","page_number":26,"box":{"x":178,"y":894,"width":4,"height":2}},{"id":"2e02c594-9680-426a-8e85-325bdf6709a4","block_type":"box","text":".................................................","page_number":26,"box":{"x":189,"y":901,"width":393,"height":1}},{"id":"3ce3157d-3ef9-4966-afd4-fd3fd637e5b0","block_type":"box","text":"None None","page_number":26,"box":{"x":659,"y":893,"width":199,"height":9}},{"id":"fbc1c619-14d2-4ffa-80e0-c71610758a15","block_type":"box","text":"I-17","page_number":26,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"0693adc2-ec20-461b-8923-2348a6348b92","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":26,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"de5feb75-23f7-48da-b3fe-55f5bfe5c550","block_type":"box","text":"Name","page_number":27,"box":{"x":69,"y":69,"width":32,"height":7}},{"id":"84b7d13d-029e-4f66-9676-a6528e31b516","block_type":"box","text":"Dollar","page_number":27,"box":{"x":660,"y":49,"width":33,"height":7}},{"id":"6cc226a4-be67-44bd-86e2-bd9bb6ea1e00","block_type":"box","text":"Range of Equity","page_number":27,"box":{"x":631,"y":59,"width":91,"height":9}},{"id":"8ac7fbe7-3391-42cf-939d-adbd88cf6de1","block_type":"box","text":"Securities in the Fund","page_number":27,"box":{"x":612,"y":69,"width":128,"height":7}},{"id":"1bf39241-5693-4946-8076-6c683853f11b","block_type":"box","text":"Aggregate Dollar Range","page_number":27,"box":{"x":770,"y":49,"width":139,"height":9}},{"id":"decc0320-3995-4613-b051-741be464444d","block_type":"box","text":"of Equity Securities","page_number":27,"box":{"x":783,"y":59,"width":113,"height":9}},{"id":"b92e799e-ef2e-43c8-87ca-9ad36eb5e37c","block_type":"box","text":"in Supervised Funds","page_number":27,"box":{"x":782,"y":69,"width":116,"height":9}},{"id":"39b507dd-a0ab-4aae-ba93-d6f82c506b77","block_type":"box","text":"Kenneth L. Urish","page_number":27,"box":{"x":79,"y":87,"width":117,"height":9}},{"id":"ade00a8f-b0c8-49cc-96e1-1cfab13a2245","block_type":"box","text":"...............................................","page_number":27,"box":{"x":205,"y":94,"width":377,"height":2}},{"id":"41aa3717-f60a-4915-8aba-d5ae7a5eb6be","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":86,"width":235,"height":11}},{"id":"172d05fc-531a-4d36-bce8-605b73c45084","block_type":"box","text":"Claire A. Walton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":27,"box":{"x":79,"y":102,"width":503,"height":9}},{"id":"3310fb3d-636e-4af1-b24c-5667e16e0765","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":101,"width":235,"height":11}},{"id":"8c4cabcf-aa0f-434d-88ce-8bf167df6cfb","block_type":"box","text":"Interested Directors","page_number":27,"box":{"x":70,"y":117,"width":140,"height":9}},{"id":"a23d180f-1e8b-4ba3-9fae-b59c9ffa5105","block_type":"box","text":"Robert Fairbairn","page_number":27,"box":{"x":79,"y":132,"width":113,"height":9}},{"id":"372ddc46-5239-45a8-96d8-31e5157a192a","block_type":"box","text":"...............................................","page_number":27,"box":{"x":205,"y":140,"width":377,"height":1}},{"id":"565ea60b-7bdb-4838-951f-bfabcb01b85d","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":132,"width":235,"height":11}},{"id":"2351ee95-b417-4ef6-bbbd-228f859f89ef","block_type":"box","text":"John M. Perlowski","page_number":27,"box":{"x":78,"y":148,"width":127,"height":8}},{"id":"ad25cd60-77d1-40ae-b397-163abf516dfa","block_type":"box","text":"..............................................","page_number":27,"box":{"x":213,"y":155,"width":369,"height":1}},{"id":"d7e9c45a-ec26-483e-8982-96597b3e4ad0","block_type":"box","text":"None Over $100,000","page_number":27,"box":{"x":659,"y":147,"width":235,"height":11}},{"id":"cbe34005-4293-4613-bf9c-41f60ffb2b6b","block_type":"box","text":"*","page_number":27,"box":{"x":69,"y":172,"width":3,"height":2}},{"id":"4f66a6b5-fab4-4dcf-893b-c349ccd27995","block_type":"box","text":"Information is provided as of April 1, 2026, the date Mr. Jarczyk and Mr. Stern first served as consultants to the Independent Directors.","page_number":27,"box":{"x":77,"y":172,"width":774,"height":9}},{"id":"09ffa80b-1761-4325-a03a-fe8fd3d45cd3","block_type":"box","text":"As of September 3, 2026, the Directors and officers of the Fund as a group directly or indirectly beneficially","page_number":27,"box":{"x":101,"y":193,"width":768,"height":11}},{"id":"e6fe0f95-33de-442e-97e2-443e584c75bd","block_type":"box","text":"owned an aggregate of less than 1% of any class of the outstanding shares of the Fund. As of December 31, 2025","page_number":27,"box":{"x":69,"y":208,"width":819,"height":11}},{"id":"217f6eb8-819b-4b0f-b2cc-d8a09e78d793","block_type":"box","text":"(and, with respect to Mr. Jarczyk and Mr. Stern, as of April 1, 2026) , none of the Independent Directors of the Fund","page_number":27,"box":{"x":69,"y":223,"width":825,"height":11}},{"id":"8ef0edac-d0a3-4339-8ba6-d691a8c8003e","block_type":"box","text":"or their immediate family members owned beneficially or of record any securities of the Fund’s investment adviser,","page_number":27,"box":{"x":69,"y":238,"width":816,"height":11}},{"id":"a51712a3-e5d7-44d1-8656-05adbf335325","block_type":"box","text":"principal underwriter, or any person directly or indirectly controlling, controlled by, or under common control with such","page_number":27,"box":{"x":70,"y":253,"width":831,"height":11}},{"id":"1df118b1-2070-4f98-93ce-9d7f2dc02691","block_type":"box","text":"entities.","page_number":27,"box":{"x":69,"y":268,"width":56,"height":9}},{"id":"d6dbdc01-da20-4cf4-8639-cef67c377358","block_type":"box","text":"Compensation of Directors","page_number":27,"box":{"x":69,"y":299,"width":194,"height":11}},{"id":"c45fc1b6-227c-4d60-9bbb-db4130db5619","block_type":"box","text":"Each Director who is an Independent Director is paid as compensation an annual retainer of $375,000 per year","page_number":27,"box":{"x":102,"y":321,"width":796,"height":11}},{"id":"b5ce70e3-56a9-4589-bb56-eed2b9a301a4","block_type":"box","text":"for his or her services as a board member of the BlackRock-advised Funds in the BlackRock Multi-Asset Complex,","page_number":27,"box":{"x":68,"y":336,"width":810,"height":11}},{"id":"fbab915d-e1fe-4bf5-b33a-7216911081a5","block_type":"box","text":"including the Fund, and a $20,000 board meeting fee to be paid for each in-person board meeting attended (and may","page_number":27,"box":{"x":70,"y":351,"width":837,"height":12}},{"id":"0050d0ee-59f6-4b75-9a28-891712a813e6","block_type":"box","text":"receive a board meeting fee for telephonic attendance at board meetings), for up to five board meetings held in a","page_number":27,"box":{"x":69,"y":366,"width":807,"height":12}},{"id":"5b37f1ba-0496-41c4-ad9b-db0307d18a7c","block_type":"box","text":"calendar year (compensation for meetings in excess of this number to be determined on a case-by-case basis),","page_number":27,"box":{"x":69,"y":382,"width":791,"height":11}},{"id":"bf88ae78-afca-44d3-ad09-8fcf264b9153","block_type":"box","text":"together with out-of-pocket expenses in accordance with a board policy on travel and other business expenses","page_number":27,"box":{"x":68,"y":397,"width":786,"height":11}},{"id":"e9298211-2726-47cf-94b6-617163e7bf32","block_type":"box","text":"relating to attendance at meetings. The Chairs of the Audit Committee, Compliance Committee, Governance","page_number":27,"box":{"x":69,"y":412,"width":769,"height":11}},{"id":"17a658cc-e133-4b37-8ba5-4ada94c9ba60","block_type":"box","text":"Committee and Performance Oversight Committee are paid as compensation an additional annual retainer of","page_number":27,"box":{"x":69,"y":427,"width":778,"height":11}},{"id":"cb7892cd-3406-4688-a69d-252dfaa49ff2","block_type":"box","text":"$45,000, respectively. The Chair of the Board is paid an additional annual retainer of $150,000.","page_number":27,"box":{"x":69,"y":441,"width":689,"height":12}},{"id":"565458b5-351f-4fac-9ba7-9227bbfb7276","block_type":"box","text":"The following table sets forth the compensation the Fund paid to the Directors for the fiscal year ended","page_number":27,"box":{"x":101,"y":465,"width":736,"height":11}},{"id":"a3fe5bbe-a44c-4457-bc0f-66839d23813f","block_type":"box","text":"May 31, 2026 and the aggregate compensation paid to them by all BlackRock-advised Funds for the calendar year","page_number":27,"box":{"x":70,"y":480,"width":814,"height":11}},{"id":"a1e780af-70fc-4184-bff1-2be4849260a2","block_type":"box","text":"ended December 31, 2025.","page_number":27,"box":{"x":69,"y":495,"width":197,"height":11}},{"id":"41535810-14e8-4597-b7ac-7e1e571bf405","block_type":"box","text":"Name","page_number":27,"box":{"x":69,"y":574,"width":32,"height":7}},{"id":"7f403864-56ce-423e-acd5-1794878b6c9d","block_type":"box","text":"Compensation from","page_number":27,"box":{"x":552,"y":564,"width":113,"height":8}},{"id":"d191e0d9-1ead-4ede-8066-ed79a9251109","block_type":"box","text":"the Fund","page_number":27,"box":{"x":583,"y":574,"width":50,"height":7}},{"id":"e209bd3e-4f25-486d-8ac5-ba60b607ead6","block_type":"box","text":"Estimated","page_number":27,"box":{"x":715,"y":554,"width":57,"height":7}},{"id":"2f4e34f9-b236-4d0b-beee-da79fad5b694","block_type":"box","text":"Annual Benefits","page_number":27,"box":{"x":697,"y":564,"width":92,"height":7}},{"id":"dcebe610-0f45-4ccb-8a9e-2f0bc6cd03ff","block_type":"box","text":"upon Retirement","page_number":27,"box":{"x":695,"y":574,"width":97,"height":8}},{"id":"67870e51-004f-4013-a6d0-62c82ed03c8b","block_type":"box","text":"Aggregate","page_number":27,"box":{"x":835,"y":523,"width":61,"height":9}},{"id":"2e5d8a2e-73ff-4d39-a48f-cc3d7b06454d","block_type":"box","text":"Compensation","page_number":27,"box":{"x":824,"y":533,"width":83,"height":9}},{"id":"4fdff7a6-afc3-44b7-97ac-cefcf46110d5","block_type":"box","text":"from the Fund","page_number":27,"box":{"x":825,"y":543,"width":80,"height":8}},{"id":"a4d487c6-9d2e-4a63-b137-bd4e1538ecba","block_type":"box","text":"and Other","page_number":27,"box":{"x":837,"y":554,"width":57,"height":7}},{"id":"9d3f6025-22e9-47f3-a0ec-80ce4976147b","block_type":"box","text":"BlackRock","page_number":27,"box":{"x":833,"y":564,"width":66,"height":7}},{"id":"a52d9a5a-640e-4979-8444-fde5adb9c214","block_type":"box","text":"Advised Funds","page_number":27,"box":{"x":821,"y":574,"width":84,"height":7}},{"id":"984999da-7876-4d7f-bad7-b2adf3b6b553","block_type":"box","text":"1","page_number":27,"box":{"x":906,"y":574,"width":4,"height":3}},{"id":"71a96655-b1b9-44f8-b915-5c62bf8c8be8","block_type":"box","text":"Independent Directors","page_number":27,"box":{"x":70,"y":592,"width":156,"height":10}},{"id":"13a50b03-46c9-4d82-ba6a-2425bba64c11","block_type":"box","text":"Christopher J. Ailman","page_number":27,"box":{"x":79,"y":607,"width":149,"height":10}},{"id":"24db61ae-967f-4233-a24f-616617d9e432","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,586","page_number":27,"box":{"x":234,"y":606,"width":401,"height":11}},{"id":"1014fc0a-b349-4580-9616-1a002326a6cd","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":726,"y":606,"width":176,"height":11}},{"id":"56e5735a-ec65-4abf-a8ed-6b581bb739f0","block_type":"box","text":"Susan J. Carter. . .","page_number":27,"box":{"x":79,"y":622,"width":132,"height":9}},{"id":"8c683261-8b01-4472-ae51-bf3980273d21","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,586","page_number":27,"box":{"x":217,"y":621,"width":418,"height":11}},{"id":"d022fd7e-5b51-4aa7-8e77-a1f70dec87d5","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":726,"y":621,"width":176,"height":11}},{"id":"78369240-1146-4122-8c8e-21624a3a1e1e","block_type":"box","text":"Collette Chilton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,586","page_number":27,"box":{"x":79,"y":636,"width":556,"height":11}},{"id":"5808d51d-328d-4c01-94eb-80b6547cabd2","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":726,"y":636,"width":176,"height":11}},{"id":"26283523-711c-43cc-80a7-b6425a1bb72c","block_type":"box","text":"Neil A. Cotty. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,645","page_number":27,"box":{"x":79,"y":651,"width":556,"height":12}},{"id":"995d9024-259b-46f6-923c-e4fe174d5f70","block_type":"box","text":"None $467,500","page_number":27,"box":{"x":726,"y":651,"width":176,"height":11}},{"id":"4bb275c2-7ae0-4c7e-8d0e-26cd629cdc77","block_type":"box","text":"Jeffrey Jarczyk","page_number":27,"box":{"x":78,"y":667,"width":103,"height":11}},{"id":"4bf857fe-3521-480e-80ac-5c863568a63a","block_type":"box","text":"2","page_number":27,"box":{"x":181,"y":667,"width":4,"height":5}},{"id":"8eb068d1-0a98-408d-b2e6-5d80a8726b69","block_type":"box","text":".........................................","page_number":27,"box":{"x":193,"y":674,"width":328,"height":2}},{"id":"f2b24ff2-d33a-42d1-a1ee-c1d654d65580","block_type":"box","text":"$362 None None","page_number":27,"box":{"x":590,"y":666,"width":293,"height":11}},{"id":"6d7fe5df-55eb-474f-b089-4ac08572da4f","block_type":"box","text":"Henry R. Keizer","page_number":27,"box":{"x":79,"y":682,"width":109,"height":11}},{"id":"ea401ca1-b752-4ac0-bc9a-52064a2ccb75","block_type":"box","text":"3","page_number":27,"box":{"x":189,"y":683,"width":4,"height":4}},{"id":"a8c4ecd2-b2b4-42cc-9847-a3430bde57a5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,754","page_number":27,"box":{"x":201,"y":681,"width":434,"height":12}},{"id":"ddd7391e-d208-45cb-aa24-d2b29807dbe4","block_type":"box","text":"None $490,000","page_number":27,"box":{"x":726,"y":681,"width":176,"height":12}},{"id":"b86760c9-bccf-4861-baa0-9d7c58435908","block_type":"box","text":"Cynthia A. Montgomery","page_number":27,"box":{"x":79,"y":697,"width":164,"height":12}},{"id":"25060477-9a0f-4913-86c2-6f6afd0c7358","block_type":"box","text":"4","page_number":27,"box":{"x":244,"y":698,"width":4,"height":4}},{"id":"e57ed030-e8a5-47b6-8fdc-1956ef6de501","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,707 None $490,000","page_number":27,"box":{"x":250,"y":697,"width":651,"height":11}},{"id":"8fdc06d6-c28e-49fe-a192-dc9fae66010d","block_type":"box","text":"Donald C. Opatrny","page_number":27,"box":{"x":79,"y":712,"width":129,"height":12}},{"id":"c99bf13e-af0e-47e1-aa75-fdf0faf08866","block_type":"box","text":"5","page_number":27,"box":{"x":208,"y":713,"width":4,"height":4}},{"id":"6b3c58ec-c4e4-4e0c-b478-10e84afe682c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,707","page_number":27,"box":{"x":217,"y":712,"width":417,"height":11}},{"id":"1ff871ca-4a46-4162-a771-f5fb70720d88","block_type":"box","text":"None $490,000","page_number":27,"box":{"x":726,"y":712,"width":176,"height":11}},{"id":"cc8662b1-0480-4efb-8934-6670675ee9ad","block_type":"box","text":"Lori Richards","page_number":27,"box":{"x":79,"y":728,"width":91,"height":8}},{"id":"de69cbcd-b7b5-441e-a3f2-79f7a4847477","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,586","page_number":27,"box":{"x":177,"y":727,"width":458,"height":11}},{"id":"68f30f21-1a95-481a-a674-ff798303b5d4","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":726,"y":727,"width":176,"height":11}},{"id":"401b17d4-9371-430e-a2af-d9fb8d0e1cc0","block_type":"box","text":"Mark Stalnecker","page_number":27,"box":{"x":79,"y":743,"width":115,"height":9}},{"id":"5045ddf5-4d9b-4375-8782-0e3f84326998","block_type":"box","text":"6,7","page_number":27,"box":{"x":194,"y":743,"width":12,"height":5}},{"id":"d20ffb16-5e54-42db-bf32-beb445a560b7","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,988","page_number":27,"box":{"x":209,"y":742,"width":426,"height":11}},{"id":"bb912ca9-7425-4592-8455-21078cc64de1","block_type":"box","text":"None $595,000","page_number":27,"box":{"x":726,"y":742,"width":176,"height":11}},{"id":"d869cec6-f411-474c-bb8b-e6030232188d","block_type":"box","text":"Marc D. Stern","page_number":27,"box":{"x":79,"y":758,"width":97,"height":9}},{"id":"3b5c0e7c-bf61-45a3-89b7-f16c874400b1","block_type":"box","text":"2","page_number":27,"box":{"x":178,"y":758,"width":4,"height":4}},{"id":"49fb3929-a9c2-4969-99d2-3fb559d90580","block_type":"box","text":"..........................................","page_number":27,"box":{"x":185,"y":765,"width":336,"height":2}},{"id":"c4877945-8207-4d25-be4b-8d3f53bfc736","block_type":"box","text":"$362 None None","page_number":27,"box":{"x":590,"y":757,"width":293,"height":11}},{"id":"2baa4e99-ceac-4aa1-bdb7-14e8e77e9165","block_type":"box","text":"Kenneth L. Urish","page_number":27,"box":{"x":79,"y":773,"width":117,"height":9}},{"id":"c28385de-ad5d-4097-8a1c-1ee411c59476","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,586","page_number":27,"box":{"x":201,"y":772,"width":434,"height":11}},{"id":"06e8f40a-021c-4d6c-b174-16f03e59d719","block_type":"box","text":"None $445,000","page_number":27,"box":{"x":726,"y":772,"width":176,"height":11}},{"id":"da92da87-1d69-4a8c-8133-604cd8694056","block_type":"box","text":"Claire A. Walton","page_number":27,"box":{"x":79,"y":788,"width":111,"height":9}},{"id":"f45ec2ed-2cc4-4499-8925-40f95c943ea2","block_type":"box","text":"7","page_number":27,"box":{"x":192,"y":788,"width":3,"height":5}},{"id":"d50cc432-21ca-4bd1-9d26-1c87d709f564","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,707","page_number":27,"box":{"x":201,"y":787,"width":433,"height":11}},{"id":"d50dfbe9-4e40-41b3-93f1-f6eadcf2c6dc","block_type":"box","text":"None $490,000","page_number":27,"box":{"x":726,"y":787,"width":176,"height":11}},{"id":"beb9eeb0-78f1-4481-942a-5373e194c4cd","block_type":"box","text":"Interested Directors","page_number":27,"box":{"x":70,"y":803,"width":140,"height":9}},{"id":"c3f3258c-8ba9-4e59-9f47-48ece912f1d9","block_type":"box","text":"Robert Fairbairn . . .","page_number":27,"box":{"x":79,"y":818,"width":140,"height":9}},{"id":"20679edc-4900-4c7f-aba2-c5b312490a91","block_type":"box","text":".....................................","page_number":27,"box":{"x":226,"y":826,"width":295,"height":1}},{"id":"c8cc2885-7842-4ff7-86c1-0121ed2ec2ee","block_type":"box","text":"None None None","page_number":27,"box":{"x":591,"y":818,"width":292,"height":9}},{"id":"0566861e-e51d-4b18-85a0-630eb7b9bfdf","block_type":"box","text":"John M. Perlowski.","page_number":27,"box":{"x":78,"y":834,"width":133,"height":8}},{"id":"03bb347e-dd91-46cd-ba45-83cea8121058","block_type":"box","text":"......................................","page_number":27,"box":{"x":217,"y":841,"width":304,"height":1}},{"id":"e30589f0-4957-4c98-b03c-9ade0b26fc8c","block_type":"box","text":"None None None","page_number":27,"box":{"x":591,"y":834,"width":292,"height":8}},{"id":"b775bea2-a83e-4723-96fa-307b1f2ee5cb","block_type":"box","text":"1","page_number":27,"box":{"x":69,"y":858,"width":3,"height":3}},{"id":"fb96d065-c828-41dc-a46c-0e06fac633d9","block_type":"box","text":"For the number of BlackRock-advised Funds from which each Director receives compensation, see “Biographical Information” beginning on","page_number":27,"box":{"x":94,"y":858,"width":788,"height":9}},{"id":"e68a1c53-a122-4a32-ac61-5ca62baf4502","block_type":"box","text":"page I-13.","page_number":27,"box":{"x":94,"y":868,"width":55,"height":9}},{"id":"cb524c0d-29e9-4b6d-99ff-f8e16155baca","block_type":"box","text":"2","page_number":27,"box":{"x":69,"y":881,"width":3,"height":3}},{"id":"67a47766-c3f0-4938-803e-814af6392431","block_type":"box","text":"Compensation includes $362 earned as a consultant to the Independent Directors for the period April 1, 2026 to July 1, 2026.","page_number":27,"box":{"x":93,"y":880,"width":726,"height":9}},{"id":"cf59ab96-3e0a-4128-bd00-8a09b50cd671","block_type":"box","text":"3","page_number":27,"box":{"x":69,"y":893,"width":3,"height":4}},{"id":"f163ee92-e5d8-4ced-bf73-93c94e8b64bc","block_type":"box","text":"Chair of the Audit Committee.","page_number":27,"box":{"x":93,"y":893,"width":168,"height":7}},{"id":"19a8b129-3b50-46a1-9d4d-769d97d58891","block_type":"box","text":"4","page_number":27,"box":{"x":68,"y":906,"width":4,"height":3}},{"id":"b17be87c-7d85-4676-82a0-20f24d7f77ae","block_type":"box","text":"Chair of the Governance Committee.","page_number":27,"box":{"x":93,"y":906,"width":206,"height":7}},{"id":"2a05b21f-b754-42d5-9170-8c9d13c7c36c","block_type":"box","text":"I-18","page_number":27,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"dca0b131-e528-42c2-b4df-fcba47a381bf","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":27,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f3a67e49-3d75-42e0-84ad-e3c61d9f4f59","block_type":"box","text":"5","page_number":28,"box":{"x":69,"y":45,"width":3,"height":4}},{"id":"441e166e-dc21-435d-a0ff-615f1dfaa41a","block_type":"box","text":"Chair of the Performance Oversight Committee.","page_number":28,"box":{"x":93,"y":45,"width":269,"height":9}},{"id":"6f13c6b0-221f-4e05-85f4-f0ebfdb9c998","block_type":"box","text":"6","page_number":28,"box":{"x":69,"y":58,"width":3,"height":3}},{"id":"7dfdb877-0821-4cf5-ba06-6f3e78db21f7","block_type":"box","text":"Chair of the Board and Chair of the Ad Hoc Topics Committee.","page_number":28,"box":{"x":93,"y":58,"width":352,"height":9}},{"id":"98f1d177-7756-409e-bcb4-5ca8de191e43","block_type":"box","text":"7","page_number":28,"box":{"x":69,"y":71,"width":3,"height":3}},{"id":"eda964d0-7832-452f-a87a-1913957419f8","block_type":"box","text":"Chair of the Compliance Committee.","page_number":28,"box":{"x":93,"y":70,"width":205,"height":9}},{"id":"8f3ccad7-35b2-4150-801f-86ed12cbc61e","block_type":"box","text":"IV. Management, Advisory and Other Service Arrangements","page_number":28,"box":{"x":69,"y":99,"width":432,"height":11}},{"id":"dbb3b7a2-c2d5-445b-9fd6-bb61c096e70f","block_type":"box","text":"Management Agreement","page_number":28,"box":{"x":69,"y":129,"width":180,"height":11}},{"id":"e2f188db-c0b5-41ad-b594-e7c53f50fdb3","block_type":"box","text":"The Fund has entered into a management agreement with BlackRock (the “Management Agreement”) pursuant","page_number":28,"box":{"x":101,"y":152,"width":791,"height":11}},{"id":"d9bdb6a7-617b-4b68-9148-91159e30e05f","block_type":"box","text":"to which BlackRock receives for its services to the Fund a monthly fee as a percentage of the average daily net","page_number":28,"box":{"x":68,"y":167,"width":793,"height":11}},{"id":"b720d965-b755-4e89-86fd-7bfe9fdda92d","block_type":"box","text":"assets of the Fund.","page_number":28,"box":{"x":69,"y":182,"width":136,"height":9}},{"id":"c222f575-1417-44c9-8cba-8e16029ba1c3","block_type":"box","text":"BlackRock has contractually agreed to waive the management fee of the Fund with respect to any portion of the","page_number":28,"box":{"x":102,"y":205,"width":795,"height":11}},{"id":"271e0b4c-86c0-4988-8d9c-4afce38e0817","block_type":"box","text":"Fund’s assets estimated to be attributable to investments in other equity and fixed-income mutual funds and","page_number":28,"box":{"x":70,"y":220,"width":774,"height":11}},{"id":"850ed48d-0a02-47c5-a09a-c0515aa8d563","block_type":"box","text":"exchange-traded funds managed by BlackRock or its affiliates that have a contractual management fee, through","page_number":28,"box":{"x":69,"y":235,"width":796,"height":11}},{"id":"ca76deea-06aa-4ef5-a750-0ab75cf0e17d","block_type":"box","text":"June 30, 2028. BlackRock has contractually agreed to waive its management fees by the amount of investment","page_number":28,"box":{"x":69,"y":250,"width":797,"height":11}},{"id":"d81f4c4f-ac84-4821-89cc-c8e786af086d","block_type":"box","text":"advisory fees the Fund pays to BlackRock indirectly through its investment in money market funds managed by","page_number":28,"box":{"x":69,"y":265,"width":789,"height":11}},{"id":"57bbc40f-5e0b-455f-80c5-0f2ef18b663e","block_type":"box","text":"BlackRock or its affiliates, through June 30, 2028. The contractual agreements may be terminated upon 90 days’","page_number":28,"box":{"x":70,"y":280,"width":810,"height":12}},{"id":"b27cb2ad-025d-40db-a82b-c70f715f67b5","block_type":"box","text":"notice by a majority of the Independent Directors or by a vote of a majority of the outstanding voting securities of the","page_number":28,"box":{"x":69,"y":295,"width":830,"height":12}},{"id":"49300a12-a5b3-4572-9405-081380165069","block_type":"box","text":"Fund.","page_number":28,"box":{"x":70,"y":311,"width":36,"height":8}},{"id":"ffea4c6e-9e5b-4d23-85dd-763ed21c5815","block_type":"box","text":"BlackRock has contractually agreed to waive and/or reimburse fees and/or expenses in order to limit Total","page_number":28,"box":{"x":102,"y":333,"width":759,"height":11}},{"id":"4f128be9-e6e7-4570-8e1d-f9b4c5296cf8","block_type":"box","text":"Annual Fund Operating Expenses After Fee Waivers and/or Expense Reimbursements (excluding Dividend Expense,","page_number":28,"box":{"x":68,"y":348,"width":818,"height":12}},{"id":"83564208-7bf2-48c5-91f5-4dbf9a7485ca","block_type":"box","text":"Interest Expense, Acquired Fund Fees and Expenses and certain other Fund expenses) as a percentage of average","page_number":28,"box":{"x":70,"y":363,"width":816,"height":12}},{"id":"93d5504b-55ec-4509-a801-c599fe297056","block_type":"box","text":"daily net assets to 0.92% (for Investor A Shares), 1.67% (for Investor C Shares), 0.67% (for Institutional Shares) and","page_number":28,"box":{"x":69,"y":378,"width":831,"height":12}},{"id":"8b163c02-1a1c-4590-85fc-26c5bb111cab","block_type":"box","text":"0.62% (for Class K Shares) through June 30, 2028. The contractual agreement may be terminated upon 90 days’","page_number":28,"box":{"x":69,"y":394,"width":809,"height":11}},{"id":"4781adf6-3fe8-4b61-b11c-7edc1dfd533c","block_type":"box","text":"notice by a majority of the Independent Directors of the Fund or by a vote of a majority of the outstanding voting","page_number":28,"box":{"x":69,"y":409,"width":795,"height":11}},{"id":"93a7d22b-d9b2-4906-adbc-f71f0b376069","block_type":"box","text":"securities of the Fund.","page_number":28,"box":{"x":69,"y":424,"width":158,"height":9}},{"id":"2f902dc3-68b6-4347-84f1-cbd1a362c3f0","block_type":"box","text":"Pursuant to the Management Agreement, the Manager may from time to time, in its sole discretion to the extent","page_number":28,"box":{"x":102,"y":446,"width":800,"height":12}},{"id":"55ee9597-5011-4cca-86c1-98c5eec06f61","block_type":"box","text":"permitted by applicable law, appoint one or more sub-advisers, including, without limitation, affiliates of the Manager,","page_number":28,"box":{"x":70,"y":462,"width":834,"height":11}},{"id":"919db188-103e-45d4-9a8a-885a1bc4095b","block_type":"box","text":"to perform investment advisory services with respect to the Fund. In addition, the Manager may delegate certain of","page_number":28,"box":{"x":68,"y":477,"width":825,"height":11}},{"id":"61f53835-6a46-458a-9333-c18bc6982a30","block_type":"box","text":"its investment advisory functions under the Management Agreement to one or more of its affiliates to the extent","page_number":28,"box":{"x":70,"y":492,"width":801,"height":11}},{"id":"56a07491-fee2-4ced-bbc2-02e8eb8e6610","block_type":"box","text":"permitted by applicable law. The Manager may terminate any or all sub-advisers or such delegation arrangements in","page_number":28,"box":{"x":70,"y":507,"width":823,"height":11}},{"id":"94ba03d0-a2ce-4a5b-8bc2-300c7af2cbe7","block_type":"box","text":"its sole discretion at any time to the extent permitted by applicable law.","page_number":28,"box":{"x":70,"y":522,"width":508,"height":11}},{"id":"6e820983-c6be-4807-88f0-15c5159994c0","block_type":"box","text":"The table below sets forth information about the total management fees paid by the Fund to the Manager, and","page_number":28,"box":{"x":101,"y":545,"width":787,"height":11}},{"id":"92180fd3-12a7-4303-8b31-5ac4d62aa85e","block_type":"box","text":"the amounts waived by the Manager, for the periods indicated below.","page_number":28,"box":{"x":68,"y":560,"width":490,"height":11}},{"id":"245d3817-0739-4e72-8fcd-011dcaeb31f7","block_type":"box","text":"Fees Paid","page_number":28,"box":{"x":524,"y":588,"width":55,"height":7}},{"id":"f0f9d9c0-0bf4-4f36-b015-f068b5c44001","block_type":"box","text":"to the Manager","page_number":28,"box":{"x":506,"y":598,"width":90,"height":9}},{"id":"0a1ee608-7277-46d2-b373-f09dbc902685","block_type":"box","text":"Fees Waived by the","page_number":28,"box":{"x":627,"y":588,"width":112,"height":9}},{"id":"d847a495-22e7-4c70-aa47-b65113379604","block_type":"box","text":"Manager","page_number":28,"box":{"x":658,"y":598,"width":50,"height":9}},{"id":"bee8a5d4-2e6f-43c1-8589-3e502c030d57","block_type":"box","text":"Fees Reimbursed by the","page_number":28,"box":{"x":770,"y":588,"width":139,"height":9}},{"id":"8fd99312-c19e-42a1-ad01-d63b59d89dfb","block_type":"box","text":"Manager","page_number":28,"box":{"x":814,"y":598,"width":51,"height":9}},{"id":"9d5534d1-b1af-4d2f-8c93-d41fb61f932e","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . .","page_number":28,"box":{"x":70,"y":616,"width":300,"height":11}},{"id":"a11408a6-4192-49b2-9a50-8e06d27e6ae5","block_type":"box","text":". . . . . . . . . . . . . $8,","page_number":28,"box":{"x":376,"y":615,"width":154,"height":11}},{"id":"0fda1a32-b4b7-40a7-94b4-a36dde4e5e19","block_type":"box","text":"852,193 $523,417 $614,092","page_number":28,"box":{"x":532,"y":615,"width":343,"height":11}},{"id":"4dbfeafe-d035-4edc-a91b-675cebb26962","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . .","page_number":28,"box":{"x":70,"y":631,"width":300,"height":11}},{"id":"ae27ffe3-57dc-4837-b04e-96f66a2881a5","block_type":"box","text":". . . . . . . . . . . . . $8,","page_number":28,"box":{"x":376,"y":630,"width":154,"height":12}},{"id":"d08ff5ff-1fd3-47a9-b039-f90eaad5b6aa","block_type":"box","text":"941,309 $479,852 $574,617","page_number":28,"box":{"x":533,"y":630,"width":342,"height":12}},{"id":"bb0eaeb1-a062-49bf-b1b9-5d26032c082c","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . .","page_number":28,"box":{"x":70,"y":646,"width":300,"height":11}},{"id":"e5774478-6ad5-4312-b648-77bf8aceca81","block_type":"box","text":". . . . . . . . . . . . . $7,","page_number":28,"box":{"x":376,"y":646,"width":154,"height":11}},{"id":"947ebafb-7248-42e1-b279-9b181188d2c8","block_type":"box","text":"486,706 $459,460 $715,707","page_number":28,"box":{"x":532,"y":646,"width":343,"height":11}},{"id":"4b6a7690-bff6-44e2-a59e-363d64a5c74a","block_type":"box","text":"Information Regarding the Portfolio Managers","page_number":28,"box":{"x":69,"y":678,"width":335,"height":11}},{"id":"e020919b-96fb-4c80-bdbb-387943fdf341","block_type":"box","text":"Sally Du, CFA, and Reid Menge are the portfolio managers and are jointly and primarily responsible for the day-to","page_number":28,"box":{"x":102,"y":700,"width":806,"height":12}},{"id":"f5647ec0-d08f-4ee0-8019-2458c7e53382","block_type":"box","text":"day management of the Fund’s portfolio.","page_number":28,"box":{"x":69,"y":715,"width":288,"height":12}},{"id":"149f6bd5-e74d-4725-9d4f-fe97a1422183","block_type":"box","text":"Other Funds and Accounts Managed","page_number":28,"box":{"x":70,"y":746,"width":265,"height":11}},{"id":"f293da33-8e7e-44c7-b77d-8dead34054a9","block_type":"box","text":"The following table sets forth information about funds and accounts other than the Fund for which the portfolio","page_number":28,"box":{"x":101,"y":768,"width":790,"height":12}},{"id":"c9972334-0929-4e7e-875d-acadddf1db4d","block_type":"box","text":"managers are primarily responsible for the day-to-day portfolio management as of May 31, 2026.","page_number":28,"box":{"x":69,"y":783,"width":691,"height":12}},{"id":"04ea324e-6836-48d9-804a-7c4f4ccb9053","block_type":"box","text":"I-19","page_number":28,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"8492c712-2536-46cf-bb88-84349ae2b823","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":28,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"abf94178-d1bb-44b4-a95d-a2c215f4c2b7","block_type":"box","text":"Number of Other Accounts Managed","page_number":29,"box":{"x":362,"y":49,"width":211,"height":9}},{"id":"d5447fdb-40d8-4ffa-91e1-2adebe48bfc4","block_type":"box","text":"and Assets by Account Type","page_number":29,"box":{"x":385,"y":59,"width":165,"height":9}},{"id":"95283804-5e85-4741-891c-3a34cae51144","block_type":"box","text":"Number of Other Accounts and Assets","page_number":29,"box":{"x":656,"y":49,"width":222,"height":7}},{"id":"87ae04ed-238a-4061-8970-5f5d3ef92684","block_type":"box","text":"for Which Advisory Fee is Performance-Based","page_number":29,"box":{"x":634,"y":59,"width":265,"height":9}},{"id":"872fbb20-de3d-4dbb-8dfd-7d7bb60cf298","block_type":"box","text":"Name of Portfolio Manager","page_number":29,"box":{"x":74,"y":102,"width":157,"height":9}},{"id":"f80e1186-1a01-4b67-ac55-24e150cc0546","block_type":"box","text":"Other","page_number":29,"box":{"x":345,"y":72,"width":32,"height":7}},{"id":"d7a493da-2d00-4476-bf07-a4b0525e38ef","block_type":"box","text":"Registered","page_number":29,"box":{"x":330,"y":82,"width":62,"height":9}},{"id":"ea08817a-7479-4d62-be08-334e78017f70","block_type":"box","text":"Investment","page_number":29,"box":{"x":329,"y":92,"width":64,"height":7}},{"id":"a736641f-0f25-48f6-8e45-f3d292e3b322","block_type":"box","text":"Companies","page_number":29,"box":{"x":329,"y":102,"width":64,"height":9}},{"id":"9b4345c8-1005-434e-a1bd-dcd473e3a59f","block_type":"box","text":"Other Pooled","page_number":29,"box":{"x":425,"y":82,"width":74,"height":7}},{"id":"d2225bfa-fdb7-4a6b-9e9a-5204251a5c89","block_type":"box","text":"Investment","page_number":29,"box":{"x":430,"y":92,"width":64,"height":7}},{"id":"0242bab3-656d-422e-bf4d-9bf1e2cd5af6","block_type":"box","text":"Vehicles","page_number":29,"box":{"x":438,"y":102,"width":48,"height":7}},{"id":"3a70cd3d-c66f-4f74-8214-f0dea4b06cf5","block_type":"box","text":"Other","page_number":29,"box":{"x":553,"y":92,"width":31,"height":7}},{"id":"b83dcd7d-696e-4b8e-98e9-98a5fff0d7f9","block_type":"box","text":"Accounts","page_number":29,"box":{"x":541,"y":102,"width":54,"height":7}},{"id":"f05419b7-aef1-423c-ad8e-736c8d430aba","block_type":"box","text":"Other","page_number":29,"box":{"x":656,"y":72,"width":32,"height":7}},{"id":"76b5fa2d-e08e-4e01-9584-2fa9e04e7feb","block_type":"box","text":"Registered","page_number":29,"box":{"x":641,"y":82,"width":62,"height":9}},{"id":"be9d251a-c1cc-4ea2-8b43-8a2db168fac6","block_type":"box","text":"Investment","page_number":29,"box":{"x":640,"y":92,"width":64,"height":7}},{"id":"65e92e96-f2cd-46d6-a54d-0c9283b631d4","block_type":"box","text":"Companies","page_number":29,"box":{"x":640,"y":102,"width":64,"height":9}},{"id":"5b878e42-cb5e-43bd-908c-96c331528795","block_type":"box","text":"Other Pooled","page_number":29,"box":{"x":735,"y":82,"width":74,"height":7}},{"id":"5b0bd714-0ffa-438e-a5ba-ea129f98682a","block_type":"box","text":"Investment","page_number":29,"box":{"x":740,"y":92,"width":64,"height":7}},{"id":"0a2ab3ff-e282-430c-a7ad-2bce2f453a16","block_type":"box","text":"Vehicles","page_number":29,"box":{"x":748,"y":102,"width":48,"height":7}},{"id":"34965649-ab19-4f63-95ff-13d4735baede","block_type":"box","text":"Other","page_number":29,"box":{"x":852,"y":92,"width":31,"height":7}},{"id":"5aac19cf-3d80-45ee-90ab-a67024a5ca19","block_type":"box","text":"Accounts","page_number":29,"box":{"x":840,"y":102,"width":54,"height":7}},{"id":"c97fa363-dd5d-4194-8346-9729305b5047","block_type":"box","text":"Sally Du, CFA 12 7 0 0 0 0","page_number":29,"box":{"x":74,"y":116,"width":797,"height":9}},{"id":"8492dcc3-16eb-4ac2-8f53-a6cf9e28e92f","block_type":"box","text":"$25.66 Billion $8.95 Billion $0 $0 $0 $0","page_number":29,"box":{"x":321,"y":128,"width":553,"height":8}},{"id":"731e116d-0615-4da6-9fe9-ce70b40998f9","block_type":"box","text":"Reid Menge 16 7 2 0 0 0","page_number":29,"box":{"x":74,"y":141,"width":797,"height":9}},{"id":"a5983fcb-985d-43f9-ab38-79a60db0b0e6","block_type":"box","text":"$50.30 Billion $28.24 Billion $231.78 Million $0 $0 $0","page_number":29,"box":{"x":321,"y":153,"width":553,"height":8}},{"id":"bdf7a73a-bb92-430c-b869-a9fce3344136","block_type":"box","text":"Por tfolio Manager Compensation Overview","page_number":29,"box":{"x":69,"y":188,"width":304,"height":11}},{"id":"413a7422-64d0-4152-a29f-34b74f8314fa","block_type":"box","text":"The discussion below describes the portfolio managers’ compensation as of May 31, 2026.","page_number":29,"box":{"x":101,"y":210,"width":656,"height":12}},{"id":"f1fa5de6-eddd-44e0-af29-2f38bb2e4039","block_type":"box","text":"BlackRock’s financial arrangements with its portfolio managers, its competitive compensation and its career","page_number":29,"box":{"x":102,"y":233,"width":774,"height":11}},{"id":"edcdc935-6e8f-47c2-8eab-38e2ea578a65","block_type":"box","text":"path emphasis at all levels reflect the value senior management places on key resources. Compensation may include","page_number":29,"box":{"x":70,"y":248,"width":837,"height":11}},{"id":"bc6a6c7b-4b39-4e7c-a08c-365c46d9d170","block_type":"box","text":"a variety of components and may vary from year to year based on a number of factors. The principal components of","page_number":29,"box":{"x":69,"y":263,"width":823,"height":11}},{"id":"4a876a86-582f-4636-9912-219368022a42","block_type":"box","text":"compensation include a base salary, a performance-based discretionary bonus, participation in various benefits","page_number":29,"box":{"x":69,"y":278,"width":799,"height":11}},{"id":"a790b746-1d35-4d23-a79c-cf273c066775","block_type":"box","text":"programs and one or more of the incentive compensation programs established by BlackRock.","page_number":29,"box":{"x":70,"y":293,"width":670,"height":12}},{"id":"356b20a7-a3e4-43c4-ae0d-e36160f09e97","block_type":"box","text":"Base Compensation.","page_number":29,"box":{"x":102,"y":316,"width":148,"height":11}},{"id":"096e9e53-830d-44ab-b869-f5498712f40a","block_type":"box","text":"Generally, portfolio managers receive base compensation based on their position with the","page_number":29,"box":{"x":257,"y":316,"width":640,"height":11}},{"id":"2ae191a2-b483-4621-81a2-add2b78e75da","block_type":"box","text":"firm.","page_number":29,"box":{"x":68,"y":331,"width":32,"height":9}},{"id":"32968d19-f24a-4150-85f3-06f2ec30a958","block_type":"box","text":"Discretionary Incentive Compensation","page_number":29,"box":{"x":69,"y":362,"width":277,"height":11}},{"id":"15eb5c1e-8341-4fd4-ab06-49b3692dd927","block_type":"box","text":"Generally, discretionary incentive compensation for Fundamental Equities portfolio managers is based on a","page_number":29,"box":{"x":102,"y":384,"width":763,"height":11}},{"id":"e7949305-2b24-4b0e-b814-945324983666","block_type":"box","text":"formulaic compensation program. BlackRock’s formulaic portfolio manager compensation program is based on team","page_number":29,"box":{"x":68,"y":399,"width":832,"height":12}},{"id":"fa27815e-faa7-4bd9-93a8-e2779ddd0286","block_type":"box","text":"revenue and pre-tax investment performance relative to appropriate competitors or benchmarks over 3- and 5-year","page_number":29,"box":{"x":69,"y":414,"width":815,"height":12}},{"id":"74789fd5-f892-4ba7-b732-c0a6d8913f61","block_type":"box","text":"performance periods, as applicable. In most cases, these benchmarks are the same as the benchmark or","page_number":29,"box":{"x":70,"y":429,"width":757,"height":11}},{"id":"8fb1aa3f-b3b9-48b0-95a0-f39f313f4bd4","block_type":"box","text":"benchmarks against which the performance of the Fund or other accounts managed by the portfolio managers are","page_number":29,"box":{"x":69,"y":445,"width":814,"height":11}},{"id":"4dff632b-5f74-4641-abd8-cefeb07301c2","block_type":"box","text":"measured. BlackRock’s global compensation team determines the benchmarks or rankings against which the","page_number":29,"box":{"x":69,"y":460,"width":780,"height":11}},{"id":"285078a7-0472-4f9c-bc5e-a8bd2f11fc02","block_type":"box","text":"performance of the Fund and other accounts managed by the portfolio management team is compared and the","page_number":29,"box":{"x":70,"y":475,"width":791,"height":11}},{"id":"e4b2deb7-e8f9-4adc-87c5-a4354320fd55","block_type":"box","text":"period of time over which performance is evaluated. With respect to these portfolio managers such benchmarks for","page_number":29,"box":{"x":70,"y":490,"width":823,"height":11}},{"id":"e557b7b1-6044-49d7-ad0c-b22001cd1ce8","block_type":"box","text":"the Fund and other accounts are:","page_number":29,"box":{"x":68,"y":505,"width":236,"height":9}},{"id":"04a4175b-93b1-46ab-89ed-68cc33cd27ef","block_type":"box","text":"Portfolio Manager Benchmarks","page_number":29,"box":{"x":69,"y":533,"width":267,"height":9}},{"id":"5db4e4bc-cdb5-404f-986c-4e144a6374c8","block_type":"box","text":"Sally Du, CFA S&P 500 Index; ICE BofA US 3-month Treasury Bill Index; Russell 1000 Index.","page_number":29,"box":{"x":69,"y":550,"width":750,"height":11}},{"id":"22ea3b97-8d3e-4012-9740-259be884f184","block_type":"box","text":"Reid Menge MSCI ACWI 25% Call Overwrite Index; MSCI All Country World Index (Net Total Return);","page_number":29,"box":{"x":70,"y":573,"width":807,"height":11}},{"id":"14dae8c0-d8c3-4a92-8552-1a199d339274","block_type":"box","text":"MSCI All Country World Information Technology Index - Net Return in USD.","page_number":29,"box":{"x":265,"y":588,"width":523,"height":11}},{"id":"1c3b6430-fb0b-4863-82b6-02252347e52c","block_type":"box","text":"A smaller element of portfolio manager discretionary compensation may include consideration of: financial","page_number":29,"box":{"x":101,"y":612,"width":759,"height":11}},{"id":"7320eefa-46c3-4720-8bc0-444cdf0abecb","block_type":"box","text":"results, expense control, profit margins, strategic planning and implementation, quality of client service, market","page_number":29,"box":{"x":69,"y":627,"width":798,"height":11}},{"id":"f445a56e-90c0-4f0a-9f76-c25404cc00fa","block_type":"box","text":"share, corporate reputation, capital allocation, compliance and risk control, leadership, technology and innovation.","page_number":29,"box":{"x":69,"y":642,"width":814,"height":11}},{"id":"612afb26-b9f1-4729-8776-35a79931a38a","block_type":"box","text":"These factors are considered collectively by BlackRock management and the relevant Chief Investment Officers.","page_number":29,"box":{"x":68,"y":657,"width":798,"height":11}},{"id":"0e02b268-b2e5-4e51-abf2-fa31e4bc5bee","block_type":"box","text":"Distribution of Discretionary Incentive Compensation.","page_number":29,"box":{"x":102,"y":680,"width":389,"height":11}},{"id":"fec9c14a-107c-4d17-b848-ef2fc7c8cbc2","block_type":"box","text":"Discretionary incentive compensation is distributed to","page_number":29,"box":{"x":499,"y":680,"width":383,"height":11}},{"id":"2b6d6331-c6cb-4f06-81ee-9e073b212ac1","block_type":"box","text":"portfolio managers in a combination of cash, deferred BlackRock, Inc. stock awards, and/or deferred cash awards","page_number":29,"box":{"x":70,"y":695,"width":815,"height":11}},{"id":"09c36730-b318-4fc0-8829-38ed0da96e84","block_type":"box","text":"that notionally track the return of certain BlackRock investment products.","page_number":29,"box":{"x":68,"y":710,"width":522,"height":11}},{"id":"df8484a5-9306-46c3-a8cc-9ff1b1e19691","block_type":"box","text":"Portfolio managers receive their annual discretionary incentive compensation in the form of cash. Portfolio","page_number":29,"box":{"x":102,"y":732,"width":760,"height":12}},{"id":"0fa35ab7-6593-4b52-997a-324cc17f4a38","block_type":"box","text":"managers whose total compensation is above a specified threshold also receive deferred BlackRock, Inc. stock","page_number":29,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"6bd1a53f-3973-4cb1-aac6-e517f3eae43a","block_type":"box","text":"awards annually as part of their discretionary incentive compensation. Paying a portion of discretionary incentive","page_number":29,"box":{"x":69,"y":763,"width":805,"height":11}},{"id":"0b17da0c-eb11-40da-9e9b-3d0617a5ccd2","block_type":"box","text":"compensation in the form of deferred BlackRock, Inc. stock puts compensation earned by a portfolio manager for a","page_number":29,"box":{"x":69,"y":778,"width":822,"height":11}},{"id":"4083f24d-49d6-4fb9-a5ea-3c9acf296738","block_type":"box","text":"given year “at risk” based on BlackRock’s ability to sustain and improve its performance over future periods. In some","page_number":29,"box":{"x":68,"y":793,"width":839,"height":11}},{"id":"454841e7-d584-44bc-8882-dc1b60b5602a","block_type":"box","text":"cases, additional deferred BlackRock, Inc. stock may be granted to certain key employees as part of a long-term","page_number":29,"box":{"x":69,"y":808,"width":802,"height":11}},{"id":"e1c0c932-027c-4d5a-8bf6-d1b0feb47fe0","block_type":"box","text":"incentive award to aid in retention, align interests with long-term shareholders and motivate performance. Deferred","page_number":29,"box":{"x":70,"y":823,"width":820,"height":12}},{"id":"d65fbec0-28e1-45ca-a15b-63d190bc8ea8","block_type":"box","text":"BlackRock, Inc. stock awards are generally granted in the form of BlackRock, Inc. restricted stock units that vest","page_number":29,"box":{"x":70,"y":838,"width":801,"height":12}},{"id":"71b0f6d8-a59b-4831-bfda-012b89362a4e","block_type":"box","text":"pursuant to the terms of the applicable plan and, once vested, settle in BlackRock, Inc. common stock. The portfolio","page_number":29,"box":{"x":70,"y":853,"width":831,"height":11}},{"id":"91a75738-1f0a-410f-93be-fb2550ea7121","block_type":"box","text":"managers of this Fund have deferred BlackRock, Inc. stock awards.","page_number":29,"box":{"x":69,"y":869,"width":479,"height":11}},{"id":"57bac2f1-94c0-46f0-868d-8f059b771c5e","block_type":"box","text":"For certain portfolio managers, a portion of the discretionary incentive compensation is also distributed in the","page_number":29,"box":{"x":102,"y":891,"width":785,"height":12}},{"id":"698862da-22d8-4cdb-a9d9-7b53ce41caa0","block_type":"box","text":"form of deferred cash awards that notionally track the returns of select BlackRock investment products they manage,","page_number":29,"box":{"x":68,"y":906,"width":836,"height":12}},{"id":"7795a15b-8330-48cc-9d32-2d475c11b675","block_type":"box","text":"I-20","page_number":29,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"4fee55fa-0e7f-4be2-959c-2a61b903c312","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":29,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ce0e7a16-a3d2-447c-8f1e-0236c339d3cc","block_type":"box","text":"which provides direct alignment of portfolio manager discretionary incentive compensation with investment product","page_number":30,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"725f0f81-5c72-407c-8e6a-5657710bd316","block_type":"box","text":"results. Deferred cash awards vest ratably over a number of years and, once vested, settle in the form of cash. Only","page_number":30,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"cf56745a-5eab-40fb-a986-d718c4304d24","block_type":"box","text":"portfolio managers who manage specified products and whose total compensation is above a specified threshold are","page_number":30,"box":{"x":70,"y":75,"width":835,"height":11}},{"id":"ba55f4a6-3a0f-457d-a389-fc782f23a846","block_type":"box","text":"eligible to participate in the deferred cash award program.","page_number":30,"box":{"x":69,"y":90,"width":414,"height":11}},{"id":"b0919f96-7104-4044-88a7-b23d443f2a16","block_type":"box","text":"Other Compensation Benefits.","page_number":30,"box":{"x":101,"y":113,"width":218,"height":11}},{"id":"1d582812-e042-4f14-abbc-8275e22578b6","block_type":"box","text":"In addition to base salary and discretionary incentive compensation, portfolio","page_number":30,"box":{"x":327,"y":113,"width":552,"height":11}},{"id":"0c2de607-aeb4-4e7d-831e-a442eaf255a6","block_type":"box","text":"managers may be eligible to receive or participate in one or more of the following:","page_number":30,"box":{"x":69,"y":128,"width":582,"height":11}},{"id":"a38709cc-0a9f-4fc4-a046-413a3c0a97d1","block_type":"box","text":"Incentive Savings Plans","page_number":30,"box":{"x":102,"y":151,"width":167,"height":11}},{"id":"2799e152-08fc-462f-ac9c-99f5a4bed145","block_type":"box","text":"— BlackRock, Inc. has created a variety of incentive savings plans in which BlackRock","page_number":30,"box":{"x":274,"y":150,"width":614,"height":12}},{"id":"b2daa2fd-9890-461f-ac34-6e554ea3bdf2","block_type":"box","text":"employees are eligible to participate, including a 401(k) plan, the BlackRock Retirement Savings Plan (RSP), and the","page_number":30,"box":{"x":69,"y":166,"width":831,"height":11}},{"id":"eee66132-7fad-4575-98ae-f117bfbe8084","block_type":"box","text":"BlackRock Employee Stock Purchase Plan (ESPP). The employer contribution components of the RSP include a","page_number":30,"box":{"x":70,"y":181,"width":785,"height":11}},{"id":"e7377666-b129-40a9-b781-57fbaf5de150","block_type":"box","text":"company match equal to 50% of the first 8% of eligible pay contributed to the plan capped at $5,000 per year, and a","page_number":30,"box":{"x":69,"y":195,"width":830,"height":12}},{"id":"9f5432fe-36b1-4d5b-b93f-48550645c3a2","block_type":"box","text":"company retirement contribution equal to 3-5% of eligible compensation up to the Internal Revenue Service limit","page_number":30,"box":{"x":69,"y":211,"width":799,"height":11}},{"id":"0b530485-899e-4b89-9e12-a665f3b308b7","block_type":"box","text":"($360,000 for 2026). The RSP offers a range of investment options, including registered investment companies and","page_number":30,"box":{"x":69,"y":225,"width":831,"height":12}},{"id":"58af59f9-5eb7-4b0e-bd9b-72fd4afa2e2c","block_type":"box","text":"collective investment funds managed by the firm. BlackRock contributions follow the investment direction set by","page_number":30,"box":{"x":69,"y":241,"width":798,"height":11}},{"id":"b228a76d-4924-4579-92e4-ad2d4b412e3c","block_type":"box","text":"participants for their own contributions or, absent participant investment direction, are invested into a target date","page_number":30,"box":{"x":70,"y":256,"width":809,"height":12}},{"id":"f72374ac-09f1-400a-ade0-b3d6e428148e","block_type":"box","text":"fund that corresponds to, or is closest to, the year in which the participant attains age 65. The ESPP allows for","page_number":30,"box":{"x":68,"y":271,"width":793,"height":12}},{"id":"e36c5b0e-506d-49c9-96e4-bf95be84ee62","block_type":"box","text":"investment in BlackRock common stock at a 5% discount on the fair market value of the stock on the purchase date.","page_number":30,"box":{"x":70,"y":286,"width":832,"height":11}},{"id":"ea5cccff-9b96-4e9e-bafa-5749f688b91f","block_type":"box","text":"Annual participation in the ESPP is limited to the purchase of 1,000 shares of common stock or a dollar value of","page_number":30,"box":{"x":68,"y":302,"width":805,"height":11}},{"id":"99de27de-2a1f-4bd7-a899-59faf9a44451","block_type":"box","text":"$25,000 based on its fair market value on the purchase date. All of the eligible portfolio managers are eligible to","page_number":30,"box":{"x":69,"y":316,"width":808,"height":12}},{"id":"f74539a4-f492-43b3-8da3-3e051aebc5d3","block_type":"box","text":"participate in these plans.","page_number":30,"box":{"x":70,"y":332,"width":185,"height":11}},{"id":"e606a510-45e6-4e93-a9b5-a1973ace9cf3","block_type":"box","text":"Por tfolio Manager Beneficial Holdings","page_number":30,"box":{"x":69,"y":362,"width":268,"height":11}},{"id":"8ab3303c-e803-4683-acf2-15386def8d28","block_type":"box","text":"As of May 31, 2026, the dollar range of securities beneficially owned by the portfolio managers in the Fund is","page_number":30,"box":{"x":101,"y":385,"width":782,"height":11}},{"id":"a1182031-acbc-4971-a6ec-48026cd38028","block_type":"box","text":"shown below:","page_number":30,"box":{"x":69,"y":400,"width":94,"height":9}},{"id":"2fcf8fc1-282f-4eec-ba05-23a73a46cb9f","block_type":"box","text":"Portfolio Manager","page_number":30,"box":{"x":69,"y":438,"width":105,"height":9}},{"id":"b1160b5e-1901-4d1f-821f-b5cd0e403775","block_type":"box","text":"Dollar Range of Equity","page_number":30,"box":{"x":759,"y":428,"width":129,"height":9}},{"id":"d8e86344-954a-47cf-8a2e-8ece1500350d","block_type":"box","text":"Securities Beneficially Owned","page_number":30,"box":{"x":736,"y":438,"width":173,"height":9}},{"id":"9112df00-ffe9-43a0-a7db-b68388b038e1","block_type":"box","text":"Sally Du, CFA. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . None","page_number":30,"box":{"x":69,"y":456,"width":772,"height":11}},{"id":"6002d944-885d-4c6c-9425-9fb9a8f2b894","block_type":"box","text":"Reid Menge . . .","page_number":30,"box":{"x":70,"y":471,"width":105,"height":11}},{"id":"10dfd260-f9f6-431a-b37f-0c7fac43021f","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . None","page_number":30,"box":{"x":182,"y":471,"width":659,"height":9}},{"id":"1ed229ac-ea4f-45d2-b875-41f80e5cb140","block_type":"box","text":"Por tfolio Manager Potential Material Conflicts of Interest","page_number":30,"box":{"x":69,"y":503,"width":403,"height":11}},{"id":"7568116c-7ec6-4c3c-b42e-0965b1d9570b","block_type":"box","text":"BlackRock has built a professional working environment, firm-wide compliance culture and compliance","page_number":30,"box":{"x":102,"y":525,"width":727,"height":12}},{"id":"4d30c64a-9451-4626-acbf-a2d01dca79b5","block_type":"box","text":"procedures and systems designed to protect against potential incentives that may favor one account over another.","page_number":30,"box":{"x":70,"y":540,"width":814,"height":12}},{"id":"b9a61afa-44b8-42e5-9251-f90080fac38e","block_type":"box","text":"BlackRock has adopted policies and procedures that address the allocation of investment opportunities, execution of","page_number":30,"box":{"x":70,"y":555,"width":837,"height":11}},{"id":"f684964a-5509-435a-95f9-c36ce0662496","block_type":"box","text":"portfolio transactions, personal trading by employees and other potential conflicts of interest that are designed to","page_number":30,"box":{"x":70,"y":571,"width":810,"height":11}},{"id":"86082163-765d-4eab-99a9-eb60cdc5e7fb","block_type":"box","text":"ensure that all client accounts are treated equitably over time. Nevertheless, BlackRock furnishes investment","page_number":30,"box":{"x":69,"y":586,"width":782,"height":11}},{"id":"4d6affdb-4add-44c1-97a3-da0c7030c3a9","block_type":"box","text":"management and advisory services to numerous clients in addition to the Fund, and BlackRock may, consistent with","page_number":30,"box":{"x":69,"y":601,"width":830,"height":11}},{"id":"8f88ea0d-3075-49ff-acd3-c25c51a176c6","block_type":"box","text":"applicable law, make investment recommendations to other clients or accounts (including accounts which are hedge","page_number":30,"box":{"x":69,"y":616,"width":828,"height":11}},{"id":"c589057d-0565-44fa-b15c-41dac1e3bc42","block_type":"box","text":"funds or have performance or higher fees paid to BlackRock, or in which portfolio managers have a personal interest","page_number":30,"box":{"x":68,"y":631,"width":834,"height":11}},{"id":"8dc3cd16-75f4-4c18-a4c0-79eebd90c632","block_type":"box","text":"in the receipt of such fees), which may be the same as or different from those made to the Fund. In addition,","page_number":30,"box":{"x":70,"y":646,"width":777,"height":11}},{"id":"99054acb-b983-42dd-adee-c754e7f0d5b4","block_type":"box","text":"BlackRock, its affiliates and significant shareholders and any officer, director, shareholder or employee may or may","page_number":30,"box":{"x":70,"y":661,"width":821,"height":12}},{"id":"246b7b4c-ca3c-4fbd-a884-b8d02151ad47","block_type":"box","text":"not have an interest in the securities whose purchase and sale BlackRock recommends to the Fund. BlackRock, or","page_number":30,"box":{"x":69,"y":677,"width":819,"height":10}},{"id":"73c3c486-f187-4905-b255-2bbf189b0742","block_type":"box","text":"any of its affiliates or significant shareholders, or any officer, director, shareholder, employee or any member of their","page_number":30,"box":{"x":69,"y":692,"width":832,"height":11}},{"id":"eb3f5e44-1064-4ec1-8774-3b1917666cc3","block_type":"box","text":"families may take different actions than those recommended to the Fund by BlackRock with respect to the same","page_number":30,"box":{"x":68,"y":707,"width":804,"height":11}},{"id":"adc5a0b0-5864-465e-854b-837d5645da56","block_type":"box","text":"securities. Moreover, BlackRock may refrain from rendering any advice or services concerning securities of","page_number":30,"box":{"x":69,"y":722,"width":760,"height":11}},{"id":"431860ef-3b10-4b07-bf1e-55606c97035c","block_type":"box","text":"companies of which any of BlackRock’s (or its affiliates’ or significant shareholders’) officers, directors or employees","page_number":30,"box":{"x":69,"y":737,"width":834,"height":11}},{"id":"825b6893-f0ba-4935-8c70-fed138fdcd17","block_type":"box","text":"are directors or officers, or companies as to which BlackRock or any of its affiliates or significant shareholders or the","page_number":30,"box":{"x":69,"y":752,"width":836,"height":11}},{"id":"b7bd6054-880b-4e51-ada0-5c8e9b8a3639","block_type":"box","text":"officers, directors and employees of any of them has any substantial economic interest or possesses material non","page_number":30,"box":{"x":69,"y":767,"width":822,"height":11}},{"id":"20f5f0dc-6a46-4989-ad04-16ebbd68444d","block_type":"box","text":"public information. Certain portfolio managers also may manage accounts whose investment strategies may at times","page_number":30,"box":{"x":70,"y":782,"width":835,"height":12}},{"id":"a0873813-d2be-4910-b950-bfd4eb928b8f","block_type":"box","text":"be opposed to the strategy utilized for the Fund. It should also be noted that Mr. Menge may be managing hedge fund","page_number":30,"box":{"x":69,"y":797,"width":838,"height":12}},{"id":"88058f2c-2e1c-486a-9bb2-c29c9c21a9ff","block_type":"box","text":"and/or long only accounts, or may be part of a team managing hedge fund and/or long only accounts, subject to","page_number":30,"box":{"x":69,"y":812,"width":802,"height":12}},{"id":"9376e9bd-5f84-462e-9044-c054f9625ed7","block_type":"box","text":"incentive fees. Mr. Menge may therefore be entitled to receive a portion of any incentive fees earned on such","page_number":30,"box":{"x":70,"y":828,"width":778,"height":11}},{"id":"08024ad6-44c1-429c-9e78-cf0e7d14014c","block_type":"box","text":"accounts.","page_number":30,"box":{"x":69,"y":843,"width":67,"height":9}},{"id":"706c64b8-06da-499b-818d-6bf0b51d5e0c","block_type":"box","text":"As a fiduciary, BlackRock owes a duty of loyalty to its clients and must treat each client fairly. When BlackRock","page_number":30,"box":{"x":101,"y":865,"width":788,"height":12}},{"id":"dd2af07f-508c-4c00-9297-33cd2686d90a","block_type":"box","text":"purchases or sells securities for more than one account, the trades must be allocated in a manner consistent with its","page_number":30,"box":{"x":70,"y":881,"width":839,"height":11}},{"id":"b326fb1a-d057-40dc-b6fb-4b4d1ca9a1f0","block_type":"box","text":"fiduciary duties. BlackRock attempts to allocate investments in a fair and equitable manner among client accounts,","page_number":30,"box":{"x":68,"y":896,"width":823,"height":11}},{"id":"ed867597-f26f-4bc7-8c0e-051a4ea5dcda","block_type":"box","text":"with no account receiving preferential treatment. To this end, BlackRock has adopted policies that are intended to","page_number":30,"box":{"x":68,"y":911,"width":812,"height":11}},{"id":"78f3628d-0533-43eb-b004-a5488a3cd4fb","block_type":"box","text":"I-21","page_number":30,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"2538164a-e995-4e9d-906a-c3566c46c906","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":30,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"49ee30b0-93df-4591-bc16-5106ceb3bb84","block_type":"box","text":"ensure reasonable efficiency in client transactions and provide BlackRock with sufficient flexibility to allocate","page_number":31,"box":{"x":69,"y":45,"width":777,"height":11}},{"id":"a9095099-3c60-4cd5-aada-d8111b757704","block_type":"box","text":"investments in a manner that is consistent with the particular investment discipline and client base, as appropriate.","page_number":31,"box":{"x":70,"y":60,"width":826,"height":11}},{"id":"fe49a3cf-cb32-41a3-aee0-b85a2951e10d","block_type":"box","text":"Administration Services","page_number":31,"box":{"x":68,"y":90,"width":174,"height":9}},{"id":"91d06c31-9768-4e0c-bf66-469a2302c24a","block_type":"box","text":"The Fund has entered into an administration agreement with BlackRock, as Administrator (the “Administration","page_number":31,"box":{"x":101,"y":113,"width":783,"height":11}},{"id":"2d67b6a2-a4bf-42d9-92d8-843aee3e5e1e","block_type":"box","text":"Agreement”). BlackRock receives for its services to the Fund monthly compensation at the annual rate of 0.12% of","page_number":31,"box":{"x":68,"y":128,"width":820,"height":11}},{"id":"610c89ee-5f40-4178-a758-5fb6a7900d73","block_type":"box","text":"the average daily net assets of the Fund. The table below sets forth information about the total administration fees","page_number":31,"box":{"x":68,"y":143,"width":822,"height":11}},{"id":"71a5cee9-4cdc-44cb-bfbb-84ac8f729796","block_type":"box","text":"paid by the Fund to BlackRock, and the amounts waived and reimbursed, for the periods shown:","page_number":31,"box":{"x":70,"y":158,"width":682,"height":11}},{"id":"cb03d656-d274-464d-b6b9-1f8a65958e71","block_type":"box","text":"Fees Paid","page_number":31,"box":{"x":598,"y":186,"width":56,"height":7}},{"id":"46cfbf8a-513a-4e34-ae4a-7b9420e052d0","block_type":"box","text":"to BlackRock","page_number":31,"box":{"x":586,"y":197,"width":79,"height":7}},{"id":"1762b2c7-481c-4679-9d16-eab2d7654205","block_type":"box","text":"Fees Waived","page_number":31,"box":{"x":704,"y":186,"width":72,"height":7}},{"id":"4dc0d341-3d9f-423c-80e5-597d6d8f4e7a","block_type":"box","text":"by BlackRock","page_number":31,"box":{"x":700,"y":197,"width":80,"height":8}},{"id":"032358d8-2a54-4f14-8b0e-bf66ac4edf6e","block_type":"box","text":"Fees Reimbursed","page_number":31,"box":{"x":810,"y":186,"width":99,"height":7}},{"id":"be79e576-d8eb-47f5-9b82-c06bb10528f7","block_type":"box","text":"by BlackRock","page_number":31,"box":{"x":820,"y":197,"width":80,"height":8}},{"id":"74b6d70a-50d7-4ee6-83f3-243ff7768131","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,124,526 $0 $0","page_number":31,"box":{"x":70,"y":213,"width":798,"height":12}},{"id":"dfdb67a4-d938-45f5-a41b-d8cd703b8353","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,145,914 $0 $0","page_number":31,"box":{"x":70,"y":229,"width":798,"height":11}},{"id":"1764af3f-ac18-4f42-857b-9471fd4a17a1","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,796,809 $0 $0","page_number":31,"box":{"x":70,"y":244,"width":798,"height":11}},{"id":"efacc33b-9385-43ab-a659-da6596b7b409","block_type":"box","text":"Accounting Services","page_number":31,"box":{"x":68,"y":276,"width":150,"height":11}},{"id":"5e8f1860-a337-4bda-abb5-7e73723bb3e5","block_type":"box","text":"The Bank of New York Mellon (“BNY Mellon”) provides certain accounting services to the Fund. BNY Mellon","page_number":31,"box":{"x":101,"y":298,"width":763,"height":12}},{"id":"bd8c8573-377d-44b0-ae46-fe0d7f42ef40","block_type":"box","text":"records investment, capital share and income and expense activities; verifies and transmits trade tickets; maintains","page_number":31,"box":{"x":69,"y":314,"width":828,"height":11}},{"id":"c9f9328a-a491-41a5-a1ba-e96bc314214e","block_type":"box","text":"accounting ledgers for investment securities; maintains tax lots; reconciles cash with the Fund’s custodian; reports","page_number":31,"box":{"x":69,"y":329,"width":823,"height":11}},{"id":"faf5eb62-5e2b-4906-9de1-76e7a6960008","block_type":"box","text":"cash balances to the Manager; prepares certain financial statements; calculates expenses, gains, losses and","page_number":31,"box":{"x":69,"y":344,"width":785,"height":11}},{"id":"5bda4c24-28aa-4dfd-93b5-9240e9b6e023","block_type":"box","text":"income; controls disbursements; works with independent pricing sources; and computes and reports net asset value.","page_number":31,"box":{"x":70,"y":359,"width":837,"height":11}},{"id":"58e9399f-7fa5-4a88-a213-3a40cfc44339","block_type":"box","text":"In connection with its accounting services, BNY Mellon also provides certain administration services.","page_number":31,"box":{"x":70,"y":374,"width":719,"height":11}},{"id":"13e68ef8-b12c-44a8-97ff-c58d34ad3f06","block_type":"box","text":"The table below shows the amounts paid by the Fund to BNY Mellon and the Manager for accounting services for","page_number":31,"box":{"x":101,"y":397,"width":806,"height":11}},{"id":"882a498a-8cc2-4f04-9cc5-196c9750ce3d","block_type":"box","text":"the fiscal years shown:","page_number":31,"box":{"x":68,"y":412,"width":163,"height":11}},{"id":"41dcfe0f-b168-464f-88b0-8605d59a3f0e","block_type":"box","text":"Fees Paid","page_number":31,"box":{"x":720,"y":440,"width":56,"height":7}},{"id":"a9ba57c1-c47e-468a-8ac2-1f33b6688970","block_type":"box","text":"to BNY Mellon","page_number":31,"box":{"x":706,"y":450,"width":83,"height":7}},{"id":"a0f408d0-9d7e-49e8-80bb-2fbdf964f03a","block_type":"box","text":"Fees Paid","page_number":31,"box":{"x":837,"y":440,"width":55,"height":7}},{"id":"c586d964-1180-4fb6-933a-59f41a7beb33","block_type":"box","text":"to the Manager","page_number":31,"box":{"x":819,"y":450,"width":90,"height":9}},{"id":"4b07fd66-c813-4ae9-a54e-ebd9e981c481","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . .","page_number":31,"box":{"x":70,"y":468,"width":254,"height":11}},{"id":"3e539612-29f5-4073-a10f-27d0811c2733","block_type":"box","text":"...........................................","page_number":31,"box":{"x":331,"y":475,"width":344,"height":2}},{"id":"22fb5cc6-4ccd-4854-a3dd-121b710bc767","block_type":"box","text":"$131,890 $0","page_number":31,"box":{"x":712,"y":467,"width":162,"height":11}},{"id":"aa0953ba-6518-42c3-9548-7d49374d427e","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . .","page_number":31,"box":{"x":70,"y":483,"width":254,"height":11}},{"id":"bcc22c18-a447-46e0-90bd-dbf94294e9c5","block_type":"box","text":"...........................................","page_number":31,"box":{"x":331,"y":491,"width":344,"height":1}},{"id":"96081656-b83c-42bc-abd4-93d7954963bd","block_type":"box","text":"$134,367 $0","page_number":31,"box":{"x":712,"y":482,"width":162,"height":12}},{"id":"0db9713b-0c52-4666-9c5f-05f7d75c6584","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . .","page_number":31,"box":{"x":70,"y":498,"width":254,"height":11}},{"id":"e8cfe331-1b57-4f54-a8fc-f16793600326","block_type":"box","text":"...........................................","page_number":31,"box":{"x":331,"y":506,"width":344,"height":1}},{"id":"634d5423-bb6d-47d8-a4e1-ba60dcaac680","block_type":"box","text":"$117,782 $0","page_number":31,"box":{"x":712,"y":498,"width":162,"height":11}},{"id":"1ae8fcb7-f608-42f2-9557-fa03ec6fdbe0","block_type":"box","text":"Custodian","page_number":31,"box":{"x":69,"y":530,"width":72,"height":9}},{"id":"1697fe83-7dc5-4c44-98ac-1174d17aa98e","block_type":"box","text":"BNY Mellon, which has its principal offices at 240 Greenwich Street, New York, New York 10286, serves as the","page_number":31,"box":{"x":102,"y":552,"width":794,"height":11}},{"id":"5907e61e-e4c8-4207-a6f7-634ef6a8f40f","block_type":"box","text":"custodian for the Fund (the “Custodian”). The Custodian, among other responsibilities, maintains a custody account","page_number":31,"box":{"x":69,"y":567,"width":828,"height":12}},{"id":"5febd752-00ac-436e-9344-1b320ab2d890","block_type":"box","text":"or accounts in the name of the Fund, receives and delivers all assets for the Fund upon purchase and upon sale or","page_number":31,"box":{"x":69,"y":583,"width":820,"height":11}},{"id":"cdc8eed1-749c-466d-88d5-e5e5b448147f","block_type":"box","text":"maturity, and collects and receives all income and other payments and distributions on account of the assets of the","page_number":31,"box":{"x":69,"y":598,"width":825,"height":11}},{"id":"0f965f14-8b83-4d64-825d-08c6253603f0","block_type":"box","text":"Fund.","page_number":31,"box":{"x":70,"y":613,"width":36,"height":9}},{"id":"5f94a2f6-b7ea-497e-aa2d-6b85570178dd","block_type":"box","text":"Transfer Agency and Shareholders’ Administrative Services","page_number":31,"box":{"x":68,"y":643,"width":432,"height":11}},{"id":"c67fe525-ca11-431a-91d9-55029a441852","block_type":"box","text":"BNY Mellon Investment Servicing (US) Inc., which has its principal place of business at 118 Flanders Road,","page_number":31,"box":{"x":102,"y":666,"width":764,"height":11}},{"id":"28b2c6d0-7056-4d29-aae2-285595232834","block_type":"box","text":"Westborough, Massachusetts 01581, serves as the transfer and dividend disbursement agent for the Fund.","page_number":31,"box":{"x":68,"y":681,"width":771,"height":11}},{"id":"05d490ea-0107-4bda-b25a-31f2f2de2078","block_type":"box","text":"Pursuant to a Shareholders’ Administrative Services Agreement, BlackRock provides certain shareholder liaison","page_number":31,"box":{"x":102,"y":704,"width":797,"height":11}},{"id":"86d7b1b1-aeb5-4706-b636-2b74ecb54ada","block_type":"box","text":"services in connection with the Fund’s investor service center. The Fund reimburses BlackRock for its costs in","page_number":31,"box":{"x":69,"y":719,"width":785,"height":9}},{"id":"4c46be5c-3dac-4aff-8e3b-15350df04f5a","block_type":"box","text":"maintaining the service center, which costs include, among other things, employee salaries, leasehold expenses, and","page_number":31,"box":{"x":69,"y":734,"width":838,"height":11}},{"id":"e4308237-a8f7-4750-a8e7-c5b51497b794","block_type":"box","text":"other out-of-pocket expenses.","page_number":31,"box":{"x":69,"y":749,"width":209,"height":11}},{"id":"891f5c0c-8b97-411c-84bb-2c286347e8e4","block_type":"box","text":"The following table sets forth the amounts the Fund reimbursed BlackRock pursuant to the Shareholders’","page_number":31,"box":{"x":101,"y":772,"width":751,"height":11}},{"id":"1848bac2-a29a-4076-811c-d5518188ef08","block_type":"box","text":"Administrative Services Agreement for the periods shown:","page_number":31,"box":{"x":68,"y":787,"width":412,"height":11}},{"id":"c4da35bd-47ee-4f35-a569-0ead1f32816a","block_type":"box","text":"Fees Paid","page_number":31,"box":{"x":732,"y":815,"width":56,"height":7}},{"id":"a8163ede-5c22-4d1c-8aad-b830038c8670","block_type":"box","text":"to BlackRock","page_number":31,"box":{"x":720,"y":825,"width":80,"height":7}},{"id":"5a1be052-67a9-43df-9604-4430e3ffc9bf","block_type":"box","text":"Fees Waived","page_number":31,"box":{"x":833,"y":815,"width":72,"height":7}},{"id":"f1516ba0-599d-4bd3-94f1-f4757ddf28a9","block_type":"box","text":"by BlackRock","page_number":31,"box":{"x":830,"y":825,"width":80,"height":9}},{"id":"6182e596-d6e2-444c-a3c2-09081580dc11","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":843,"width":457,"height":11}},{"id":"c7f222d3-726c-4d27-8893-ec948692f14a","block_type":"box","text":"....................","page_number":31,"box":{"x":533,"y":850,"width":157,"height":2}},{"id":"1b8b05a4-db93-4580-b7f5-708780febdae","block_type":"box","text":"$63,442 $63,442","page_number":31,"box":{"x":729,"y":842,"width":171,"height":11}},{"id":"d25b7891-69c3-49b7-93a6-c2d3a76d20ea","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":858,"width":457,"height":11}},{"id":"fcf1eade-e095-475d-b9b0-50f454aeb1d6","block_type":"box","text":"....................","page_number":31,"box":{"x":533,"y":865,"width":157,"height":2}},{"id":"b3abe3bc-e5b6-456f-93eb-d3b91f82b707","block_type":"box","text":"$42,826 $42,826","page_number":31,"box":{"x":729,"y":857,"width":171,"height":11}},{"id":"8b119726-15ca-4709-9e75-0e7f0d0ebaf1","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . . . . . . . . . . . . . . . . . . . . .","page_number":31,"box":{"x":70,"y":873,"width":457,"height":11}},{"id":"ed8ae7f3-f642-4cfd-b525-ad6271885ffd","block_type":"box","text":"....................","page_number":31,"box":{"x":533,"y":880,"width":157,"height":2}},{"id":"4af35ba7-ebaf-4cfa-8393-b6fce315a676","block_type":"box","text":"$49,457 $49,457","page_number":31,"box":{"x":729,"y":872,"width":171,"height":11}},{"id":"904adb54-a2a2-43bd-86a7-fd9951dc2c8b","block_type":"box","text":"I-22","page_number":31,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"95fdda98-b429-41ae-b5b5-750d8c72ac8a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":31,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a8443fc1-2a1d-4d0c-aa0c-939149a2cfba","block_type":"box","text":"Credit Agreement","page_number":32,"box":{"x":69,"y":45,"width":129,"height":11}},{"id":"70c08ffb-678d-4fbb-82bc-f1ccda295cc3","block_type":"box","text":"The Fund along with certain other funds managed by the Manager and its affiliates (“Participating Funds”), is a","page_number":32,"box":{"x":101,"y":67,"width":792,"height":12}},{"id":"0b95773f-43ac-432c-af9a-8f4ddc1e8a19","block_type":"box","text":"party to a 364-day, $2.4 billion credit agreement with a group of lenders, which facility terminates on April 8, 2027","page_number":32,"box":{"x":70,"y":82,"width":817,"height":12}},{"id":"21990dd7-64cf-4caa-8004-fdc68d536abe","block_type":"box","text":"unless otherwise extended or renewed (the “Credit Agreement”). Excluding commitments designated for certain","page_number":32,"box":{"x":69,"y":98,"width":796,"height":11}},{"id":"9dfacc27-b496-43ee-9e1a-4d2182180c74","block_type":"box","text":"Participating Funds, the Participating Funds, including the Fund, can borrow up to an aggregate commitment amount","page_number":32,"box":{"x":69,"y":113,"width":830,"height":11}},{"id":"8ba780d0-878d-4eb5-b2e7-bd9d347cb2b5","block_type":"box","text":"of $1.75 billion at any time outstanding, subject to asset coverage and other limitations as specified in the Credit","page_number":32,"box":{"x":69,"y":127,"width":811,"height":12}},{"id":"8744975f-9702-4d1b-9cee-3cc6de7458a3","block_type":"box","text":"Agreement. The Fund may borrow under the Credit Agreement to meet shareholder redemptions and for other lawful","page_number":32,"box":{"x":68,"y":143,"width":825,"height":11}},{"id":"ca0ee115-3460-4873-acd4-fde9447da7d2","block_type":"box","text":"purposes. The Fund may not borrow under the Credit Agreement for leverage. However, the Fund may borrow up to","page_number":32,"box":{"x":70,"y":158,"width":813,"height":11}},{"id":"c6457a0e-91a3-40f1-8f2b-c6400d65e405","block_type":"box","text":"the maximum amount allowable under its current Prospectuses and SAI, subject to various other legal, regulatory or","page_number":32,"box":{"x":68,"y":173,"width":829,"height":11}},{"id":"7f2efb04-deaa-4a26-95c0-8cfd88a4a408","block_type":"box","text":"contractual limits. Borrowing results in interest expense and other fees and expenses for the Fund. The costs of","page_number":32,"box":{"x":69,"y":188,"width":800,"height":12}},{"id":"181139f3-2f10-4622-875f-8650b7fce10b","block_type":"box","text":"borrowing may reduce the Fund’s return. The Fund is charged its pro rata share of upfront fees and commitment fees","page_number":32,"box":{"x":69,"y":203,"width":836,"height":12}},{"id":"6877f9e1-401a-458b-b086-b0f2f17bb1fc","block_type":"box","text":"on the aggregate commitment amount based on its net assets. If the Fund borrows pursuant to the Credit","page_number":32,"box":{"x":69,"y":218,"width":756,"height":12}},{"id":"81a62413-eedf-44ef-a336-1ce2206e6494","block_type":"box","text":"Agreement, the Fund will be charged interest at a variable rate.","page_number":32,"box":{"x":68,"y":234,"width":449,"height":11}},{"id":"4beed1ce-37ee-4cfc-88f0-99fca33e2c2b","block_type":"box","text":"V. Information on Sales Charges and Distribution Related Expenses","page_number":32,"box":{"x":68,"y":264,"width":491,"height":11}},{"id":"6fdc2f49-962e-4497-b4d2-c45edfe81857","block_type":"box","text":"Set forth below is information on sales charges (including any contingent deferred sales charges (“CDSCs”))","page_number":32,"box":{"x":102,"y":286,"width":773,"height":12}},{"id":"df18d999-d8ce-4f64-bf82-91effdece1eb","block_type":"box","text":"received by the Fund, including the amounts paid to affiliates of the Manager (“Affiliates”), for the periods indicated.","page_number":32,"box":{"x":69,"y":302,"width":829,"height":11}},{"id":"6c398e57-4cf8-40da-a3d7-0ea070a983f6","block_type":"box","text":"BlackRock Investments, LLC (“BRIL” or the “Distributor”), an affiliate of the Manager, acts as the Fund’s sole","page_number":32,"box":{"x":70,"y":317,"width":779,"height":11}},{"id":"8bf25711-6390-45ab-8f00-9d60a42c110f","block_type":"box","text":"distributor.","page_number":32,"box":{"x":69,"y":332,"width":74,"height":9}},{"id":"190936bd-cc2e-4355-aa97-39d436a7d7b6","block_type":"box","text":"Investor A Shares","page_number":32,"box":{"x":645,"y":360,"width":102,"height":7}},{"id":"47e8e23e-7378-4d81-9c69-55758cba148e","block_type":"box","text":"Gross Sales","page_number":32,"box":{"x":485,"y":386,"width":68,"height":7}},{"id":"753c2aa5-6752-4d1a-83b0-1473738919de","block_type":"box","text":"Charges","page_number":32,"box":{"x":496,"y":396,"width":47,"height":9}},{"id":"9e15a3f6-372a-4361-8720-3b327e018d6a","block_type":"box","text":"Collected","page_number":32,"box":{"x":492,"y":406,"width":54,"height":7}},{"id":"3e907dd6-369f-4cce-9452-718be7196d65","block_type":"box","text":"Sales Charges","page_number":32,"box":{"x":585,"y":386,"width":84,"height":9}},{"id":"09a58815-1367-4325-8870-0907e56dae3d","block_type":"box","text":"Retained","page_number":32,"box":{"x":602,"y":396,"width":51,"height":7}},{"id":"5a6845d8-5cbb-44db-8e51-06b42287d7d4","block_type":"box","text":"by BRIL","page_number":32,"box":{"x":606,"y":406,"width":44,"height":9}},{"id":"30c8549d-4d2c-421e-a5d6-1166d3cb91e1","block_type":"box","text":"Sales Charges","page_number":32,"box":{"x":699,"y":386,"width":83,"height":9}},{"id":"2c97ff44-e72e-4c79-8f04-a8d2f74a06ab","block_type":"box","text":"Paid To","page_number":32,"box":{"x":720,"y":396,"width":42,"height":7}},{"id":"cccc7aed-1145-4f0f-82ce-1ca7f3a6f117","block_type":"box","text":"Affiliates","page_number":32,"box":{"x":715,"y":406,"width":51,"height":7}},{"id":"2281bd06-7ecd-40d2-8696-0cb48002f5b5","block_type":"box","text":"CDSCs Received","page_number":32,"box":{"x":812,"y":376,"width":97,"height":7}},{"id":"a78e7722-231b-48a1-abc9-bcbf7b020e26","block_type":"box","text":"on Redemption","page_number":32,"box":{"x":817,"y":386,"width":87,"height":9}},{"id":"d75bf074-0583-4d91-9c5b-4c548593fc4a","block_type":"box","text":"of Load-Waived","page_number":32,"box":{"x":817,"y":396,"width":87,"height":7}},{"id":"bd103002-ee54-4671-b367-a49a127bbe52","block_type":"box","text":"Shares","page_number":32,"box":{"x":841,"y":406,"width":39,"height":7}},{"id":"0ae40cc6-0d15-4b2e-8b2d-ce6e45403fae","block_type":"box","text":"Fiscal Year Ended May 31, 2026. . . . . . . . . . . . . . . . . . . $655,500 $46,586 $46,586 $9,201","page_number":32,"box":{"x":70,"y":423,"width":817,"height":12}},{"id":"d392aa35-bd46-4d64-8317-03d4506e6995","block_type":"box","text":"Fiscal Year Ended May 31, 2025. . . . . . . . . . . . . . . . . . . $767,075 $55,709 $55,709 $2,918","page_number":32,"box":{"x":70,"y":438,"width":817,"height":12}},{"id":"887af51c-03f9-41c2-8ca2-b88861fd15b8","block_type":"box","text":"Fiscal Year Ended May 31, 2024. . . . . . . . . . . . . . . . . . . $592,369 $41,590 $41,590 $6,521","page_number":32,"box":{"x":70,"y":453,"width":817,"height":12}},{"id":"3ae8c6d4-b445-412e-babf-ec1aed6396a0","block_type":"box","text":"Investor C Shares","page_number":32,"box":{"x":790,"y":484,"width":103,"height":7}},{"id":"06e1ba63-415a-40f3-98e1-861d43bb48e3","block_type":"box","text":"CDSCs","page_number":32,"box":{"x":780,"y":499,"width":39,"height":8}},{"id":"d9f7955c-3c70-411f-bcca-8ec587e02bd0","block_type":"box","text":"Received","page_number":32,"box":{"x":774,"y":509,"width":52,"height":8}},{"id":"4d5591d3-b9bf-450a-96c0-8e82aa64179d","block_type":"box","text":"by BRIL","page_number":32,"box":{"x":778,"y":520,"width":44,"height":8}},{"id":"3b2ee7a9-562f-4562-b692-39aede7457bb","block_type":"box","text":"CDSCs","page_number":32,"box":{"x":863,"y":499,"width":39,"height":8}},{"id":"e68fac61-9254-4378-abf0-2093cf2a7857","block_type":"box","text":"Paid to","page_number":32,"box":{"x":863,"y":509,"width":40,"height":8}},{"id":"fbcf01b2-d515-4606-9964-f74564708041","block_type":"box","text":"Affiliates","page_number":32,"box":{"x":856,"y":520,"width":52,"height":7}},{"id":"920ed3f3-f46f-4600-ad8a-3d39437fca8f","block_type":"box","text":"Fiscal Year Ended May 31, 2026 . . . .","page_number":32,"box":{"x":70,"y":537,"width":264,"height":11}},{"id":"ee185e72-62b3-4911-a0e0-78db212f662b","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,376 $6,376","page_number":32,"box":{"x":341,"y":537,"width":568,"height":11}},{"id":"2f08c8aa-cddd-4c6b-b78e-828127979836","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . .","page_number":32,"box":{"x":70,"y":552,"width":264,"height":12}},{"id":"544bf278-8ed3-41fc-b0ea-b73f99075d83","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,613 $5,613","page_number":32,"box":{"x":341,"y":552,"width":568,"height":11}},{"id":"e8646779-f068-4c97-9584-2ce396f23dd7","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . .","page_number":32,"box":{"x":70,"y":568,"width":264,"height":11}},{"id":"d7b31fd8-bc81-45b6-8d01-2b632225f0d5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $3,207 $3,207","page_number":32,"box":{"x":341,"y":567,"width":567,"height":11}},{"id":"d4380b86-13a3-41aa-ab0b-82cd0402791c","block_type":"box","text":"The table below provides information for the fiscal year ended May 31, 2026 about the 12b-1 fees the Fund paid","page_number":32,"box":{"x":101,"y":591,"width":805,"height":12}},{"id":"e23a3666-b2e5-4a76-aa66-e111ef86f87c","block_type":"box","text":"to BRIL under the Fund’s 12b-1 plans. A portion of the fees collected by BRIL were paid to Affiliates for providing","page_number":32,"box":{"x":68,"y":606,"width":805,"height":12}},{"id":"9a0b2dd6-54b9-4a00-9deb-0414b32c2627","block_type":"box","text":"shareholder servicing activities for Investor A Shares and for providing shareholder servicing and distribution-related","page_number":32,"box":{"x":69,"y":622,"width":826,"height":11}},{"id":"b24a0b25-ad86-4610-a930-43a0a4a01220","block_type":"box","text":"activities and services for Investor C Shares.","page_number":32,"box":{"x":69,"y":637,"width":318,"height":9}},{"id":"56d8fc97-af06-4cee-a5c9-bac80d30a98c","block_type":"box","text":"Class Name","page_number":32,"box":{"x":69,"y":685,"width":68,"height":7}},{"id":"4843a37f-e1d2-4234-9ff6-266fdf50bbf4","block_type":"box","text":"Fees Paid","page_number":32,"box":{"x":838,"y":665,"width":55,"height":7}},{"id":"3b43d44b-3da6-4c78-a3d3-07b5696d3796","block_type":"box","text":"to BRIL","page_number":32,"box":{"x":844,"y":675,"width":43,"height":7}},{"id":"10d9840b-3871-4371-aef8-370b0928928b","block_type":"box","text":"Investor A Shares","page_number":32,"box":{"x":70,"y":703,"width":124,"height":9}},{"id":"78cd48dc-fc19-4d7c-98bc-a9ef4e8ce014","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,","page_number":32,"box":{"x":202,"y":702,"width":643,"height":11}},{"id":"1c163ab4-25fc-4593-b6ca-e7d1caaed87f","block_type":"box","text":"624,313","page_number":32,"box":{"x":847,"y":703,"width":62,"height":10}},{"id":"705f990a-a6ae-4ea3-9c0e-75839d758290","block_type":"box","text":"Investor C Shares . .","page_number":32,"box":{"x":70,"y":718,"width":142,"height":9}},{"id":"b1ec46d2-b22e-4d90-ad7d-5461c54c4d82","block_type":"box","text":"....................................................................... $","page_number":32,"box":{"x":218,"y":717,"width":612,"height":11}},{"id":"84291f3b-04fe-4616-9b8c-3a4ea61111bf","block_type":"box","text":"778,645","page_number":32,"box":{"x":847,"y":718,"width":62,"height":11}},{"id":"e83f084f-4631-4a7a-8c96-2b0d742e5ee1","block_type":"box","text":"VI. Computation of Offering Price Per Share","page_number":32,"box":{"x":68,"y":750,"width":318,"height":11}},{"id":"49663b32-df76-4bad-90bd-79b4733cb85c","block_type":"box","text":"An illustration of the computation of the public offering price of the Investor A Shares of the Fund based on the","page_number":32,"box":{"x":101,"y":772,"width":790,"height":11}},{"id":"ef0f6398-d3be-4306-bb46-a1a776ebec2c","block_type":"box","text":"value of the Fund’s Investor A Shares’ net assets and number of Investor A Shares outstanding on May 31, 2026 is","page_number":32,"box":{"x":68,"y":787,"width":828,"height":12}},{"id":"625b2ad6-41eb-4b10-bc0e-847f40c58e94","block_type":"box","text":"set forth below.","page_number":32,"box":{"x":69,"y":802,"width":109,"height":9}},{"id":"ef10e755-3197-4269-8e3c-68b6a5145d1f","block_type":"box","text":"Investor A Shares","page_number":32,"box":{"x":798,"y":831,"width":102,"height":7}},{"id":"15a5fa35-cd22-434f-95ba-2e09945a7c10","block_type":"box","text":"Net Assets . . .","page_number":32,"box":{"x":70,"y":849,"width":100,"height":8}},{"id":"66c0759b-4b52-424a-a75c-2d03c1c73931","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,137,","page_number":32,"box":{"x":176,"y":848,"width":669,"height":11}},{"id":"d1739abf-51b0-4d4f-a02a-19885360cb1b","block_type":"box","text":"512,446","page_number":32,"box":{"x":847,"y":849,"width":62,"height":10}},{"id":"a3f427d7-ca52-4323-97c1-8cdde2e28a46","block_type":"box","text":"Number of Shares Outstanding . . . . . . . . . . . .","page_number":32,"box":{"x":70,"y":863,"width":320,"height":12}},{"id":"da2b0275-51dc-404a-b2a2-46d27b539a80","block_type":"box","text":".............................................","page_number":32,"box":{"x":396,"y":871,"width":361,"height":1}},{"id":"17893a37-d6e6-4f49-a5d1-13f6fed72369","block_type":"box","text":"135,322,244","page_number":32,"box":{"x":813,"y":864,"width":96,"height":10}},{"id":"da52a0ba-7b06-4c78-8797-068670958923","block_type":"box","text":"Net Asset Value Per Share (net assets divided by number of shares outstanding)","page_number":32,"box":{"x":70,"y":879,"width":571,"height":11}},{"id":"b0ba3a8e-7570-420f-97b8-602fb2312da6","block_type":"box","text":". . . . . . . . . . . . . . $8.41","page_number":32,"box":{"x":649,"y":878,"width":260,"height":10}},{"id":"d7b55af3-72a2-4d8d-b398-ba6abfbddbfa","block_type":"box","text":"I-23","page_number":32,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"31c1ff07-970c-4d15-804b-ec13d192a910","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":32,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e48ae633-0f35-485e-92b7-aaf6cca0e83c","block_type":"box","text":"Investor A Shares","page_number":33,"box":{"x":798,"y":49,"width":102,"height":7}},{"id":"00752403-19c8-48de-af2e-3bb3ed9fa730","block_type":"box","text":"Sales Charge (5.25% of offering price;","page_number":33,"box":{"x":69,"y":67,"width":271,"height":11}},{"id":"135ce9e3-09b7-4b39-a876-acf07dedabf2","block_type":"box","text":"5.54% of net asset value per share)","page_number":33,"box":{"x":79,"y":81,"width":255,"height":11}},{"id":"e85c5b9e-51ca-4773-8b9c-81e5e10d4c09","block_type":"box","text":"1","page_number":33,"box":{"x":336,"y":82,"width":3,"height":4}},{"id":"ecc424d8-f474-444b-8bbb-a10537a11c5a","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $0.47","page_number":33,"box":{"x":347,"y":81,"width":561,"height":10}},{"id":"87e132f5-fdcb-4f3b-ac9c-9f6c3c3c00d8","block_type":"box","text":"Offering Price. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $8.88","page_number":33,"box":{"x":69,"y":100,"width":840,"height":12}},{"id":"d0760f9c-a820-43af-bdef-fd2f6ae6aa97","block_type":"box","text":"1","page_number":33,"box":{"x":69,"y":133,"width":3,"height":3}},{"id":"539976a5-a9f4-4b75-8934-a96d971f335c","block_type":"box","text":"Rounded to the nearest one-hundredth percent; assumes maximum sales charge is applicable.","page_number":33,"box":{"x":77,"y":133,"width":541,"height":9}},{"id":"44bdb38a-3208-4739-8ff6-c375ee0b2069","block_type":"box","text":"The offering price for the Fund’s other share classes is equal to the share class’ net asset value computed as","page_number":33,"box":{"x":101,"y":154,"width":787,"height":11}},{"id":"0fe018be-32f0-4521-a8aa-0262b7764c4e","block_type":"box","text":"set forth above for Investor A Shares. Though not subject to a sales charge, certain share classes may be subject to","page_number":33,"box":{"x":69,"y":169,"width":833,"height":11}},{"id":"949967e1-43a9-4df7-acfa-d46af33d9e39","block_type":"box","text":"a CDSC on redemption. For more information on the purchasing and valuation of shares, please see “Purchase of","page_number":33,"box":{"x":69,"y":184,"width":813,"height":11}},{"id":"389b60f5-267e-4c7a-b65c-b1c4125ad7db","block_type":"box","text":"Shares” and “Pricing of Shares” in Part II of this SAI.","page_number":33,"box":{"x":69,"y":199,"width":377,"height":11}},{"id":"cbabdfa2-7fc6-4713-911b-5aaea22353a0","block_type":"box","text":"VII. Portfolio Transactions and Brokerage","page_number":33,"box":{"x":68,"y":229,"width":302,"height":11}},{"id":"c2f2753d-2346-46ab-bf7a-b96f6eff8e13","block_type":"box","text":"See “Portfolio Transactions and Brokerage” in Part II of this SAI for more information.","page_number":33,"box":{"x":102,"y":252,"width":609,"height":11}},{"id":"7d890590-a331-4419-9295-3e7424c0671b","block_type":"box","text":"Information about the brokerage commissions paid by the Fund, including commissions paid to Affiliates for the","page_number":33,"box":{"x":102,"y":275,"width":796,"height":11}},{"id":"6cbee860-9405-453e-a8cb-9aec0856532d","block_type":"box","text":"periods shown, is set forth in the following table:","page_number":33,"box":{"x":70,"y":290,"width":346,"height":11}},{"id":"f86fc531-e1ba-4bb0-a9e3-62e4dfaa668d","block_type":"box","text":"Aggregate Brokerage","page_number":33,"box":{"x":584,"y":318,"width":125,"height":9}},{"id":"093311fb-f0fd-41ca-87ae-51ac94b814b5","block_type":"box","text":"Commissions Paid","page_number":33,"box":{"x":593,"y":328,"width":106,"height":7}},{"id":"4f6f1892-8f19-487e-97f3-d2e257580b06","block_type":"box","text":"Brokerage Commissions Paid","page_number":33,"box":{"x":739,"y":318,"width":170,"height":9}},{"id":"08b43a72-d73e-4243-a666-afb71be7532f","block_type":"box","text":"to Affiliates","page_number":33,"box":{"x":790,"y":328,"width":68,"height":7}},{"id":"9bf8bddc-0007-42d7-bb6c-445ab3a7553e","block_type":"box","text":"Fiscal Year Ended May 31, 2026","page_number":33,"box":{"x":70,"y":346,"width":230,"height":11}},{"id":"c1b50164-893e-44aa-8e8c-a15e62d12032","block_type":"box","text":"1","page_number":33,"box":{"x":301,"y":346,"width":4,"height":5}},{"id":"81d1051f-50e3-4be2-864d-31778485ab6e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $483,877 $0","page_number":33,"box":{"x":315,"y":345,"width":518,"height":11}},{"id":"c7022f9a-6670-480d-8844-877846a29135","block_type":"box","text":"Fiscal Year Ended May 31, 2025 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $140,273 $0","page_number":33,"box":{"x":70,"y":360,"width":763,"height":12}},{"id":"3a22053e-cc4d-4158-9b4d-c5cfea7fc456","block_type":"box","text":"Fiscal Year Ended May 31, 2024 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $105,895 $0","page_number":33,"box":{"x":70,"y":375,"width":763,"height":12}},{"id":"97e6c0bc-bcd4-48f0-99df-41bbb34ca962","block_type":"box","text":"1","page_number":33,"box":{"x":69,"y":401,"width":3,"height":3}},{"id":"2e6f3311-a8f6-4322-af75-56ce2f7eee06","block_type":"box","text":"The increase in brokerage commissions paid by the Fund as compared to the prior fiscal year was primarily due to increased trading activity","page_number":33,"box":{"x":76,"y":400,"width":794,"height":9}},{"id":"68c339ee-ff5b-472c-ab68-006612fc8aa5","block_type":"box","text":"associated with changes to the Fund’s investment process and the portfolio management team.","page_number":33,"box":{"x":69,"y":410,"width":548,"height":10}},{"id":"dae2c765-6036-489b-826d-eecf1cd9b629","block_type":"box","text":"The following table shows the dollar amount of brokerage commissions paid to brokers for providing Section","page_number":33,"box":{"x":101,"y":431,"width":770,"height":12}},{"id":"b9ae5bcb-9aa3-4876-8c18-e4fa21c3b495","block_type":"box","text":"28(e) research/brokerage services under Section 28(e) of the Securities Exchange Act of 1934, as amended, and","page_number":33,"box":{"x":69,"y":446,"width":814,"height":12}},{"id":"57024aa4-01b5-4f76-b0bd-6b4a0ef513d1","block_type":"box","text":"the approximate dollar amount of the transactions involved for the fiscal year ended May 31, 2026. The provision of","page_number":33,"box":{"x":68,"y":462,"width":829,"height":11}},{"id":"8b86e139-5026-4fd9-8d72-b79e793bb57e","block_type":"box","text":"Section 28(e) research/brokerage services was not necessarily a factor in the placement of all brokerage business","page_number":33,"box":{"x":69,"y":477,"width":822,"height":11}},{"id":"59bae9e4-6a8d-4620-bb62-0c1f07d04404","block_type":"box","text":"with such brokers.","page_number":33,"box":{"x":68,"y":492,"width":130,"height":9}},{"id":"669c5119-fe1a-4fff-9986-c6338f9dc0bc","block_type":"box","text":"Amount of Commissions","page_number":33,"box":{"x":355,"y":520,"width":141,"height":7}},{"id":"263223e5-17e4-43a9-9e6a-8b496336695b","block_type":"box","text":"Paid to Brokers for","page_number":33,"box":{"x":371,"y":530,"width":110,"height":7}},{"id":"5c16a677-8133-41f9-840d-7ec71d409ef4","block_type":"box","text":"Providing 28(e) Eligible","page_number":33,"box":{"x":358,"y":540,"width":136,"height":9}},{"id":"593056dc-cedb-4fcd-9ba9-a8b586e3ec68","block_type":"box","text":"Research Services","page_number":33,"box":{"x":372,"y":550,"width":108,"height":8}},{"id":"f0cb41b4-3ec6-4d3b-9834-93fae83714f3","block_type":"box","text":"Amount of Brokerage","page_number":33,"box":{"x":588,"y":540,"width":124,"height":9}},{"id":"85e25768-9031-4c17-9cfd-87357f3d2b30","block_type":"box","text":"Transactions Involved","page_number":33,"box":{"x":587,"y":550,"width":126,"height":8}},{"id":"19d65c22-e7e7-46e4-9c70-7d6493f9249b","block_type":"box","text":"$283,854 $1,915,226,589","page_number":33,"box":{"x":390,"y":567,"width":321,"height":12}},{"id":"406c8018-270c-4ae2-b90c-b7101c843109","block_type":"box","text":"The Fund held no securities of its regular brokers or dealers (as defined in Rule 10b-1 under the Investment","page_number":33,"box":{"x":101,"y":592,"width":769,"height":11}},{"id":"654137e9-a768-4f74-961e-a1cc9d30c88b","block_type":"box","text":"Company Act) as of May 31, 2026.","page_number":33,"box":{"x":69,"y":607,"width":248,"height":11}},{"id":"50f20cc2-dbd7-45d8-92b8-bef6883c2434","block_type":"box","text":"Securities Lending","page_number":33,"box":{"x":101,"y":630,"width":135,"height":11}},{"id":"c2fef2af-abc5-4e10-a930-e3b44dbc4da6","block_type":"box","text":"To the extent that the Fund engages in securities lending, the Fund conducts its securities lending pursuant to an","page_number":33,"box":{"x":101,"y":653,"width":807,"height":11}},{"id":"68dd613d-7679-4171-889c-06820623a591","block_type":"box","text":"exemptive order from the Commission permitting it to lend portfolio securities to borrowers affiliated with the Fund","page_number":33,"box":{"x":69,"y":668,"width":817,"height":11}},{"id":"6d15583d-7578-48cf-bca6-3bf76c2782dc","block_type":"box","text":"and to retain an affiliate of the Fund as securities lending agent. To the extent that the Fund engages in securities","page_number":33,"box":{"x":69,"y":683,"width":813,"height":11}},{"id":"da024604-b3b3-4a10-a95f-580e59c1b426","block_type":"box","text":"lending, BlackRock Investment Management, LLC (“BIM”) acts as securities lending agent for the Fund, subject to the","page_number":33,"box":{"x":70,"y":698,"width":838,"height":11}},{"id":"a71928e6-fd2c-46aa-b418-b8b3044873b1","block_type":"box","text":"overall supervision of the Manager, pursuant to a written agreement (the “Securities Lending Agency Agreement”).","page_number":33,"box":{"x":69,"y":713,"width":813,"height":11}},{"id":"c51aeb22-ee6a-444d-b3f7-ffbbd830a56b","block_type":"box","text":"BIM administers the lending program in accordance with guidelines approved by the Board.","page_number":33,"box":{"x":70,"y":728,"width":646,"height":11}},{"id":"f33ce3f0-9a26-4852-a964-ccf7779017a3","block_type":"box","text":"The Fund retains a portion of the securities lending income and remits the remaining portion to BIM as","page_number":33,"box":{"x":101,"y":751,"width":735,"height":11}},{"id":"802162db-1472-4aa5-ac34-8c9051e941b1","block_type":"box","text":"compensation for its services as securities lending agent. Securities lending income is generally equal to the total of","page_number":33,"box":{"x":69,"y":766,"width":834,"height":11}},{"id":"3339f668-918f-4b25-bc22-21ebd7316dc6","block_type":"box","text":"income earned from the reinvestment of cash collateral (and excludes collateral investment fees as defined below),","page_number":33,"box":{"x":70,"y":781,"width":822,"height":11}},{"id":"ad7014c0-46d5-450d-8042-afa78fd73b95","block_type":"box","text":"and any fees or other payments to and from borrowers of securities. As securities lending agent, BIM bears all","page_number":33,"box":{"x":69,"y":796,"width":787,"height":11}},{"id":"fc2c1abc-eaed-4898-8195-19fed71e28b7","block_type":"box","text":"operational costs directly related to securities lending. The Fund is responsible for fees in connection with the","page_number":33,"box":{"x":69,"y":811,"width":783,"height":12}},{"id":"728d9c17-ef41-4992-9385-8061cd55ea92","block_type":"box","text":"investment of cash collateral received for securities on loan in a money market fund managed by BlackRock (the","page_number":33,"box":{"x":70,"y":826,"width":800,"height":12}},{"id":"e69e1737-2154-4b78-ad8d-85db05be384e","block_type":"box","text":"“collateral investment fees”); however, the securities lending agent has agreed to reduce the amount of securities","page_number":33,"box":{"x":70,"y":841,"width":813,"height":12}},{"id":"05a5f044-7c23-4ca5-b77d-492d372b7b73","block_type":"box","text":"lending income it receives in order to effectively limit the collateral investment fees the Fund bears to an annual rate","page_number":33,"box":{"x":70,"y":857,"width":830,"height":11}},{"id":"13bb5d3e-4b14-4056-89e8-1d002420f1d5","block_type":"box","text":"of 0.04%. Such money market fund shares will not be subject to a sales load, distribution fee or service fee.","page_number":33,"box":{"x":69,"y":872,"width":773,"height":11}},{"id":"60a699f1-6244-4c74-a8d0-c4f4a9ca994a","block_type":"box","text":"To the extent that the Fund invests cash collateral in a non-government money market fund, the Fund may be","page_number":33,"box":{"x":101,"y":894,"width":776,"height":12}},{"id":"99d9d813-6bb9-46a5-8218-e2a0f7db8744","block_type":"box","text":"subject to a discretionary liquidity fee of up to 2% on all redemptions. Discretionary liquidity fees may be imposed or","page_number":33,"box":{"x":69,"y":909,"width":831,"height":12}},{"id":"bd5208b6-f314-4e8a-a6fe-c9c6198d9a6a","block_type":"box","text":"I-24","page_number":33,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"31091b9b-2ce5-4668-af2c-f32076af419b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":33,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"39e19490-0566-46e7-b454-4ff019cdcca8","block_type":"box","text":"terminated at any time at the discretion of the board of directors of the money market fund, or its delegate, if it is","page_number":34,"box":{"x":68,"y":45,"width":812,"height":11}},{"id":"81408f72-dfc6-450a-a9dd-84321519e2c0","block_type":"box","text":"determined that such fee would be, or would not be, respectively, in the best interest of the money market fund.","page_number":34,"box":{"x":69,"y":60,"width":799,"height":11}},{"id":"14f97ead-bd32-4322-b0ea-836c1dfb143a","block_type":"box","text":"Additionally, the Fund will be subject to a mandatory liquidity fee if the money market fund’s total net redemptions on","page_number":34,"box":{"x":68,"y":75,"width":835,"height":11}},{"id":"8a4f6928-7e59-46a2-8692-d1ee654e1d66","block_type":"box","text":"a single day exceed 5% of the money market fund’s net assets, unless the liquidity costs are de minimis (i.e., less","page_number":34,"box":{"x":69,"y":90,"width":818,"height":11}},{"id":"6696eb25-e649-44b0-8edf-7f0ddc29846c","block_type":"box","text":"than one basis point (0.01%)). The money market fund will determine the size of the mandatory liquidity fee by","page_number":34,"box":{"x":68,"y":105,"width":789,"height":11}},{"id":"0ae95173-d0ab-4570-8aba-035ce246f53f","block_type":"box","text":"making a good faith estimate of certain costs the money market fund would incur if it were to sell a pro rata amount","page_number":34,"box":{"x":69,"y":120,"width":829,"height":12}},{"id":"7ee289d8-87e2-463e-94e7-954373874f3f","block_type":"box","text":"of each security in the portfolio to satisfy the amount of net redemptions on that day. There is no limit to the size of a","page_number":34,"box":{"x":69,"y":135,"width":839,"height":11}},{"id":"b9bff1fb-fa2b-4dad-b161-97a035758207","block_type":"box","text":"mandatory liquidity fee. If the money market fund cannot estimate the costs of selling a pro rata amount of each","page_number":34,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"c983eb45-c1f5-47b2-ac7b-37c0f74eaa77","block_type":"box","text":"portfolio security in good faith and supported by data, it is required to apply a default liquidity fee of 1% on the value","page_number":34,"box":{"x":70,"y":166,"width":830,"height":11}},{"id":"df22ecad-305f-485e-9863-b77e6076fa54","block_type":"box","text":"of shares redeemed on that day. The imposition of any such discretionary or mandatory liquidity fee would reduce the","page_number":34,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"03b55509-d27d-456b-a4bc-ab57cf5e27b0","block_type":"box","text":"Fund’s returns on securities lending.","page_number":34,"box":{"x":70,"y":196,"width":258,"height":11}},{"id":"633e4b92-e9e5-44b9-95b9-2b0fe2c19b27","block_type":"box","text":"Under the securities lending program, the Fund is categorized into one of several specific asset classes. The","page_number":34,"box":{"x":102,"y":218,"width":774,"height":12}},{"id":"cf2db486-4bb5-4879-a184-1fdc393cd0c3","block_type":"box","text":"determination of the Fund’s asset class category (fixed-income, domestic equity, international equity, or fund of","page_number":34,"box":{"x":69,"y":234,"width":794,"height":11}},{"id":"07ac64be-0366-4b77-9014-d4eed170b1d9","block_type":"box","text":"funds), each of which may be subject to a different fee arrangement, is based on a methodology agreed to by the","page_number":34,"box":{"x":68,"y":249,"width":809,"height":11}},{"id":"c537a69a-f90f-436f-bc88-332dca9bc4dc","block_type":"box","text":"Fund and BIM.","page_number":34,"box":{"x":70,"y":264,"width":100,"height":9}},{"id":"4480f0cf-547a-4ffd-a5a4-cf31c14c00d8","block_type":"box","text":"Pursuant to the securities lending agreement effective January 1, 2026: (i) the Fund retains 81% of securities","page_number":34,"box":{"x":102,"y":286,"width":783,"height":12}},{"id":"515be7b8-ef43-49c6-92cb-66b69e348b58","block_type":"box","text":"lending income (which excludes collateral investment fees); and (ii) this amount can never be less than 70% of the","page_number":34,"box":{"x":70,"y":302,"width":815,"height":11}},{"id":"91f8de2a-3f02-4a2a-af2f-0db4a524bf82","block_type":"box","text":"sum of securities lending income plus collateral investment fees.","page_number":34,"box":{"x":69,"y":317,"width":463,"height":11}},{"id":"cefc1ea0-4210-451b-8504-7f240ae796d2","block_type":"box","text":"In addition, commencing the business day following the date that the aggregate securities lending income","page_number":34,"box":{"x":102,"y":339,"width":753,"height":12}},{"id":"2c7b4cea-ca6f-4bef-b4c6-2a038be10c97","block_type":"box","text":"earned across the BlackRock Multi-Asset Complex in a calendar year exceeds specified thresholds, the Fund,","page_number":34,"box":{"x":69,"y":355,"width":778,"height":11}},{"id":"a0f4fe40-4178-45d6-a8c2-f250075877d4","block_type":"box","text":"pursuant to the current securities lending agreement, will receive for the remainder of that calendar year securities","page_number":34,"box":{"x":70,"y":370,"width":817,"height":11}},{"id":"0cc7f952-48ae-4290-8a2e-6637eec315d7","block_type":"box","text":"lending income as follows: (i) 84% of securities lending income (which excludes collateral investment fees); and","page_number":34,"box":{"x":70,"y":385,"width":794,"height":11}},{"id":"b6519d78-4444-44b0-8820-9cb8554a67c5","block_type":"box","text":"(ii) this amount can never be less than 70% of the sum of securities lending income plus collateral investment fees.","page_number":34,"box":{"x":69,"y":400,"width":825,"height":11}},{"id":"5814d358-6f37-4c6b-a2cd-702eea5db682","block_type":"box","text":"Prior to January 1, 2026, the Fund was subject to the same securities lending fee arrangement.","page_number":34,"box":{"x":102,"y":423,"width":683,"height":11}},{"id":"dbe32f8b-ff1b-4a86-9a3d-48d045172f7d","block_type":"box","text":"The services provided to the Fund by BIM, in the most recent fiscal year ended May 31, 2026, primarily included","page_number":34,"box":{"x":101,"y":445,"width":803,"height":11}},{"id":"2e1f6ce9-70f5-4111-9b63-43bdcf7f578e","block_type":"box","text":"the following:","page_number":34,"box":{"x":68,"y":460,"width":93,"height":12}},{"id":"d4fe38c8-5673-476d-b0d7-8a37f2d06332","block_type":"box","text":"(1) selecting borrowers from an approved list of borrowers and executing a securities lending agreement as agent","page_number":34,"box":{"x":69,"y":481,"width":818,"height":11}},{"id":"1e95fe13-384f-4446-95bf-4a2b302948ba","block_type":"box","text":"on behalf of the Fund with each such borrower;","page_number":34,"box":{"x":102,"y":496,"width":333,"height":10}},{"id":"efd3862f-2bdf-4cc4-9980-3c772768f7d0","block_type":"box","text":"(2) negotiating the terms of securities loans, including the amount of fees;","page_number":34,"box":{"x":69,"y":516,"width":538,"height":11}},{"id":"5d4448b0-128b-4340-ac08-71f4c81e277f","block_type":"box","text":"(3) directing the delivery of loaned securities;","page_number":34,"box":{"x":69,"y":536,"width":330,"height":11}},{"id":"545580fa-47be-495b-9784-2f0dce67f43a","block_type":"box","text":"(4) monitoring the daily value of the loaned securities and directing the payment of additional collateral or the return","page_number":34,"box":{"x":69,"y":556,"width":834,"height":11}},{"id":"d9441e4f-d2e7-4dc2-aaf8-fe754e1e919a","block_type":"box","text":"of excess collateral, as necessary;","page_number":34,"box":{"x":102,"y":571,"width":246,"height":11}},{"id":"eefca413-f9c6-44f5-ba20-24b045bc1565","block_type":"box","text":"(5) investing cash collateral received in connection with any loaned securities;","page_number":34,"box":{"x":69,"y":592,"width":562,"height":11}},{"id":"e83515ae-a409-421a-b321-fba668a8a974","block_type":"box","text":"(6) monitoring distributions on loaned securities (for example, interest and dividend activity);","page_number":34,"box":{"x":69,"y":612,"width":665,"height":11}},{"id":"2ae6b597-dc5f-4844-9003-f21b02e61a3d","block_type":"box","text":"(7) in the event of default by a borrower with respect to any securities loan, using the collateral or the proceeds of","page_number":34,"box":{"x":69,"y":632,"width":822,"height":11}},{"id":"e850bbd2-5017-423c-9ee2-91cedd7db147","block_type":"box","text":"the liquidation of collateral to purchase replacement securities of the same issue, type, class and series as that","page_number":34,"box":{"x":101,"y":647,"width":803,"height":11}},{"id":"34d30670-1f10-4fa0-bf39-e5947e5b4f7c","block_type":"box","text":"of the loaned securities; and","page_number":34,"box":{"x":102,"y":662,"width":203,"height":10}},{"id":"5d814831-fc53-4b7b-8540-c5f4d1482ff2","block_type":"box","text":"(8) terminating securities loans and arranging for the return of loaned securities to the Fund at loan termination.","page_number":34,"box":{"x":69,"y":682,"width":808,"height":11}},{"id":"ddde4f01-c141-44fd-aaa6-df75b5630418","block_type":"box","text":"I-25","page_number":34,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"83ae322d-9f71-49ec-a0c4-3bc3b2dc16a0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":34,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e2342e47-f6c8-4f10-bdd1-d641696e63e3","block_type":"box","text":"The following table shows the dollar amounts of income and fees/compensation related to the securities lending","page_number":35,"box":{"x":101,"y":45,"width":805,"height":11}},{"id":"1eff1db9-3ec4-48b3-babf-6ff2af1c08f6","block_type":"box","text":"activities of the Fund during the fiscal year ended May 31, 2026.","page_number":35,"box":{"x":69,"y":60,"width":461,"height":11}},{"id":"cf7a4ef3-924b-4f99-92d7-e4c650d586a5","block_type":"box","text":"Gross income from securities lending activities","page_number":35,"box":{"x":69,"y":88,"width":343,"height":11}},{"id":"e53dda63-6083-4c15-aa8e-c2104900906a","block_type":"box","text":"...................................................","page_number":35,"box":{"x":416,"y":95,"width":409,"height":1}},{"id":"7d2e1b12-9a4e-4421-a303-44e84d98811b","block_type":"box","text":"$35,286","page_number":35,"box":{"x":847,"y":87,"width":62,"height":11}},{"id":"9f85d2f8-1946-42c1-8a1f-5ceab968c724","block_type":"box","text":"Fees and/or compensation for securities lending activities and related services","page_number":35,"box":{"x":70,"y":107,"width":565,"height":11}},{"id":"3df16b87-10c1-45a7-bfd7-766cde15a40b","block_type":"box","text":"Securities lending income paid to BIM for services as securities lending agent . . . . .","page_number":35,"box":{"x":79,"y":122,"width":599,"height":11}},{"id":"421a4b7a-ab7e-426f-9803-b230f1ee4908","block_type":"box","text":". . . . . . . . . . . . . . . . . . $ 471","page_number":35,"box":{"x":685,"y":121,"width":224,"height":11}},{"id":"6c845f11-bd8f-4a2d-8ace-6014037c3630","block_type":"box","text":"Cash collateral management expenses not included in securities lending income paid to BIM. .","page_number":35,"box":{"x":79,"y":137,"width":673,"height":12}},{"id":"2066a17a-ff17-4da7-897e-f6ee6e62426b","block_type":"box","text":". . . . . . . . . $ 326","page_number":35,"box":{"x":758,"y":137,"width":151,"height":10}},{"id":"f2d80d69-60e5-43be-a448-a707673f4de6","block_type":"box","text":"Administrative fees not included in securities lending income paid to BIM . . . .","page_number":35,"box":{"x":78,"y":152,"width":551,"height":12}},{"id":"983c96cd-5ca5-4d6a-9801-07c4a04c7226","block_type":"box","text":"........................ $ 0","page_number":35,"box":{"x":636,"y":152,"width":273,"height":10}},{"id":"bebcf314-25ca-4f3a-a870-5db0d195cdd8","block_type":"box","text":"Indemnification fees not included in securities lending income paid to BIM . . . . .","page_number":35,"box":{"x":79,"y":167,"width":567,"height":12}},{"id":"5323af14-c3dc-41c2-b70c-04b1c423555b","block_type":"box","text":"...................... $ 0","page_number":35,"box":{"x":652,"y":167,"width":257,"height":10}},{"id":"531e6ee3-2c19-4596-a700-5f2f0ad4f638","block_type":"box","text":"Rebates (paid to borrowers) . . . . . . . . . . .","page_number":35,"box":{"x":79,"y":183,"width":289,"height":11}},{"id":"8ecd83fa-2a73-493a-b71e-6c380389f672","block_type":"box","text":"........................................................","page_number":35,"box":{"x":375,"y":190,"width":450,"height":1}},{"id":"4d4927b7-ff90-4943-ba2c-bdc6158fb97f","block_type":"box","text":"$32,405","page_number":35,"box":{"x":847,"y":182,"width":62,"height":11}},{"id":"db26aebf-b49e-4379-80ea-f172b838638c","block_type":"box","text":"Other fees not included in securities lending income paid to BIM. . . . . . . . . . .","page_number":35,"box":{"x":79,"y":198,"width":542,"height":11}},{"id":"849de19c-6fc5-4537-b4af-926f3c26bed6","block_type":"box","text":"......................... $ 0","page_number":35,"box":{"x":628,"y":197,"width":281,"height":11}},{"id":"fb3b1487-08fa-42b4-8b4d-5bf0745191e4","block_type":"box","text":"Aggregate fees/compensation for securities lending activities","page_number":35,"box":{"x":68,"y":213,"width":455,"height":11}},{"id":"c51876e1-b7a0-48b4-8c1f-84f48c3bcf04","block_type":"box","text":".....................................","page_number":35,"box":{"x":530,"y":220,"width":295,"height":2}},{"id":"c4822b35-dbfb-4e09-90d6-e177378d037c","block_type":"box","text":"$33,202","page_number":35,"box":{"x":847,"y":212,"width":62,"height":12}},{"id":"a4e21c4f-8904-486c-b696-837e6bba2104","block_type":"box","text":"Net income from securities lending activities","page_number":35,"box":{"x":69,"y":232,"width":327,"height":11}},{"id":"67795d93-2dde-4a6f-aa68-a1c9a97de38f","block_type":"box","text":".....................................................","page_number":35,"box":{"x":399,"y":240,"width":426,"height":1}},{"id":"bbe407dc-6005-4275-a7e5-e4f08eb4f4b6","block_type":"box","text":"$ 2,084","page_number":35,"box":{"x":847,"y":232,"width":62,"height":11}},{"id":"03a2cf31-ad54-4740-9209-ce5966dcd4ad","block_type":"box","text":"Portfolio Turnover.","page_number":35,"box":{"x":102,"y":261,"width":131,"height":9}},{"id":"8d083d85-8178-4f06-9b76-9c6c991f0f01","block_type":"box","text":"For the fiscal years ended May 31, 2025 and May 31, 2026, the Fund’s portfolio turnover","page_number":35,"box":{"x":241,"y":261,"width":642,"height":11}},{"id":"f4923299-49a5-4925-898b-e81f9b780a8a","block_type":"box","text":"rate was 31% and 99%, respectively. The increase in the Fund’s portfolio turnover rate from the prior fiscal year was","page_number":35,"box":{"x":69,"y":276,"width":828,"height":11}},{"id":"2dd279cc-57c1-4764-8c00-8ea9747a95ed","block_type":"box","text":"primarily due to increased trading activity associated with changes to the Fund’s investment process and the portfolio","page_number":35,"box":{"x":70,"y":291,"width":839,"height":11}},{"id":"a3d2b736-630b-4ae9-899d-2e79862fdfe0","block_type":"box","text":"management team.","page_number":35,"box":{"x":69,"y":307,"width":137,"height":10}},{"id":"377bd54c-e99c-40dc-ab1b-a73eddde5a10","block_type":"box","text":"VIII. Additional Information","page_number":35,"box":{"x":68,"y":336,"width":195,"height":9}},{"id":"1a92219b-1814-4770-83ae-1df50eeb1242","block_type":"box","text":"Description of Shares","page_number":35,"box":{"x":69,"y":367,"width":156,"height":11}},{"id":"e9437302-3e18-43b3-a4bc-bae0bebc11c3","block_type":"box","text":"The Fund was incorporated under Maryland law on October 25, 1999. Effective November 9, 1999, the Fund","page_number":35,"box":{"x":101,"y":389,"width":775,"height":11}},{"id":"2d3c7c7f-4b63-4bfc-a433-75b127922629","block_type":"box","text":"changed its name from Merrill Lynch Concentrated Growth Fund, Inc. to Merrill Lynch Focus Twenty Fund, Inc.","page_number":35,"box":{"x":69,"y":404,"width":776,"height":12}},{"id":"088939a6-e70d-49db-b216-8d5380271115","block_type":"box","text":"Effective September 29, 2006, the Fund changed its name from Merrill Lynch Focus Twenty Fund, Inc. to BlackRock","page_number":35,"box":{"x":70,"y":419,"width":825,"height":12}},{"id":"83b9c2f2-fe2a-4964-816a-80f91f9eb7f9","block_type":"box","text":"Focus Twenty Fund, Inc. Effective December 17, 2007, the Fund changed its name from BlackRock Focus Twenty","page_number":35,"box":{"x":70,"y":435,"width":805,"height":11}},{"id":"9f7d8afc-8164-46f4-ac88-2bc29a1141f3","block_type":"box","text":"Fund, Inc. to BlackRock Focus Growth Fund, Inc. Effective December 9, 2019, the Fund changed its name from","page_number":35,"box":{"x":70,"y":450,"width":789,"height":11}},{"id":"65661bc2-55db-473b-9f62-65a572e2b873","block_type":"box","text":"BlackRock Focus Growth Fund, Inc. to BlackRock Large Cap Focus Growth Fund, Inc. As of the date of this SAI, the","page_number":35,"box":{"x":70,"y":465,"width":814,"height":11}},{"id":"9ad1980c-abcd-4cc9-a72c-e513dce49298","block_type":"box","text":"Fund has authorized capital of 6,150,000,000 shares of capital stock, par value $0.10 per share, divided into four","page_number":35,"box":{"x":70,"y":479,"width":819,"height":12}},{"id":"a00014b6-8049-4af1-8d54-bc9450b72bdd","block_type":"box","text":"classes, designated Investor A Common Stock, Investor C Common Stock, Institutional Common Stock and Class K","page_number":35,"box":{"x":69,"y":495,"width":824,"height":11}},{"id":"49b4c45d-38c9-4acb-8145-be5a66574223","block_type":"box","text":"Common Stock, consisting of 2,000,000,000 shares of Investor A Common Stock, 50,000,000 shares of Investor C","page_number":35,"box":{"x":69,"y":510,"width":833,"height":11}},{"id":"3b22c67a-cdb2-4a8b-9a48-c729204d5652","block_type":"box","text":"Common Stock, 2,000,000,000 Shares of Institutional Common Stock and 2,000,000,000 Shares of Class K","page_number":35,"box":{"x":69,"y":525,"width":788,"height":11}},{"id":"34828fa3-9ab7-4e19-a059-6e65b92a0c81","block_type":"box","text":"Common Stock. The remainder of the authorized capital stock of the Fund is not designated or classified as to any","page_number":35,"box":{"x":69,"y":540,"width":817,"height":12}},{"id":"fc6c5912-61b1-4712-bb7e-4efa8c3a2775","block_type":"box","text":"class or series. Under the Articles of Incorporation, the Directors have the authority to issue separate classes of","page_number":35,"box":{"x":69,"y":555,"width":803,"height":12}},{"id":"68f03226-9bdc-43dd-a012-bab700c7f461","block_type":"box","text":"shares which would represent interests in the assets of the Fund. The Board of Directors of the Fund may classify","page_number":35,"box":{"x":69,"y":571,"width":812,"height":11}},{"id":"9a068771-d56b-4460-8d46-5d1800e34f3f","block_type":"box","text":"and reclassify shares of the Fund into additional classes or other shares of stock at a future date. Upon liquidation of","page_number":35,"box":{"x":69,"y":586,"width":840,"height":11}},{"id":"795c0a4b-33ac-4c3d-971b-0f3263c88e09","block_type":"box","text":"the Fund, shareholders of each class are entitled, after payment or provision of payment of the debts and other","page_number":35,"box":{"x":68,"y":601,"width":796,"height":11}},{"id":"dfd00cd5-c1ab-4820-abc4-50caa945c813","block_type":"box","text":"liabilities of the Fund, to share pro rata in the net asset of the Fund applicable to their class. The rights of","page_number":35,"box":{"x":70,"y":616,"width":755,"height":11}},{"id":"d724f1bb-0fc2-4a52-bccf-47d193ddf499","block_type":"box","text":"redemption, conversion and exchange are described elsewhere in this SAI and the Prospectuses. Effective","page_number":35,"box":{"x":69,"y":631,"width":759,"height":11}},{"id":"5c2a6248-643a-4c31-9508-50320a06441e","block_type":"box","text":"April 14, 2003, Class D shares were redesignated Class A and Class A shares were redesignated Class I which are","page_number":35,"box":{"x":68,"y":646,"width":825,"height":11}},{"id":"4ec1f254-05f8-4ebf-9f35-04958799658c","block_type":"box","text":"now Institutional Shares. Effective as of November 29, 2018, the Fund reclassified Investor B Common Stock as","page_number":35,"box":{"x":69,"y":661,"width":804,"height":11}},{"id":"ef73a529-8903-452b-89a2-7634e9c9c3d7","block_type":"box","text":"authorized but unissued shares of the Fund’s common stock.","page_number":35,"box":{"x":69,"y":676,"width":436,"height":9}},{"id":"88d28265-abcf-48c8-969b-e9880c82301a","block_type":"box","text":"Counsel.","page_number":35,"box":{"x":101,"y":699,"width":62,"height":9}},{"id":"78c5db16-adc8-4694-aac9-df24c52bbfa7","block_type":"box","text":"Ropes & Gray LLP, with offices at 1211 Avenue of the Americas, New York, New York 10036, serves as","page_number":35,"box":{"x":170,"y":699,"width":736,"height":11}},{"id":"cfc69533-930f-4e09-a003-4956454d26a7","block_type":"box","text":"the Fund’s counsel.","page_number":35,"box":{"x":68,"y":714,"width":139,"height":9}},{"id":"20528070-038c-406d-ae30-0fc341e9956c","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":35,"box":{"x":102,"y":737,"width":352,"height":11}},{"id":"2f64889b-8472-4057-a76e-caafda5591ce","block_type":"box","text":"Deloitte & Touche LLP, with offices located at 115 Federal","page_number":35,"box":{"x":461,"y":737,"width":412,"height":10}},{"id":"54db4aeb-41da-4543-9ea1-fd0b7def0394","block_type":"box","text":"Street, Boston, Massachusetts 02110, serves as the Fund’s independent registered public accounting firm.","page_number":35,"box":{"x":69,"y":752,"width":772,"height":11}},{"id":"ed2877f0-ea5e-464a-82ea-51bf28522ab1","block_type":"box","text":"Principal Shareholders","page_number":35,"box":{"x":69,"y":782,"width":162,"height":11}},{"id":"bca8bde9-292e-4d02-a544-95980745b8e5","block_type":"box","text":"To the knowledge of the Fund, the following entities owned of record or beneficially 5% or more of a class of the","page_number":35,"box":{"x":101,"y":805,"width":795,"height":11}},{"id":"a86470e8-7e1a-473c-964e-5ce7cfe93fa9","block_type":"box","text":"Fund’s shares as of September 1, 2026:","page_number":35,"box":{"x":70,"y":820,"width":290,"height":11}},{"id":"90737394-34da-4063-aabc-0cff9666a07c","block_type":"box","text":"Name Address Percentage Class","page_number":35,"box":{"x":69,"y":848,"width":786,"height":9}},{"id":"86c10aa0-6900-4df9-9a8d-6dbbcdf95d57","block_type":"box","text":"Merrill Lynch, Pierce, Fenner &","page_number":35,"box":{"x":70,"y":866,"width":216,"height":11}},{"id":"2c2d80f1-0cdc-40b9-b18a-ad126787c5b3","block_type":"box","text":"Smith Incorporated","page_number":35,"box":{"x":69,"y":881,"width":134,"height":11}},{"id":"4dabd944-9026-47fd-a802-3b784c287313","block_type":"box","text":"4800 East Deerlake Drive","page_number":35,"box":{"x":422,"y":866,"width":184,"height":9}},{"id":"84383910-8dce-43ec-b54a-d390e98c5226","block_type":"box","text":"3rd Floor","page_number":35,"box":{"x":483,"y":881,"width":63,"height":9}},{"id":"76fe4fc3-4f32-416a-9867-b05503d63fd4","block_type":"box","text":"Jacksonville, FL 32246-6484","page_number":35,"box":{"x":411,"y":896,"width":206,"height":11}},{"id":"ec5c50ec-6947-457f-afcb-7ea020f93653","block_type":"box","text":"32.83% Investor A Shares","page_number":35,"box":{"x":680,"y":866,"width":222,"height":9}},{"id":"105e2ded-4c4b-402c-9a11-ff61aca9457f","block_type":"box","text":"I-26","page_number":35,"box":{"x":476,"y":943,"width":27,"height":9}},{"id":"8c2b1fdf-1148-4d86-939a-cfac7b52d8f0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":35,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d46e88d1-6677-4f64-9db6-b3f1e8b4e0e8","block_type":"box","text":"Name Address Percentage Class","page_number":36,"box":{"x":69,"y":49,"width":786,"height":9}},{"id":"d193ff82-8786-4cc1-8654-ef167bf28fec","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":36,"box":{"x":70,"y":67,"width":533,"height":9}},{"id":"cbcdbcb0-b1ea-4579-bd8a-5715ea78f717","block_type":"box","text":"St. Louis, MO 63131-3710","page_number":36,"box":{"x":418,"y":82,"width":192,"height":10}},{"id":"8bf5d135-c932-49a5-93a5-5859d83dda6f","block_type":"box","text":"14.22% Investor A Shares","page_number":36,"box":{"x":681,"y":67,"width":221,"height":9}},{"id":"caa9d357-6e17-47cc-a606-015f0cd92bbf","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":105,"width":504,"height":11}},{"id":"a9ad9ffc-ae4f-44c4-92e5-2e947b42f339","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":415,"y":120,"width":197,"height":11}},{"id":"f89e4da1-18fd-468d-b58a-27eb5c3ae522","block_type":"box","text":"9.78% Investor A Shares","page_number":36,"box":{"x":685,"y":105,"width":217,"height":8}},{"id":"ac8404c9-0b07-43ce-9bbf-443010ec9359","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard 5th Floor","page_number":36,"box":{"x":70,"y":142,"width":574,"height":12}},{"id":"34dc90c4-3493-4515-9a1e-6495fa7cdb9a","block_type":"box","text":"Jersey City, NJ 07310-2010","page_number":36,"box":{"x":415,"y":158,"width":197,"height":11}},{"id":"be986851-f8e8-426c-be5f-28b15fd75529","block_type":"box","text":"8.88% Investor A Shares","page_number":36,"box":{"x":685,"y":142,"width":217,"height":9}},{"id":"6c615473-a03f-4242-9fb6-4270624f9ec9","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":180,"width":504,"height":11}},{"id":"3dc96247-9fd2-44ee-964b-46174a54a90f","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":415,"y":195,"width":197,"height":11}},{"id":"8c8acdc7-4797-4946-a380-8edb1f6ab5a7","block_type":"box","text":"22.90% Investor C Shares","page_number":36,"box":{"x":680,"y":180,"width":223,"height":9}},{"id":"390cf20e-884e-49eb-bcc7-61cf888925fb","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":36,"box":{"x":70,"y":218,"width":519,"height":9}},{"id":"eac704d9-5b42-4d89-a7f8-2b167ec2f327","block_type":"box","text":"San Diego, CA 92121-3091","page_number":36,"box":{"x":415,"y":233,"width":198,"height":11}},{"id":"25389c36-8cf4-4e4f-a9c9-b57db66a8232","block_type":"box","text":"14.39% Investor C Shares","page_number":36,"box":{"x":681,"y":218,"width":222,"height":9}},{"id":"4e3fa7b5-eea3-402e-b738-9b5b48b10c00","block_type":"box","text":"American Enterprise Investment","page_number":36,"box":{"x":68,"y":256,"width":227,"height":11}},{"id":"cee56faa-8c40-49e4-9990-a568b4df2691","block_type":"box","text":"Services","page_number":36,"box":{"x":69,"y":271,"width":60,"height":9}},{"id":"868a2bc4-a705-4222-93c5-0bb8e355e078","block_type":"box","text":"707 2nd Avenue South","page_number":36,"box":{"x":433,"y":256,"width":162,"height":9}},{"id":"6a61a361-7ea5-44b1-a2ac-b42a39890526","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":36,"box":{"x":407,"y":271,"width":215,"height":11}},{"id":"da278e84-cad4-403f-8635-e2a758bf8a8c","block_type":"box","text":"10.63% Investor C Shares","page_number":36,"box":{"x":681,"y":256,"width":222,"height":9}},{"id":"201c2c29-6db2-4d6a-9d14-d562316d5cc9","block_type":"box","text":"Wells Fargo Clearing Services 2801 Market Street","page_number":36,"box":{"x":68,"y":294,"width":517,"height":11}},{"id":"335e4387-dddd-4fa1-a75d-6e8b5021f06d","block_type":"box","text":"St. Louis, MO 63103","page_number":36,"box":{"x":439,"y":309,"width":150,"height":10}},{"id":"f2518ecb-620d-46ce-9786-6ff8ff8a93e6","block_type":"box","text":"6.34% Investor C Shares","page_number":36,"box":{"x":685,"y":294,"width":218,"height":8}},{"id":"7b6e0ce1-132e-44cc-bf57-70c458bf33c7","block_type":"box","text":"Merrill Lynch, Pierce, Fenner &","page_number":36,"box":{"x":70,"y":331,"width":216,"height":11}},{"id":"527a0fe9-c184-4f8c-b67c-de1753ae035e","block_type":"box","text":"Smith Incorporated","page_number":36,"box":{"x":69,"y":346,"width":134,"height":11}},{"id":"ad7e8af4-5ab2-4575-a9a9-d1c019da993b","block_type":"box","text":"4800 East Deerlake Drive","page_number":36,"box":{"x":422,"y":331,"width":184,"height":9}},{"id":"1854b47f-9b6f-41d4-9420-eb04284f4233","block_type":"box","text":"3rd Floor","page_number":36,"box":{"x":483,"y":346,"width":63,"height":9}},{"id":"511691f4-4e8c-47ad-8192-3674730b732e","block_type":"box","text":"Jacksonville, FL 32246-6484","page_number":36,"box":{"x":411,"y":362,"width":206,"height":10}},{"id":"2064defa-93f2-4d59-aa00-951b233d5921","block_type":"box","text":"5.60% Investor C Shares","page_number":36,"box":{"x":685,"y":331,"width":218,"height":9}},{"id":"7d290502-f6c3-4283-8a08-b3f620cbd3d8","block_type":"box","text":"J.P. Morgan Securities LLC 4 Chase Metrotech Center","page_number":36,"box":{"x":69,"y":384,"width":539,"height":11}},{"id":"e60df0c5-1c20-484b-934c-db93f6c10b0d","block_type":"box","text":"Brooklyn, NY 11245","page_number":36,"box":{"x":443,"y":399,"width":142,"height":11}},{"id":"0b2007ef-6a24-4ce9-a3c7-2b9b82a53c75","block_type":"box","text":"5.32% Investor C Shares","page_number":36,"box":{"x":685,"y":384,"width":218,"height":9}},{"id":"fb6ac720-94c1-4962-9ec1-3566c20ad6bb","block_type":"box","text":"Raymond James 880 Carillon Parkway","page_number":36,"box":{"x":70,"y":422,"width":519,"height":11}},{"id":"b6766989-1161-4f0a-8e7a-97b672f78fdf","block_type":"box","text":"Saint Petersburg, FL 33716","page_number":36,"box":{"x":415,"y":437,"width":198,"height":11}},{"id":"21473d2e-c78f-4856-aba5-354cc8f802d9","block_type":"box","text":"5.09% Investor C Shares","page_number":36,"box":{"x":685,"y":422,"width":218,"height":9}},{"id":"46d929db-1574-47f1-8a2e-8085342d3bbf","block_type":"box","text":"Merrill Lynch, Pierce, Fenner &","page_number":36,"box":{"x":70,"y":460,"width":216,"height":11}},{"id":"09062289-d660-43ff-b67e-b4550de50ba6","block_type":"box","text":"Smith Incorporated","page_number":36,"box":{"x":69,"y":475,"width":134,"height":11}},{"id":"9cb15599-20db-40c7-b994-e344780db25d","block_type":"box","text":"4800 East Deerlake Drive","page_number":36,"box":{"x":422,"y":460,"width":184,"height":9}},{"id":"9cbe3a0a-5769-4f47-b65f-3fecaaa80fc8","block_type":"box","text":"3rd Floor","page_number":36,"box":{"x":483,"y":475,"width":63,"height":9}},{"id":"43995352-4836-42bc-8022-0b569ef1e5e5","block_type":"box","text":"Jacksonville, FL 32246-6484","page_number":36,"box":{"x":411,"y":490,"width":206,"height":10}},{"id":"474d894a-b049-4486-81b9-59d446c544ee","block_type":"box","text":"24.20% Institutional Shares","page_number":36,"box":{"x":680,"y":460,"width":229,"height":9}},{"id":"9b44c50e-f522-4cb2-bef1-06dce9e6efda","block_type":"box","text":"American Enterprise Investment","page_number":36,"box":{"x":68,"y":513,"width":227,"height":11}},{"id":"0f3c3c89-7f10-49a0-b4be-6f6ccae7f754","block_type":"box","text":"Services","page_number":36,"box":{"x":69,"y":528,"width":60,"height":9}},{"id":"d6b3d533-47b0-415f-aff3-fa4e5033a683","block_type":"box","text":"707 2nd Avenue South","page_number":36,"box":{"x":433,"y":513,"width":162,"height":9}},{"id":"7766623d-3649-4c1f-a60e-aa0edf2ec18c","block_type":"box","text":"Minneapolis, MN 55402-2405","page_number":36,"box":{"x":407,"y":528,"width":215,"height":11}},{"id":"488a5fcf-f970-4b92-8edf-c47ce4167ed9","block_type":"box","text":"15.72% Institutional Shares","page_number":36,"box":{"x":681,"y":513,"width":228,"height":9}},{"id":"fa8ff5ff-c585-4ad5-9307-71bd2b0ccec0","block_type":"box","text":"LPL Financial 4707 Executive Drive","page_number":36,"box":{"x":70,"y":551,"width":519,"height":8}},{"id":"2cc0c403-0f64-44b0-a14a-20509a1da464","block_type":"box","text":"San Diego, CA 92121-3091","page_number":36,"box":{"x":415,"y":566,"width":198,"height":11}},{"id":"0dd60ca7-8502-4d73-9399-d71b8aee29a3","block_type":"box","text":"10.59% Institutional Shares","page_number":36,"box":{"x":681,"y":551,"width":228,"height":8}},{"id":"6beb3381-494a-4b9f-953f-16b4b7bde485","block_type":"box","text":"Pershing LLC 1 Pershing Plaza","page_number":36,"box":{"x":69,"y":588,"width":504,"height":12}},{"id":"b55e4a23-9441-429b-8a4f-64ae1c871e67","block_type":"box","text":"Jersey City, NJ 07399-0001","page_number":36,"box":{"x":415,"y":603,"width":197,"height":12}},{"id":"9740ffd0-132e-4863-b71d-27e940a0fae4","block_type":"box","text":"7.15% Institutional Shares","page_number":36,"box":{"x":685,"y":588,"width":224,"height":9}},{"id":"a518b308-93f0-42f9-b571-a726eb1649c0","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":626,"width":539,"height":11}},{"id":"b0857946-074c-40e0-8836-831b0200d761","block_type":"box","text":"Jersey City, NJ 07310","page_number":36,"box":{"x":437,"y":641,"width":154,"height":11}},{"id":"5a87517b-2efa-4614-89f0-b908aa93de36","block_type":"box","text":"7.05% Institutional Shares","page_number":36,"box":{"x":685,"y":626,"width":224,"height":9}},{"id":"fc196731-bd33-4e6e-9d0b-23af778a2c1d","block_type":"box","text":"Edward D. Jones & Co. 12555 Manchester Road","page_number":36,"box":{"x":70,"y":664,"width":533,"height":9}},{"id":"207a4e69-6495-4609-8215-b4c571311ab6","block_type":"box","text":"St. Louis, MO 63131-3710","page_number":36,"box":{"x":418,"y":679,"width":192,"height":10}},{"id":"930ebb73-6e2f-4169-abf4-953f82cc1e8a","block_type":"box","text":"62.79% Class K Shares","page_number":36,"box":{"x":680,"y":664,"width":214,"height":9}},{"id":"21a1bc9a-8dc3-411d-8a33-a6b79910ccf9","block_type":"box","text":"National Financial Services LLC 499 Washington Boulevard","page_number":36,"box":{"x":70,"y":702,"width":539,"height":11}},{"id":"e2a109bc-1fb2-4530-b3d1-5ebc6ce01600","block_type":"box","text":"Jersey City, NJ 07310","page_number":36,"box":{"x":437,"y":717,"width":154,"height":11}},{"id":"c1274fad-ca57-4d14-9d5e-13c9dfde0fba","block_type":"box","text":"29.05% Class K Shares","page_number":36,"box":{"x":680,"y":702,"width":214,"height":9}},{"id":"30355d9f-8f60-4959-be8f-1b467b1d48ab","block_type":"box","text":"IX. Financial Statements","page_number":36,"box":{"x":69,"y":748,"width":179,"height":9}},{"id":"c58b3451-2d58-47f8-b7fc-c79cdec3296c","block_type":"box","text":"The audited financial statements, financial highlights and notes thereto in the Fund’s Annual Financial","page_number":36,"box":{"x":101,"y":771,"width":726,"height":11}},{"id":"ada86973-f79b-4298-b2cb-cc2db0f4dd9d","block_type":"box","text":"Statements and Additional Information for the fiscal year ended May 31, 2026, as filed with the SEC on Form N-CSR","page_number":36,"box":{"x":69,"y":786,"width":829,"height":11}},{"id":"140a0758-6130-433d-96c8-748a8b2d5d4e","block_type":"box","text":"(the “2026 Annual Financial Statements”), are incorporated in this SAI by reference. No other parts of the 2026","page_number":36,"box":{"x":69,"y":801,"width":800,"height":11}},{"id":"d5616262-57d4-41e0-855a-100ccfb48717","block_type":"box","text":"Annual Financial Statements are incorporated by reference herein. The 2026 Annual Financial Statements have been","page_number":36,"box":{"x":68,"y":816,"width":833,"height":11}},{"id":"1f4d1e4d-ddff-4a4b-9a16-e6bcb73f464e","block_type":"box","text":"audited by Deloitte & Touche LLP. The report of Deloitte & Touche LLP is incorporated herein by reference. Such 2026","page_number":36,"box":{"x":69,"y":831,"width":839,"height":12}},{"id":"9cd0ebf9-976a-4cc1-a354-1cbb04742542","block_type":"box","text":"Annual Financial Statements have been incorporated herein in reliance upon the report of such firm given their","page_number":36,"box":{"x":68,"y":846,"width":790,"height":12}},{"id":"02733258-81a7-4527-9cf2-ae1e8fd801da","block_type":"box","text":"authority as experts in accounting and auditing. Additional copies of the Fund’s annual and semi-annual reports to","page_number":36,"box":{"x":69,"y":862,"width":815,"height":11}},{"id":"013d9046-861d-418b-88a6-fc50c31f9b9d","block_type":"box","text":"shareholders and the Fund’s Annual and Semi-Annual Financial Statements and Additional Information may be","page_number":36,"box":{"x":69,"y":877,"width":785,"height":11}},{"id":"7ba914c0-c215-4d0d-91b8-41bbbeb04439","block_type":"box","text":"obtained at no charge by telephoning the Distributor at the telephone number appearing on the front page of this SAI.","page_number":36,"box":{"x":69,"y":892,"width":836,"height":11}},{"id":"3c4f4150-42a6-4b1b-820f-444a71525fea","block_type":"box","text":"I-27","page_number":36,"box":{"x":476,"y":943,"width":26,"height":9}},{"id":"9aeba491-2e45-47b8-955c-f33a4d30538e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":36,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"28c2434a-5907-49cd-9063-1b01ce22e057","block_type":"box","text":"PART II","page_number":37,"box":{"x":463,"y":45,"width":52,"height":9}},{"id":"487de47c-b566-482c-b816-2e2afb7a389e","block_type":"box","text":"Throughout this Statement of Additional Information (“SAI”), each BlackRock-advised fund may be referred to as","page_number":37,"box":{"x":101,"y":67,"width":799,"height":12}},{"id":"c08eadc2-b6e6-4854-a4f4-7298b8a01853","block_type":"box","text":"a “Fund” or collectively with others as the “Funds.” Certain Funds may also be referred to as “Municipal Funds” if","page_number":37,"box":{"x":69,"y":82,"width":813,"height":12}},{"id":"7677586b-9dad-41e7-9acb-945cc6abd9bc","block_type":"box","text":"they invest certain of their assets in municipal investments described below.","page_number":37,"box":{"x":68,"y":98,"width":546,"height":11}},{"id":"521db838-1d2b-4a63-99eb-d6e9280e7a39","block_type":"box","text":"Each Fund is organized either as a Maryland corporation, a Massachusetts business trust or a Delaware","page_number":37,"box":{"x":102,"y":120,"width":745,"height":12}},{"id":"c24e1905-4138-44c2-80a9-aed7b7a2f2d0","block_type":"box","text":"statutory trust. In each jurisdiction, nomenclature varies. For ease and clarity of presentation, shares of common","page_number":37,"box":{"x":69,"y":135,"width":805,"height":11}},{"id":"d21de73d-b63d-4f41-b4dd-4aa0db969298","block_type":"box","text":"stock and shares of beneficial interest are referred to herein as “shares” or “Common Stock,” holders of shares of","page_number":37,"box":{"x":69,"y":150,"width":824,"height":11}},{"id":"ab56a02d-0afa-4e9e-920c-09cf109bb739","block_type":"box","text":"Common Stock are referred to as “shareholders,” the trustees or directors of each Fund are referred to as","page_number":37,"box":{"x":69,"y":166,"width":761,"height":10}},{"id":"0816c592-5dba-4df5-bc6f-949d32488f46","block_type":"box","text":"“Directors,” the boards of trustees/directors of each Fund are referred to as the “Board of Directors” or the “Board,”","page_number":37,"box":{"x":70,"y":181,"width":835,"height":11}},{"id":"cdfa45d0-ee8f-4278-aa13-6807aff638ca","block_type":"box","text":"BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates is the investment adviser or manager","page_number":37,"box":{"x":70,"y":196,"width":832,"height":11}},{"id":"03846d63-6018-4395-9d6d-6d5050917d59","block_type":"box","text":"of each Fund and is referred to herein as the “Manager” or “BlackRock,” and the investment advisory agreement or","page_number":37,"box":{"x":69,"y":211,"width":826,"height":11}},{"id":"9f7892ad-b1f6-4df8-85bc-13d7da644554","block_type":"box","text":"management agreement applicable to each Fund is referred to as the “Management Agreement.” Each Fund’s","page_number":37,"box":{"x":69,"y":226,"width":786,"height":11}},{"id":"3ccefc55-54c4-49ee-b326-2c75efee3a4f","block_type":"box","text":"Articles of Incorporation or Declaration of Trust, together with all amendments thereto, is referred to as its “charter.”","page_number":37,"box":{"x":68,"y":241,"width":834,"height":11}},{"id":"e3afa9bc-7b6c-4db7-8b4f-ee7dfad46ab7","block_type":"box","text":"The Investment Company Act of 1940, as amended, is referred to herein as the “Investment Company Act.” The","page_number":37,"box":{"x":68,"y":256,"width":801,"height":11}},{"id":"b22303d8-8f49-413e-85b4-5cb714d2f8e3","block_type":"box","text":"Securities Act of 1933, as amended, is referred to herein as the “Securities Act.” The Securities and Exchange","page_number":37,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"75d804ce-421d-479f-9302-909c0a31ce82","block_type":"box","text":"Commission is referred to herein as the “Commission” or the “SEC.”","page_number":37,"box":{"x":69,"y":286,"width":492,"height":10}},{"id":"0fcab7c6-c507-4f73-9ecc-709704fb9227","block_type":"box","text":"Certain Funds are “feeder” funds (each, a “Feeder Fund”) that invest all or a portion of their assets in a","page_number":37,"box":{"x":102,"y":309,"width":741,"height":11}},{"id":"6489f65f-3f4a-4bd6-a7c1-5c8083beb6d5","block_type":"box","text":"corresponding “master” portfolio (each, a “Master Portfolio”) of a master limited liability company (each, a “Master","page_number":37,"box":{"x":69,"y":324,"width":824,"height":12}},{"id":"b95011f1-5a5d-4e99-9231-e0991ad269c4","block_type":"box","text":"LLC”), a mutual fund that has the same objective and strategies as the Feeder Fund. All investments are generally","page_number":37,"box":{"x":70,"y":339,"width":814,"height":12}},{"id":"49ad85b4-8236-488e-94aa-24661ecbd2eb","block_type":"box","text":"made at the level of the Master Portfolio. This structure is sometimes called a “master/feeder” structure. A Feeder","page_number":37,"box":{"x":69,"y":355,"width":825,"height":11}},{"id":"a0fce601-97ce-457e-8898-a865c49836af","block_type":"box","text":"Fund’s investment results will correspond directly to the investment results of the underlying Master Portfolio in","page_number":37,"box":{"x":70,"y":370,"width":795,"height":11}},{"id":"1ce0855f-077d-4ee7-8c43-a3b0db91eb48","block_type":"box","text":"which it invests. For simplicity, this SAI uses the term “Fund” to include both a Feeder Fund and its Master Portfolio.","page_number":37,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"504a63f6-a0dc-48c2-b083-c0f4080ef36c","block_type":"box","text":"In addition to containing information about the Funds, Part II of this SAI contains general information about all","page_number":37,"box":{"x":102,"y":407,"width":783,"height":12}},{"id":"97c0b376-3919-417e-99c7-ea356562d992","block_type":"box","text":"funds in the BlackRock-advised fund complex. Certain information contained herein may not be relevant to a","page_number":37,"box":{"x":68,"y":423,"width":772,"height":11}},{"id":"e2fece21-c79d-4a2d-87d0-2f3abe48d0f4","block_type":"box","text":"particular Fund.","page_number":37,"box":{"x":70,"y":438,"width":109,"height":11}},{"id":"61537090-57b3-44e2-a602-8ad6e37cae9f","block_type":"box","text":"INVESTMENT RISKS AND CONSIDERATIONS","page_number":37,"box":{"x":314,"y":467,"width":351,"height":10}},{"id":"2e43005c-8b0e-44cb-b868-086a090ef6dd","block_type":"box","text":"Set forth below are descriptions of some of the types of investments and investment strategies that one or more","page_number":37,"box":{"x":102,"y":490,"width":805,"height":11}},{"id":"aeb53a03-0e57-4e9c-964a-2feb0c90d933","block_type":"box","text":"of the Funds may use, and the risks and considerations associated with those investments and investment","page_number":37,"box":{"x":69,"y":505,"width":765,"height":11}},{"id":"ef423db5-5bce-45a4-bde4-3d9319e3f0ee","block_type":"box","text":"strategies. Please see each Fund’s prospectuses (the “Prospectus”) and the “Investment Objective and Policies,”","page_number":37,"box":{"x":69,"y":520,"width":811,"height":12}},{"id":"5e51cd74-182c-4593-9dd8-7fda8faa6e7f","block_type":"box","text":"“Investment Objectives and Policies” or “Investment Strategies and Risks of the Fund” section, as applicable, of Part","page_number":37,"box":{"x":70,"y":535,"width":837,"height":12}},{"id":"aa1dc5ca-bc76-417c-b35a-68be377b5bcf","block_type":"box","text":"I of this SAI for further information on each Fund’s investment policies and risks. Information contained in this","page_number":37,"box":{"x":70,"y":550,"width":785,"height":11}},{"id":"b5df717f-b6f4-4c73-b32b-f3337bfb0194","block_type":"box","text":"section about the risks and considerations associated with a Fund’s investments and/or investment strategies","page_number":37,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"22459e7b-1e07-4024-9f26-cee522894080","block_type":"box","text":"applies only to those Funds specifically identified in Part I of this SAI as making each type of investment or using","page_number":37,"box":{"x":69,"y":581,"width":805,"height":11}},{"id":"e5a378b3-e0a1-44a7-af94-c3667ce69b13","block_type":"box","text":"each investment strategy (each, a “Covered Fund”). Information that does not apply to a Covered Fund does not form","page_number":37,"box":{"x":69,"y":596,"width":835,"height":11}},{"id":"c781c34d-2a87-4ee6-93f0-084dfda845ad","block_type":"box","text":"a part of that Covered Fund’s SAI and should not be relied on by investors in that Covered Fund. Only information that","page_number":37,"box":{"x":69,"y":611,"width":840,"height":11}},{"id":"9757ab87-4235-4dd0-9a91-553663381abd","block_type":"box","text":"is clearly identified as applicable to a Covered Fund is considered to form a part of that Covered Fund’s SAI.","page_number":37,"box":{"x":70,"y":626,"width":770,"height":11}},{"id":"08bbd053-9bef-4a0f-a8bd-1dd5a657777d","block_type":"box","text":"Asset-Backed Securities.","page_number":37,"box":{"x":101,"y":649,"width":183,"height":9}},{"id":"6ac406df-76a1-4414-9370-f69e136c05a5","block_type":"box","text":"Asset-backed securities are securities backed by home equity loans, installment sale","page_number":37,"box":{"x":290,"y":649,"width":607,"height":11}},{"id":"ffd65ae2-48a1-4284-853d-a2f8c1a1c198","block_type":"box","text":"contracts, credit card receivables or other assets. Asset-backed securities are “pass-through” securities, meaning","page_number":37,"box":{"x":69,"y":664,"width":814,"height":11}},{"id":"688d0bdd-b417-4f79-b28e-3bc4f59ce60a","block_type":"box","text":"that principal and interest payments — net of expenses — made by the borrower on the underlying assets (such as","page_number":37,"box":{"x":68,"y":679,"width":825,"height":11}},{"id":"617d2585-3bfe-49f0-8149-ba20e5502d86","block_type":"box","text":"credit card receivables) are passed through to a Fund. The value of asset-backed securities, like that of traditional","page_number":37,"box":{"x":69,"y":694,"width":813,"height":11}},{"id":"2dc5be87-56fc-43ea-a0d2-cb88493f929e","block_type":"box","text":"fixed-income securities, typically increases when interest rates fall and decreases when interest rates rise. However,","page_number":37,"box":{"x":68,"y":709,"width":830,"height":11}},{"id":"9b139e24-98e3-4bfd-83fb-1bd5fcc25aa2","block_type":"box","text":"asset-backed securities differ from traditional fixed-income securities because of their potential for prepayment. The","page_number":37,"box":{"x":69,"y":724,"width":827,"height":11}},{"id":"b94ed991-f87e-41f9-a9e9-3bf3b90f9e26","block_type":"box","text":"price paid by a Fund for its asset-backed securities, the yield the Fund expects to receive from such securities and","page_number":37,"box":{"x":70,"y":739,"width":813,"height":12}},{"id":"7a484da2-d013-4da7-b3db-47ee98fae509","block_type":"box","text":"the average life of the securities are based on a number of factors, including the anticipated rate of prepayment of","page_number":37,"box":{"x":68,"y":755,"width":818,"height":11}},{"id":"9f332d9c-67ad-4bc7-923f-127ed1df8c1b","block_type":"box","text":"the underlying assets. In a period of declining interest rates, borrowers may prepay the underlying assets more","page_number":37,"box":{"x":68,"y":770,"width":792,"height":11}},{"id":"82999329-8dd6-4d4d-93e2-21fea5b70500","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the asset-backed securities.","page_number":37,"box":{"x":69,"y":785,"width":811,"height":11}},{"id":"6dbe4a83-8465-4839-82ca-547a106045b5","block_type":"box","text":"Moreover, when a Fund reinvests the proceeds of a prepayment in these circumstances, it will likely receive a rate of","page_number":37,"box":{"x":70,"y":800,"width":832,"height":11}},{"id":"49537a18-306e-4a75-a1c4-c6cef236fea5","block_type":"box","text":"interest that is lower than the rate on the security that was prepaid. To the extent that a Fund purchases asset","page_number":37,"box":{"x":70,"y":815,"width":792,"height":11}},{"id":"b5de1c01-270d-4912-9ad5-8c57b65d9f92","block_type":"box","text":"backed securities at a premium, prepayments may result in a loss to the extent of the premium paid. If a Fund buys","page_number":37,"box":{"x":69,"y":830,"width":825,"height":11}},{"id":"08562f05-bcb1-4f25-ba5e-307374005a00","block_type":"box","text":"such securities at a discount, both scheduled payments and unscheduled prepayments will increase current and total","page_number":37,"box":{"x":69,"y":846,"width":838,"height":10}},{"id":"9233a2af-0e7a-47fd-b9f0-4fb950a235eb","block_type":"box","text":"returns and unscheduled prepayments will also accelerate the recognition of income which, when distributed to","page_number":37,"box":{"x":69,"y":860,"width":793,"height":12}},{"id":"7b076a16-a230-4ab6-95c9-f4dac0c5ed95","block_type":"box","text":"shareholders, will be taxable as ordinary income. In a period of rising interest rates, prepayments of the underlying","page_number":37,"box":{"x":69,"y":875,"width":819,"height":12}},{"id":"29d6acd1-2df6-4ddf-a5d5-25cacc3e63bd","block_type":"box","text":"assets may occur at a slower than expected rate, creating maturity extension risk. This particular risk may effectively","page_number":37,"box":{"x":69,"y":891,"width":834,"height":11}},{"id":"f1bba257-e45d-425b-abde-ab1ce7e7b76f","block_type":"box","text":"change a security that was considered short- or intermediate-term at the time of purchase into a longer term security.","page_number":37,"box":{"x":69,"y":906,"width":837,"height":11}},{"id":"256b1390-19e7-4398-9a79-ee7bd7fc011a","block_type":"box","text":"II-1","page_number":37,"box":{"x":478,"y":943,"width":23,"height":9}},{"id":"cbae6108-8d25-497f-89a2-ee6d3a6a4dc1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":37,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4eb790d4-007f-4746-a27c-54260b41272e","block_type":"box","text":"Since the value of longer-term securities generally fluctuates more widely in response to changes in interest rates","page_number":38,"box":{"x":69,"y":45,"width":810,"height":11}},{"id":"1fa77725-9ac4-4fb3-847c-83033f804cf8","block_type":"box","text":"than does the value of shorter-term securities, maturity extension risk could increase the volatility of the Fund. When","page_number":38,"box":{"x":68,"y":60,"width":833,"height":11}},{"id":"c8270a1c-9904-4acb-a62b-cd271b94311f","block_type":"box","text":"interest rates decline, the value of an asset-backed security with prepayment features may not increase as much as","page_number":38,"box":{"x":70,"y":75,"width":827,"height":11}},{"id":"86550adb-63d1-409d-84d0-5181ef174ac7","block_type":"box","text":"that of other fixed-income securities, and, as noted above, changes in market rates of interest may accelerate or","page_number":38,"box":{"x":68,"y":90,"width":805,"height":11}},{"id":"cd9b842a-6275-48b3-8ac6-e6ef9414dce5","block_type":"box","text":"retard prepayments and thus affect maturities.","page_number":38,"box":{"x":69,"y":105,"width":333,"height":11}},{"id":"75c92658-209c-45c8-b3e4-aa5722d09e50","block_type":"box","text":"Asset-Based Securities.","page_number":38,"box":{"x":101,"y":128,"width":173,"height":9}},{"id":"aa4265a6-05ee-48dd-85fc-3883cf846fb2","block_type":"box","text":"Certain Funds may invest in debt, preferred or convertible securities, the principal","page_number":38,"box":{"x":281,"y":128,"width":582,"height":11}},{"id":"3e6853aa-4bf8-4129-9e54-393e52692832","block_type":"box","text":"amount, redemption terms or conversion terms of which are related to the market price of some natural resource","page_number":38,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"c7285cdd-addd-4fa5-9a16-f2c8054aa620","block_type":"box","text":"asset such as gold bullion. These securities are referred to as “asset-based securities.” A Fund will purchase only","page_number":38,"box":{"x":69,"y":158,"width":815,"height":11}},{"id":"019796c2-351d-44e8-b86b-710c0ef8c8ce","block_type":"box","text":"asset-based securities that are rated, or are issued by issuers that have outstanding debt obligations rated,","page_number":38,"box":{"x":69,"y":173,"width":769,"height":11}},{"id":"2efe7a0b-4170-435f-a8f8-205030793b7b","block_type":"box","text":"investment grade (for example, AAA, AA, A or BBB by S&P Global Ratings (“S&P”) or Fitch Ratings (“Fitch”), or Baa by","page_number":38,"box":{"x":70,"y":188,"width":833,"height":12}},{"id":"2b41bc58-6430-44da-9cc7-c949db2aab62","block_type":"box","text":"Moody’s Investors Service, Inc. (“Moody’s”) or commercial paper rated A-1 by S&P or Prime-1 by Moody’s) or by","page_number":38,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"01112f7d-7d6a-4c3a-beb6-a828f0c31da6","block_type":"box","text":"issuers that the Manager has determined to be of similar creditworthiness. Obligations ranked in the fourth highest","page_number":38,"box":{"x":70,"y":218,"width":824,"height":12}},{"id":"e2bffa71-3006-4828-84ba-05b1656139d9","block_type":"box","text":"rating category, while considered “investment grade,” may have certain speculative characteristics and may be more","page_number":38,"box":{"x":69,"y":234,"width":832,"height":11}},{"id":"b0d6ab3c-5219-4ad1-9e7a-c6671e036bdd","block_type":"box","text":"likely to be downgraded than securities rated in the three highest rating categories. If an asset-based security is","page_number":38,"box":{"x":70,"y":249,"width":797,"height":11}},{"id":"2a1b3d8a-a065-4b20-a631-851bfad7f3be","block_type":"box","text":"backed by a bank letter of credit or other similar facility, the Manager may take such backing into account in","page_number":38,"box":{"x":69,"y":264,"width":768,"height":11}},{"id":"1adb5140-8c70-48f4-91ef-2f4902d3f0c8","block_type":"box","text":"determining the creditworthiness of the issuer. While the market prices for an asset-based security and the related","page_number":38,"box":{"x":69,"y":279,"width":819,"height":11}},{"id":"ba39c581-8088-4e09-80b6-36325ed92235","block_type":"box","text":"natural resource asset generally are expected to move in the same direction, there may not be perfect correlation in","page_number":38,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"2e168411-8026-4959-a3eb-3a0a4cb4067f","block_type":"box","text":"the two price movements. Asset-based securities may not be secured by a security interest in or claim on the","page_number":38,"box":{"x":68,"y":309,"width":780,"height":11}},{"id":"e0d52ee6-2971-4196-9e3d-41e20b9dee3c","block_type":"box","text":"underlying natural resource asset. The asset-based securities in which a Fund may invest may bear interest or pay","page_number":38,"box":{"x":69,"y":325,"width":815,"height":11}},{"id":"32584bfe-61a4-428e-b8a6-cbd49b24983d","block_type":"box","text":"preferred dividends at below market (or even relatively nominal) rates. Certain asset-based securities may be payable","page_number":38,"box":{"x":70,"y":339,"width":837,"height":12}},{"id":"b5728935-beb5-4d28-87a0-6820d2cf609a","block_type":"box","text":"at maturity in cash at the stated principal amount or, at the option of the holder, directly in a stated amount of the","page_number":38,"box":{"x":69,"y":355,"width":812,"height":11}},{"id":"99cae5c7-5083-48f1-8419-f038767aa927","block_type":"box","text":"asset to which it is related. In such instance, because no Fund presently intends to invest directly in natural resource","page_number":38,"box":{"x":69,"y":370,"width":836,"height":11}},{"id":"5f33b3ba-0bc7-4d4e-bd6b-7e7ee39d8db1","block_type":"box","text":"assets, a Fund would sell the asset-based security in the secondary market, to the extent one exists, prior to","page_number":38,"box":{"x":69,"y":385,"width":778,"height":11}},{"id":"eff892d5-f3c8-4d07-a70b-7286794bc9fa","block_type":"box","text":"maturity if the value of the stated amount of the asset exceeds the stated principal amount and thereby realize the","page_number":38,"box":{"x":69,"y":400,"width":819,"height":11}},{"id":"4590a54a-8e82-4595-aaf0-02916f0d7afa","block_type":"box","text":"appreciation in the underlying asset.","page_number":38,"box":{"x":69,"y":415,"width":258,"height":11}},{"id":"8adbc5bf-7831-43c4-ac6e-4087c01c6045","block_type":"box","text":"Precious Metal-Related Securities.","page_number":38,"box":{"x":102,"y":438,"width":243,"height":9}},{"id":"104e4ea8-30b0-4c34-bff1-df9c2c0dc8dd","block_type":"box","text":"A Fund may invest in the equity and other securities of companies that","page_number":38,"box":{"x":351,"y":438,"width":503,"height":11}},{"id":"a6eb65c8-3fb0-41a0-bee0-0c4d151e69cd","block_type":"box","text":"explore for, extract, process or deal in precious metals (","page_number":38,"box":{"x":69,"y":453,"width":398,"height":11}},{"id":"f786d540-6ea9-48ec-b7b0-e19f970e3b07","block_type":"box","text":"e.g.","page_number":38,"box":{"x":469,"y":454,"width":25,"height":10}},{"id":"c76ed198-6037-4a6e-9087-602d47aa7668","block_type":"box","text":", gold, silver and platinum), and in asset-based securities","page_number":38,"box":{"x":497,"y":453,"width":407,"height":11}},{"id":"67b96ca2-ce88-4448-b0b2-85fffdfcae9c","block_type":"box","text":"indexed to the value of such metals. Such securities may be purchased when they are believed to be attractively","page_number":38,"box":{"x":70,"y":468,"width":801,"height":11}},{"id":"1455db18-c353-40ce-abab-8836397eca24","block_type":"box","text":"priced in relation to the value of a company’s precious metal-related assets or when the values of precious metals","page_number":38,"box":{"x":70,"y":483,"width":815,"height":11}},{"id":"dab02d8b-bac4-4537-8f55-888b22fb9531","block_type":"box","text":"are expected to benefit from inflationary pressure or other economic, political or financial uncertainty or instability.","page_number":38,"box":{"x":69,"y":498,"width":815,"height":11}},{"id":"7724acc6-f6fb-4126-a69a-486c1a996201","block_type":"box","text":"Based on historical experience, during periods of economic or financial instability the securities of companies","page_number":38,"box":{"x":70,"y":513,"width":779,"height":12}},{"id":"c47fac0d-f4f7-445c-8f09-9e4e5f7e0457","block_type":"box","text":"involved in precious metals may be subject to extreme price fluctuations, reflecting the high volatility of precious","page_number":38,"box":{"x":70,"y":528,"width":799,"height":12}},{"id":"f4ae106d-f0ba-4737-8a88-e6f006df392a","block_type":"box","text":"metal prices during such periods. In addition, the instability of precious metal prices may result in volatile earnings of","page_number":38,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"fe4e216f-9016-4ad4-8a58-b548246acca7","block_type":"box","text":"precious metal-related companies, which may, in turn, adversely affect the financial condition of such companies. The","page_number":38,"box":{"x":70,"y":559,"width":838,"height":11}},{"id":"9f05dee0-e170-442b-a069-7a09941f682b","block_type":"box","text":"major producers of gold include the Republic of South Africa, Russia, Canada, the United States, Brazil and Australia.","page_number":38,"box":{"x":69,"y":574,"width":835,"height":11}},{"id":"a275da46-d2b6-400f-aaac-78931d17604c","block_type":"box","text":"Sales of gold by Russia are largely unpredictable and often relate to political and economic considerations rather","page_number":38,"box":{"x":69,"y":589,"width":806,"height":11}},{"id":"80d1dc0d-32b3-4885-be30-2608ccbcdd59","block_type":"box","text":"than to market forces. Economic, financial, social and political factors within South Africa may significantly affect","page_number":38,"box":{"x":68,"y":604,"width":805,"height":11}},{"id":"0c7556eb-a5c0-46c2-aea0-0bf860e5e7f0","block_type":"box","text":"South African gold production.","page_number":38,"box":{"x":69,"y":619,"width":213,"height":11}},{"id":"76b3e327-83e2-42f6-ad0b-a02b14998010","block_type":"box","text":"Borrowing and Leverage.","page_number":38,"box":{"x":102,"y":642,"width":179,"height":11}},{"id":"252d747f-291a-4d88-9efb-d7cd5694ee80","block_type":"box","text":"Each Fund may borrow as a temporary measure for extraordinary or emergency","page_number":38,"box":{"x":288,"y":642,"width":563,"height":11}},{"id":"68a71e93-b200-425f-88fd-be839ab8f96a","block_type":"box","text":"purposes, including to meet redemptions or to settle securities transactions. Certain Funds will not purchase","page_number":38,"box":{"x":70,"y":657,"width":777,"height":11}},{"id":"81a8a94c-86a7-4a15-90d2-0ff7c1677ceb","block_type":"box","text":"securities at any time when borrowings exceed 5% of their total assets, except (a) to honor prior commitments or","page_number":38,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"74fa9a77-d875-4fc8-86e1-446f6d28c7a1","block_type":"box","text":"(b) to exercise subscription rights when outstanding borrowings have been obtained exclusively for settlements of","page_number":38,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"cf9e25ff-ea50-4fc2-a51c-768cddd7ee40","block_type":"box","text":"other securities transactions.","page_number":38,"box":{"x":69,"y":703,"width":207,"height":8}},{"id":"4b74e7d3-4249-48a8-bda4-2f7966e4ab7c","block_type":"box","text":"Certain Funds may also borrow in order to make investments, to the extent disclosed in such Fund’s Prospectus.","page_number":38,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"0be71ef4-274e-4e8f-8fcc-1639accda92c","block_type":"box","text":"The purchase of securities while borrowings are outstanding will have the effect of leveraging the Fund. Such","page_number":38,"box":{"x":68,"y":740,"width":776,"height":11}},{"id":"a0efc750-926b-46ef-8e7e-72ce2cdfde05","block_type":"box","text":"leveraging increases the Fund’s exposure to capital risk, and borrowed funds are subject to interest costs that will","page_number":38,"box":{"x":70,"y":755,"width":813,"height":11}},{"id":"cc8c7226-f631-49c6-bbe8-17851e1de0c6","block_type":"box","text":"reduce net income. The use of leverage by a Fund creates an opportunity for greater total return, but, at the same","page_number":38,"box":{"x":69,"y":770,"width":813,"height":12}},{"id":"b77aaf6d-99b9-40d9-a91b-fcaa674e35f2","block_type":"box","text":"time, creates special risks. For example, leveraging may exaggerate changes in the net asset value (“NAV”) of Fund","page_number":38,"box":{"x":68,"y":785,"width":823,"height":12}},{"id":"a9cde6a6-6fdb-4a28-8b39-b3da2baecc6c","block_type":"box","text":"shares and in the yield on the Fund’s portfolio. Although the principal of such borrowings will be fixed, the Fund’s","page_number":38,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"e622decb-ecca-4c47-9cb1-a90e24e8af88","block_type":"box","text":"assets may change in value during the time the borrowings are outstanding. Borrowings will create interest expenses","page_number":38,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"65439afd-be80-4077-a28e-08efbadbcb3b","block_type":"box","text":"for the Fund that can exceed the income from the assets purchased with the borrowings. To the extent the income or","page_number":38,"box":{"x":68,"y":831,"width":835,"height":11}},{"id":"41bc8718-f3ce-4ccc-bd7b-5864146ca086","block_type":"box","text":"capital appreciation derived from securities purchased with borrowed funds exceeds the interest the Fund will have to","page_number":38,"box":{"x":69,"y":846,"width":838,"height":11}},{"id":"26ea91ff-8256-412e-b4d8-ffca9a130c9e","block_type":"box","text":"pay on the borrowings, the Fund’s return will be greater than if leverage had not been used. Conversely, if the income","page_number":38,"box":{"x":70,"y":861,"width":835,"height":11}},{"id":"68f1aca5-0b97-4111-be55-6d1b55ee8aa7","block_type":"box","text":"or capital appreciation from the securities purchased with such borrowed funds is not sufficient to cover the cost of","page_number":38,"box":{"x":69,"y":876,"width":825,"height":11}},{"id":"c574e883-8696-485d-8de8-e7d94c4a064e","block_type":"box","text":"borrowing, the return to the Fund will be less than if leverage had not been used and, therefore, the amount available","page_number":38,"box":{"x":69,"y":891,"width":837,"height":12}},{"id":"583567c1-a050-4335-8f49-e138b08ec6ee","block_type":"box","text":"for distribution to shareholders as dividends will be reduced. In the latter case, the Manager in its best judgment","page_number":38,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"606ca8b4-34b0-4798-818a-29f59f638694","block_type":"box","text":"II-2","page_number":38,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"ae1fccc7-f6be-4592-b99a-1b059feefc12","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":38,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"161d8ca8-2cbb-429c-a7b5-41a5c87f0fa7","block_type":"box","text":"nevertheless may determine to maintain the Fund’s leveraged position if it expects that the benefits to the Fund’s","page_number":39,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"62525bdb-b5d8-4dd1-9229-2ec6bc9234fe","block_type":"box","text":"shareholders of maintaining the leveraged position will outweigh the current reduced return.","page_number":39,"box":{"x":69,"y":60,"width":653,"height":11}},{"id":"0444151f-7995-425f-b895-29abad292697","block_type":"box","text":"Certain types of borrowings by a Fund may result in the Fund being subject to covenants in credit agreements","page_number":39,"box":{"x":102,"y":82,"width":780,"height":12}},{"id":"f64c4524-8a59-4c78-8eb6-8fcb548c19c9","block_type":"box","text":"relating to asset coverage, portfolio composition requirements and other matters. It is not anticipated that","page_number":39,"box":{"x":69,"y":98,"width":759,"height":11}},{"id":"cf5c569b-8329-4604-baa5-95a9dbe4ec34","block_type":"box","text":"observance of such covenants would impede the Manager from managing a Fund’s portfolio in accordance with the","page_number":39,"box":{"x":69,"y":113,"width":822,"height":11}},{"id":"05ea32ee-7f40-4c3c-b946-4486c72d3325","block_type":"box","text":"Fund’s investment objectives and policies. However, a breach of any such covenants not cured within the specified","page_number":39,"box":{"x":70,"y":128,"width":816,"height":11}},{"id":"e488b7bd-802f-4626-9e66-0c74af39b16b","block_type":"box","text":"cure period may result in acceleration of outstanding indebtedness and require the Fund to dispose of portfolio","page_number":39,"box":{"x":69,"y":143,"width":792,"height":11}},{"id":"79d9d688-268a-42f5-a506-c1b564975eb2","block_type":"box","text":"investments at a time when it may be disadvantageous to do so.","page_number":39,"box":{"x":70,"y":158,"width":459,"height":11}},{"id":"934dfe8b-4bea-4faa-aba9-e561d36b5f2e","block_type":"box","text":"Each Fund may at times borrow from affiliates of the Manager, provided that the terms of such borrowings are","page_number":39,"box":{"x":102,"y":181,"width":786,"height":11}},{"id":"417c46d5-b203-4566-bdd9-a32ba728321d","block_type":"box","text":"no less favorable than those available from comparable sources of funds in the marketplace.","page_number":39,"box":{"x":69,"y":196,"width":663,"height":11}},{"id":"e62b9bca-73af-4c26-a854-3af58137d6c9","block_type":"box","text":"Cash Management.","page_number":39,"box":{"x":102,"y":219,"width":140,"height":11}},{"id":"e5fdd276-d1fb-4330-9b9a-8fec4d5f8d9e","block_type":"box","text":"Generally, the Manager will employ futures and options on futures to provide liquidity","page_number":39,"box":{"x":249,"y":218,"width":603,"height":12}},{"id":"bf0f2c46-f193-4b82-8acb-f3352ce5237e","block_type":"box","text":"necessary to meet anticipated redemptions or for day-to-day operating purposes. However, if considered appropriate","page_number":39,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"f598d589-0077-49b2-99b6-9319f574bf83","block_type":"box","text":"in the opinion of the Manager, a portion of a Fund’s assets may be invested in certain types of instruments with","page_number":39,"box":{"x":70,"y":249,"width":799,"height":11}},{"id":"57461133-b6c7-440f-a663-34649fd19282","block_type":"box","text":"remaining maturities of 397 days or less for liquidity purposes. Such instruments would consist of: (i) obligations of","page_number":39,"box":{"x":69,"y":264,"width":826,"height":11}},{"id":"85e697b9-1f5e-4e3f-b61d-1f599fe934e0","block_type":"box","text":"the U.S. Government, its agencies, instrumentalities, authorities or political subdivisions (“U.S. Government","page_number":39,"box":{"x":68,"y":279,"width":772,"height":11}},{"id":"368467bf-ad23-425e-98db-4e986f331cef","block_type":"box","text":"Securities”); (ii) other fixed-income securities rated Aa or higher by Moody’s or AA or higher by S&P or, if unrated, of","page_number":39,"box":{"x":69,"y":294,"width":823,"height":11}},{"id":"02c72225-b7fe-4cf4-9e26-b1179a9aa75e","block_type":"box","text":"comparable quality in the opinion of the Manager; (iii) commercial paper; (iv) bank obligations, including negotiable","page_number":39,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"6be20dff-8def-49b7-beee-8aca2050713f","block_type":"box","text":"certificates of deposit, time deposits and bankers’ acceptances; and (v) repurchase agreements. At the time the","page_number":39,"box":{"x":69,"y":324,"width":804,"height":12}},{"id":"7f913d7c-d440-447e-9d26-c7838879ecd4","block_type":"box","text":"Fund invests in commercial paper, bank obligations or repurchase agreements, the issuer or the issuer’s parent must","page_number":39,"box":{"x":70,"y":340,"width":839,"height":11}},{"id":"2efac8f8-1850-4228-83d2-296cc0322475","block_type":"box","text":"have outstanding debt rated Aa or higher by Moody’s or AA or higher by S&P or outstanding commercial paper, bank","page_number":39,"box":{"x":69,"y":355,"width":824,"height":11}},{"id":"5b283e6a-7622-45e4-a0e5-d361c2d29558","block_type":"box","text":"obligations or other short-term obligations rated Prime-1 by Moody’s or A-1 by S&P; or, if no such ratings are","page_number":39,"box":{"x":69,"y":370,"width":771,"height":11}},{"id":"527aaef0-7b1b-411c-aa28-c978f72cd2c9","block_type":"box","text":"available, the instrument must be of comparable quality in the opinion of the Manager. For more information on","page_number":39,"box":{"x":69,"y":385,"width":793,"height":11}},{"id":"a2e7fa6a-e851-421e-817a-cd4a908946d8","block_type":"box","text":"money market instruments, see “Money Market Securities” below.","page_number":39,"box":{"x":69,"y":400,"width":472,"height":11}},{"id":"2bfa9665-ab9e-40cb-9c31-176fe20af26d","block_type":"box","text":"Collateralized Debt Obligations.","page_number":39,"box":{"x":102,"y":423,"width":229,"height":11}},{"id":"99f55549-0c9e-410f-8273-7b0c9b681bd1","block_type":"box","text":"Certain Funds may invest in collateralized debt obligations (“CDOs”), which","page_number":39,"box":{"x":337,"y":423,"width":534,"height":11}},{"id":"36d2f554-4d56-4248-bcce-4e0d8de834f5","block_type":"box","text":"include collateralized bond obligations (“CBOs”), collateralized loan obligations (“CLOs”) and other similarly","page_number":39,"box":{"x":70,"y":438,"width":764,"height":11}},{"id":"3ed9b5b8-dc1c-44c6-bb53-8fcf2075de27","block_type":"box","text":"structured securities. CDOs are types of asset-backed securities. A CBO is ordinarily issued by a trust or other","page_number":39,"box":{"x":69,"y":453,"width":787,"height":11}},{"id":"4984940c-5d3d-45ea-94ee-9a4ae9501492","block_type":"box","text":"special purpose entity (“SPE”) and is typically backed by a diversified pool of fixed-income securities (which may","page_number":39,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"c3d6e669-dbc0-42f7-ade5-b35dba26aeaa","block_type":"box","text":"include high risk, below investment grade securities) held by such issuer. A CLO is ordinarily issued by a trust or","page_number":39,"box":{"x":70,"y":483,"width":798,"height":11}},{"id":"5c61c64b-afdb-4b91-aad3-31e87a7299d0","block_type":"box","text":"other SPE and is typically collateralized by a pool of loans, which may include, among others, domestic and non-U.S.","page_number":39,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"d207ea96-678a-4045-b5e0-93eabd43c557","block_type":"box","text":"senior secured loans, senior unsecured loans, and subordinate corporate loans, including loans that may be rated","page_number":39,"box":{"x":69,"y":514,"width":814,"height":11}},{"id":"a684cf43-56e6-4865-a960-54aaf674d94e","block_type":"box","text":"below investment grade or equivalent unrated loans, held by such issuer. Investments in a CLO organized outside of","page_number":39,"box":{"x":69,"y":528,"width":828,"height":12}},{"id":"b9e5d672-a4a4-4069-bb35-5370222dc940","block_type":"box","text":"the United States may not be deemed to be foreign securities if the CLO is collateralized by a pool of loans, a","page_number":39,"box":{"x":68,"y":543,"width":782,"height":12}},{"id":"acffc711-7f67-4c40-9b71-f172c5f224c2","block_type":"box","text":"substantial portion of which are U.S. loans. Although certain CDOs may benefit from credit enhancement in the form","page_number":39,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"92631a87-3f91-44ea-a7c4-4464aa9fa99d","block_type":"box","text":"of a senior-subordinate structure, over-collateralization or bond insurance, such enhancement may not always be","page_number":39,"box":{"x":69,"y":574,"width":803,"height":11}},{"id":"0ed007fc-9c70-4fe2-992c-17cac1bcd7c9","block_type":"box","text":"present, and may fail to protect a Fund against the risk of loss on default of the collateral. Certain CDO issuers may","page_number":39,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"28fd4dbd-051a-472e-bdf0-4bcd8cdd6184","block_type":"box","text":"use derivatives contracts to create “synthetic” exposure to assets rather than holding such assets directly, which","page_number":39,"box":{"x":69,"y":604,"width":807,"height":11}},{"id":"3af1b9fa-67b5-4be1-ba2a-d469d7f489e9","block_type":"box","text":"entails the risks of derivative instruments described elsewhere in this SAI. CDOs may charge management fees and","page_number":39,"box":{"x":69,"y":619,"width":826,"height":11}},{"id":"e6806a3e-1794-4650-b7c8-9cd5bafa781b","block_type":"box","text":"administrative expenses, which are in addition to those of a Fund.","page_number":39,"box":{"x":69,"y":634,"width":469,"height":11}},{"id":"e23fe97d-12c7-4861-aa87-18e3ba3e89da","block_type":"box","text":"For both CBOs and CLOs, the cash flows from the SPE are split into two or more portions, called tranches,","page_number":39,"box":{"x":102,"y":657,"width":758,"height":11}},{"id":"23849f31-84bc-45f6-826e-cc09307e0238","block_type":"box","text":"varying in risk and yield. The riskiest portion is the “equity” tranche, which bears the first loss from defaults from the","page_number":39,"box":{"x":68,"y":672,"width":836,"height":11}},{"id":"b2a7366e-dacc-4cb2-bb6b-56606e3a6821","block_type":"box","text":"bonds or loans in the SPE and serves to protect the other, more senior tranches from default (though such protection","page_number":39,"box":{"x":69,"y":687,"width":838,"height":11}},{"id":"c4600b4c-9c41-4f02-b817-164f32e8ca7f","block_type":"box","text":"is not complete). Since it is partially protected from defaults, a senior tranche from a CBO or CLO typically has higher","page_number":39,"box":{"x":70,"y":702,"width":835,"height":12}},{"id":"45989316-4b3e-4470-9914-da9879455836","block_type":"box","text":"ratings and lower yields than its underlying securities, and may be rated investment grade. Despite the protection","page_number":39,"box":{"x":69,"y":718,"width":808,"height":11}},{"id":"248bf05a-7704-4dab-8c9a-b5e937d94188","block_type":"box","text":"from the equity tranche, CBO or CLO tranches can experience substantial losses due to actual defaults, downgrades","page_number":39,"box":{"x":68,"y":732,"width":830,"height":12}},{"id":"08f6a8e7-6e7e-4583-ba06-c1875dae3799","block_type":"box","text":"of the underlying collateral by rating agencies, forced liquidation of the collateral pool due to a failure of coverage","page_number":39,"box":{"x":69,"y":748,"width":806,"height":11}},{"id":"b8a3667e-0020-405c-8909-962c66927ea0","block_type":"box","text":"tests, increased sensitivity to defaults due to collateral default and disappearance of protecting tranches, market","page_number":39,"box":{"x":68,"y":763,"width":809,"height":11}},{"id":"5dbc4f6c-3eb8-4f91-b3a0-bfe230fa779a","block_type":"box","text":"anticipation of defaults as well as investor aversion to CBO or CLO securities as a class. Interest on certain tranches","page_number":39,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"abd0f68d-4a3a-4e45-9362-329efdcd6b2e","block_type":"box","text":"of a CDO may be paid in kind or deferred and capitalized (paid in the form of obligations of the same type rather than","page_number":39,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"e5f19377-bdc2-4887-a908-2764a6823999","block_type":"box","text":"cash), which involves continued exposure to default risk with respect to such payments.","page_number":39,"box":{"x":69,"y":808,"width":625,"height":11}},{"id":"950a3822-5e9f-4ce8-aa96-910361c1fa8d","block_type":"box","text":"The risks of an investment in a CDO depend largely on the type of the collateral securities and the class of the","page_number":39,"box":{"x":101,"y":831,"width":789,"height":11}},{"id":"4307fc5e-8a22-4eef-9b48-332d59b6354a","block_type":"box","text":"CDO in which a Fund invests. Normally, CBOs, CLOs and other CDOs are privately offered and sold, and thus are not","page_number":39,"box":{"x":69,"y":846,"width":830,"height":11}},{"id":"11204b24-a584-4ac6-a201-b8a6c3666c0a","block_type":"box","text":"registered under the securities laws. However, an active dealer market may exist for CDOs, allowing a CDO to qualify","page_number":39,"box":{"x":69,"y":861,"width":830,"height":11}},{"id":"cb9348e4-bc5a-44a8-a639-d8f621ec8f5e","block_type":"box","text":"for Rule 144A transactions. In addition to the normal risks associated with fixed-income securities and asset-backed","page_number":39,"box":{"x":68,"y":876,"width":831,"height":9}},{"id":"068ff577-d798-464d-8c1e-b89a2ad7c41b","block_type":"box","text":"securities generally discussed elsewhere in this SAI, CDOs carry additional risks including, but not limited to: (i) the","page_number":39,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"19694f63-5a8b-43ce-befc-a62756c5e3ab","block_type":"box","text":"possibility that distributions from collateral securities will not be adequate to make interest or other payments; (ii) the","page_number":39,"box":{"x":70,"y":906,"width":838,"height":12}},{"id":"9dd15781-cdb4-4c83-a1e7-cec09121ab59","block_type":"box","text":"II-3","page_number":39,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"fba878c8-4614-4a07-8e48-ec99bcc0a488","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":39,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3de036d2-f030-4b70-9ad0-d233bc7961d5","block_type":"box","text":"risk that the collateral may default or decline in value or be downgraded, if rated by a nationally recognized statistical","page_number":40,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"079fdda9-700a-4681-a772-28b3b7b358de","block_type":"box","text":"rating organization (“NRSRO”); (iii) a Fund may invest in tranches of CDOs that are subordinate to other tranches;","page_number":40,"box":{"x":69,"y":60,"width":807,"height":11}},{"id":"d304b890-4f91-4103-a64d-a5a4d2eb95dc","block_type":"box","text":"(iv) the structure and complexity of the transaction and the legal documents could lead to disputes among investors","page_number":40,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"88ba8de5-bd66-485a-a079-5c64aaedcb25","block_type":"box","text":"regarding the characterization of proceeds; (v) the investment return achieved by the Fund could be significantly","page_number":40,"box":{"x":69,"y":90,"width":795,"height":11}},{"id":"0b74e0c1-858c-4981-8449-3de4ca224c50","block_type":"box","text":"different than those predicted by financial models; (vi) the lack of a readily available secondary market for CDOs;","page_number":40,"box":{"x":69,"y":105,"width":804,"height":11}},{"id":"03abe53d-99aa-4906-93d6-1c620059be4b","block_type":"box","text":"(vii) the risk of forced “fire sale” liquidation due to technical defaults such as coverage test failures; and (viii) the","page_number":40,"box":{"x":69,"y":120,"width":805,"height":12}},{"id":"788b7869-b88f-4bda-86c1-44ce357d60d5","block_type":"box","text":"CDO’s manager may perform poorly.","page_number":40,"box":{"x":69,"y":135,"width":257,"height":12}},{"id":"4e89d50c-6f56-4644-a6ac-bf8306b6e3a0","block_type":"box","text":"Commercial Paper.","page_number":40,"box":{"x":102,"y":158,"width":136,"height":11}},{"id":"ba6b1782-3749-4878-b6e0-eaf82112460a","block_type":"box","text":"Certain Funds may purchase commercial paper. Commercial paper purchasable by each","page_number":40,"box":{"x":244,"y":158,"width":626,"height":11}},{"id":"0b489c3d-00a7-4d1f-9fea-9018d32734e5","block_type":"box","text":"Fund includes “Section 4(a)(2) paper,” a term that includes debt obligations issued in reliance on the “private","page_number":40,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"9338bd0e-5d8d-43b2-9ee6-fd4a11534829","block_type":"box","text":"placement” exemption from registration afforded by Section 4(a)(2) of the Securities Act. Section 4(a)(2) paper is","page_number":40,"box":{"x":70,"y":188,"width":806,"height":12}},{"id":"df3043ca-7e21-43ee-92ad-79f1c0f87e57","block_type":"box","text":"restricted as to disposition under the Federal securities laws, and is frequently sold (and resold) to institutional","page_number":40,"box":{"x":69,"y":203,"width":792,"height":12}},{"id":"fde391d4-b8c5-4a5b-866f-ced1b0d743fd","block_type":"box","text":"investors such as the Fund through or with the assistance of investment dealers who make a market in the Section","page_number":40,"box":{"x":70,"y":218,"width":820,"height":12}},{"id":"b24f64cf-c96b-4c0d-9335-2dbdbef46cb5","block_type":"box","text":"4(a)(2) paper, thereby providing liquidity. Certain transactions in Section 4(a)(2) paper may qualify for the registration","page_number":40,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"ba4d77eb-a0ed-40c2-b5b9-e48036cb6d05","block_type":"box","text":"exemption provided in Rule 144A under the Securities Act. Most Funds can purchase commercial paper rated (at the","page_number":40,"box":{"x":69,"y":249,"width":831,"height":11}},{"id":"720723d2-eb21-44d8-9c4b-2420fe3184ae","block_type":"box","text":"time of purchase) “A-1” by S&P or “Prime-1” by Moody’s or when deemed advisable by a Fund’s Manager or sub","page_number":40,"box":{"x":68,"y":264,"width":805,"height":11}},{"id":"529a74b8-ea7f-44fd-9c7a-89c8a9118193","block_type":"box","text":"adviser, “high quality” issues rated “A-2”, “Prime-2” or “F-2” by S&P, Moody’s or Fitch, respectively.","page_number":40,"box":{"x":69,"y":279,"width":707,"height":11}},{"id":"b683d535-0df6-4561-9f7d-09c36f2b7aed","block_type":"box","text":"Commercial paper is generally considered to be short-term unsecured debt of corporations. Like all fixed income","page_number":40,"box":{"x":102,"y":302,"width":801,"height":11}},{"id":"d60597a4-fc64-40e2-933d-6658c278949b","block_type":"box","text":"securities, commercial paper prices are susceptible to fluctuations in interest rates. If interest rates rise, commercial","page_number":40,"box":{"x":69,"y":317,"width":836,"height":11}},{"id":"dac06a2b-1646-496a-ba95-9ffbb49f561c","block_type":"box","text":"paper prices will decline and vice versa. However, the short-term nature of a commercial paper investment generally","page_number":40,"box":{"x":70,"y":332,"width":826,"height":11}},{"id":"1491e646-a78b-4813-9fb8-a36b9ec611d2","block_type":"box","text":"makes it less susceptible to volatility than many other fixed income securities because interest rate risk typically","page_number":40,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"789d68b2-9130-45f0-8997-70e6206670c5","block_type":"box","text":"increases as maturity lengths increase. Commercial paper tends to yield smaller returns than longer-term corporate","page_number":40,"box":{"x":70,"y":362,"width":822,"height":11}},{"id":"058868c8-c998-474a-a545-14d7653b7134","block_type":"box","text":"debt because securities with shorter maturities typically have lower effective yields than those with longer maturities.","page_number":40,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"f3259d60-46c4-46c5-9182-aa40eae6faff","block_type":"box","text":"Commodity-Linked Derivative Instruments and Hybrid Instruments.","page_number":40,"box":{"x":102,"y":400,"width":483,"height":11}},{"id":"472106c9-adb3-4d84-b7ae-7e3ed9aac106","block_type":"box","text":"Certain Funds seek to gain exposure to the","page_number":40,"box":{"x":591,"y":400,"width":308,"height":11}},{"id":"af033956-7f10-44d3-a227-04250b6c6e1f","block_type":"box","text":"commodities markets primarily through investments in hybrid instruments. Hybrid instruments are either equity or","page_number":40,"box":{"x":69,"y":415,"width":809,"height":11}},{"id":"738b0588-7281-4491-86b9-462770964e92","block_type":"box","text":"debt derivative securities with one or more commodity-dependent components that have payment features similar to","page_number":40,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"a9afb306-8345-4906-b18c-8e936e05bd7d","block_type":"box","text":"a commodity futures contract, a commodity option contract, or a combination of both. Therefore, these instruments","page_number":40,"box":{"x":69,"y":445,"width":822,"height":11}},{"id":"e4fba2f4-9e1b-4440-8ed4-5fd445de199d","block_type":"box","text":"are “commodity-linked.” They are considered “hybrid” instruments because they have both commodity-like and","page_number":40,"box":{"x":69,"y":461,"width":787,"height":11}},{"id":"059ccac0-0603-426a-a0e2-ac69c4629941","block_type":"box","text":"security-like characteristics. Hybrid instruments are derivative instruments because at least part of their value is","page_number":40,"box":{"x":69,"y":475,"width":801,"height":12}},{"id":"67f75b37-c962-4cd2-acc2-27a9746af0de","block_type":"box","text":"derived from the value of an underlying commodity, futures contract, index or other readily measurable economic","page_number":40,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"fea769b5-99da-4693-b51d-b0e4faa9f59b","block_type":"box","text":"variable.","page_number":40,"box":{"x":68,"y":506,"width":59,"height":9}},{"id":"47cc61cd-ac8e-48b8-886a-41fe680bcda8","block_type":"box","text":"The prices of commodity-linked derivative instruments may move in different directions than investments in","page_number":40,"box":{"x":101,"y":528,"width":763,"height":12}},{"id":"7d2bfba8-4743-47e0-891f-73c0ddf1fde0","block_type":"box","text":"traditional equity and debt securities when the value of those traditional securities is declining due to adverse","page_number":40,"box":{"x":68,"y":543,"width":783,"height":12}},{"id":"e0ce1f5e-f52f-410b-8566-ce94a799f220","block_type":"box","text":"economic conditions. As an example, during periods of rising inflation, debt securities have historically tended to","page_number":40,"box":{"x":69,"y":559,"width":802,"height":11}},{"id":"48610bf3-5f06-4236-b600-5e8b32daf87e","block_type":"box","text":"decline in value due to the general increase in prevailing interest rates. Conversely, during those same periods of","page_number":40,"box":{"x":69,"y":574,"width":808,"height":11}},{"id":"da6c8aba-dd99-48a2-8904-374dea6e0692","block_type":"box","text":"rising inflation, the prices of certain commodities, such as oil and metals, have historically tended to increase. Of","page_number":40,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"d76835b8-dcb1-41d6-916a-ca962741e776","block_type":"box","text":"course, there cannot be any guarantee that these investments will perform in that manner in the future, and at","page_number":40,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"8e7ef562-2d20-495d-b50e-11307c412452","block_type":"box","text":"certain times the price movements of commodity-linked instruments have been parallel to those of debt and equity","page_number":40,"box":{"x":69,"y":619,"width":819,"height":11}},{"id":"16c3cd53-0207-44ce-bddb-7cca35bc7a4a","block_type":"box","text":"securities. Commodities have historically tended to increase and decrease in value during different parts of the","page_number":40,"box":{"x":69,"y":634,"width":795,"height":12}},{"id":"5fc5e7bd-3206-4a4e-bff5-1993011431e7","block_type":"box","text":"business cycle than financial assets. Nevertheless, at various times, commodities prices may move in tandem with","page_number":40,"box":{"x":69,"y":649,"width":822,"height":12}},{"id":"f794f3d1-455c-4d0a-8b1b-dea29be78792","block_type":"box","text":"the prices of financial assets and thus may not provide overall portfolio diversification benefits. Under favorable","page_number":40,"box":{"x":68,"y":664,"width":797,"height":12}},{"id":"01c06837-9d41-4d92-bfeb-97f3c87b1fca","block_type":"box","text":"economic conditions, the Fund’s investments may be expected to under-perform an investment in traditional","page_number":40,"box":{"x":69,"y":680,"width":772,"height":11}},{"id":"3066e6f5-d6ef-4de5-b886-20101e45f556","block_type":"box","text":"securities. Over the long term, the returns on the Fund’s investments are expected to exhibit low or negative","page_number":40,"box":{"x":69,"y":695,"width":773,"height":11}},{"id":"cca3ee18-e989-4677-8982-90af237d72dd","block_type":"box","text":"correlation with stocks and bonds.","page_number":40,"box":{"x":69,"y":710,"width":244,"height":9}},{"id":"0bc1c00e-1d3f-4df3-8eca-8645ecfa0965","block_type":"box","text":"Qualifying Hybrid Instruments.","page_number":40,"box":{"x":102,"y":732,"width":212,"height":12}},{"id":"1c2bc023-8782-4a4e-986b-c04d5cca6e88","block_type":"box","text":"Certain Funds may invest in hybrid instruments that qualify for exclusion from","page_number":40,"box":{"x":320,"y":732,"width":552,"height":12}},{"id":"cf05ce0b-07b5-4bfe-ad7c-dc7444523623","block_type":"box","text":"regulation under the Commodity Exchange Act and the regulations adopted thereunder. A hybrid instrument that","page_number":40,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"16ee1383-c26f-463d-a900-08b23b8a6c88","block_type":"box","text":"qualifies for this exclusion from regulation must be “predominantly a security.” A hybrid instrument is considered to","page_number":40,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"9a8cb097-4003-4eda-92da-1583b52444f1","block_type":"box","text":"be predominantly a security if (a) the issuer of the hybrid instrument receives payment in full of the purchase price of","page_number":40,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"22603e05-9c08-4a21-ab61-98b45914e1da","block_type":"box","text":"the hybrid instrument, substantially contemporaneously with delivery of the hybrid instrument; (b) the purchaser or","page_number":40,"box":{"x":68,"y":793,"width":816,"height":11}},{"id":"8d80687d-7910-4553-bd9d-306091f3025d","block_type":"box","text":"holder of the hybrid instrument is not required to make any payment to the issuer in addition to the purchase price","page_number":40,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"a22d1a8f-aa85-4333-aec4-3d1e78f45c13","block_type":"box","text":"paid under subparagraph (a), whether as margin, settlement payment, or otherwise, during the life of the hybrid","page_number":40,"box":{"x":70,"y":823,"width":793,"height":12}},{"id":"d52b8bea-3354-45f5-9045-a185519cd1a8","block_type":"box","text":"instrument or at maturity; (c) the issuer of the hybrid instrument is not subject by the terms of the instrument to","page_number":40,"box":{"x":70,"y":838,"width":798,"height":11}},{"id":"1f54657d-21ef-454d-ad33-adf4bc082403","block_type":"box","text":"mark-to-market margining requirements; and (d) the hybrid instrument is not marketed as a contract of sale of a","page_number":40,"box":{"x":69,"y":853,"width":797,"height":12}},{"id":"ea48396d-909b-4140-836a-e20b92d7c045","block_type":"box","text":"commodity for future delivery (or option on such a contract) subject to applicable provisions of the Commodity","page_number":40,"box":{"x":69,"y":869,"width":783,"height":11}},{"id":"43145548-5376-42f1-b1db-bc3205449153","block_type":"box","text":"Exchange Act. Hybrid instruments may be principal protected, partially protected, or offer no principal protection. A","page_number":40,"box":{"x":70,"y":884,"width":816,"height":11}},{"id":"0103abb3-a506-472b-b2c1-e42ab3be24fa","block_type":"box","text":"principal protected hybrid instrument means that the issuer will pay, at a minimum, the par value of the note at","page_number":40,"box":{"x":70,"y":899,"width":791,"height":11}},{"id":"c15d1ad2-0f2b-4565-bb9c-66377e6d88b6","block_type":"box","text":"II-4","page_number":40,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"8afaf650-39e4-4f1a-b2b9-26470635c91a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":40,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"df61d4a3-005d-4cb7-9bb5-bdb68c400420","block_type":"box","text":"maturity. Therefore, if the commodity value to which the hybrid instrument is linked declines over the life of the note,","page_number":41,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"d9899418-68c8-4c1b-8ab5-43dd85f506c3","block_type":"box","text":"the Fund will receive at maturity the face or stated value of the note. With a principal protected hybrid instrument, the","page_number":41,"box":{"x":68,"y":60,"width":837,"height":11}},{"id":"be31e5b3-d4d6-4134-bc9a-bfecc9abcda7","block_type":"box","text":"Fund will receive at maturity the greater of the par value of the note or the increase in its value based on the","page_number":41,"box":{"x":70,"y":75,"width":772,"height":11}},{"id":"4d4de293-5ee8-4450-8d09-8db36deba7c4","block_type":"box","text":"underlying commodity or index. This protection is, in effect, an option whose value is subject to the volatility and price","page_number":41,"box":{"x":69,"y":90,"width":839,"height":11}},{"id":"c12c14be-0dae-442c-8aa1-4ad93c5faeba","block_type":"box","text":"level of the underlying commodity. The Manager’s decision whether to use principal protection depends in part on the","page_number":41,"box":{"x":70,"y":105,"width":835,"height":11}},{"id":"6517d6bd-91d6-4237-8b37-e742203f4b2d","block_type":"box","text":"cost of the protection. In addition, the protection feature depends upon the ability of the issuer to meet its obligation","page_number":41,"box":{"x":69,"y":120,"width":833,"height":12}},{"id":"ba67c140-656e-47c6-908b-520ca8df43ae","block_type":"box","text":"to buy back the security, and, therefore, depends on the creditworthiness of the issuer. With full principal protection,","page_number":41,"box":{"x":68,"y":135,"width":831,"height":11}},{"id":"1c934e6f-7879-4459-a2c4-2560ec994a9d","block_type":"box","text":"the Fund will receive at maturity of the hybrid instrument either the stated par value of the hybrid instrument, or","page_number":41,"box":{"x":68,"y":150,"width":795,"height":12}},{"id":"43092903-073d-44a0-aaae-12e1a6f7ca5e","block_type":"box","text":"potentially, an amount greater than the stated par value if the underlying commodity, index, futures contract or","page_number":41,"box":{"x":70,"y":166,"width":784,"height":11}},{"id":"8cccf504-9226-4aaf-b8b3-08d00eed07ef","block_type":"box","text":"economic variable to which the hybrid instrument is linked has increased in value. Partially protected hybrid","page_number":41,"box":{"x":69,"y":181,"width":765,"height":11}},{"id":"0342e811-3422-4b04-abb3-f3ef986c9da4","block_type":"box","text":"instruments may suffer some loss of principal if the underlying commodity, index, futures contract or economic","page_number":41,"box":{"x":70,"y":196,"width":788,"height":11}},{"id":"7cc9c9ce-89cf-42ed-82dc-82e5e7565ac7","block_type":"box","text":"variable to which the hybrid instrument is linked declines in value during the term of the hybrid instrument. However,","page_number":41,"box":{"x":68,"y":211,"width":828,"height":11}},{"id":"2bc9f981-fa1b-44b0-96ba-0d74b6a0f76a","block_type":"box","text":"partially protected hybrid instruments have a specified limit as to the amount of principal that they may lose.","page_number":41,"box":{"x":70,"y":226,"width":773,"height":11}},{"id":"a1c6a588-3149-4bd5-aa5b-e3cbc4708b40","block_type":"box","text":"Hybrid Instruments Without Principal Protection.","page_number":41,"box":{"x":102,"y":249,"width":339,"height":11}},{"id":"835f0bfe-db33-4e12-87d1-18890898447e","block_type":"box","text":"Certain Funds may invest in hybrid instruments that offer no","page_number":41,"box":{"x":448,"y":249,"width":429,"height":11}},{"id":"09e2e60e-59c9-4ffa-bd13-5469afbed9a1","block_type":"box","text":"principal protection. At maturity, there is a risk that the underlying commodity price, futures contract, index or other","page_number":41,"box":{"x":70,"y":264,"width":818,"height":11}},{"id":"cd059dd7-3fdf-4794-92b1-ede6ab9fb98f","block_type":"box","text":"economic variable may have declined sufficiently in value such that some or all of the face value of the hybrid","page_number":41,"box":{"x":69,"y":279,"width":780,"height":11}},{"id":"58af1f1a-0757-4a05-b627-fa9bb5aaf50d","block_type":"box","text":"instrument might not be returned. The Manager, at its discretion, may invest in a partially protected principal","page_number":41,"box":{"x":70,"y":294,"width":773,"height":11}},{"id":"d827272f-9db4-493c-9712-0fcfcaa6c1c0","block_type":"box","text":"structured note or a note without principal protection. In deciding to purchase a note without principal protection, the","page_number":41,"box":{"x":69,"y":309,"width":832,"height":11}},{"id":"e8e9ade9-c31d-4c6e-930b-31436edf3fe4","block_type":"box","text":"Manager may consider, among other things, the expected performance of the underlying commodity futures contract,","page_number":41,"box":{"x":70,"y":324,"width":831,"height":12}},{"id":"892a227a-e196-4ca6-9437-1017042d59fd","block_type":"box","text":"index or other economic variable over the term of the note, the cost of the note, and any other economic factors that","page_number":41,"box":{"x":70,"y":339,"width":831,"height":12}},{"id":"679c90ab-f557-4ad8-8a9e-d3283807a0c4","block_type":"box","text":"the Manager believes are relevant.","page_number":41,"box":{"x":68,"y":355,"width":247,"height":11}},{"id":"b23020c1-bdbe-4647-b31c-bb11c4e83d13","block_type":"box","text":"Limitations on Leverage.","page_number":41,"box":{"x":102,"y":377,"width":173,"height":12}},{"id":"c5313681-f4c2-4892-ac57-6804a87b11e1","block_type":"box","text":"Some of the hybrid instruments in which a Fund may invest may involve leverage. To","page_number":41,"box":{"x":281,"y":377,"width":598,"height":12}},{"id":"d6d06710-51ef-4b81-908d-3957ef50e249","block_type":"box","text":"avoid being subject to undue leverage risk, a Fund will seek to limit the amount of economic leverage it has under any","page_number":41,"box":{"x":69,"y":392,"width":840,"height":12}},{"id":"3fafaacf-17c1-4948-bebc-3a2dfdbde9d5","block_type":"box","text":"one hybrid instrument that it buys and the leverage of the Fund’s overall portfolio. A Fund will not invest in a hybrid","page_number":41,"box":{"x":69,"y":407,"width":816,"height":12}},{"id":"03ef8aa1-6c5c-4620-848f-4486ce75bd6a","block_type":"box","text":"instrument if, at the time of purchase: (i) that instrument’s “leverage ratio” exceeds 300% of the price increase in","page_number":41,"box":{"x":70,"y":423,"width":812,"height":11}},{"id":"be44b278-f0b4-46a0-ac55-359731b986b8","block_type":"box","text":"the underlying commodity, futures contract, index or other economic variable or (ii) the Fund’s “portfolio leverage","page_number":41,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"94d0b13b-cd55-4f79-967d-33ff7ec03071","block_type":"box","text":"ratio” exceeds 150%, measured at the time of purchase. “Leverage ratio” is the expected increase in the value of a","page_number":41,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"f63d3dd2-430c-4889-a297-19a8bbdce1d5","block_type":"box","text":"hybrid instrument, assuming a one percent price increase in the underlying commodity, futures contract, index or","page_number":41,"box":{"x":69,"y":468,"width":803,"height":11}},{"id":"92c0cbff-7dd5-4abc-9a6b-4f3f89f4d151","block_type":"box","text":"other economic factor. In other words, for a hybrid instrument with a leverage factor of 150%, a 1% gain in the","page_number":41,"box":{"x":69,"y":483,"width":783,"height":11}},{"id":"786cb507-3bc6-4e66-b17a-eca727e0299e","block_type":"box","text":"underlying economic variable would be expected to result in a 1.5% gain in value for the hybrid instrument.","page_number":41,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"61b57e7c-21b0-4388-9ac7-e538f7f91ac4","block_type":"box","text":"Conversely, a hybrid instrument with a leverage factor of 150% would suffer a 1.5% loss if the underlying economic","page_number":41,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"4a162cb3-5cbe-4301-8900-e6b91ba66f10","block_type":"box","text":"variable lost 1% of its value. “Portfolio leverage ratio” is defined as the average (mean) leverage ratio of all","page_number":41,"box":{"x":68,"y":528,"width":763,"height":12}},{"id":"0a408be9-945a-4149-a1bc-d4a2d27a4888","block_type":"box","text":"instruments in a Fund’s portfolio, weighted by the market values of such instruments or, in the case of futures","page_number":41,"box":{"x":70,"y":543,"width":787,"height":12}},{"id":"d88d51b2-5b90-4725-8402-5894b72deeae","block_type":"box","text":"contracts, their notional values. A Fund may at times or from time to time decide not to use leverage in its","page_number":41,"box":{"x":69,"y":559,"width":757,"height":11}},{"id":"1ef70a71-d3f3-44c6-83f8-6204fbe41916","block_type":"box","text":"investments or use less leverage than may otherwise be allowable.","page_number":41,"box":{"x":70,"y":574,"width":477,"height":11}},{"id":"3562b3c8-e383-4deb-b047-e0888a8bed5b","block_type":"box","text":"Counterpar ty Risk.","page_number":41,"box":{"x":102,"y":597,"width":130,"height":11}},{"id":"efe109d3-b288-4b85-b679-4c7fa6c308ec","block_type":"box","text":"A significant risk of hybrid instruments is counterparty risk. Unlike exchange-traded futures","page_number":41,"box":{"x":238,"y":596,"width":646,"height":12}},{"id":"017bbe83-e28b-41e9-93c7-96123f7b1bcc","block_type":"box","text":"and options, which are standard contracts, hybrid instruments are customized securities, tailor-made by a specific","page_number":41,"box":{"x":69,"y":612,"width":813,"height":11}},{"id":"0803cd35-f326-46c6-b1f0-3954954d4d75","block_type":"box","text":"issuer. With a listed futures or options contract, an investor’s counterparty is the exchange clearinghouse. Exchange","page_number":41,"box":{"x":70,"y":627,"width":829,"height":11}},{"id":"40e99ac2-f8bc-45f2-9c2d-162b02cb63a5","block_type":"box","text":"clearinghouses are capitalized by the exchange members and typically have high investment grade ratings (","page_number":41,"box":{"x":69,"y":642,"width":763,"height":11}},{"id":"9b43f0b9-145e-4081-b90a-c30baab607f1","block_type":"box","text":"e.g.","page_number":41,"box":{"x":834,"y":643,"width":25,"height":10}},{"id":"447b1984-fe51-4e76-a99f-b667efb44833","block_type":"box","text":",","page_number":41,"box":{"x":861,"y":649,"width":2,"height":3}},{"id":"1c266007-ef26-4a06-a821-e9dcfcadfd68","block_type":"box","text":"ratings of AAA or AA by S&P). Therefore, the risk is small that an exchange clearinghouse might be unable to meet its","page_number":41,"box":{"x":69,"y":657,"width":836,"height":11}},{"id":"f25589b7-68f2-4c7d-a8d8-6340da2b805d","block_type":"box","text":"obligations at maturity. However, with a hybrid instrument, a Fund will take on the counterparty credit risk of the","page_number":41,"box":{"x":69,"y":672,"width":795,"height":11}},{"id":"7eb00b6a-967d-428e-b8b1-a002233c64f6","block_type":"box","text":"issuer. That is, at maturity of the hybrid instrument, there is a risk that the issuer may be unable to perform its","page_number":41,"box":{"x":70,"y":687,"width":791,"height":11}},{"id":"8dd34fdb-d7b3-49a9-861a-bba6a7b682a5","block_type":"box","text":"obligations under the structured note.","page_number":41,"box":{"x":69,"y":703,"width":268,"height":11}},{"id":"790b859b-3472-4908-b7b8-0f7f90a18273","block_type":"box","text":"Convertible Securities.","page_number":41,"box":{"x":102,"y":725,"width":165,"height":9}},{"id":"4f8d56b9-67b5-40f8-8629-28793259d590","block_type":"box","text":"A convertible security is a bond, debenture, note, preferred stock or other security that","page_number":41,"box":{"x":273,"y":725,"width":619,"height":11}},{"id":"334bf00c-ceb6-4b5a-854a-b8831360a77e","block_type":"box","text":"may be converted into or exchanged for a prescribed amount of common stock or other equity security of the same or","page_number":41,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"a280e04b-ff6f-4fa0-be97-da26ec9eb381","block_type":"box","text":"a different issuer within a particular period of time at a specified price or formula. A convertible security entitles the","page_number":41,"box":{"x":69,"y":755,"width":826,"height":11}},{"id":"8cfac159-b051-4d28-85f4-8ef123b32ae5","block_type":"box","text":"holder to receive interest paid or accrued on debt or the dividend paid on preferred stock until the convertible","page_number":41,"box":{"x":69,"y":770,"width":781,"height":11}},{"id":"d4eaa41b-fc97-4117-8268-9f3bd9661817","block_type":"box","text":"security matures or is redeemed, converted or exchanged. Before conversion, convertible securities have","page_number":41,"box":{"x":69,"y":785,"width":750,"height":12}},{"id":"6088d840-2046-437c-b6b3-cb8e1cb12908","block_type":"box","text":"characteristics similar to nonconvertible income securities in that they ordinarily provide a stable stream of income","page_number":41,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"51c458ce-3925-419c-9e6f-a1a39f7a5eff","block_type":"box","text":"with generally higher yields than those of common stocks of the same or similar issuers, but lower yields than","page_number":41,"box":{"x":68,"y":816,"width":784,"height":11}},{"id":"782c54e0-4d8f-4484-8001-a012f3114cf6","block_type":"box","text":"comparable nonconvertible securities. The value of a convertible security is influenced by changes in interest rates,","page_number":41,"box":{"x":69,"y":831,"width":823,"height":11}},{"id":"f77418cf-d320-4b7d-a690-5ddfe9166944","block_type":"box","text":"with investment value declining as interest rates increase and increasing as interest rates decline. The credit","page_number":41,"box":{"x":68,"y":846,"width":780,"height":11}},{"id":"88a6d40c-345e-4fa4-a5b0-2401156eadba","block_type":"box","text":"standing of the issuer and other factors also may have an effect on the convertible security’s investment value.","page_number":41,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"579022fe-d9e7-4b9d-bdc7-b480219eb979","block_type":"box","text":"Convertible securities rank senior to common stock in a corporation’s capital structure but are usually subordinated","page_number":41,"box":{"x":69,"y":876,"width":826,"height":11}},{"id":"4ade1daa-2983-40d1-aa7d-4eb4c40e09f8","block_type":"box","text":"to comparable nonconvertible securities. Convertible securities may be subject to redemption at the option of the","page_number":41,"box":{"x":68,"y":891,"width":811,"height":11}},{"id":"e67bad81-ba52-4a63-a335-1cdfad434f9a","block_type":"box","text":"issuer at a price established in the convertible security’s governing instrument.","page_number":41,"box":{"x":70,"y":907,"width":563,"height":11}},{"id":"2127f8ca-88c6-4f7b-9fa2-25b35e615d94","block_type":"box","text":"II-5","page_number":41,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"82503859-5a60-4484-824a-82229ab1235f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":41,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0608c21a-d81d-4799-9653-2daa56cf629c","block_type":"box","text":"The characteristics of convertible securities make them potentially attractive investments for an investment","page_number":42,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"6d01dfb9-138c-4598-9c3a-59b8f19d82b5","block_type":"box","text":"company seeking a high total return from capital appreciation and investment income. These characteristics include","page_number":42,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"9800029f-0374-42cd-b788-2ae014f173e0","block_type":"box","text":"the potential for capital appreciation as the value of the underlying common stock increases, the relatively high yield","page_number":42,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"c6c7f76d-5e8d-462c-8a17-41a6b7c6aa75","block_type":"box","text":"received from dividend or interest payments as compared to common stock dividends and decreased risks of decline","page_number":42,"box":{"x":69,"y":90,"width":834,"height":11}},{"id":"7a8bc2e5-ac23-496d-b7fa-3406e9c8764c","block_type":"box","text":"in value relative to the underlying common stock due to their fixed-income nature. As a result of the conversion","page_number":42,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"3e5bf75c-de5d-46b3-9639-e4557d09f247","block_type":"box","text":"feature, however, the interest rate or dividend preference on a convertible security is generally less than would be the","page_number":42,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"5d1eff48-e429-4657-9624-30bd54aa4c6e","block_type":"box","text":"case if the securities were issued in nonconvertible form.","page_number":42,"box":{"x":69,"y":135,"width":409,"height":9}},{"id":"d2a2adaa-a28e-42be-83ac-2a83b66a50d5","block_type":"box","text":"In analyzing convertible securities, the Manager will consider both the yield on the convertible security relative to","page_number":42,"box":{"x":102,"y":158,"width":802,"height":11}},{"id":"04c27e30-9227-4017-a171-8133a2989e7c","block_type":"box","text":"its credit quality and the potential capital appreciation that is offered by the underlying common stock, among other","page_number":42,"box":{"x":70,"y":173,"width":824,"height":11}},{"id":"95763056-16cc-4848-8052-fab029703d45","block_type":"box","text":"things.","page_number":42,"box":{"x":68,"y":188,"width":47,"height":12}},{"id":"afee0555-05e8-43b2-9c64-e1df723d944f","block_type":"box","text":"Convertible securities are issued and traded in a number of securities markets. Even in cases where a","page_number":42,"box":{"x":102,"y":211,"width":731,"height":9}},{"id":"e6fca108-71eb-43a4-b2fb-abb1b695fcbc","block_type":"box","text":"substantial portion of the convertible securities held by a Fund are denominated in U.S. dollars, the underlying equity","page_number":42,"box":{"x":69,"y":226,"width":836,"height":11}},{"id":"79d4b871-8986-4885-a25a-fba57d40f4e1","block_type":"box","text":"securities may be quoted in the currency of the country where the issuer is domiciled. As a result, fluctuations in the","page_number":42,"box":{"x":69,"y":241,"width":832,"height":11}},{"id":"d2104b97-f2dc-4af4-82a7-c1853f803d0c","block_type":"box","text":"exchange rate between the currency in which the debt security is denominated and the currency in which the share","page_number":42,"box":{"x":69,"y":257,"width":818,"height":11}},{"id":"cfbd68a6-9ba2-4559-8280-05dc58cb12fc","block_type":"box","text":"price is quoted will affect the value of the convertible security. With respect to convertible securities denominated in","page_number":42,"box":{"x":70,"y":271,"width":828,"height":12}},{"id":"1af64d92-ab90-47a0-8505-5af670c1083e","block_type":"box","text":"a currency different from that of the underlying equity securities, the conversion price may be based on a fixed","page_number":42,"box":{"x":69,"y":286,"width":786,"height":12}},{"id":"e118b161-7480-4630-bb3b-b91780c02d99","block_type":"box","text":"exchange rate established at the time the security is issued, which may increase the effects of currency risk. As","page_number":42,"box":{"x":69,"y":302,"width":800,"height":11}},{"id":"157914a6-a9e7-4290-8c60-bc90a021027b","block_type":"box","text":"described below, a Fund is authorized to enter into foreign currency hedging transactions in which it may seek to","page_number":42,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"ac72fc91-5b2b-45c7-9737-73b972e6448f","block_type":"box","text":"reduce the effect of exchange rate fluctuations.","page_number":42,"box":{"x":69,"y":332,"width":337,"height":11}},{"id":"00006374-2d85-4717-8afe-46782061fcb5","block_type":"box","text":"Apart from currency considerations, the value of convertible securities is influenced by both the yield on","page_number":42,"box":{"x":101,"y":355,"width":741,"height":11}},{"id":"33eb3bfd-d131-4936-bbf1-c653fee45085","block_type":"box","text":"nonconvertible securities of comparable issuers and by the value of the underlying common stock. The value of a","page_number":42,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"15ed0701-2916-4243-8215-3a11575e7a50","block_type":"box","text":"convertible security viewed without regard to its conversion feature (","page_number":42,"box":{"x":69,"y":385,"width":485,"height":11}},{"id":"1fd8b30c-b23a-4346-9db3-01224de48cfc","block_type":"box","text":"i.e.","page_number":42,"box":{"x":557,"y":385,"width":20,"height":9}},{"id":"48067bd4-da12-4237-b90d-6b62a6e290b8","block_type":"box","text":", strictly on the basis of its yield) is","page_number":42,"box":{"x":579,"y":385,"width":248,"height":11}},{"id":"4dc63773-97bf-4f6e-bfc1-7b3b1d9e483f","block_type":"box","text":"sometimes referred to as its “investment value.” To the extent interest rates change, the investment value of the","page_number":42,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"67e6ffe9-4802-448a-bc4a-87f68d5f8e0b","block_type":"box","text":"convertible security typically will fluctuate. At the same time, however, the value of the convertible security will be","page_number":42,"box":{"x":69,"y":415,"width":807,"height":11}},{"id":"724a9ae7-1e12-478a-b6e2-464d24a017c7","block_type":"box","text":"influenced by its “conversion value,” which is the market value of the underlying common stock that would be","page_number":42,"box":{"x":70,"y":430,"width":778,"height":11}},{"id":"04c6e41b-bb16-4b36-9b74-126b340f55d1","block_type":"box","text":"obtained if the convertible security were converted. Conversion value fluctuates directly with the price of the","page_number":42,"box":{"x":69,"y":445,"width":769,"height":11}},{"id":"a596b3f4-5505-4393-b4c4-c548eaf75dd3","block_type":"box","text":"underlying common stock. If the conversion value of a convertible security is substantially below its investment value,","page_number":42,"box":{"x":69,"y":460,"width":837,"height":12}},{"id":"c1d5e417-2845-4dbb-ae01-f0bf86d1e801","block_type":"box","text":"the price of the convertible security is governed principally by its investment value. To the extent the conversion value","page_number":42,"box":{"x":68,"y":475,"width":837,"height":12}},{"id":"68c7008e-e7ce-4660-a711-c57b5d5ee7fe","block_type":"box","text":"of a convertible security increases to a point that approximates or exceeds its investment value, the price of the","page_number":42,"box":{"x":69,"y":491,"width":800,"height":11}},{"id":"c88d47f4-ae8a-43a4-b8f9-e9711b4a8e98","block_type":"box","text":"convertible security will be influenced principally by its conversion value. A convertible security will sell at a premium","page_number":42,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"58e52594-0ac7-4102-b4fc-3e5168f68dfb","block_type":"box","text":"over the conversion value to the extent investors place value on the right to acquire the underlying common stock","page_number":42,"box":{"x":69,"y":521,"width":808,"height":11}},{"id":"8bbd25d4-3b3a-42b9-8908-3738c12bb5f9","block_type":"box","text":"while holding a fixed-income security. The yield and conversion premium of convertible securities issued in Japan and","page_number":42,"box":{"x":68,"y":536,"width":835,"height":11}},{"id":"01c69094-7fa2-459c-aa74-364eae6a6c62","block_type":"box","text":"the Euromarket are frequently determined at levels that cause the conversion value to affect their market value more","page_number":42,"box":{"x":68,"y":551,"width":836,"height":11}},{"id":"0c4e734f-8fd0-4653-8f68-c40e14929323","block_type":"box","text":"than the securities’ investment value.","page_number":42,"box":{"x":68,"y":566,"width":268,"height":9}},{"id":"a394a902-96f9-4a84-bbbd-459d2645b868","block_type":"box","text":"Holders of convertible securities generally have a claim on the assets of the issuer prior to the common","page_number":42,"box":{"x":102,"y":589,"width":740,"height":11}},{"id":"8f075f5a-b260-4c7c-9579-a58c7bb0c664","block_type":"box","text":"stockholders but may be subordinated to other debt securities of the same issuer. A convertible security may be","page_number":42,"box":{"x":69,"y":604,"width":801,"height":11}},{"id":"48edcde9-17e0-4281-80f0-7a3ba8f5e60b","block_type":"box","text":"subject to redemption at the option of the issuer at a price established in a charter provision, indenture or other","page_number":42,"box":{"x":69,"y":619,"width":800,"height":11}},{"id":"f018f249-5583-4cae-9a0a-8326a0da0aa9","block_type":"box","text":"governing instrument pursuant to which the convertible security was issued. If a convertible security held by a Fund is","page_number":42,"box":{"x":68,"y":634,"width":840,"height":12}},{"id":"93055802-00f3-49b8-8098-7cf07eac61e6","block_type":"box","text":"called for redemption, the Fund will be required to redeem the security, convert it into the underlying common stock","page_number":42,"box":{"x":69,"y":649,"width":823,"height":12}},{"id":"129b90c4-bc2f-473f-a89b-8403989c76c8","block_type":"box","text":"or sell it to a third party. Certain convertible debt securities may provide a put option to the holder, which entitles the","page_number":42,"box":{"x":69,"y":665,"width":835,"height":11}},{"id":"cb670795-3bb3-4415-b176-f975069c8de0","block_type":"box","text":"holder to cause the security to be redeemed by the issuer at a premium over the stated principal amount of the debt","page_number":42,"box":{"x":69,"y":680,"width":832,"height":11}},{"id":"33cdc0ee-db59-437a-be66-99002f83a87e","block_type":"box","text":"security under certain circumstances.","page_number":42,"box":{"x":69,"y":695,"width":267,"height":11}},{"id":"e0002cf4-f37c-426f-9e9e-b2ea40e12d5a","block_type":"box","text":"A Fund may also invest in synthetic convertible securities. Synthetic convertible securities may include either","page_number":42,"box":{"x":101,"y":718,"width":777,"height":11}},{"id":"e8864787-843c-4ef4-a4d3-569d6ccbc4a4","block_type":"box","text":"Cash-Settled Convertibles or Manufactured Convertibles. “Cash-Settled Convertibles” are instruments that are","page_number":42,"box":{"x":69,"y":732,"width":789,"height":10}},{"id":"2d213f58-6428-40a2-8408-712d6dacaef4","block_type":"box","text":"created by the issuer and have the economic characteristics of traditional convertible securities but may not actually","page_number":42,"box":{"x":69,"y":748,"width":831,"height":11}},{"id":"affcb7ac-7adb-4406-8f18-4829295da84e","block_type":"box","text":"permit conversion into the underlying equity securities in all circumstances. As an example, a private company may","page_number":42,"box":{"x":70,"y":763,"width":819,"height":11}},{"id":"2f98f1ca-9924-46ab-b82b-2c30c9ca401b","block_type":"box","text":"issue a Cash-Settled Convertible that is convertible into common stock only if the company successfully completes a","page_number":42,"box":{"x":70,"y":778,"width":833,"height":11}},{"id":"1b7a74c4-fc7a-476e-93bf-1f82cf53fd82","block_type":"box","text":"public offering of its common stock prior to maturity and otherwise pays a cash amount to reflect any equity","page_number":42,"box":{"x":70,"y":793,"width":769,"height":11}},{"id":"e7f6a525-9058-4dca-bed7-5bcd86346108","block_type":"box","text":"appreciation. “Manufactured Convertibles” are created by the Manager or another party by combining separate","page_number":42,"box":{"x":69,"y":808,"width":791,"height":11}},{"id":"e3ae5c79-fb90-4d71-9b5b-1c3ba5903329","block_type":"box","text":"securities that possess one of the two principal characteristics of a convertible security,","page_number":42,"box":{"x":69,"y":823,"width":627,"height":11}},{"id":"29f96ba0-cdb6-4988-a452-ed2ec2341ac8","block_type":"box","text":"i.e.","page_number":42,"box":{"x":703,"y":823,"width":20,"height":9}},{"id":"2c3d48cc-2b0f-4c9b-89eb-52b165e79182","block_type":"box","text":", fixed-income (“fixed","page_number":42,"box":{"x":726,"y":823,"width":151,"height":11}},{"id":"4ea56276-7edb-4e78-a9ca-3f7a4dd8322e","block_type":"box","text":"income component”) or a right to acquire equity securities (“convertibility component”). The fixed-income component","page_number":42,"box":{"x":70,"y":838,"width":830,"height":12}},{"id":"acf00ab1-cc89-48f8-bcac-028e7b75476b","block_type":"box","text":"is achieved by investing in nonconvertible fixed-income securities, such as nonconvertible bonds, preferred stocks","page_number":42,"box":{"x":70,"y":853,"width":814,"height":12}},{"id":"b8c54422-18f0-46d8-9bc6-9cf9ba175419","block_type":"box","text":"and money market instruments. The convertibility component is achieved by investing in call options, warrants, or","page_number":42,"box":{"x":69,"y":869,"width":811,"height":11}},{"id":"81294087-34a0-45d1-8756-86f4708afb89","block_type":"box","text":"other securities with equity conversion features (“equity features”) granting the holder the right to purchase a","page_number":42,"box":{"x":69,"y":884,"width":779,"height":11}},{"id":"51f113be-4820-49b5-9b9e-3c7e5073fb18","block_type":"box","text":"II-6","page_number":42,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"6dc581cb-ddb4-4a4a-9aa6-aaeee4ce3e1a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":42,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cf6b7189-3564-4555-9889-95c63bc5f588","block_type":"box","text":"specified quantity of the underlying stocks within a specified period of time at a specified price or, in the case of a","page_number":43,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"79af9237-44bc-4a4e-bac5-d8671924adc0","block_type":"box","text":"stock index option, the right to receive a cash payment based on the value of the underlying stock index.","page_number":43,"box":{"x":69,"y":60,"width":744,"height":11}},{"id":"7c33cf7d-9d20-40b3-9c1e-30b617a12cee","block_type":"box","text":"A Manufactured Convertible differs from traditional convertible securities in several respects. Unlike a traditional","page_number":43,"box":{"x":101,"y":82,"width":804,"height":11}},{"id":"fc282d97-6276-44b9-a518-8fabf1f9449c","block_type":"box","text":"convertible security, which is a single security that has a unitary market value, a Manufactured Convertible is","page_number":43,"box":{"x":69,"y":98,"width":777,"height":11}},{"id":"12f219d4-1d9d-494f-be07-4219f19b31f6","block_type":"box","text":"comprised of two or more separate securities, each with its own market value. Therefore, the total “market value” of","page_number":43,"box":{"x":69,"y":113,"width":832,"height":11}},{"id":"6e641f7a-9fe2-46dd-9c42-ad6d20484b80","block_type":"box","text":"such a Manufactured Convertible is the sum of the values of its fixed-income component and its convertibility","page_number":43,"box":{"x":69,"y":128,"width":781,"height":11}},{"id":"6f433dca-2fe2-42c8-8427-1e93da97d524","block_type":"box","text":"component.","page_number":43,"box":{"x":69,"y":144,"width":82,"height":10}},{"id":"66aaf4af-6b46-4926-8681-f82838b01cba","block_type":"box","text":"More flexibility is possible in the creation of a Manufactured Convertible than in the purchase of a traditional","page_number":43,"box":{"x":102,"y":166,"width":773,"height":11}},{"id":"337eea86-d2b3-48f2-9349-b082b1b2a59f","block_type":"box","text":"convertible security. Because many corporations have not issued convertible securities, the Manager may combine a","page_number":43,"box":{"x":69,"y":181,"width":833,"height":11}},{"id":"43025bce-0292-40be-b12b-c339f0abb88c","block_type":"box","text":"fixed-income instrument and an equity feature with respect to the stock of the issuer of the fixed-income instrument","page_number":43,"box":{"x":68,"y":196,"width":826,"height":11}},{"id":"3600a03a-ea22-4581-9a7c-29f7eb6f5545","block_type":"box","text":"to create a synthetic convertible security otherwise unavailable in the market. The Manager may also combine a","page_number":43,"box":{"x":68,"y":211,"width":800,"height":11}},{"id":"bfe448a4-94f4-45ec-933a-ddf3224f6138","block_type":"box","text":"fixed-income instrument of an issuer with an equity feature with respect to the stock of a different issuer when the","page_number":43,"box":{"x":68,"y":226,"width":817,"height":11}},{"id":"4b0a2c27-9579-4020-aa1d-69443b8757d4","block_type":"box","text":"Manager believes such a Manufactured Convertible would better promote a Fund’s objective than alternative","page_number":43,"box":{"x":70,"y":241,"width":772,"height":11}},{"id":"5aee1c46-ef1a-4b25-82e1-44eb2e246696","block_type":"box","text":"investments. For example, the Manager may combine an equity feature with respect to an issuer’s stock with a fixed","page_number":43,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"6ed272e5-6891-40fd-be6b-4d33ecaad777","block_type":"box","text":"income security of a different issuer in the same industry to diversify the Fund’s credit exposure, or with a U.S.","page_number":43,"box":{"x":70,"y":271,"width":790,"height":12}},{"id":"9841c44c-63da-4b13-9625-2f0d40e8633d","block_type":"box","text":"Treasury instrument to create a Manufactured Convertible with a higher credit profile than a traditional convertible","page_number":43,"box":{"x":68,"y":286,"width":815,"height":12}},{"id":"38e85280-179b-4cc2-a358-849ffb96d2ba","block_type":"box","text":"security issued by that issuer. A Manufactured Convertible also is a more flexible investment in that its two","page_number":43,"box":{"x":69,"y":302,"width":764,"height":11}},{"id":"2b709d89-0c92-45bb-88e7-b06ae40e14ab","block_type":"box","text":"components may be purchased separately and, upon purchasing the separate securities, “combined” to create a","page_number":43,"box":{"x":69,"y":317,"width":806,"height":11}},{"id":"7bcc455d-9112-482c-a95c-29e4cdd7beba","block_type":"box","text":"Manufactured Convertible. For example, the Fund may purchase a warrant for eventual inclusion in a Manufactured","page_number":43,"box":{"x":70,"y":332,"width":818,"height":11}},{"id":"a37b037b-2ae5-4c40-9a06-10bd165784c8","block_type":"box","text":"Convertible while postponing the purchase of a suitable bond to pair with the warrant pending development of more","page_number":43,"box":{"x":69,"y":347,"width":824,"height":11}},{"id":"683ffabb-abf6-4711-a707-3d4495761e28","block_type":"box","text":"favorable market conditions.","page_number":43,"box":{"x":68,"y":362,"width":202,"height":9}},{"id":"b8602ecf-34e4-4f2e-a989-8081250e78c3","block_type":"box","text":"The value of a Manufactured Convertible may respond to certain market fluctuations differently from a traditional","page_number":43,"box":{"x":101,"y":385,"width":805,"height":11}},{"id":"f1167aed-d106-4e07-91e3-7f22110ca68a","block_type":"box","text":"convertible security with similar characteristics. For example, in the event a Fund created a Manufactured Convertible","page_number":43,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"bb945c71-8e41-4e5e-9203-64175e416811","block_type":"box","text":"by combining a short-term U.S. Treasury instrument and a call option on a stock, the Manufactured Convertible would","page_number":43,"box":{"x":69,"y":415,"width":839,"height":11}},{"id":"c2edfeb1-e6a6-4999-b9aa-27bad6afe5ce","block_type":"box","text":"be expected to outperform a traditional convertible of similar maturity that is convertible into that stock during","page_number":43,"box":{"x":69,"y":430,"width":787,"height":11}},{"id":"7df3ff09-74ba-40dc-9e16-abbba4e7bf9b","block_type":"box","text":"periods when Treasury instruments outperform corporate fixed-income securities and underperform during periods","page_number":43,"box":{"x":70,"y":445,"width":815,"height":12}},{"id":"d9fd7ab3-a857-43d9-b246-5176fb6493e6","block_type":"box","text":"when corporate fixed-income securities outperform Treasury instruments.","page_number":43,"box":{"x":68,"y":460,"width":523,"height":12}},{"id":"59678e29-6cea-498c-9a13-4f2b266c435d","block_type":"box","text":"Corporate Loans.","page_number":43,"box":{"x":102,"y":483,"width":123,"height":11}},{"id":"4c5b42bb-6993-4188-ac83-10c05148f1b0","block_type":"box","text":"Certain Funds may invest in corporate loans. Corporate loans are generally non-investment","page_number":43,"box":{"x":231,"y":483,"width":647,"height":11}},{"id":"4da1671c-4218-4d62-804b-ea6d7248ee94","block_type":"box","text":"grade floating rate instruments. Usually, they are freely callable at the issuer’s option. Certain Funds may invest in","page_number":43,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"912ba81f-5dae-4820-9ef0-7ffb9d20daeb","block_type":"box","text":"fixed and floating rate loans (“Loans”) arranged through private negotiations between a corporate borrower or a","page_number":43,"box":{"x":68,"y":513,"width":794,"height":12}},{"id":"56f59447-4b16-48bb-af7f-cb33138a72de","block_type":"box","text":"foreign sovereign entity and one or more financial institutions or institutional investors (“Lenders”). A Fund may invest","page_number":43,"box":{"x":68,"y":528,"width":841,"height":12}},{"id":"f3c24a7c-7bf1-4bc4-b159-a32ed0d41ac2","block_type":"box","text":"in such Loans in the form of participations in Loans (“Participations”) and assignments of all or a portion of Loans","page_number":43,"box":{"x":70,"y":543,"width":818,"height":12}},{"id":"ce4a9f1a-f126-4f02-a45a-8c68f1bb0084","block_type":"box","text":"from third parties (“Assignments”). A Fund considers these investments to be investments in debt securities for","page_number":43,"box":{"x":68,"y":559,"width":801,"height":11}},{"id":"c1059328-baf2-460d-b820-1e1552e9d6b6","block_type":"box","text":"purposes of its investment policies. Participations typically will result in the Fund having a contractual relationship","page_number":43,"box":{"x":70,"y":574,"width":811,"height":11}},{"id":"2bbfc3f1-e509-4954-9afc-b95a618a2b01","block_type":"box","text":"only with the Lender, not with the borrower. The Fund will have the right to receive payments of principal, interest and","page_number":43,"box":{"x":69,"y":589,"width":833,"height":11}},{"id":"75f1a29b-9d62-4f9a-b25e-8465765be737","block_type":"box","text":"any fees to which it is entitled only from the Lender selling the Participation and only upon receipt by the Lender of","page_number":43,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"bdd1c0d5-ddeb-41fd-9bd7-79d1090e0734","block_type":"box","text":"the payments from the borrower. In connection with purchasing Participations, the Fund generally will have no right to","page_number":43,"box":{"x":68,"y":619,"width":836,"height":11}},{"id":"2c05b06f-bd05-4a70-a58d-6a14cd93644b","block_type":"box","text":"enforce compliance by the borrower with the terms of the loan agreement relating to the Loans, nor any rights of set","page_number":43,"box":{"x":69,"y":634,"width":833,"height":12}},{"id":"ba7aeb64-492b-4658-b60c-7bfc501a0e70","block_type":"box","text":"off against the borrower, and the Fund may not benefit directly from any collateral supporting the Loan in which it has","page_number":43,"box":{"x":69,"y":649,"width":837,"height":12}},{"id":"1ee9059e-efb6-4cf8-a014-ca5461ce6acc","block_type":"box","text":"purchased the Participation. As a result, the Fund will assume the credit risk of both the borrower and the Lender","page_number":43,"box":{"x":70,"y":664,"width":809,"height":11}},{"id":"8ff26aee-dc86-4b41-ad4c-8e21d4210b2d","block_type":"box","text":"that is selling the Participation. In the event of the insolvency of the Lender selling the Participation, the Fund may be","page_number":43,"box":{"x":68,"y":680,"width":838,"height":11}},{"id":"395580fc-8e52-424d-aba1-c0c6f98ac84b","block_type":"box","text":"treated as a general creditor of the Lender and may not benefit from any set-off between the Lender and the","page_number":43,"box":{"x":68,"y":695,"width":772,"height":11}},{"id":"90468031-94b6-4945-b1df-9c4bd41aedbe","block_type":"box","text":"borrower. The Fund will acquire Participations only if the Lender interpositioned between the Fund and the borrower is","page_number":43,"box":{"x":69,"y":710,"width":837,"height":11}},{"id":"1d84108b-051a-4482-ae3c-c478d86196e0","block_type":"box","text":"determined by the Fund’s manager to be creditworthy. When the Fund purchases Assignments from Lenders, the","page_number":43,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"7a145c79-152f-4d58-aa09-271945d07cdf","block_type":"box","text":"Fund will acquire direct rights against the borrower on the Loan, and will not have exposure to a counterparty’s credit","page_number":43,"box":{"x":70,"y":740,"width":834,"height":11}},{"id":"6a9aae60-d88e-4b03-a956-d595aad3243e","block_type":"box","text":"risk. The Funds may enter into Participations and Assignments on a forward commitment or “when-issued” basis,","page_number":43,"box":{"x":69,"y":755,"width":809,"height":11}},{"id":"5bad2eed-70f6-483c-b154-a398b530791f","block_type":"box","text":"whereby a Fund would agree to purchase a Participation or Assignment at set terms in the future. For more","page_number":43,"box":{"x":68,"y":770,"width":764,"height":12}},{"id":"61d4e327-0fad-4d7f-828b-f81ba206753a","block_type":"box","text":"information on forward commitments and when-issued securities, see “When-Issued Securities, Delayed Delivery","page_number":43,"box":{"x":70,"y":785,"width":805,"height":12}},{"id":"e4178fa1-a351-470a-9617-4df57a818824","block_type":"box","text":"Securities and Forward Commitments” below.","page_number":43,"box":{"x":69,"y":801,"width":324,"height":9}},{"id":"3549ffe8-4468-41b9-a328-696564bd4d80","block_type":"box","text":"A Fund may have difficulty disposing of Assignments and Participations. In certain cases, the market for such","page_number":43,"box":{"x":101,"y":823,"width":782,"height":12}},{"id":"7c4603ae-cca7-4d1f-8e8f-b9ad2e5d9ea1","block_type":"box","text":"instruments may lack sufficient liquidity, and therefore the Fund anticipates that in such cases such instruments","page_number":43,"box":{"x":70,"y":838,"width":803,"height":11}},{"id":"5eaa49a0-0ca8-4d5c-ac38-9f570a271b85","block_type":"box","text":"could be sold only to a limited number of institutional investors. The lack of a sufficiently liquid secondary market","page_number":43,"box":{"x":69,"y":853,"width":809,"height":12}},{"id":"6b39cda6-bfea-4df8-b886-47a3e64dec74","block_type":"box","text":"may have an adverse impact on the value of such instruments and on the Fund’s ability to dispose of particular","page_number":43,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"7f1b2f9c-8d34-44c2-9c1e-298040524ab2","block_type":"box","text":"Assignments or Participations in response to a specific economic event, such as deterioration in the creditworthiness","page_number":43,"box":{"x":68,"y":884,"width":841,"height":11}},{"id":"94634901-61e1-4083-8bf1-017d0c370a9d","block_type":"box","text":"of the borrower.","page_number":43,"box":{"x":69,"y":899,"width":111,"height":9}},{"id":"dd8cbd8b-83b0-4a57-bcbb-c63a45f8eb39","block_type":"box","text":"II-7","page_number":43,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"b86714b9-8fcb-496c-9b8c-6709d7bde033","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":43,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1c8ade4d-be9e-4a8b-bfd7-d2a44f8424bd","block_type":"box","text":"Leading financial institutions often act as agent for a broader group of Lenders, generally referred to as a","page_number":44,"box":{"x":102,"y":45,"width":750,"height":11}},{"id":"68a97d1b-1b14-40b1-972f-1fa015b722ea","block_type":"box","text":"syndicate. The syndicate’s agent arranges the loans, holds collateral and accepts payments of principal and interest.","page_number":44,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"89606e17-a1df-4855-9416-1f311a7f9901","block_type":"box","text":"Failure by the syndicate agent to fulfill its obligations may delay or adversely affect receipt of payment by the Fund.","page_number":44,"box":{"x":70,"y":75,"width":816,"height":11}},{"id":"28863989-5a41-4802-8afd-e6b6615a329c","block_type":"box","text":"The Loans in which the Fund may invest are subject to the risk of loss of principal and income. Although","page_number":44,"box":{"x":101,"y":98,"width":740,"height":11}},{"id":"62e46b70-5bbf-4f21-96b6-7798f3dae6ca","block_type":"box","text":"borrowers frequently provide collateral to secure repayment of these obligations they do not always do so. If they do","page_number":44,"box":{"x":69,"y":113,"width":827,"height":11}},{"id":"904fd81f-f609-4c8d-af3d-6362d55f443d","block_type":"box","text":"provide collateral, the value of the collateral may not completely cover the borrower’s obligations at the time of a","page_number":44,"box":{"x":70,"y":128,"width":802,"height":11}},{"id":"26e8ad13-c273-4b12-a274-7cbdf3fd66f3","block_type":"box","text":"default. If a borrower files for protection from its creditors under the U.S. bankruptcy laws, these laws may limit a","page_number":44,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"4c649a44-fcb7-44e8-8e60-6f55c3e7e744","block_type":"box","text":"Fund’s rights to its collateral. In addition, the value of collateral may erode during a bankruptcy case. In the event of","page_number":44,"box":{"x":70,"y":158,"width":827,"height":11}},{"id":"eba100a9-a71a-4431-9c36-a2375a34d84e","block_type":"box","text":"a bankruptcy, the holder of a Loan may not recover its principal, may experience a long delay in recovering its","page_number":44,"box":{"x":69,"y":173,"width":777,"height":11}},{"id":"5286176d-bf42-4a61-9df5-6c2d961ab3d1","block_type":"box","text":"investment and may not receive interest during the delay.","page_number":44,"box":{"x":70,"y":188,"width":406,"height":12}},{"id":"7ab5533f-f2e8-45a7-ad98-930262d82eb3","block_type":"box","text":"Transactions in corporate loans may settle on a delayed basis. As a result, the proceeds from the sale of","page_number":44,"box":{"x":101,"y":211,"width":752,"height":11}},{"id":"86b59591-460e-41c6-8e32-15b59e8239f4","block_type":"box","text":"corporate loans may not be readily available to make additional investments or to meet a Fund’s redemption","page_number":44,"box":{"x":69,"y":226,"width":773,"height":11}},{"id":"037bb64b-c778-4cb4-b3f1-0048d318aed9","block_type":"box","text":"obligations. To the extent the extended settlement process gives rise to short-term liquidity needs, a Fund may hold","page_number":44,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"9c76db4d-a2c9-4e33-bce7-558b64eb5919","block_type":"box","text":"additional cash, sell investments or temporarily borrow from banks and other lenders.","page_number":44,"box":{"x":69,"y":256,"width":610,"height":11}},{"id":"fd11da7d-541f-4aed-853d-0b3c33cacd4c","block_type":"box","text":"In certain circumstances, Loans may not be deemed to be securities under certain federal securities laws.","page_number":44,"box":{"x":102,"y":279,"width":759,"height":11}},{"id":"2483b873-1f3a-4974-8149-a6738ee44b5c","block_type":"box","text":"Therefore, in the event of fraud or misrepresentation by a borrower or an arranger, Lenders and purchasers of","page_number":44,"box":{"x":68,"y":294,"width":784,"height":11}},{"id":"79f43c0a-e7d1-442b-8c13-42f2d8ecb29a","block_type":"box","text":"interests in Loans, such as the Funds, may not have the protection of the anti-fraud provisions of the federal","page_number":44,"box":{"x":70,"y":309,"width":772,"height":11}},{"id":"8b353c7c-ff30-4b1f-81ec-5386bb0412e1","block_type":"box","text":"securities laws as would otherwise be available for bonds or stocks. Instead, in such cases, parties generally would","page_number":44,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"8257d3de-3bc2-49bf-b816-84b0be11f2a6","block_type":"box","text":"rely on the contractual provisions in the Loan agreement itself and common-law fraud protections under applicable","page_number":44,"box":{"x":69,"y":339,"width":815,"height":12}},{"id":"ec142b68-c5dd-4e4e-8b9c-abd6738298fc","block_type":"box","text":"state law.","page_number":44,"box":{"x":69,"y":355,"width":67,"height":9}},{"id":"d6f63c89-9a13-4e29-b413-76cd6dc85f6f","block_type":"box","text":"Direct Lending.","page_number":44,"box":{"x":102,"y":377,"width":105,"height":12}},{"id":"7318062c-2992-43de-a6e7-e2ff400369e0","block_type":"box","text":"The Fund may act as the originator for direct loans and engage in direct lending. Direct loans","page_number":44,"box":{"x":213,"y":377,"width":660,"height":12}},{"id":"5f1f8767-4160-4229-b5fb-dcaa6d7d41b6","block_type":"box","text":"between the Fund and a borrower may not be administered by an underwriter or agent bank. The Fund may provide","page_number":44,"box":{"x":69,"y":393,"width":817,"height":11}},{"id":"dec4c7f6-68d8-48a6-b5bc-6b1c90f6814c","block_type":"box","text":"financing to commercial borrowers directly or through companies acquired (or created) and owned by or otherwise","page_number":44,"box":{"x":68,"y":407,"width":811,"height":12}},{"id":"49b2507d-787f-44ba-9675-838bad91738b","block_type":"box","text":"affiliated with the Fund. The terms of the direct loans are negotiated with borrowers in private transactions.","page_number":44,"box":{"x":69,"y":423,"width":764,"height":11}},{"id":"1c31e457-3530-49b6-92b5-286cb6d8b640","block_type":"box","text":"Furthermore, a direct loan may be secured or unsecured.","page_number":44,"box":{"x":70,"y":438,"width":405,"height":11}},{"id":"7a7bd53d-9f36-4dbb-aa0a-fae392233a6f","block_type":"box","text":"In determining whether to make a direct loan, the Fund will rely primarily upon the creditworthiness of the","page_number":44,"box":{"x":102,"y":460,"width":750,"height":12}},{"id":"56d40c6a-646f-4bbf-b912-abb2da729382","block_type":"box","text":"borrower and/or any collateral for payment of interest and repayment of principal. The risks associated with direct","page_number":44,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"b8bf6d79-55d2-45af-afd0-52f88c1d5ce4","block_type":"box","text":"loans are substantially similar to those associated with investing in corporate loans. In making a direct loan, the Fund","page_number":44,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"b179be1b-7515-4225-9fe7-2e87ee6e8791","block_type":"box","text":"is exposed to the risk that the borrower may default or become insolvent and, consequently, that the Fund will lose","page_number":44,"box":{"x":70,"y":506,"width":818,"height":11}},{"id":"9231b3c6-48bf-49fc-9a43-8983ab2cc962","block_type":"box","text":"money on the loan. Furthermore, direct loans may subject the Fund to liquidity and interest rate risk and certain","page_number":44,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"f2c5defb-a42d-467d-ab74-f2d588c577a2","block_type":"box","text":"direct loans may be deemed illiquid. Direct loans are not publicly traded and may not have a secondary market. The","page_number":44,"box":{"x":69,"y":536,"width":825,"height":11}},{"id":"b95b6fb3-1971-4555-b454-c287a63fc2f3","block_type":"box","text":"lack of a secondary market for direct loans may have an adverse impact on the ability of the Fund to dispose of a","page_number":44,"box":{"x":70,"y":551,"width":807,"height":11}},{"id":"b04f8146-7cb7-4c5a-a2cf-7ecda79844b2","block_type":"box","text":"direct loan and/or to value the direct loan.","page_number":44,"box":{"x":69,"y":566,"width":301,"height":11}},{"id":"c303fc35-6155-4a7b-8c67-8485b3900d3b","block_type":"box","text":"When engaging in direct lending, the Fund’s performance may depend, in part, on the ability of the Fund to","page_number":44,"box":{"x":101,"y":589,"width":762,"height":11}},{"id":"e0335c95-91a0-4328-aaea-e72ac0066e2b","block_type":"box","text":"originate loans on advantageous terms. In originating loans, the Fund will compete with a broad spectrum of lenders.","page_number":44,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"8432ef9f-932c-46c1-956f-a64854684c2b","block_type":"box","text":"Increased competition for, or a diminishment in the available supply of, qualifying loans could result in lower yields on","page_number":44,"box":{"x":70,"y":619,"width":836,"height":11}},{"id":"5078aa86-254d-4054-86db-6a16b244607d","block_type":"box","text":"such loans, which could reduce Fund performance.","page_number":44,"box":{"x":69,"y":634,"width":362,"height":11}},{"id":"27836c01-239c-4237-953a-fb8fa0898e01","block_type":"box","text":"As part of its lending activities, the Fund may originate loans to companies that are experiencing significant","page_number":44,"box":{"x":101,"y":657,"width":767,"height":11}},{"id":"2fb79383-d2a2-45a9-9e6d-e35af452177c","block_type":"box","text":"financial or business difficulties, including companies involved in bankruptcy or other reorganization and liquidation","page_number":44,"box":{"x":68,"y":672,"width":821,"height":11}},{"id":"1dd6cb13-52fe-4b40-a0ca-8bb52acc16dd","block_type":"box","text":"proceedings. Although the terms of such financing may result in significant financial returns to the Fund, they involve","page_number":44,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"f774562a-396e-4cad-8900-f1da6bca9996","block_type":"box","text":"a substantial degree of risk. The level of analytical sophistication, both financial and legal, necessary for successful","page_number":44,"box":{"x":69,"y":702,"width":826,"height":12}},{"id":"276e4bb2-9070-4436-9324-21c3fa09423f","block_type":"box","text":"financing to companies experiencing significant business and financial difficulties is unusually high.","page_number":44,"box":{"x":68,"y":717,"width":709,"height":12}},{"id":"b84b0f15-435f-43e5-8a10-7dbcbd680980","block_type":"box","text":"Credit Linked Securities.","page_number":44,"box":{"x":102,"y":740,"width":179,"height":9}},{"id":"860e7946-70d2-4e09-9df6-92b3f532598c","block_type":"box","text":"Among the income producing securities in which a Fund may invest are credit linked","page_number":44,"box":{"x":287,"y":740,"width":596,"height":11}},{"id":"13ee676d-1dc1-4334-98be-a6d9c997bc60","block_type":"box","text":"securities, which are issued by a limited purpose trust or other vehicle that, in turn, invests in a derivative instrument","page_number":44,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"d6f9b4f1-c810-424c-9a90-1a3852df24f3","block_type":"box","text":"or basket of derivative instruments, such as credit default swaps, interest rate swaps and other securities, in order","page_number":44,"box":{"x":69,"y":770,"width":823,"height":11}},{"id":"eb97d117-c90f-4f20-9c6d-ef70b153d08d","block_type":"box","text":"to provide exposure to certain fixed-income markets. For instance, a Fund may invest in credit linked securities as a","page_number":44,"box":{"x":68,"y":785,"width":827,"height":12}},{"id":"ffdb18d8-9e21-47d0-ac95-bcc603d4ccf6","block_type":"box","text":"cash management tool in order to gain exposure to a certain market and/or to remain fully invested when more","page_number":44,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"40effadb-faab-4a52-bc8b-1a0e1748e0f5","block_type":"box","text":"traditional income producing securities are not available.","page_number":44,"box":{"x":68,"y":816,"width":404,"height":11}},{"id":"9dffe122-95a9-4fec-9cfb-3c46ef032cc6","block_type":"box","text":"Like an investment in a bond, investments in these credit linked securities represent the right to receive periodic","page_number":44,"box":{"x":102,"y":839,"width":804,"height":11}},{"id":"bc3de54f-6ee5-4208-a629-e77882a46708","block_type":"box","text":"income payments (in the form of distributions) and payment of principal at the end of the term of the security.","page_number":44,"box":{"x":70,"y":853,"width":780,"height":12}},{"id":"a82f4299-d585-4bef-84ba-0979e89036a3","block_type":"box","text":"However, these payments are conditioned on the issuer’s receipt of payments from, and the issuer’s potential","page_number":44,"box":{"x":102,"y":876,"width":785,"height":11}},{"id":"1edc302c-6d70-427c-84a2-fdfa4d1e9669","block_type":"box","text":"obligations to, the counterparties to the derivative instruments and other securities in which the issuer invests. For","page_number":44,"box":{"x":69,"y":891,"width":821,"height":12}},{"id":"a27a8520-807e-4435-a0ef-7a1322522030","block_type":"box","text":"instance, the issuer may sell one or more credit default swaps, under which the issuer would receive a stream of","page_number":44,"box":{"x":70,"y":906,"width":806,"height":12}},{"id":"889d9eab-a474-4d6f-afd3-9ebbcdf50113","block_type":"box","text":"II-8","page_number":44,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"64f47463-b84e-403f-9da9-d4ab9d0d28a0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":44,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8d84a227-08c7-4c98-ad9f-e67cd045b62d","block_type":"box","text":"payments over the term of the swap agreements provided that no event of default has occurred with respect to the","page_number":45,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"71a0bf9d-62e6-462e-8cfc-e388a8c2cb9c","block_type":"box","text":"referenced debt obligation upon which the swap is based. If a default occurs, the stream of payments may stop and","page_number":45,"box":{"x":69,"y":60,"width":826,"height":11}},{"id":"c2e854f6-f4ae-4c0c-b918-4e9e4e14de0d","block_type":"box","text":"the issuer would be obligated to pay the counterparty the par (or other agreed upon value) of the referenced debt","page_number":45,"box":{"x":68,"y":75,"width":807,"height":11}},{"id":"ff5dc4f1-d4ad-44fb-a203-e6bfdc516ef9","block_type":"box","text":"obligation. This, in turn, would reduce the amount of income and principal that a Fund would receive. A Fund’s","page_number":45,"box":{"x":69,"y":90,"width":783,"height":11}},{"id":"a1688809-a8b3-44f5-9cf4-5f2ae37cdf60","block_type":"box","text":"investments in these instruments are indirectly subject to the risks associated with derivative instruments, including,","page_number":45,"box":{"x":70,"y":105,"width":833,"height":11}},{"id":"c66a9586-3cfb-45ab-9849-6f7112de987c","block_type":"box","text":"among others, credit risk, default or similar event risk, counterparty risk, interest rate risk, leverage risk and","page_number":45,"box":{"x":69,"y":120,"width":771,"height":12}},{"id":"64e1806a-e275-4929-ad4e-1babe14fdeea","block_type":"box","text":"management risk. It is also expected that the securities will be exempt from registration under the Securities Act.","page_number":45,"box":{"x":69,"y":135,"width":808,"height":12}},{"id":"4e92ddd1-2a55-4e38-bba5-651edc6ac43e","block_type":"box","text":"Accordingly, there may be no established trading market for the securities and they may constitute illiquid","page_number":45,"box":{"x":68,"y":150,"width":752,"height":12}},{"id":"39c553ba-1d40-4a9e-8209-85fd3840f99f","block_type":"box","text":"investments.","page_number":45,"box":{"x":70,"y":166,"width":89,"height":9}},{"id":"6c327f7c-d306-40ae-ac4e-598b5d7f2531","block_type":"box","text":"Debt Securities.","page_number":45,"box":{"x":102,"y":188,"width":116,"height":9}},{"id":"7eb9d777-47ce-4586-9bca-d7430887f9d5","block_type":"box","text":"Debt securities, such as bonds, involve credit risk. This is the risk that the issuer will not make","page_number":45,"box":{"x":225,"y":188,"width":677,"height":11}},{"id":"c4f76b62-bd7a-473d-8e1e-77bc5b8bdb7b","block_type":"box","text":"timely payments of principal and interest. The degree of credit risk depends on the issuer’s financial condition and on","page_number":45,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"c6793383-9b16-4441-978e-9fc35136d4fd","block_type":"box","text":"the terms of the debt securities. Changes in an issuer’s credit rating or the market’s perception of an issuer’s","page_number":45,"box":{"x":68,"y":218,"width":787,"height":12}},{"id":"2888b8ce-f605-41a5-ae84-91c22e0213bc","block_type":"box","text":"creditworthiness may also affect the value of a Fund’s investment in that issuer. Credit risk is reduced to the extent","page_number":45,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"03e9c5c4-3e7f-4590-999a-0dd57ee251c1","block_type":"box","text":"a Fund limits its debt investments to U.S. Government Securities.","page_number":45,"box":{"x":69,"y":249,"width":466,"height":9}},{"id":"d26bd05c-503e-4b4e-8a8e-e74893eb8922","block_type":"box","text":"All debt securities, however, are subject to interest rate risk. This is the risk that the value of the security may","page_number":45,"box":{"x":101,"y":271,"width":784,"height":12}},{"id":"1e8ef22d-d8e2-4320-9a8a-a73f2ab5d0b6","block_type":"box","text":"fall when interest rates rise. If interest rates move sharply in a manner not anticipated by Fund management, a","page_number":45,"box":{"x":68,"y":286,"width":792,"height":12}},{"id":"c0334a4a-bed9-414d-8b16-15cf8702a4fe","block_type":"box","text":"Fund’s investments in debt securities could be adversely affected and the Fund could lose money. In general, the","page_number":45,"box":{"x":70,"y":302,"width":806,"height":11}},{"id":"9fbb3b1a-16ac-4641-b6f2-c82d2c43dd98","block_type":"box","text":"market price of debt securities with longer maturities will go up or down more in response to changes in interest","page_number":45,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"d3a75c1c-315b-4333-837c-e3cef9ee6cda","block_type":"box","text":"rates than will the market price of shorter-term debt securities.","page_number":45,"box":{"x":69,"y":332,"width":448,"height":11}},{"id":"44f28118-77dc-423d-9629-dfdfbf5e4653","block_type":"box","text":"During periods of rising interest rates, the average life of certain fixed-income securities is extended because of","page_number":45,"box":{"x":102,"y":355,"width":798,"height":11}},{"id":"aa37875e-f9ea-49d4-8f6b-7dfb67fa1727","block_type":"box","text":"slower than expected principal payments. This may lock in a below-market interest rate and extend the duration of","page_number":45,"box":{"x":69,"y":370,"width":813,"height":11}},{"id":"79b348b6-7651-48f6-949b-a79fb4b427e8","block_type":"box","text":"these fixed-income securities, especially mortgage-related securities, making them more sensitive to changes in","page_number":45,"box":{"x":68,"y":385,"width":801,"height":11}},{"id":"60e2c6e1-f41e-4ef4-82d7-2e08549dc17d","block_type":"box","text":"interest rates. As a result, in a period of rising interest rates, these securities may exhibit additional volatility and","page_number":45,"box":{"x":70,"y":400,"width":806,"height":11}},{"id":"e698d497-5de4-4679-9eaf-d6582fb21184","block_type":"box","text":"lose value. This is known as extension risk.","page_number":45,"box":{"x":70,"y":415,"width":307,"height":9}},{"id":"5262b479-bc72-4573-b347-93d2b2cec994","block_type":"box","text":"The value of fixed-income securities in the Funds can be expected to vary inversely with changes in prevailing","page_number":45,"box":{"x":101,"y":438,"width":778,"height":11}},{"id":"7f049a3b-ed37-45d0-a6d0-14023181f0a1","block_type":"box","text":"interest rates. Fixed-income securities with longer maturities, which tend to produce higher yields, are subject to","page_number":45,"box":{"x":70,"y":453,"width":798,"height":11}},{"id":"944280d6-3b0a-4fd1-bf3c-b17984cf7a68","block_type":"box","text":"potentially greater capital appreciation and depreciation than securities with shorter maturities. The Funds are not","page_number":45,"box":{"x":70,"y":468,"width":812,"height":11}},{"id":"22a6eab0-bea6-41f5-a820-a159d65c4e5a","block_type":"box","text":"restricted to any maximum or minimum time to maturity in purchasing individual portfolio securities, and the average","page_number":45,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"c95c3302-b511-4cdf-8eb8-4f2c5c7551f1","block_type":"box","text":"maturity of a Fund’s assets will vary.","page_number":45,"box":{"x":69,"y":498,"width":259,"height":11}},{"id":"69de7aeb-9739-48c4-9bdf-b31b665b0241","block_type":"box","text":"Floating and Variable Rate Securities","page_number":45,"box":{"x":102,"y":521,"width":260,"height":11}},{"id":"0542000e-f062-4714-a61e-4c2e2323e510","block_type":"box","text":". Certain Funds may invest in debt instruments that pay a variable coupon","page_number":45,"box":{"x":364,"y":521,"width":526,"height":11}},{"id":"de8996c2-4bfc-4cb4-b427-7e446d3528ea","block_type":"box","text":"rate. Securities with floating or variable interest rates can be less sensitive to interest rate changes than securities","page_number":45,"box":{"x":69,"y":536,"width":821,"height":11}},{"id":"a2cb8700-451e-4f2e-9d45-288c8a382a66","block_type":"box","text":"with fixed interest rates, but may decline in value if their interest rates do not rise as much, or as quickly, as interest","page_number":45,"box":{"x":68,"y":551,"width":834,"height":11}},{"id":"500d25ea-03a0-4afa-966b-c94982044798","block_type":"box","text":"rates in general. Conversely, floating rate securities will not generally increase in value if interest rates decline. The","page_number":45,"box":{"x":69,"y":566,"width":820,"height":11}},{"id":"918dd1ab-ea3b-46bc-a194-bc6e3da0da2c","block_type":"box","text":"impact of interest rate changes on floating rate investments is typically mitigated by the periodic interest rate reset of","page_number":45,"box":{"x":70,"y":581,"width":838,"height":12}},{"id":"ce1b16c3-95bb-4dab-8bb5-d449593dcfc7","block_type":"box","text":"the investments. Benchmark interest rates used for floating and variable rate securities may not accurately track","page_number":45,"box":{"x":68,"y":596,"width":804,"height":12}},{"id":"698a945b-777d-4a21-87d0-4fa44e4ca221","block_type":"box","text":"market interest rates.","page_number":45,"box":{"x":69,"y":612,"width":153,"height":9}},{"id":"16918de3-b36c-4349-b3c0-7f2d1e1b7066","block_type":"box","text":"Inflation-Indexed Bonds.","page_number":45,"box":{"x":102,"y":634,"width":169,"height":9}},{"id":"1c91eec3-8e47-4d28-89d0-49521cd86bcb","block_type":"box","text":"Certain Funds may invest in inflation-indexed bonds, which are fixed-income securities or","page_number":45,"box":{"x":278,"y":634,"width":632,"height":11}},{"id":"39cefaec-1b61-4c3d-b086-26a80311517a","block_type":"box","text":"other instruments whose principal value is periodically adjusted according to the rate of inflation. Two structures are","page_number":45,"box":{"x":69,"y":649,"width":828,"height":12}},{"id":"d4f6ba5b-d9f0-4d88-acee-f14015bd30ea","block_type":"box","text":"common. The U.S. Treasury and some other issuers use a structure that accrues inflation into the principal value of","page_number":45,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"d92f39cb-b0a8-4029-9778-3c7dcffd5b6e","block_type":"box","text":"the bond. Most other issuers pay out the Consumer Price Index (“CPI”) accruals as part of a semi-annual coupon.","page_number":45,"box":{"x":68,"y":680,"width":810,"height":11}},{"id":"db51311f-2862-4182-aaee-03be07f2dff1","block_type":"box","text":"Inflation-indexed securities issued by the U.S. Treasury have maturities of five, ten or thirty years, although it is","page_number":45,"box":{"x":102,"y":702,"width":792,"height":12}},{"id":"8d55be73-9141-4751-b832-8598e6535b29","block_type":"box","text":"possible that securities with other maturities will be issued in the future. The U.S. Treasury securities pay interest on","page_number":45,"box":{"x":70,"y":717,"width":833,"height":12}},{"id":"c0bb0d3f-f8b9-4000-9ea3-30f02de127ae","block_type":"box","text":"a semi-annual basis, equal to a fixed percentage of the inflation-adjusted principal amount. For example, if a Fund","page_number":45,"box":{"x":69,"y":732,"width":810,"height":12}},{"id":"fc90ec08-722e-41b0-ac48-1b99a15ec262","block_type":"box","text":"purchased an inflation-indexed bond with a par value of $1,000 and a 3% real rate of return coupon (payable 1.5%","page_number":45,"box":{"x":70,"y":747,"width":814,"height":12}},{"id":"dcc26256-2cd9-45f6-8eb2-b6da2dc28f97","block_type":"box","text":"semi-annually), and inflation over the first six months was 1%, the mid-year par value of the bond would be $1,010","page_number":45,"box":{"x":69,"y":762,"width":816,"height":12}},{"id":"47226c4d-64b3-481b-913d-a47c055ced0f","block_type":"box","text":"and the first semi-annual interest payment would be $15.15 ($1,010 times 1.5%). If inflation during the second half","page_number":45,"box":{"x":69,"y":777,"width":828,"height":12}},{"id":"66df19dd-6af2-48fa-a34c-807658fb2df6","block_type":"box","text":"of the year resulted in the whole year’s inflation equaling 3%, the end-of-year par value of the bond would be $1,030","page_number":45,"box":{"x":69,"y":792,"width":828,"height":12}},{"id":"51eb52d1-8c12-4d62-95c6-422c385efb17","block_type":"box","text":"and the second semi-annual interest payment would be $15.45 ($1,030 times 1.5%).","page_number":45,"box":{"x":69,"y":807,"width":610,"height":12}},{"id":"196cb9b3-be12-482d-9ce6-1fa3957e0feb","block_type":"box","text":"If the periodic adjustment rate measuring inflation falls, the principal value of inflation-indexed bonds will be","page_number":45,"box":{"x":102,"y":831,"width":767,"height":11}},{"id":"f6f6ca7e-2b7a-486a-a614-609dd92852ed","block_type":"box","text":"adjusted downward, and, consequently, the interest payable on these securities (calculated with respect to a smaller","page_number":45,"box":{"x":69,"y":846,"width":833,"height":11}},{"id":"52408d89-268f-4a30-ad53-dce8327cdc2f","block_type":"box","text":"principal amount) will be reduced. Repayment of the original bond principal upon maturity (as adjusted for inflation) is","page_number":45,"box":{"x":70,"y":861,"width":834,"height":11}},{"id":"bd45915b-ac27-4f72-962c-0d4ac9f36a3b","block_type":"box","text":"guaranteed in the case of U.S. Treasury inflation-indexed bonds, even during a period of deflation. However, the","page_number":45,"box":{"x":68,"y":876,"width":795,"height":11}},{"id":"146877c2-a163-488c-bdba-855a954377c9","block_type":"box","text":"current market value of the bonds is not guaranteed, and will fluctuate. Certain Funds may also invest in other","page_number":45,"box":{"x":69,"y":891,"width":788,"height":12}},{"id":"f6319887-fb27-4791-b92a-a3ed5a455092","block_type":"box","text":"inflation related bonds which may or may not provide a similar guarantee. If a guarantee of principal is not provided,","page_number":45,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"825935b6-3959-435f-8a94-1a945c55ee30","block_type":"box","text":"II-9","page_number":45,"box":{"x":478,"y":943,"width":22,"height":9}},{"id":"a0fe83f4-8ca9-4b88-8e43-8df01f6f28da","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":45,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ab823b2e-909e-43e9-97df-bc31d9804364","block_type":"box","text":"the adjusted principal value of the bond repaid at maturity may be less than the original principal. In addition, if the","page_number":46,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"7deed76f-f241-4ef2-bcee-2e840b8b5d27","block_type":"box","text":"Fund purchases inflation-indexed bonds offered by foreign issuers, the rate of inflation measured by the foreign","page_number":46,"box":{"x":70,"y":60,"width":792,"height":11}},{"id":"0d24b04e-fb30-4318-ab1b-48d38d85a556","block_type":"box","text":"inflation index may not be correlated to the rate of inflation in the United States.","page_number":46,"box":{"x":70,"y":75,"width":570,"height":11}},{"id":"d611221b-789e-455a-88ea-d24c65780c12","block_type":"box","text":"The value of inflation-indexed bonds is expected to change in response to changes in real interest rates. Real","page_number":46,"box":{"x":101,"y":98,"width":780,"height":11}},{"id":"b6b385d4-4cbe-4ea4-b43c-163e7599678f","block_type":"box","text":"interest rates, in turn, are tied to the relationship between nominal interest rates and the rate of inflation. Therefore,","page_number":46,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"6a95254e-3883-4445-98ed-42fc6483f567","block_type":"box","text":"if inflation were to rise at a faster rate than nominal interest rates, real interest rates might decline, leading to an","page_number":46,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"93eaf2cc-b144-4b8a-a8ce-d88b83f827cc","block_type":"box","text":"increase in value of inflation-indexed bonds. In contrast, if nominal interest rates increased at a faster rate than","page_number":46,"box":{"x":70,"y":143,"width":796,"height":10}},{"id":"2e0b49fb-6ed9-4b20-aca4-fe132921cf24","block_type":"box","text":"inflation, real interest rates might rise, leading to a decrease in value of inflation-indexed bonds. There can be no","page_number":46,"box":{"x":70,"y":158,"width":805,"height":11}},{"id":"34da4d1d-9793-48f4-94cc-b7123eceb952","block_type":"box","text":"assurance, however, that the value of inflation-indexed bonds will be directly correlated to changes in interest rates.","page_number":46,"box":{"x":69,"y":173,"width":824,"height":11}},{"id":"18791d4c-1adf-4e3c-ae4f-7039d356b954","block_type":"box","text":"While these securities are expected to be protected from long-term inflationary trends, short-term increases in","page_number":46,"box":{"x":101,"y":196,"width":788,"height":11}},{"id":"cc21b12f-4f7d-432e-ad4d-d7e6e085c9f3","block_type":"box","text":"inflation may lead to a decline in value. If interest rates rise due to reasons other than inflation (for example, due to","page_number":46,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"6fe59bb6-d50f-4690-9680-f0e2c7606414","block_type":"box","text":"changes in currency exchange rates), investors in these securities may not be protected to the extent that the","page_number":46,"box":{"x":69,"y":226,"width":784,"height":11}},{"id":"1544f4dc-4587-40a7-88d2-1689a9e61385","block_type":"box","text":"increase is not reflected in the bond’s inflation measure.","page_number":46,"box":{"x":70,"y":241,"width":403,"height":9}},{"id":"dc88d3c3-ca0a-4809-822a-218905304739","block_type":"box","text":"In general, the measure used to determine the periodic adjustment of U.S. inflation-indexed bonds is the","page_number":46,"box":{"x":102,"y":264,"width":746,"height":11}},{"id":"9989f3fb-7d5c-49a7-9cce-367a1754e9de","block_type":"box","text":"Consumer Price Index for Urban Consumers (“CPI-U”), which is calculated monthly by the U.S. Bureau of Labor","page_number":46,"box":{"x":69,"y":279,"width":786,"height":11}},{"id":"439de784-7ea2-4cca-bdd3-c72c318c8980","block_type":"box","text":"Statistics. The CPI-U is a measurement of changes in the cost of living, made up of components such as housing,","page_number":46,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"3892ed96-b672-44e6-aadb-5553df6edbea","block_type":"box","text":"food, transportation and energy. Inflation-indexed bonds issued by a foreign government are generally adjusted to","page_number":46,"box":{"x":68,"y":309,"width":809,"height":11}},{"id":"f7ff45c2-4dfe-49eb-9150-fa58051bba80","block_type":"box","text":"reflect a comparable inflation index, calculated by that government. There can be no assurance that the CPI-U or any","page_number":46,"box":{"x":69,"y":324,"width":830,"height":12}},{"id":"d0c9057c-d138-4bfb-b134-dfd17de7bfec","block_type":"box","text":"foreign inflation index will accurately measure the real rate of inflation in the prices of goods and services. Moreover,","page_number":46,"box":{"x":68,"y":339,"width":833,"height":12}},{"id":"b6cf7c51-8039-4a53-b1d2-69fc00217b5d","block_type":"box","text":"there can be no assurance that the rate of inflation in a foreign country will be correlated to the rate of inflation in the","page_number":46,"box":{"x":68,"y":355,"width":840,"height":11}},{"id":"41faabd7-435f-4742-b8f8-09d7733b7ff5","block_type":"box","text":"United States.","page_number":46,"box":{"x":70,"y":370,"width":99,"height":9}},{"id":"ca8c504e-36db-4748-9bd5-bac9ac13cdd4","block_type":"box","text":"Any increase in the principal amount of an inflation-indexed bond will be considered taxable ordinary income,","page_number":46,"box":{"x":101,"y":392,"width":774,"height":12}},{"id":"5d5da209-89a7-470d-b0f8-55c76aa33e98","block_type":"box","text":"even though investors do not receive their principal until maturity.","page_number":46,"box":{"x":69,"y":408,"width":464,"height":11}},{"id":"e979d1fc-ff16-4776-ad74-f6caf0cc0567","block_type":"box","text":"Investment Grade Debt Obligations.","page_number":46,"box":{"x":102,"y":430,"width":252,"height":11}},{"id":"5a979b6e-bc0e-4022-919e-875bc3e83845","block_type":"box","text":"Certain Funds may invest in “investment grade securities,” which are","page_number":46,"box":{"x":360,"y":430,"width":493,"height":11}},{"id":"1fd0b65d-700f-472c-a7b3-9c6afd747490","block_type":"box","text":"securities rated in the four highest rating categories of an NRSRO or deemed to be of equivalent quality by a Fund’s","page_number":46,"box":{"x":69,"y":445,"width":823,"height":12}},{"id":"85dbf6e1-35c4-43d0-aadd-f0e785cb4886","block_type":"box","text":"Manager. Certain Funds may invest in debt securities rated Aaa by Moody’s or AAA by S&P. It should be noted that","page_number":46,"box":{"x":70,"y":460,"width":815,"height":12}},{"id":"83085b5d-c713-48f9-9a01-871d4fab7c28","block_type":"box","text":"debt obligations rated in the lowest of the top four ratings (","page_number":46,"box":{"x":69,"y":475,"width":420,"height":12}},{"id":"ce96dcfb-5a83-4ad2-bbbe-40a093184f42","block_type":"box","text":"i.e.","page_number":46,"box":{"x":492,"y":476,"width":20,"height":8}},{"id":"1cb5b218-b6d2-468e-8932-94ecfe59be4e","block_type":"box","text":", “Baa” by Moody’s or “BBB” by S&P) are considered","page_number":46,"box":{"x":514,"y":476,"width":377,"height":11}},{"id":"b1fd5acb-8524-41bc-b936-974c5be7bc8f","block_type":"box","text":"to have some speculative characteristics and are more sensitive to economic change than higher rated securities. If","page_number":46,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"90dd9ad2-86e3-4601-87bb-de8275a98867","block_type":"box","text":"an investment grade security of a Fund is subsequently downgraded below investment grade, the Fund’s Manager will","page_number":46,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"5d301367-d209-4f8e-84af-fa154f6cbf0a","block_type":"box","text":"consider such an event in determining whether the Fund should continue to hold the security. Subject to its","page_number":46,"box":{"x":69,"y":521,"width":763,"height":11}},{"id":"32d05086-d417-4323-9a68-f749ad28b942","block_type":"box","text":"investment strategies, there is no limit on the amount of such downgraded securities a Fund may hold.","page_number":46,"box":{"x":70,"y":536,"width":731,"height":11}},{"id":"fe2df649-2452-4f96-b562-a5be9918e6bf","block_type":"box","text":"See Appendix A to this SAI for a description of applicable securities ratings.","page_number":46,"box":{"x":102,"y":559,"width":536,"height":11}},{"id":"d41e8e8b-78a8-486a-88cd-f726cdfca435","block_type":"box","text":"High Yield Investments (“Junk Bonds”).","page_number":46,"box":{"x":102,"y":582,"width":278,"height":11}},{"id":"0f48b58e-458e-47eb-8115-af220c930e90","block_type":"box","text":"Non-investment grade or “high yield” fixed-income or convertible securities commonly known to investors as","page_number":46,"box":{"x":102,"y":604,"width":767,"height":11}},{"id":"ce4d4391-8014-47a8-aa13-c9703d3d62cc","block_type":"box","text":"“junk bonds” are debt securities that are rated below investment grade by the major rating agencies or are securities","page_number":46,"box":{"x":70,"y":619,"width":834,"height":11}},{"id":"1be84035-4c52-4f30-9c28-22fd6fe36478","block_type":"box","text":"that Fund management believes are of comparable quality. While generally providing greater income and opportunity","page_number":46,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"346fc78a-3853-4a70-81e4-4ea5f8718df5","block_type":"box","text":"for gain, non-investment grade debt securities may be subject to greater risks than securities which have higher credit","page_number":46,"box":{"x":68,"y":649,"width":841,"height":12}},{"id":"4b20687b-aa5b-45fb-bbbe-f7ef5a9ecea9","block_type":"box","text":"ratings, including a high risk of default, and their yields will fluctuate over time. High yield securities will generally be","page_number":46,"box":{"x":69,"y":664,"width":827,"height":12}},{"id":"c15211de-2956-425a-bcad-86668ed8fd21","block_type":"box","text":"in the lower rating categories of recognized rating agencies (rated “Ba” or lower by Moody’s or “BB” or lower by S&P)","page_number":46,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"f1d81a3a-e8be-480f-aaeb-7afbed9d183a","block_type":"box","text":"or will be non-rated. The credit rating of a high yield security does not necessarily address its market value risk, and","page_number":46,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"8421c119-71b7-471b-942f-e39a2d4d75f5","block_type":"box","text":"ratings may from time to time change, positively or negatively, to reflect developments regarding the issuer’s financial","page_number":46,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"03656613-e50c-4b14-8cdd-f72723d92c02","block_type":"box","text":"condition. High yield securities are considered to be speculative with respect to the capacity of the issuer to timely","page_number":46,"box":{"x":69,"y":725,"width":817,"height":11}},{"id":"556e4e5c-9339-48cc-85e8-1801d868c4dd","block_type":"box","text":"repay principal and pay interest or dividends in accordance with the terms of the obligation and may have more credit","page_number":46,"box":{"x":69,"y":740,"width":837,"height":11}},{"id":"a0d0bd4e-9783-4511-b129-f144da043e6e","block_type":"box","text":"risk than higher rated securities.","page_number":46,"box":{"x":69,"y":755,"width":230,"height":11}},{"id":"2e31c1a4-fd8c-4027-85b4-a25d83cb739c","block_type":"box","text":"The major risks in junk bond investments include the following:","page_number":46,"box":{"x":101,"y":778,"width":447,"height":11}},{"id":"4accec6a-55c6-4fb0-b9a6-7bdc6fba5421","block_type":"box","text":"•","page_number":46,"box":{"x":69,"y":801,"width":6,"height":4}},{"id":"68072872-7cb3-467c-a285-1470192e3a76","block_type":"box","text":"Junk bonds may be issued by less creditworthy companies. These securities are vulnerable to adverse changes","page_number":46,"box":{"x":101,"y":798,"width":796,"height":11}},{"id":"8a3ff1aa-3a97-45f8-9340-6cd20f3b2fd4","block_type":"box","text":"in the issuer’s industry and to general economic conditions. Issuers of junk bonds may be unable to meet their","page_number":46,"box":{"x":102,"y":813,"width":792,"height":11}},{"id":"4d0e823b-fb53-4ccf-8a02-9675562d6fe5","block_type":"box","text":"interest or principal payment obligations because of an economic downturn, specific issuer developments or the","page_number":46,"box":{"x":102,"y":828,"width":799,"height":12}},{"id":"58de283f-bd6b-4eaa-8f75-6538ccec0939","block_type":"box","text":"unavailability of additional financing.","page_number":46,"box":{"x":102,"y":843,"width":256,"height":12}},{"id":"231f419b-09ab-46ea-ae6f-3cf376885134","block_type":"box","text":"•","page_number":46,"box":{"x":69,"y":866,"width":6,"height":5}},{"id":"0355710e-17ac-4ab6-a9a8-d85621cf84bd","block_type":"box","text":"The issuers of junk bonds may have a larger amount of outstanding debt relative to their assets than issuers of","page_number":46,"box":{"x":101,"y":863,"width":797,"height":12}},{"id":"56085367-7136-4380-8185-e5879b929fa4","block_type":"box","text":"investment grade bonds. If the issuer experiences financial stress, it may be unable to meet its debt obligations.","page_number":46,"box":{"x":102,"y":879,"width":804,"height":11}},{"id":"9bdf45f3-a4d3-478d-b1be-6e5c7ee664c2","block_type":"box","text":"The issuer’s ability to pay its debt obligations also may be lessened by specific issuer developments, or the","page_number":46,"box":{"x":101,"y":894,"width":769,"height":11}},{"id":"163f9e73-dc26-4c70-ad51-18f01a1309e4","block_type":"box","text":"II-10","page_number":46,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"222eff5f-6915-4852-882e-dc47f1729ef6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":46,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8c399cc3-4749-43b6-9d52-d9003a42afef","block_type":"box","text":"unavailability of additional financing. Issuers of high yield securities are often in the growth stage of their","page_number":47,"box":{"x":102,"y":45,"width":746,"height":11}},{"id":"627e279c-933e-4bdf-a575-aff24a66718e","block_type":"box","text":"development and/or involved in a reorganization or takeover.","page_number":47,"box":{"x":101,"y":60,"width":432,"height":11}},{"id":"079dfc4d-e7ba-4001-9013-2b9cc3862507","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"f5d3c361-0308-41ae-9fcb-1a6f21b9b61e","block_type":"box","text":"Junk bonds are frequently ranked junior to claims by other creditors. If the issuer cannot meet its obligations, the","page_number":47,"box":{"x":101,"y":80,"width":808,"height":11}},{"id":"c5521701-b04a-4284-915a-af396cae7866","block_type":"box","text":"senior obligations are generally paid off before the junior obligations, which will potentially limit a Fund’s ability","page_number":47,"box":{"x":102,"y":95,"width":789,"height":11}},{"id":"83f39a4f-f841-4c70-97c5-a958d692ed94","block_type":"box","text":"to fully recover principal or to receive interest payments when senior securities are in default. Thus, investors in","page_number":47,"box":{"x":101,"y":110,"width":796,"height":11}},{"id":"a3d11c73-6411-40f5-9a4f-c5be2b26bda4","block_type":"box","text":"high yield securities have a lower degree of protection with respect to principal and interest payments than do","page_number":47,"box":{"x":102,"y":125,"width":782,"height":12}},{"id":"304a7b3a-0154-4b4c-9e83-c97a6a4c83ae","block_type":"box","text":"investors in higher rated securities.","page_number":47,"box":{"x":102,"y":141,"width":249,"height":11}},{"id":"49d9c1fc-0a26-4a35-90be-595a3341b383","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"cbbddb99-b150-46ba-a489-2545e6244e32","block_type":"box","text":"Junk bonds frequently have redemption features that permit an issuer to repurchase the security from a Fund","page_number":47,"box":{"x":101,"y":161,"width":780,"height":11}},{"id":"445568f7-b57d-4940-b874-e517cbe4fd74","block_type":"box","text":"before it matures. If an issuer redeems the junk bonds, a Fund may have to invest the proceeds in bonds with","page_number":47,"box":{"x":102,"y":176,"width":784,"height":11}},{"id":"a0126d06-22ea-471d-aeee-c2a4929157a8","block_type":"box","text":"lower yields and may lose income.","page_number":47,"box":{"x":102,"y":191,"width":242,"height":11}},{"id":"7a3c1940-e99f-48b0-8c88-27c354257c54","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":214,"width":6,"height":4}},{"id":"57e98acb-df2f-4230-a997-80f300ac3e21","block_type":"box","text":"Prices of junk bonds are subject to extreme price fluctuations. Negative economic developments may have a","page_number":47,"box":{"x":102,"y":211,"width":772,"height":11}},{"id":"071bde9d-4582-4f59-823a-3a323f9672f9","block_type":"box","text":"greater impact on the prices of junk bonds than on those of other higher rated fixed-income securities.","page_number":47,"box":{"x":101,"y":226,"width":729,"height":11}},{"id":"094a1307-cf4d-49cf-ba93-c31ef247e3c5","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":249,"width":6,"height":5}},{"id":"3063cd4f-14f4-4260-a5b6-d12c7f0ed1b4","block_type":"box","text":"Junk bonds may be less liquid than higher rated fixed-income securities even under normal economic conditions.","page_number":47,"box":{"x":101,"y":246,"width":802,"height":11}},{"id":"ad7382b7-346c-4356-8a44-37261eb02009","block_type":"box","text":"Under certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield","page_number":47,"box":{"x":102,"y":261,"width":768,"height":12}},{"id":"952e8e29-f8d3-460e-a85f-61e42bad93b6","block_type":"box","text":"securities due to the limited number of investors in that sector of the market. There are fewer dealers in the junk","page_number":47,"box":{"x":102,"y":276,"width":805,"height":12}},{"id":"5f24aaed-224a-45f2-9ecb-d95749489775","block_type":"box","text":"bond market, and there may be significant differences in the prices quoted for junk bonds by the dealers, and","page_number":47,"box":{"x":102,"y":292,"width":781,"height":11}},{"id":"cd3d876b-7e3d-4d1f-8fc7-8daee4a00ccf","block_type":"box","text":"such quotations may not be the actual prices available for a purchase or sale. Because junk bonds are less","page_number":47,"box":{"x":102,"y":307,"width":767,"height":11}},{"id":"381d38d5-991e-48ec-a40a-9441ebccd138","block_type":"box","text":"liquid than higher rated bonds, judgment may play a greater role in valuing certain of a Fund’s portfolio securities","page_number":47,"box":{"x":102,"y":322,"width":806,"height":11}},{"id":"c488742e-a0b8-4ca4-9f57-0b6ffe8e7bf3","block_type":"box","text":"than in the case of securities trading in a more liquid market.","page_number":47,"box":{"x":101,"y":337,"width":436,"height":11}},{"id":"2cd386bd-dd79-4a61-9e47-a0e0e0a269bf","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"942239ba-76ab-4e9c-8732-73cc2327fa25","block_type":"box","text":"The secondary markets for high yield securities are not as liquid as the secondary markets for higher rated","page_number":47,"box":{"x":101,"y":357,"width":763,"height":11}},{"id":"3fc73456-4354-4e66-b7af-9bef0153fd2c","block_type":"box","text":"securities. The secondary markets for high yield securities are concentrated in relatively few market makers and","page_number":47,"box":{"x":102,"y":372,"width":798,"height":11}},{"id":"9a4410b9-8278-45ae-b199-ac97b9a91900","block_type":"box","text":"participants in the markets are mostly institutional investors, including insurance companies, banks, other","page_number":47,"box":{"x":102,"y":388,"width":759,"height":11}},{"id":"f8e8788a-fb3c-4f77-8b42-688afa40d431","block_type":"box","text":"financial institutions and mutual funds. In addition, the trading volume for high yield securities is generally lower","page_number":47,"box":{"x":101,"y":402,"width":798,"height":12}},{"id":"9bf52586-29d5-4994-a265-1a6a6df735c5","block_type":"box","text":"than that for higher rated securities and the secondary markets could contract under adverse market or","page_number":47,"box":{"x":101,"y":418,"width":739,"height":11}},{"id":"7ea91ff8-284b-41b3-99c0-aa877806ea66","block_type":"box","text":"economic conditions independent of any specific adverse changes in the condition of a particular issuer. Under","page_number":47,"box":{"x":101,"y":433,"width":792,"height":11}},{"id":"bc0eb501-34d8-44a3-8ad0-a80ea3c64fc5","block_type":"box","text":"certain economic and/or market conditions, a Fund may have difficulty disposing of certain high yield securities","page_number":47,"box":{"x":101,"y":448,"width":797,"height":11}},{"id":"aa5c0795-2d2c-409a-8828-16f355848a25","block_type":"box","text":"due to the limited number of investors in that sector of the market. An illiquid secondary market may adversely","page_number":47,"box":{"x":101,"y":463,"width":791,"height":11}},{"id":"c44ac38d-f304-4024-907b-2e8fb20c29cb","block_type":"box","text":"affect the market price of the high yield security, which may result in increased difficulty selling the particular","page_number":47,"box":{"x":102,"y":478,"width":777,"height":11}},{"id":"1bbbcf77-597d-4c6e-9a3d-c948d07e84c3","block_type":"box","text":"issue and obtaining accurate market quotations on the issue when valuing a Fund’s assets. Market quotations","page_number":47,"box":{"x":102,"y":493,"width":788,"height":11}},{"id":"21f4d98d-8f56-471a-b54d-d1554120ed8e","block_type":"box","text":"on high yield securities are available only from a limited number of dealers, and such quotations may not be the","page_number":47,"box":{"x":102,"y":508,"width":797,"height":12}},{"id":"3b50c0bd-03fb-4d28-b499-c280a09e791f","block_type":"box","text":"actual prices available for a purchase or sale. When the secondary market for high yield securities becomes","page_number":47,"box":{"x":102,"y":523,"width":769,"height":12}},{"id":"c42df322-0855-4ef0-bba1-b615a38a92eb","block_type":"box","text":"more illiquid, or in the absence of readily available market quotations for such securities, the relative lack of","page_number":47,"box":{"x":102,"y":538,"width":772,"height":12}},{"id":"e130317d-e8cd-405f-ba7c-a808f67fab58","block_type":"box","text":"reliable objective data makes it more difficult to value a Fund’s securities, and judgment plays a more important","page_number":47,"box":{"x":102,"y":554,"width":801,"height":11}},{"id":"6ce5e0f3-b44c-461a-8969-041e037de84d","block_type":"box","text":"role in determining such valuations.","page_number":47,"box":{"x":102,"y":569,"width":252,"height":11}},{"id":"4e7da928-94a0-44be-b3e4-ce494d9e01d7","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":592,"width":6,"height":4}},{"id":"17b3f2ea-a62f-4a20-ba2a-c921d19bb3ba","block_type":"box","text":"A Fund may incur expenses to the extent necessary to seek recovery upon default or to negotiate new terms with","page_number":47,"box":{"x":101,"y":589,"width":808,"height":11}},{"id":"b28cb999-f8f0-4d1c-8cf3-ff2bef8e0703","block_type":"box","text":"a defaulting issuer.","page_number":47,"box":{"x":102,"y":604,"width":134,"height":11}},{"id":"4f2b75de-3ae5-4510-afc5-94ea7a523344","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":627,"width":6,"height":5}},{"id":"f5e1fdd3-c4b2-4400-9f2d-68c74ab7ebf1","block_type":"box","text":"The junk bond markets may react strongly to adverse news about an issuer or the economy, or to the perception","page_number":47,"box":{"x":101,"y":624,"width":800,"height":11}},{"id":"e7e69af2-685e-4ccb-bf29-c12fabcc224b","block_type":"box","text":"or expectation of adverse news, whether or not it is based on fundamental analysis. Additionally, prices for high","page_number":47,"box":{"x":102,"y":639,"width":793,"height":12}},{"id":"ec171b8f-b2ab-45ad-93b9-6169b68cd2b7","block_type":"box","text":"yield securities may be affected by legislative and regulatory developments. These developments could adversely","page_number":47,"box":{"x":101,"y":654,"width":808,"height":12}},{"id":"b3fff3f9-c21c-43c9-bef7-ec43105ce998","block_type":"box","text":"affect a Fund’s NAV and investment practices, the secondary market for high yield securities, the financial","page_number":47,"box":{"x":102,"y":669,"width":756,"height":12}},{"id":"2f065422-3376-4a3a-bb0f-1bc317192bbf","block_type":"box","text":"condition of issuers of these securities and the value and liquidity of outstanding high yield securities, especially","page_number":47,"box":{"x":101,"y":685,"width":803,"height":11}},{"id":"ee5855eb-3bff-40ae-8eda-b91294d2972b","block_type":"box","text":"in a thinly traded market. For example, federal legislation requiring the divestiture by federally insured savings","page_number":47,"box":{"x":102,"y":700,"width":781,"height":11}},{"id":"dc9faaf3-d79f-4981-ab40-5e92abc1e32b","block_type":"box","text":"and loan associations of their investments in high yield bonds and limiting the deductibility of interest by certain","page_number":47,"box":{"x":102,"y":715,"width":798,"height":11}},{"id":"b4105c22-7d1b-44d1-9906-2a2d103e5c61","block_type":"box","text":"corporate issuers of high yield bonds adversely affected the market in the past.","page_number":47,"box":{"x":101,"y":730,"width":566,"height":11}},{"id":"1f54a15b-08cd-46a6-ad10-1215f2cceb60","block_type":"box","text":"•","page_number":47,"box":{"x":69,"y":753,"width":6,"height":5}},{"id":"0a48ca6e-a954-486d-aacc-4adcf189d953","block_type":"box","text":"The rating assigned by a rating agency evaluates the issuing agency’s assessment of the safety of a non","page_number":47,"box":{"x":101,"y":750,"width":751,"height":11}},{"id":"acfae04d-667a-47ce-9fd2-02702da14f7c","block_type":"box","text":"investment grade security’s principal and interest payments, but does not address market value risk. Because","page_number":47,"box":{"x":102,"y":766,"width":786,"height":11}},{"id":"3454fa9e-5614-48ae-a0c6-385597f8e236","block_type":"box","text":"such ratings of the ratings agencies may not always reflect current conditions and events, in addition to using","page_number":47,"box":{"x":102,"y":780,"width":782,"height":12}},{"id":"e8be83c7-5fd2-4065-acc3-7b56ef20e70d","block_type":"box","text":"recognized rating agencies and other sources, the Manager or sub-adviser performs its own analysis of the","page_number":47,"box":{"x":102,"y":795,"width":762,"height":12}},{"id":"622f6383-9562-4b0c-b1ae-08e5893ad909","block_type":"box","text":"issuers whose non-investment grade securities a Fund holds. Because of this, the Fund’s performance may","page_number":47,"box":{"x":102,"y":811,"width":767,"height":11}},{"id":"ba0734eb-12fb-4dc8-a7c7-50b22f32801d","block_type":"box","text":"depend more on the Manager’s or sub-adviser’s own credit analysis than in the case of mutual funds investing in","page_number":47,"box":{"x":101,"y":826,"width":806,"height":11}},{"id":"92628f09-6495-42d6-8f85-f93c598e7302","block_type":"box","text":"higher-rated securities.","page_number":47,"box":{"x":102,"y":841,"width":161,"height":11}},{"id":"22a11314-440f-45d5-8a05-481ff2bdba93","block_type":"box","text":"In selecting non-investment grade securities, the Manager or sub-adviser considers factors such as those","page_number":47,"box":{"x":102,"y":863,"width":751,"height":12}},{"id":"f919c504-7f1e-4e1a-b959-0a9161c1523c","block_type":"box","text":"relating to the creditworthiness of issuers, the ratings and performance of the securities, the protections afforded","page_number":47,"box":{"x":69,"y":879,"width":814,"height":11}},{"id":"b113b73d-e92b-4179-9f5c-701930463a0a","block_type":"box","text":"the securities and the diversity of the Fund. The Manager or sub-adviser continuously monitors the issuers of non","page_number":47,"box":{"x":68,"y":894,"width":812,"height":11}},{"id":"6e3d7ca7-2781-491e-a207-d77728ac93a7","block_type":"box","text":"investment grade securities held by the Fund for their ability to make required principal and interest payments, as","page_number":47,"box":{"x":70,"y":909,"width":808,"height":11}},{"id":"6e8e06a1-9cde-41a6-a208-821a1522bbf3","block_type":"box","text":"II-11","page_number":47,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"dfd35f9d-ed8c-41d8-b29b-02d69636c449","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":47,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"46a8fd6a-40fb-46ea-a5df-b42a1eafa907","block_type":"box","text":"well as in an effort to control the liquidity of the Fund so that it can meet redemption requests. If a security’s rating","page_number":48,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"c4aced1c-5d89-44b9-b61c-5cfab06be919","block_type":"box","text":"is reduced below the minimum credit rating that is permitted for a Fund, the Fund’s adviser or sub-adviser will","page_number":48,"box":{"x":70,"y":60,"width":779,"height":11}},{"id":"09379d38-291a-438c-a209-19e96148706b","block_type":"box","text":"consider whether the Fund should continue to hold the security.","page_number":48,"box":{"x":69,"y":75,"width":451,"height":11}},{"id":"fb3cc9d2-666a-4019-b1f9-d5cd21dd71ae","block_type":"box","text":"In the event that a Fund investing in high yield securities experiences an unexpected level of net redemptions,","page_number":48,"box":{"x":102,"y":98,"width":782,"height":11}},{"id":"26d38f3c-3ccd-4dc3-a534-50cc4c859992","block_type":"box","text":"the Fund could be forced to sell its holdings without regard to the investment merits, thereby decreasing the assets","page_number":48,"box":{"x":68,"y":113,"width":825,"height":11}},{"id":"8b038571-a8fb-4e10-8711-132c1d91cffe","block_type":"box","text":"upon which the Fund’s rate of return is based.","page_number":48,"box":{"x":69,"y":128,"width":328,"height":11}},{"id":"382f017b-ee1d-494c-9e4f-c29425e89fdd","block_type":"box","text":"The costs attributable to investing in the junk bond markets are usually higher for several reasons, such as","page_number":48,"box":{"x":101,"y":150,"width":764,"height":12}},{"id":"e0c05ecf-e291-41ba-aa25-d02760069f37","block_type":"box","text":"higher investment research costs and higher commission costs.","page_number":48,"box":{"x":69,"y":166,"width":455,"height":11}},{"id":"a2fdb883-a63b-4090-91c0-9161c4a20208","block_type":"box","text":"Mezzanine Investments.","page_number":48,"box":{"x":102,"y":188,"width":170,"height":9}},{"id":"6c061ea4-c850-4e48-ad24-c53077184e08","block_type":"box","text":"Certain Funds, consistent with their restrictions on investing in securities of a specific","page_number":48,"box":{"x":279,"y":188,"width":612,"height":12}},{"id":"2b039e38-2d71-4780-a408-ea93ec3b14f6","block_type":"box","text":"credit quality, may invest in certain high yield securities known as mezzanine investments, which are subordinated","page_number":48,"box":{"x":69,"y":204,"width":813,"height":11}},{"id":"e0cf7058-bc03-4cca-aea7-f770d682a9e0","block_type":"box","text":"debt securities which are generally issued in private placements in connection with an equity security (","page_number":48,"box":{"x":69,"y":219,"width":729,"height":11}},{"id":"230238be-9614-4c8b-9ade-92dfc80a58a5","block_type":"box","text":"e.g.","page_number":48,"box":{"x":800,"y":220,"width":24,"height":10}},{"id":"c7281e33-a9b4-4830-8ebb-858c6439b4ba","block_type":"box","text":", with","page_number":48,"box":{"x":827,"y":219,"width":36,"height":10}},{"id":"539d0274-1518-4c3c-9c77-322c20f9d598","block_type":"box","text":"attached warrants). Such mezzanine investments may be issued with or without registration rights. Similar to other","page_number":48,"box":{"x":69,"y":234,"width":818,"height":11}},{"id":"01820361-5a3c-42f9-9a54-1c74f9a630d3","block_type":"box","text":"high yield securities, maturities of mezzanine investments are typically seven to ten years, but the expected average","page_number":48,"box":{"x":69,"y":249,"width":827,"height":11}},{"id":"fe2c43ac-8163-407f-9cda-229946e4aa0b","block_type":"box","text":"life is significantly shorter at three to five years. Mezzanine investments are usually unsecured and subordinate to","page_number":48,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"8d5715e7-441d-4ee2-96b9-94d29380ac59","block_type":"box","text":"other obligations of the issuer.","page_number":48,"box":{"x":69,"y":279,"width":216,"height":11}},{"id":"f284a143-d959-412d-b565-56ae9744474b","block_type":"box","text":"Pay-in-kind Bonds.","page_number":48,"box":{"x":102,"y":302,"width":127,"height":11}},{"id":"84461312-ae7a-4fb8-8ed2-e267f2ee6503","block_type":"box","text":"Certain Funds may invest in pay-in-kind, or PIK, bonds. PIK bonds are bonds which pay","page_number":48,"box":{"x":236,"y":302,"width":615,"height":11}},{"id":"bf7a2472-3479-4fa3-b6d3-97de931ba8cd","block_type":"box","text":"interest through the issuance of additional debt or equity securities. Similar to zero coupon obligations, pay-in-kind","page_number":48,"box":{"x":70,"y":317,"width":813,"height":11}},{"id":"297c3c66-09ba-4713-ac5d-8cd3e7179d5e","block_type":"box","text":"bonds also carry additional risk as holders of these types of securities realize no cash until the cash payment date","page_number":48,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"9ccdebb2-be8a-4302-96e7-ae35c476d25b","block_type":"box","text":"unless a portion of such securities is sold and, if the issuer defaults, a Fund may obtain no return at all on its","page_number":48,"box":{"x":69,"y":347,"width":784,"height":11}},{"id":"8756645c-25b5-4698-81bc-7998e5e62cb6","block_type":"box","text":"investment. The market price of pay-in-kind bonds is affected by interest rate changes to a greater extent, and","page_number":48,"box":{"x":70,"y":362,"width":783,"height":11}},{"id":"a8a00dd7-d477-4681-b398-72d2a23e3574","block_type":"box","text":"therefore tends to be more volatile, than that of securities which pay interest in cash. Additionally, current U.S.","page_number":48,"box":{"x":68,"y":377,"width":790,"height":11}},{"id":"6aefa84a-91ce-4a75-afac-864f32539082","block_type":"box","text":"federal tax law requires the holder of pay-in-kind bonds to accrue income with respect to these securities prior to the","page_number":48,"box":{"x":68,"y":392,"width":831,"height":12}},{"id":"be86c958-e7d5-4a61-aa3f-e36897b7d672","block_type":"box","text":"receipt of cash payments. To maintain its qualification as a regulated investment company and avoid liability for U.S.","page_number":48,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"7bdee918-dd6f-491c-acca-132aa9f1157a","block_type":"box","text":"federal income and excise taxes, each Fund may be required to distribute income accrued with respect to these","page_number":48,"box":{"x":68,"y":423,"width":798,"height":11}},{"id":"5c317d77-0db9-4546-9637-c3edb581a6d8","block_type":"box","text":"securities and may have to dispose of portfolio securities under disadvantageous circumstances in order to generate","page_number":48,"box":{"x":69,"y":438,"width":835,"height":11}},{"id":"e62b8cac-0e02-430a-99a1-8bb1dc7fd8b9","block_type":"box","text":"cash to satisfy these distribution requirements.","page_number":48,"box":{"x":69,"y":453,"width":336,"height":11}},{"id":"06f52d83-d871-41b0-aba1-dbde1710c8b5","block_type":"box","text":"Supranational Entities.","page_number":48,"box":{"x":102,"y":476,"width":160,"height":10}},{"id":"1a537fe8-09a8-4ecf-a3a5-94861786524d","block_type":"box","text":"A Fund may invest in debt securities of supranational entities. Examples of such entities","page_number":48,"box":{"x":268,"y":475,"width":629,"height":12}},{"id":"56e5b66a-06c8-4938-93b4-5460c714f0ec","block_type":"box","text":"include the International Bank for Reconstruction and Development (the World Bank), the European Steel and Coal","page_number":48,"box":{"x":70,"y":491,"width":814,"height":11}},{"id":"5688e8a6-ecf6-4c2f-b677-f3466c764e57","block_type":"box","text":"Community, the Asian Development Bank and the Inter-American Development Bank. The government members, or","page_number":48,"box":{"x":69,"y":506,"width":817,"height":11}},{"id":"05162929-8d53-4c02-8afe-80d5297c183d","block_type":"box","text":"“stockholders,” usually make initial capital contributions to the supranational entity and in many cases are","page_number":48,"box":{"x":70,"y":521,"width":759,"height":11}},{"id":"244e65f2-b4f9-4402-8dbb-3e82aea3ac9c","block_type":"box","text":"committed to make additional capital contributions if the supranational entity is unable to repay its borrowings. There","page_number":48,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"32ba5667-5062-45e7-b92e-c5ef614d0ae7","block_type":"box","text":"is no guarantee that one or more stockholders of a supranational entity will continue to make any necessary","page_number":48,"box":{"x":70,"y":551,"width":772,"height":11}},{"id":"eff61a83-6f01-49be-b87b-2bb8dd29fce6","block_type":"box","text":"additional capital contributions. If such contributions are not made, the entity may be unable to pay interest or repay","page_number":48,"box":{"x":69,"y":566,"width":830,"height":11}},{"id":"0d3134b1-790b-4ca9-b87f-9dad37a52dc1","block_type":"box","text":"principal on its debt securities, and a Fund may lose money on such investments.","page_number":48,"box":{"x":70,"y":582,"width":580,"height":10}},{"id":"483984bc-0387-448e-acbd-421a57bcc81c","block_type":"box","text":"Depositary Receipts (ADRs, EDRs and GDRs).","page_number":48,"box":{"x":102,"y":604,"width":334,"height":11}},{"id":"284cab96-6eb3-4a9f-876d-db21b7108bc0","block_type":"box","text":"Certain Funds may invest in the securities of foreign issuers in","page_number":48,"box":{"x":442,"y":604,"width":446,"height":11}},{"id":"7e8db6e7-1301-42fe-9725-c05ceee9dc0b","block_type":"box","text":"the form of Depositary Receipts or other securities convertible into securities of foreign issuers. Depositary Receipts","page_number":48,"box":{"x":68,"y":619,"width":835,"height":11}},{"id":"6012c88e-e021-4e63-971c-fa0d2f51875b","block_type":"box","text":"may not necessarily be denominated in the same currency as the underlying securities into which they may be","page_number":48,"box":{"x":69,"y":634,"width":784,"height":12}},{"id":"6c97a15b-4781-4d11-a0b3-04ca06b15617","block_type":"box","text":"converted. The Fund may invest in both sponsored and unsponsored American Depositary Receipts (“ADRs”),","page_number":48,"box":{"x":69,"y":650,"width":781,"height":11}},{"id":"351f9cf3-968a-47a3-92e6-363e2a600275","block_type":"box","text":"European Depositary Receipts (“EDRs”), Global Depositary Receipts (“GDRs”) and other similar global instruments.","page_number":48,"box":{"x":70,"y":665,"width":823,"height":11}},{"id":"d18e7ab1-ad86-445a-aabc-2dc1fd54165b","block_type":"box","text":"ADRs typically are issued by an American bank or trust company and evidence ownership of underlying securities","page_number":48,"box":{"x":68,"y":680,"width":804,"height":11}},{"id":"392c0407-eaaf-4621-981e-f6f0fd20ca2b","block_type":"box","text":"issued by a foreign corporation. EDRs, which are sometimes referred to as Continental Depositary Receipts, are","page_number":48,"box":{"x":70,"y":695,"width":799,"height":11}},{"id":"c31d3e60-daf9-4b9c-8848-2603f41a4c8a","block_type":"box","text":"receipts issued in Europe, typically by foreign banks and trust companies, that evidence ownership of either foreign","page_number":48,"box":{"x":69,"y":710,"width":821,"height":11}},{"id":"82a18b94-f520-4f38-bb26-e5a26165c04d","block_type":"box","text":"or domestic underlying securities. GDRs are depositary receipts structured like global debt issues to facilitate trading","page_number":48,"box":{"x":69,"y":725,"width":837,"height":11}},{"id":"82b2267e-01c0-4700-a770-1556ac7f92a4","block_type":"box","text":"on an international basis. In addition to investment risks associated with the underlying issuer, Depositary Receipts","page_number":48,"box":{"x":69,"y":740,"width":825,"height":11}},{"id":"2164e58e-5a13-458c-b2ff-bf6a6759c451","block_type":"box","text":"expose a Fund to additional risks associated with the non-uniform terms that apply to Depositary Receipt programs,","page_number":48,"box":{"x":69,"y":755,"width":825,"height":11}},{"id":"3d02cc78-85b2-4a5f-8c93-0a3073f198b0","block_type":"box","text":"credit exposure to the depository bank and to the sponsors and other parties with whom the depository bank","page_number":48,"box":{"x":69,"y":771,"width":780,"height":10}},{"id":"d034f53d-3447-4809-b4de-a7d397845d26","block_type":"box","text":"establishes the programs, currency risk and the risk of an illiquid market for Depositary Receipts. Unsponsored ADR,","page_number":48,"box":{"x":69,"y":785,"width":833,"height":12}},{"id":"6120b563-4157-4279-ae7f-c187ec9495db","block_type":"box","text":"EDR and GDR programs are organized independently and without the cooperation of the issuer of the underlying","page_number":48,"box":{"x":70,"y":801,"width":796,"height":11}},{"id":"0e74ff9b-21a0-4100-99e3-368a3f90c37f","block_type":"box","text":"securities. Unsponsored programs generally expose investors to greater risks than sponsored programs and do not","page_number":48,"box":{"x":69,"y":816,"width":822,"height":11}},{"id":"0b4d362c-31ff-410d-b342-0094322e0e6d","block_type":"box","text":"provide holders with many of the shareholder benefits that come from investing in a sponsored Depositary Receipt.","page_number":48,"box":{"x":70,"y":831,"width":820,"height":11}},{"id":"5de0d6aa-1a0e-4dd8-8f9a-f49e13ef9d8e","block_type":"box","text":"Available information concerning the issuer may not be as current as for sponsored ADRs, EDRs and GDRs, and the","page_number":48,"box":{"x":68,"y":846,"width":827,"height":11}},{"id":"0e3ac828-052a-4efc-884f-6e0a5425604a","block_type":"box","text":"prices of unsponsored ADRs, EDRs and GDRs may be more volatile than if such instruments were sponsored by the","page_number":48,"box":{"x":70,"y":861,"width":825,"height":11}},{"id":"7f750abf-08bf-4553-b86f-4097deec8467","block_type":"box","text":"issuer. Depositary Receipts are generally subject to the same risks as the foreign securities that they evidence or","page_number":48,"box":{"x":70,"y":876,"width":810,"height":11}},{"id":"dbbf90f0-0c07-43ba-ac05-c58aceeb854d","block_type":"box","text":"into which they may be converted. Investments in ADRs, EDRs and GDRs present additional investment","page_number":48,"box":{"x":70,"y":891,"width":737,"height":11}},{"id":"895326b4-6fea-4dfc-a6ac-bb4251868f77","block_type":"box","text":"considerations as described under “Foreign Investment Risks.”","page_number":48,"box":{"x":69,"y":907,"width":449,"height":11}},{"id":"4205ce78-a169-4cf3-a502-f731e07b6690","block_type":"box","text":"II-12","page_number":48,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3e291444-6bab-41e3-9a02-4cd0c34a7919","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":48,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f0db2de5-7d49-456a-94fe-43ec5a393719","block_type":"box","text":"Derivatives.","page_number":49,"box":{"x":102,"y":45,"width":84,"height":9}},{"id":"4247a818-e53f-4a22-93d4-e672991f940a","block_type":"box","text":"General.","page_number":49,"box":{"x":102,"y":67,"width":58,"height":9}},{"id":"697ec1fc-9e94-408c-ae1e-8ab2dd3ff874","block_type":"box","text":"Each Fund may use instruments referred to as derivatives, which are financial instruments that derive","page_number":49,"box":{"x":167,"y":67,"width":725,"height":11}},{"id":"c0e3a298-3f75-4bb4-b057-fb43d2941ff4","block_type":"box","text":"their value from one or more securities, commodities (such as gold or oil), currencies, interest rates, credit events or","page_number":49,"box":{"x":68,"y":82,"width":836,"height":12}},{"id":"980cd2f7-6b7c-407e-9373-fa1035ebcb78","block_type":"box","text":"indices (a measure of value or rates, such as the S&P 500 Index or the prime lending rate) or other reference asset.","page_number":49,"box":{"x":70,"y":98,"width":829,"height":11}},{"id":"dbf55ce0-fc6a-4195-8060-4ff6b9452f12","block_type":"box","text":"Derivatives may allow a Fund to increase or decrease the level of risk to which the Fund is exposed more quickly and","page_number":49,"box":{"x":70,"y":113,"width":830,"height":11}},{"id":"f3af6c79-6bf3-4cf9-a64d-02ef4e0be62c","block_type":"box","text":"efficiently than with other transactions. Certain Funds may use derivatives to maintain a portion of their long and","page_number":49,"box":{"x":69,"y":128,"width":804,"height":11}},{"id":"c6a417f0-c761-4d4e-8941-e58e0a81faaa","block_type":"box","text":"short positions. Unless otherwise permitted, no Fund may use derivatives to gain exposure to an asset or asset","page_number":49,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"3fd3874d-566b-4a0e-be23-bf4f3760d64e","block_type":"box","text":"class it is prohibited by its investment restrictions from purchasing directly. As described below, derivatives can be","page_number":49,"box":{"x":69,"y":158,"width":816,"height":11}},{"id":"83cdb380-ec90-47eb-ae02-75a0b3c9fb40","block_type":"box","text":"used for hedging or speculative purposes. Funds will engage in transaction-level payment netting,","page_number":49,"box":{"x":69,"y":173,"width":691,"height":11}},{"id":"effc0138-6f3c-497d-9882-f03fce8621a2","block_type":"box","text":"i.e.","page_number":49,"box":{"x":768,"y":173,"width":20,"height":9}},{"id":"dead20ed-a7d3-4eaa-9871-6e46271bd7cc","block_type":"box","text":", the payment","page_number":49,"box":{"x":791,"y":173,"width":96,"height":11}},{"id":"c0be93ed-d30d-4ebf-b6d2-5c52461d0514","block_type":"box","text":"obligations of derivatives contracts are netted against one another with the Fund receiving or paying, as the case may","page_number":49,"box":{"x":69,"y":188,"width":839,"height":12}},{"id":"086007d6-f1bd-4e1b-8ca9-d35a24497dc2","block_type":"box","text":"be, only the net amount of the two payment streams.","page_number":49,"box":{"x":69,"y":203,"width":378,"height":12}},{"id":"9cc9d3ba-1277-4047-ad5a-b6a181b0e0a2","block_type":"box","text":"Hedging.","page_number":49,"box":{"x":102,"y":226,"width":60,"height":11}},{"id":"0022fbaa-00b8-4298-9057-75d5d5dfa5e1","block_type":"box","text":"Each Fund may use derivatives for hedging purposes, in which a derivative is used to offset the risks","page_number":49,"box":{"x":169,"y":226,"width":717,"height":11}},{"id":"019f6c5b-96be-4a0c-8406-577941bb8f3a","block_type":"box","text":"associated with other Fund holdings. Losses on other investments may be substantially reduced by gains on a","page_number":49,"box":{"x":69,"y":241,"width":786,"height":11}},{"id":"8634bb50-e015-4405-8999-0c3b7daae832","block_type":"box","text":"derivative that reacts in an opposite manner to market movements. Although hedging may reduce losses, it may also","page_number":49,"box":{"x":69,"y":257,"width":834,"height":11}},{"id":"a2498e90-8963-4080-9080-0a0c9554084e","block_type":"box","text":"reduce or eliminate gains. In addition, hedging may cause losses if the market moves in an unanticipated manner, or","page_number":49,"box":{"x":69,"y":271,"width":834,"height":12}},{"id":"6d0bbcb6-5289-4226-ace0-87fbcf4a7b73","block_type":"box","text":"if the cost of the derivative outweighs the benefit of the hedge. The effectiveness of hedging may be reduced by","page_number":49,"box":{"x":70,"y":286,"width":797,"height":12}},{"id":"ad206677-4c22-4752-b9af-36105d9a15ee","block_type":"box","text":"correlation risk,","page_number":49,"box":{"x":69,"y":302,"width":109,"height":10}},{"id":"f456636f-3cd1-4c01-bf87-31d9160fa372","block_type":"box","text":"i.e.","page_number":49,"box":{"x":186,"y":302,"width":20,"height":9}},{"id":"12381925-9a1a-4732-a473-30120674d2b6","block_type":"box","text":", the risk that changes in the value of the derivative will not match those of the holdings being","page_number":49,"box":{"x":209,"y":302,"width":669,"height":11}},{"id":"4432ffb7-9209-4463-bf49-f10406e202a1","block_type":"box","text":"hedged as expected by a Fund, which may result in additional losses to the Fund. The inability to close or offset","page_number":49,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"0e5e1007-0315-4901-838d-0f806645810e","block_type":"box","text":"derivatives could also reduce the effectiveness of a Fund’s hedging. There is no assurance that a Fund’s hedging will","page_number":49,"box":{"x":69,"y":332,"width":835,"height":11}},{"id":"5de47d65-ed45-4149-98b1-6a0fed82577c","block_type":"box","text":"be effective. No Fund is required to use derivatives to hedge.","page_number":49,"box":{"x":69,"y":347,"width":434,"height":11}},{"id":"631ac557-b247-484b-bb68-ff8e51a0c926","block_type":"box","text":"Speculation.","page_number":49,"box":{"x":102,"y":370,"width":86,"height":11}},{"id":"a721d38d-4937-49ab-b91a-d7e6137e68d9","block_type":"box","text":"Certain Funds may also use derivatives for speculative purposes to seek to enhance returns. The","page_number":49,"box":{"x":195,"y":370,"width":694,"height":11}},{"id":"9f36a6cf-6445-4b13-8668-7ec5784e747a","block_type":"box","text":"use of a derivative is speculative if the Fund is primarily seeking to achieve gains, rather than offset the risk of other","page_number":49,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"2d22a07c-46c3-43a6-b216-208a8d9d80e6","block_type":"box","text":"positions. To the extent a Fund invests in a derivative for speculative purposes, the Fund will be fully exposed to the","page_number":49,"box":{"x":70,"y":400,"width":824,"height":11}},{"id":"12203e04-bd43-4ccf-aefd-5de9fdedc8e9","block_type":"box","text":"risks of loss of that derivative, which may sometimes be greater than the derivative’s cost, and the potential for loss","page_number":49,"box":{"x":69,"y":415,"width":831,"height":11}},{"id":"095a68eb-24fb-4583-ac5f-a3b8f72dc3c5","block_type":"box","text":"in certain cases may be unlimited.","page_number":49,"box":{"x":70,"y":430,"width":243,"height":11}},{"id":"a1a0e9a7-ba1d-45a6-bfbd-9547c341a10a","block_type":"box","text":"Regulation of Derivatives.","page_number":49,"box":{"x":102,"y":453,"width":180,"height":11}},{"id":"dcccc786-5676-467c-966c-6103adc8c539","block_type":"box","text":"Rule 18f-4 Under the Investment Company Act.","page_number":49,"box":{"x":102,"y":475,"width":333,"height":12}},{"id":"ebee2fbd-47fe-4271-8333-bd9528b6e6c3","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to","page_number":49,"box":{"x":442,"y":475,"width":458,"height":12}},{"id":"439f2632-6720-4764-ae9d-51218dde345f","block_type":"box","text":"enter into Derivatives Transactions (as defined below) and certain other transactions notwithstanding the restrictions","page_number":49,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"f6397eb9-8e58-4a29-a143-7712cc392ee5","block_type":"box","text":"on the issuance of “senior securities” under Section 18 of the Investment Company Act. Section 18 of the","page_number":49,"box":{"x":69,"y":506,"width":759,"height":11}},{"id":"b432ee49-fdc3-4b0e-8f67-0e351f5cad6b","block_type":"box","text":"Investment Company Act, among other things, prohibits open-end funds, including the Funds, from issuing or selling","page_number":49,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"d22e134c-831d-4fa7-a076-e7e9d286f8e9","block_type":"box","text":"any “senior security,” other than borrowing from a bank (subject to a requirement to maintain 300% “asset","page_number":49,"box":{"x":69,"y":536,"width":763,"height":11}},{"id":"3fade5de-8225-4f49-a331-65211736da02","block_type":"box","text":"coverage”).","page_number":49,"box":{"x":69,"y":551,"width":79,"height":11}},{"id":"4b1f4445-37d8-4360-a5c9-3bc2d7eb67ca","block_type":"box","text":"Under Rule 18f-4, “Derivatives Transactions” include the following: (1) any swap, security-based swap (including","page_number":49,"box":{"x":102,"y":574,"width":796,"height":11}},{"id":"765c45ab-1467-4d88-9d6f-dc04aeb007d4","block_type":"box","text":"a contract for differences), futures contract, forward contract, option (excluding purchased options), any combination","page_number":49,"box":{"x":69,"y":589,"width":832,"height":11}},{"id":"ae1ae0c9-3eb6-4c81-bce8-979c7dd0b4a3","block_type":"box","text":"of the foregoing, or any similar instrument, under which a Fund is or may be required to make any payment or delivery","page_number":49,"box":{"x":69,"y":604,"width":840,"height":11}},{"id":"2ee5ccbf-dce4-4d21-bae6-203a0cd293ea","block_type":"box","text":"of cash or other assets during the life of the instrument or at maturity or early termination, whether as margin or","page_number":49,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"f3ea50c4-a4fd-44d6-ba44-5aba187f3aa0","block_type":"box","text":"settlement payment or otherwise; (2) any short sale borrowing; (3) reverse repurchase agreements and similar","page_number":49,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"9ec8e186-2629-4cf2-b177-4d3110f42e0a","block_type":"box","text":"financing transactions (","page_number":49,"box":{"x":68,"y":649,"width":166,"height":12}},{"id":"9cb6b462-200a-4e87-91b9-cb0c6c3e3fe7","block_type":"box","text":"e.g.","page_number":49,"box":{"x":236,"y":651,"width":25,"height":10}},{"id":"e61b846f-6f68-4ee1-a319-8a2bf52c3dc4","block_type":"box","text":", recourse and non-recourse tender option bonds, and borrowed bonds), if a Fund elects to","page_number":49,"box":{"x":263,"y":649,"width":646,"height":11}},{"id":"e05abfe0-0518-4c6e-a678-8e82707ff42c","block_type":"box","text":"treat all of these transactions as Derivatives Transactions under Rule 18f-4; and (4) when-issued or forward-settling","page_number":49,"box":{"x":68,"y":664,"width":825,"height":12}},{"id":"69a0d0f7-0b8b-414e-89cf-3f09085b06f3","block_type":"box","text":"securities (","page_number":49,"box":{"x":69,"y":680,"width":78,"height":11}},{"id":"642d9090-f169-4910-8779-afb942ae5b65","block_type":"box","text":"e.g.","page_number":49,"box":{"x":148,"y":681,"width":25,"height":10}},{"id":"0eadf84c-1c4e-4089-a3ad-48f998c47e64","block_type":"box","text":", firm and standby commitments, including to-be-announced (“TBA”) commitments, and dollar rolls)","page_number":49,"box":{"x":176,"y":680,"width":704,"height":11}},{"id":"e2cfdb7b-c87f-4ac2-b3d7-ff318875fbc7","block_type":"box","text":"and non-standard settlement cycle securities, unless such transactions meet the Delayed-Settlement Securities","page_number":49,"box":{"x":69,"y":695,"width":796,"height":11}},{"id":"627b4d68-cea2-40d3-b884-dcd442fa8d96","block_type":"box","text":"Provision (as defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward","page_number":49,"box":{"x":69,"y":710,"width":732,"height":11}},{"id":"68d3a984-3cb7-4c0c-a5e1-ff54fa7453bc","block_type":"box","text":"Commitments”).","page_number":49,"box":{"x":69,"y":725,"width":115,"height":11}},{"id":"9898feee-43bc-4bac-b82e-a372605c336e","block_type":"box","text":"Unless a Fund is relying on the Limited Derivatives User Exception (as defined below), the Fund must comply with","page_number":49,"box":{"x":102,"y":748,"width":805,"height":11}},{"id":"775dcc5f-1c1c-4298-965a-6793b9afe30a","block_type":"box","text":"Rule 18f-4 with respect to its Derivatives Transactions. Rule 18f-4, among other things, requires a Fund to adopt and","page_number":49,"box":{"x":70,"y":763,"width":832,"height":11}},{"id":"2f94d0d4-f4a8-48a8-a1a1-ad59791d38c0","block_type":"box","text":"implement a comprehensive written derivatives risk management program (“DRMP”) and comply with a relative or","page_number":49,"box":{"x":70,"y":778,"width":808,"height":11}},{"id":"32b54e06-9a27-43ef-b303-160b40a45a18","block_type":"box","text":"absolute limit on Fund leverage risk calculated based on value-at-risk (“VaR”). The DRMP is administered by a","page_number":49,"box":{"x":69,"y":793,"width":780,"height":11}},{"id":"b92f75f7-5a08-4718-babc-cba7e1fb6587","block_type":"box","text":"“derivatives risk manager,” who is appointed by the Fund’s Board, including a majority of the independent Directors,","page_number":49,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"e10394ed-9fe3-4bdf-9339-8472f78f059e","block_type":"box","text":"and periodically reviews the DRMP and reports to the Fund’s Board.","page_number":49,"box":{"x":69,"y":823,"width":482,"height":11}},{"id":"eccedc79-080f-4e98-acd0-a1fa0eb7ebf2","block_type":"box","text":"Rule 18f-4 provides an exception from the DRMP, VaR limit and certain other requirements if a Fund’s","page_number":49,"box":{"x":102,"y":846,"width":724,"height":11}},{"id":"6750af98-c4a9-4f61-b812-962f9394304a","block_type":"box","text":"“derivatives exposure” is limited to 10% of its net assets (as calculated in accordance with Rule 18f-4) and the Fund","page_number":49,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"70cdca1c-8da4-4b47-b91d-2a72ce75371f","block_type":"box","text":"adopts and implements written policies and procedures reasonably designed to manage its derivatives risks (the","page_number":49,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"6bb28be8-e783-4d8e-8493-fff84f90efe6","block_type":"box","text":"“Limited Derivatives User Exception”).","page_number":49,"box":{"x":70,"y":891,"width":268,"height":11}},{"id":"1c0ad2bf-dd07-4b0e-bd9f-aff1d532d0e5","block_type":"box","text":"II-13","page_number":49,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bc7eba25-a6e2-4d5b-a107-b3349078092c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":49,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6364220a-b818-430d-a136-5cff3a15f869","block_type":"box","text":"Dodd-Frank Regulations.","page_number":50,"box":{"x":102,"y":45,"width":171,"height":11}},{"id":"461141fe-a1f2-42b1-8b30-cbb3c795eabe","block_type":"box","text":"The Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”),","page_number":50,"box":{"x":279,"y":45,"width":575,"height":11}},{"id":"db3cd0da-a048-480c-a151-b86904528b3c","block_type":"box","text":"enacted in July 2010, includes provisions that comprehensively regulate the over-the-counter (“OTC”) derivatives","page_number":50,"box":{"x":69,"y":60,"width":800,"height":11}},{"id":"5dd9e4aa-4022-4e0e-a9f1-43682096a675","block_type":"box","text":"markets for the first time. While the Commodity Futures Trading Commission (“CFTC”) and other U.S. regulators have","page_number":50,"box":{"x":69,"y":75,"width":834,"height":11}},{"id":"71ad6c2c-b3ca-4e04-8074-e68b730d8dc3","block_type":"box","text":"adopted many of the required Dodd-Frank regulations, certain regulations have only recently become effective and","page_number":50,"box":{"x":69,"y":90,"width":813,"height":11}},{"id":"a0e77d21-c304-44b4-b79d-466ae57c9c7a","block_type":"box","text":"other regulations remain to be adopted. The full impact of Dodd-Frank on the Funds remains uncertain.","page_number":50,"box":{"x":69,"y":105,"width":733,"height":11}},{"id":"e3f1a4d5-9aa5-4570-90ff-219b4560c09c","block_type":"box","text":"Many OTC derivatives dealers are required to register with the CFTC as “swap dealers” and/or with the SEC as","page_number":50,"box":{"x":102,"y":128,"width":789,"height":11}},{"id":"7ee15e0b-464e-4eae-95f2-5533a79085d6","block_type":"box","text":"“security-based swap dealers”. Registered swap dealers and security-based swap dealers are subject to various","page_number":50,"box":{"x":70,"y":143,"width":797,"height":11}},{"id":"84a0c376-43a0-439a-9542-d48a0c6a62f4","block_type":"box","text":"regulatory requirements, including, but not limited to, margin, recordkeeping, reporting, transparency, position limits,","page_number":50,"box":{"x":69,"y":158,"width":833,"height":11}},{"id":"790c3540-7e9e-4481-8dfd-37205899c6b2","block_type":"box","text":"limitations on conflicts of interest, business conduct standards, minimum capital requirements and other regulatory","page_number":50,"box":{"x":70,"y":173,"width":826,"height":11}},{"id":"823ded0a-fa07-4a21-bbcd-0153cfa21dc5","block_type":"box","text":"requirements, which indirectly impact the Funds that enter into transactions with them.","page_number":50,"box":{"x":69,"y":188,"width":618,"height":11}},{"id":"34dbaa59-617c-418b-a6e1-86d57d14a63d","block_type":"box","text":"The CFTC requires that certain interest rate swaps and certain credit default swaps must be executed in","page_number":50,"box":{"x":101,"y":211,"width":745,"height":11}},{"id":"c00944a7-185a-4993-b347-ed082aa1a33e","block_type":"box","text":"regulated markets and be submitted for clearing to regulated clearinghouses. The SEC is also expected to impose","page_number":50,"box":{"x":69,"y":226,"width":813,"height":11}},{"id":"c99084eb-49bd-4776-bc29-c47bf82b5b9b","block_type":"box","text":"similar requirements on certain security-based derivatives in the future. OTC derivatives trades submitted for clearing","page_number":50,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"302d649d-f703-432d-afb5-5d0ae3163805","block_type":"box","text":"are subject to minimum initial and variation margin requirements set by the relevant clearinghouse, as well as margin","page_number":50,"box":{"x":69,"y":257,"width":837,"height":11}},{"id":"93536999-2ccf-4b53-b354-0ae26573497e","block_type":"box","text":"requirements mandated by the CFTC, SEC and/or federal prudential regulators. In addition, futures commission","page_number":50,"box":{"x":69,"y":271,"width":794,"height":12}},{"id":"fe2a7dfd-f0c5-43dc-a85e-daee8149bb6a","block_type":"box","text":"merchants (“FCMs”), who act as clearing members on behalf of customers for cleared OTC derivatives and futures","page_number":50,"box":{"x":69,"y":286,"width":815,"height":12}},{"id":"20e38fd0-493d-4ab4-a571-c0157bb48698","block_type":"box","text":"contracts, also have discretion to increase a Fund’s margin requirements for these transactions beyond any","page_number":50,"box":{"x":69,"y":302,"width":770,"height":11}},{"id":"8646bec1-26d4-410b-bc5a-b217811c6af3","block_type":"box","text":"regulatory and clearinghouse minimums subject to any restrictions on such discretion in the documentation between","page_number":50,"box":{"x":69,"y":317,"width":831,"height":11}},{"id":"cd899279-fc16-4f4b-8ae3-7a71e52489d1","block_type":"box","text":"the FCM and the customer. These regulatory requirements may make it more difficult and costly for the Funds to","page_number":50,"box":{"x":68,"y":332,"width":804,"height":11}},{"id":"e396387a-73d8-48df-8b8f-ccf7c8834731","block_type":"box","text":"enter into highly tailored or customized transactions, potentially rendering certain investment strategies impossible or","page_number":50,"box":{"x":69,"y":347,"width":839,"height":11}},{"id":"e6dfa21d-23ba-4d5e-98ed-fa913e97f86d","block_type":"box","text":"not economically feasible. If a Fund decides to execute and clear cleared OTC derivatives and/or futures contracts","page_number":50,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"d9bb0ccb-c930-4f84-8ddb-ad34337ff3b7","block_type":"box","text":"through execution facilities, exchanges or clearinghouses, either indirectly through an executing broker, clearing","page_number":50,"box":{"x":68,"y":377,"width":796,"height":12}},{"id":"2e6bea46-fcc6-4225-8d2d-1551f6c23330","block_type":"box","text":"member FCM or as a direct member, a Fund would be required to comply with the rules of the execution facility,","page_number":50,"box":{"x":69,"y":392,"width":793,"height":12}},{"id":"20d77df5-c8da-4a94-838a-9729d6d13408","block_type":"box","text":"exchange or clearinghouse and other applicable law.","page_number":50,"box":{"x":69,"y":408,"width":370,"height":11}},{"id":"c97a0cfb-16d5-45c8-b549-0fc2d32100a8","block_type":"box","text":"With respect to cleared OTC derivatives and futures contracts and options on futures, a Fund will not face a","page_number":50,"box":{"x":101,"y":430,"width":766,"height":11}},{"id":"ca634d5c-9b72-4d4f-8ba4-062592c7c974","block_type":"box","text":"clearinghouse directly but rather will do so through a FCM that is registered with the CFTC and/or SEC and that acts","page_number":50,"box":{"x":69,"y":445,"width":826,"height":12}},{"id":"68f3b670-502c-4259-8838-473d01d14647","block_type":"box","text":"as a clearing member. A Fund may face the indirect risk of the failure of another clearing member customer to meet","page_number":50,"box":{"x":69,"y":460,"width":825,"height":12}},{"id":"0559dfe5-80d6-4300-9cb6-2cf42e0c3bca","block_type":"box","text":"its obligations to its clearing member. Such scenario could arise due to a default by the clearing member on its","page_number":50,"box":{"x":70,"y":475,"width":791,"height":12}},{"id":"96c61d51-f7be-4a73-bc90-75cae46adf55","block_type":"box","text":"obligations to the clearinghouse simultaneously with a customer’s failure to meet its obligations to the clearing","page_number":50,"box":{"x":69,"y":491,"width":793,"height":11}},{"id":"89871b52-01d7-4d94-8702-59055fe35d30","block_type":"box","text":"member.","page_number":50,"box":{"x":69,"y":506,"width":60,"height":9}},{"id":"e3710e57-b29f-4df2-a13b-8e6f450eaca1","block_type":"box","text":"Clearing member FCMs are required to post initial margin to the clearinghouses through which they clear their","page_number":50,"box":{"x":102,"y":529,"width":782,"height":11}},{"id":"d0de5213-364d-4828-aec7-e3c92321f4b1","block_type":"box","text":"customers’ cleared OTC derivatives and futures contracts, instead of using such initial margin in their businesses, as","page_number":50,"box":{"x":69,"y":543,"width":837,"height":12}},{"id":"e82e062f-663f-4d19-b2db-dd3a4c955ed2","block_type":"box","text":"was widely permitted for OTC derivatives before Dodd-Frank. While an FCM may require its customer to post initial","page_number":50,"box":{"x":68,"y":559,"width":811,"height":11}},{"id":"264206f6-adb0-4584-a43e-a7507f5b3667","block_type":"box","text":"margin in excess of clearinghouse requirements, and certain clearinghouses may share a portion of their earnings on","page_number":50,"box":{"x":69,"y":574,"width":838,"height":11}},{"id":"d655595d-adb7-4f1f-9ceb-56bc10c58528","block_type":"box","text":"initial margin with their clearing members, some portion of the initial margin that is passed through to the","page_number":50,"box":{"x":70,"y":589,"width":754,"height":11}},{"id":"8df9cd41-fc6b-4cbd-b224-e3bfff56e605","block_type":"box","text":"clearinghouse does not generate earnings for the FCM. The inability of FCMs to earn the same levels of returns on","page_number":50,"box":{"x":69,"y":604,"width":815,"height":11}},{"id":"a43c31cc-2801-44e2-bee7-a7ba8ef096c8","block_type":"box","text":"initial margin for cleared OTC derivatives as they could earn with respect to non-cleared OTC derivatives may cause","page_number":50,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"a683ab4e-2757-40bb-99ca-15eb6cb2f886","block_type":"box","text":"FCMs to charge higher fees, or provide less favorable pricing on cleared OTC derivatives than swap dealers will","page_number":50,"box":{"x":70,"y":634,"width":788,"height":12}},{"id":"f85f08c2-9877-4eae-95cc-09af81f6da71","block_type":"box","text":"provide for non-cleared OTC derivatives. Furthermore, customers, including the Funds, are subject to additional fees","page_number":50,"box":{"x":70,"y":649,"width":825,"height":12}},{"id":"2d90efc6-e6b0-41b5-ad8a-6045876d3845","block_type":"box","text":"payable to FCMs with respect to cleared OTC derivatives, which may raise the cost to Funds of clearing as compared","page_number":50,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"de6035e4-7a14-407e-9edd-c9855d90277b","block_type":"box","text":"to trading non-cleared OTC derivatives bilaterally.","page_number":50,"box":{"x":68,"y":680,"width":346,"height":11}},{"id":"52c48b4f-701e-429c-8c54-bc7dc94b86f9","block_type":"box","text":"With respect to uncleared swaps, registered swap dealers and security-based swap dealers are required to","page_number":50,"box":{"x":101,"y":703,"width":762,"height":11}},{"id":"4ced4623-8cea-4f61-a693-6ae3b7462eac","block_type":"box","text":"exchange variation margin with a Fund and may be required by applicable regulations to collect (and in some cases","page_number":50,"box":{"x":69,"y":718,"width":820,"height":11}},{"id":"3e9f87d5-d7ea-4db6-815a-1cc7e4364695","block_type":"box","text":"exchange) initial margin with a Fund. Both initial and variation margin may be comprised of cash and/or securities,","page_number":50,"box":{"x":69,"y":732,"width":816,"height":12}},{"id":"e8184251-9db8-4cfe-aefb-730637a9e7d2","block_type":"box","text":"subject to applicable regulatory haircuts and other restrictions. Shares of investment companies (other than certain","page_number":50,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"f34918ae-5830-4922-bef0-6b808b342f09","block_type":"box","text":"money market funds) may not be posted as collateral under applicable regulations.","page_number":50,"box":{"x":69,"y":763,"width":590,"height":11}},{"id":"0030da1b-553a-42d2-ad11-6b12f7a7f48f","block_type":"box","text":"The CFTC, certain foreign regulators, and many futures exchanges have established (and continue to evaluate","page_number":50,"box":{"x":101,"y":785,"width":783,"height":12}},{"id":"326e3123-ef08-4e5c-aa05-b2dc9d4e614a","block_type":"box","text":"and monitor) speculative position limits (“position limits”) on the maximum speculative position which any person, or","page_number":50,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"48ad13f4-cf66-44b1-b0fc-0661526529ff","block_type":"box","text":"group of persons acting in concert, may hold or control in particular contracts. In addition, U.S. federal position limits","page_number":50,"box":{"x":68,"y":816,"width":837,"height":11}},{"id":"8a91f2e0-04c1-4654-a378-f56124495923","block_type":"box","text":"apply to swaps that are economically equivalent to futures contracts on certain agricultural, metals and energy","page_number":50,"box":{"x":69,"y":831,"width":789,"height":11}},{"id":"4dda3ee8-41b4-4407-85a6-69db4e212e3f","block_type":"box","text":"commodities. All positions owned or controlled by the same person or entity, even if in different accounts, must be","page_number":50,"box":{"x":69,"y":846,"width":818,"height":11}},{"id":"a4736131-4b0a-4e60-b6e3-80c38a4ec7c6","block_type":"box","text":"aggregated for purposes of complying with the speculative limits. Thus, even if a Fund does not intend to exceed","page_number":50,"box":{"x":69,"y":861,"width":801,"height":11}},{"id":"c693986c-eed0-4278-b2a9-c8cf5f365611","block_type":"box","text":"applicable position limits, it is possible that different clients managed by the Manager and its affiliates may be","page_number":50,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"ce50ac1d-f192-4e4c-98d2-597abfe2a519","block_type":"box","text":"aggregated for this purpose. Therefore, the trading decisions of the Manager may have to be modified and positions","page_number":50,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"e2868aca-6883-4859-b68f-f062a6af1e9f","block_type":"box","text":"held by a Fund liquidated in order to avoid exceeding such limits. The modification of investment decisions or the","page_number":50,"box":{"x":69,"y":906,"width":805,"height":12}},{"id":"78c74d7c-1008-4e45-90b1-f4c390dd074e","block_type":"box","text":"II-14","page_number":50,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e014ddfe-ad6b-4ef4-b131-c0f2beb0505b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":50,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a4019b7a-ec55-4512-beae-9875ec77b19d","block_type":"box","text":"elimination of open positions, if it occurs, may adversely affect the profitability of a Fund. A violation of position limits","page_number":51,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"324a2830-d14f-4a09-af13-57a3afee2bc8","block_type":"box","text":"could also lead to regulatory action materially adverse to a Fund’s investment strategy. A Fund may also be affected","page_number":51,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"d8427bb7-419e-475e-9461-b0a8dd0f61d1","block_type":"box","text":"by other regimes, including those of the European Union and United Kingdom, and trading venues that impose","page_number":51,"box":{"x":69,"y":75,"width":785,"height":11}},{"id":"8066c4bd-7c5b-48c9-8431-19e97851509d","block_type":"box","text":"position limits on commodity derivative contracts.","page_number":51,"box":{"x":70,"y":90,"width":350,"height":11}},{"id":"997f5d43-c20a-43d5-b4df-f56e16f70682","block_type":"box","text":"Additional Regulation of Derivatives.","page_number":51,"box":{"x":101,"y":113,"width":256,"height":11}},{"id":"af70830c-9415-4b92-b72c-95496a444265","block_type":"box","text":"Regulatory bodies outside the U.S. have also passed, proposed, or may","page_number":51,"box":{"x":364,"y":113,"width":513,"height":11}},{"id":"4feedb74-aa96-49d9-a2a9-0be79dafe0f7","block_type":"box","text":"propose in the future, legislation similar to Dodd-Frank or other legislation that could increase the costs of","page_number":51,"box":{"x":70,"y":128,"width":757,"height":11}},{"id":"94de6889-d77e-4e4e-ab8c-465ae7092e45","block_type":"box","text":"participating in, or otherwise adversely impact the liquidity of, participating in the commodities markets. For example,","page_number":51,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"562939ac-47e7-4ecd-9393-66c499f2293a","block_type":"box","text":"the European Market Infrastructure Regulation (Regulation (EU) No 648/2012) (“EMIR”) introduced certain","page_number":51,"box":{"x":68,"y":158,"width":762,"height":11}},{"id":"42929a6b-b61f-4083-a3f8-a395323e8935","block_type":"box","text":"requirements in respect of OTC derivatives including: (i) the mandatory clearing of OTC derivative contracts declared","page_number":51,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"f93d743f-d452-4865-8ba8-06b8ce78f28c","block_type":"box","text":"subject to the clearing obligation; (ii) risk mitigation techniques in respect of uncleared OTC derivative contracts,","page_number":51,"box":{"x":69,"y":188,"width":798,"height":12}},{"id":"b1060b18-aa7e-42a1-bfc0-a8a248331156","block_type":"box","text":"including the mandatory margining of uncleared OTC derivative contracts; and (iii) reporting and recordkeeping","page_number":51,"box":{"x":70,"y":203,"width":785,"height":12}},{"id":"e59a7b17-8202-49a2-b456-64a67c1edb59","block_type":"box","text":"requirements in respect of all derivatives contracts. By way of further example, the European Union Markets in","page_number":51,"box":{"x":69,"y":218,"width":787,"height":12}},{"id":"66f59814-0451-4563-872c-fb3cb402114e","block_type":"box","text":"Financial Instruments Directive (Directive 2014/65/EU) and Markets in Financial Instruments Regulation (Regulation","page_number":51,"box":{"x":70,"y":234,"width":830,"height":11}},{"id":"e34d5b82-75cb-4882-87da-60b49b6e764f","block_type":"box","text":"(EU) No 600/2014) (together “MiFID II”), which have applied since January 3, 2018, govern the provision of","page_number":51,"box":{"x":69,"y":249,"width":771,"height":11}},{"id":"e3bef1df-32d7-412d-a0bd-ca85e7c0f79b","block_type":"box","text":"investment services and activities in relation to, as well as the organized trading of, financial instruments such as","page_number":51,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"d44ea2d4-f3dd-444e-9fa2-b273e432268d","block_type":"box","text":"shares, bonds, units in collective investment schemes and derivatives. In particular, MiFID II requires European Union","page_number":51,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"596ebb6c-3967-4ee5-8011-97b4a95a0e1b","block_type":"box","text":"Member States to apply position limits to the size of a net position a person can hold at any time in commodity","page_number":51,"box":{"x":70,"y":294,"width":793,"height":11}},{"id":"f669df8f-32c2-4fde-b60b-189d17231b4d","block_type":"box","text":"derivatives traded on European Union trading venues and in “economically equivalent” OTC contracts. If the","page_number":51,"box":{"x":69,"y":309,"width":765,"height":11}},{"id":"bd9a7041-f89d-4d39-a18d-49ac9e77c79b","block_type":"box","text":"requirements of EMIR and MiFID II apply, the cost of derivatives transactions is expected to increase.","page_number":51,"box":{"x":69,"y":324,"width":720,"height":11}},{"id":"5656bc7e-c160-435b-9578-01b51eeb3573","block_type":"box","text":"In addition, regulations adopted by global prudential regulators that are now in effect require certain prudentially","page_number":51,"box":{"x":102,"y":347,"width":802,"height":11}},{"id":"f3109025-d583-4c8f-850c-5125d41f481e","block_type":"box","text":"regulated entities and certain of their affiliates and subsidiaries (including swap dealers) to include in their","page_number":51,"box":{"x":69,"y":362,"width":762,"height":11}},{"id":"b2ec9e21-6a73-4db5-b4e8-50a221ac2587","block_type":"box","text":"derivatives contracts and certain other financial contracts, terms that delay or restrict the rights of counterparties","page_number":51,"box":{"x":69,"y":377,"width":810,"height":12}},{"id":"5e3d4cc9-88af-482e-b19e-1118892e6d8a","block_type":"box","text":"(such as the Funds) to terminate such contracts, foreclose upon collateral, exercise other default rights or restrict","page_number":51,"box":{"x":69,"y":392,"width":812,"height":12}},{"id":"b0025172-b8fc-4aa7-b1f8-88929cc72b6d","block_type":"box","text":"transfers of credit support in the event that the prudentially regulated entity and/or its affiliates are subject to","page_number":51,"box":{"x":68,"y":407,"width":787,"height":12}},{"id":"3a8c4933-b847-410d-8b18-cb363d647b89","block_type":"box","text":"certain types of resolution or insolvency proceedings. Similar regulations and laws have been adopted in non-U.S.","page_number":51,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"36541497-e3d7-4776-928a-56f2e3848036","block_type":"box","text":"jurisdictions that may apply to a Fund’s counterparties located in those jurisdictions. In particular, in the United","page_number":51,"box":{"x":67,"y":438,"width":795,"height":11}},{"id":"5baf5a0b-5bff-4fa2-a0ce-eadb5b4765f7","block_type":"box","text":"Kingdom and the European Union, governmental authorities could reduce, eliminate or convert to equity the liabilities","page_number":51,"box":{"x":70,"y":453,"width":835,"height":11}},{"id":"4b223eae-cacb-4eff-a686-53845439db03","block_type":"box","text":"to a Fund of a counterparty experiencing financial difficulties (sometimes referred to as a “bail in”). It is possible that","page_number":51,"box":{"x":68,"y":468,"width":839,"height":11}},{"id":"b52be46b-2141-4a97-ad91-ef0ee1f7a7b4","block_type":"box","text":"these requirements, as well as potential additional related government regulation, could adversely affect a Fund’s","page_number":51,"box":{"x":68,"y":483,"width":814,"height":11}},{"id":"c636145e-17f5-4653-bb55-3ebe8418aedc","block_type":"box","text":"ability to terminate existing derivatives contracts, exercise default rights or satisfy obligations owed to it with","page_number":51,"box":{"x":69,"y":498,"width":773,"height":11}},{"id":"23fc341e-a3e3-4672-8d2a-c9f109571577","block_type":"box","text":"collateral received under such contracts.","page_number":51,"box":{"x":69,"y":514,"width":288,"height":8}},{"id":"69b972fe-99ed-437b-b75d-9843581dc0b4","block_type":"box","text":"Risk Factors in Derivatives.","page_number":51,"box":{"x":102,"y":536,"width":191,"height":9}},{"id":"a6a3f2c2-5d32-4245-9c23-c85cd20fc710","block_type":"box","text":"There are significant risks that apply generally to derivatives transactions, including:","page_number":51,"box":{"x":101,"y":559,"width":597,"height":11}},{"id":"66aedd14-9ada-4881-b389-d2def1399e20","block_type":"box","text":"Correlation Risk","page_number":51,"box":{"x":102,"y":581,"width":114,"height":9}},{"id":"1df9a449-fe0f-49a6-8a33-a217f931b93e","block_type":"box","text":"— the risk that changes in the value of a derivative will not match the changes in the value of","page_number":51,"box":{"x":220,"y":581,"width":668,"height":12}},{"id":"c8bb834f-f03d-4d39-8200-2c0ca320e501","block_type":"box","text":"the portfolio holdings that are being hedged or of the particular market or security to which the Fund seeks exposure.","page_number":51,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"6ba317bc-d160-4841-ad51-88be5672a7c9","block_type":"box","text":"There are a number of factors which may prevent a derivative instrument from achieving the desired correlation (or","page_number":51,"box":{"x":68,"y":612,"width":818,"height":11}},{"id":"ee067ae5-7834-4df8-ad61-8cbf63864685","block_type":"box","text":"inverse correlation) with an underlying asset, rate or index, such as the impact of fees, expenses and transaction","page_number":51,"box":{"x":70,"y":627,"width":806,"height":11}},{"id":"33cc5250-a5ed-428a-98da-5e6fc5c5066e","block_type":"box","text":"costs, the timing of pricing, and disruptions or illiquidity in the markets for such derivative instrument.","page_number":51,"box":{"x":69,"y":642,"width":725,"height":11}},{"id":"0ccf2920-2313-40fb-ada4-5d196f70ea39","block_type":"box","text":"Counterpar ty Risk","page_number":51,"box":{"x":102,"y":665,"width":128,"height":11}},{"id":"a0318bf5-5717-42b6-a68e-e4ee2d681461","block_type":"box","text":"— the risk that a derivatives transaction counterparty will be unable or unwilling to make","page_number":51,"box":{"x":233,"y":665,"width":632,"height":11}},{"id":"c1ab5a5c-3e7d-422d-aee3-4443f819c818","block_type":"box","text":"payments or otherwise honor its obligations to a Fund and the related risks of having concentrated exposure to such","page_number":51,"box":{"x":70,"y":680,"width":830,"height":11}},{"id":"083a742a-7709-48a1-905d-96884fbb3341","block_type":"box","text":"a counterparty. In particular, derivatives traded in OTC markets often are not guaranteed by an exchange or clearing","page_number":51,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"c99dd652-6473-49d6-9513-963c2322d92d","block_type":"box","text":"corporation and often do not require payment of margin, and to the extent that the Fund has unrealized gains in such","page_number":51,"box":{"x":69,"y":710,"width":834,"height":11}},{"id":"f7cdeba9-1b25-4cb5-96ed-b7158f6a56f0","block_type":"box","text":"instruments or has deposited collateral with its counterparties the Fund is at risk that its counterparties will become","page_number":51,"box":{"x":70,"y":725,"width":831,"height":11}},{"id":"723ff488-22cb-4000-ae8f-651228e17bbe","block_type":"box","text":"bankrupt or otherwise fail to honor their obligations. A Fund will typically attempt to minimize counterparty risk by","page_number":51,"box":{"x":69,"y":740,"width":806,"height":11}},{"id":"7ecc9bf1-d3d9-44b1-ba5c-bb4c2fe61b2d","block_type":"box","text":"engaging in OTC derivatives transactions only with creditworthy entities that have substantial capital or that have","page_number":51,"box":{"x":69,"y":755,"width":803,"height":11}},{"id":"8038358b-aebc-4061-ba95-da32a61590ca","block_type":"box","text":"provided the Fund with a third-party guaranty or other credit support. When a Fund enters into a derivatives","page_number":51,"box":{"x":70,"y":771,"width":760,"height":11}},{"id":"07db8c13-e744-4657-a266-19e02780bdd8","block_type":"box","text":"transaction that is centrally cleared (whether mandatorily or voluntarily), the Fund is subject to the credit risk of the","page_number":51,"box":{"x":68,"y":785,"width":819,"height":12}},{"id":"8826e9a1-268a-4845-b9c8-5630fc8907df","block_type":"box","text":"clearing house and the clearing member through which it holds its cleared position. Credit risk of market participants","page_number":51,"box":{"x":69,"y":801,"width":834,"height":11}},{"id":"353142eb-e8b5-402c-9c95-9bbe5044112c","block_type":"box","text":"with respect to derivatives that are centrally cleared is concentrated in a few clearing houses and increasingly fewer","page_number":51,"box":{"x":68,"y":816,"width":826,"height":11}},{"id":"9490c12a-54c1-421a-bce7-11e0b25e59dd","block_type":"box","text":"clearing members. It is not clear how an insolvency proceeding of a clearing house would be conducted and what","page_number":51,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"90824014-afe7-48b0-93aa-ee4379d64261","block_type":"box","text":"impact an insolvency of a clearing house would have on the financial system. Also, a Fund will not be fully protected","page_number":51,"box":{"x":70,"y":846,"width":824,"height":11}},{"id":"e58dd168-ef78-4fcc-811d-76e33b831bcc","block_type":"box","text":"in the event of the bankruptcy of a Fund’s clearing member because the Fund would be limited to recovering only a","page_number":51,"box":{"x":70,"y":861,"width":816,"height":11}},{"id":"1eff8ce2-5600-4f2b-81d9-33fd3555bd85","block_type":"box","text":"pro rata share of the funds held by the clearing member on behalf of customers by account class for cleared","page_number":51,"box":{"x":70,"y":876,"width":771,"height":11}},{"id":"7c2cf829-c91e-451e-87a7-d1bdbb1c528f","block_type":"box","text":"derivatives. Although a clearing member is required to segregate assets from customers with respect to cleared","page_number":51,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"52944f6e-06cf-4aee-86c6-178815c7fe30","block_type":"box","text":"derivatives positions from the clearing member’s proprietary assets, if a clearing member does not comply with the","page_number":51,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"5e219ea4-438e-4375-854d-c6ca58270327","block_type":"box","text":"II-15","page_number":51,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ec8d1dde-0e23-43ae-a03c-5fa327048964","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":51,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"05c2f499-8a6d-479a-a561-8293cac2d682","block_type":"box","text":"applicable regulations, or in the event of fraud or misappropriation of customer assets by a clearing member, a Fund","page_number":52,"box":{"x":69,"y":45,"width":829,"height":11}},{"id":"2424f058-401e-491c-b7a5-cb11927d36ac","block_type":"box","text":"could have only an unsecured creditor claim in an insolvency of the clearing member with respect to the assets held","page_number":52,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"1ca80e75-2180-4e28-aad4-777fff2077fd","block_type":"box","text":"by the clearing member.","page_number":52,"box":{"x":69,"y":75,"width":169,"height":11}},{"id":"7db9d5c4-e4e2-477a-b45c-e7d233f7406d","block_type":"box","text":"Credit Risk","page_number":52,"box":{"x":102,"y":98,"width":78,"height":9}},{"id":"aabb76ef-3a72-4e98-9073-087056e2262f","block_type":"box","text":"— the risk that the reference entity in a credit default swap or similar derivative will not be able to","page_number":52,"box":{"x":184,"y":98,"width":698,"height":11}},{"id":"eb01ca71-332e-4276-9ba7-0804601677ae","block_type":"box","text":"honor its financial obligations.","page_number":52,"box":{"x":69,"y":113,"width":213,"height":11}},{"id":"10c208a8-2de8-4d03-bc4a-3083c1c44c85","block_type":"box","text":"Currency Risk","page_number":52,"box":{"x":102,"y":135,"width":98,"height":11}},{"id":"2f04faa3-5200-4bbe-a524-ff2939e5aaf7","block_type":"box","text":"— the risk that changes in the exchange rate between two currencies will adversely affect the","page_number":52,"box":{"x":204,"y":135,"width":669,"height":12}},{"id":"622d881f-b500-4511-b708-84886c3ea1c0","block_type":"box","text":"value (in U.S. dollar terms) of a derivative.","page_number":52,"box":{"x":68,"y":150,"width":300,"height":11}},{"id":"26fbaadf-9266-4463-93bc-752ac0d21e22","block_type":"box","text":"Illiquidity Risk","page_number":52,"box":{"x":102,"y":173,"width":98,"height":11}},{"id":"66aa4d7c-a244-42c5-bcc0-9a1980b146cb","block_type":"box","text":"— the risk that certain securities or instruments may be difficult or impossible to sell at the time","page_number":52,"box":{"x":204,"y":173,"width":693,"height":11}},{"id":"47b9fe00-7b49-4338-8698-f2d52a0a0310","block_type":"box","text":"or at the price desired by a Fund in connection with payments of margin, collateral, or settlement payments. There","page_number":52,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"7125fc45-6550-4e1e-a4cd-80c7c0721a36","block_type":"box","text":"can be no assurance that a Fund will be able to unwind or offset a derivative at its desired price, in a secondary","page_number":52,"box":{"x":69,"y":203,"width":799,"height":12}},{"id":"326c36de-5ea9-4117-b6e8-5d7d2b256f65","block_type":"box","text":"market or otherwise. It may, therefore, not be possible for the Fund to unwind its position in a derivative without","page_number":52,"box":{"x":69,"y":218,"width":799,"height":12}},{"id":"1ac00c75-c3bf-44f2-92cb-89bee8a2d693","block_type":"box","text":"incurring substantial losses (if at all). Certain OTC derivatives, including swaps and OTC options, involve substantial","page_number":52,"box":{"x":70,"y":234,"width":824,"height":11}},{"id":"a2c534bb-99e3-478f-8df9-2b920ac79561","block_type":"box","text":"illiquidity risk. Illiquidity may also make it more difficult for a Fund to ascertain a market value for such derivatives. A","page_number":52,"box":{"x":70,"y":249,"width":830,"height":11}},{"id":"e9f81da5-d6ce-4e45-92c8-42fad4dc4bf3","block_type":"box","text":"Fund will, therefore, acquire illiquid OTC derivatives (i) if the agreement pursuant to which the instrument is","page_number":52,"box":{"x":70,"y":264,"width":762,"height":11}},{"id":"aa87e0db-931c-40ae-b3a5-fbc9f1c2c3a7","block_type":"box","text":"purchased contains a formula price at which the instrument may be terminated or sold, or (ii) for which the Manager","page_number":52,"box":{"x":70,"y":279,"width":827,"height":11}},{"id":"56076213-89f1-4081-bf9c-4843654427aa","block_type":"box","text":"anticipates the Fund can receive on each business day at least two independent bids or offers, unless a quotation","page_number":52,"box":{"x":69,"y":294,"width":816,"height":11}},{"id":"cd914a86-e0c9-4301-8e0e-c07127b77534","block_type":"box","text":"from only one dealer is available, in which case that dealer’s quotation may be used. The illiquidity of the derivatives","page_number":52,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"6fd8fa68-e8bb-4a46-b12e-79179c639201","block_type":"box","text":"markets may be due to various factors, including congestion, disorderly markets, limitations on deliverable supplies,","page_number":52,"box":{"x":69,"y":324,"width":828,"height":12}},{"id":"dc23fca0-46df-4b3c-82ef-102a0be7d7b2","block_type":"box","text":"the participation of speculators, government regulation and intervention, and technical and operational or system","page_number":52,"box":{"x":68,"y":339,"width":809,"height":12}},{"id":"1d2fa09e-b01b-445c-904b-dc30b0307b9e","block_type":"box","text":"failures. In addition, the liquidity of a market in an exchange-traded derivative contract may be adversely affected by","page_number":52,"box":{"x":68,"y":355,"width":826,"height":11}},{"id":"89dfec2d-a9b6-4d8e-9a25-e5c3a7d4f631","block_type":"box","text":"“daily price fluctuation limits” established by the exchanges which limit the amount of fluctuation in an exchange","page_number":52,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"4bb9dfb3-a137-4d42-8045-3a80d235407b","block_type":"box","text":"traded contract price during a single trading day. Once the daily limit has been reached in the contract, no trades may","page_number":52,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"e1f25775-88e9-444d-99bc-cd4c453c2345","block_type":"box","text":"be entered into at a price beyond the limit, thus preventing the liquidation of open positions. Prices have in the past","page_number":52,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"84225881-cd77-4c6b-81a4-32e273055b59","block_type":"box","text":"moved to the daily limit on a number of consecutive trading days with little to no trading. If it is not possible to close","page_number":52,"box":{"x":69,"y":415,"width":828,"height":11}},{"id":"7eb1eea4-d23a-4dda-adbd-3018c64c6e9e","block_type":"box","text":"an open derivative position entered into by the Fund, the Fund would continue to be required to make daily cash","page_number":52,"box":{"x":69,"y":430,"width":796,"height":11}},{"id":"835b39ac-dc3c-44e0-82c1-abf3adc015f5","block_type":"box","text":"payments of variation margin in the event of adverse price movements. In such a situation, if the Fund has","page_number":52,"box":{"x":70,"y":445,"width":759,"height":12}},{"id":"d95a4856-785d-40e9-be38-3c19879b3906","block_type":"box","text":"insufficient cash, it may have to sell portfolio securities to meet daily variation margin requirements at a time when it","page_number":52,"box":{"x":70,"y":460,"width":837,"height":12}},{"id":"fc65b9ee-f0de-4920-80bc-c51e748c4b24","block_type":"box","text":"may be disadvantageous to do so.","page_number":52,"box":{"x":69,"y":476,"width":243,"height":11}},{"id":"7951473d-ee30-4182-9b1b-f781b0ccdc67","block_type":"box","text":"Index Risk","page_number":52,"box":{"x":102,"y":498,"width":73,"height":9}},{"id":"f27a39fe-5c6e-4d31-8ac3-554d35ad9f95","block_type":"box","text":"— if the derivative is linked to the performance of an index, it will be subject to the risks associated","page_number":52,"box":{"x":179,"y":498,"width":714,"height":11}},{"id":"68bac7ca-abd5-4f59-b5dd-8d78eed254cb","block_type":"box","text":"with changes in that index. If the index changes, the Fund could receive lower interest payments or experience a","page_number":52,"box":{"x":68,"y":513,"width":800,"height":12}},{"id":"26ce8d1c-ad09-48e9-be40-c90a60fdf015","block_type":"box","text":"reduction in the value of the derivative to below the price that the Fund paid for such derivative.","page_number":52,"box":{"x":69,"y":528,"width":678,"height":11}},{"id":"11535848-b41b-443f-bdfc-0524fc850ba1","block_type":"box","text":"Legal Risk","page_number":52,"box":{"x":102,"y":551,"width":73,"height":11}},{"id":"54ef76fb-5de2-41c8-9709-7b1e950425f0","block_type":"box","text":"— the risk of insufficient documentation, insufficient capacity or authority of counterparty, or legality","page_number":52,"box":{"x":179,"y":551,"width":717,"height":11}},{"id":"7ad35ac6-81fb-4730-b656-ea479ff5ec1b","block_type":"box","text":"or enforceability of a contract.","page_number":52,"box":{"x":69,"y":566,"width":211,"height":11}},{"id":"d5ef8ebe-3520-4d9f-b512-e17f7256e23b","block_type":"box","text":"Leverage Risk","page_number":52,"box":{"x":102,"y":589,"width":99,"height":11}},{"id":"e1e41321-8786-46c6-a41d-ea1adc2dec0b","block_type":"box","text":"— the risk that a Fund’s derivatives transactions can magnify the Fund’s gains and losses.","page_number":52,"box":{"x":205,"y":589,"width":648,"height":11}},{"id":"1b4e9a4f-1dd4-4074-b377-a294beaee545","block_type":"box","text":"Relatively small market movements may result in large changes in the value of a derivatives position and can result","page_number":52,"box":{"x":70,"y":604,"width":823,"height":11}},{"id":"8bd13f90-d5fc-4037-ab06-f8b11722fc10","block_type":"box","text":"in losses that greatly exceed the amount originally invested.","page_number":52,"box":{"x":70,"y":619,"width":425,"height":11}},{"id":"05e76105-97ea-4fbb-9113-f52ee5f32323","block_type":"box","text":"Market Risk","page_number":52,"box":{"x":102,"y":642,"width":85,"height":9}},{"id":"7042d57d-7918-4667-8923-6ad6b4f407d6","block_type":"box","text":"— the risk that changes in the value of one or more markets or changes with respect to the value of","page_number":52,"box":{"x":191,"y":642,"width":716,"height":11}},{"id":"89dc7ecf-0c72-42bf-ac2f-d58de41f388b","block_type":"box","text":"the underlying asset will adversely affect the value of a derivative. In the event of an adverse movement, a Fund may","page_number":52,"box":{"x":68,"y":657,"width":833,"height":11}},{"id":"73f9264f-a5fe-4b2c-830e-f98b0c9c0a37","block_type":"box","text":"be required to pay substantial additional margin to maintain its position or the Fund’s returns may be adversely","page_number":52,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"c42bcc89-bd42-459f-b1f9-b5fbf166a3a6","block_type":"box","text":"affected.","page_number":52,"box":{"x":69,"y":687,"width":62,"height":9}},{"id":"caa2384a-b595-4d3e-bde1-8ec34e7729f9","block_type":"box","text":"Operational Risk","page_number":52,"box":{"x":102,"y":710,"width":117,"height":11}},{"id":"8dea82c2-05cc-4d7c-b52e-0d8292ff5d84","block_type":"box","text":"— the risk related to potential operational issues, including documentation issues, settlement","page_number":52,"box":{"x":223,"y":710,"width":674,"height":11}},{"id":"f7054e52-d2d6-4107-afb6-5c6bdc0bfecf","block_type":"box","text":"issues, systems failures, inadequate controls and human error.","page_number":52,"box":{"x":70,"y":725,"width":451,"height":11}},{"id":"421742b4-8e71-4675-8dde-b6d26a814c11","block_type":"box","text":"Valuation Risk","page_number":52,"box":{"x":103,"y":748,"width":99,"height":9}},{"id":"cd466bc3-6eda-4225-83d6-f74a7c048f8d","block_type":"box","text":"— the risk that valuation sources for a derivative will not be readily available in the market. This is","page_number":52,"box":{"x":206,"y":748,"width":701,"height":11}},{"id":"fb9cc739-5dfc-47b3-8968-81752b4c6ad0","block_type":"box","text":"possible especially in times of market distress, since many market participants may be reluctant to purchase","page_number":52,"box":{"x":70,"y":763,"width":779,"height":11}},{"id":"cafcda19-b7aa-4d30-9d96-57c4c618af8c","block_type":"box","text":"complex instruments or quote prices for them.","page_number":52,"box":{"x":69,"y":778,"width":329,"height":11}},{"id":"2fa47b76-8bfd-4211-af24-cde91e3995da","block_type":"box","text":"Volatility Risk","page_number":52,"box":{"x":103,"y":801,"width":93,"height":11}},{"id":"6490dfe7-ff43-4c46-8c33-7dadc90d2efd","block_type":"box","text":"— the risk that the value of derivatives will fluctuate significantly within a short time period.","page_number":52,"box":{"x":200,"y":801,"width":652,"height":11}},{"id":"ff4b6177-b19a-432e-9b9f-7e9dfdcd9a80","block_type":"box","text":"Types of Derivatives Transactions.","page_number":52,"box":{"x":103,"y":823,"width":240,"height":11}},{"id":"5e338b85-6920-4293-a7fe-5e21f7f37071","block_type":"box","text":"A Fund may enter into derivatives transactions in accordance with its investment guidelines and restrictions,","page_number":52,"box":{"x":101,"y":846,"width":771,"height":11}},{"id":"ea319f2e-de5b-4041-a530-65a9ea677f02","block_type":"box","text":"including the following:","page_number":52,"box":{"x":70,"y":861,"width":159,"height":11}},{"id":"db8a7acc-38a6-4b6d-b773-b4256cc2917c","block_type":"box","text":"Futures.","page_number":52,"box":{"x":102,"y":884,"width":56,"height":9}},{"id":"26930893-97f2-49f0-8fec-98ad5cf04000","block_type":"box","text":"II-16","page_number":52,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b231e04e-e5d1-4c1d-9dfc-1d601ccdd34c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":52,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9a4fdbd1-a671-4131-bbb1-96a2865c35a2","block_type":"box","text":"A Fund may enter into futures contracts (“futures”) and options on futures contracts. Futures are standardized,","page_number":53,"box":{"x":101,"y":45,"width":791,"height":11}},{"id":"0dda5727-ab1d-43ee-af65-c30a03df4c47","block_type":"box","text":"exchange-traded contracts that require a purchaser to take delivery, and a seller to make delivery, of a specified","page_number":53,"box":{"x":69,"y":60,"width":799,"height":11}},{"id":"defe41ee-8837-436d-8a49-1c1370469a14","block_type":"box","text":"amount of an asset at a specified future date and price. Upon purchasing or selling a futures contract, a Fund is","page_number":53,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"73ac06b0-3f74-405d-adba-5595f0995c9e","block_type":"box","text":"required to deposit initial margin equal to a percentage of the contract value. Futures contracts are marked to market","page_number":53,"box":{"x":69,"y":90,"width":838,"height":11}},{"id":"65e0f038-b3a1-4635-ad29-e14bca8cdaa5","block_type":"box","text":"daily for the duration of the contract, and the Fund will either post additional margin or be entitled to a payment, as","page_number":53,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"3ed83fab-a095-4c46-9f0b-55c8d8857c85","block_type":"box","text":"applicable, based on the mark-to-market movement of the contract.","page_number":53,"box":{"x":69,"y":120,"width":478,"height":11}},{"id":"adfac04a-d9bb-4679-a1b5-298a951ad38b","block_type":"box","text":"A Fund may sell a futures contract prior to the completion of its term to limit its risk of loss from a decline in the","page_number":53,"box":{"x":101,"y":143,"width":801,"height":11}},{"id":"c0395cb4-d86d-4c90-b117-3c32d5eff35f","block_type":"box","text":"market value of portfolio holdings correlated with the futures contract. However, in the event the market value of the","page_number":53,"box":{"x":69,"y":158,"width":829,"height":11}},{"id":"9b2e9be3-b798-4b36-ba6f-8ccdadaa4a0a","block_type":"box","text":"portfolio holdings correlated with the futures contract increases rather than decreases, a Fund will realize a loss on","page_number":53,"box":{"x":70,"y":173,"width":822,"height":11}},{"id":"6949d910-1629-47c4-966f-e76f0c982000","block_type":"box","text":"the futures position and a lower return on the portfolio holdings than would have been realized without the purchase","page_number":53,"box":{"x":68,"y":188,"width":830,"height":12}},{"id":"9271d8f5-b57b-4675-b3b9-dd6fb0a7a989","block_type":"box","text":"of the futures contract.","page_number":53,"box":{"x":69,"y":203,"width":162,"height":9}},{"id":"0c921d39-3dc1-4d60-b8e4-11e385a182aa","block_type":"box","text":"The purchase of a futures contract may provide a Fund a lower cost alternative to purchasing securities or","page_number":53,"box":{"x":101,"y":226,"width":756,"height":11}},{"id":"37478205-a684-4162-96e5-cd92e7e35f66","block_type":"box","text":"commodities directly. In the event that such securities or commodities decline in value or a Fund determines not to","page_number":53,"box":{"x":69,"y":241,"width":820,"height":11}},{"id":"ff4ab8c0-454e-4583-80da-d67c128f9b07","block_type":"box","text":"complete an anticipatory hedge transaction relating to a futures contract, however, the Fund may realize a loss","page_number":53,"box":{"x":69,"y":256,"width":789,"height":12}},{"id":"8c99df5a-8d69-42b4-98f1-1d5538069941","block_type":"box","text":"relating to the futures position.","page_number":53,"box":{"x":69,"y":271,"width":219,"height":12}},{"id":"d5807252-cc87-4ec7-8960-64d8f6b1fddb","block_type":"box","text":"Futures contracts are also subject to position limits. In order to comply with position limits, a Fund may be","page_number":53,"box":{"x":102,"y":294,"width":757,"height":11}},{"id":"0c0973b3-a63d-423d-bfdb-0da3abab643a","block_type":"box","text":"required to liquidate positions or may not be able to fully implement trading instructions. Any such liquidation or","page_number":53,"box":{"x":69,"y":309,"width":797,"height":11}},{"id":"f06b6883-3803-461b-ac95-ec86125fc779","block_type":"box","text":"limited implementation could result in substantial costs to a Fund. See “—Regulation of Derivatives — Dodd-Frank","page_number":53,"box":{"x":70,"y":324,"width":816,"height":12}},{"id":"fe3dcb57-97a5-47a2-b080-78ea096914e9","block_type":"box","text":"Regulations” above.","page_number":53,"box":{"x":70,"y":340,"width":140,"height":11}},{"id":"d695f896-429e-448d-a9c3-467ef0a5a95b","block_type":"box","text":"A Fund is also permitted to purchase or sell call and put options on futures contracts, including financial futures","page_number":53,"box":{"x":101,"y":362,"width":799,"height":11}},{"id":"086d9a9e-2d81-4c7a-9e41-6d3787d6caf6","block_type":"box","text":"and stock indices. Generally, these strategies would be used under the same market and market sector conditions","page_number":53,"box":{"x":69,"y":377,"width":818,"height":12}},{"id":"4499d083-48fb-40ac-b348-5e32ff40bdaf","block_type":"box","text":"(","page_number":53,"box":{"x":69,"y":393,"width":3,"height":10}},{"id":"14fcd4de-3f28-4cf8-b44b-d4f97d1e8fe5","block_type":"box","text":"i.e.","page_number":53,"box":{"x":74,"y":393,"width":21,"height":8}},{"id":"1f43fdf6-cf06-4a25-b169-555cbe362eaa","block_type":"box","text":", conditions relating to specific types of investments) in which the Fund entered into futures transactions. A Fund","page_number":53,"box":{"x":97,"y":392,"width":803,"height":12}},{"id":"abe0d40f-dce9-493e-befc-6f05a6f6cc4d","block_type":"box","text":"may purchase put options or write call options on futures contracts and stock indices in lieu of selling the underlying","page_number":53,"box":{"x":69,"y":407,"width":830,"height":12}},{"id":"ad076464-07a3-459c-b83e-d133af747cfd","block_type":"box","text":"futures contract in anticipation of a decrease in the market value of its securities. Similarly, a Fund can purchase call","page_number":53,"box":{"x":68,"y":423,"width":835,"height":11}},{"id":"4a34bc22-fed6-4b9c-8b98-21e20e8f0ce6","block_type":"box","text":"options, or write put options on futures contracts and stock indices, as a substitute for the purchase of such futures","page_number":53,"box":{"x":69,"y":438,"width":831,"height":11}},{"id":"3adae626-c175-4aa2-82f9-e10091045fe3","block_type":"box","text":"contracts to hedge against the increased cost resulting from an increase in the market value of securities which the","page_number":53,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"2ffeb69f-6e2d-4c1f-aabb-cb4b895f133c","block_type":"box","text":"Fund intends to purchase.","page_number":53,"box":{"x":70,"y":468,"width":183,"height":11}},{"id":"3886b355-132a-4691-924e-ff736d9835e9","block_type":"box","text":"To maintain greater flexibility, a Fund may invest in instruments which have characteristics similar to futures","page_number":53,"box":{"x":101,"y":491,"width":768,"height":11}},{"id":"8f17293f-6b4a-4fa8-8276-4af483944671","block_type":"box","text":"contracts. These instruments may take a variety of forms, such as debt securities with interest or principal payments","page_number":53,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"0f853efa-8f79-4bee-ab9e-1a50d57ba80e","block_type":"box","text":"determined by reference to the value of a security, an index of securities or a commodity at a future point in time. The","page_number":53,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"14d58567-b707-4abb-9661-707e3ff93403","block_type":"box","text":"risks of such investments could reflect the risks of investing in futures and securities, including volatility and","page_number":53,"box":{"x":69,"y":536,"width":773,"height":11}},{"id":"f08e0622-6503-4f24-b719-95b28c469c12","block_type":"box","text":"illiquidity.","page_number":53,"box":{"x":70,"y":551,"width":63,"height":11}},{"id":"23bfd594-0ffc-4537-9823-1be1977fd7ca","block_type":"box","text":"Futures contracts and options on futures contracts are subject to significant correlation risk, leverage risk,","page_number":53,"box":{"x":102,"y":574,"width":757,"height":11}},{"id":"eb38dcb8-ae80-4600-9844-1b62a9334677","block_type":"box","text":"illiquidity risk, market risk and counterparty risk with respect to a Fund’s futures broker or the clearinghouse. See","page_number":53,"box":{"x":70,"y":589,"width":807,"height":11}},{"id":"67990425-5f00-43de-8894-745508e6750c","block_type":"box","text":"“—Risk Factors in Derivatives” above.","page_number":53,"box":{"x":70,"y":604,"width":269,"height":9}},{"id":"343893e6-c54a-41e4-a349-758990e95e04","block_type":"box","text":"Certain Funds may invest in futures based on carbon “allowances.” Under certain regulatory regimes, a limit is","page_number":53,"box":{"x":102,"y":627,"width":791,"height":11}},{"id":"a9acacc5-b0bd-4acd-8702-8f01d115c450","block_type":"box","text":"set by a regulator, such as a government entity, on the total amount of specific greenhouse gases, such as CO2, that","page_number":53,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"2658a7ca-f687-4da3-a3ac-bcb38b96813d","block_type":"box","text":"can be emitted by regulated entities, such as manufacturers or energy producers. The regulator then may issue or","page_number":53,"box":{"x":69,"y":657,"width":814,"height":11}},{"id":"09933cf5-00c4-49f1-94db-0b618e448c3f","block_type":"box","text":"sell individual “emission allowances” to regulated entities, which can then be traded on the open market. Commodity","page_number":53,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"ca6cdd37-5214-4c3f-a309-0b9d36b52138","block_type":"box","text":"futures contracts linked to the value of emission allowances are known as “carbon futures.”","page_number":53,"box":{"x":68,"y":687,"width":657,"height":9}},{"id":"559a31f8-6ef9-4d89-a69d-06901292f1c8","block_type":"box","text":"The price for carbon futures contracts is based on a number of factors, including the supply of and the demand","page_number":53,"box":{"x":101,"y":710,"width":792,"height":11}},{"id":"7b4d56f8-bd77-4691-8cc5-64207ee5c6ca","block_type":"box","text":"for carbon futures contracts. Changes in law, market conditions and expectations, position limits, collateral","page_number":53,"box":{"x":68,"y":725,"width":764,"height":11}},{"id":"67504a6f-21d9-4804-abce-e828d7c63f97","block_type":"box","text":"requirements, and other factors each can impact the supply of and demand for carbon futures contracts. The market","page_number":53,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"c6e7d93f-bfa5-4634-8dd7-1cd26a8c968d","block_type":"box","text":"for carbon futures contracts is still developing and may be subject to periods of illiquidity. During such times it may be","page_number":53,"box":{"x":68,"y":755,"width":841,"height":11}},{"id":"d5b39b5a-d24a-4a36-8b79-7311640a30fd","block_type":"box","text":"difficult or impossible to buy or sell a position at the desired price. Market disruptions or volatility can also make it","page_number":53,"box":{"x":69,"y":770,"width":819,"height":11}},{"id":"91eac569-7d24-4156-ac91-29b82e1ca36e","block_type":"box","text":"difficult to find a counterparty willing to transact at a reasonable price and sufficient size.","page_number":53,"box":{"x":69,"y":785,"width":637,"height":12}},{"id":"fa54b6de-e57e-4db9-a5e6-07fb0d3a5bd8","block_type":"box","text":"Swap Agreements.","page_number":53,"box":{"x":102,"y":808,"width":131,"height":11}},{"id":"9da860ab-1890-4a28-9eac-aeb50f4360f5","block_type":"box","text":"A Fund may enter into swap agreements for hedging purposes or speculative purposes. Swap agreements are","page_number":53,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"f9f72b1c-243c-49ea-a4a9-363f9f35031b","block_type":"box","text":"OTC contracts entered into primarily by financial institutions and institutional investors which may or may not be","page_number":53,"box":{"x":69,"y":846,"width":796,"height":11}},{"id":"cd20ef7e-62ef-4129-9eb9-2021040b8269","block_type":"box","text":"cleared by a central clearinghouse. In a standard “swap” transaction, two parties agree to exchange the returns","page_number":53,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"f9e94d7a-4779-4087-9837-53673c1d542d","block_type":"box","text":"earned or realized from one or more underlying assets or rates of return, which may be adjusted for an interest","page_number":53,"box":{"x":69,"y":876,"width":792,"height":11}},{"id":"da26b280-1ecb-4075-abdc-63b574015d8e","block_type":"box","text":"factor. The gross returns to be exchanged or “swapped” between the parties are generally calculated with respect to","page_number":53,"box":{"x":68,"y":891,"width":832,"height":12}},{"id":"73a07341-4d96-4851-b525-21489e871878","block_type":"box","text":"a “notional amount,”","page_number":53,"box":{"x":69,"y":907,"width":147,"height":10}},{"id":"8635ccfd-102f-4100-909c-251e8df93660","block_type":"box","text":"e.g.","page_number":53,"box":{"x":223,"y":908,"width":25,"height":10}},{"id":"9001d04f-b4e9-42f3-9893-f4c91cb2b5bd","block_type":"box","text":", the return or increase in value of a particular dollar amount invested at a particular","page_number":53,"box":{"x":251,"y":906,"width":602,"height":11}},{"id":"470a2c83-0e79-4a47-a098-ee25f330e468","block_type":"box","text":"II-17","page_number":53,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ecac1142-987b-4fc0-b023-3f1a76be420d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":53,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"098fafbe-93e7-4c9f-aeb4-d0679d24b799","block_type":"box","text":"interest rate, in a particular foreign currency, or in a “basket” of securities representing a particular index. The","page_number":54,"box":{"x":70,"y":45,"width":787,"height":11}},{"id":"293cf603-656d-49c3-a978-2e7833302ff6","block_type":"box","text":"notional amount of the swap agreement is only used to calculate the obligations that the parties to a swap","page_number":54,"box":{"x":69,"y":60,"width":762,"height":11}},{"id":"b08a0624-2281-4153-bac2-884ecb7da185","block_type":"box","text":"agreement have agreed to exchange. A Fund’s obligations (or rights) under a swap agreement will generally be equal","page_number":54,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"66de8ac5-8fc4-4a92-b06a-bd7b0bb8b289","block_type":"box","text":"only to the net amount to be paid or received under the agreement based on the relative values of the positions held","page_number":54,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"2ab8a8e7-e8c8-4d71-a44d-e64b470f17d4","block_type":"box","text":"by each party to the agreement. Swaps that are not cleared involve substantial counterparty risk. A Fund will typically","page_number":54,"box":{"x":69,"y":105,"width":835,"height":11}},{"id":"7efc770a-adda-4357-807b-3f45639a12f5","block_type":"box","text":"attempt to mitigate this counterparty risk by entering into swap agreements only with creditworthy entities that have","page_number":54,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"c5da9709-cb5c-4a3b-b2da-6b04ee42eb8a","block_type":"box","text":"substantial capital or that have provided the Fund with a third-party guaranty or other credit support. A Fund’s ability","page_number":54,"box":{"x":69,"y":136,"width":827,"height":11}},{"id":"aea78e26-b3bd-474d-9a4e-40d01e3d08de","block_type":"box","text":"to use swap agreements may be restricted by the tax rules applicable to registered investment companies.","page_number":54,"box":{"x":68,"y":151,"width":763,"height":11}},{"id":"10d4af6c-ed0c-4a95-8751-a8e558815ab6","block_type":"box","text":"Credit Default Swaps and Similar Instruments.","page_number":54,"box":{"x":102,"y":173,"width":329,"height":11}},{"id":"60b59048-8388-4f03-a879-d05f76af0b9d","block_type":"box","text":"Certain Funds may enter into credit default swaps and similar","page_number":54,"box":{"x":438,"y":173,"width":439,"height":11}},{"id":"481cde50-b3c7-40b2-85e0-5eb02ec77091","block_type":"box","text":"instruments. Credit default swaps are standardized agreements in which the protection “buyer” pays the protection","page_number":54,"box":{"x":70,"y":188,"width":821,"height":12}},{"id":"9aedea4e-da09-4b57-92b9-c565859190cd","block_type":"box","text":"“seller” an up-front payment, or a periodic stream of payments, over the term of the contract, provided generally that","page_number":54,"box":{"x":70,"y":203,"width":831,"height":12}},{"id":"10a662fb-cb1d-4c2c-a171-dcedbad22274","block_type":"box","text":"no credit event on a reference obligation has occurred. If a credit event occurs, the seller generally must pay the","page_number":54,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"2697388c-d216-48e9-8b0a-e836e2069c54","block_type":"box","text":"buyer the difference between the notional amount of the contract and the value of a portfolio of securities issued by","page_number":54,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"6a1a7afe-f306-435e-83e3-786e05b76fda","block_type":"box","text":"the reference entity. A Fund may be either the buyer or seller in the transaction. The Funds may enter into credit","page_number":54,"box":{"x":68,"y":249,"width":798,"height":11}},{"id":"5e808858-5c9c-411b-9814-d3ee082c9879","block_type":"box","text":"default swaps that reference the obligations of a single entity (“single-name CDS”) or the obligations of entities that","page_number":54,"box":{"x":69,"y":264,"width":827,"height":11}},{"id":"ec386819-0c63-4bc5-8372-a33a55b2d192","block_type":"box","text":"make up an index (“index CDS”). References to “credit default swaps” shall collectively refer to single-name CDS and","page_number":54,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"a94fc905-fadc-442a-bf6c-5eb9c3a58138","block_type":"box","text":"index CDS.","page_number":54,"box":{"x":70,"y":294,"width":75,"height":9}},{"id":"064fc778-b1a3-4ba3-82a5-a2aa916828f4","block_type":"box","text":"Credit default swaps have as reference obligations one or more securities or loans that are not currently held by","page_number":54,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"d697f7dd-7a40-4f73-81cd-315383f7e445","block_type":"box","text":"a Fund. In circumstances in which a Fund does not own the securities or loans that are deliverable under a credit","page_number":54,"box":{"x":69,"y":332,"width":806,"height":9}},{"id":"f4250a51-185a-49cd-865a-1a6cca289076","block_type":"box","text":"default swap, the Fund is exposed to the risk that deliverable securities will not be available in the market, or will be","page_number":54,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"53d610e9-e243-498c-bd8c-e3bd57a88e1b","block_type":"box","text":"available only at unfavorable prices, as would be the case in a so-called “short squeeze.” In certain instances of","page_number":54,"box":{"x":69,"y":362,"width":804,"height":11}},{"id":"3d47a09d-c062-4485-aeca-5bb4cfab3633","block_type":"box","text":"issuer defaults or restructurings, it has been unclear under the standard industry documentation for credit default","page_number":54,"box":{"x":70,"y":377,"width":812,"height":12}},{"id":"ee18e290-fe5c-40b0-938a-7bee3b24656e","block_type":"box","text":"swaps whether or not a “credit event” triggering the seller’s payment obligation had occurred. Certain initiatives","page_number":54,"box":{"x":69,"y":392,"width":798,"height":12}},{"id":"fccbabba-5ac2-4247-a253-ef5684180310","block_type":"box","text":"adopted by derivatives market participants, including the International Swaps and Derivatives Association (“ISDA”),","page_number":54,"box":{"x":69,"y":408,"width":819,"height":11}},{"id":"327170ec-f8da-4693-80e0-e8a87cf40867","block_type":"box","text":"are designed to implement uniform settlement terms into standard credit default swap documentation, as well as","page_number":54,"box":{"x":69,"y":423,"width":810,"height":11}},{"id":"c9d5b4c6-a866-4449-96b1-8296dcdf4ad8","block_type":"box","text":"refine the practices for the transparent conduct of the credit default swap market generally. Among these initiatives","page_number":54,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"98d368e6-50ab-4921-87ee-8fd404375b94","block_type":"box","text":"are the ISDA Credit Derivatives Determination Committee and the implementation of market-wide cash settlement","page_number":54,"box":{"x":69,"y":453,"width":811,"height":11}},{"id":"31213239-4ab7-4c20-b9ee-356ac2129fa4","block_type":"box","text":"protocols applicable to all market-standard credit default swaps. These initiatives are intended to reduce both the","page_number":54,"box":{"x":70,"y":468,"width":809,"height":11}},{"id":"f834fe6d-8fb9-43c2-bed4-6dd67ddccb1b","block_type":"box","text":"uncertainty as to the occurrence of credit events and the risk of a “short squeeze” by providing that the ISDA Credit","page_number":54,"box":{"x":69,"y":483,"width":827,"height":11}},{"id":"ef84b766-38c2-4072-86a0-e70ac925a611","block_type":"box","text":"Derivatives Determinations Committee will make determinations as to whether a credit event has occurred, establish","page_number":54,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"c0f24861-7b60-4f56-9dd1-e653e4a8fa75","block_type":"box","text":"an auction to determine a settlement price and identify the deliverable securities for purposes of the auction,","page_number":54,"box":{"x":69,"y":513,"width":778,"height":11}},{"id":"2966469d-cee3-443a-a48d-d6b4e846f1b7","block_type":"box","text":"although the ISDA Credit Derivatives Determinations Committee may in certain limited circumstances refrain from","page_number":54,"box":{"x":69,"y":528,"width":809,"height":12}},{"id":"b51ec2a7-4993-44d0-b026-b04415ce88e6","block_type":"box","text":"doing so. In the event the ISDA Credit Derivatives Determinations Committee cannot reach a timely resolution with","page_number":54,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"2faf0c1c-6d9a-463a-a955-85344635589b","block_type":"box","text":"respect to a “credit event” or otherwise does not establish a cash settlement auction, a Fund may not be able to","page_number":54,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"5ede0fc3-f590-4a52-94c7-e476260d3edf","block_type":"box","text":"realize the full value of the credit default swap upon a default by the reference entity. Furthermore, a Fund may enter","page_number":54,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"fc2803bc-a4ad-4f9e-82a3-00219980d607","block_type":"box","text":"into certain credit default swaps or similar instruments that may not be covered by these initiatives.","page_number":54,"box":{"x":70,"y":589,"width":711,"height":11}},{"id":"ac44f601-f0b9-4b79-a53f-a9825ffaf2c1","block_type":"box","text":"If a Fund is a buyer, it will lose the payments made under the terms of the credit default swap and recover","page_number":54,"box":{"x":102,"y":612,"width":757,"height":11}},{"id":"ddbddb60-9fd0-4db8-b388-0e3f67048b56","block_type":"box","text":"nothing should no credit event occur. If a Fund is a seller and a credit event occurs, the value of any deliverable","page_number":54,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"703ba3b5-f007-4dc8-b892-1722a0faa419","block_type":"box","text":"obligation received by the Fund or the amount of cash settlement received by the Fund pursuant to the relevant cash","page_number":54,"box":{"x":69,"y":642,"width":830,"height":11}},{"id":"ae43f7e7-044a-4e40-9a56-d1d01b3aa262","block_type":"box","text":"settlement auction, together with the up-front or periodic payments previously received, may be less than the amount","page_number":54,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"7c7293e8-42c8-4341-b8ba-0cfeae8ed99f","block_type":"box","text":"it pays to the buyer, resulting in a loss of value to the Fund. A Fund that sells credit default swaps incurs leveraged","page_number":54,"box":{"x":70,"y":672,"width":817,"height":11}},{"id":"2272aa10-7b43-4edd-abc3-bdb4ef43d5b3","block_type":"box","text":"exposure to the credit of one or more reference entities and is subject to many of the same risks it would incur if it","page_number":54,"box":{"x":69,"y":687,"width":820,"height":11}},{"id":"f42fbf45-8318-499d-92cd-8cdd4e79c8d7","block_type":"box","text":"were holding debt securities issued by the relevant reference entity. However, a Fund will not have any legal recourse","page_number":54,"box":{"x":68,"y":702,"width":833,"height":12}},{"id":"6dbf68a8-1345-461a-9281-c2c5bf6e7a01","block_type":"box","text":"against any reference entity and will not benefit from any collateral securing the reference entity’s debt obligations. In","page_number":54,"box":{"x":69,"y":717,"width":837,"height":12}},{"id":"03e2ed17-1208-4414-8ebb-1a0c262195c5","block_type":"box","text":"the event the ISDA Credit Derivatives Determinations Committee does not establish a cash settlement auction and","page_number":54,"box":{"x":68,"y":733,"width":820,"height":9}},{"id":"554d9c45-dfd8-4a5b-9334-785b55b034ad","block_type":"box","text":"identify the relevant deliverable securities or loans, the credit default swap buyer will have broad discretion to select","page_number":54,"box":{"x":70,"y":748,"width":828,"height":11}},{"id":"4b732241-abaa-4eb0-a7ce-21d20c2bede4","block_type":"box","text":"which of the reference entity’s debt obligations to deliver to the Fund following a credit event and will likely choose","page_number":54,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"64c3a0c4-f6bc-41b4-b550-f9d4e4052ea7","block_type":"box","text":"the obligations with the lowest market value in order to maximize the payment obligations of the Fund. In addition,","page_number":54,"box":{"x":68,"y":778,"width":814,"height":11}},{"id":"1d9af4fb-dc7a-4a95-b8f5-e85d006a2a01","block_type":"box","text":"credit default swaps generally trade on the basis of theoretical pricing and valuation models, which may not","page_number":54,"box":{"x":69,"y":793,"width":766,"height":11}},{"id":"2a4be246-6adf-4d84-a2e0-f2cfeed2933a","block_type":"box","text":"accurately value such swap positions when established or when subsequently traded or unwound under actual market","page_number":54,"box":{"x":69,"y":808,"width":840,"height":11}},{"id":"b9875bb5-b22c-44fc-9a64-508294e574ae","block_type":"box","text":"conditions.","page_number":54,"box":{"x":69,"y":823,"width":76,"height":9}},{"id":"67ae6ea3-5385-48cb-b508-9d6e8f84adf0","block_type":"box","text":"Dodd-Frank requires that certain index CDS be executed in regulated markets and submitted for clearing to","page_number":54,"box":{"x":102,"y":846,"width":762,"height":11}},{"id":"b857c465-14fa-4e4e-a8c5-89fc60ecff21","block_type":"box","text":"regulated clearinghouses. See “—Derivatives — Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":54,"box":{"x":69,"y":861,"width":824,"height":11}},{"id":"0b3690b6-c4d2-4fc6-8fa8-abfbe9f0b353","block_type":"box","text":"single-name CDS and index CDS are permitted, although not required, to be cleared through regulated","page_number":54,"box":{"x":69,"y":876,"width":727,"height":11}},{"id":"83925e4d-ebd7-4c84-9613-6f92e0b47586","block_type":"box","text":"clearinghouses. The Funds clear all credit default swaps that are subject to mandatory clearing and may voluntarily","page_number":54,"box":{"x":69,"y":891,"width":819,"height":12}},{"id":"187e4892-4021-4017-81b5-d5631c2367a1","block_type":"box","text":"clear some, but not all, of the other credit default swaps not subject to mandatory clearing. The Funds face","page_number":54,"box":{"x":69,"y":906,"width":764,"height":12}},{"id":"1e9f8729-c8bf-470a-a18d-3d7ee9f7f0c6","block_type":"box","text":"II-18","page_number":54,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5b934756-e1b2-47ca-93b8-6ca1207c6969","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":54,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b5986e4b-590f-4e3e-9a32-630911b2aae0","block_type":"box","text":"counterparty risk with respect to the clearinghouse when entering into cleared single-name CDS and cleared index","page_number":55,"box":{"x":69,"y":45,"width":813,"height":11}},{"id":"ae62dead-9940-432c-a264-00afebbca569","block_type":"box","text":"CDS. The Funds face significant counterparty risk with respect to their counterparties to non-cleared credit default","page_number":55,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"47fbcb9f-0d35-469c-ae27-bb82aaf5125b","block_type":"box","text":"swaps and similar instruments. A Fund typically will enter into non-cleared credit default swaps and similar","page_number":55,"box":{"x":69,"y":75,"width":759,"height":11}},{"id":"2f1c87aa-d26d-4bf9-ad67-05c43046a7cb","block_type":"box","text":"instruments with swap dealers and creditworthy entities that have substantial capital or that have provided the Fund","page_number":55,"box":{"x":70,"y":90,"width":828,"height":11}},{"id":"5787e1e4-143e-4f12-84ac-40e97ba82472","block_type":"box","text":"with a third-party guaranty or other credit support.","page_number":55,"box":{"x":68,"y":105,"width":355,"height":11}},{"id":"ebfc7313-0c48-4d48-8917-4730b04fe276","block_type":"box","text":"In certain instances, a Fund may enter into bespoke credit default swaps or similar instruments either as","page_number":55,"box":{"x":102,"y":128,"width":750,"height":11}},{"id":"526a6d68-7884-42e6-8e38-fd092bb7d16a","block_type":"box","text":"protection buyer or protection seller. While these contracts are similar in their operation to the market-standard credit","page_number":55,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"eea3800a-31e0-4f65-829f-faf40ef4593f","block_type":"box","text":"default swaps described above, they are less standardized and instead have bespoke or tailored features. For","page_number":55,"box":{"x":69,"y":158,"width":785,"height":11}},{"id":"ee734146-bd81-492e-b649-90bbb22da00b","block_type":"box","text":"example, as compared to market-standard credit defaults, the range of “credit events” triggering settlement of such","page_number":55,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"2e8097fe-174d-4cf9-8dbd-5cacc6f40e7a","block_type":"box","text":"bespoke contracts may be narrower or broader, any such triggered contracts are settled by physical delivery of the","page_number":55,"box":{"x":69,"y":188,"width":814,"height":12}},{"id":"1e788de1-815a-4499-a73c-7c034fc593fc","block_type":"box","text":"underlying security or loan to or by the Fund rather than by way of cash settlement, and there may be a wider range of","page_number":55,"box":{"x":69,"y":203,"width":839,"height":12}},{"id":"3a288902-bd9a-4bef-a2b1-91b530c318bc","block_type":"box","text":"securities as the reference obligations and/or deliverable obligations.","page_number":55,"box":{"x":69,"y":218,"width":495,"height":12}},{"id":"38f5d044-dc4d-45f0-b061-75d9eadb2ebc","block_type":"box","text":"In addition, credit default swaps and similar instruments generally involve greater risks than if a Fund had","page_number":55,"box":{"x":102,"y":241,"width":752,"height":11}},{"id":"36b78fac-6e3b-4a29-905a-6fc21a980973","block_type":"box","text":"invested in the reference obligation directly and are subject to significant credit risk, correlation risk, leverage risk,","page_number":55,"box":{"x":70,"y":256,"width":814,"height":12}},{"id":"fb048e21-5b6a-474d-8847-fed20899b0b0","block_type":"box","text":"illiquidity risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":55,"box":{"x":70,"y":272,"width":520,"height":11}},{"id":"814126f8-7bca-455f-91ee-1100a4e2b634","block_type":"box","text":"Interest Rate Swaps, Floors and Caps.","page_number":55,"box":{"x":102,"y":294,"width":273,"height":11}},{"id":"391daa6e-2eab-4547-9ed9-7e0a4c6402a0","block_type":"box","text":"Certain Funds may enter into OTC derivatives in the form of interest rate","page_number":55,"box":{"x":381,"y":294,"width":515,"height":11}},{"id":"568b8b4a-d146-4c08-a59d-c8ce6b5279e7","block_type":"box","text":"swaps and interest rate caps and floors. As described in further detail below, a Fund may enter into these","page_number":55,"box":{"x":69,"y":309,"width":755,"height":11}},{"id":"8b001ce5-ae80-4041-ae87-ecba559b158a","block_type":"box","text":"transactions primarily to preserve a return or spread on a particular investment or portion of its holdings, as a","page_number":55,"box":{"x":68,"y":324,"width":788,"height":12}},{"id":"6ea46857-1057-4076-9931-339627869497","block_type":"box","text":"duration management technique, to protect against an increase in the price of securities a Fund anticipates","page_number":55,"box":{"x":69,"y":339,"width":768,"height":12}},{"id":"3bdcf733-d6f8-49d1-8058-f7e5252e4594","block_type":"box","text":"purchasing at a later date, or for speculation to increase returns.","page_number":55,"box":{"x":70,"y":355,"width":461,"height":11}},{"id":"8828ebce-b64a-4935-9806-28d87cbda3ab","block_type":"box","text":"Dodd-Frank requires that certain interest rate swaps be executed in regulated markets and submitted for","page_number":55,"box":{"x":102,"y":377,"width":748,"height":12}},{"id":"faeb5003-9590-4724-907d-b19a154de539","block_type":"box","text":"clearing to regulated clearinghouses. See “—Regulation of Derivatives — Dodd-Frank Regulations” above. Other","page_number":55,"box":{"x":69,"y":392,"width":799,"height":12}},{"id":"9c097517-3276-44d7-a21e-471ef8c7da15","block_type":"box","text":"interest rate swaps are permitted, although not required, to be cleared. Most of the interest rate swaps entered into","page_number":55,"box":{"x":70,"y":407,"width":829,"height":12}},{"id":"abe05619-a239-4f7d-9a74-29777ef3068d","block_type":"box","text":"by the Funds are cleared. The Funds face counterparty risk with respect to the clearinghouse when entering into","page_number":55,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"d3f32d9b-fd82-4af5-b70b-6cce82ec9bc1","block_type":"box","text":"cleared interest rate swaps.","page_number":55,"box":{"x":69,"y":438,"width":198,"height":11}},{"id":"7fdd4687-27c6-4620-a9a1-9fa6273d3765","block_type":"box","text":"The Funds face significant counterparty risk with respect to their counterparties to non-cleared interest rate","page_number":55,"box":{"x":101,"y":460,"width":766,"height":12}},{"id":"1687dac2-609e-450e-8015-f0adcad61a7a","block_type":"box","text":"swaps and interest rate caps and floors. The typical counterparties for a Fund’s non-cleared interest rate derivatives","page_number":55,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"af93fdfc-4e8c-46a4-9827-80141e1ad233","block_type":"box","text":"transactions are swap dealers and other creditworthy entities that have substantial capital or that have provided the","page_number":55,"box":{"x":68,"y":491,"width":830,"height":11}},{"id":"b29c48d5-b4da-4e1f-ba39-e1e631b388ac","block_type":"box","text":"Fund with a third-party guaranty or other credit support. If the Fund’s counterparty defaults on such a transaction, a","page_number":55,"box":{"x":70,"y":506,"width":822,"height":11}},{"id":"40dd2f43-7989-47ef-a206-b648306ac85d","block_type":"box","text":"Fund will have contractual remedies with respect to the transaction but there can be no guarantee that the Fund will","page_number":55,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"42667076-33a3-49f0-8dcf-66845c432972","block_type":"box","text":"be successful in enforcing such remedies. The market for interest rate swaps is relatively liquid in comparison with","page_number":55,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"07ca2360-edf9-4307-b1ce-6cb78c46275b","block_type":"box","text":"other similar instruments traded in the interbank market. A Fund may be limited in its ability to enter into certain","page_number":55,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"2d4bdcfa-b75d-4cfa-9f59-0e65aeb1539b","block_type":"box","text":"interest rate derivatives due to applicable income tax requirements.","page_number":55,"box":{"x":70,"y":566,"width":480,"height":11}},{"id":"509fa4d6-ecc3-4205-bf61-05e725ad0721","block_type":"box","text":"Interest rate swaps are transactions in which each party makes periodic interest payments based on a fixed or","page_number":55,"box":{"x":102,"y":589,"width":790,"height":11}},{"id":"97822802-bda0-4b91-aa04-fafa9ceb0d40","block_type":"box","text":"variable interest rate, index or asset in return for periodic payments from its counterparty based on a different fixed","page_number":55,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"d9c9f89c-037e-4314-bfb7-a1588b6f815f","block_type":"box","text":"or variable interest rate, index or asset.","page_number":55,"box":{"x":69,"y":619,"width":280,"height":11}},{"id":"6b6b490a-fd75-4dd8-8abc-81222d80926c","block_type":"box","text":"The purchase of an interest rate floor entitles the purchaser, to the extent that a specified index falls below a","page_number":55,"box":{"x":101,"y":642,"width":780,"height":11}},{"id":"45b6895e-f495-421f-9384-1d4cfc78db96","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling","page_number":55,"box":{"x":70,"y":657,"width":805,"height":11}},{"id":"1c770463-3b58-4f8c-a6fb-ced286fda40c","block_type":"box","text":"such interest rate floor.","page_number":55,"box":{"x":69,"y":672,"width":165,"height":9}},{"id":"72b54cdc-15ae-49f7-9d17-003c15836ada","block_type":"box","text":"The purchase of an interest rate cap entitles the purchaser, to the extent that a specified index rises above a","page_number":55,"box":{"x":101,"y":695,"width":780,"height":11}},{"id":"9eea2ea7-1040-457b-ba36-e5e09a5d1a66","block_type":"box","text":"predetermined interest rate, to receive payments of interest on a notional principal amount from the party selling","page_number":55,"box":{"x":70,"y":710,"width":805,"height":11}},{"id":"34335817-c64d-4c71-bb73-06c29e53e35a","block_type":"box","text":"such interest rate cap.","page_number":55,"box":{"x":69,"y":725,"width":159,"height":11}},{"id":"4d7fac99-be9b-4ad8-9887-59e6fd350787","block_type":"box","text":"A Fund may enter into an interest rate swap to effectively exchange with another party their respective","page_number":55,"box":{"x":101,"y":748,"width":729,"height":11}},{"id":"fd6308ad-b988-4301-8605-2dc9d6a3ae72","block_type":"box","text":"commitments to pay or receive interest,","page_number":55,"box":{"x":69,"y":763,"width":282,"height":11}},{"id":"66b627c4-d258-4ee1-a033-865071bcb854","block_type":"box","text":"e.g.","page_number":55,"box":{"x":359,"y":764,"width":24,"height":10}},{"id":"5d901193-023a-426e-84d1-7d5bbb5fca07","block_type":"box","text":", an exchange of fixed rate payments for floating rate payments. For","page_number":55,"box":{"x":386,"y":763,"width":482,"height":11}},{"id":"18621667-667f-4c0c-8963-e2aff88541e5","block_type":"box","text":"example, if a Fund holds a mortgage-backed security with an interest rate that is reset only once each year, it may","page_number":55,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"154cba84-cc85-4dd0-a72f-962e8b308c5a","block_type":"box","text":"swap the right to receive interest at this fixed rate for the right to receive interest at a rate that is reset every week.","page_number":55,"box":{"x":69,"y":793,"width":823,"height":11}},{"id":"5b3ba5e2-b87f-488f-b499-710e236377f7","block_type":"box","text":"This would enable a Fund to offset a decline in the value of the mortgage-backed security due to rising interest rates","page_number":55,"box":{"x":68,"y":808,"width":832,"height":11}},{"id":"2a4b6979-cedb-48dd-bdd6-7382664988a0","block_type":"box","text":"but would also limit its ability to benefit from falling interest rates. Conversely, if a Fund holds a mortgage-backed","page_number":55,"box":{"x":69,"y":823,"width":807,"height":12}},{"id":"a58e4e9a-bd78-4780-a231-1ccafd979055","block_type":"box","text":"security with an interest rate that is reset every week and it would like to lock in what it believes to be a high interest","page_number":55,"box":{"x":69,"y":839,"width":836,"height":11}},{"id":"2f32e875-7716-451d-af12-316f697fed62","block_type":"box","text":"rate for one year, it may swap the right to receive interest at this variable weekly rate for the right to receive interest","page_number":55,"box":{"x":69,"y":853,"width":826,"height":12}},{"id":"444cbd0d-718b-4138-aad7-56d194448e8f","block_type":"box","text":"at a rate that is fixed for one year. Such a swap would protect the Fund from a reduction in yield due to falling interest","page_number":55,"box":{"x":69,"y":869,"width":840,"height":11}},{"id":"60c4399e-0a36-481d-b0f8-9564f85ce8e4","block_type":"box","text":"rates and may permit the Fund to enhance its income through the positive differential between one week and one","page_number":55,"box":{"x":69,"y":884,"width":810,"height":11}},{"id":"423873b1-da04-461f-be87-cd1ea4bb16a0","block_type":"box","text":"year interest rates, but would preclude it from taking full advantage of rising interest rates.","page_number":55,"box":{"x":68,"y":899,"width":646,"height":11}},{"id":"1a60e610-33fe-478d-8da2-5aedaf377163","block_type":"box","text":"II-19","page_number":55,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4c52f64e-4cde-4ef4-bb45-8e4e12f2ea3f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":55,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"28f3834e-0d8b-40d5-a1a2-71666205a6b0","block_type":"box","text":"Gains from transactions in interest rate swaps distributed to shareholders will be taxable as ordinary income or,","page_number":56,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"0e9740bc-dcc1-4405-a4d3-9099b3be407c","block_type":"box","text":"in certain circumstances, as long term capital gains to shareholders.","page_number":56,"box":{"x":70,"y":60,"width":490,"height":11}},{"id":"621a2702-697b-41d8-b4f8-64cfb52e0bf9","block_type":"box","text":"Interest rate swaps and interest rate caps and floors may be subject to correlation risk, leverage risk, illiquidity","page_number":56,"box":{"x":102,"y":82,"width":791,"height":12}},{"id":"9b8dd8af-5a38-45ca-8a60-25176d762aff","block_type":"box","text":"risk and market risk. See “—Risk Factors in Derivatives” above.","page_number":56,"box":{"x":69,"y":98,"width":454,"height":9}},{"id":"6c7941c6-8a3c-4449-9cd6-3f3fa8c85bea","block_type":"box","text":"Total Return Swaps.","page_number":56,"box":{"x":103,"y":120,"width":139,"height":11}},{"id":"d83a1d50-52dc-4bbb-a17f-d10729c7a305","block_type":"box","text":"Total return swaps are contracts in which one party agrees to make periodic payments to","page_number":56,"box":{"x":249,"y":120,"width":634,"height":12}},{"id":"2dacb6f5-0ddb-498b-85c3-c420914497ce","block_type":"box","text":"the other party based on the return of the assets underlying the contract in exchange for periodic payments based on","page_number":56,"box":{"x":68,"y":135,"width":838,"height":12}},{"id":"7cc9509b-eaa2-4df2-87ba-b6c3fa6b89c1","block_type":"box","text":"a fixed or variable interest rate or the total return from different underlying assets. The return of the assets","page_number":56,"box":{"x":69,"y":150,"width":764,"height":12}},{"id":"8bbaf367-b192-4083-96de-c8cf73f36125","block_type":"box","text":"underlying the contract includes both the income generated by the asset and the change in market value of the","page_number":56,"box":{"x":69,"y":166,"width":791,"height":11}},{"id":"b435f99e-98b8-4ac1-b6c1-a821862fda4c","block_type":"box","text":"asset. The asset underlying the contract may include a specified security, basket of securities or securities indices.","page_number":56,"box":{"x":69,"y":181,"width":821,"height":11}},{"id":"6f0b33e3-c53a-4215-9cc3-ba419bb28710","block_type":"box","text":"Total return swaps on a specified security, basket of securities or securities indices may sometimes be referred to as","page_number":56,"box":{"x":68,"y":196,"width":838,"height":11}},{"id":"30507033-c2fa-4c95-aabb-709e8a189c87","block_type":"box","text":"“contracts for difference.”","page_number":56,"box":{"x":70,"y":211,"width":184,"height":9}},{"id":"736029df-bed1-466e-8de9-f3fea1a3b755","block_type":"box","text":"Total return swaps may be used to obtain exposure to a security or market without owning or taking physical","page_number":56,"box":{"x":101,"y":234,"width":770,"height":11}},{"id":"e080c64a-a332-43dd-b826-72fdb75559d0","block_type":"box","text":"custody of such security or investing directly in such market. Upon entering into a total return swap, a Fund is","page_number":56,"box":{"x":69,"y":249,"width":780,"height":11}},{"id":"33facc66-7aa8-4ad6-8ef1-d9d936c4cb4d","block_type":"box","text":"required to deposit initial margin but the parties do not exchange the notional amount. As a result, total return swaps","page_number":56,"box":{"x":69,"y":264,"width":839,"height":11}},{"id":"ca36c347-79a0-4635-b6bb-a9eb9992ccdb","block_type":"box","text":"may effectively add leverage to the Fund’s portfolio because the Fund would be subject to investment exposure on","page_number":56,"box":{"x":69,"y":279,"width":816,"height":11}},{"id":"22f2c260-5d2e-47d5-a69b-ae80f78d0d23","block_type":"box","text":"the notional amount of the swap.","page_number":56,"box":{"x":68,"y":294,"width":235,"height":11}},{"id":"a856ede5-90cc-4bf8-9071-cbfca02b3d17","block_type":"box","text":"Total return swaps are subject to significant correlation risk, leverage risk, illiquidity risk, market risk and","page_number":56,"box":{"x":101,"y":317,"width":746,"height":11}},{"id":"bf6828f0-93f5-4750-b53e-0c749e871c8a","block_type":"box","text":"counterparty risk. See “—Risk Factors in Derivatives” above.","page_number":56,"box":{"x":69,"y":332,"width":433,"height":11}},{"id":"660464f3-42e5-4083-9073-b9dd35be075e","block_type":"box","text":"Options.","page_number":56,"box":{"x":102,"y":355,"width":57,"height":11}},{"id":"9ea346ee-f1fc-45d8-9042-e06ef5cfdd7e","block_type":"box","text":"Options on Securities and Securities Indices.","page_number":56,"box":{"x":102,"y":377,"width":319,"height":11}},{"id":"e639e8ab-ce53-495b-92a1-0ae128eccd8a","block_type":"box","text":"A Fund may engage in transactions in options on individual","page_number":56,"box":{"x":427,"y":377,"width":418,"height":12}},{"id":"9ecb1cca-4e95-4acd-ab0a-41a077851a33","block_type":"box","text":"securities, baskets of securities or securities indices, or particular measurements of value or rates, such as an index","page_number":56,"box":{"x":69,"y":392,"width":838,"height":11}},{"id":"d6bbef34-3783-49da-942d-39f6b4ee9f4b","block_type":"box","text":"of the price of treasury securities or an index representative of short-term interest rates. Such investments may be","page_number":56,"box":{"x":69,"y":407,"width":820,"height":12}},{"id":"94cfe2b7-617d-40a1-9767-a1271be4cbb4","block_type":"box","text":"made on exchanges and in the OTC markets. In general, exchange-traded options have standardized exercise prices","page_number":56,"box":{"x":69,"y":423,"width":826,"height":11}},{"id":"13baad1a-0e71-4ec0-9b23-5ce13b7e4bb8","block_type":"box","text":"and expiration dates and require the parties to post margin against their obligations, and the performance of the","page_number":56,"box":{"x":69,"y":438,"width":806,"height":11}},{"id":"b2f59fd5-3d22-4ba9-922a-da14bec72186","block_type":"box","text":"parties’ obligations in connection with such options is guaranteed by the exchange or a related clearing corporation.","page_number":56,"box":{"x":70,"y":453,"width":825,"height":11}},{"id":"68a7b566-f114-4349-a8a0-7232e5ffa614","block_type":"box","text":"OTC options have more flexible terms negotiated between the buyer and the seller, but are subject to greater credit","page_number":56,"box":{"x":69,"y":468,"width":822,"height":11}},{"id":"1a19a0df-6ba2-4a53-b3bb-68f74595d2e1","block_type":"box","text":"risk. OTC options also involve greater illiquidity risk.","page_number":56,"box":{"x":69,"y":483,"width":366,"height":11}},{"id":"551bfccf-9a57-4fb4-8c60-b2469bb9d068","block_type":"box","text":"A Fund may also engage in transactions in options which have additional features that result in different","page_number":56,"box":{"x":101,"y":506,"width":743,"height":11}},{"id":"d0f0d793-36fd-4f66-961f-2888c57ac47b","block_type":"box","text":"payment structures and/or expirations (commonly referred to as exotic options). For example, barrier options are","page_number":56,"box":{"x":70,"y":521,"width":804,"height":11}},{"id":"7f09ca54-9b04-4a9d-ae06-06b68b60c614","block_type":"box","text":"exotic options that can only be exercised (or automatically expire) if the price of the underlying asset reaches one or","page_number":56,"box":{"x":69,"y":536,"width":827,"height":11}},{"id":"40caf498-c88a-45c8-b4e7-a1a8f70166a2","block_type":"box","text":"more predetermined levels on or before expiration. Binary options are another example of exotic options which have","page_number":56,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"2f4c686b-ed53-4d42-bdfa-fb4c80f4617f","block_type":"box","text":"a fixed all-or-nothing payout if one or more predetermined conditions are met. Exotic options are typically traded in","page_number":56,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"c9b5d93c-14b2-4bcf-a2a2-b0b9d942ce55","block_type":"box","text":"OTC markets.","page_number":56,"box":{"x":69,"y":581,"width":95,"height":9}},{"id":"223aff2f-42f1-4dd4-8d2b-39747e1930f0","block_type":"box","text":"There are several risks associated with transactions in options on securities and indexes. For example, there are","page_number":56,"box":{"x":101,"y":604,"width":806,"height":11}},{"id":"dc99fea4-1816-43e7-aa53-fcb68c815bba","block_type":"box","text":"significant differences between the securities and options markets that could result in an imperfect correlation","page_number":56,"box":{"x":69,"y":619,"width":791,"height":11}},{"id":"2836fc32-50b1-4578-9793-6fd032e15021","block_type":"box","text":"between these markets, causing a given transaction not to achieve its objectives. In addition, a liquid market for","page_number":56,"box":{"x":69,"y":634,"width":801,"height":12}},{"id":"3741b437-da48-4c42-8bf4-ca75b54399b8","block_type":"box","text":"particular options, whether traded OTC or on a national securities exchange (“Exchange”) may be absent for reasons","page_number":56,"box":{"x":70,"y":649,"width":831,"height":12}},{"id":"9154ec2f-2e6d-4b7d-86e3-015b4feca30d","block_type":"box","text":"which include the following: there may be insufficient trading interest in certain options; restrictions may be imposed","page_number":56,"box":{"x":68,"y":664,"width":833,"height":12}},{"id":"f72e269a-9d91-4def-be9c-9689c6e5d883","block_type":"box","text":"by an Exchange on opening transactions or closing transactions or both; trading halts, suspensions or other","page_number":56,"box":{"x":69,"y":680,"width":769,"height":11}},{"id":"9f6a4e61-fbd3-4a68-9976-974eeedc34c2","block_type":"box","text":"restrictions may be imposed with respect to particular classes or series of options or underlying securities; unusual","page_number":56,"box":{"x":69,"y":695,"width":824,"height":11}},{"id":"a43850fc-ddbf-4653-837a-577a19915f6f","block_type":"box","text":"or unforeseen circumstances may interrupt normal operations on an Exchange; the facilities of an Exchange or the","page_number":56,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"7969be85-5bf9-4a00-adbb-7190ff565694","block_type":"box","text":"Options Clearing Corporation may not at all times be adequate to handle current trading volume; or one or more","page_number":56,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"e5515ae7-9179-4fde-9ca1-7bbfb300722d","block_type":"box","text":"Exchanges could, for economic or other reasons, decide or be compelled at some future date to discontinue the","page_number":56,"box":{"x":70,"y":740,"width":798,"height":11}},{"id":"b9480913-0d58-4d61-a197-258423405ba9","block_type":"box","text":"trading of options (or a particular class or series of options), in which event the market on that Exchange (or in that","page_number":56,"box":{"x":68,"y":755,"width":822,"height":11}},{"id":"da49466b-ba6d-4abf-8bb6-d4bd7ac805cf","block_type":"box","text":"class or series of options) would cease to exist, although outstanding options that had been issued by the Options","page_number":56,"box":{"x":69,"y":770,"width":818,"height":12}},{"id":"a77661ab-8c7f-4e45-b1d4-598bf9798441","block_type":"box","text":"Clearing Corporation as a result of trades on that Exchange would continue to be exercisable in accordance with their","page_number":56,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"48ed6459-fd19-41c7-abc1-b7bf30faec7c","block_type":"box","text":"terms.","page_number":56,"box":{"x":68,"y":801,"width":45,"height":9}},{"id":"8f7b3f73-cfbc-4b52-a4dc-f33778326b89","block_type":"box","text":"Each of the options exchanges has established limitations governing the maximum number of call or put options","page_number":56,"box":{"x":102,"y":823,"width":801,"height":12}},{"id":"6532b1da-4ae4-4373-aad0-64b67fc31ede","block_type":"box","text":"on the same asset that may be bought or written by a single investor, whether acting alone or in concert with others","page_number":56,"box":{"x":69,"y":839,"width":826,"height":11}},{"id":"3454ccdc-568a-4769-af8f-d934b02738b3","block_type":"box","text":"(regardless of whether such options are written on the same or different exchanges or are held or written on one or","page_number":56,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"371f91d6-e720-4b81-923b-8105eabcfaca","block_type":"box","text":"more accounts or through one or more brokers). Under these limitations, option positions of all investment","page_number":56,"box":{"x":69,"y":869,"width":762,"height":11}},{"id":"b2d1e506-c2e6-4957-940c-64e953f406c4","block_type":"box","text":"companies advised by the Manager are combined for purposes of these limits. Pursuant to these limitations, an","page_number":56,"box":{"x":69,"y":884,"width":798,"height":11}},{"id":"fd26a5b2-beb6-4853-be8f-acecbf4beb0a","block_type":"box","text":"II-20","page_number":56,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"3e6c1a4d-297a-4c29-a0f8-75d15664e6df","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":56,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6fc428f8-51af-43d6-af17-aa7f2bf678e9","block_type":"box","text":"exchange may order the liquidation of positions and may impose other sanctions or restrictions. These position limits","page_number":57,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"0179db28-f361-4e46-9fed-b0fb7e0c63d2","block_type":"box","text":"may restrict the number of listed options that a Fund may buy or sell.","page_number":57,"box":{"x":69,"y":60,"width":491,"height":11}},{"id":"573e8bc8-2241-42f8-847a-0060175c3e09","block_type":"box","text":"Call Options.","page_number":57,"box":{"x":102,"y":83,"width":89,"height":10}},{"id":"17c4c6a7-b483-4801-8de1-a14ea85d1058","block_type":"box","text":"A Fund may purchase call options on any of the types of securities or instruments in which it may","page_number":57,"box":{"x":197,"y":82,"width":694,"height":12}},{"id":"6f56471a-ae2a-4344-84f0-ef251baa42f4","block_type":"box","text":"invest. A purchased call option gives a Fund the right to buy, and obligates the seller to sell, the underlying security at","page_number":57,"box":{"x":70,"y":98,"width":838,"height":11}},{"id":"e02e70c2-3d01-4c9e-aa1b-304e223d6835","block_type":"box","text":"the exercise price at any time during the option period. A Fund also may purchase and sell call options on indices.","page_number":57,"box":{"x":68,"y":113,"width":813,"height":11}},{"id":"77204ba1-f3b2-4717-b354-33b718186a7b","block_type":"box","text":"Index options are similar to options on securities except that, rather than taking or making delivery of securities","page_number":57,"box":{"x":70,"y":128,"width":795,"height":11}},{"id":"bd193922-b575-45d9-80d8-256fa36dfdab","block_type":"box","text":"underlying the option at a specified price upon exercise, an index option gives the holder the right to receive cash","page_number":57,"box":{"x":69,"y":143,"width":807,"height":11}},{"id":"a6c553ef-676d-4bff-a97b-476812cd7482","block_type":"box","text":"upon exercise of the option if the level of the index upon which the option is based is greater than the exercise price","page_number":57,"box":{"x":69,"y":158,"width":830,"height":11}},{"id":"82c48fad-e9ec-4f05-8c48-d5aa0275e21a","block_type":"box","text":"of the option.","page_number":57,"box":{"x":69,"y":173,"width":93,"height":11}},{"id":"219aabb7-b68b-4393-ab8a-e7d73c637749","block_type":"box","text":"A written call option is covered if a Fund holds a call on the same security or index as the call written where the","page_number":57,"box":{"x":101,"y":196,"width":794,"height":11}},{"id":"bd35f074-7e63-4586-afbf-bf35c48c8c0c","block_type":"box","text":"exercise price of the call held is (i) equal to or less than the exercise price of the call written, or (ii) greater than the","page_number":57,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"c88e337e-765b-4f65-838b-2b767598eed7","block_type":"box","text":"exercise price of the call written provided the difference is maintained by the Fund in assets which are not considered","page_number":57,"box":{"x":69,"y":226,"width":839,"height":11}},{"id":"089b640c-c009-4541-b8f7-dfb1eb1a1408","block_type":"box","text":"illiquid investments under the Funds’ Liquidity Program (as defined below) (“liquid assets”) designated on the","page_number":57,"box":{"x":70,"y":241,"width":778,"height":11}},{"id":"d6106863-092c-4af8-a012-0f30e269e30c","block_type":"box","text":"Manager’s or the sub-adviser’s books and records to the extent required by Commission guidelines.","page_number":57,"box":{"x":70,"y":256,"width":711,"height":12}},{"id":"10d1a2ea-6246-45d1-831f-7677c24abb1d","block_type":"box","text":"A Fund may write (","page_number":57,"box":{"x":101,"y":279,"width":130,"height":11}},{"id":"80336554-a56d-4ea1-b0f0-334f13ded0af","block_type":"box","text":"i.e.","page_number":57,"box":{"x":233,"y":279,"width":20,"height":9}},{"id":"7e2e0144-4330-4997-823d-ef3df8458488","block_type":"box","text":", sell) covered call options on the securities or instruments in which it may invest and to","page_number":57,"box":{"x":256,"y":279,"width":627,"height":11}},{"id":"6b67343f-4666-45ae-bfa4-e2b0258ed58f","block_type":"box","text":"enter into closing purchase transactions with respect to certain of such options. A covered call option is an option in","page_number":57,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"873c43bc-3989-44ae-a9e6-971b927b2b50","block_type":"box","text":"which a Fund, in return for a premium, gives another party a right to buy specified securities owned by the Fund at a","page_number":57,"box":{"x":68,"y":309,"width":827,"height":11}},{"id":"1e41f633-0db1-46e3-838e-1cacffc03df7","block_type":"box","text":"specified future date and price set at the time of the contract. The principal reason for writing call options is the","page_number":57,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"b390a763-c4a5-463d-9824-1ca17f27f671","block_type":"box","text":"attempt to realize, through the receipt of premiums, a greater return than would be realized on the securities alone.","page_number":57,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"6f2f7e99-ff9e-432f-a2c6-2a4f11c0eb40","block_type":"box","text":"By writing covered call options, a Fund gives up the opportunity, while the option is in effect, to profit from any price","page_number":57,"box":{"x":70,"y":355,"width":823,"height":11}},{"id":"0eee4b6c-9a42-489e-97b2-ff777305a825","block_type":"box","text":"increase in the underlying security above the option exercise price. In addition, a Fund’s ability to sell the underlying","page_number":57,"box":{"x":70,"y":370,"width":825,"height":11}},{"id":"de59d56f-cc1d-4c85-8b54-d087359c58f2","block_type":"box","text":"security will be limited while the option is in effect unless the Fund enters into a closing purchase transaction. A","page_number":57,"box":{"x":69,"y":385,"width":800,"height":11}},{"id":"99910469-cbc5-4660-81a6-df978234b038","block_type":"box","text":"closing purchase transaction cancels out a Fund’s position as the writer of an option by means of an offsetting","page_number":57,"box":{"x":69,"y":400,"width":792,"height":11}},{"id":"683ea426-68d7-49be-847f-25a52f5626c4","block_type":"box","text":"purchase of an identical option prior to the expiration of the option it has written. Covered call options also serve as","page_number":57,"box":{"x":70,"y":415,"width":826,"height":11}},{"id":"403a8a10-6da0-485f-bbf9-095eca88e594","block_type":"box","text":"a partial hedge to the extent of the premium received against the price of the underlying security declining.","page_number":57,"box":{"x":69,"y":430,"width":760,"height":11}},{"id":"e3ca5da8-bdb4-4bcb-b456-3c159535bd20","block_type":"box","text":"A Fund may write","page_number":57,"box":{"x":101,"y":453,"width":120,"height":11}},{"id":"e7f61774-0184-4976-ace8-2763e37deb65","block_type":"box","text":"(i.e.","page_number":57,"box":{"x":228,"y":453,"width":25,"height":11}},{"id":"57b5c525-0424-44aa-9324-3e680a5bfa3e","block_type":"box","text":", sell) uncovered call options on securities or instruments in which it may invest but that","page_number":57,"box":{"x":256,"y":453,"width":628,"height":11}},{"id":"e6d9717c-d5c2-4b43-a85f-1d2134e70982","block_type":"box","text":"are not currently held by the Fund. The principal reason for writing uncovered call options is to realize income without","page_number":57,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"8dbcdf2c-1aec-4b95-a8fd-33fb0dcccae9","block_type":"box","text":"committing capital to the ownership of the underlying securities or instruments. When writing uncovered call options,","page_number":57,"box":{"x":69,"y":483,"width":830,"height":11}},{"id":"4d140e70-efd7-4493-8df6-652a4d967485","block_type":"box","text":"a Fund must deposit and maintain sufficient margin with the broker-dealer through which it made the uncovered call","page_number":57,"box":{"x":69,"y":498,"width":825,"height":11}},{"id":"558dc7c5-6c3e-49e5-99ec-d016ff5742a5","block_type":"box","text":"option as collateral to ensure that the securities can be purchased for delivery if and when the option is exercised.","page_number":57,"box":{"x":69,"y":513,"width":818,"height":11}},{"id":"a55c90cc-140c-4dcd-bc69-bf35f04c97d5","block_type":"box","text":"During periods of declining securities prices or when prices are stable, writing uncovered calls can be a profitable","page_number":57,"box":{"x":70,"y":528,"width":806,"height":12}},{"id":"a071f125-a7fd-4c96-93f3-2390572185e1","block_type":"box","text":"strategy to increase a Fund’s income with minimal capital risk. Uncovered calls are riskier than covered calls because","page_number":57,"box":{"x":69,"y":544,"width":839,"height":11}},{"id":"3c61197c-63e0-45b3-8b7d-4d642e5cafc5","block_type":"box","text":"there is no underlying security held by a Fund that can act as a partial hedge. Uncovered calls have speculative","page_number":57,"box":{"x":68,"y":559,"width":793,"height":11}},{"id":"573ef8f4-ea3f-4ae9-b93f-be282639b213","block_type":"box","text":"characteristics and the potential for loss is unlimited. When an uncovered call is exercised, a Fund must purchase","page_number":57,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"c4aef7c2-9eb0-4af5-a1d0-725e2cc9051e","block_type":"box","text":"the underlying security to meet its call obligation. There is also a risk, especially with preferred and debt securities","page_number":57,"box":{"x":68,"y":589,"width":818,"height":11}},{"id":"baaf8f61-6ad0-463c-8921-ac0db52f9a90","block_type":"box","text":"that lack sufficient liquidity, that the securities may not be available for purchase. If the purchase price exceeds the","page_number":57,"box":{"x":68,"y":604,"width":825,"height":11}},{"id":"d5c7ef40-5c46-4a9d-a1d3-565a11f695b4","block_type":"box","text":"exercise price, a Fund will lose the difference.","page_number":57,"box":{"x":69,"y":619,"width":326,"height":11}},{"id":"1188d30e-5920-42e1-929b-ead5e08c0bed","block_type":"box","text":"Put Options.","page_number":57,"box":{"x":102,"y":642,"width":85,"height":11}},{"id":"660afd4e-6dc6-4921-bce5-c28229a4adf7","block_type":"box","text":"A Fund may purchase put options to seek to hedge against a decline in the value of its securities or","page_number":57,"box":{"x":194,"y":642,"width":712,"height":11}},{"id":"f05fd3ff-29de-4e3d-abd0-a41f663e3ace","block_type":"box","text":"to enhance its return. By buying a put option, a Fund acquires a right to sell the underlying securities or instruments","page_number":57,"box":{"x":68,"y":657,"width":828,"height":11}},{"id":"1ab3c8f8-9ea5-4707-91e3-df75e36182ea","block_type":"box","text":"at the exercise price, thus limiting the Fund’s risk of loss through a decline in the market value of the securities or","page_number":57,"box":{"x":69,"y":672,"width":816,"height":11}},{"id":"a24c21cf-a6ab-4cdc-9e7d-ceaf522ef416","block_type":"box","text":"instruments until the put option expires. The amount of any appreciation in the value of the underlying securities or","page_number":57,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"b1354a25-11d2-4a39-8eaa-1098dba52d34","block_type":"box","text":"instruments will be partially offset by the amount of the premium paid for the put option and any related transaction","page_number":57,"box":{"x":70,"y":702,"width":826,"height":11}},{"id":"8c04e61c-628c-4ad8-8fe4-fe6b403e5aa0","block_type":"box","text":"costs. Prior to its expiration, a put option may be sold in a closing sale transaction and profit or loss from the sale","page_number":57,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"0668d0b4-25c4-4455-a15a-3e8d5e8b3cbf","block_type":"box","text":"will depend on whether the amount received is more or less than the premium paid for the put option plus the related","page_number":57,"box":{"x":68,"y":732,"width":839,"height":11}},{"id":"bc5eb40a-c4c5-49ff-bbf2-b2a5844565f4","block_type":"box","text":"transaction costs. A closing sale transaction cancels out a Fund’s position as the purchaser of an option by means of","page_number":57,"box":{"x":68,"y":748,"width":841,"height":11}},{"id":"8a3588d5-4b57-446e-8369-1bfbd92453b2","block_type":"box","text":"an offsetting sale of an identical option prior to the expiration of the option it has purchased. A Fund also may","page_number":57,"box":{"x":69,"y":763,"width":785,"height":11}},{"id":"6f74b7f3-666c-4c60-a8b4-7ea949018547","block_type":"box","text":"purchase uncovered put options.","page_number":57,"box":{"x":70,"y":778,"width":231,"height":11}},{"id":"af5b1c45-4364-4fe9-9867-5b641982faca","block_type":"box","text":"A Fund also may write (","page_number":57,"box":{"x":101,"y":801,"width":165,"height":11}},{"id":"655eed36-929e-4375-ba7a-d7f07a585097","block_type":"box","text":"i.e.","page_number":57,"box":{"x":268,"y":801,"width":20,"height":9}},{"id":"265a2981-38be-477a-89f4-cb0d9ed49801","block_type":"box","text":", sell) put options on the types of securities or instruments that may be held by the","page_number":57,"box":{"x":291,"y":801,"width":591,"height":11}},{"id":"7d99256d-fb31-4606-b0f8-54c26df29c27","block_type":"box","text":"Fund. A Fund will receive a premium for writing a put option, which increases the Fund’s return.","page_number":57,"box":{"x":70,"y":816,"width":675,"height":11}},{"id":"44eea71a-0f3c-4356-95c0-cb0f7a5de38d","block_type":"box","text":"A Fund also may write (","page_number":57,"box":{"x":101,"y":839,"width":165,"height":10}},{"id":"2fde7d7c-9129-42e9-9ee6-81f12d863890","block_type":"box","text":"i.e.","page_number":57,"box":{"x":268,"y":839,"width":20,"height":8}},{"id":"d3e33e5c-14fa-42d4-8c3a-b1239fd21045","block_type":"box","text":", sell) uncovered put options on securities or instruments in which it may invest but","page_number":57,"box":{"x":291,"y":839,"width":593,"height":10}},{"id":"9b4b8fab-337a-4a10-821a-90c65eaf68be","block_type":"box","text":"with respect to which the Fund does not currently have a corresponding short position or has not deposited as","page_number":57,"box":{"x":68,"y":854,"width":789,"height":11}},{"id":"2e2cb4da-f71d-4d68-80d3-d98405067242","block_type":"box","text":"collateral cash equal to the exercise value of the put option with the broker-dealer through which it made the","page_number":57,"box":{"x":69,"y":869,"width":773,"height":11}},{"id":"7bba03cd-9d88-4da5-8d8a-e03a9338ab6b","block_type":"box","text":"uncovered put option. The principal reason for writing uncovered put options is to receive premium income and to","page_number":57,"box":{"x":69,"y":884,"width":807,"height":11}},{"id":"c27cedaf-5853-49c8-907d-711eb133b78f","block_type":"box","text":"acquire such securities or instruments at a net cost below the current market value. A Fund has the obligation to buy","page_number":57,"box":{"x":69,"y":899,"width":835,"height":11}},{"id":"08050873-cb85-4a7f-9994-48e21f5763dc","block_type":"box","text":"II-21","page_number":57,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9112fb63-76e1-46a7-a1c3-141a36740776","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":57,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c33c0a62-059c-46b6-8ddc-1564e2b63f1b","block_type":"box","text":"the securities or instruments at an agreed upon price if the price of the securities or instruments decreases below","page_number":58,"box":{"x":68,"y":45,"width":818,"height":11}},{"id":"9c0ac386-9387-4913-8434-0c31aca6d38f","block_type":"box","text":"the exercise price. If the price of the securities or instruments increases during the option period, the option will","page_number":58,"box":{"x":68,"y":60,"width":800,"height":11}},{"id":"ac305fb0-dadc-4e9c-bd31-de3641cadd56","block_type":"box","text":"expire worthless and a Fund will retain the premium and will not have to purchase the securities or instruments at","page_number":58,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"83b14f45-c796-412c-94d6-63a9a725b20e","block_type":"box","text":"the exercise price.","page_number":58,"box":{"x":68,"y":90,"width":130,"height":11}},{"id":"c346a524-0f91-4bcd-abcb-f3016469a86d","block_type":"box","text":"Options on Government National Mor tgage Association (“GNMA”) Cer tificates.","page_number":58,"box":{"x":102,"y":113,"width":556,"height":11}},{"id":"62f51bb7-b825-4260-b7fa-554ed3a2f916","block_type":"box","text":"The following information relates","page_number":58,"box":{"x":664,"y":113,"width":232,"height":11}},{"id":"dc6ccd87-4c9c-4c69-9929-3185d19bc833","block_type":"box","text":"to the unique characteristics of options on GNMA Certificates. Since the remaining principal balance of GNMA","page_number":58,"box":{"x":68,"y":128,"width":784,"height":11}},{"id":"37f079ad-aafa-47b3-a2ae-6b85e85354c6","block_type":"box","text":"Certificates declines each month as a result of mortgage payments, a Fund, as a writer of a GNMA call holding GNMA","page_number":58,"box":{"x":69,"y":143,"width":840,"height":11}},{"id":"a2b7151a-19e6-4e0c-825b-9c5f3ba0de76","block_type":"box","text":"Certificates as “cover” to satisfy its delivery obligation in the event of exercise, may find that the GNMA Certificates","page_number":58,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"2ff818f4-8d36-4a5f-bf58-0eb56cef3a5d","block_type":"box","text":"it holds no longer have a sufficient remaining principal balance for this purpose. Should this occur, a Fund will","page_number":58,"box":{"x":70,"y":173,"width":781,"height":11}},{"id":"00109d20-38b5-4bed-bd20-2670c5c3203a","block_type":"box","text":"purchase additional GNMA Certificates from the same pool (if obtainable) or other GNMA Certificates in the cash","page_number":58,"box":{"x":70,"y":188,"width":803,"height":11}},{"id":"7d24fde3-d8bb-4ce6-988e-eeddd10e9093","block_type":"box","text":"market in order to maintain its “cover.”","page_number":58,"box":{"x":69,"y":204,"width":277,"height":8}},{"id":"ee30adb2-1cf8-4d2e-b4a6-5016f36ad8ea","block_type":"box","text":"A GNMA Certificate held by a Fund to cover an option position in any but the nearest expiration month may cease","page_number":58,"box":{"x":101,"y":226,"width":807,"height":11}},{"id":"aec90109-8a65-482f-9f96-9cdb643f539a","block_type":"box","text":"to represent cover for the option in the event of a decline in the GNMA coupon rate at which new pools are originated","page_number":58,"box":{"x":68,"y":241,"width":835,"height":11}},{"id":"555aab53-3a44-4fab-b42a-d272f2d5e3ec","block_type":"box","text":"under the FHA/VA loan ceiling in effect at any given time. If this should occur, a Fund will no longer be covered, and","page_number":58,"box":{"x":69,"y":256,"width":821,"height":12}},{"id":"0d078a9f-069a-4878-8560-cc45aea23874","block_type":"box","text":"the Fund will either enter into a closing purchase transaction or replace such Certificate with a certificate that","page_number":58,"box":{"x":68,"y":271,"width":784,"height":12}},{"id":"a2e2d6ab-5e70-4b8a-9558-7e81ded00e6a","block_type":"box","text":"represents cover. When a Fund closes its position or replaces such Certificate, it may realize an unanticipated loss","page_number":58,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"782e6966-4223-4047-928b-1a4c70091b02","block_type":"box","text":"and incur transaction costs.","page_number":58,"box":{"x":69,"y":302,"width":197,"height":9}},{"id":"109d5852-00cd-4b28-a8a4-7fe0f16c8f52","block_type":"box","text":"Options on Swaps (“Swaptions”).","page_number":58,"box":{"x":102,"y":324,"width":235,"height":11}},{"id":"0b697267-06e8-48e6-939e-bbbf707696b7","block_type":"box","text":"A swaption gives a counterparty the option (but not the obligation) to enter into","page_number":58,"box":{"x":343,"y":325,"width":563,"height":11}},{"id":"6df664f2-2857-430b-ac74-0fd1ee108139","block_type":"box","text":"a new swap agreement or to shorten, extend, cancel or otherwise modify an existing swap agreement, at a","page_number":58,"box":{"x":69,"y":339,"width":763,"height":12}},{"id":"6c77bbf5-58f6-489f-a6fd-c1444e6367ab","block_type":"box","text":"designated future time on specified terms. A Fund may write (","page_number":58,"box":{"x":69,"y":355,"width":439,"height":11}},{"id":"cc47cc32-d54e-477f-a5bb-de60a763a064","block_type":"box","text":"i.e.","page_number":58,"box":{"x":510,"y":355,"width":20,"height":9}},{"id":"1d6cafd4-7d09-4f1f-93a1-3f3d1fa86c20","block_type":"box","text":", sell) and purchase put and call swaptions.","page_number":58,"box":{"x":533,"y":355,"width":309,"height":11}},{"id":"ba3b91e7-6e7d-49df-8272-4e821f4b5e73","block_type":"box","text":"Depending on the terms of the particular option agreement, a Fund will generally incur a greater degree of risk when","page_number":58,"box":{"x":70,"y":370,"width":826,"height":11}},{"id":"cb369567-0d70-49f7-93a0-326c87a8d205","block_type":"box","text":"it writes a swaption than it will incur when it purchases a swaption. When a Fund purchases a swaption, it risks","page_number":58,"box":{"x":70,"y":385,"width":793,"height":11}},{"id":"7f524669-382a-45d9-b6eb-acead5080b7b","block_type":"box","text":"losing only the amount of the premium it has paid should it decide to let the option expire unexercised. However,","page_number":58,"box":{"x":70,"y":400,"width":802,"height":11}},{"id":"58b0a2e8-5fc8-4c8c-9452-172217844782","block_type":"box","text":"when a Fund writes a swaption, upon exercise of the option the Fund will become obligated according to the terms of","page_number":58,"box":{"x":68,"y":415,"width":836,"height":11}},{"id":"088809fb-2b2c-4f4e-b93f-bf4e50c5ecc4","block_type":"box","text":"the underlying agreement and the potential for loss may be unlimited. Certain swaptions are permitted, although not","page_number":58,"box":{"x":68,"y":430,"width":832,"height":11}},{"id":"0d58f299-2256-47ea-8a76-cfe16c0ba5bf","block_type":"box","text":"required, to be cleared.","page_number":58,"box":{"x":69,"y":446,"width":165,"height":10}},{"id":"93497636-648e-4cd1-a3c3-4e3c9ca1311d","block_type":"box","text":"A Fund will likely enter into these transactions to preserve a return or spread on a particular investment or","page_number":58,"box":{"x":101,"y":468,"width":760,"height":11}},{"id":"aba982ac-4f74-4ecd-b028-58a53958e31a","block_type":"box","text":"portion of its portfolio or to protect against any increase in the price of securities the Fund anticipates purchasing at","page_number":58,"box":{"x":70,"y":483,"width":830,"height":11}},{"id":"d18de54c-f27b-414d-b33f-7e688f10c7c8","block_type":"box","text":"a later date. A Fund generally will use these transactions for hedging purposes, not for speculation.","page_number":58,"box":{"x":69,"y":498,"width":706,"height":11}},{"id":"ef205071-cb29-4cf6-9e92-bdcefb432a24","block_type":"box","text":"Swaptions may be subject to correlation risk, leverage risk, illiquidity risk and market risk. See “—Risk Factors in","page_number":58,"box":{"x":102,"y":521,"width":805,"height":11}},{"id":"08e3ac04-f42a-4ab6-af7d-79a1f7518403","block_type":"box","text":"Derivatives” above.","page_number":58,"box":{"x":70,"y":536,"width":135,"height":9}},{"id":"48fee1e2-7c70-4323-b975-b84e3e4dc77d","block_type":"box","text":"FLEX Options.","page_number":58,"box":{"x":102,"y":559,"width":96,"height":11}},{"id":"de7ed772-85a9-411b-bdc2-bc6f99110732","block_type":"box","text":"FLEX Options are customized option contracts available through national securities exchanges that","page_number":58,"box":{"x":206,"y":559,"width":702,"height":11}},{"id":"5bd81ad3-9845-4a65-ac68-bf48f0cd0a33","block_type":"box","text":"are guaranteed for settlement by the Options Clearing Corporation (“OCC”). FLEX Options are listed on a U.S. national","page_number":58,"box":{"x":69,"y":574,"width":839,"height":11}},{"id":"da7245a1-62cb-43a6-8a9d-765c9f767f84","block_type":"box","text":"securities exchange. FLEX Options provide investors with the ability to customize assets referenced by the options,","page_number":58,"box":{"x":69,"y":589,"width":818,"height":11}},{"id":"e1176843-4fe2-4c54-8d64-f6eead357574","block_type":"box","text":"exercise prices, exercise styles (","page_number":58,"box":{"x":69,"y":604,"width":231,"height":11}},{"id":"bb105171-5ce5-4b9a-bc7a-d753db205615","block_type":"box","text":"i.e.","page_number":58,"box":{"x":302,"y":604,"width":20,"height":9}},{"id":"6c1db613-00a3-4135-af72-47c4c60fbc76","block_type":"box","text":", American-style, exercisable any time prior to the expiration date, or European","page_number":58,"box":{"x":325,"y":604,"width":561,"height":11}},{"id":"93b72bd3-5cdd-4dcd-bf23-707a5f2317b0","block_type":"box","text":"style, exercisable only on the option expiration date) and expiration dates, while achieving price discovery in","page_number":58,"box":{"x":69,"y":619,"width":768,"height":11}},{"id":"6ffae48d-a1a0-47df-af6f-7dc0add76527","block_type":"box","text":"competitive, transparent auctions markets and avoiding the counterparty exposure of OTC options positions. Each","page_number":58,"box":{"x":69,"y":634,"width":812,"height":12}},{"id":"280a1799-6f9e-49e1-8593-cf5e14a71685","block_type":"box","text":"option contract entitles the holder thereof to purchase (for the call options) or sell (for the put options) shares of the","page_number":58,"box":{"x":69,"y":649,"width":830,"height":11}},{"id":"cde7160e-2d80-4ca1-ac9a-64adfe19b156","block_type":"box","text":"reference asset at the strike price. A Fund’s portfolio may include several types of FLEX Options, including both","page_number":58,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"26e0f8d0-9fd1-412d-a69a-2930eba4f0df","block_type":"box","text":"purchased and written put and call options (as further described below). The FLEX Options are all European style","page_number":58,"box":{"x":70,"y":680,"width":802,"height":11}},{"id":"1afa434f-8bc8-4005-a49a-b17260daea25","block_type":"box","text":"options, which means that they are exercisable at a predetermined specified price (the “strike price”) only on the","page_number":58,"box":{"x":69,"y":695,"width":806,"height":11}},{"id":"e87aaa0e-be05-4dbb-a68d-ec24ae67873c","block_type":"box","text":"FLEX Option’s expiration date.","page_number":58,"box":{"x":70,"y":710,"width":211,"height":11}},{"id":"93250488-0341-4e38-b068-c67744f1d58a","block_type":"box","text":"The OCC guarantees performance by each of the counterparties to the FLEX Options, becoming the “buyer for","page_number":58,"box":{"x":101,"y":732,"width":783,"height":12}},{"id":"2263fe73-7bf3-48c6-9d59-86fa649789fe","block_type":"box","text":"every seller and the seller for every buyer”, reducing counterparty risk for clearing members and options traders.","page_number":58,"box":{"x":69,"y":748,"width":802,"height":11}},{"id":"649efaaa-5834-440c-8184-ed994558e327","block_type":"box","text":"Although guaranteed for settlement by the OCC, FLEX Options are still subject to counterparty risk with the OCC and","page_number":58,"box":{"x":68,"y":763,"width":826,"height":11}},{"id":"33bf3d6f-e72b-46f9-b2c8-ad64128b3502","block_type":"box","text":"subject to the risk that the OCC may fail to perform the settlement of the FLEX Options due to bankruptcy or other","page_number":58,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"f8850196-00ff-41ca-85bf-60c7f8cd7b75","block_type":"box","text":"adverse reasons. A Fund bears the risk that the OCC will be unable or unwilling to perform its obligations under the","page_number":58,"box":{"x":69,"y":793,"width":822,"height":11}},{"id":"c049874b-2d00-4c08-97f4-173a902d092a","block_type":"box","text":"FLEX Options contracts.","page_number":58,"box":{"x":70,"y":808,"width":166,"height":11}},{"id":"e1ea1ef7-b39e-495b-a325-3474901b3b30","block_type":"box","text":"Subject to determination by the Securities Committee of the OCC, adjustments may be made to the FLEX","page_number":58,"box":{"x":102,"y":831,"width":748,"height":11}},{"id":"e2299e5e-9b1a-471d-ba5e-1d01f4b0986d","block_type":"box","text":"Options for certain events (collectively, “Corporate Actions”) specified in the OCC’s by-laws and rules: certain stock","page_number":58,"box":{"x":69,"y":846,"width":822,"height":11}},{"id":"c0512ca5-b7eb-46de-b3bf-6aed99771118","block_type":"box","text":"dividends or distributions, stock splits, reverse stock splits, rights offerings, distributions, reorganizations,","page_number":58,"box":{"x":69,"y":861,"width":759,"height":11}},{"id":"1f4885a1-b4b7-4feb-ac7a-28d301d7c31a","block_type":"box","text":"recapitalizations, or reclassifications with respect to an underlying security, or a merger, consolidation, dissolution or","page_number":58,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"cbd82254-e3c1-4baa-a84a-686bef5423b7","block_type":"box","text":"liquidation of the issuer of the underlying security. According to the OCC’s by-laws, the nature and extent of any such","page_number":58,"box":{"x":70,"y":891,"width":829,"height":12}},{"id":"ccb8ea12-0036-48e4-837e-68531c01239d","block_type":"box","text":"adjustment is to be determined by the OCC’s Securities Committee, in light of the circumstances known to it at the","page_number":58,"box":{"x":69,"y":906,"width":821,"height":12}},{"id":"3ede1f83-29e0-48f3-833c-20125976c3f2","block_type":"box","text":"II-22","page_number":58,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a1326c5d-a770-4f82-89a9-8981750e39e6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":58,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a71e1baa-ad72-41e7-a5b3-2ec3bff50663","block_type":"box","text":"time such determination is made, based on its judgment as to what is appropriate for the protection of investors and","page_number":59,"box":{"x":68,"y":45,"width":835,"height":11}},{"id":"07d519c6-171f-4378-9404-6e340067552f","block_type":"box","text":"the public interest, taking into account such factors as fairness to holders and writers (or purchasers and sellers) of","page_number":59,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"0c0920ce-409e-4f64-9e4f-0990f5f19a3b","block_type":"box","text":"the affected options, the maintenance of a fair and orderly market in the affected options, consistency of","page_number":59,"box":{"x":68,"y":75,"width":753,"height":11}},{"id":"98bfa792-ba0a-4abd-b9c1-a4950d3f8426","block_type":"box","text":"interpretation and practice, efficiency of exercise settlement procedures, and the coordination with other clearing","page_number":59,"box":{"x":70,"y":90,"width":806,"height":11}},{"id":"5dc383ee-db16-4263-9919-f57e06079e85","block_type":"box","text":"agencies of the clearance and settlement of transactions in the underlying interest.","page_number":59,"box":{"x":69,"y":105,"width":593,"height":11}},{"id":"0125fd0b-3805-46e7-8b4e-6d4a7e5b34ee","block_type":"box","text":"Cer tain Considerations Regarding Options","page_number":59,"box":{"x":135,"y":128,"width":298,"height":11}},{"id":"7333ce88-f3d0-468b-84c3-b855fdc90dca","block_type":"box","text":". The FLEX Options in which each Fund may invest will be options","page_number":59,"box":{"x":435,"y":128,"width":461,"height":11}},{"id":"516462c0-18c1-4700-b02e-0579b475f05b","block_type":"box","text":"on an exchange-traded fund (“ETF”) or the S&P 500 Index (together with such ETF, a “Reference Asset”). As","page_number":59,"box":{"x":102,"y":143,"width":768,"height":11}},{"id":"645d4b3b-72d3-47e2-ba0a-78d6f66ccd87","block_type":"box","text":"such, the value of a Fund’s FLEX Options will fluctuate with changes in the value of the securities held by the","page_number":59,"box":{"x":102,"y":158,"width":775,"height":11}},{"id":"3035645d-92f0-493f-aca1-bf634c30f858","block_type":"box","text":"ETF, and thus the ETF’s share price. In addition to the value of the ETF, the value of an option, in general, will","page_number":59,"box":{"x":102,"y":173,"width":777,"height":11}},{"id":"7f081ef0-a816-4643-acbb-96ca7b06d68f","block_type":"box","text":"reflect, among other things, the time remaining until expiration (the end of the Outcome Period), the relationship","page_number":59,"box":{"x":102,"y":188,"width":799,"height":12}},{"id":"396107e6-5538-4c0c-a2ae-e5f112aa6faf","block_type":"box","text":"of the exercise price to the market price of the Reference Asset, and general market conditions. Options that","page_number":59,"box":{"x":102,"y":203,"width":777,"height":12}},{"id":"13236ac5-6b00-4dfe-9b6d-1f899b724a8d","block_type":"box","text":"expire unexercised have no value.","page_number":59,"box":{"x":101,"y":219,"width":240,"height":10}},{"id":"4407e62d-fdb6-4a9f-a415-aa0ce0dae5c9","block_type":"box","text":"The puts and calls on the Reference Asset entitle the purchaser of the option the right to purchase (for a","page_number":59,"box":{"x":134,"y":241,"width":747,"height":11}},{"id":"063b4624-7985-482b-a2b3-70e2cc4bb732","block_type":"box","text":"call option) or sell (for a put option) the Reference Asset at a predetermined specified price (the “strike price”).","page_number":59,"box":{"x":101,"y":256,"width":792,"height":11}},{"id":"0ce9e375-2e95-4cda-9deb-f5e728b8ab56","block_type":"box","text":"When a Fund writes a call on the Reference Asset, it receives a premium and agrees that the purchaser of the","page_number":59,"box":{"x":101,"y":271,"width":786,"height":12}},{"id":"ad5f3a1a-4d22-45bb-9b76-cc2e1450b70a","block_type":"box","text":"call, upon exercise of the call, will receive from the Fund the delivery of a specified number of shares of the ETF","page_number":59,"box":{"x":101,"y":286,"width":798,"height":12}},{"id":"185b163b-acf4-4e12-a537-6fd9eb0a64a7","block_type":"box","text":"in exchange for the strike price. When a Fund buys a call on the Reference Asset, it pays a premium and has the","page_number":59,"box":{"x":102,"y":302,"width":802,"height":11}},{"id":"ad3cc1f8-1378-4d21-b769-df7ed3915684","block_type":"box","text":"same rights to such call as indicated above. When a Fund buys a put on the Reference Asset, it pays a premium","page_number":59,"box":{"x":102,"y":317,"width":800,"height":11}},{"id":"893d4431-e96b-4311-9589-395fbe59911b","block_type":"box","text":"and has the right to require the seller of the put, upon the Fund’s exercise of the put, to deliver the specified","page_number":59,"box":{"x":102,"y":332,"width":774,"height":11}},{"id":"a647b73c-9317-43f4-9dfb-bbd32c6ad342","block_type":"box","text":"number of shares of the ETF in exchange for the strike price. When a Fund writes a put on the Reference Asset,","page_number":59,"box":{"x":102,"y":347,"width":793,"height":11}},{"id":"a7c4c9d9-77ad-4046-84bb-2a16b66b803c","block_type":"box","text":"it receives a premium and the purchaser of the put has the right to require the Fund to deliver the specified","page_number":59,"box":{"x":102,"y":362,"width":764,"height":11}},{"id":"11e11336-7a70-4f93-8523-79501dbfda94","block_type":"box","text":"number of shares of the ETF in exchange for the strike price.","page_number":59,"box":{"x":102,"y":377,"width":430,"height":12}},{"id":"db7d491d-7e43-4981-85fa-13db3d625f69","block_type":"box","text":"Although each Fund will generally utilize FLEX Options that are physically settled, a Fund may also utilize","page_number":59,"box":{"x":134,"y":400,"width":740,"height":11}},{"id":"fea27666-2dce-430b-b6db-2eb541b8a4cb","block_type":"box","text":"FLEX Options that are cash-settled. Cash-settled options give the holder the right to receive an amount (or owe","page_number":59,"box":{"x":102,"y":415,"width":787,"height":11}},{"id":"11c018fc-a99c-4e30-a5d3-8879a809fde7","block_type":"box","text":"an amount) of cash upon the exercise of the option. Gain or loss depends on changes in the value of the ETF’s","page_number":59,"box":{"x":102,"y":430,"width":790,"height":11}},{"id":"d4c8712e-6635-47ef-aeb0-a07ff04c4480","block_type":"box","text":"share price relative to the strike price for a given option contract. The amount of cash is equal to the difference","page_number":59,"box":{"x":102,"y":445,"width":793,"height":12}},{"id":"93e519b9-ce6c-4126-b666-f3d367a4944d","block_type":"box","text":"between the closing price of the ETF’s share price and the exercise price of the option contract times a specified","page_number":59,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"e24bb307-1638-41ce-9933-8dd4ab40b645","block_type":"box","text":"multiple (“multiplier”), which determines the total value for each point of such difference.","page_number":59,"box":{"x":102,"y":475,"width":635,"height":12}},{"id":"9c518180-2f8d-4f8e-ab28-8737abeeab4f","block_type":"box","text":"Risks of Options on the Reference Assets","page_number":59,"box":{"x":135,"y":498,"width":297,"height":11}},{"id":"b502933b-bbc2-4cda-97a7-9117135e2eb8","block_type":"box","text":". If a Fund has purchased an option and exercises it before the","page_number":59,"box":{"x":433,"y":498,"width":448,"height":11}},{"id":"f41221da-ba99-4b0c-8412-677fdd682cd2","block_type":"box","text":"closing value for that day is available, it runs the risk that the level of the Reference Asset may subsequently","page_number":59,"box":{"x":101,"y":513,"width":777,"height":12}},{"id":"56cad6ea-c3ef-458a-a13c-1d3789ad6110","block_type":"box","text":"change. If such a change causes the exercised option to fall out of the money, the applicable Fund will be","page_number":59,"box":{"x":101,"y":528,"width":753,"height":12}},{"id":"946c1202-581a-441e-92c6-68ae26009754","block_type":"box","text":"required to pay the difference between the closing Reference Asset value and the exercise price of the option","page_number":59,"box":{"x":102,"y":543,"width":780,"height":12}},{"id":"2b3de059-c7bd-440c-98f5-5eada4c503ee","block_type":"box","text":"(times the applicable multiplier) to the assigned writer.","page_number":59,"box":{"x":102,"y":559,"width":387,"height":11}},{"id":"524d39b7-faf7-4fa1-a7e1-6a59efdcbae0","block_type":"box","text":"Foreign Exchange Transactions.","page_number":59,"box":{"x":102,"y":582,"width":222,"height":11}},{"id":"15a9ffd4-e759-4a06-91d8-e126f69df98a","block_type":"box","text":"A Fund may enter into spot foreign exchange transactions, forward foreign exchange transactions (“FX forwards”)","page_number":59,"box":{"x":101,"y":604,"width":807,"height":11}},{"id":"4dd46805-1a53-4a4e-a2d6-40bf046c7e28","block_type":"box","text":"and currency swaps, purchase and sell currency options, currency futures and related options thereon (collectively,","page_number":59,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"9e337c80-1e9c-40e4-bab8-2f00ec1a448a","block_type":"box","text":"“Currency Instruments”) for purposes of hedging against the decline in the value of currencies in which its portfolio","page_number":59,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"06ce845e-582d-48dc-88cf-148867b34743","block_type":"box","text":"holdings are denominated against the U.S. dollar or, with respect to certain Funds, to seek to enhance returns.","page_number":59,"box":{"x":69,"y":649,"width":792,"height":12}},{"id":"afb36c80-4038-4bae-b730-b143c2f0d658","block_type":"box","text":"Such transactions could be effected to hedge with respect to foreign dollar denominated securities owned by a","page_number":59,"box":{"x":102,"y":672,"width":790,"height":11}},{"id":"c1a3c9a0-5b0a-4eca-98d6-8e3d3b98e6d4","block_type":"box","text":"Fund, sold by a Fund but not yet delivered, or committed or anticipated to be purchased by a Fund. As an illustration,","page_number":59,"box":{"x":70,"y":687,"width":830,"height":11}},{"id":"b97e1219-6201-493c-b178-785e396806fc","block_type":"box","text":"a Fund may use such techniques to hedge the stated value in U.S. dollars of an investment in a yen-denominated","page_number":59,"box":{"x":69,"y":702,"width":808,"height":12}},{"id":"cd0e68f6-4e13-471a-852f-a3e914a68554","block_type":"box","text":"security. For example, the Fund may purchase a foreign currency put option enabling it to sell a specified amount of","page_number":59,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"f0cbc1e0-2780-47c5-904f-9bcc9724566f","block_type":"box","text":"yen for dollars at a specified price by a future date. To the extent the hedge is successful, a loss in the value of the","page_number":59,"box":{"x":68,"y":732,"width":823,"height":12}},{"id":"766bc1c4-ff8a-45ec-8a17-794556d16593","block_type":"box","text":"yen relative to the dollar will tend to be offset by an increase in the value of the put option. To offset, in whole or in","page_number":59,"box":{"x":68,"y":748,"width":821,"height":11}},{"id":"07443544-e794-4fce-904a-f9aad2d56c86","block_type":"box","text":"part, the cost of acquiring such a put option, the Fund may also sell a call option which, if exercised, requires it to","page_number":59,"box":{"x":70,"y":763,"width":813,"height":11}},{"id":"c8db15b6-2646-4a37-90a4-8f61d5f2f0cd","block_type":"box","text":"sell a specified amount of yen for dollars at a specified price by a future date (a technique called a “straddle”). By","page_number":59,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"fe451383-ef02-4da5-8071-33b17a3b3321","block_type":"box","text":"selling such a call option in this illustration, the Fund gives up the opportunity to profit without limit from increases in","page_number":59,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"6dc985ec-c547-453b-85d8-d66f24b9bbe9","block_type":"box","text":"the relative value of the yen to the dollar. “Straddles” of the type that may be used by a Fund are considered hedging","page_number":59,"box":{"x":68,"y":808,"width":836,"height":11}},{"id":"bbd186a6-7dd6-4605-8f3a-e9c2c5bf4397","block_type":"box","text":"transactions. Certain Funds have a fundamental investment restriction that restricts currency option strategies.","page_number":59,"box":{"x":68,"y":823,"width":794,"height":12}},{"id":"f5c1ffd3-4995-4704-a82d-076aac4e486c","block_type":"box","text":"Hedging transactions involving Currency Instruments involve substantial risks, including correlation risk. A Fund’s","page_number":59,"box":{"x":102,"y":846,"width":805,"height":11}},{"id":"6aa2c4ff-0213-44d6-9358-94b9c23a7b70","block_type":"box","text":"use of Currency Instruments to effect hedging strategies is intended to reduce the volatility of the NAV of the Fund’s","page_number":59,"box":{"x":69,"y":861,"width":828,"height":11}},{"id":"8166bf5e-b08e-453f-9513-8dc693bfebc3","block_type":"box","text":"shares; however, the use of such hedging strategies will not prevent the NAV of the Fund’s shares from fluctuating.","page_number":59,"box":{"x":69,"y":876,"width":819,"height":11}},{"id":"d47754cd-44b9-4dea-af51-4acd770241ab","block_type":"box","text":"Moreover, although Currency Instruments will be used with the intention of hedging against adverse currency","page_number":59,"box":{"x":70,"y":891,"width":773,"height":12}},{"id":"9dd26164-7e87-4fe6-8ed0-a0e10ba8fe84","block_type":"box","text":"movements, transactions in Currency Instruments involve the risk that anticipated currency movements will not be","page_number":59,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"5cb9b92e-9bf7-4893-b453-9192fa81715f","block_type":"box","text":"II-23","page_number":59,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d1892326-ae7c-44a5-9b00-6fdb65c4e9ef","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":59,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"91f7b91c-9be4-4386-88a8-8ffeec3172af","block_type":"box","text":"accurately predicted and that the Fund’s hedging strategies will be ineffective. To the extent that a Fund hedges","page_number":60,"box":{"x":69,"y":45,"width":796,"height":11}},{"id":"6bae7849-e0c9-4eb8-af43-9cde4da24daf","block_type":"box","text":"against anticipated currency movements that do not occur, the Fund may realize losses and decrease its total return.","page_number":60,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"8e55c3ec-0980-4c7d-8c07-f6067a89ffdc","block_type":"box","text":"Furthermore, a Fund will only engage in hedging activities from time to time and may not be engaging in hedging","page_number":60,"box":{"x":70,"y":75,"width":798,"height":11}},{"id":"b5e8c0f6-4da3-48a5-86d6-9bee3ac9c6c6","block_type":"box","text":"activities when movements in currency exchange rates actually occur.","page_number":60,"box":{"x":69,"y":90,"width":493,"height":11}},{"id":"17a43207-b81d-4139-9b52-a49918bc25f8","block_type":"box","text":"In connection with its trading in forward foreign currency contracts, a Fund will contract with a foreign or","page_number":60,"box":{"x":102,"y":113,"width":738,"height":11}},{"id":"bf39032e-25ca-46ae-9e8f-c0623fa4575f","block_type":"box","text":"domestic bank, or foreign or domestic securities dealer, to make or take future delivery of a specified amount of a","page_number":60,"box":{"x":69,"y":128,"width":814,"height":11}},{"id":"85534737-0db6-4245-9e76-686f936ce10e","block_type":"box","text":"particular currency. There are no limitations on daily price moves in such forward contracts, and banks and dealers","page_number":60,"box":{"x":70,"y":143,"width":819,"height":11}},{"id":"a856de50-5088-48c3-8e1a-63fe3054b001","block_type":"box","text":"are not required to continue to make markets in such contracts. There have been periods during which certain banks","page_number":60,"box":{"x":69,"y":158,"width":834,"height":11}},{"id":"3f02683f-d268-4f28-a512-dfe4831d4455","block_type":"box","text":"or dealers have refused to quote prices for such forward contracts or have quoted prices with an unusually wide","page_number":60,"box":{"x":69,"y":173,"width":797,"height":11}},{"id":"9eeadc55-ad09-41f6-9f28-c40ead5daaf3","block_type":"box","text":"spread between the price at which the bank or dealer is prepared to buy and that at which it is prepared to sell.","page_number":60,"box":{"x":69,"y":188,"width":794,"height":11}},{"id":"95b398a3-5c60-4ee4-9cc4-ee4a506e8554","block_type":"box","text":"Governmental imposition of currency controls might limit any such forward contract trading. With respect to its trading","page_number":60,"box":{"x":69,"y":203,"width":841,"height":12}},{"id":"b2e1f918-f59f-4a32-b262-fa207af33ffd","block_type":"box","text":"of forward contracts, if any, a Fund will be subject to counterparty risk. Any such failure to perform by a counterparty","page_number":60,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"d6c037e1-22cb-4f7c-a96d-897a0c67468c","block_type":"box","text":"would deprive the Fund of any profit potential or force the Fund to cover its commitments for resale, if any, at the","page_number":60,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"d802c429-1e1b-421d-8363-67f5f20ce1b3","block_type":"box","text":"then market price and could result in a loss to the Fund.","page_number":60,"box":{"x":68,"y":249,"width":401,"height":11}},{"id":"ec522048-d36c-457c-95da-52e51cce3cfb","block_type":"box","text":"It may not be possible for a Fund to hedge against currency exchange rate movements, even if correctly","page_number":60,"box":{"x":102,"y":271,"width":738,"height":12}},{"id":"f61a9e0d-5499-4662-a4a7-1695e898f7a7","block_type":"box","text":"anticipated, in the event that (i) the currency exchange rate movement is so generally anticipated that the Fund is not","page_number":60,"box":{"x":69,"y":287,"width":837,"height":11}},{"id":"24f349f8-3602-471e-9755-39c774782966","block_type":"box","text":"able to enter into a hedging transaction at an effective price, or (ii) the currency exchange rate movement relates to a","page_number":60,"box":{"x":69,"y":302,"width":837,"height":11}},{"id":"1753866c-1aac-47ae-a6d6-4875f843560d","block_type":"box","text":"market with respect to which Currency Instruments are not available and it is not possible to engage in effective","page_number":60,"box":{"x":69,"y":317,"width":800,"height":11}},{"id":"94e6065d-6b1d-425f-86f3-b97e2137d10c","block_type":"box","text":"foreign currency hedging. The cost to a Fund of engaging in foreign currency transactions varies with such factors as","page_number":60,"box":{"x":68,"y":332,"width":829,"height":11}},{"id":"d117dafb-a308-4ef6-a04d-a3bf27fb9870","block_type":"box","text":"the currencies involved, the length of the contract period and the market conditions then prevailing. Since","page_number":60,"box":{"x":68,"y":347,"width":753,"height":11}},{"id":"e91ccb63-ef68-41ff-8156-7c3642806fff","block_type":"box","text":"transactions in foreign currency exchange usually are conducted on a principal basis, no fees or commissions are","page_number":60,"box":{"x":68,"y":362,"width":811,"height":11}},{"id":"9978b461-adc7-4679-b2c7-0a4459339885","block_type":"box","text":"involved.","page_number":60,"box":{"x":70,"y":377,"width":59,"height":9}},{"id":"5c1d8460-c883-4050-9fc7-ea120898f1f8","block_type":"box","text":"A Fund will not hedge a currency in excess of the aggregate market value of the securities that it owns (including","page_number":60,"box":{"x":101,"y":400,"width":803,"height":11}},{"id":"ab6898c9-d5ee-4d78-828b-fd03a72bc278","block_type":"box","text":"receivables for unsettled securities sales), or has committed to purchase or anticipates purchasing, which are","page_number":60,"box":{"x":69,"y":415,"width":785,"height":11}},{"id":"00f5b00a-5fa3-4f49-9619-d657f0890123","block_type":"box","text":"denominated in such currency.","page_number":60,"box":{"x":69,"y":430,"width":216,"height":11}},{"id":"64b02d16-b4fa-4a45-9f77-ceca90b9e5a9","block_type":"box","text":"Spot Transactions and FX Forwards.","page_number":60,"box":{"x":102,"y":453,"width":254,"height":11}},{"id":"f9371f19-b13e-4ae8-af30-85fd174626b3","block_type":"box","text":"FX forwards are OTC contracts to purchase or sell a specified amount of a","page_number":60,"box":{"x":364,"y":453,"width":527,"height":11}},{"id":"88c8f560-5e4f-4070-b6c3-532387ca12fa","block_type":"box","text":"specified currency or multinational currency unit at a specified price and specified future date. Spot foreign exchange","page_number":60,"box":{"x":69,"y":468,"width":834,"height":11}},{"id":"4605bde0-2355-41de-816f-21cb9ffb6859","block_type":"box","text":"transactions are similar but are settled in the current, or “spot”, market. A Fund will enter into foreign exchange","page_number":60,"box":{"x":68,"y":483,"width":798,"height":11}},{"id":"21c4685c-5090-4e21-b262-03da7704b9d6","block_type":"box","text":"transactions for purposes of hedging either a specific transaction or a portfolio position, or, with respect to certain","page_number":60,"box":{"x":68,"y":498,"width":817,"height":11}},{"id":"b716d0dc-77d7-4a0b-8db7-49f68efa4882","block_type":"box","text":"Funds, to seek to enhance returns. FX forwards involve substantial currency risk, credit risk and liquidity risk. A Fund","page_number":60,"box":{"x":70,"y":513,"width":830,"height":11}},{"id":"0fcdeb46-4cc1-4c9c-8957-020146111d20","block_type":"box","text":"may enter into a foreign exchange transaction for purposes of hedging a specific transaction by, for example,","page_number":60,"box":{"x":69,"y":528,"width":774,"height":12}},{"id":"bc52377e-3005-4b4f-9704-4b951ed65fee","block_type":"box","text":"purchasing a currency needed to settle a security transaction or selling a currency in which the Fund has received or","page_number":60,"box":{"x":70,"y":544,"width":828,"height":11}},{"id":"6e3be63a-778c-45d9-ae06-f4d9ddeecb45","block_type":"box","text":"anticipates receiving a dividend or distribution. A Fund may enter into a foreign exchange transaction for purposes of","page_number":60,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"bc1d9bc5-cf7d-4925-a647-56cc58e3f0e5","block_type":"box","text":"hedging a portfolio position by selling forward a currency in which a portfolio position of the Fund is denominated or","page_number":60,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"c62c5c67-1a6f-40a7-830f-832fb95313c6","block_type":"box","text":"by purchasing a currency in which the Fund anticipates acquiring a portfolio position in the near future. A Fund may","page_number":60,"box":{"x":69,"y":589,"width":819,"height":11}},{"id":"285cbe6c-e13c-4619-a650-235b86be4dc4","block_type":"box","text":"also hedge a currency by entering into a transaction in a Currency Instrument denominated in a currency other than","page_number":60,"box":{"x":69,"y":604,"width":822,"height":11}},{"id":"30b1c081-a7e6-47d2-a03c-82085a11c416","block_type":"box","text":"the currency being hedged (a “cross-hedge”). A Fund will only enter into a cross-hedge if the Manager believes that","page_number":60,"box":{"x":68,"y":619,"width":819,"height":11}},{"id":"4488ad16-4982-4579-be47-39349ce86584","block_type":"box","text":"(i) there is a demonstrably high correlation between the currency in which the cross-hedge is denominated and the","page_number":60,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"0c911944-a851-41a0-aaf2-dfa5022640ea","block_type":"box","text":"currency being hedged, and (ii) executing a cross-hedge through the currency in which the cross-hedge is","page_number":60,"box":{"x":69,"y":650,"width":745,"height":11}},{"id":"62fab8f9-c3cf-49f5-82af-025596fb7c91","block_type":"box","text":"denominated will be significantly more cost-effective or provide substantially greater liquidity than executing a similar","page_number":60,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"4ae1acf8-9a1e-4f08-b62e-4b55d164f4b7","block_type":"box","text":"hedging transaction by means of the currency being hedged.","page_number":60,"box":{"x":69,"y":680,"width":428,"height":11}},{"id":"87c1d4f7-76ff-461b-9f1f-ccf86353f2cc","block_type":"box","text":"A Fund may also engage in proxy hedging transactions to reduce the effect of currency fluctuations on the value","page_number":60,"box":{"x":101,"y":702,"width":797,"height":12}},{"id":"9fb12149-359e-4997-a725-867d4a5f1565","block_type":"box","text":"of existing or anticipated holdings of portfolio securities. Proxy hedging is often used when the currency to which the","page_number":60,"box":{"x":69,"y":717,"width":829,"height":12}},{"id":"fff4fc55-51d8-4ace-b311-8ee158fceae1","block_type":"box","text":"Fund is exposed is difficult to hedge, or to hedge against the U.S. dollar. Proxy hedging entails entering into a forward","page_number":60,"box":{"x":70,"y":732,"width":838,"height":12}},{"id":"ca13c6c1-9e9e-4c08-bdd2-480390d35840","block_type":"box","text":"contract to sell a currency whose changes in value are generally considered to be linked to a currency or currencies","page_number":60,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"813d91bd-8a8b-4643-a283-c1ce75a48e6b","block_type":"box","text":"in which some or all of the Fund’s securities are, or are expected to be, denominated, and to buy U.S. dollars. Proxy","page_number":60,"box":{"x":70,"y":763,"width":827,"height":11}},{"id":"dc2db35b-41e8-476e-b25e-d510dcbf2db8","block_type":"box","text":"hedging involves some of the same risks and considerations as other transactions with similar instruments. Currency","page_number":60,"box":{"x":69,"y":778,"width":838,"height":11}},{"id":"19710b6a-43ac-4563-a634-eb0075c19672","block_type":"box","text":"transactions can result in losses to the Fund if the currency being hedged fluctuates in value to a degree or in a","page_number":60,"box":{"x":68,"y":793,"width":798,"height":11}},{"id":"a7fe37f8-fdd3-4073-b74d-ab4a686afdc0","block_type":"box","text":"direction that is not anticipated. In addition, there is the risk that the perceived linkage between various currencies","page_number":60,"box":{"x":69,"y":808,"width":819,"height":11}},{"id":"c29ecece-7fed-424f-b292-5705bd6d7dac","block_type":"box","text":"may not be present, including during the particular time that a Fund is engaging in proxy hedging.","page_number":60,"box":{"x":69,"y":823,"width":691,"height":12}},{"id":"14dc7c8d-0fe7-46a5-af44-8782823eb613","block_type":"box","text":"A Fund may also cross-hedge currencies by entering into forward contracts to sell one or more currencies that","page_number":60,"box":{"x":101,"y":846,"width":785,"height":11}},{"id":"3306dab6-4357-4e82-b56d-e90cf928e8f1","block_type":"box","text":"are expected to decline in value relative to other currencies to which the Fund has or in which the Fund expects to","page_number":60,"box":{"x":69,"y":861,"width":811,"height":11}},{"id":"4ac912ac-252d-4b30-819f-e85f4780e510","block_type":"box","text":"have portfolio exposure. For example, a Fund may hold both Canadian government bonds and Japanese government","page_number":60,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"cf14d5f3-ca5a-4da9-87a3-a62a6024cac2","block_type":"box","text":"bonds, and the Manager or sub-adviser may believe that Canadian dollars will deteriorate against Japanese yen. The","page_number":60,"box":{"x":69,"y":891,"width":829,"height":12}},{"id":"035647b5-f9d6-4bcd-ad4c-5aacb6201751","block_type":"box","text":"Fund would sell Canadian dollars to reduce its exposure to that currency and buy Japanese yen. This strategy would","page_number":60,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"264e23b6-dd94-4a5c-909c-776e7e852392","block_type":"box","text":"II-24","page_number":60,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"86442868-9e3a-42d6-b741-66b7d69599f5","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":60,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3c48fc64-ad8f-4b39-a8e0-58df201d52fe","block_type":"box","text":"be a hedge against a decline in the value of Canadian dollars, although it would expose the Fund to declines in the","page_number":61,"box":{"x":69,"y":45,"width":818,"height":11}},{"id":"4f709a1b-f245-437d-9540-a3f473808a6f","block_type":"box","text":"value of the Japanese yen relative to the U.S. dollar.","page_number":61,"box":{"x":68,"y":60,"width":372,"height":11}},{"id":"46c8b817-e6de-41b0-a435-20e0e0782f29","block_type":"box","text":"Some of the forward non-U.S. currency contracts entered into by the Funds are classified as non-deliverable","page_number":61,"box":{"x":102,"y":82,"width":768,"height":12}},{"id":"1c3dc90e-f3b1-4748-ac08-610256d272b9","block_type":"box","text":"forwards (“NDFs”). NDFs are cash-settled, short-term forward contracts that may be thinly traded or are denominated","page_number":61,"box":{"x":68,"y":98,"width":838,"height":11}},{"id":"e2c5ebc9-b8e4-4aad-b0f2-8d244c3715ea","block_type":"box","text":"in non-convertible foreign currency, where the profit or loss at the time at the settlement date is calculated by taking","page_number":61,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"d828cc44-8a49-4fd7-8d79-2209e42e3e6d","block_type":"box","text":"the difference between the agreed upon exchange rate and the spot rate at the time of settlement, for an agreed","page_number":61,"box":{"x":68,"y":128,"width":806,"height":11}},{"id":"087d070a-bb17-4120-9c93-ecfe5ecd95c0","block_type":"box","text":"upon notional amount of funds. All NDFs have a fixing date and a settlement date. The fixing date is the date at which","page_number":61,"box":{"x":69,"y":143,"width":839,"height":11}},{"id":"6fe87dd1-1f59-4b57-a872-30443d7ec342","block_type":"box","text":"the difference between the prevailing market exchange rate and the agreed upon exchange rate is calculated. The","page_number":61,"box":{"x":68,"y":158,"width":812,"height":11}},{"id":"f810514e-fa54-4b06-a3ea-f0113841a4da","block_type":"box","text":"settlement date is the date by which the payment of the difference is due to the party receiving payment. NDFs are","page_number":61,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"0d5ba38e-08f9-4cc9-b466-b019cc020d05","block_type":"box","text":"commonly quoted for time periods of one month up to two years, and are normally quoted and settled in U.S. dollars.","page_number":61,"box":{"x":69,"y":188,"width":835,"height":11}},{"id":"530c503b-08f3-49f2-8be5-79f18fd16108","block_type":"box","text":"They are often used to gain exposure to and/or hedge exposure to foreign currencies that are not internationally","page_number":61,"box":{"x":68,"y":203,"width":802,"height":12}},{"id":"ea4bec07-141a-4460-937a-54eb98167842","block_type":"box","text":"traded.","page_number":61,"box":{"x":68,"y":219,"width":49,"height":8}},{"id":"d108b8a3-544c-410d-a511-e52e5af1fdcd","block_type":"box","text":"Currency Futures.","page_number":61,"box":{"x":102,"y":241,"width":123,"height":11}},{"id":"41df4c9b-397f-4dc6-9d26-7852d5633878","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":61,"box":{"x":232,"y":241,"width":654,"height":11}},{"id":"e0f27314-74a9-441a-87c2-63d65c87be43","block_type":"box","text":"through use of currency futures or options on currency futures. Currency futures are similar to forward foreign","page_number":61,"box":{"x":68,"y":256,"width":782,"height":12}},{"id":"866a9178-fd6c-425e-b4c0-3453f7cea98f","block_type":"box","text":"exchange transactions except that futures are standardized, exchange-traded contracts while forward foreign","page_number":61,"box":{"x":69,"y":271,"width":774,"height":12}},{"id":"32ca18ab-f144-4c5a-be72-2f63fb7a6287","block_type":"box","text":"exchange transactions are traded in the OTC market. Currency futures involve substantial currency risk as well as the","page_number":61,"box":{"x":69,"y":286,"width":836,"height":12}},{"id":"0f8f5853-715e-477a-ba15-a47a7a6ad03a","block_type":"box","text":"risks discussed above in “—Futures.”","page_number":61,"box":{"x":69,"y":302,"width":269,"height":9}},{"id":"374315dd-4f39-467d-9068-37b9c8d284a1","block_type":"box","text":"Currency Options.","page_number":61,"box":{"x":102,"y":324,"width":125,"height":11}},{"id":"f2dc631a-1f51-4a73-8a37-fb41a7bf4cdb","block_type":"box","text":"A Fund may seek to enhance returns or hedge against the decline in the value of a currency","page_number":61,"box":{"x":233,"y":324,"width":654,"height":12}},{"id":"06aec28f-f039-4f92-8f3e-68423d6450e8","block_type":"box","text":"through the use of currency options. Certain Funds have fundamental investment restrictions that permit the","page_number":61,"box":{"x":68,"y":339,"width":776,"height":12}},{"id":"d904a279-e795-405b-bc1a-7d846ba0f6f0","block_type":"box","text":"purchase of currency options, but prohibit the writing of currency options. Currency options are similar to options on","page_number":61,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"31156637-0801-403a-bf22-f0b8c71dd404","block_type":"box","text":"securities. For example, in consideration for an option premium the writer of a currency option is obligated to sell (in","page_number":61,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"1b82c1df-d138-4bd8-98e2-8517fff1bb91","block_type":"box","text":"the case of a call option) or purchase (in the case of a put option) a specified amount of a specified currency on or","page_number":61,"box":{"x":68,"y":385,"width":820,"height":11}},{"id":"94ef0f00-304a-4350-ad8d-0faf74c5ef59","block_type":"box","text":"before the expiration date for a specified amount of another currency. A Fund may engage in transactions in options","page_number":61,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"3ac8efb9-6d12-4ba6-a497-1291c7b75154","block_type":"box","text":"on currencies either on exchanges or OTC markets. Such transactions in options may include exotic options on","page_number":61,"box":{"x":69,"y":415,"width":790,"height":11}},{"id":"7713ca31-3e34-4b53-a030-f13e170ab326","block_type":"box","text":"currencies, which are typically traded in OTC markets and have additional features that result in different payment","page_number":61,"box":{"x":69,"y":430,"width":813,"height":11}},{"id":"17394fd2-7a78-415f-ad85-35ca9d7fd2e3","block_type":"box","text":"structures and/or expirations. Where a Fund is permitted to write currency options, it may write covered call options","page_number":61,"box":{"x":69,"y":446,"width":826,"height":10}},{"id":"3c8c6b9c-216a-48fc-b7a4-080b61bc32db","block_type":"box","text":"on up to 100% of the currencies in its portfolio. See “—Options” above. Currency options involve substantial","page_number":61,"box":{"x":69,"y":460,"width":776,"height":12}},{"id":"283c3e27-a2b9-4436-9f95-759db64bb5b9","block_type":"box","text":"currency risk, and may also involve credit, leverage or illiquidity risk.","page_number":61,"box":{"x":69,"y":476,"width":483,"height":11}},{"id":"7302cbaa-6af6-46ab-afba-2bbb7cb71c9b","block_type":"box","text":"Currency Swaps.","page_number":61,"box":{"x":102,"y":498,"width":117,"height":11}},{"id":"2e7ebc07-52f0-4576-b59c-771205642000","block_type":"box","text":"A Fund may enter into currency swaps in order to protect against currency fluctuations or to","page_number":61,"box":{"x":225,"y":498,"width":652,"height":11}},{"id":"5e5c3aa4-f7d5-4e75-80b8-51c423ede0d1","block_type":"box","text":"hedge portfolio positions. Currency swaps are transactions in which one currency is simultaneously bought for a","page_number":61,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"2ff9a5b5-6df2-4202-bbe6-621a0825561f","block_type":"box","text":"second currency on a spot basis and sold for the second currency on a forward basis. Currency swaps involve the","page_number":61,"box":{"x":69,"y":528,"width":812,"height":12}},{"id":"a4408f7b-032d-457d-b6dd-38cb88b04d9b","block_type":"box","text":"exchange of the rights of a Fund and another party to make or receive payments in specified currencies, and typically","page_number":61,"box":{"x":69,"y":543,"width":836,"height":12}},{"id":"81eebd65-822a-4e42-8a4d-914fe6ed773f","block_type":"box","text":"require the delivery of the entire principal value of one designated currency in exchange for the other designated","page_number":61,"box":{"x":69,"y":559,"width":800,"height":11}},{"id":"43ee0b69-516e-466b-b72c-48bd1e35e41d","block_type":"box","text":"currency. As a result, the entire principal value of a currency swap is subject to the risk that the other party to the","page_number":61,"box":{"x":69,"y":574,"width":810,"height":11}},{"id":"632778b5-d67c-4587-b0d9-304d76a115c5","block_type":"box","text":"swap will default on its contractual delivery obligations.","page_number":61,"box":{"x":69,"y":589,"width":393,"height":11}},{"id":"78435df4-c0ad-4f30-bc69-fc3a01edf1e5","block_type":"box","text":"Distressed Securities.","page_number":61,"box":{"x":102,"y":612,"width":159,"height":9}},{"id":"56b87094-2d8f-41f4-be92-decea9031beb","block_type":"box","text":"A Fund may invest in securities, including loans purchased in the secondary market, that","page_number":61,"box":{"x":267,"y":612,"width":633,"height":11}},{"id":"03dcec12-6155-4c80-889d-1cfef9c00c2f","block_type":"box","text":"are the subject of bankruptcy proceedings or otherwise in default or in risk of being in default as to the repayment of","page_number":61,"box":{"x":69,"y":627,"width":834,"height":11}},{"id":"6712da69-0613-48a6-945d-7bbb649889f1","block_type":"box","text":"principal and/or interest at the time of acquisition by the Fund or that are rated in the lower rating categories by one","page_number":61,"box":{"x":70,"y":642,"width":827,"height":11}},{"id":"ad17829e-f46b-48b6-94c9-07a32dd3d10f","block_type":"box","text":"or more nationally recognized statistical rating organizations (for example, Ca or lower by Moody’s and CC or lower by","page_number":61,"box":{"x":69,"y":657,"width":835,"height":11}},{"id":"c2d11f6d-8b43-4ec7-be2e-b64fc957a8dc","block_type":"box","text":"S&P or Fitch) or, if unrated, are in the judgment of the Manager of equivalent quality (“Distressed Securities”).","page_number":61,"box":{"x":69,"y":672,"width":784,"height":11}},{"id":"0a12995c-316c-4eba-bc1f-674ca27d1353","block_type":"box","text":"Investment in Distressed Securities is speculative and involves significant risks.","page_number":61,"box":{"x":70,"y":687,"width":569,"height":11}},{"id":"5f6fbc68-0cb5-415f-bcad-f83f3f7c5508","block_type":"box","text":"A Fund will generally make such investments only when the Manager believes it is reasonably likely that the","page_number":61,"box":{"x":101,"y":710,"width":766,"height":11}},{"id":"5e020d35-72a1-4969-84be-7fb12c6d159e","block_type":"box","text":"issuer of the Distressed Securities will make an exchange offer or will be the subject of a plan of reorganization","page_number":61,"box":{"x":70,"y":725,"width":795,"height":11}},{"id":"84a2eae0-464f-49d7-b5ae-f439c6498344","block_type":"box","text":"pursuant to which the Fund will receive new securities in return for the Distressed Securities. However, there can be","page_number":61,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"e0eb0975-0f3f-4f37-b637-2209b6a47d4c","block_type":"box","text":"no assurance that such an exchange offer will be made or that such a plan of reorganization will be adopted. In","page_number":61,"box":{"x":69,"y":755,"width":794,"height":11}},{"id":"24835305-c623-4a6a-964d-34c8973613d2","block_type":"box","text":"addition, a significant period of time may pass between the time at which a Fund makes its investment in Distressed","page_number":61,"box":{"x":69,"y":770,"width":832,"height":12}},{"id":"f826620f-856b-41b7-a721-38bb57a31be4","block_type":"box","text":"Securities and the time that any such exchange offer or plan of reorganization is completed. During this period, it is","page_number":61,"box":{"x":69,"y":785,"width":824,"height":12}},{"id":"9f28f66d-cb93-4b43-b0ff-fd9807d73731","block_type":"box","text":"unlikely that a Fund will receive any interest payments on the Distressed Securities, the Fund will be subject to","page_number":61,"box":{"x":69,"y":801,"width":789,"height":11}},{"id":"fdce0e34-7a6d-4f8a-bba3-f7649446e016","block_type":"box","text":"significant uncertainty as to whether or not the exchange offer or plan of reorganization will be completed and the","page_number":61,"box":{"x":69,"y":816,"width":810,"height":11}},{"id":"9fc03edb-f408-437e-8767-c09ac1b29472","block_type":"box","text":"Fund may be required to bear certain extraordinary expenses to protect and recover its investment. Therefore, to the","page_number":61,"box":{"x":70,"y":831,"width":831,"height":11}},{"id":"b0f51645-3b0a-405f-997b-fc3b8f64d2a0","block_type":"box","text":"extent the Fund seeks capital appreciation through investment in distressed securities, the Fund’s ability to achieve","page_number":61,"box":{"x":69,"y":846,"width":826,"height":11}},{"id":"6d0b2882-c227-4724-a9ba-86023a614d44","block_type":"box","text":"current income for its shareholders may be diminished. The Fund also will be subject to significant uncertainty as to","page_number":61,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"cf52b88a-fbe8-4ff3-95f6-5f440732434b","block_type":"box","text":"when and in what manner and for what value the obligations evidenced by the distressed securities will eventually be","page_number":61,"box":{"x":68,"y":876,"width":834,"height":11}},{"id":"fb1f0e09-6afd-4e12-9fbc-95c9946afb0e","block_type":"box","text":"satisfied (","page_number":61,"box":{"x":69,"y":891,"width":70,"height":11}},{"id":"0014e29c-5b37-49ed-9fe3-12379c872433","block_type":"box","text":"e.g.","page_number":61,"box":{"x":140,"y":893,"width":25,"height":10}},{"id":"5e61a205-b3c1-4577-bb2f-cae70f2c3672","block_type":"box","text":", through a liquidation of the obligor’s assets, an exchange offer or plan of reorganization involving the","page_number":61,"box":{"x":168,"y":891,"width":729,"height":12}},{"id":"9c7fdd42-6c30-48b1-a22b-93ccf4688462","block_type":"box","text":"distressed securities or a payment of some amount in satisfaction of the obligation). Even if an exchange offer is","page_number":61,"box":{"x":69,"y":906,"width":807,"height":12}},{"id":"4ff85457-bbd7-4da9-a6ef-5aa52d0b4058","block_type":"box","text":"II-25","page_number":61,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c3640e39-84fd-400d-a10b-bdb033a8e60f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":61,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a7285f8c-5350-4bd6-a543-5de5d0b1f9da","block_type":"box","text":"made or plan of reorganization is adopted with respect to Distressed Securities held by a Fund, there can be no","page_number":62,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"788769c2-5fbb-4b25-9cad-2c831ff2ca45","block_type":"box","text":"assurance that the securities or other assets received by a Fund in connection with such exchange offer or plan of","page_number":62,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"ec422def-2b96-42e0-8690-52a1a1c3f243","block_type":"box","text":"reorganization will not have a lower value or income potential than may have been anticipated when the investment","page_number":62,"box":{"x":69,"y":75,"width":821,"height":11}},{"id":"157d6816-ec33-4f6f-8e80-68059353b806","block_type":"box","text":"was made or no value. Moreover, any securities received by a Fund upon completion of an exchange offer or plan of","page_number":62,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"8332f77a-36ff-4e15-9188-836cd0720442","block_type":"box","text":"reorganization may be restricted as to resale. Similarly, if a Fund participates in negotiations with respect to any","page_number":62,"box":{"x":69,"y":105,"width":800,"height":11}},{"id":"fb7c1190-3788-4727-ab4e-35a6ad53a258","block_type":"box","text":"exchange offer or plan of reorganization with respect to an issuer of Distressed Securities, the Fund may be","page_number":62,"box":{"x":69,"y":120,"width":770,"height":12}},{"id":"c90d0f28-87c8-41c9-9cd1-d61604ab7a67","block_type":"box","text":"restricted from disposing of such securities. To the extent that a Fund becomes involved in such proceedings, the","page_number":62,"box":{"x":69,"y":135,"width":809,"height":12}},{"id":"387787d8-ff30-4b93-a693-088780973d4f","block_type":"box","text":"Fund may have a more active participation in the affairs of the issuer than that assumed generally by an investor. The","page_number":62,"box":{"x":70,"y":150,"width":839,"height":12}},{"id":"bb12d716-98ef-4a23-82c4-f7a3e93b128e","block_type":"box","text":"Fund, however, will not make investments for the purpose of exercising day-to-day management of any issuer’s","page_number":62,"box":{"x":70,"y":166,"width":787,"height":11}},{"id":"1db91980-c3b0-4ac5-80ad-46219cc3a429","block_type":"box","text":"affairs.","page_number":62,"box":{"x":69,"y":181,"width":49,"height":9}},{"id":"979ff444-308a-4ef5-9268-e8528752df64","block_type":"box","text":"Environmental, Social and Governance (“ESG”) Integration","page_number":62,"box":{"x":102,"y":203,"width":428,"height":11}},{"id":"b852033e-4ed8-4a49-a8ae-4b0a42ff34e9","block_type":"box","text":". Although a Fund does not seek to implement a","page_number":62,"box":{"x":531,"y":204,"width":341,"height":11}},{"id":"a71b054d-add9-4eec-8729-2f1aa13dcfdb","block_type":"box","text":"specific sustainability objective, strategy or process unless disclosed in its Prospectus, Fund management will","page_number":62,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"c8f0da20-3780-4210-b300-2d651ebe695d","block_type":"box","text":"consider ESG factors as part of the investment process for the Fund. Fund management views ESG integration as the","page_number":62,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"a9993033-75b8-49ed-83f8-9fa9faa4bdb4","block_type":"box","text":"practice of incorporating financially material ESG data or information into investment processes with the objective of","page_number":62,"box":{"x":70,"y":249,"width":827,"height":11}},{"id":"af94d93e-4c3a-40fa-a531-9fca6e6a800a","block_type":"box","text":"enhancing risk-adjusted returns. These ESG considerations will vary depending on a Fund’s particular investment","page_number":62,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"47178e3f-e2a7-4cef-b9f1-24d6f16736f8","block_type":"box","text":"strategies and may include consideration of third-party research as well as consideration of proprietary BlackRock","page_number":62,"box":{"x":69,"y":279,"width":812,"height":11}},{"id":"3fb5d119-614f-4ca7-ba57-083b36192244","block_type":"box","text":"research across the ESG risks and opportunities regarding an issuer. The ESG characteristics utilized in a Fund’s","page_number":62,"box":{"x":69,"y":294,"width":807,"height":11}},{"id":"cec97835-fcaf-4855-b71f-fb7f6042df1c","block_type":"box","text":"investment process are anticipated to evolve over time and one or more characteristics may not be relevant with","page_number":62,"box":{"x":70,"y":309,"width":800,"height":11}},{"id":"db2d8fbd-ed0c-4db3-ab3a-1e1d7d97cd89","block_type":"box","text":"respect to all issuers that are eligible for investment.","page_number":62,"box":{"x":69,"y":324,"width":377,"height":12}},{"id":"1be4869b-6671-49bf-8c69-7f9428ce3fb7","block_type":"box","text":"Certain of these considerations may affect a Fund’s exposure to certain companies or industries. While Fund","page_number":62,"box":{"x":102,"y":347,"width":778,"height":11}},{"id":"e72e7c71-cec0-46dd-a3f3-8d88ea727471","block_type":"box","text":"management views ESG considerations as having the potential to contribute to a Fund’s long-term performance,","page_number":62,"box":{"x":69,"y":362,"width":800,"height":11}},{"id":"08d98e41-bed4-4cfc-bd85-53ac332f653e","block_type":"box","text":"there is no guarantee that such results will be achieved.","page_number":62,"box":{"x":68,"y":377,"width":400,"height":12}},{"id":"22afb1e6-eebe-450f-8d88-52310e39c6a1","block_type":"box","text":"Equity Securities.","page_number":62,"box":{"x":102,"y":400,"width":127,"height":11}},{"id":"d64bdbf7-7083-4b5b-afe9-eb112fccb091","block_type":"box","text":"Certain Funds may invest in equity securities, which include common stock and, for certain","page_number":62,"box":{"x":235,"y":400,"width":648,"height":11}},{"id":"26d33811-dd42-4e90-b092-882869a60e8b","block_type":"box","text":"Funds, preferred stock (including convertible preferred stock); bonds, stock purchase warrants and rights; equity","page_number":62,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"88204018-1b92-4c36-b162-852d41782d9a","block_type":"box","text":"interests in trusts; general and limited partnerships and limited liability companies; and depositary receipts. Stock","page_number":62,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"428173dd-4f58-4d8b-bf0b-31683da121c6","block_type":"box","text":"markets are volatile. The price of equity securities will fluctuate and can decline and reduce the value of a portfolio","page_number":62,"box":{"x":69,"y":445,"width":819,"height":11}},{"id":"454b2a69-f282-4cc1-bde9-019f9d1c3f77","block_type":"box","text":"investing in equities. The price of equity securities fluctuates based on changes in a company’s financial condition","page_number":62,"box":{"x":70,"y":460,"width":813,"height":12}},{"id":"a6390ab6-6ea4-4966-96dd-ee9a18d24adb","block_type":"box","text":"and overall market and economic conditions. The value of equity securities purchased by the Fund could decline if the","page_number":62,"box":{"x":69,"y":475,"width":839,"height":12}},{"id":"bf954d31-5a6f-4795-a7e1-2c671101b27c","block_type":"box","text":"financial condition of the companies the Fund invests in decline or if overall market and economic conditions","page_number":62,"box":{"x":68,"y":491,"width":775,"height":11}},{"id":"6ddfba15-41c9-4af9-a719-3b00285ab7e4","block_type":"box","text":"deteriorate. They may also decline due to factors that affect a particular industry or industries, such as labor","page_number":62,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"88e1ef2f-f56c-4414-ba14-809ae904c0d5","block_type":"box","text":"shortages or increase in production costs and competitive conditions within an industry. In addition, they may decline","page_number":62,"box":{"x":69,"y":521,"width":837,"height":11}},{"id":"d6497065-19bb-4703-ba1b-115cb60d20d3","block_type":"box","text":"due to general market conditions that are not specifically related to a company or industry, such as real or perceived","page_number":62,"box":{"x":69,"y":536,"width":831,"height":11}},{"id":"00c6b5f7-8210-4f87-ba71-7713004304f6","block_type":"box","text":"adverse economic conditions, changes in the general outlook for corporate earnings, changes in interest or currency","page_number":62,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"027bd8c5-b32e-43d3-9a0e-f51f19b5b135","block_type":"box","text":"rates or generally adverse investor sentiment.","page_number":62,"box":{"x":69,"y":566,"width":325,"height":11}},{"id":"33a466b9-d267-446e-8f33-53e8f5552737","block_type":"box","text":"From time to time certain of the Funds may invest in shares of companies through initial public offerings","page_number":62,"box":{"x":102,"y":589,"width":745,"height":11}},{"id":"98a00fd8-aff2-4d52-96b0-e6fb33d2fed5","block_type":"box","text":"(“IPOs”). IPOs have the potential to produce, and have in fact produced, substantial gains for certain Funds. There is","page_number":62,"box":{"x":69,"y":604,"width":833,"height":11}},{"id":"cf4bf624-ae22-4a0b-a287-1e3432e65e52","block_type":"box","text":"no assurance that any Fund will have continued access to profitable IPOs and therefore investors should not rely on","page_number":62,"box":{"x":69,"y":619,"width":824,"height":11}},{"id":"42d35a44-775c-4d5e-85dd-cb97b6140a3e","block_type":"box","text":"these past gains as an indication of future performance. The investment performance of a Fund during periods when","page_number":62,"box":{"x":68,"y":634,"width":834,"height":12}},{"id":"810583f0-ae9c-4560-8048-6d3dc036d676","block_type":"box","text":"it is unable to invest significantly or at all in IPOs may be lower than during periods when it is able to do so. In","page_number":62,"box":{"x":70,"y":649,"width":782,"height":12}},{"id":"ec7ed07b-fc60-4455-b7f3-b67dd5f95cb2","block_type":"box","text":"addition, as a Fund increases in size, the impact of IPOs on its performance will generally decrease. Securities","page_number":62,"box":{"x":69,"y":664,"width":790,"height":12}},{"id":"b4e69287-e301-437b-bbb4-d82aa3d7f098","block_type":"box","text":"issued in IPOs are subject to many of the same risks as investing in companies with smaller market capitalizations.","page_number":62,"box":{"x":70,"y":680,"width":823,"height":11}},{"id":"e8f4878f-762a-4ffa-8087-0c7ad5356a5b","block_type":"box","text":"Securities issued in IPOs have no trading history, and information about the companies may be available for very","page_number":62,"box":{"x":69,"y":695,"width":805,"height":11}},{"id":"ad18f48d-ff61-491e-8419-fda147a0e415","block_type":"box","text":"limited periods. In addition, the prices of securities sold in IPOs may be highly volatile or may decline shortly after the","page_number":62,"box":{"x":70,"y":710,"width":836,"height":11}},{"id":"6b7b9140-ddae-499a-8bfe-1038503d4560","block_type":"box","text":"initial public offering.","page_number":62,"box":{"x":70,"y":725,"width":147,"height":11}},{"id":"3dbe8e4e-8881-4681-a610-2d9044f545d5","block_type":"box","text":"The Funds may invest in companies that have relatively small market capitalizations. These organizations will","page_number":62,"box":{"x":101,"y":748,"width":777,"height":11}},{"id":"a7e9362f-7341-4add-98d2-853b140740d5","block_type":"box","text":"normally have more limited product lines, markets and financial resources and will be dependent upon a more limited","page_number":62,"box":{"x":69,"y":763,"width":838,"height":11}},{"id":"500b81f2-10b8-4163-a3a8-da346d5ef186","block_type":"box","text":"management group than larger capitalized companies. In addition, it is more difficult to get information on smaller","page_number":62,"box":{"x":69,"y":778,"width":815,"height":11}},{"id":"88f0960e-1330-4f83-95d3-039dae627d0e","block_type":"box","text":"companies, which tend to be less well known, have shorter operating histories, do not have significant ownership by","page_number":62,"box":{"x":69,"y":793,"width":829,"height":11}},{"id":"2b09a02b-d6c4-4832-a65b-8021e58366b0","block_type":"box","text":"large investors and are followed by relatively few securities analysts. The securities of smaller capitalized companies","page_number":62,"box":{"x":70,"y":808,"width":831,"height":11}},{"id":"a5f2eec8-0795-4036-922e-3fc5ef1d2703","block_type":"box","text":"are often traded in the OTC markets and may have fewer market makers and wider price spreads. This may result in","page_number":62,"box":{"x":69,"y":823,"width":826,"height":11}},{"id":"cec5cbc7-e501-45de-889e-7d88e45b8f0f","block_type":"box","text":"greater price movements and less ability to sell a Fund’s investment than if the Fund held the securities of larger,","page_number":62,"box":{"x":68,"y":838,"width":810,"height":12}},{"id":"7995acc7-1455-47ac-8cb6-3d3846def463","block_type":"box","text":"more established companies.","page_number":62,"box":{"x":69,"y":854,"width":209,"height":10}},{"id":"913a4510-5c50-40cb-9b74-fdf09f6d0ba2","block_type":"box","text":"II-26","page_number":62,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8f2bee5b-c3cd-4acb-9d09-2eb85b4207fc","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":62,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bbd6f4ea-1f5b-46c8-ad4a-081075a80fb4","block_type":"box","text":"For a discussion of the types of equity securities in which your Fund may invest and the risks associated with","page_number":63,"box":{"x":102,"y":45,"width":776,"height":11}},{"id":"4245eea6-4734-4cce-8664-cc14ba24a558","block_type":"box","text":"investing in such equity securities, see your Fund’s Prospectus. Certain of the Funds may also invest in shares of","page_number":63,"box":{"x":70,"y":60,"width":810,"height":11}},{"id":"3515803b-1021-4783-acf7-ebbee4cfc46e","block_type":"box","text":"private companies, which are subject to the risks of “Illiquid Investments” and “Restricted Securities” described","page_number":63,"box":{"x":70,"y":75,"width":799,"height":11}},{"id":"21358a19-f79f-4f37-9f01-85e3dbf2d6cd","block_type":"box","text":"below.","page_number":63,"box":{"x":69,"y":90,"width":43,"height":9}},{"id":"02509007-4474-43be-b3c6-92f36b340962","block_type":"box","text":"Real Estate-Related Securities.","page_number":63,"box":{"x":102,"y":113,"width":219,"height":9}},{"id":"ce7c4b83-4f47-49a3-8482-4f47a231820b","block_type":"box","text":"Although no Fund may invest directly in real estate, certain Funds may invest in","page_number":63,"box":{"x":327,"y":113,"width":565,"height":11}},{"id":"d765bfdb-565e-4946-aef8-1ce28f83d62f","block_type":"box","text":"equity securities of issuers that are principally engaged in the real estate industry. Such investments are subject to","page_number":63,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"97bc6c5a-fa29-4d56-869d-a548dedc81b2","block_type":"box","text":"certain risks associated with the ownership of real estate and with the real estate industry in general. These risks","page_number":63,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"09127586-bb84-47be-acfb-0ab4821c2e87","block_type":"box","text":"include, among others: possible declines in the value of real estate; risks related to general and local economic","page_number":63,"box":{"x":70,"y":158,"width":796,"height":11}},{"id":"84783446-314c-4b78-a3a3-88fc82ae066e","block_type":"box","text":"conditions; possible lack of availability of mortgage funds or other limitations on access to capital; overbuilding; risks","page_number":63,"box":{"x":69,"y":173,"width":836,"height":11}},{"id":"7968d153-0f24-48cc-a4e2-66b8e113ab0c","block_type":"box","text":"associated with leverage; market illiquidity; extended vacancies of properties; increase in competition, property","page_number":63,"box":{"x":69,"y":188,"width":795,"height":12}},{"id":"55b634ee-0a8c-4c95-b6f1-5300b2d0902a","block_type":"box","text":"taxes, capital expenditures and operating expenses; changes in zoning laws or other governmental regulation; costs","page_number":63,"box":{"x":68,"y":204,"width":828,"height":11}},{"id":"ebd5f8b5-b8d8-4e46-8e4a-d3d0503011de","block_type":"box","text":"resulting from the clean-up of, and liability to third parties for damages resulting from, environmental problems;","page_number":63,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"94befb13-0608-4705-bb9a-b069792be56a","block_type":"box","text":"tenant bankruptcies or other credit problems; casualty or condemnation losses; uninsured damages from floods,","page_number":63,"box":{"x":68,"y":234,"width":805,"height":11}},{"id":"dce7cfbf-81c8-46b5-a9e8-3b6437308874","block_type":"box","text":"earthquakes or other natural disasters; limitations on and variations in rents, including decreases in market rates for","page_number":63,"box":{"x":69,"y":249,"width":836,"height":11}},{"id":"c1365ac5-320c-4b8b-8c6b-f718d0035b64","block_type":"box","text":"rents; investment in developments that are not completed or that are subject to delays in completion; and changes in","page_number":63,"box":{"x":69,"y":264,"width":838,"height":11}},{"id":"b37d60d2-4949-4210-8ed3-04503fabe450","block_type":"box","text":"interest rates. To the extent that assets underlying a Fund’s investments are concentrated geographically, by property","page_number":63,"box":{"x":70,"y":279,"width":838,"height":11}},{"id":"69cecb2b-2ee5-4824-bcd4-ab94ada63b1a","block_type":"box","text":"type or in certain other respects, the Fund may be subject to certain of the foregoing risks to a greater extent.","page_number":63,"box":{"x":68,"y":294,"width":785,"height":11}},{"id":"cfd554cd-a2a5-46ee-b1a1-de8c7e6a8560","block_type":"box","text":"Investments by a Fund in securities of companies providing mortgage servicing will be subject to the risks associated","page_number":63,"box":{"x":70,"y":309,"width":836,"height":11}},{"id":"f211ccc7-e59c-4dc3-896c-831a54c5377a","block_type":"box","text":"with refinancings and their impact on servicing rights.","page_number":63,"box":{"x":68,"y":324,"width":381,"height":12}},{"id":"fa96688d-a496-4830-929b-e7da88c4f2cd","block_type":"box","text":"In addition, if a Fund receives rental income or income from the disposition of real property acquired as a result","page_number":63,"box":{"x":102,"y":347,"width":797,"height":11}},{"id":"dfa69e6f-d567-4ce4-a62b-61201e329d40","block_type":"box","text":"of a default on securities the Fund owns, the receipt of such income may adversely affect the Fund’s ability to retain","page_number":63,"box":{"x":69,"y":362,"width":829,"height":11}},{"id":"471017fb-4abc-44e2-9aa8-5df911ab1069","block_type":"box","text":"its tax status as a regulated investment company because of certain income source requirements applicable to","page_number":63,"box":{"x":70,"y":377,"width":794,"height":12}},{"id":"162cb2fa-c668-4fbc-b8c9-b1067697e933","block_type":"box","text":"regulated investment companies under the Internal Revenue Code of 1986, as amended (the “Code”).","page_number":63,"box":{"x":69,"y":392,"width":730,"height":12}},{"id":"dd638cf0-2abe-45c8-9fa3-170a069da183","block_type":"box","text":"Securities of Smaller or Emerging Growth Companies.","page_number":63,"box":{"x":102,"y":415,"width":381,"height":11}},{"id":"0c64e6e1-efbd-47c5-8ff8-5c17f430ba2b","block_type":"box","text":"Investment in smaller or emerging growth companies","page_number":63,"box":{"x":490,"y":415,"width":376,"height":11}},{"id":"e2ff5844-bb21-420d-a281-ab778dbfb6f3","block_type":"box","text":"involves greater risk than is customarily associated with investments in more established companies. The securities","page_number":63,"box":{"x":70,"y":430,"width":828,"height":11}},{"id":"f56144f8-bc8a-417f-add8-7fadfdbe4953","block_type":"box","text":"of smaller or emerging growth companies may be subject to more abrupt or erratic market movements than larger,","page_number":63,"box":{"x":69,"y":445,"width":815,"height":12}},{"id":"25ecc837-9e10-4af4-bbb6-2e52caf1063d","block_type":"box","text":"more established companies or the market average in general. These companies may have limited product lines,","page_number":63,"box":{"x":69,"y":461,"width":804,"height":11}},{"id":"6f1d0b9d-a7fe-4fd2-a3c1-24dc8a6da467","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":63,"box":{"x":69,"y":475,"width":647,"height":12}},{"id":"87c8484c-f89e-4f20-a96b-98bc23b0c29a","block_type":"box","text":"Investments in smaller or emerging growth companies may involve greater risks and thus may be considered","page_number":63,"box":{"x":102,"y":498,"width":773,"height":11}},{"id":"8db9d635-4652-4f23-bb60-1eaebfabe86b","block_type":"box","text":"speculative. Full development of these companies and trends frequently takes time.","page_number":63,"box":{"x":69,"y":513,"width":597,"height":11}},{"id":"a43edc6d-2419-40d2-958a-9f0bc04c57de","block_type":"box","text":"Small cap and emerging growth securities will often be traded only in the OTC market or on a regional securities","page_number":63,"box":{"x":102,"y":536,"width":797,"height":11}},{"id":"071b497e-05b8-4718-8207-81bdbac492e5","block_type":"box","text":"exchange and may not be traded every day or in the volume typical of trading on a national securities exchange. As a","page_number":63,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"8e0afbbd-cb6a-47d0-add3-ab17d1a96baa","block_type":"box","text":"result, the disposition by a Fund of portfolio securities to meet redemptions or otherwise may require the Fund to","page_number":63,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"58429a5e-8225-4533-a789-6170b8292e78","block_type":"box","text":"make many small sales over a lengthy period of time, or to sell these securities at a discount from market prices or","page_number":63,"box":{"x":69,"y":581,"width":825,"height":12}},{"id":"54def325-2ba1-474a-bd6c-d7ab79bf232c","block_type":"box","text":"during periods when, in Fund management’s judgment, such disposition is not desirable.","page_number":63,"box":{"x":69,"y":597,"width":631,"height":11}},{"id":"4b77f575-7bc0-4fd9-b748-9249f2c79969","block_type":"box","text":"The process of selection and continuous supervision by Fund management does not guarantee successful","page_number":63,"box":{"x":101,"y":619,"width":758,"height":11}},{"id":"446ca4e3-ab19-46d0-b065-b3ea9d8e5104","block_type":"box","text":"investment results. Careful initial selection is particularly important in this area as many new enterprises have","page_number":63,"box":{"x":70,"y":634,"width":787,"height":11}},{"id":"b9e3a948-eab3-4f4b-9bf8-c76a6b1b204b","block_type":"box","text":"promise but lack certain of the fundamental factors necessary to prosper. Investing in small cap and emerging","page_number":63,"box":{"x":70,"y":649,"width":789,"height":12}},{"id":"c8cba7ea-a6fa-4a79-a690-0aa7ea0aa980","block_type":"box","text":"growth companies requires specialized research and analysis.","page_number":63,"box":{"x":68,"y":665,"width":442,"height":11}},{"id":"70939fa3-64dc-45ce-8fa2-7b84291ec3d4","block_type":"box","text":"Fund management believes that relatively small companies may have the opportunity to develop into significant","page_number":63,"box":{"x":102,"y":687,"width":795,"height":11}},{"id":"066f6468-4ce7-4ee9-8edc-a68b13d0cf5e","block_type":"box","text":"business enterprises. A Fund may invest in securities of small issuers in the relatively early stages of business","page_number":63,"box":{"x":69,"y":702,"width":791,"height":12}},{"id":"01136803-c586-4f96-b8eb-027a7fe3b11a","block_type":"box","text":"development that have a new technology, a unique or proprietary product or service, or a favorable market position.","page_number":63,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"b42abb03-3992-4ec5-a1a6-273cf8c5fa46","block_type":"box","text":"Equity securities of specific small cap issuers may present different opportunities for long-term capital","page_number":63,"box":{"x":102,"y":740,"width":729,"height":11}},{"id":"720cc212-94c9-4b2f-af98-d166a396f27f","block_type":"box","text":"appreciation during varying portions of economic or securities market cycles, as well as during varying stages of their","page_number":63,"box":{"x":69,"y":755,"width":837,"height":11}},{"id":"2c241b84-c061-4495-831e-e33e489d3962","block_type":"box","text":"business development. The market valuation of small cap issuers tends to fluctuate during economic or market","page_number":63,"box":{"x":69,"y":770,"width":794,"height":12}},{"id":"1821cfa0-ffc2-4736-958a-3c6a76e13e3c","block_type":"box","text":"cycles.","page_number":63,"box":{"x":69,"y":786,"width":46,"height":11}},{"id":"dbd6490e-ff37-4ab6-8563-c01f70c9669c","block_type":"box","text":"Tracking Stocks","page_number":63,"box":{"x":103,"y":808,"width":110,"height":11}},{"id":"7ca9268f-5eb5-4a1e-aaec-93c27161add5","block_type":"box","text":". A tracking stock is a separate class of common stock whose value is linked to a specific","page_number":63,"box":{"x":214,"y":808,"width":640,"height":11}},{"id":"045bfafd-2e74-433d-bd66-79de96c46be1","block_type":"box","text":"business unit or operating division within a larger company and is designed to “track” the performance of such","page_number":63,"box":{"x":69,"y":823,"width":791,"height":12}},{"id":"425d1fd3-4077-4568-b6aa-af25811aa5c4","block_type":"box","text":"business unit or division. The tracking stock may pay dividends to shareholders independent of the parent company.","page_number":63,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"8f4b5a44-6bf7-48cc-80fd-0f79436f7ca9","block_type":"box","text":"The parent company, rather than the business unit or division, generally is the issuer of tracking stock. However,","page_number":63,"box":{"x":68,"y":853,"width":801,"height":12}},{"id":"2b92ce61-4641-40aa-bea7-f2d9b049b351","block_type":"box","text":"holders of the tracking stock may not have the same rights as holders of the company’s common stock.","page_number":63,"box":{"x":69,"y":869,"width":740,"height":11}},{"id":"fe469141-c724-4edb-9821-77a203162437","block_type":"box","text":"Exchange-Traded Notes (“ETNs”).","page_number":63,"box":{"x":102,"y":891,"width":245,"height":11}},{"id":"c8a4e1db-74e8-4491-960c-3fceae770f6d","block_type":"box","text":"Certain Funds may invest in ETNs. ETNs are generally notes representing","page_number":63,"box":{"x":354,"y":891,"width":521,"height":12}},{"id":"cca93fd8-3966-4fb0-9fdd-3662ccfeccb7","block_type":"box","text":"debt of the issuer, usually a financial institution. ETNs combine aspects of both bonds and ETFs. An ETN’s returns","page_number":63,"box":{"x":69,"y":906,"width":814,"height":12}},{"id":"32deb091-2956-489b-b795-ad3f4a025bd6","block_type":"box","text":"II-27","page_number":63,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"71844728-2904-4136-a663-8bc8f01a1cac","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":63,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"169137e5-e6c3-4158-adc4-6c15a5c2745e","block_type":"box","text":"are based on the performance of one or more underlying assets, reference rates or indexes, minus fees and","page_number":64,"box":{"x":69,"y":45,"width":774,"height":11}},{"id":"7086ff2e-3987-4900-b6c6-af0f0684260a","block_type":"box","text":"expenses. Similar to ETFs, ETNs are listed on an exchange and traded in the secondary market. However, unlike an","page_number":64,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"b8bf5530-f7b2-4a5d-ac41-e6e3690eaf23","block_type":"box","text":"ETF, an ETN can be held until the ETN’s maturity, at which time the issuer will pay a return linked to the performance","page_number":64,"box":{"x":70,"y":75,"width":831,"height":11}},{"id":"0b4d1f27-34d2-4f16-9003-54f18a1341b0","block_type":"box","text":"of the specific asset, index or rate (“reference instrument”) to which the ETN is linked minus certain fees. Unlike","page_number":64,"box":{"x":69,"y":90,"width":805,"height":11}},{"id":"f94021b0-1d98-40ca-ab39-e00293aaa1f5","block_type":"box","text":"regular bonds, ETNs do not make periodic interest payments, and principal is not protected.","page_number":64,"box":{"x":69,"y":105,"width":654,"height":11}},{"id":"fd4df36d-6a39-4031-a548-c84be6d16aab","block_type":"box","text":"The value of an ETN may be influenced by, among other things, time to maturity, level of supply and demand for","page_number":64,"box":{"x":101,"y":128,"width":794,"height":11}},{"id":"c368325b-98df-4030-80e6-10996f660905","block_type":"box","text":"the ETN, volatility and lack of liquidity in underlying markets, changes in the applicable interest rates, the","page_number":64,"box":{"x":68,"y":143,"width":748,"height":11}},{"id":"cc52f3da-7c18-457c-b867-2cd8cad25f40","block_type":"box","text":"performance of the reference instrument, changes in the issuer’s credit rating and economic, legal, political or","page_number":64,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"6f9914c2-39d8-49ba-9ea3-bfc2b962f7a2","block_type":"box","text":"geographic events that affect the reference instrument. ETNs are subject to credit risk and the value of the ETN may","page_number":64,"box":{"x":68,"y":173,"width":831,"height":11}},{"id":"92242573-4701-4f89-a3e0-b8d1c473ba5d","block_type":"box","text":"drop due to a downgrade in an issuer’s credit rating, despite the underlying reference instrument remaining","page_number":64,"box":{"x":69,"y":188,"width":766,"height":12}},{"id":"06b940bc-c46b-4334-a234-08f7efe56929","block_type":"box","text":"unchanged. When a Fund invests in ETNs, it will bear its proportionate share of any fees and expenses borne by the","page_number":64,"box":{"x":69,"y":203,"width":828,"height":12}},{"id":"6eb69df7-17e4-4ebd-8eae-7988a7e15a77","block_type":"box","text":"ETN.","page_number":64,"box":{"x":70,"y":219,"width":30,"height":8}},{"id":"55ed1a03-5254-4b2e-93e7-c7250462ad64","block_type":"box","text":"An ETN that is tied to a reference instrument may not replicate the performance of the reference instrument.","page_number":64,"box":{"x":101,"y":241,"width":776,"height":11}},{"id":"6c8bfb15-147c-42d4-b18c-8ccd81037e86","block_type":"box","text":"ETNs also incur certain expenses not incurred by their applicable reference instrument. Some ETNs that use leverage","page_number":64,"box":{"x":70,"y":256,"width":837,"height":12}},{"id":"ea82f1ac-9816-43f7-9a10-42ca7e088509","block_type":"box","text":"may, at times, be illiquid and may be difficult to purchase or sell at a fair price. Levered ETNs are subject to the same","page_number":64,"box":{"x":69,"y":271,"width":840,"height":12}},{"id":"70e5932d-234e-4af9-b814-1423c9573220","block_type":"box","text":"risk as other instruments that use leverage in any form. While leverage allows for greater potential return, the","page_number":64,"box":{"x":69,"y":286,"width":781,"height":12}},{"id":"33b9e80c-389b-48e1-8461-53252634f634","block_type":"box","text":"potential for loss is also greater. Finally, additional losses may be incurred if the investment loses value because, in","page_number":64,"box":{"x":70,"y":302,"width":827,"height":11}},{"id":"9263a358-3132-4cb3-8937-bde19f5999a7","block_type":"box","text":"addition to the money lost on the investment, the loan still needs to be repaid.","page_number":64,"box":{"x":69,"y":317,"width":560,"height":11}},{"id":"fff0ae6e-87fc-413f-a9ce-8f4d3301523c","block_type":"box","text":"Because the return on the ETN is dependent on the issuer’s ability or willingness to meet its obligations, the","page_number":64,"box":{"x":102,"y":340,"width":774,"height":11}},{"id":"669dff5b-538a-4e33-b00a-aa800dc4891a","block_type":"box","text":"value of the ETN may change due to a change in the issuer’s credit rating, despite no change in the underlying","page_number":64,"box":{"x":68,"y":355,"width":788,"height":11}},{"id":"69118cfd-f700-4c14-94d7-e1abfd3ed50c","block_type":"box","text":"reference instrument. The market value of ETN shares may differ from the value of the reference instrument. This","page_number":64,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"9ebd963c-3fe0-4d10-94c9-c820f36d32b1","block_type":"box","text":"difference in price may be due to the fact that the supply and demand in the market for ETN shares at any point in","page_number":64,"box":{"x":69,"y":385,"width":815,"height":11}},{"id":"78db16f9-2c5c-429d-ad8a-1cfd6ab486c6","block_type":"box","text":"time is not always identical to the supply and demand in the market for the assets underlying the reference","page_number":64,"box":{"x":68,"y":400,"width":766,"height":11}},{"id":"1384047d-62b3-4cd5-abb4-1874cc5420d8","block_type":"box","text":"instrument that the ETN seeks to track.","page_number":64,"box":{"x":70,"y":415,"width":279,"height":9}},{"id":"40a745db-2034-4fd2-9483-88c7fcc53d0b","block_type":"box","text":"There may be restrictions on the Fund’s right to redeem its investment in an ETN, which are generally meant to","page_number":64,"box":{"x":101,"y":438,"width":791,"height":11}},{"id":"18adef0d-cc5b-48fb-9651-2feb37c78176","block_type":"box","text":"be held until maturity. The Fund’s decision to sell its ETN holdings may be limited by the availability of a secondary","page_number":64,"box":{"x":69,"y":453,"width":818,"height":11}},{"id":"62c97619-2e8d-4d45-8219-53239407aff9","block_type":"box","text":"market. An investor in an ETN could lose some or all of the amount invested.","page_number":64,"box":{"x":69,"y":468,"width":547,"height":9}},{"id":"d162bb6e-2f75-43b1-82bf-98cc122e21d1","block_type":"box","text":"ETNs are also subject to tax risks. The Internal Revenue Service (the “IRS”) may not accept, and a court may not","page_number":64,"box":{"x":102,"y":491,"width":807,"height":11}},{"id":"9e0fc3b3-b44f-44da-9b0e-d6658cefb681","block_type":"box","text":"uphold, how the Funds characterize and treat ETNs for tax purposes. The timing and character of income and gains","page_number":64,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"847be0da-ce24-4d51-92fe-a72dca73d1f9","block_type":"box","text":"derived by a Fund from investments in ETNs may be affected by future legislation.","page_number":64,"box":{"x":69,"y":521,"width":581,"height":11}},{"id":"ea5ee2a0-7ba5-4f32-8bd6-c87cd006542c","block_type":"box","text":"Foreign Investments.","page_number":64,"box":{"x":102,"y":544,"width":152,"height":11}},{"id":"6e32edb5-0805-40f7-92e0-d6c774489ec6","block_type":"box","text":"Foreign Investment Risks.","page_number":64,"box":{"x":102,"y":566,"width":182,"height":11}},{"id":"ac4ff85c-df6a-48d3-937c-21d58c8b8abe","block_type":"box","text":"Certain Funds may invest in foreign securities, including securities from issuers","page_number":64,"box":{"x":291,"y":566,"width":567,"height":11}},{"id":"d6168d7c-0d48-4a08-a2fe-0e43bdb3ad0a","block_type":"box","text":"located in emerging market countries. These securities may be denominated in U.S. dollars or in a foreign currency.","page_number":64,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"b213ae7e-a48b-4c6a-a6f5-b88583a1d8f3","block_type":"box","text":"Investing in foreign securities involves risks not typically associated with investing in securities of companies","page_number":64,"box":{"x":70,"y":596,"width":774,"height":12}},{"id":"f5c64874-40d4-4519-83c2-13a47a026257","block_type":"box","text":"organized and operated in the United States that can increase the chances that a Fund will lose money.","page_number":64,"box":{"x":69,"y":612,"width":738,"height":11}},{"id":"8f348769-dc6b-4717-a96e-a5ac34764c3e","block_type":"box","text":"Securities issued by certain companies organized outside the United States may not be deemed to be foreign","page_number":64,"box":{"x":102,"y":634,"width":782,"height":12}},{"id":"06db8324-575c-4d35-bfb1-26ca7ea75d3d","block_type":"box","text":"securities (but rather deemed to be U.S. securities) if (i) the company’s principal operations are conducted from the","page_number":64,"box":{"x":69,"y":649,"width":824,"height":12}},{"id":"8202fb44-c0d5-4c8e-b4f3-93d5a9e49813","block_type":"box","text":"U.S., (ii) the company’s equity securities trade principally on a U.S. stock exchange, (iii) the company does a","page_number":64,"box":{"x":70,"y":665,"width":771,"height":11}},{"id":"f563a454-bef4-467e-a94b-2f295965142f","block_type":"box","text":"substantial amount of business in the U.S. or (iv) the issuer of securities is included in the Fund’s primary U.S.","page_number":64,"box":{"x":69,"y":680,"width":792,"height":11}},{"id":"cb11f635-7cf3-46fc-802d-47f6f131ed0f","block_type":"box","text":"benchmark index.","page_number":64,"box":{"x":69,"y":695,"width":124,"height":9}},{"id":"9cc433cb-bca0-4613-a21a-3e9b0de0b85d","block_type":"box","text":"In addition to equity securities, foreign investments of the Funds may include: (a) debt obligations issued or","page_number":64,"box":{"x":102,"y":717,"width":767,"height":12}},{"id":"02ddff0d-3896-4c2b-ac85-dd9aae14c84d","block_type":"box","text":"guaranteed by foreign sovereign governments or their agencies, authorities, instrumentalities or political","page_number":64,"box":{"x":68,"y":732,"width":742,"height":12}},{"id":"9992da09-6720-4611-9d24-120ae45997f6","block_type":"box","text":"subdivisions, including a foreign state, province or municipality; (b) debt obligations of supranational organizations;","page_number":64,"box":{"x":69,"y":748,"width":818,"height":11}},{"id":"a06e1975-9517-4ae1-b078-f73040c69f16","block_type":"box","text":"(c) debt obligations of foreign banks and bank holding companies; (d) debt obligations of domestic banks and","page_number":64,"box":{"x":69,"y":763,"width":780,"height":11}},{"id":"e335e809-f192-4ebb-886f-a8afc57f20b3","block_type":"box","text":"corporations issued in foreign currencies; (e) debt obligations denominated in the Euro; and (f) foreign corporate debt","page_number":64,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"39fa2398-50a7-4939-b113-a621ba97bbda","block_type":"box","text":"securities and commercial paper. Such securities may include loan participations and assignments, convertible","page_number":64,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"1bad48c6-7aea-4585-86f7-955c166e1c84","block_type":"box","text":"securities and zero-coupon securities.","page_number":64,"box":{"x":69,"y":808,"width":268,"height":11}},{"id":"02116c0d-73b7-4610-8a30-7d58b4975b57","block_type":"box","text":"Dividends or interest on, or proceeds from the sale of, foreign securities may be subject to foreign withholding","page_number":64,"box":{"x":102,"y":831,"width":785,"height":11}},{"id":"e704f5dc-e4b1-4dab-8ca6-e0052c627a16","block_type":"box","text":"taxes.","page_number":64,"box":{"x":68,"y":847,"width":42,"height":8}},{"id":"d55d6cc1-97cd-496c-ad8a-b553438887b7","block_type":"box","text":"To the extent that the underlying securities or other instruments held by a Fund trade on foreign exchanges or in","page_number":64,"box":{"x":101,"y":869,"width":798,"height":11}},{"id":"7e94c4f4-785a-487f-99b0-5420045af98e","block_type":"box","text":"foreign markets that are closed when the securities exchange on which the Fund’s shares trade is open, there are","page_number":64,"box":{"x":68,"y":884,"width":815,"height":11}},{"id":"5c1a3a18-4258-4263-9950-13f504233cb9","block_type":"box","text":"likely to be deviations between the current price of such an underlying security and the last quoted price for the","page_number":64,"box":{"x":70,"y":899,"width":792,"height":11}},{"id":"5bffcbb4-8889-4cc7-97d9-6ef5425826b0","block_type":"box","text":"II-28","page_number":64,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6e09b4ff-a2ec-4fa3-9ff9-5d4b0ba05f32","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":64,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a2616c7b-244e-4829-9f9e-a0bebd1b24a4","block_type":"box","text":"underlying security (","page_number":65,"box":{"x":69,"y":45,"width":140,"height":11}},{"id":"4b00b93a-728f-4415-ab2b-a65cf0c24ed5","block_type":"box","text":"i.e.","page_number":65,"box":{"x":211,"y":45,"width":20,"height":9}},{"id":"782f3765-46d0-4f37-a21b-263d94fdd3f6","block_type":"box","text":", the Fund’s quote from the closed foreign market). The impact of a closed foreign market on a","page_number":65,"box":{"x":234,"y":45,"width":675,"height":11}},{"id":"4dd8ea53-6ee8-4284-9087-db971968b1c7","block_type":"box","text":"Fund is likely to be greater where a large portion of the Fund’s underlying securities or other instruments trade on","page_number":65,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"f8355c18-a836-44f5-9e20-1ad3441f0e91","block_type":"box","text":"that closed foreign market or when the foreign market is closed for unscheduled reasons. These deviations may","page_number":65,"box":{"x":68,"y":75,"width":800,"height":11}},{"id":"3bea1210-1eb1-4e3d-81b5-f74cb5030a2c","block_type":"box","text":"result in premiums or discounts to certain Funds’ NAVs that may be greater than those experienced by other ETFs.","page_number":65,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"9e9143f9-6c49-4805-8ada-331bce3b3105","block_type":"box","text":"Foreign Market Risk.","page_number":65,"box":{"x":102,"y":113,"width":144,"height":11}},{"id":"79bc4b1b-2b75-45f3-8cec-92265642006d","block_type":"box","text":"Funds that may invest in foreign securities offer the potential for more diversification than a","page_number":65,"box":{"x":254,"y":113,"width":652,"height":11}},{"id":"a86b40bd-292b-4b27-b7a5-171d1d7a4b4b","block_type":"box","text":"Fund that invests only in the United States because securities traded on foreign markets have often (though not","page_number":65,"box":{"x":70,"y":128,"width":797,"height":11}},{"id":"37a8fd15-3a7f-4bff-ace1-59b08cb9e236","block_type":"box","text":"always) performed differently from securities traded in the United States. However, such investments often involve","page_number":65,"box":{"x":69,"y":143,"width":817,"height":11}},{"id":"e74bfc13-a3b9-439e-b95e-10ff0a68378f","block_type":"box","text":"risks not present in U.S. investments that can increase the chances that a Fund will lose money. In particular, a Fund","page_number":65,"box":{"x":69,"y":158,"width":836,"height":11}},{"id":"e428c43e-d39f-42c9-a424-e879e12bf44d","block_type":"box","text":"is subject to the risk that, because there are generally fewer investors on foreign exchanges and a smaller number of","page_number":65,"box":{"x":70,"y":173,"width":835,"height":11}},{"id":"2b76a401-1109-4e50-aaa1-625d502a6e7c","block_type":"box","text":"shares traded each day, it may be difficult for the Fund to buy and sell securities on those exchanges. In addition,","page_number":65,"box":{"x":69,"y":188,"width":810,"height":12}},{"id":"ace80e21-8bd5-490f-b790-b0f0eb425419","block_type":"box","text":"prices of foreign securities may fluctuate more than prices of securities traded in the United States. Investments in","page_number":65,"box":{"x":70,"y":203,"width":820,"height":12}},{"id":"8d66f81e-60be-4103-9752-5f80fc45aed1","block_type":"box","text":"foreign markets may also be adversely affected by governmental actions such as the imposition of punitive taxes or","page_number":65,"box":{"x":68,"y":218,"width":826,"height":12}},{"id":"66fb332d-380f-487d-9af1-764911de0506","block_type":"box","text":"tariffs. In addition, economic conditions, such as volatile currency exchange rates and interest rates, political events,","page_number":65,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"c997d16d-142e-42ad-97ad-94824797d311","block_type":"box","text":"military action and other conditions may, without prior warning, lead to the governments of certain countries, or the","page_number":65,"box":{"x":69,"y":249,"width":821,"height":11}},{"id":"a142517a-0d37-40ef-9a87-69f7cfaee316","block_type":"box","text":"U.S. Government with respect to certain countries, prohibiting or imposing substantial restrictions through capital","page_number":65,"box":{"x":70,"y":264,"width":807,"height":11}},{"id":"f96c0cbe-0117-436a-a8da-8ad51a3dcd6b","block_type":"box","text":"controls and/or sanctions on foreign investing in the capital markets or certain industries in those countries. Capital","page_number":65,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"b183474e-220c-49ea-959d-6debdf86b077","block_type":"box","text":"controls and/or sanctions may include the prohibition of, or restrictions on, the ability to own or transfer currency,","page_number":65,"box":{"x":69,"y":294,"width":810,"height":11}},{"id":"1f63c7a5-f368-4f37-8e9a-edb105cc1038","block_type":"box","text":"securities, derivatives or other assets and may also include retaliatory actions of one government against another","page_number":65,"box":{"x":69,"y":309,"width":813,"height":11}},{"id":"59c3b2b9-b231-4cf8-a8ff-13735109db77","block_type":"box","text":"government, such as seizure of assets. Any of these actions could severely impair a Fund’s ability to purchase, sell,","page_number":65,"box":{"x":68,"y":324,"width":828,"height":12}},{"id":"adf74708-bb52-40de-b98e-a92f642765bf","block_type":"box","text":"transfer, receive, deliver or otherwise obtain exposure to foreign securities and assets, including the ability to","page_number":65,"box":{"x":68,"y":339,"width":782,"height":12}},{"id":"9bcddf9e-1fe5-4da0-8cea-452db105f88e","block_type":"box","text":"transfer the Fund’s assets or income back into the United States, and could negatively impact the value and/or","page_number":65,"box":{"x":68,"y":355,"width":796,"height":11}},{"id":"345d2933-8aab-4f73-ab00-b58a44fb8eae","block_type":"box","text":"liquidity of such assets or otherwise adversely affect a Fund’s operations, causing the Fund to decline in value. Other","page_number":65,"box":{"x":70,"y":370,"width":837,"height":11}},{"id":"eef87758-a9e0-490c-b477-9975dbe5f0cc","block_type":"box","text":"potential foreign market risks include exchange controls, difficulties in pricing securities, defaults on foreign","page_number":65,"box":{"x":70,"y":385,"width":768,"height":11}},{"id":"8e1be526-97e2-4237-a8ef-cd4d382689cf","block_type":"box","text":"government securities, difficulties in enforcing favorable legal judgments in foreign courts, and political and social","page_number":65,"box":{"x":68,"y":400,"width":813,"height":11}},{"id":"b82c4462-faa6-4726-a160-50fb48c7733e","block_type":"box","text":"conditions, such as diplomatic relations, confiscatory taxation, expropriation, limitation on the removal of funds or","page_number":65,"box":{"x":69,"y":415,"width":814,"height":11}},{"id":"d2bc6056-7d0b-4b06-b7fe-7bc92d8fc9db","block_type":"box","text":"assets, or imposition of (or change in) exchange control regulations. Legal remedies available to investors in certain","page_number":65,"box":{"x":69,"y":430,"width":828,"height":11}},{"id":"2b14e021-0d91-40d3-8c0a-d36a25c3c8dd","block_type":"box","text":"foreign countries may be less extensive than those available to investors in the United States or other foreign","page_number":65,"box":{"x":68,"y":445,"width":782,"height":12}},{"id":"d3e23ba7-2019-467f-8e7f-72e0497222dd","block_type":"box","text":"countries. In addition, changes in government administrations or economic or monetary policies in the United States","page_number":65,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"5977ebc0-c051-44f9-9dbf-e45538ddb596","block_type":"box","text":"or abroad could result in appreciation or depreciation of portfolio securities and could favorably or adversely affect a","page_number":65,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"aa1bf7d4-45b4-469c-a97d-f9eb886d97c5","block_type":"box","text":"Fund’s operations.","page_number":65,"box":{"x":70,"y":491,"width":130,"height":11}},{"id":"4b138f2c-e5db-4785-9f2d-697e89d41ef7","block_type":"box","text":"Foreign Economy Risk.","page_number":65,"box":{"x":102,"y":514,"width":158,"height":11}},{"id":"309b5e32-8c78-40f1-8122-95c28c0dd772","block_type":"box","text":"The economies of certain foreign markets often do not compare favorably with that of the","page_number":65,"box":{"x":267,"y":513,"width":636,"height":12}},{"id":"4aa45d8a-23af-4f53-af46-c7deeb449f6b","block_type":"box","text":"United States with respect to such issues as growth of gross national product, reinvestment of capital, resources,","page_number":65,"box":{"x":70,"y":528,"width":812,"height":12}},{"id":"4fc8a925-4428-450b-ac99-afcba1a3732f","block_type":"box","text":"and balance of payments position. Certain such economies may rely heavily on particular industries or foreign capital","page_number":65,"box":{"x":69,"y":543,"width":835,"height":12}},{"id":"87ae92d2-4b05-4213-aaab-0130957e805c","block_type":"box","text":"and are more vulnerable to diplomatic developments, the imposition of economic sanctions against a particular","page_number":65,"box":{"x":69,"y":559,"width":795,"height":11}},{"id":"3f051abd-21cb-4864-a69b-b58dff739504","block_type":"box","text":"country or countries, changes in international trading patterns, trade barriers, and other protectionist or retaliatory","page_number":65,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"618c20d2-2917-4313-b199-87b2a982814b","block_type":"box","text":"measures.","page_number":65,"box":{"x":69,"y":591,"width":74,"height":7}},{"id":"0bbc5c5d-fb82-4b8a-b48a-3d3a32c369fa","block_type":"box","text":"Currency Risk and Exchange Risk.","page_number":65,"box":{"x":102,"y":612,"width":240,"height":11}},{"id":"5e73ec0b-b0d8-4a33-9d95-10c06c6c1b1f","block_type":"box","text":"Because foreign securities generally are denominated and pay dividends or","page_number":65,"box":{"x":349,"y":612,"width":534,"height":11}},{"id":"4e92ef0d-146c-4879-875d-3609333c70ed","block_type":"box","text":"interest in foreign currencies, the value of a Fund that invests in foreign securities as measured in U.S. dollars will be","page_number":65,"box":{"x":70,"y":627,"width":838,"height":11}},{"id":"c180e306-4984-4661-bf3c-c93ac7be6e1e","block_type":"box","text":"affected favorably or unfavorably by changes in exchange rates. Generally, when the U.S. dollar rises in value against","page_number":65,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"09557fc1-c2c6-45b1-9123-f0eb58af5c75","block_type":"box","text":"a foreign currency, a security denominated in that currency loses value because the currency is worth fewer U.S.","page_number":65,"box":{"x":69,"y":657,"width":801,"height":11}},{"id":"1403617a-5e7b-4f31-9e05-909058d3dd8c","block_type":"box","text":"dollars. Conversely, when the U.S. dollar decreases in value against a foreign currency, a security denominated in","page_number":65,"box":{"x":69,"y":672,"width":808,"height":11}},{"id":"2a627f16-afe2-4cc7-9c60-b1778167496a","block_type":"box","text":"that currency gains value because the currency is worth more U.S. dollars. This risk, generally known as “currency","page_number":65,"box":{"x":68,"y":687,"width":816,"height":11}},{"id":"5b91cab6-032b-4abc-98df-acd3f54dbdd1","block_type":"box","text":"risk,” means that a stronger U.S. dollar will reduce returns for U.S. investors while a weak U.S. dollar will increase","page_number":65,"box":{"x":69,"y":702,"width":814,"height":12}},{"id":"ba6fe575-b3c2-43d8-96ca-4dc6361ae559","block_type":"box","text":"those returns. Currency exchange rates can also be affected unpredictably by intervention by U.S. or foreign","page_number":65,"box":{"x":68,"y":717,"width":771,"height":12}},{"id":"f7a7ddb9-00c0-4b68-b9bf-4c6993fe60f7","block_type":"box","text":"governments or central banks, or the failure to intervene, or buy currency controls or political developments in the","page_number":65,"box":{"x":68,"y":732,"width":813,"height":12}},{"id":"99694b52-4533-4c6d-a1d5-5ece28645980","block_type":"box","text":"United States or abroad.","page_number":65,"box":{"x":70,"y":748,"width":172,"height":9}},{"id":"61c2e134-3430-4e32-a2c9-61b9440dd88b","block_type":"box","text":"Governmental Supervision and Regulation/Accounting Standards.","page_number":65,"box":{"x":102,"y":770,"width":466,"height":12}},{"id":"661a4606-4779-49d8-b219-760c2567c17a","block_type":"box","text":"Many foreign governments supervise and","page_number":65,"box":{"x":575,"y":770,"width":293,"height":12}},{"id":"6adb0c50-cd5b-4345-adb4-4da7c707514b","block_type":"box","text":"regulate stock exchanges, brokers and the sale of securities less than does the United States. Some countries may","page_number":65,"box":{"x":69,"y":785,"width":828,"height":12}},{"id":"dd52bde5-d030-4ecb-88bc-4e9a2090d688","block_type":"box","text":"not have laws to protect investors comparable to the U.S. securities laws. For example, some foreign countries may","page_number":65,"box":{"x":69,"y":801,"width":826,"height":11}},{"id":"dc5f28d9-e70b-435a-a4ca-bbdbb78bc407","block_type":"box","text":"have no laws or rules against insider trading. Insider trading occurs when a person buys or sells a company’s","page_number":65,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"d401a2fe-f57e-43a8-9869-9d507356ca18","block_type":"box","text":"securities based on nonpublic information about that company. Accounting standards in other countries are not","page_number":65,"box":{"x":69,"y":831,"width":794,"height":11}},{"id":"81d0b7af-2a5d-4497-a97a-b5922d7ae80b","block_type":"box","text":"necessarily the same as in the United States. If the accounting standards in another country do not require as much","page_number":65,"box":{"x":69,"y":846,"width":831,"height":11}},{"id":"99f6bdd3-a5e7-40ad-bfee-b49a292384c2","block_type":"box","text":"detail as U.S. accounting standards, it may be harder for Fund management to completely and accurately determine a","page_number":65,"box":{"x":69,"y":861,"width":840,"height":11}},{"id":"feca8ee1-6d8d-4105-85d5-c481f8574689","block_type":"box","text":"company’s financial condition. In addition, the U.S. Government has from time to time in the past imposed","page_number":65,"box":{"x":69,"y":876,"width":760,"height":11}},{"id":"26461e9c-828e-41b5-904d-3b511a29c9c4","block_type":"box","text":"restrictions, through penalties and otherwise, on foreign investments by U.S. investors such as the Fund. If such","page_number":65,"box":{"x":69,"y":891,"width":803,"height":12}},{"id":"d224acb8-e3ad-4d0c-88d3-b346ca0164bd","block_type":"box","text":"restrictions should be reinstituted, it might become necessary for the Fund to invest all or substantially all of its","page_number":65,"box":{"x":69,"y":906,"width":798,"height":12}},{"id":"a77b98dc-1459-4758-96fc-a1623ba750d7","block_type":"box","text":"II-29","page_number":65,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"dbb425e0-a713-4511-9d4a-be44110fa07a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":65,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"46a702ca-c564-473f-8875-ca5c367edb01","block_type":"box","text":"assets in U.S. securities. Also, brokerage commissions and other costs of buying or selling securities often are","page_number":66,"box":{"x":69,"y":45,"width":793,"height":11}},{"id":"0dbb201e-94ef-4fc7-ae90-6b8656f07f7b","block_type":"box","text":"higher in foreign countries than they are in the United States. This reduces the amount the Fund can earn on its","page_number":66,"box":{"x":69,"y":60,"width":797,"height":11}},{"id":"42387973-eb3e-4007-a686-7e17ddeb64be","block_type":"box","text":"investments.","page_number":66,"box":{"x":70,"y":75,"width":89,"height":9}},{"id":"843eb1f5-3abb-40a0-b1b9-12f77d96710d","block_type":"box","text":"Cer tain Risks of Holding Fund Assets Outside the United States.","page_number":66,"box":{"x":102,"y":98,"width":458,"height":11}},{"id":"738e07e1-dfbd-44e0-9dcd-e8231a50e84f","block_type":"box","text":"A Fund generally holds its foreign securities and","page_number":66,"box":{"x":566,"y":98,"width":341,"height":11}},{"id":"7ad049e9-a975-4285-85a6-e1ded2cb685b","block_type":"box","text":"cash in foreign banks and securities depositories. Some foreign banks and securities depositories may be recently","page_number":66,"box":{"x":69,"y":113,"width":819,"height":11}},{"id":"099a16ab-23dd-49c4-ad16-48603fcdf420","block_type":"box","text":"organized or new to the foreign custody business. In addition, there may be limited or no regulatory oversight over","page_number":66,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"5f74f3f6-39fa-4199-80ba-050867a4a17f","block_type":"box","text":"their operations. Also, the laws of certain countries may put limits on a Fund’s ability to recover its assets if a foreign","page_number":66,"box":{"x":68,"y":143,"width":838,"height":11}},{"id":"7a1a7f92-957d-475c-aea9-5c9e4fe3faf1","block_type":"box","text":"bank or depository or issuer of a security or any of their agents goes bankrupt. In addition, it is often more expensive","page_number":66,"box":{"x":69,"y":158,"width":835,"height":11}},{"id":"0c4c7852-b3a0-445c-b3c5-6359ac6a9da6","block_type":"box","text":"for a Fund to buy, sell and hold securities in certain foreign markets than in the United States. The increased","page_number":66,"box":{"x":68,"y":173,"width":777,"height":11}},{"id":"d3036152-621d-4dd0-9f28-cc07e92d0f14","block_type":"box","text":"expense of investing in foreign markets reduces the amount a Fund can earn on its investments and typically results","page_number":66,"box":{"x":69,"y":188,"width":831,"height":12}},{"id":"411a9055-a3e6-41e2-8a69-a6a1bc80a573","block_type":"box","text":"in a higher operating expense ratio for the Fund as compared to investment companies that invest only in the United","page_number":66,"box":{"x":70,"y":203,"width":828,"height":12}},{"id":"78b4be5e-086e-48de-bd14-fd6d0f94597a","block_type":"box","text":"States.","page_number":66,"box":{"x":69,"y":219,"width":49,"height":8}},{"id":"5d20447f-1d10-4f48-a752-7db93571ff99","block_type":"box","text":"Publicly Available Information.","page_number":66,"box":{"x":102,"y":241,"width":210,"height":11}},{"id":"47d61383-e8cf-4968-ab0b-3e6a59434191","block_type":"box","text":"In general, less information is publicly available with respect to foreign issuers","page_number":66,"box":{"x":319,"y":241,"width":558,"height":11}},{"id":"7b16c8c5-a5ed-4d55-8d6d-5ce475c8f5c8","block_type":"box","text":"than is available with respect to U.S. companies. Most foreign companies are also not subject to the uniform","page_number":66,"box":{"x":68,"y":256,"width":779,"height":12}},{"id":"e530405d-1fd4-4695-ac0e-4544fbc25410","block_type":"box","text":"accounting and financial reporting requirements applicable to issuers in the United States. While the volume of","page_number":66,"box":{"x":69,"y":271,"width":793,"height":12}},{"id":"7c931bbe-80a5-495a-8ac3-6e62d8c0fbbd","block_type":"box","text":"transactions effected on foreign stock exchanges has increased in recent years, it remains appreciably below that of","page_number":66,"box":{"x":68,"y":286,"width":834,"height":12}},{"id":"94c07b52-f83f-4147-8d39-bf2e41f6ae3b","block_type":"box","text":"the New York Stock Exchange. Accordingly, a Fund’s foreign investments may be less liquid than, and their prices may","page_number":66,"box":{"x":68,"y":302,"width":841,"height":11}},{"id":"e21b06a0-1185-45be-bea1-c92ca0562bde","block_type":"box","text":"be more volatile than, comparable investments in securities in U.S. companies. In addition, there is generally less","page_number":66,"box":{"x":69,"y":317,"width":813,"height":11}},{"id":"7d862122-954e-454a-ae2c-72df74e86ba3","block_type":"box","text":"government supervision and regulation of securities exchanges, brokers and issuers in foreign countries than in the","page_number":66,"box":{"x":68,"y":332,"width":827,"height":11}},{"id":"23089987-1982-415a-a8ad-04578ee43f82","block_type":"box","text":"United States.","page_number":66,"box":{"x":70,"y":347,"width":99,"height":9}},{"id":"882802a5-a7f1-4f31-aeab-78252bfb7476","block_type":"box","text":"Settlement Risk.","page_number":66,"box":{"x":102,"y":370,"width":116,"height":9}},{"id":"1e48880b-787f-46f7-a321-29d6adf489c8","block_type":"box","text":"Settlement and clearance procedures in certain foreign markets differ significantly from those","page_number":66,"box":{"x":225,"y":370,"width":669,"height":11}},{"id":"a432ffb8-3732-41cf-809b-d711c9a5b021","block_type":"box","text":"in the United States. Supervisory authorities may also be unable to apply standards which are comparable with those","page_number":66,"box":{"x":70,"y":385,"width":837,"height":11}},{"id":"fe994260-1bd2-4e41-92c9-b766d87f9096","block_type":"box","text":"in the United States. Foreign settlement procedures and trade regulations also may involve certain risks (such as","page_number":66,"box":{"x":70,"y":400,"width":808,"height":11}},{"id":"c6ab3205-b428-4f1f-93a8-9afc92c2f7e8","block_type":"box","text":"delays in payment for or delivery of securities) not typically generated by the settlement of U.S. investments.","page_number":66,"box":{"x":69,"y":415,"width":772,"height":11}},{"id":"f499d221-8667-4416-bc9b-f3a0333d8ff1","block_type":"box","text":"Communications between the United States and emerging market countries may be unreliable, increasing the","page_number":66,"box":{"x":102,"y":438,"width":781,"height":11}},{"id":"a44eb205-0064-425e-9f97-61b791b0d012","block_type":"box","text":"risk of delayed settlements or losses of security certificates in markets that still rely on physical settlement.","page_number":66,"box":{"x":69,"y":453,"width":771,"height":11}},{"id":"76a143a3-8364-4a12-8619-525aaa2a3084","block_type":"box","text":"Settlements in certain foreign countries at times have not kept pace with the number of securities transactions;","page_number":66,"box":{"x":69,"y":468,"width":797,"height":11}},{"id":"4757c4ae-6049-48af-ae96-1d2da06c58bd","block_type":"box","text":"these problems may make it difficult for a Fund to carry out transactions. If a Fund cannot settle or is delayed in","page_number":66,"box":{"x":68,"y":483,"width":802,"height":11}},{"id":"be02f70f-4de8-46de-9782-c8d59f5d3561","block_type":"box","text":"settling a purchase of securities, it may miss attractive investment opportunities and certain of its assets may be","page_number":66,"box":{"x":69,"y":498,"width":812,"height":11}},{"id":"7b9afa2a-283f-4de2-95fe-1b2d1a23f285","block_type":"box","text":"uninvested with no return earned thereon for some period. If a Fund cannot settle or is delayed in settling a sale of","page_number":66,"box":{"x":69,"y":513,"width":821,"height":12}},{"id":"c2bc2626-2819-4b01-81fd-c1038f105d45","block_type":"box","text":"securities, it may lose money if the value of the security then declines or, if it has contracted to sell the security to","page_number":66,"box":{"x":69,"y":528,"width":816,"height":12}},{"id":"eb0a1293-38e5-4ee4-8b9f-6bc1182e7959","block_type":"box","text":"another party, the Fund could be liable to that party for any losses incurred.","page_number":66,"box":{"x":69,"y":543,"width":539,"height":12}},{"id":"0a083906-f6a9-4b63-89e0-d19861a06d85","block_type":"box","text":"Because of uncertainties in the operation of settlement systems in individual markets, competing claims may","page_number":66,"box":{"x":102,"y":566,"width":781,"height":11}},{"id":"2eaacf1d-014b-4bd7-87d1-3423e4198628","block_type":"box","text":"arise in respect of securities held by or to be transferred to a Fund. Compensation schemes may not exist or may","page_number":66,"box":{"x":69,"y":581,"width":810,"height":11}},{"id":"2a74d3bf-cc5f-4c15-9612-5f9c8717f538","block_type":"box","text":"otherwise be limited or inadequate to meet the Fund’s claims in case of such event.","page_number":66,"box":{"x":69,"y":596,"width":601,"height":11}},{"id":"7c151e15-6651-41a0-83b0-4e563b9a682f","block_type":"box","text":"Sovereign Debt.","page_number":66,"box":{"x":102,"y":619,"width":111,"height":11}},{"id":"9d994eca-c03c-454d-8aa9-5bc724da67e1","block_type":"box","text":"Investment in sovereign debt can involve a high degree of risk. The governmental entity that","page_number":66,"box":{"x":221,"y":619,"width":653,"height":11}},{"id":"cb197a6d-bcb3-4385-83b6-56caf712292b","block_type":"box","text":"controls the repayment of sovereign debt may not be able or willing to repay the principal and/or interest when due in","page_number":66,"box":{"x":69,"y":634,"width":837,"height":12}},{"id":"2e34b90b-95eb-4573-a253-c64e8a990a5d","block_type":"box","text":"accordance with the terms of such debt. A governmental entity’s willingness or ability to repay principal and interest","page_number":66,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"977fd997-5706-4d49-98e8-a47db3685f00","block_type":"box","text":"due in a timely manner may be affected by, among other factors, its cash flow situation, the extent of its foreign","page_number":66,"box":{"x":69,"y":664,"width":798,"height":12}},{"id":"2d165ff7-db79-44bf-85fb-89b92cf98462","block_type":"box","text":"reserves, the availability of sufficient foreign exchange on the date a payment is due, the relative size of the debt","page_number":66,"box":{"x":69,"y":680,"width":809,"height":11}},{"id":"eeab6a4f-4b1c-43c4-ae72-ef1f279162f7","block_type":"box","text":"service burden to the economy as a whole, the governmental entity’s policy towards the International Monetary Fund","page_number":66,"box":{"x":69,"y":695,"width":832,"height":11}},{"id":"1f59a529-5de1-4f9d-b903-5e172ee511c9","block_type":"box","text":"and the political constraints to which a governmental entity may be subject. Governmental entities may also be","page_number":66,"box":{"x":69,"y":710,"width":790,"height":11}},{"id":"047f2f6a-4f70-4345-9228-b1d83f2511dd","block_type":"box","text":"dependent on expected disbursements from foreign governments, multilateral agencies and others abroad to reduce","page_number":66,"box":{"x":69,"y":725,"width":831,"height":11}},{"id":"a9e7fc92-780c-4e49-881b-8c3b23123fe8","block_type":"box","text":"principal and interest arrearages on their debt. The commitment on the part of these governments, agencies and","page_number":66,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"dc464b68-3496-4567-93e0-2c799a70d934","block_type":"box","text":"others to make such disbursements may be conditioned on the implementation of economic reforms and/or","page_number":66,"box":{"x":69,"y":755,"width":772,"height":11}},{"id":"f9c9dd1d-a6f3-43a3-9f0c-356bbf9e0904","block_type":"box","text":"economic performance and the timely service of such debtor’s obligations. Failure to implement such reforms,","page_number":66,"box":{"x":69,"y":770,"width":789,"height":12}},{"id":"9061ecd2-1ca4-4116-88be-51e87e52c166","block_type":"box","text":"achieve such levels of economic performance or repay principal or interest when due may result in the cancellation of","page_number":66,"box":{"x":69,"y":785,"width":839,"height":12}},{"id":"f85e53c6-550c-496c-8e2d-a2d504a14cb2","block_type":"box","text":"such third parties’ commitments to lend funds to the governmental entity, which may further impair such debtor’s","page_number":66,"box":{"x":69,"y":801,"width":810,"height":11}},{"id":"1d5b98fb-93a0-48a8-9e59-816375402e36","block_type":"box","text":"ability or willingness to timely service its debts. Consequently, governmental entities may default on their sovereign","page_number":66,"box":{"x":69,"y":816,"width":821,"height":11}},{"id":"7794fe7e-0865-4c7c-a753-ee6313385991","block_type":"box","text":"debt.","page_number":66,"box":{"x":69,"y":831,"width":34,"height":9}},{"id":"3d913d8d-4fff-4a22-85a2-1b3861c63674","block_type":"box","text":"Holders of sovereign debt may be requested to participate in the rescheduling of such debt and to extend further","page_number":66,"box":{"x":102,"y":853,"width":807,"height":12}},{"id":"67747e1b-87db-4327-b7f5-08624d983405","block_type":"box","text":"loans to governmental entities. In the event of a default by a governmental entity, there may be few or no effective","page_number":66,"box":{"x":70,"y":869,"width":814,"height":11}},{"id":"69d0b482-5ac0-4988-b200-4ae3f95f1b5b","block_type":"box","text":"legal remedies for collecting on such debt.","page_number":66,"box":{"x":70,"y":884,"width":300,"height":11}},{"id":"cb9f91ce-8258-4d6b-8c44-d77f8f527485","block_type":"box","text":"II-30","page_number":66,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b16ffab1-4f99-469b-bc1f-e7ae6eab09f7","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":66,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"879e16bb-547d-47b5-9da1-0323715ba550","block_type":"box","text":"Withholding Tax Reclaims Risk","page_number":67,"box":{"x":103,"y":45,"width":215,"height":11}},{"id":"07ba4b5d-cccd-4039-9eef-714802a17950","block_type":"box","text":". A Fund may file claims to recover foreign withholding taxes on dividend and","page_number":67,"box":{"x":318,"y":45,"width":542,"height":11}},{"id":"dd79ef1a-379c-493f-92f0-ee3c606c1b3c","block_type":"box","text":"interest income (if any) received from issuers in certain countries and capital gains on the disposition of stocks or","page_number":67,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"6b9797b2-5e0b-405b-b23e-a8b777cfaad5","block_type":"box","text":"securities where such withholding tax reclaim is possible. Whether or when a Fund will receive a withholding tax","page_number":67,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"d16a7d7a-bb5e-40db-9b8d-077599dbc592","block_type":"box","text":"refund is within the control of the tax authorities in such countries. Where a Fund expects to recover withholding","page_number":67,"box":{"x":69,"y":90,"width":799,"height":11}},{"id":"1e72cd2c-35bd-49a4-b121-d7051c7d4c8c","block_type":"box","text":"taxes, the net asset value of the Fund generally includes accruals for such tax refunds. Each Fund regularly evaluates","page_number":67,"box":{"x":68,"y":105,"width":838,"height":11}},{"id":"00a5e699-388a-41d2-b04a-ae55952ceed0","block_type":"box","text":"the probability of recovery. If the likelihood of recovery materially decreases, due to, for example, a change in tax","page_number":67,"box":{"x":68,"y":120,"width":807,"height":12}},{"id":"0646cf6d-a4b3-4dba-b61b-9c12252512f6","block_type":"box","text":"regulation or approach in the foreign country, accruals in a Fund’s net asset value for such refunds may be written","page_number":67,"box":{"x":69,"y":135,"width":814,"height":12}},{"id":"b1d3b6ff-111e-41c2-a0f2-d4c3a66d5ad8","block_type":"box","text":"down partially or in full, which will adversely affect the Fund’s net asset value. Shareholders in a Fund at the time an","page_number":67,"box":{"x":69,"y":150,"width":831,"height":12}},{"id":"74d740a5-dfc8-4b6c-8c6a-96bcfd4b4781","block_type":"box","text":"accrual is written down will bear the impact of the resulting reduction in net asset value regardless of whether they","page_number":67,"box":{"x":69,"y":166,"width":819,"height":11}},{"id":"1aa63866-937f-41e8-b17b-8b9e938f4ae7","block_type":"box","text":"were shareholders during the accrual period. Conversely, if a Fund receives a tax refund that has not been previously","page_number":67,"box":{"x":68,"y":181,"width":833,"height":11}},{"id":"7a2e806e-1ad5-4141-a52a-b7dbcfee3d4f","block_type":"box","text":"accrued, shareholders in the Fund at the time of the successful recovery will benefit from the resulting increase in","page_number":67,"box":{"x":69,"y":196,"width":814,"height":11}},{"id":"64b53bbf-82aa-4e57-a051-cd1628dbca57","block_type":"box","text":"the Fund’s net asset value. Shareholders who sold their shares prior to such time will not benefit from such increase","page_number":67,"box":{"x":68,"y":211,"width":835,"height":11}},{"id":"740eac60-4929-4b6a-a76f-7b3fbb53cafb","block_type":"box","text":"in the Fund’s net asset value.","page_number":67,"box":{"x":70,"y":226,"width":209,"height":9}},{"id":"f99de711-c587-442f-9188-6216d37fdb02","block_type":"box","text":"U.S. Economic Trading Par tners Risk.","page_number":67,"box":{"x":103,"y":249,"width":263,"height":11}},{"id":"152e08d0-2020-41ab-9782-b603d1024079","block_type":"box","text":"The United States is a significant, and in some cases the most significant,","page_number":67,"box":{"x":372,"y":249,"width":532,"height":11}},{"id":"fdbabbcc-66aa-44af-88c9-84c296a09160","block_type":"box","text":"trading partner of, or foreign investor in, certain countries in which a Fund may invest. As a result, economic","page_number":67,"box":{"x":68,"y":264,"width":773,"height":11}},{"id":"865eb701-ac56-4cb4-93a5-c2bde56c4878","block_type":"box","text":"conditions of such countries may be particularly affected by changes in the U.S. economy. A decrease in U.S. imports","page_number":67,"box":{"x":69,"y":279,"width":839,"height":11}},{"id":"a26d90c4-903f-4c0e-a407-94c76589002c","block_type":"box","text":"or exports, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or an economic","page_number":67,"box":{"x":69,"y":294,"width":812,"height":11}},{"id":"942c54bf-8374-4764-947f-b4591b8cf137","block_type":"box","text":"slowdown in the United States may have a material adverse effect on a country’s economic conditions and, as a","page_number":67,"box":{"x":69,"y":309,"width":803,"height":11}},{"id":"ad69a5bc-8b5e-4949-998c-557318342cc6","block_type":"box","text":"result, securities to which the Fund has exposure. Circumstances could arise that could prevent the timely payment","page_number":67,"box":{"x":69,"y":324,"width":824,"height":11}},{"id":"d0150d99-2ddb-4f81-8f5b-69b618a10e51","block_type":"box","text":"of interest or principal on U.S. Government debt, such as reaching the legislative “debt ceiling.” Such non-payment","page_number":67,"box":{"x":69,"y":339,"width":819,"height":12}},{"id":"8693fd7f-4ae0-4d63-a5e4-b6e445deab8a","block_type":"box","text":"would result in substantial negative consequences for the U.S. economy and the global financial system.","page_number":67,"box":{"x":68,"y":355,"width":746,"height":11}},{"id":"9017d90f-e9bd-480f-9242-2d3fc94d59a5","block_type":"box","text":"There are strained relations between the United States and a number of foreign countries, including traditional","page_number":67,"box":{"x":101,"y":377,"width":787,"height":12}},{"id":"b8a4ce09-892f-498b-b598-c07ff4e7544e","block_type":"box","text":"allies, such as certain European countries, and historical adversaries, such as North Korea, Iran, China and Russia.","page_number":67,"box":{"x":69,"y":392,"width":827,"height":11}},{"id":"774e2d2c-385d-4b19-8f5b-d3b91850de51","block_type":"box","text":"If these relations were to worsen, it could adversely affect U.S. issuers as well as non-U.S. issuers that rely on the","page_number":67,"box":{"x":70,"y":407,"width":817,"height":12}},{"id":"dd2ee2f8-5565-4968-b4d0-489ed3448181","block_type":"box","text":"United States for trade. The United States has also experienced increased internal unrest and discord. If these","page_number":67,"box":{"x":70,"y":423,"width":791,"height":11}},{"id":"ed96f8ca-119c-4e6a-b071-94f431024471","block_type":"box","text":"trends were to continue, it may have an adverse impact on the U.S. economy and many of the issuers in which a","page_number":67,"box":{"x":68,"y":438,"width":803,"height":11}},{"id":"8de6ec32-47ce-442c-af50-6a244b241f19","block_type":"box","text":"Fund may invest.","page_number":67,"box":{"x":70,"y":453,"width":117,"height":11}},{"id":"8a04b78c-4a49-489a-b916-ee51e70f93fc","block_type":"box","text":"Funding Agreements.","page_number":67,"box":{"x":102,"y":476,"width":154,"height":11}},{"id":"0e0cc786-99df-4e86-95e1-3fff4c44a001","block_type":"box","text":"Certain Funds may invest in Guaranteed Investment Contracts and similar funding","page_number":67,"box":{"x":262,"y":475,"width":584,"height":12}},{"id":"afcb0a4f-e58e-47e1-938f-f46437285a12","block_type":"box","text":"agreements. In connection with these investments, a Fund makes cash contributions to a deposit fund of an","page_number":67,"box":{"x":69,"y":491,"width":773,"height":11}},{"id":"7d6849f5-cae6-494e-880c-16951e679151","block_type":"box","text":"insurance company’s general account. The insurance company then credits to the Fund on a monthly basis","page_number":67,"box":{"x":70,"y":506,"width":761,"height":11}},{"id":"59da6ea0-9366-4e3a-b5fb-afdf67629c8d","block_type":"box","text":"guaranteed interest, which is based on an index. The funding agreements provide that this guaranteed interest will","page_number":67,"box":{"x":68,"y":521,"width":817,"height":11}},{"id":"08495a07-b56a-4cb8-8ead-89458c79d1cc","block_type":"box","text":"not be less than a certain minimum rate. The purchase price paid for a funding agreement becomes part of the","page_number":67,"box":{"x":69,"y":536,"width":794,"height":11}},{"id":"edfa1bf0-1772-4741-bb36-d8bd1f28633b","block_type":"box","text":"general assets of the insurance company, and the contract is paid from the general assets of the insurance company.","page_number":67,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"9b04951e-13c9-49e6-a5d6-4b20279707b0","block_type":"box","text":"Generally, funding agreements are not assignable or transferable without the permission of the issuing insurance","page_number":67,"box":{"x":69,"y":566,"width":806,"height":11}},{"id":"c2fa2aa1-df33-4c3c-bfc3-ba6fc6cd8d9a","block_type":"box","text":"companies, and an active secondary market in some funding agreements does not currently exist.","page_number":67,"box":{"x":69,"y":581,"width":700,"height":12}},{"id":"79b24908-2608-4a92-b10a-40a9e1ecea19","block_type":"box","text":"Guarantees.","page_number":67,"box":{"x":102,"y":604,"width":87,"height":9}},{"id":"b38fd11c-7fa2-4679-b673-c6d28d4bfc16","block_type":"box","text":"A Fund may purchase securities which contain guarantees issued by an entity separate from the","page_number":67,"box":{"x":194,"y":604,"width":685,"height":11}},{"id":"b12edea2-9e9b-49e7-9e2a-458f007a68c8","block_type":"box","text":"issuer of the security. Generally, the guarantor of a security (often an affiliate of the issuer) will fulfill an issuer’s","page_number":67,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"7b60429e-b653-4780-a36e-887c8b0d9a57","block_type":"box","text":"payment obligations under a security if the issuer is unable to do so.","page_number":67,"box":{"x":70,"y":634,"width":488,"height":12}},{"id":"ac20403f-5488-42c8-bd90-3733004b855f","block_type":"box","text":"Illiquid Investments.","page_number":67,"box":{"x":102,"y":657,"width":146,"height":11}},{"id":"1dd0279b-f950-4d73-916f-4d37d0a4c1f8","block_type":"box","text":"Each Fund may not acquire any illiquid investment if, immediately after the acquisition, a","page_number":67,"box":{"x":255,"y":657,"width":630,"height":11}},{"id":"ad9ea38a-ca42-4458-875f-2c4880ea85b8","block_type":"box","text":"Fund would have invested more than 15% of its net assets in illiquid investments. An illiquid investment is any","page_number":67,"box":{"x":70,"y":672,"width":787,"height":11}},{"id":"e462044f-fa23-4ac3-ba3e-f6b0936019b0","block_type":"box","text":"investment that a Fund reasonably expects cannot be sold or disposed of in current market conditions in seven","page_number":67,"box":{"x":70,"y":687,"width":792,"height":11}},{"id":"d58b648d-1fbb-4064-9b5d-db07421fddef","block_type":"box","text":"calendar days or less without the sale or disposition significantly changing the market value of the investment. Liquid","page_number":67,"box":{"x":69,"y":702,"width":834,"height":12}},{"id":"6157cbdf-29bf-4f33-bb7b-edc2b42b56e7","block_type":"box","text":"investments may become illiquid after purchase by a Fund, particularly during periods of market turmoil. There can be","page_number":67,"box":{"x":70,"y":717,"width":838,"height":12}},{"id":"f70da3c6-b107-455b-a4eb-310e8b5e56a9","block_type":"box","text":"no assurance that a security or instrument that is deemed to be liquid when purchased will continue to be liquid for","page_number":67,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"29027d02-d499-430a-aca3-37785bcb46e8","block_type":"box","text":"as long as it is held by a Fund, and any security or instrument held by the Fund may be deemed an illiquid investment","page_number":67,"box":{"x":69,"y":748,"width":838,"height":11}},{"id":"48b030f4-b38e-4f73-b7fc-ae5cfe8f4b34","block_type":"box","text":"pursuant to the Fund’s liquidity risk management program. A Fund’s illiquid investments may reduce the returns of","page_number":67,"box":{"x":70,"y":763,"width":816,"height":11}},{"id":"9440a862-7305-46c5-a931-8714605ab4f3","block_type":"box","text":"the Fund because it may be difficult to sell the illiquid investments at an advantageous time or price. In addition, if a","page_number":67,"box":{"x":68,"y":778,"width":832,"height":11}},{"id":"43245d55-1233-4404-9db6-d99917d91b50","block_type":"box","text":"Fund is limited in its ability to dispose of illiquid investments during periods when shareholders are redeeming or","page_number":67,"box":{"x":70,"y":793,"width":803,"height":11}},{"id":"182d22f6-0576-45c0-8ec3-1e74a7d8a3fb","block_type":"box","text":"selling their shares, or the Fund’s net assets otherwise shrink, the Fund will need to dispose of liquid securities to","page_number":67,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"a925f58d-07dd-476b-ba97-f5fbc41cac15","block_type":"box","text":"meet redemption requests and illiquid securities will become a larger portion of the Fund’s holdings. If illiquid","page_number":67,"box":{"x":69,"y":823,"width":781,"height":12}},{"id":"fbcff6d4-ddfa-4a47-9863-0a1fe8eda5d5","block_type":"box","text":"investments exceed 15% of a Fund’s net assets, the Liquidity Rule (as defined below) and the Liquidity Program (as","page_number":67,"box":{"x":70,"y":838,"width":822,"height":12}},{"id":"75ac7757-9f73-4597-adda-7a1a02ab03d1","block_type":"box","text":"defined below) will require that certain remedial actions be taken. Illiquid investments may trade at a discount from","page_number":67,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"1299a792-e781-4385-beee-fec4c68b1dfe","block_type":"box","text":"comparable liquid investments. Investment of a Fund’s assets in illiquid investments may restrict the ability of the","page_number":67,"box":{"x":69,"y":869,"width":813,"height":11}},{"id":"9e810a0c-08cd-4bca-bbcd-6db9ce531e99","block_type":"box","text":"Fund to dispose of its investments in a timely fashion and for a fair price as well as its ability to take advantage of","page_number":67,"box":{"x":70,"y":884,"width":814,"height":11}},{"id":"21d61c60-b7fb-4c92-b8a3-4368688d4652","block_type":"box","text":"market opportunities. The risks associated with illiquidity will be particularly acute where a Fund’s operations require","page_number":67,"box":{"x":69,"y":899,"width":833,"height":11}},{"id":"4ee84d96-9907-46fe-8aa6-5714b65defda","block_type":"box","text":"II-31","page_number":67,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"092d43ad-d8ea-46da-b9a9-7ef474b08493","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":67,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a684f604-e4ce-45f6-ab33-4aacee6a1684","block_type":"box","text":"cash, such as when the Fund redeems shares or pays dividends, and could result in the Fund borrowing to meet","page_number":68,"box":{"x":69,"y":45,"width":801,"height":11}},{"id":"6baf5027-8ae4-488a-b0f9-cb3d4b7fc0e9","block_type":"box","text":"short-term cash requirements or incurring capital losses on the sale of illiquid investments.","page_number":68,"box":{"x":69,"y":60,"width":651,"height":11}},{"id":"4d64ed7c-68f1-4b63-af63-e0c132d8d982","block_type":"box","text":"Index Funds.","page_number":68,"box":{"x":102,"y":83,"width":91,"height":8}},{"id":"6f128713-aea1-4eb2-a273-8ac7a4437e58","block_type":"box","text":"Cash Flows; Expenses.","page_number":68,"box":{"x":102,"y":105,"width":162,"height":11}},{"id":"03ccb894-87dd-469a-b69b-5ef996f4b397","block_type":"box","text":"The ability of each Fund to satisfy its investment objective depends to some extent on","page_number":68,"box":{"x":270,"y":105,"width":613,"height":11}},{"id":"55fcdae8-8679-4ebb-84d6-3ce43cf8460c","block_type":"box","text":"the Manager’s ability to manage cash flow (primarily from purchases and redemptions and distributions from the","page_number":68,"box":{"x":68,"y":120,"width":803,"height":12}},{"id":"63a5eeff-dca1-4bba-afaf-b769866dd4fe","block_type":"box","text":"Fund’s investments). The Manager will make investment changes to a Fund’s portfolio to accommodate cash flow","page_number":68,"box":{"x":70,"y":135,"width":810,"height":12}},{"id":"9dcf3d56-5356-4620-b8e1-8132fdc7317b","block_type":"box","text":"while continuing to seek to replicate the total return of the Fund’s target index. Investors should also be aware that","page_number":68,"box":{"x":68,"y":150,"width":823,"height":12}},{"id":"39110eaa-61b3-459b-ac59-f1553d83ff43","block_type":"box","text":"the investment performance of each index is a hypothetical number which does not take into account brokerage","page_number":68,"box":{"x":68,"y":166,"width":799,"height":11}},{"id":"17453039-ca8a-4431-b860-656194000896","block_type":"box","text":"commissions and other transaction costs, custody and other costs of investing, and any incremental operating costs","page_number":68,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"0b579b2c-87e5-4cb6-9df5-6b4c72cce14d","block_type":"box","text":"(","page_number":68,"box":{"x":69,"y":196,"width":3,"height":11}},{"id":"aa94eb88-cc37-4184-8fea-13b84c931536","block_type":"box","text":"e.g.","page_number":68,"box":{"x":74,"y":197,"width":25,"height":10}},{"id":"891b3928-4691-4b8f-b59a-e670dced7bcf","block_type":"box","text":", transfer agency and accounting costs) that will be borne by the Funds. Finally, since each Fund seeks to","page_number":68,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"88d65604-7314-47d2-93da-0e8284395f1d","block_type":"box","text":"replicate the total return of its target index, the Manager generally will not attempt to judge the merits of any","page_number":68,"box":{"x":69,"y":211,"width":774,"height":11}},{"id":"19573daf-7c3e-4cd8-a3b2-cd5a9c7c9ebd","block_type":"box","text":"particular security as an investment.","page_number":68,"box":{"x":70,"y":226,"width":258,"height":11}},{"id":"56add5d4-eebd-4a73-9b56-92f0d9f45167","block_type":"box","text":"Tracking Error Risk","page_number":68,"box":{"x":103,"y":249,"width":132,"height":11}},{"id":"ec265d88-4f7b-4390-ac38-bf42b2c11c06","block_type":"box","text":". A Fund may be subject to tracking error, which is the divergence of the Fund’s performance","page_number":68,"box":{"x":236,"y":249,"width":658,"height":11}},{"id":"81692679-4194-4b86-9767-42b6baef7647","block_type":"box","text":"from that of the Underlying Index. Tracking error may occur because of differences between the securities and other","page_number":68,"box":{"x":68,"y":264,"width":827,"height":11}},{"id":"906f5f4e-d571-4326-b138-0cf881305977","block_type":"box","text":"instruments held in the Fund’s portfolio and those included in the Underlying Index, pricing differences (including, as","page_number":68,"box":{"x":70,"y":279,"width":830,"height":11}},{"id":"2f49ab0d-2948-495a-80d2-4f44546fedd8","block_type":"box","text":"applicable, differences between a security’s price at the local market close and the Fund’s valuation of a security at","page_number":68,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"73bd2aae-2e28-4dc6-a224-8491fde9cce5","block_type":"box","text":"the time of calculation of the Fund’s net asset value), differences in transaction costs incurred by the Fund, the","page_number":68,"box":{"x":68,"y":309,"width":797,"height":11}},{"id":"495d8a83-7f87-47ff-8cbf-637e1c4fb3c5","block_type":"box","text":"Fund’s holding of uninvested cash, differences in timing of the accrual of or the valuation of dividends or other","page_number":68,"box":{"x":70,"y":324,"width":787,"height":12}},{"id":"48bfed98-4903-4d06-a14e-95f91468b7d8","block_type":"box","text":"distributions, interest, the requirements to maintain pass-through tax treatment, portfolio transactions carried out to","page_number":68,"box":{"x":69,"y":339,"width":830,"height":12}},{"id":"7bb36059-f0a1-40e5-a700-c5cd3c3710a4","block_type":"box","text":"minimize the distribution of capital gains to shareholders, changes to the Underlying Index or the costs to the Fund of","page_number":68,"box":{"x":69,"y":355,"width":838,"height":11}},{"id":"ffdf24f4-4f57-4eca-acc6-50d60ece8502","block_type":"box","text":"complying with various new or existing regulatory requirements. These risks may be heightened during times of","page_number":68,"box":{"x":69,"y":370,"width":791,"height":11}},{"id":"2dcc887b-7d57-4725-966f-e9703f3c0941","block_type":"box","text":"increased market volatility or other unusual market conditions. In addition, tracking error may result because the","page_number":68,"box":{"x":70,"y":385,"width":801,"height":11}},{"id":"d6f09ad0-e6ce-4136-a765-e6074b39dec6","block_type":"box","text":"Fund incurs fees and expenses, while the Underlying Index does not.","page_number":68,"box":{"x":70,"y":400,"width":487,"height":11}},{"id":"3f431487-5e4b-4630-8e77-3a4cccf0343d","block_type":"box","text":"When an issuer is introduced by an index provider into an index tracked by a Fund, the Manager may conduct an","page_number":68,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"ff1fafb9-cb1b-48b5-9197-a158071a327f","block_type":"box","text":"analysis on such issuer’s securities to identify and screen for outlier high risk behavior (such as rapid or unusual","page_number":68,"box":{"x":69,"y":438,"width":803,"height":11}},{"id":"ae2a3294-599a-45b9-b36d-13ce4072bbe6","block_type":"box","text":"price growth that does not appear to be supported by publicly available information on the business and assets of","page_number":68,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"5c46c3e4-56d1-4f17-9ec0-eab96d456bc7","block_type":"box","text":"the issuer, unusual or significant short interest or lending activity, negative sentiment, suspended trading or incorrect","page_number":68,"box":{"x":68,"y":468,"width":838,"height":11}},{"id":"5f2c79a8-1396-40bf-bd4b-ae4bc5696b44","block_type":"box","text":"free-float calculations, which could be indicators of possible irregularities, miscalculations or even fraud). If it","page_number":68,"box":{"x":68,"y":483,"width":778,"height":11}},{"id":"066f672c-c8e4-423c-bf87-fc95ee40b019","block_type":"box","text":"identifies such behavior, the Manager may, where appropriate, alert the index provider as to the alleged issue. The","page_number":68,"box":{"x":70,"y":498,"width":816,"height":11}},{"id":"3dcd2820-960f-45f3-abfd-f69cee3fb980","block_type":"box","text":"index provider has sole discretion for the determination as to whether to continue to include the issuer’s securities in","page_number":68,"box":{"x":70,"y":513,"width":836,"height":11}},{"id":"4e9fcaa8-8519-4b32-a6fa-357b8244a146","block_type":"box","text":"the rebalancing of its index. If the securities continue to be included in the index, the Manager may underweight or","page_number":68,"box":{"x":68,"y":528,"width":819,"height":12}},{"id":"8d15b7ce-bad4-4c55-b1e7-f625fc898882","block_type":"box","text":"exclude such securities from a Fund’s portfolio and, if it does so, such Fund will be subject to increased tracking","page_number":68,"box":{"x":69,"y":543,"width":804,"height":12}},{"id":"2e6afa0c-804e-4b85-be4e-51e0bc0f7323","block_type":"box","text":"error due to the divergence in the securities included in its portfolio from its underlying index. The application of the","page_number":68,"box":{"x":69,"y":559,"width":825,"height":11}},{"id":"8f35fd6a-9a27-476f-b030-6313e447ec98","block_type":"box","text":"abovementioned analysis and screening to a Fund and its Underlying Index is in the sole discretion of the Manager","page_number":68,"box":{"x":69,"y":574,"width":818,"height":11}},{"id":"fb1561f0-d95b-42fd-866d-e977580e17cc","block_type":"box","text":"and its affiliates (without any guarantees). The analysis and screening may not exclude any or all high risk securities","page_number":68,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"849dba62-8520-4a57-8aff-ce079fd2e38e","block_type":"box","text":"from an Underlying Index or a Fund’s portfolio, and the inclusion of such securities will result in an adverse impact to","page_number":68,"box":{"x":68,"y":604,"width":835,"height":11}},{"id":"637dc85e-e7ae-47a4-9bc2-8cf7f161daf2","block_type":"box","text":"the Fund’s net asset value if one or more such securities declines in value.","page_number":68,"box":{"x":68,"y":619,"width":536,"height":9}},{"id":"5415d8da-1f6c-43db-a38c-5b9cf0b2a90f","block_type":"box","text":"S&P 500®","page_number":68,"box":{"x":102,"y":642,"width":64,"height":9}},{"id":"0f888b39-b2dd-4afc-9471-b2fd1bf71863","block_type":"box","text":"0®","page_number":68,"box":{"x":166,"y":642,"width":6,"height":5}},{"id":"b6483a7a-da3e-4efa-a5ea-e6bc560ae1eb","block_type":"box","text":"Index (“S&P 500”).","page_number":68,"box":{"x":178,"y":642,"width":134,"height":11}},{"id":"dd1f4213-f627-4f76-b060-0c19de135e89","block_type":"box","text":"“Standard & Poor’s","page_number":68,"box":{"x":320,"y":642,"width":136,"height":9}},{"id":"b2ca54f9-b9c9-4122-9120-eb8e38d8a44f","block_type":"box","text":"®","page_number":68,"box":{"x":457,"y":642,"width":6,"height":5}},{"id":"9cd037c1-4907-4e74-a52c-7a8d5c813471","block_type":"box","text":",” “S&P","page_number":68,"box":{"x":465,"y":642,"width":53,"height":10}},{"id":"d489dfd3-3714-4f62-81c8-964762ac54a0","block_type":"box","text":"®","page_number":68,"box":{"x":518,"y":642,"width":6,"height":5}},{"id":"8eda8bcd-9e5f-4531-81a9-e1acc28bd1f8","block_type":"box","text":",” “S&P 500","page_number":68,"box":{"x":526,"y":642,"width":87,"height":10}},{"id":"c005c572-b816-45f1-a2b2-435e74f09f13","block_type":"box","text":"®","page_number":68,"box":{"x":614,"y":642,"width":6,"height":5}},{"id":"c49fd9f9-f7fa-43a2-80bc-9a2c4544aa82","block_type":"box","text":",” “Standard & Poor’s 500,” and “500”","page_number":68,"box":{"x":621,"y":642,"width":280,"height":10}},{"id":"4c70cbb7-be20-46f2-b38c-fc8f12832a21","block_type":"box","text":"are trademarks of S&P Global Inc. and have been licensed for use by certain mutual funds sponsored and advised by","page_number":68,"box":{"x":69,"y":657,"width":837,"height":11}},{"id":"b4ec18e8-f14c-4c7e-bbf1-0aea9c89707f","block_type":"box","text":"BlackRock or its affiliates (“BlackRock Funds”). No Fund is sponsored, endorsed, sold or promoted by S&P, a division","page_number":68,"box":{"x":70,"y":672,"width":836,"height":11}},{"id":"21df727f-5ed4-4fe0-819b-c1f28b775795","block_type":"box","text":"of S&P Global Inc. S&P makes no representation regarding the advisability of investing in any Fund. S&P makes no","page_number":68,"box":{"x":69,"y":687,"width":818,"height":11}},{"id":"eed35f45-081d-4501-a340-d7627f4d9f6a","block_type":"box","text":"representation or warranty, express or implied, to the owners of shares of a Fund or any member of the public","page_number":68,"box":{"x":69,"y":702,"width":783,"height":11}},{"id":"1813ca72-afdf-4fd5-8cd9-9dd73e8ebef0","block_type":"box","text":"regarding the advisability of investing in securities generally or in a Fund particularly or the ability of the S&P 500 to","page_number":68,"box":{"x":69,"y":717,"width":823,"height":12}},{"id":"2dda482b-749d-49b7-8cbc-7a1fc2afe147","block_type":"box","text":"track general stock market performance. S&P’s only relationship to certain Funds is the licensing of certain","page_number":68,"box":{"x":68,"y":732,"width":769,"height":12}},{"id":"82abe44a-e985-4191-b563-8fbae68be2ad","block_type":"box","text":"trademarks and trade names of S&P and of the S&P 500 which is determined, composed and calculated by S&P","page_number":68,"box":{"x":68,"y":748,"width":804,"height":11}},{"id":"c0d94407-0563-45ec-bfe1-6cf3463499ed","block_type":"box","text":"without regard to the Funds. S&P has no obligation to take the needs of a Fund or the owners of shares of a Fund","page_number":68,"box":{"x":68,"y":763,"width":811,"height":11}},{"id":"a7dedd35-a64c-4600-a840-1a93c8b550fc","block_type":"box","text":"into consideration in determining, composing or calculating the S&P 500. S&P is not responsible for and has not","page_number":68,"box":{"x":70,"y":778,"width":803,"height":11}},{"id":"ad135a21-edc5-40dd-b202-cfde34a7a0c1","block_type":"box","text":"participated in the determination of the prices and amount of any Fund or the timing of the issuance or sale of","page_number":68,"box":{"x":70,"y":793,"width":787,"height":11}},{"id":"0bbcd98d-4411-41cb-a879-4ebdb4be4f30","block_type":"box","text":"shares of a Fund or in the determination or calculation of the equation by which a Fund is to be converted into cash.","page_number":68,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"d157be9b-91e7-4f5d-9398-9f7f6642e177","block_type":"box","text":"S&P has no obligation or liability in connection with the administration, marketing or trading of any Fund.","page_number":68,"box":{"x":69,"y":823,"width":742,"height":12}},{"id":"b1a425b3-3aaa-4395-80a1-3536084afc84","block_type":"box","text":"S&P does not guarantee the accuracy and/or the completeness of the S&P 500 Index or any data included","page_number":68,"box":{"x":102,"y":846,"width":761,"height":11}},{"id":"61d7b9e2-bb4e-4215-998f-2db3f6d06de5","block_type":"box","text":"therein, and S&P shall have no liability for any errors, omissions, or interruptions therein. S&P makes no warranty,","page_number":68,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"971550ae-3da6-4227-9fcf-6eaacd662587","block_type":"box","text":"express or implied, as to results to be obtained by a Fund, owners of shares of a Fund, or any other person or entity","page_number":68,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"0108c697-84fb-4e9a-a8d7-a1013a8e1163","block_type":"box","text":"from the use of the S&P 500 Index or any data included therein. S&P makes no express or implied warranties and","page_number":68,"box":{"x":68,"y":891,"width":815,"height":11}},{"id":"33893599-6fbf-41de-b752-67742638822d","block_type":"box","text":"expressly disclaims all warranties of merchantability or fitness for a particular purpose or use with respect to the S&P","page_number":68,"box":{"x":69,"y":906,"width":840,"height":12}},{"id":"2586917c-d935-4205-8f65-66c8262933da","block_type":"box","text":"II-32","page_number":68,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cf475ae5-f9ef-45d3-8ec9-ff60d09ffdca","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":68,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"23fc213f-8ee0-4b22-a191-52e6c84c10dd","block_type":"box","text":"500 Index or any data included therein. Without limiting any of the foregoing, in no event shall S&P have any liability","page_number":69,"box":{"x":69,"y":45,"width":826,"height":11}},{"id":"0ed5c224-fd4a-43b7-a175-882c7499c05b","block_type":"box","text":"for any special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility","page_number":69,"box":{"x":68,"y":60,"width":827,"height":11}},{"id":"70048e16-62bb-4141-afcd-4b2ff59765fc","block_type":"box","text":"of such damages.","page_number":69,"box":{"x":69,"y":75,"width":125,"height":11}},{"id":"24992bc1-85d7-4913-9bcf-dab281ddf2db","block_type":"box","text":"Russell®","page_number":69,"box":{"x":102,"y":98,"width":52,"height":9}},{"id":"01f2dd05-e352-448d-bb85-64aac13fed3c","block_type":"box","text":"l®","page_number":69,"box":{"x":154,"y":98,"width":6,"height":4}},{"id":"d36e6fc7-52c5-4602-bf2b-965e038a8598","block_type":"box","text":"Indexes.","page_number":69,"box":{"x":166,"y":98,"width":57,"height":9}},{"id":"db72637f-1b29-42f1-8e84-c473ea6865fd","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Russell","page_number":69,"box":{"x":231,"y":98,"width":611,"height":11}},{"id":"074f6ccc-8070-4b4c-bccc-483aeb6d67d7","block_type":"box","text":"Investments. Russell Investments is not responsible for and has not reviewed any Fund nor any associated literature","page_number":69,"box":{"x":70,"y":113,"width":831,"height":11}},{"id":"fbf2661e-7255-4eb2-90a9-2707327b6e18","block_type":"box","text":"or publications and Russell Investments makes no representation or warranty, express or implied, as to their","page_number":69,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"da48f548-8858-4610-a0b8-dc3d2226752c","block_type":"box","text":"accuracy, or completeness, or otherwise.","page_number":69,"box":{"x":69,"y":143,"width":291,"height":11}},{"id":"81bf8849-8f8c-448f-9ca6-d98ac569505b","block_type":"box","text":"Russell Investments reserves the right, at any time and without notice, to alter, amend, terminate or in any way","page_number":69,"box":{"x":102,"y":166,"width":794,"height":11}},{"id":"56d91f80-870e-4e3c-8bc0-dd3b31c86d3c","block_type":"box","text":"change a Russell Index. Russell Investments has no obligation to take the needs of any particular Fund or its","page_number":69,"box":{"x":69,"y":181,"width":778,"height":11}},{"id":"cf1dcdc9-3605-45e8-ad6f-374efc9b539b","block_type":"box","text":"participants or any other product or person into consideration in determining, composing or calculating the Russell","page_number":69,"box":{"x":70,"y":196,"width":815,"height":11}},{"id":"1d320be4-0edd-4182-a837-f6236e7d6661","block_type":"box","text":"Index.","page_number":69,"box":{"x":70,"y":211,"width":40,"height":9}},{"id":"3cb874b7-2fd3-4043-b417-b9f9d298a3db","block_type":"box","text":"Russell Investments’ publication of the Russell Indexes in no way suggests or implies an opinion by Russell","page_number":69,"box":{"x":102,"y":234,"width":766,"height":11}},{"id":"6e54e37f-6518-42c9-b370-6ba305a5d884","block_type":"box","text":"Investments as to the attractiveness or appropriateness of investment in any or all securities upon which the Russell","page_number":69,"box":{"x":70,"y":249,"width":833,"height":11}},{"id":"21f44709-0bd0-4322-99bf-017e71697df0","block_type":"box","text":"Indexes is based. Russell Investments makes no representation, warranty, or guarantee as to the accuracy,","page_number":69,"box":{"x":70,"y":264,"width":765,"height":11}},{"id":"540f72ca-fb9b-4fe4-8c13-b0008158a9c4","block_type":"box","text":"completeness, reliability, or otherwise of the Russell Indexes or any data included in the Russell Indexes. Russell","page_number":69,"box":{"x":69,"y":279,"width":807,"height":11}},{"id":"36086de0-5ce4-4011-8f60-4f442bb8430a","block_type":"box","text":"Investments makes no representation or warranty regarding the use, or the results of use, of the Russell Indexes or","page_number":69,"box":{"x":70,"y":294,"width":826,"height":11}},{"id":"0de6cd87-c847-4638-97fc-fb6b4b5411bf","block_type":"box","text":"any data included therein, or any security (or combination thereof) comprising the Russell Indexes. Russell","page_number":69,"box":{"x":69,"y":309,"width":757,"height":11}},{"id":"afe62bce-7523-4286-bc06-ec480c06447c","block_type":"box","text":"Investments makes no other express or implied warranty, and expressly disclaims any warranty, of any kind,","page_number":69,"box":{"x":70,"y":324,"width":767,"height":11}},{"id":"7edea7dd-aa14-4950-8265-c6f75d9e9674","block_type":"box","text":"including, without means of limitation, any warranty of merchantability or fitness for a particular purpose with respect","page_number":69,"box":{"x":70,"y":339,"width":833,"height":12}},{"id":"457af634-5c2f-4559-8d78-d238ce71203c","block_type":"box","text":"to the Russell Indexes or any data or any security (or combination thereof) included therein.","page_number":69,"box":{"x":68,"y":355,"width":651,"height":11}},{"id":"79b35c79-f77b-4d46-9caa-2ad11e82d7e5","block_type":"box","text":"MSCI Indexes.","page_number":69,"box":{"x":102,"y":377,"width":100,"height":9}},{"id":"73b67040-5089-4867-850c-6389c2837acb","block_type":"box","text":"The MSCI Europe, Australasia and Far East (Capitalization Weighted) Index (“EAFE Index”) and the","page_number":69,"box":{"x":209,"y":377,"width":696,"height":12}},{"id":"bdb33acb-e89c-4d40-9fa8-8aee7a1c084c","block_type":"box","text":"MSCI All-Country World ex-US Index (“ACWI ex-US Index” and together with the EAFE Index, the “MSCI Indexes” and","page_number":69,"box":{"x":70,"y":392,"width":818,"height":12}},{"id":"3af7311c-81d7-4702-b086-13ad6ebdf11d","block_type":"box","text":"individually an “MSCI Index”) are the exclusive property of MSCI, Inc. (“MSCI”). The EAFE Index and ACWI ex-US Index","page_number":69,"box":{"x":70,"y":407,"width":837,"height":12}},{"id":"8926587f-99a7-4c0c-897c-98780ee8e33e","block_type":"box","text":"are service marks of MSCI and have been licensed for use by the Manager and its affiliates.","page_number":69,"box":{"x":69,"y":423,"width":658,"height":11}},{"id":"698a15dc-912f-4174-a09d-14184421110a","block_type":"box","text":"No Fund is sponsored, endorsed, sold or promoted by MSCI. MSCI makes no representation or warranty, express","page_number":69,"box":{"x":102,"y":445,"width":806,"height":11}},{"id":"9e35ab91-fd3c-4151-9ecc-bdd0f412a56b","block_type":"box","text":"or implied, to the owners of shares of a Fund or any member of the public regarding the advisability of investing in","page_number":69,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"746c6047-bd59-466e-b64f-718b57bc72e0","block_type":"box","text":"securities generally or in a Fund particularly or the ability of an MSCI Index to track general stock market","page_number":69,"box":{"x":69,"y":475,"width":743,"height":12}},{"id":"a3802781-b86d-42a3-9b27-f6d4e9bb3db0","block_type":"box","text":"performance. MSCI is the licensor of certain trademarks, service marks and trade names of MSCI and of the MSCI","page_number":69,"box":{"x":70,"y":491,"width":819,"height":11}},{"id":"48d613f3-1e13-4474-b8bb-cc3fab23116c","block_type":"box","text":"Indexes. MSCI has no obligation to take the needs of any Fund or the owners of shares of a Fund into consideration","page_number":69,"box":{"x":70,"y":506,"width":824,"height":11}},{"id":"4c42f5cc-5d18-4e58-b2a8-fb66b6cb2e93","block_type":"box","text":"in determining, composing or calculating an MSCI Index. MSCI is not responsible for and has not participated in the","page_number":69,"box":{"x":70,"y":521,"width":824,"height":11}},{"id":"61d0444d-b6b4-4649-8e5c-50a54f5d8baf","block_type":"box","text":"determination of the timing of, prices at, or quantities of shares of any Fund to be issued or in the determination or","page_number":69,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"9cd38aed-b88d-4284-8eac-8dbfe935059f","block_type":"box","text":"calculation of the equation by which the shares of a Fund are redeemable for cash. MSCI has no obligation or liability","page_number":69,"box":{"x":69,"y":551,"width":835,"height":11}},{"id":"9ffd086c-08ca-4bcb-924d-483329b18b85","block_type":"box","text":"to owners of shares of a Fund in connection with the administration, marketing or trading of the Fund.","page_number":69,"box":{"x":68,"y":566,"width":724,"height":11}},{"id":"9ddf0e74-e890-4525-bf96-e9e6f76cb25a","block_type":"box","text":"Although MSCI shall obtain information for inclusion in or for use in the calculation of an MSCI Index from","page_number":69,"box":{"x":101,"y":589,"width":751,"height":11}},{"id":"dfc4ea1f-7977-41aa-8516-e2683903a179","block_type":"box","text":"sources which MSCI considers reliable, MSCI does not guarantee the accuracy and/or the completeness of the MSCI","page_number":69,"box":{"x":69,"y":604,"width":835,"height":11}},{"id":"975a846d-20e7-4597-aa21-77737501a079","block_type":"box","text":"Index or any data included therein. MSCI makes no warranty, express or implied, as to results to be obtained by","page_number":69,"box":{"x":70,"y":619,"width":797,"height":11}},{"id":"db2b1ef5-e25a-4154-8bf4-adde0e023753","block_type":"box","text":"licensee, licensee’s customers and counterparties, owners of shares of a Fund, or any other person or entity from","page_number":69,"box":{"x":70,"y":634,"width":812,"height":11}},{"id":"0072be27-d94a-475f-bc9c-89d6f8e030be","block_type":"box","text":"the use of an MSCI Index or any data included therein in connection with the rights licensed hereunder or for any","page_number":69,"box":{"x":68,"y":649,"width":804,"height":12}},{"id":"7d29fa3a-94de-4388-9f29-e836f93ff733","block_type":"box","text":"other use. MSCI makes no express or implied warranties, and hereby expressly disclaims all warranties of","page_number":69,"box":{"x":69,"y":664,"width":758,"height":12}},{"id":"a631f48a-e7ae-49a0-b7fd-b15eee14ac6f","block_type":"box","text":"merchantability or fitness for a particular purpose with respect to an MSCI Index or any data included therein. Without","page_number":69,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"e761b92a-dd27-44be-ab61-daef8dcf4f02","block_type":"box","text":"limiting any of the foregoing, in no event shall MSCI have any liability for any direct, indirect, special, punitive,","page_number":69,"box":{"x":70,"y":695,"width":777,"height":11}},{"id":"bffc4556-8e3f-4252-a5be-f9e2c4848fbf","block_type":"box","text":"consequential or any other damages (including lost profits) even if notified of the possibility of such damages.","page_number":69,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"102066ef-c162-4b6d-a832-359f6375ee87","block_type":"box","text":"Financial Times Stock Exchange (“FTSE”) Indexes.","page_number":69,"box":{"x":102,"y":733,"width":355,"height":11}},{"id":"f2ec5a79-094d-49dc-9729-6b7dc5119a90","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any","page_number":69,"box":{"x":465,"y":733,"width":422,"height":11}},{"id":"bc701e65-059c-4609-8b5b-bca97f8c6f8b","block_type":"box","text":"way affiliated with FTSE. FTSE is not responsible for and has not reviewed any Fund nor any associated literature or","page_number":69,"box":{"x":68,"y":748,"width":824,"height":11}},{"id":"6f6f5d7d-f734-444b-80c7-7c66ac8b1f05","block_type":"box","text":"publications and FTSE makes no representation or warranty, express or implied, as to their accuracy, or","page_number":69,"box":{"x":70,"y":763,"width":736,"height":11}},{"id":"898d89ca-a1f0-43de-8463-9e8f7afcf357","block_type":"box","text":"completeness, or otherwise.","page_number":69,"box":{"x":69,"y":778,"width":202,"height":11}},{"id":"309b1e71-57e8-49e6-ae99-106d124b47e7","block_type":"box","text":"FTSE reserves the right, at any time and without notice, to alter, amend, terminate or in any way change a FTSE","page_number":69,"box":{"x":102,"y":801,"width":794,"height":11}},{"id":"fffa3f7a-0253-4410-8bbf-13e379cdc9e0","block_type":"box","text":"Index. FTSE has no obligation to take the needs of any particular Fund or its participants or any other product or","page_number":69,"box":{"x":70,"y":816,"width":799,"height":11}},{"id":"a9e623b3-36c3-4a84-99ad-2db8a0ec04ce","block_type":"box","text":"person into consideration in determining, composing or calculating the FTSE Index.","page_number":69,"box":{"x":70,"y":831,"width":587,"height":11}},{"id":"9d1219ad-0157-4323-ab7c-80c442fc7fde","block_type":"box","text":"Bloomberg Indexes.","page_number":69,"box":{"x":102,"y":854,"width":139,"height":11}},{"id":"90aab93f-c2ae-40bd-8e08-a191e662cade","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Bloomberg","page_number":69,"box":{"x":249,"y":853,"width":636,"height":12}},{"id":"8c565f46-a5c8-474b-95df-6f29da300a38","block_type":"box","text":"Finance L.P. and its affiliates (collectively, “Bloomberg”). Bloomberg is not responsible for nor has it reviewed any","page_number":69,"box":{"x":70,"y":869,"width":809,"height":11}},{"id":"51b2a1f4-97d1-4f88-9c74-d377d88e7e7f","block_type":"box","text":"Fund nor any associated literature or publications, and Bloomberg makes no representation or warranty, express or","page_number":69,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"aa7e1dd8-81c1-451f-9a74-83835049a12d","block_type":"box","text":"implied, as to their accuracy, or completeness, or otherwise.","page_number":69,"box":{"x":70,"y":899,"width":430,"height":11}},{"id":"58bd96b6-c0c9-4ef3-a497-a7bb5874351f","block_type":"box","text":"II-33","page_number":69,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"70f5cbf5-9e66-4070-b037-177e0f0a19b8","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":69,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4664e8df-f575-40e3-90f1-a09f0477b92c","block_type":"box","text":"Bloomberg reserves the right, at any time and without notice, to alter, amend, terminate or in any way change a","page_number":70,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"408846d0-344e-4ae9-a3e4-b0faa98d0a2a","block_type":"box","text":"Bloomberg Index. Bloomberg has no obligation to take the needs of any particular Fund or its participants or any","page_number":70,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"fe95513c-c175-4e62-aeb7-7b92228bdd79","block_type":"box","text":"other product or person into consideration in determining, composing or calculating a Bloomberg Index.","page_number":70,"box":{"x":69,"y":75,"width":735,"height":11}},{"id":"ee3e5d09-1f4f-424f-b4d6-f69dd82cf66b","block_type":"box","text":"ICE BofA Indexes.","page_number":70,"box":{"x":102,"y":98,"width":124,"height":9}},{"id":"d3a616ab-7e5a-4b5e-b632-01032066e0d7","block_type":"box","text":"No Fund is promoted, sponsored or endorsed by, nor in any way affiliated with Intercontinental","page_number":70,"box":{"x":233,"y":98,"width":670,"height":11}},{"id":"5c3e77b0-e124-47e4-91a6-702786da690f","block_type":"box","text":"Exchange, Inc. and its affiliates (collectively, “ICE”) or Bank of America or its affiliates (collectively, “BofA”). BofA is","page_number":70,"box":{"x":70,"y":113,"width":819,"height":11}},{"id":"ad439cf6-8529-4d74-835d-6406563549ed","block_type":"box","text":"not the issuer or producer of the ICE BofA Indices, and its name is a trademark and service mark of its owner used","page_number":70,"box":{"x":69,"y":128,"width":820,"height":11}},{"id":"2a2c6429-9ab1-4b77-8a13-c41586a511a3","block_type":"box","text":"under license. Neither ICE nor BofA is responsible for or has reviewed any Fund nor any associated literature or","page_number":70,"box":{"x":69,"y":143,"width":793,"height":11}},{"id":"d724d463-7718-4b84-b516-b45ffa2615d8","block_type":"box","text":"publications and ICE and BofA make no representation or warranty, express or implied, as to their accuracy, or","page_number":70,"box":{"x":70,"y":158,"width":785,"height":11}},{"id":"60942fca-8a86-49bc-8317-10a9fb4006ac","block_type":"box","text":"completeness, or otherwise.","page_number":70,"box":{"x":69,"y":173,"width":202,"height":11}},{"id":"88691096-d6b5-402d-99a3-e50c78aff019","block_type":"box","text":"ICE reserves the right, at any time and without notice, to alter, amend, terminate or in any way change an ICE","page_number":70,"box":{"x":102,"y":196,"width":779,"height":11}},{"id":"6df86ff3-a40b-46e5-82aa-f1ba3a3ae579","block_type":"box","text":"BofA Index. ICE has no obligation to take the needs of any particular Fund or its participants or any other product or","page_number":70,"box":{"x":70,"y":211,"width":825,"height":11}},{"id":"6fed00eb-863c-4ca9-8cf1-c7b0b96fc4b4","block_type":"box","text":"person into consideration in determining, composing or calculating an ICE BofA Index.","page_number":70,"box":{"x":70,"y":226,"width":608,"height":11}},{"id":"7bb839a4-0f7a-4275-8719-d6b1ff6c18e7","block_type":"box","text":"Indexed and Inverse Securities.","page_number":70,"box":{"x":102,"y":249,"width":228,"height":9}},{"id":"f61ad4fc-7586-40b3-9529-73cb3acd65c6","block_type":"box","text":"A Fund may invest in securities that provide a potential return based on a","page_number":70,"box":{"x":336,"y":249,"width":523,"height":11}},{"id":"a46bd20f-8e85-447e-aa8a-b0dfbea4450f","block_type":"box","text":"particular index of value or interest rates. For example, a Fund may invest in securities that pay interest based on an","page_number":70,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"6adcfaf2-4128-458f-b115-01df6016e5c7","block_type":"box","text":"index of interest rates. The principal amount payable upon maturity of certain securities also may be based on the","page_number":70,"box":{"x":70,"y":279,"width":814,"height":11}},{"id":"8a1a2031-8de8-4b51-9147-9f84df2958db","block_type":"box","text":"value of the index. To the extent a Fund invests in these types of securities, the Fund’s return on such securities will","page_number":70,"box":{"x":68,"y":294,"width":830,"height":11}},{"id":"561a187e-7c72-4fbc-a9be-3e03d2b56df6","block_type":"box","text":"be subject to risk with respect to the value of the particular index: that is, if the value of the index falls, the value of","page_number":70,"box":{"x":69,"y":309,"width":827,"height":11}},{"id":"2b9acb5b-4099-4626-831c-8fcc689340e3","block_type":"box","text":"the indexed securities owned by the Fund will fall. Interest and principal payable on certain securities may also be","page_number":70,"box":{"x":68,"y":324,"width":812,"height":11}},{"id":"427dc52c-e413-44c6-8258-cdef8059584b","block_type":"box","text":"based on relative changes among particular indices. A Fund may also invest in so-called “inverse floating obligations”","page_number":70,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"e76dc842-fcf1-4c73-a51c-617b3067c49c","block_type":"box","text":"or “residual interest bonds” on which the interest rates vary inversely with a floating rate (which may be reset","page_number":70,"box":{"x":69,"y":355,"width":781,"height":11}},{"id":"f803a0fc-5803-49a3-ba24-a56d1e0c85f8","block_type":"box","text":"periodically by a Dutch auction, a remarketing agent, or by reference to a short-term tax-exempt interest rate index). A","page_number":70,"box":{"x":70,"y":370,"width":838,"height":11}},{"id":"447433ec-b948-484b-9267-29b866f8f905","block_type":"box","text":"Fund may purchase synthetically-created inverse floating rate bonds evidenced by custodial or trust receipts.","page_number":70,"box":{"x":70,"y":385,"width":771,"height":11}},{"id":"d7d6daba-87ab-4350-b858-a0207fdf1b04","block_type":"box","text":"Generally, income on inverse floating rate bonds will decrease when interest rates increase, and will increase when","page_number":70,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"6d9cdb72-c402-4007-b70f-a508908b8c54","block_type":"box","text":"interest rates decrease. Such securities have the effect of providing a degree of investment leverage, since they may","page_number":70,"box":{"x":70,"y":415,"width":835,"height":11}},{"id":"4fe83ef1-ef66-490d-9a81-031a9a18b4a8","block_type":"box","text":"increase or decrease in value in response to changes, as an illustration, in market interest rates at a rate that is a","page_number":70,"box":{"x":70,"y":430,"width":817,"height":11}},{"id":"aba9cacb-d688-4232-a762-5dc1ee1f469c","block_type":"box","text":"multiple of the rate at which fixed-rate securities increase or decrease in response to such changes. As a result, the","page_number":70,"box":{"x":69,"y":445,"width":829,"height":12}},{"id":"773dc278-88f3-4360-b1bd-600b3895744b","block_type":"box","text":"market values of such securities will generally be more volatile than the market values of fixed-rate securities. To","page_number":70,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"86dfc62a-79dc-455c-ba53-032dc0c943d3","block_type":"box","text":"seek to limit the volatility of these securities, a Fund may purchase inverse floating obligations that have shorter-term","page_number":70,"box":{"x":69,"y":475,"width":838,"height":12}},{"id":"69727c28-6f12-47d2-a5e3-f6315f73a4b0","block_type":"box","text":"maturities or that contain limitations on the extent to which the interest rate may vary. Certain investments in such","page_number":70,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"a2d98904-f0ae-4f9b-a045-363e688381db","block_type":"box","text":"obligations may be illiquid. The Manager believes that indexed and inverse floating obligations represent flexible","page_number":70,"box":{"x":69,"y":506,"width":798,"height":11}},{"id":"9cb41232-bb11-425e-87b3-2525d8f61c7b","block_type":"box","text":"portfolio management instruments for a Fund that allow the Fund to seek potential investment rewards, hedge other","page_number":70,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"b7c691f7-0ad7-42bd-bf0b-ff5b70f2976d","block_type":"box","text":"portfolio positions or vary the degree of investment leverage relatively efficiently under different market conditions. A","page_number":70,"box":{"x":70,"y":536,"width":834,"height":11}},{"id":"7da8f97e-67e4-4f08-a824-6d201d1a944d","block_type":"box","text":"Fund may invest in indexed and inverse securities for hedging purposes or to seek to increase returns. When used for","page_number":70,"box":{"x":70,"y":551,"width":839,"height":11}},{"id":"cb39d4dd-59c6-4348-aa96-34d557287df3","block_type":"box","text":"hedging purposes, indexed and inverse securities involve correlation risk. Furthermore, where such a security","page_number":70,"box":{"x":69,"y":566,"width":781,"height":11}},{"id":"ef860bd5-d199-4fcf-b51c-5efb3b86162f","block_type":"box","text":"includes a contingent liability, in the event of an adverse movement in the underlying index or interest rate, a Fund","page_number":70,"box":{"x":70,"y":581,"width":812,"height":12}},{"id":"e54727b1-c662-4b01-955b-053b3cfa04cf","block_type":"box","text":"may be required to pay substantial additional margin to maintain the position.","page_number":70,"box":{"x":69,"y":597,"width":553,"height":11}},{"id":"090a054b-8588-4716-a659-b270ade727dc","block_type":"box","text":"The Funds may invest up to 10% of their total assets in leveraged inverse floating rate debt instruments","page_number":70,"box":{"x":101,"y":619,"width":741,"height":11}},{"id":"4b2cbbca-1f55-4b5b-9180-e361ed435aba","block_type":"box","text":"(“inverse floaters”). Inverse floaters are securities the potential of which is inversely related to changes in interest","page_number":70,"box":{"x":69,"y":634,"width":815,"height":12}},{"id":"8fcf49fe-557f-466c-8389-af16e73a73d3","block_type":"box","text":"rates. In general, the return on inverse floaters will decrease when short-term interest rates increase and increase","page_number":70,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"de339e69-1a52-4f6a-9c4c-a93c262e3da4","block_type":"box","text":"when short-term rates decrease. Municipal tender option bonds, both taxable and tax-exempt, which may include","page_number":70,"box":{"x":68,"y":665,"width":805,"height":11}},{"id":"89551864-e0a1-441c-b034-e989ab4b57b9","block_type":"box","text":"inverse floating rate debt instruments, (including residual interests thereon) are excluded from this 10% limitation.","page_number":70,"box":{"x":70,"y":680,"width":813,"height":11}},{"id":"1e66bc89-d794-4042-9267-7a2a3651e00b","block_type":"box","text":"Inflation Risk.","page_number":70,"box":{"x":102,"y":702,"width":100,"height":9}},{"id":"65955574-1aff-4a42-b106-d85ccc6200ae","block_type":"box","text":"Like all funds, the Funds are subject to inflation risk. Inflation risk is the risk that the present","page_number":70,"box":{"x":209,"y":702,"width":663,"height":11}},{"id":"90cb1997-3721-4063-a8a2-577c8d2dfb43","block_type":"box","text":"value of assets or income from investments will be less in the future as inflation decreases the value of money. As","page_number":70,"box":{"x":68,"y":717,"width":820,"height":12}},{"id":"34cdc947-efe6-4a4c-9b77-17f42c64356a","block_type":"box","text":"inflation increases, the present value of a Fund’s assets can decline as can the value of a Fund’s distributions.","page_number":70,"box":{"x":70,"y":732,"width":792,"height":11}},{"id":"f079ed20-51f3-47a6-8f6d-e50e570a7844","block_type":"box","text":"Inflation rates may change frequently and significantly due to a number of potential factors, including, among others,","page_number":70,"box":{"x":70,"y":748,"width":829,"height":11}},{"id":"360f4ead-74f0-4627-8dca-73ac25261143","block_type":"box","text":"unexpected economic shifts or changes in fiscal or monetary policies.","page_number":70,"box":{"x":69,"y":763,"width":497,"height":11}},{"id":"6cf383a5-1150-4a13-bb74-9dfe1327fd69","block_type":"box","text":"Initial Public Offering (“IPO”) Risk.","page_number":70,"box":{"x":102,"y":785,"width":253,"height":12}},{"id":"f9aa234e-02ba-46fe-9457-8321cee72f90","block_type":"box","text":"The volume of IPOs and the levels at which the newly issued stocks trade in","page_number":70,"box":{"x":361,"y":785,"width":540,"height":12}},{"id":"3c609853-c978-4e90-863e-7b260ad957f1","block_type":"box","text":"the secondary market are affected by the performance of the stock market overall. If IPOs are brought to the market,","page_number":70,"box":{"x":68,"y":801,"width":836,"height":11}},{"id":"459ffc9d-ec70-48fd-83cd-2722bae9526b","block_type":"box","text":"availability may be limited and a Fund may not be able to buy any shares at the offering price, or if it is able to buy","page_number":70,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"d26b6afe-ec02-4051-b0b5-f1569a0f8e40","block_type":"box","text":"shares, it may not be able to buy as many shares at the offering price as it would like. In addition, the prices of","page_number":70,"box":{"x":69,"y":831,"width":795,"height":11}},{"id":"b9575861-7258-42c4-ab22-7d95f775f7f2","block_type":"box","text":"securities involved in IPOs are often subject to greater and more unpredictable price changes than more established","page_number":70,"box":{"x":69,"y":846,"width":829,"height":11}},{"id":"80d5e72c-f1f6-4ddd-9976-ab377ede2a7e","block_type":"box","text":"stocks. IPOs have the potential to produce substantial gains. A Fund may hold shares from an IPO for only a short","page_number":70,"box":{"x":69,"y":861,"width":814,"height":11}},{"id":"8b39cac5-e910-429c-bf7e-2b723e2084b4","block_type":"box","text":"period of time given possible price volatility. This may result in increased portfolio turnover and expenses, such as","page_number":70,"box":{"x":70,"y":876,"width":813,"height":11}},{"id":"7e4df9b4-03e8-4821-b101-f041f712a2aa","block_type":"box","text":"commissions and transaction costs, and potentially result in taxable gains that the Fund will subsequently distribute","page_number":70,"box":{"x":69,"y":891,"width":828,"height":12}},{"id":"ddf558a5-e895-4cf9-8002-456dea63089b","block_type":"box","text":"to shareholders. There is no assurance that any Fund will have access to profitable IPOs and therefore investors","page_number":70,"box":{"x":68,"y":906,"width":802,"height":12}},{"id":"4cf68549-41d2-465e-9bfe-a4b71c5a694d","block_type":"box","text":"II-34","page_number":70,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d217e1ee-041f-4f3e-a20a-3f79d1eb8e79","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":70,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"20cce78b-b189-4903-8191-cd5570be0256","block_type":"box","text":"should not rely on any past gains from IPOs as an indication of future performance. The investment performance of a","page_number":71,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"9036a778-8889-47c0-9089-e22f2ffc28a2","block_type":"box","text":"Fund during periods when it is unable to invest significantly or at all in IPOs may be lower than during periods when it","page_number":71,"box":{"x":70,"y":60,"width":832,"height":11}},{"id":"aeb4c640-d3c2-4c78-89af-599c0dcadf68","block_type":"box","text":"is able to do so. In addition, as a Fund increases in size, the impact of IPOs on its performance will generally","page_number":71,"box":{"x":70,"y":75,"width":777,"height":11}},{"id":"fad0bddf-310a-4247-be5f-60fe25bc07cb","block_type":"box","text":"decrease. Securities issued in IPOs are subject to many of the same risks as investing in companies with smaller","page_number":71,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"ffc658c2-a690-4098-ba0a-59864b5f760e","block_type":"box","text":"market capitalizations. Securities issued in IPOs have no trading history, and information about the companies may","page_number":71,"box":{"x":69,"y":105,"width":823,"height":11}},{"id":"ed99112d-e8c4-4cc5-839b-aa38551b234e","block_type":"box","text":"be available for very limited periods.","page_number":71,"box":{"x":69,"y":120,"width":257,"height":11}},{"id":"a3780c1a-7c04-4094-ae37-fc07fc388348","block_type":"box","text":"Investment in Emerging Markets.","page_number":71,"box":{"x":102,"y":143,"width":242,"height":11}},{"id":"115f9ad2-5bbd-40b6-8607-9c47df7f12d9","block_type":"box","text":"General.","page_number":71,"box":{"x":102,"y":166,"width":58,"height":9}},{"id":"95dd72c7-8d5c-431b-ba0d-875adef5b95d","block_type":"box","text":"Certain Funds may invest in the securities of issuers domiciled in various countries with emerging capital","page_number":71,"box":{"x":102,"y":188,"width":748,"height":12}},{"id":"0f205c87-85ba-49e7-ab30-c7b1a85efd84","block_type":"box","text":"markets. Unless otherwise provided in a Fund’s Prospectus, a country with an emerging capital market is any country","page_number":71,"box":{"x":69,"y":204,"width":840,"height":11}},{"id":"20474916-cba8-43a1-a0dc-b2004c3e0c90","block_type":"box","text":"that is (i) generally recognized to be an emerging market country by the international financial community, such as","page_number":71,"box":{"x":68,"y":218,"width":813,"height":12}},{"id":"79a87a03-96f0-463a-881f-f9f97160f5de","block_type":"box","text":"the International Finance Corporation, or determined by the World Bank to have a low, middle or middle upper income","page_number":71,"box":{"x":68,"y":234,"width":836,"height":11}},{"id":"3b3734a9-fc65-4025-89a5-feb7240d71e1","block_type":"box","text":"economy; (ii) classified by the United Nations or its authorities to be developing; and/or (iii) included in a broad-based","page_number":71,"box":{"x":69,"y":249,"width":839,"height":11}},{"id":"0085b69f-d07c-4dd0-ab00-a188e4b560e1","block_type":"box","text":"index that is generally representative of emerging markets. Countries with emerging markets can be found in regions","page_number":71,"box":{"x":70,"y":264,"width":831,"height":11}},{"id":"7ab4898d-94f0-4133-b3bc-986fda7ad284","block_type":"box","text":"such as Asia, Latin America, Eastern Europe and Africa.","page_number":71,"box":{"x":69,"y":279,"width":396,"height":11}},{"id":"0a90dee3-46bb-4e42-b769-a372e86f2250","block_type":"box","text":"Investments in the securities of issuers domiciled in countries with emerging capital markets involve certain","page_number":71,"box":{"x":102,"y":302,"width":770,"height":11}},{"id":"f21a4819-8cce-4aca-b7aa-2aa4c6209fa2","block_type":"box","text":"additional risks that do not generally apply to investments in securities of issuers in more developed capital markets,","page_number":71,"box":{"x":69,"y":317,"width":835,"height":11}},{"id":"7432a6b7-91cd-42de-af3b-a0374e0a6a45","block_type":"box","text":"such as (i) low or non-existent trading volume, resulting in market illiquidity and increased volatility in prices for such","page_number":71,"box":{"x":69,"y":332,"width":828,"height":11}},{"id":"1e8d75cb-debf-4f41-a7a4-a772b1975e04","block_type":"box","text":"securities, as compared to securities of comparable issuers in more developed capital markets; (ii) uncertain","page_number":71,"box":{"x":69,"y":347,"width":779,"height":11}},{"id":"136e5a72-e61a-4ce1-83f2-c3d2a2cf5658","block_type":"box","text":"national policies and social, political and economic instability, increasing the potential for expropriation of assets,","page_number":71,"box":{"x":69,"y":362,"width":809,"height":11}},{"id":"92849e07-aa41-4abd-8de2-5880787ad298","block_type":"box","text":"confiscatory taxation, high rates of inflation or unfavorable diplomatic developments; (iii) possible fluctuations in","page_number":71,"box":{"x":69,"y":377,"width":800,"height":12}},{"id":"d83e00d4-2528-4442-8155-191f2c4aaec7","block_type":"box","text":"exchange rates, differing legal systems and the existence or possible imposition of exchange controls, custodial","page_number":71,"box":{"x":69,"y":392,"width":800,"height":12}},{"id":"eaf45c6e-3a60-4a4f-b746-915f2b5a6579","block_type":"box","text":"restrictions or other foreign or U.S. Governmental laws or restrictions applicable to such investments; (iv) national","page_number":71,"box":{"x":69,"y":407,"width":811,"height":12}},{"id":"f6323aed-27ea-443f-bcd8-455d857486f6","block_type":"box","text":"policies that may limit a Fund’s investment opportunities such as restrictions on investment in issuers or industries","page_number":71,"box":{"x":70,"y":423,"width":824,"height":11}},{"id":"00c1b2b2-bb5b-4729-83fc-951449315844","block_type":"box","text":"deemed sensitive to national interests; and (v) the lack or relatively early development of legal structures governing","page_number":71,"box":{"x":69,"y":438,"width":823,"height":11}},{"id":"be2ca853-99e7-4268-a83f-23d58b65f052","block_type":"box","text":"private and foreign investments and private property. In addition to withholding taxes on investment income, some","page_number":71,"box":{"x":70,"y":453,"width":813,"height":11}},{"id":"eaa179f6-09a5-42a6-a5c7-af92b7b41e13","block_type":"box","text":"countries with emerging markets may impose differential capital gains taxes on foreign investors.","page_number":71,"box":{"x":69,"y":468,"width":694,"height":11}},{"id":"93bc2ddd-2677-4dd4-a75e-1e9953e6c270","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":71,"box":{"x":102,"y":491,"width":767,"height":11}},{"id":"87e3b0bb-46f3-4d9b-b425-3577c202f047","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":71,"box":{"x":69,"y":506,"width":814,"height":11}},{"id":"0a87d3b2-7a9b-4756-a867-1e6d018250a0","block_type":"box","text":"developed countries. In such a dynamic environment, there can be no assurance that any or all of these capital","page_number":71,"box":{"x":69,"y":521,"width":792,"height":11}},{"id":"7cdeb446-ba07-4468-a877-6bf833542458","block_type":"box","text":"markets will continue to present viable investment opportunities for a Fund. In the past, governments of such nations","page_number":71,"box":{"x":69,"y":536,"width":838,"height":11}},{"id":"ca0434a3-fe98-48f9-8118-b6bc97148ee8","block_type":"box","text":"have expropriated substantial amounts of private property, and most claims of the property owners have never been","page_number":71,"box":{"x":69,"y":551,"width":828,"height":11}},{"id":"d3f73ba2-f4b6-4fa0-a9d8-127f451c07e8","block_type":"box","text":"fully settled. There is no assurance that such expropriations will not reoccur. In such an event, it is possible that a","page_number":71,"box":{"x":68,"y":566,"width":816,"height":11}},{"id":"b245502a-4264-461b-a3da-ad6ee3bd885b","block_type":"box","text":"Fund could lose the entire value of its investments in the affected market. As a result the risks described above,","page_number":71,"box":{"x":70,"y":581,"width":802,"height":11}},{"id":"32ecf8cc-87f8-4c60-a335-5031e57f86ae","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":71,"box":{"x":70,"y":596,"width":838,"height":12}},{"id":"0b2ca5a9-feed-44d9-8a9b-5b429d334c61","block_type":"box","text":"or social developments may affect the value of investments in these countries and the availability to a Fund of","page_number":71,"box":{"x":69,"y":612,"width":788,"height":11}},{"id":"3b929763-babf-4f5a-a4ee-f11de686d50b","block_type":"box","text":"additional investments. The small size and inexperience of the securities markets in certain of these countries and","page_number":71,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"719492eb-b93c-4138-b904-c2ea2d31c465","block_type":"box","text":"the limited volume of trading in securities in these countries may make investments in the countries illiquid and more","page_number":71,"box":{"x":68,"y":642,"width":838,"height":11}},{"id":"6d7d67c5-43ab-4942-b2c5-498b9cdb163d","block_type":"box","text":"volatile than investments in more established markets.","page_number":71,"box":{"x":68,"y":657,"width":392,"height":9}},{"id":"a2c280a9-5655-499f-b7a4-a668ad894ce7","block_type":"box","text":"Also, there may be less publicly available information about issuers in emerging markets than would be available","page_number":71,"box":{"x":101,"y":680,"width":805,"height":11}},{"id":"d596bf59-a894-47eb-8106-d096c40655f8","block_type":"box","text":"about issuers in more developed capital markets, and such issuers may not be subject to accounting, auditing and","page_number":71,"box":{"x":69,"y":695,"width":818,"height":11}},{"id":"a680d03e-7950-4060-bfb2-c058b735d329","block_type":"box","text":"financial reporting standards and requirements comparable to those to which U.S. companies are subject. In certain","page_number":71,"box":{"x":68,"y":710,"width":831,"height":11}},{"id":"058464a6-fe5d-4ffb-a79c-87e721d8dee5","block_type":"box","text":"countries with emerging capital markets, reporting standards vary widely. As a result, traditional investment","page_number":71,"box":{"x":69,"y":725,"width":768,"height":11}},{"id":"b06013b6-b082-49c9-8eeb-cee3dd46dcd6","block_type":"box","text":"measurements used in the United States, such as price/earnings ratios, may not be applicable. Emerging market","page_number":71,"box":{"x":69,"y":740,"width":811,"height":11}},{"id":"b01815fa-2cd7-4512-9bb6-626e3326a49b","block_type":"box","text":"securities may be substantially less liquid than, and more volatile than, those of mature markets, and company","page_number":71,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"05fc7995-4de0-482e-998b-ccb11eefd1f0","block_type":"box","text":"shares may be held by a limited number of persons. This may adversely affect the timing and pricing of the Fund’s","page_number":71,"box":{"x":69,"y":770,"width":814,"height":12}},{"id":"d10e060a-f96b-475c-b22e-6390fa17c5b1","block_type":"box","text":"acquisition or disposal of securities.","page_number":71,"box":{"x":69,"y":785,"width":257,"height":11}},{"id":"88acabd6-a422-47b3-8129-2a097f7e01d3","block_type":"box","text":"Practices in relation to settlement of securities transactions in emerging markets involve higher risks than those","page_number":71,"box":{"x":102,"y":808,"width":800,"height":11}},{"id":"994c3bde-7d07-44a9-9876-ccacc8844f3d","block_type":"box","text":"in developed markets, in part because a Fund will need to use brokers and counterparties that are less well","page_number":71,"box":{"x":70,"y":823,"width":769,"height":11}},{"id":"a6dfb36f-0ed1-49d0-bb39-b4d3cea8e319","block_type":"box","text":"capitalized, and custody and registration of assets in some countries may be unreliable. The possibility of fraud,","page_number":71,"box":{"x":69,"y":838,"width":798,"height":12}},{"id":"2077ee11-52c9-4c4a-82d5-633b027ee7b3","block_type":"box","text":"negligence, undue influence being exerted by the issuer or refusal to recognize ownership exists in some emerging","page_number":71,"box":{"x":69,"y":853,"width":819,"height":12}},{"id":"4407be22-e265-4b71-81df-7bf2e63534bb","block_type":"box","text":"markets, and, along with other factors, could result in ownership registration being completely lost. A Fund would","page_number":71,"box":{"x":69,"y":869,"width":804,"height":11}},{"id":"c094a30a-e614-488a-9603-20e0f1179f38","block_type":"box","text":"absorb any loss resulting from such registration problems and may have no successful claim for compensation.","page_number":71,"box":{"x":69,"y":884,"width":794,"height":11}},{"id":"c56a3dda-9165-4581-9c8f-b8855d4e2dba","block_type":"box","text":"II-35","page_number":71,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1d19b874-452b-42d4-ba45-291a4c82c387","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":71,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8bad14e8-1577-4850-9ad1-103ebda96c61","block_type":"box","text":"Investment in non-dollar denominated securities including securities from issuers located in emerging market","page_number":72,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"39970786-0603-4029-8423-e360a1308f0a","block_type":"box","text":"countries may be on either a currency hedged or unhedged basis, and the Funds may hold from time to time various","page_number":72,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"1194ebbd-c761-4e15-b0f1-bf3d598dc0fb","block_type":"box","text":"foreign currencies pending investment or conversion into U.S. dollars. Some of these instruments may have the","page_number":72,"box":{"x":68,"y":75,"width":797,"height":11}},{"id":"c7f048a2-d8b1-4e72-9f5a-9b4c189fc436","block_type":"box","text":"characteristics of futures contracts. In addition, certain Funds may engage in foreign currency exchange transactions","page_number":72,"box":{"x":69,"y":90,"width":832,"height":11}},{"id":"49562ace-5fc4-4a1b-9710-a937479d6390","block_type":"box","text":"to seek to protect against changes in the level of future exchange rates which would adversely affect the Fund’s","page_number":72,"box":{"x":68,"y":105,"width":799,"height":11}},{"id":"0663ac57-4aa1-41d7-bc4a-0ffaacbad0bc","block_type":"box","text":"performance. These investments and transactions involving foreign securities, currencies, options (including options","page_number":72,"box":{"x":70,"y":120,"width":829,"height":12}},{"id":"ea2780f7-13b1-49d3-b280-949bfc62c042","block_type":"box","text":"that relate to foreign currencies), futures, hedging and cross-hedging are described under “Derivatives.”","page_number":72,"box":{"x":68,"y":135,"width":740,"height":12}},{"id":"bc8821f1-75d1-4544-8c0f-dd5ba0544e53","block_type":"box","text":"Risks of Investing in Asia-Pacific Countries.","page_number":72,"box":{"x":102,"y":158,"width":305,"height":11}},{"id":"fd4afd7e-e9f7-4da0-b642-5f54f7928ae9","block_type":"box","text":"In addition to the risks of foreign investing and the risks of investing","page_number":72,"box":{"x":414,"y":158,"width":485,"height":11}},{"id":"b68f651b-17c0-4f7d-8b08-ff95792910b4","block_type":"box","text":"in developing markets, the developing market Asia-Pacific countries in which a Fund may invest are subject to certain","page_number":72,"box":{"x":70,"y":173,"width":832,"height":11}},{"id":"effa18f8-6e76-42a0-b2f5-394b5f4304b8","block_type":"box","text":"additional or specific risks. Certain Funds may make substantial investments in Asia-Pacific countries. In many of","page_number":72,"box":{"x":69,"y":188,"width":808,"height":11}},{"id":"03501a82-b299-43b8-96d1-e5a13314d78b","block_type":"box","text":"these markets, there is a high concentration of market capitalization and trading volume in a small number of issuers","page_number":72,"box":{"x":68,"y":203,"width":838,"height":12}},{"id":"cc168093-5411-456a-a7a4-40fe6823114e","block_type":"box","text":"representing a limited number of industries, as well as a high concentration of investors and financial intermediaries.","page_number":72,"box":{"x":69,"y":218,"width":834,"height":12}},{"id":"4f1adb96-9668-4fce-b2c2-a4344253b1f8","block_type":"box","text":"Many of these markets also may be affected by developments with respect to more established markets in the","page_number":72,"box":{"x":70,"y":234,"width":791,"height":11}},{"id":"b8dfa59a-6460-4881-9678-2e9129dccb89","block_type":"box","text":"region such as in Japan and Hong Kong. Brokers in developing market Asia-Pacific countries typically are fewer in","page_number":72,"box":{"x":69,"y":249,"width":804,"height":11}},{"id":"2ef6c423-d67d-4e30-890f-d029caf3640b","block_type":"box","text":"number and less well capitalized than brokers in the United States. These factors, combined with the U.S. regulatory","page_number":72,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"08065b69-8b4d-4e3a-910f-328294c5c2b8","block_type":"box","text":"requirements for open-end investment companies and the restrictions on foreign investment discussed below, result","page_number":72,"box":{"x":69,"y":279,"width":830,"height":11}},{"id":"0ce88c6c-41b8-48ab-b097-8c211b284fa8","block_type":"box","text":"in potentially fewer investment opportunities for a Fund and may have an adverse impact on the investment","page_number":72,"box":{"x":70,"y":294,"width":766,"height":11}},{"id":"32b8be2c-570f-4310-9b32-4b7e2c65c409","block_type":"box","text":"performance of the Fund.","page_number":72,"box":{"x":70,"y":309,"width":179,"height":11}},{"id":"381e54cc-76bb-4953-822c-e21cd5cbbc4e","block_type":"box","text":"Many of the developing market Asia-Pacific countries may be subject to a greater degree of economic, political","page_number":72,"box":{"x":102,"y":332,"width":784,"height":11}},{"id":"253470df-78e5-4618-a0ff-656aa153f391","block_type":"box","text":"and social instability than is the case in the United States and Western European countries. Such instability may","page_number":72,"box":{"x":69,"y":347,"width":803,"height":11}},{"id":"e4e347c0-b03f-4e67-b4c5-e069077f4186","block_type":"box","text":"result from, among other things: (i) authoritarian governments or military involvement in political and economic","page_number":72,"box":{"x":69,"y":362,"width":788,"height":11}},{"id":"5c5abeea-4936-4dc9-9190-369ebf93bd5f","block_type":"box","text":"decision-making, including changes in government through extra-constitutional means; (ii) popular unrest associated","page_number":72,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"7511230a-9cb6-4911-8498-4fbc55f9fbfa","block_type":"box","text":"with demands for improved political, economic and social conditions; (iii) internal insurgencies; (iv) hostile relations","page_number":72,"box":{"x":68,"y":392,"width":823,"height":12}},{"id":"d0865a6b-47ce-4dd1-9f6b-8c44345e23bb","block_type":"box","text":"with neighboring countries; and (v) ethnic, religious and racial disaffection. In addition, the governments of many of","page_number":72,"box":{"x":68,"y":407,"width":822,"height":12}},{"id":"2ab2392a-17fc-460b-9d20-e3b19706e392","block_type":"box","text":"such countries, such as Indonesia, have a substantial role in regulating and supervising the economy. Another risk","page_number":72,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"73f50c3e-ff43-4d79-a56d-4d0f74c8dac2","block_type":"box","text":"common to most such countries is that the economy is heavily export oriented and, accordingly, is dependent upon","page_number":72,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"36fea3de-4dba-4411-baba-d3203eb6f88e","block_type":"box","text":"international trade. The existence of overburdened infrastructure and obsolete financial systems also presents risks","page_number":72,"box":{"x":70,"y":453,"width":827,"height":11}},{"id":"d7f8f759-bf49-4387-ab45-0da6559f0721","block_type":"box","text":"in certain countries, as do environmental problems. Certain economies also depend to a significant degree upon","page_number":72,"box":{"x":70,"y":468,"width":803,"height":11}},{"id":"f4eff592-496d-488c-aea6-ebba4eac9b51","block_type":"box","text":"exports of primary commodities and, therefore, are vulnerable to changes in commodity prices that, in turn, may be","page_number":72,"box":{"x":69,"y":483,"width":824,"height":11}},{"id":"1d3d4343-3998-4475-b343-17bbdff352e7","block_type":"box","text":"affected by a variety of factors.","page_number":72,"box":{"x":69,"y":498,"width":220,"height":11}},{"id":"86aee606-c869-4aed-9588-5acbf48499c1","block_type":"box","text":"The legal systems in certain developing market Asia-Pacific countries also may have an adverse impact on the","page_number":72,"box":{"x":101,"y":521,"width":785,"height":11}},{"id":"7ca9825c-c2c2-4865-af45-d303e60264b9","block_type":"box","text":"Fund. For example, while the potential liability of a shareholder in a U.S. corporation with respect to acts of the","page_number":72,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"e39614b3-5e46-4b6d-93cb-019e8a175d3c","block_type":"box","text":"corporation is generally limited to the amount of the shareholder’s investment, the notion of limited liability is less","page_number":72,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"3135b704-d5e3-491a-813b-d122e4b8a7b6","block_type":"box","text":"clear in certain emerging market Asia-Pacific countries. Similarly, the rights of investors in developing market Asia","page_number":72,"box":{"x":69,"y":566,"width":813,"height":11}},{"id":"78225dda-ebfb-4693-8934-6b0fa219f6ab","block_type":"box","text":"Pacific companies may be more limited than those of shareholders of U.S. corporations. It may be difficult or","page_number":72,"box":{"x":69,"y":581,"width":777,"height":11}},{"id":"92742fcb-7dab-41ca-9cd4-164800e8c972","block_type":"box","text":"impossible to obtain and/or enforce a judgment in a developing market Asia-Pacific country.","page_number":72,"box":{"x":70,"y":596,"width":652,"height":12}},{"id":"43743a73-abb5-4a76-bf4f-9cbc1fefd0df","block_type":"box","text":"Governments of many developing market Asia-Pacific countries have exercised and continue to exercise","page_number":72,"box":{"x":102,"y":619,"width":737,"height":11}},{"id":"3ef5255d-137e-49f6-9b85-4e91e7c0353b","block_type":"box","text":"substantial influence over many aspects of the private sector. In certain cases, the government owns or controls","page_number":72,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"9cc72b44-4a7b-4b5b-b349-e616eccada0a","block_type":"box","text":"many companies, including the largest in the country. Accordingly, government actions in the future could have a","page_number":72,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"affb406a-70a1-48a2-9de9-99884fcc2371","block_type":"box","text":"significant effect on economic conditions in developing market Asia-Pacific countries, which could affect private","page_number":72,"box":{"x":69,"y":664,"width":793,"height":12}},{"id":"574da35b-32b0-4724-87c5-0b362324c182","block_type":"box","text":"sector companies and a Fund itself, as well as the value of securities in the Fund’s portfolio. In addition, economic","page_number":72,"box":{"x":69,"y":680,"width":820,"height":11}},{"id":"cbea0158-b723-45a5-9e44-fcaa7bb3f2b0","block_type":"box","text":"statistics of developing market Asia-Pacific countries may be less reliable than economic statistics of more developed","page_number":72,"box":{"x":69,"y":695,"width":839,"height":11}},{"id":"5bceceac-12dd-49e4-85f8-0f312593d22e","block_type":"box","text":"nations.","page_number":72,"box":{"x":69,"y":710,"width":56,"height":9}},{"id":"c60c0391-0a8b-48db-ba1f-755907a20277","block_type":"box","text":"In addition to the relative lack of publicly available information about developing market Asia-Pacific issuers and","page_number":72,"box":{"x":102,"y":732,"width":794,"height":12}},{"id":"10a36c47-e54e-4451-8c2d-6993a5ffa531","block_type":"box","text":"the possibility that such issuers may not be subject to the same accounting, auditing and financial reporting","page_number":72,"box":{"x":68,"y":748,"width":773,"height":11}},{"id":"d4c1b7fc-db8e-42ef-a071-e89fc9031618","block_type":"box","text":"standards as U.S. companies, inflation accounting rules in some developing market Asia-Pacific countries require","page_number":72,"box":{"x":69,"y":763,"width":808,"height":11}},{"id":"80477216-03b3-40f0-88cc-7dce4549b691","block_type":"box","text":"companies that keep accounting records in the local currency, for both tax and accounting purposes, to restate","page_number":72,"box":{"x":69,"y":778,"width":791,"height":11}},{"id":"6e887218-742b-41e7-99dd-d690bdbd32b9","block_type":"box","text":"certain assets and liabilities on the company’s balance sheet in order to express items in terms of currency of","page_number":72,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"08a295dd-bb74-4387-8f5e-cfd83fb27ea1","block_type":"box","text":"constant purchasing power. Inflation accounting may indirectly generate losses or profits for certain developing","page_number":72,"box":{"x":69,"y":808,"width":790,"height":11}},{"id":"cd1cb26c-7fa5-4518-89b7-010376a9c7b6","block_type":"box","text":"market Asia-Pacific companies.","page_number":72,"box":{"x":69,"y":823,"width":220,"height":11}},{"id":"fe44f103-bd56-4275-b354-672a3a331b5a","block_type":"box","text":"Satisfactory custodial services for investment securities may not be available in some developing Asia-Pacific","page_number":72,"box":{"x":102,"y":846,"width":780,"height":11}},{"id":"edba1511-0aa9-4d5f-b441-687733bcf43d","block_type":"box","text":"countries, which may result in the Fund incurring additional costs and delays in providing transportation and custody","page_number":72,"box":{"x":69,"y":861,"width":829,"height":11}},{"id":"984ed205-64ea-444e-8a24-72726734c982","block_type":"box","text":"services for such securities outside such countries.","page_number":72,"box":{"x":69,"y":876,"width":367,"height":9}},{"id":"4c29bd91-58ac-4f06-a866-7c65a7c637af","block_type":"box","text":"II-36","page_number":72,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"968a5d50-e40f-48ff-9bd0-4793abfbe529","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":72,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"65174ef0-5fb8-4d1f-a265-c811be941734","block_type":"box","text":"Certain developing Asia-Pacific countries, such as the Philippines, India and Turkey, are especially large debtors","page_number":73,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"8aa27fdb-5fd1-49f7-9212-979d03a26dcd","block_type":"box","text":"to commercial banks and foreign governments.","page_number":73,"box":{"x":68,"y":60,"width":335,"height":11}},{"id":"a4d95a9b-c541-4c2b-b514-28fc2186a5b8","block_type":"box","text":"Natural disasters in Asia-Pacific countries, and the resulting damage, could have a severe and negative impact","page_number":73,"box":{"x":102,"y":82,"width":788,"height":12}},{"id":"32057951-4717-4430-a721-35582fcd14ca","block_type":"box","text":"on a Fund’s investment portfolio and, in the longer term, could impair the ability of issuers in which the Fund invests","page_number":73,"box":{"x":69,"y":98,"width":830,"height":11}},{"id":"df7df9c6-a836-4a18-a40b-cb24cc16b57e","block_type":"box","text":"to conduct their businesses in the manner normally conducted.","page_number":73,"box":{"x":68,"y":113,"width":450,"height":11}},{"id":"9e0e73e3-bb80-4897-9e07-ca7a6eb42dfd","block_type":"box","text":"Fund management may determine that, notwithstanding otherwise favorable investment criteria, it may not be","page_number":73,"box":{"x":102,"y":135,"width":782,"height":12}},{"id":"f1211863-cdaf-4ecd-8386-fa635c4e94ef","block_type":"box","text":"practicable or appropriate to invest in a particular developing Asia-Pacific country. A Fund may invest in countries in","page_number":73,"box":{"x":70,"y":150,"width":819,"height":12}},{"id":"772728e8-3e03-492c-87db-e88a5689d016","block_type":"box","text":"which foreign investors, including management of the Fund, have had no or limited prior experience.","page_number":73,"box":{"x":68,"y":166,"width":711,"height":11}},{"id":"963a9705-908e-4a86-b85b-eff6f4180c32","block_type":"box","text":"Restrictions on Foreign Investments in Asia-Pacific Countries.","page_number":73,"box":{"x":102,"y":188,"width":435,"height":12}},{"id":"fbbe5125-b2c6-458d-93fd-f541b6aa07c8","block_type":"box","text":"Some developing Asia-Pacific countries prohibit or","page_number":73,"box":{"x":543,"y":188,"width":355,"height":12}},{"id":"58627653-33e6-42a0-821c-ce0b1ab12cad","block_type":"box","text":"impose substantial restrictions on investments in their capital markets, particularly their equity markets, by foreign","page_number":73,"box":{"x":70,"y":203,"width":817,"height":12}},{"id":"82a7b4e0-c125-49e1-8126-5922ef06716d","block_type":"box","text":"entities such as a Fund. As illustrations, certain countries may require governmental approval prior to investments by","page_number":73,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"7a7bdf40-d62e-4ba8-b69a-2f4555e25133","block_type":"box","text":"foreign persons or limit the amount of investment by foreign persons in a particular company or limit the investment","page_number":73,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"54634797-daff-4093-bb43-f2f7fb5f8a47","block_type":"box","text":"by foreign persons to only a specific class of securities of a company which may have less advantageous terms","page_number":73,"box":{"x":69,"y":249,"width":794,"height":11}},{"id":"5e6436c5-7544-4a97-b5f9-7207e78a5fb5","block_type":"box","text":"(including price and shareholder rights) than securities of the company available for purchase by nationals. There can","page_number":73,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"3b6e0648-4bb1-4457-bcce-3e5278c10b57","block_type":"box","text":"be no assurance that a Fund will be able to obtain required governmental approvals in a timely manner. In addition,","page_number":73,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"5a97f0d1-4dbc-4c1f-9768-bb170d03337a","block_type":"box","text":"changes to restrictions on foreign ownership of securities subsequent to a Fund’s purchase of such securities may","page_number":73,"box":{"x":69,"y":294,"width":820,"height":11}},{"id":"ecf19fb8-40cf-47d7-942b-5a6ad36b49fb","block_type":"box","text":"have an adverse effect on the value of such shares. Certain countries may restrict investment opportunities in","page_number":73,"box":{"x":69,"y":309,"width":788,"height":11}},{"id":"2d4088b5-eb21-49f3-9d3c-b0cdb16dab9f","block_type":"box","text":"issuers or industries deemed important to national interests.","page_number":73,"box":{"x":70,"y":325,"width":434,"height":10}},{"id":"cf4a76e1-202f-43ae-a28f-92ba8ea42e92","block_type":"box","text":"The manner in which foreign investors may invest in companies in certain developing Asia-Pacific countries, as","page_number":73,"box":{"x":101,"y":347,"width":787,"height":11}},{"id":"45f968cb-1308-4b10-a6ce-70207388cedf","block_type":"box","text":"well as limitations on such investments, also may have an adverse impact on the operations of a Fund. For example,","page_number":73,"box":{"x":68,"y":362,"width":833,"height":11}},{"id":"d1e8c224-bab6-49aa-af96-7fa25044d6cb","block_type":"box","text":"a Fund may be required in certain of such countries to invest initially through a local broker or other entity and then","page_number":73,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"7b2660d1-f405-41e5-892a-f0330f818a6e","block_type":"box","text":"have the shares purchased re-registered in the name of the Fund. Re-registration may in some instances not be able","page_number":73,"box":{"x":69,"y":392,"width":831,"height":12}},{"id":"03e2c3b7-c134-4899-8171-e6674d1eb2c5","block_type":"box","text":"to occur on a timely basis, resulting in a delay during which a Fund may be denied certain of its rights as an investor,","page_number":73,"box":{"x":68,"y":407,"width":834,"height":12}},{"id":"bff03fa4-b92f-4aeb-a927-b2939d265f33","block_type":"box","text":"including rights as to dividends or to be made aware of certain corporate actions. There also may be instances where","page_number":73,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"18423c39-fb79-4cee-bbba-4f8422ccb038","block_type":"box","text":"a Fund places a purchase order but is subsequently informed, at the time of re-registration, that the permissible","page_number":73,"box":{"x":69,"y":438,"width":800,"height":11}},{"id":"6de94d3d-17c1-419c-9afe-d685cb0b266e","block_type":"box","text":"allocation of the investment to foreign investors has been filled, depriving the Fund of the ability to make its desired","page_number":73,"box":{"x":69,"y":453,"width":826,"height":11}},{"id":"f4159bee-0564-466f-b5f2-5ccd1cadf3a6","block_type":"box","text":"investment at that time.","page_number":73,"box":{"x":70,"y":468,"width":168,"height":9}},{"id":"696e9e5f-b8ac-4ad6-94ab-ee2375f3567a","block_type":"box","text":"Substantial limitations may exist in certain countries with respect to a Fund’s ability to repatriate investment","page_number":73,"box":{"x":102,"y":491,"width":774,"height":11}},{"id":"226ac96d-7dc0-4461-91e1-d835355241c2","block_type":"box","text":"income, capital or the proceeds of sales of securities by foreign investors. A Fund could be adversely affected by","page_number":73,"box":{"x":70,"y":506,"width":803,"height":11}},{"id":"282f1906-9e20-4a15-a1d8-01e8775c57d3","block_type":"box","text":"delays in, or a refusal to grant, any required governmental approval for repatriation of capital, as well as by the","page_number":73,"box":{"x":69,"y":521,"width":789,"height":11}},{"id":"aeff4398-62a1-4095-99a1-ba54612a638f","block_type":"box","text":"application to the Fund of any restrictions on investments. It is possible that certain countries may impose currency","page_number":73,"box":{"x":69,"y":536,"width":826,"height":11}},{"id":"bdf22b17-e962-46c0-ae25-292129e94939","block_type":"box","text":"controls or other restrictions relating to their currencies or to securities of issuers in those countries. To the extent","page_number":73,"box":{"x":69,"y":551,"width":818,"height":11}},{"id":"333f65aa-a7ae-4a6d-a658-b9a5a4a5b2b1","block_type":"box","text":"that such restrictions have the effect of making certain investments illiquid, securities may not be available for sale","page_number":73,"box":{"x":68,"y":566,"width":826,"height":11}},{"id":"8d371421-269c-44d1-9aa2-79e365ff2aa3","block_type":"box","text":"to meet redemptions. Depending on a variety of financial factors, the percentage of a Fund’s portfolio subject to","page_number":73,"box":{"x":68,"y":581,"width":800,"height":12}},{"id":"cca9f0e0-91e5-440c-b44d-36f3447b122c","block_type":"box","text":"currency controls may increase. In the event other countries impose similar controls, the portion of the Fund’s assets","page_number":73,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"3e9ac7b6-b96d-4671-845c-8a6d866d6f68","block_type":"box","text":"that may be used to meet redemptions may be further decreased. Even where there is no outright restriction on","page_number":73,"box":{"x":68,"y":612,"width":798,"height":11}},{"id":"805305f3-b5ea-426e-b00e-7cfe1248c415","block_type":"box","text":"repatriation of capital, the mechanics of repatriation may affect certain aspects of the operations of a Fund (for","page_number":73,"box":{"x":69,"y":627,"width":795,"height":11}},{"id":"fbd9a1f0-298e-411c-baf8-9f9720f54002","block_type":"box","text":"example, if funds may be withdrawn only in certain currencies and/or only at an exchange rate established by the","page_number":73,"box":{"x":69,"y":642,"width":808,"height":11}},{"id":"231d30eb-040f-4db9-924b-bb8ee5f51eef","block_type":"box","text":"government).","page_number":73,"box":{"x":68,"y":657,"width":92,"height":11}},{"id":"63fd6a8f-709a-48a1-a721-a8b7ab93c646","block_type":"box","text":"In certain countries, banks or other financial institutions may be among the leading companies or have actively","page_number":73,"box":{"x":102,"y":680,"width":790,"height":11}},{"id":"2f190789-ad37-4e69-ad89-951484633017","block_type":"box","text":"traded securities available for investment. The Investment Company Act restricts a Fund’s investments in any equity","page_number":73,"box":{"x":68,"y":695,"width":828,"height":11}},{"id":"64e861bb-d289-4586-9856-d9c3280fc2cf","block_type":"box","text":"securities of an issuer that, in its most recent fiscal year, derived more than 15% of its revenues from “securities","page_number":73,"box":{"x":69,"y":710,"width":808,"height":11}},{"id":"01aae7a9-77f1-4eba-b3e9-eb2a16c9b27b","block_type":"box","text":"related activities,” as defined by the rules thereunder. These provisions may restrict a Fund’s investments in certain","page_number":73,"box":{"x":69,"y":725,"width":829,"height":11}},{"id":"839a7f53-b2c9-4833-9152-e28085e5442d","block_type":"box","text":"foreign banks and other financial institutions.","page_number":73,"box":{"x":68,"y":740,"width":322,"height":11}},{"id":"2269c719-f643-4ae2-9bdc-524c3e8e85df","block_type":"box","text":"Political and economic structures in emerging market countries may be undergoing significant evolution and","page_number":73,"box":{"x":102,"y":763,"width":767,"height":11}},{"id":"fa2a449a-831c-4978-9525-c88ce1c49a45","block_type":"box","text":"rapid development, and these countries may lack the social, political and economic stability characteristic of more","page_number":73,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"16e08355-5084-40dd-b9b6-5e5ddfda736a","block_type":"box","text":"developed countries. Some of these countries may have in the past failed to recognize private property rights and","page_number":73,"box":{"x":69,"y":793,"width":809,"height":11}},{"id":"ad663aad-0640-4911-8418-db8dd061c153","block_type":"box","text":"have at times nationalized or expropriated the assets of private companies. As a result the risks described above,","page_number":73,"box":{"x":69,"y":808,"width":812,"height":11}},{"id":"5605700a-b36c-4434-8a5f-8e0a58284029","block_type":"box","text":"including the risks of nationalization or expropriation of assets, may be heightened. In addition, unanticipated political","page_number":73,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"708b72d3-df59-43b4-91a0-4433f9c4ad15","block_type":"box","text":"or social developments may affect the value of investments in these countries and the availability to a Fund of","page_number":73,"box":{"x":69,"y":838,"width":788,"height":11}},{"id":"5eeac3eb-8fcc-48ba-8b09-9e69a75a2bc0","block_type":"box","text":"additional investments in emerging market countries. The small size and inexperience of the securities markets in","page_number":73,"box":{"x":69,"y":853,"width":812,"height":12}},{"id":"f7b09a62-74d7-45d3-92e3-eddc7b334d89","block_type":"box","text":"certain of these countries and the limited volume of trading in securities in these countries may make investments in","page_number":73,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"7093687f-028c-4b07-a7ee-a2d3ac6a14a3","block_type":"box","text":"the countries illiquid and more volatile than investments in Japan or most Western European countries. There may be","page_number":73,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"c617b732-fd1c-436e-9ced-8da0b2423c0d","block_type":"box","text":"II-37","page_number":73,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2278b55d-89d1-4cff-8cee-b9048db8e42d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":73,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d443ed95-edac-45d2-a407-fce5997fc8a4","block_type":"box","text":"little financial or accounting information available with respect to issuers located in certain emerging market","page_number":74,"box":{"x":70,"y":45,"width":771,"height":11}},{"id":"5b65dedf-c1fe-47a7-9c9a-4cc003fe9745","block_type":"box","text":"countries, and it may be difficult to assess the value or prospects of an investment in such issuers.","page_number":74,"box":{"x":69,"y":60,"width":711,"height":11}},{"id":"25a3f8c3-ccb2-48f1-a67b-1ad7b8a9eef3","block_type":"box","text":"The expense ratios of the Funds investing significantly in foreign securities can be expected to be higher than","page_number":74,"box":{"x":101,"y":82,"width":779,"height":12}},{"id":"10f29ba4-53ae-41c9-9f81-5f41717bcf90","block_type":"box","text":"those of Funds investing primarily in domestic securities. The costs attributable to investing abroad are usually higher","page_number":74,"box":{"x":68,"y":98,"width":840,"height":11}},{"id":"97a309a2-32a9-45cb-897e-33f3675f699e","block_type":"box","text":"for several reasons, such as the higher cost of custody of foreign securities, higher commissions paid on comparable","page_number":74,"box":{"x":68,"y":113,"width":838,"height":11}},{"id":"d278609b-f06b-4b41-9d77-5860bf7ca6f0","block_type":"box","text":"transactions on foreign markets and additional costs arising from delays in settlements of transactions involving","page_number":74,"box":{"x":68,"y":128,"width":802,"height":11}},{"id":"0456381c-c35c-4039-8836-e28c68f31b32","block_type":"box","text":"foreign securities.","page_number":74,"box":{"x":68,"y":143,"width":127,"height":11}},{"id":"15e55fcf-8bbf-414a-8840-bde224c21fbe","block_type":"box","text":"Risks of Investments in Russia.","page_number":74,"box":{"x":102,"y":166,"width":224,"height":9}},{"id":"8bcaacc7-bf82-4deb-b8c1-efb2fff0e3d9","block_type":"box","text":"A Fund may invest a portion of its assets in securities issued by companies","page_number":74,"box":{"x":332,"y":166,"width":539,"height":11}},{"id":"e215d561-9235-4a9c-b08e-2dd744404987","block_type":"box","text":"located in Russia. The Russian securities market suffers from a variety of problems described above in “Investment","page_number":74,"box":{"x":70,"y":181,"width":826,"height":11}},{"id":"68c12e56-94ff-4dac-8402-c3559af21f5e","block_type":"box","text":"in Emerging Markets” not encountered in more developed markets. The Russian securities market is relatively new,","page_number":74,"box":{"x":70,"y":196,"width":821,"height":11}},{"id":"76247a65-21d3-40ac-a210-53db54d6be92","block_type":"box","text":"and a substantial portion of securities transactions in Russia are privately negotiated outside of stock exchanges.","page_number":74,"box":{"x":69,"y":211,"width":812,"height":11}},{"id":"62883b85-8fd0-4d58-8379-f26fac66f130","block_type":"box","text":"The inexperience of the Russian securities market and the limited volume of trading in securities in the market may","page_number":74,"box":{"x":68,"y":226,"width":824,"height":11}},{"id":"9c6279e5-0fd9-41ca-b447-8db6833c6a4e","block_type":"box","text":"make obtaining accurate prices on portfolio securities from independent sources more difficult than in more","page_number":74,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"b14a35db-8857-4b8e-9ef0-4debda59f0c5","block_type":"box","text":"developed markets.","page_number":74,"box":{"x":69,"y":257,"width":138,"height":10}},{"id":"78ad66f0-39be-4ba4-93e3-0eaa7e51a246","block_type":"box","text":"Because of the underdeveloped state of Russia’s securities markets and banking and telecommunication","page_number":74,"box":{"x":102,"y":279,"width":751,"height":11}},{"id":"38eb1d5b-00d6-4c60-ba25-a93868fe68de","block_type":"box","text":"systems, settlement, clearing and registration of securities transactions are subject to additional risks. Prior to 2013,","page_number":74,"box":{"x":69,"y":294,"width":839,"height":11}},{"id":"29a2934a-2630-453c-8512-62d952f54b90","block_type":"box","text":"there was no central registration system for equity share registration in Russia and registration was carried out either","page_number":74,"box":{"x":68,"y":309,"width":838,"height":11}},{"id":"10a91519-89ae-4aff-ad32-b6eff0a0343f","block_type":"box","text":"by the issuers themselves or by registrars located throughout Russia. These registrars may not have been subject to","page_number":74,"box":{"x":69,"y":325,"width":831,"height":11}},{"id":"c7dab053-d7a8-428e-bc25-684f66006564","block_type":"box","text":"effective state supervision or licensed with any governmental entity. In 2013, Russia established the National","page_number":74,"box":{"x":69,"y":339,"width":783,"height":12}},{"id":"dc308f6c-016f-4411-bbf8-2ec589358aef","block_type":"box","text":"Settlement Depository (“NSD”) as a recognized central securities depository, and title to Russian equities held","page_number":74,"box":{"x":69,"y":355,"width":790,"height":11}},{"id":"c6c407eb-39aa-46f7-888d-50da2cac7b31","block_type":"box","text":"through the NSD is now based on the records of the NSD and not on the records of the local registrars. Although the","page_number":74,"box":{"x":68,"y":370,"width":833,"height":11}},{"id":"10fd3e41-032e-438a-beb1-d574e693fc95","block_type":"box","text":"implementation of the NSD has enhanced the efficiency and transparency of the Russian securities market, loss still","page_number":74,"box":{"x":70,"y":385,"width":831,"height":11}},{"id":"a42bb9a6-0a30-43d1-a203-574744b11136","block_type":"box","text":"can occur. Additionally, issuers and registrars remain prominent in the validation and approval of documentation","page_number":74,"box":{"x":69,"y":400,"width":797,"height":11}},{"id":"4fcaf31b-e6ac-4e4a-bf74-fc519b5d62d1","block_type":"box","text":"requirements for corporate action processing in Russia, and, because the documentation requirements and approval","page_number":74,"box":{"x":69,"y":415,"width":832,"height":11}},{"id":"3532d2b6-4786-47de-ab51-40818695ee03","block_type":"box","text":"criteria vary between registrars and issuers, there remain inconsistent market standards in the Russian market with","page_number":74,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"c1cc6e88-0d1d-46be-86d0-bd80cd36058f","block_type":"box","text":"respect to the completion and submission of corporate action elections. To the extent that a Fund suffers a loss","page_number":74,"box":{"x":69,"y":445,"width":800,"height":11}},{"id":"21a60cc8-ba5b-4e05-9bc2-243dee1d8920","block_type":"box","text":"relating to title or corporate actions relating to its portfolio securities, it may be difficult for the Fund to enforce its","page_number":74,"box":{"x":69,"y":460,"width":813,"height":12}},{"id":"d2543d76-60f7-4ee1-9efe-b16cf0d442e9","block_type":"box","text":"rights or otherwise remedy the loss. Russian securities laws may not recognize foreign nominee accounts held with a","page_number":74,"box":{"x":69,"y":475,"width":836,"height":12}},{"id":"8bad4afe-b3a8-4e57-a98d-c002b8076032","block_type":"box","text":"custodian bank, and as a result the custodian may be considered the ultimate owner of securities held on behalf of","page_number":74,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"285c1919-afdd-41ac-a2bd-12cf3c92e2f6","block_type":"box","text":"their clients. A Fund also may experience difficulty in obtaining and/or enforcing judgments in Russia.","page_number":74,"box":{"x":68,"y":506,"width":723,"height":11}},{"id":"160c1827-424d-47d6-b835-de70999ec563","block_type":"box","text":"In addition, Russia continues to assert its influence in the region through economic and military measures, as it","page_number":74,"box":{"x":102,"y":528,"width":801,"height":12}},{"id":"9cf67177-6f44-42e3-8f78-cb738c9f90f0","block_type":"box","text":"did with Georgia in the summer of 2008 and the Ukraine in 2014 and 2022. Russia launched a large-scale invasion","page_number":74,"box":{"x":69,"y":543,"width":826,"height":12}},{"id":"03e921fe-d06d-45bd-8489-ced27a95eda4","block_type":"box","text":"of Ukraine on February 24, 2022. The extent and duration of the military action, resulting sanctions and resulting","page_number":74,"box":{"x":69,"y":559,"width":809,"height":11}},{"id":"8996b6c7-de2e-4c73-810c-53b52b51a6b3","block_type":"box","text":"future market disruptions, including declines in its stock markets and the value of the ruble against the U.S. dollar,","page_number":74,"box":{"x":68,"y":574,"width":821,"height":11}},{"id":"f8158091-666c-49a8-b5c8-627772753106","block_type":"box","text":"are impossible to predict. Any such disruptions caused by Russian military action or other actions (including","page_number":74,"box":{"x":69,"y":589,"width":770,"height":11}},{"id":"d3469597-f912-40c2-8f65-a069ad4370e7","block_type":"box","text":"cyberattacks and espionage) or resulting actual and threatened responses to such activity, including purchasing and","page_number":74,"box":{"x":69,"y":604,"width":827,"height":11}},{"id":"1c5941e3-47ec-46c1-81f6-0ec7244913ae","block_type":"box","text":"financing restrictions, boycotts or changes in consumer or purchaser preferences, sanctions, tariffs or cyberattacks","page_number":74,"box":{"x":68,"y":619,"width":824,"height":11}},{"id":"a62d9160-43e0-47a0-8303-ed8c3c32cb20","block_type":"box","text":"on the Russian government, Russian companies or Russian individuals, including politicians, may impact Russia’s","page_number":74,"box":{"x":69,"y":634,"width":814,"height":12}},{"id":"80b53230-9cf5-4314-ab28-3e5ac4a93fbf","block_type":"box","text":"economy and Russian issuers of securities in which the Fund invests. Actual and threatened responses to such","page_number":74,"box":{"x":69,"y":649,"width":795,"height":12}},{"id":"bbf85cc1-f0cd-4432-bbaf-e0d3c8229672","block_type":"box","text":"activity, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Russian government or Russian","page_number":74,"box":{"x":69,"y":664,"width":814,"height":12}},{"id":"870acf25-3485-481a-a05c-72b579159971","block_type":"box","text":"companies, may impact Russia’s economy and Russian issuers of securities in which the Fund invests. Actual and","page_number":74,"box":{"x":69,"y":680,"width":816,"height":11}},{"id":"40450459-54d8-47a7-abcb-1a0d7dfd18cd","block_type":"box","text":"threatened responses to such military action may also impact the markets for certain Russian commodities, such as","page_number":74,"box":{"x":68,"y":695,"width":836,"height":11}},{"id":"139945aa-2827-439d-a3d2-29ee41280a71","block_type":"box","text":"oil and natural gas, as well as other sectors of the Russian economy, and may likely have collateral impacts on such","page_number":74,"box":{"x":69,"y":710,"width":829,"height":11}},{"id":"46aae099-1293-463d-aba3-4665765bfc2b","block_type":"box","text":"sectors globally.","page_number":74,"box":{"x":69,"y":725,"width":112,"height":11}},{"id":"ae920ea6-d1ca-4147-9597-501bbe830442","block_type":"box","text":"Governments in the United States and many other countries (collectively, the “Sanctioning Bodies”) have","page_number":74,"box":{"x":102,"y":748,"width":745,"height":11}},{"id":"0fbb6fe5-117a-46a8-a4b2-5a9e0d798520","block_type":"box","text":"imposed economic sanctions, which can consist of prohibiting certain securities trades, certain private transactions","page_number":74,"box":{"x":70,"y":763,"width":826,"height":11}},{"id":"f244abbf-9f0a-4911-894c-f738fc2faa46","block_type":"box","text":"in the energy sector, asset freezes and prohibition of all business, against certain Russian individuals, including","page_number":74,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"6fb86899-4c44-4d8e-9254-558b04debba6","block_type":"box","text":"politicians, and Russian corporate and banking entities. The Sanctioning Bodies, or others, could also institute","page_number":74,"box":{"x":70,"y":793,"width":788,"height":11}},{"id":"5fd9b72d-3223-4515-a785-4068aee2d89b","block_type":"box","text":"broader sanctions on Russia, including banning Russia from global payments systems that facilitate cross-border","page_number":74,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"f10eb928-2e31-4881-b6b2-968184f3270a","block_type":"box","text":"payments. These sanctions, or even the threat of further sanctions, may result in the decline of the value and","page_number":74,"box":{"x":70,"y":823,"width":782,"height":11}},{"id":"24a69d72-9264-43d2-ae32-c0ee2dc6ec5b","block_type":"box","text":"liquidity of Russian securities, a weakening of the ruble or other adverse consequences to the Russian economy.","page_number":74,"box":{"x":70,"y":838,"width":802,"height":12}},{"id":"6a70f143-0613-46e9-b087-f90c50e9c4a1","block_type":"box","text":"These sanctions have resulted and may continue to result in the immediate freeze of Russian securities and/or","page_number":74,"box":{"x":68,"y":853,"width":797,"height":12}},{"id":"e044e5f2-9500-49f2-bafe-2c396b6cf62c","block_type":"box","text":"funds invested in prohibited assets, impairing the ability of a Fund to buy, sell, receive or deliver those securities","page_number":74,"box":{"x":68,"y":869,"width":804,"height":11}},{"id":"660a84b0-503a-44dc-8bcd-5c3d57749885","block_type":"box","text":"and/or assets. Sanctions could also result in Russia taking counter measures or retaliatory actions which may","page_number":74,"box":{"x":69,"y":884,"width":791,"height":11}},{"id":"85bf4b1a-9569-4ecb-85a7-cb4aecbe9035","block_type":"box","text":"further impair the value and liquidity of Russian securities.","page_number":74,"box":{"x":68,"y":899,"width":417,"height":11}},{"id":"4b7da0a4-6886-4439-86ec-b997b4944287","block_type":"box","text":"II-38","page_number":74,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"894c975e-0f07-4f55-820a-14103e28b695","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":74,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"15d8de0f-f9c3-43ed-a376-ebffe8daa67f","block_type":"box","text":"Risks of Investing in Saudi Arabia.","page_number":75,"box":{"x":102,"y":45,"width":241,"height":11}},{"id":"e3224b7d-5086-4894-8c43-99db77c86516","block_type":"box","text":"The ability of foreign investors (such as a Fund) to invest in Saudi Arabian","page_number":75,"box":{"x":350,"y":45,"width":523,"height":11}},{"id":"31e0c297-7962-4adc-a776-bd88cb13045f","block_type":"box","text":"issuers is new and untested. Such ability could be restricted or revoked by the Saudi Arabian government at any time,","page_number":75,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"32c338e2-78f2-41fa-9e3f-7346367da7c8","block_type":"box","text":"and unforeseen risks could materialize due to foreign ownership in such securities. In addition, the Capital Market","page_number":75,"box":{"x":69,"y":75,"width":814,"height":11}},{"id":"ed0664f3-bcf6-484e-af5b-564e23685647","block_type":"box","text":"Authority (“CMA”) places investment limitations on the ownership of Saudi Arabian issuers by foreign investors,","page_number":75,"box":{"x":68,"y":90,"width":793,"height":11}},{"id":"65ba2801-c1d2-4c0b-b132-c9b63b5f1a02","block_type":"box","text":"including a limitation on a Fund’s ownership of any single issuer listed on the Saudi Arabian Stock Exchange, which","page_number":75,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"f5ecc98f-dbd1-449d-aa59-2b830bd1e10f","block_type":"box","text":"may prevent a Fund from investing in accordance with its strategy and contribute to tracking error against the","page_number":75,"box":{"x":69,"y":120,"width":777,"height":12}},{"id":"088763e2-bf7d-48fa-a072-18d6b83f8fdf","block_type":"box","text":"Underlying Index. These restrictions may be changed or new restrictions, such as licensing requirements, special","page_number":75,"box":{"x":70,"y":136,"width":803,"height":11}},{"id":"e7a1f289-a359-4428-95d1-f5688a7eb1bc","block_type":"box","text":"approvals or additional foreign taxes, may be instituted at any time. A Fund may not be able to obtain or maintain any","page_number":75,"box":{"x":69,"y":150,"width":837,"height":12}},{"id":"f46f7b96-881f-4e9a-b1a2-a41af5f9783b","block_type":"box","text":"such licenses or approvals and may not be able to buy and sell securities at full value. Major disruptions or","page_number":75,"box":{"x":69,"y":166,"width":765,"height":11}},{"id":"9c60b5cd-3a3c-4759-b032-4961b0f42a59","block_type":"box","text":"regulatory changes could occur in the Saudi Arabian market, any of which could negatively impact a Fund. These risks","page_number":75,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"ff26821f-6aa2-4eb3-9df3-1338dcf78225","block_type":"box","text":"may be exacerbated, compared to more developed markets, given the limited history of foreign investment in the","page_number":75,"box":{"x":69,"y":196,"width":805,"height":11}},{"id":"cc7710d8-f4f2-4da4-b73f-b989bee4ae99","block_type":"box","text":"Saudi Arabian market. Investments in Saudi Arabia may also be subject to loss due to expropriation or nationalization","page_number":75,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"f7730f91-d897-4e9e-a88f-6157c2e3b87b","block_type":"box","text":"of assets and property or the imposition of restrictions on additional foreign investments and repatriation of capital.","page_number":75,"box":{"x":69,"y":226,"width":826,"height":11}},{"id":"d45b67a1-8c93-4905-8c7c-522a30a53777","block_type":"box","text":"Such heightened risks may include, among others, restrictions on and government intervention in international trade,","page_number":75,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"4195ec9d-ba22-4a7d-8317-484ef76c5027","block_type":"box","text":"confiscatory taxation, political instability, including authoritarian and/or military involvement in governmental decision","page_number":75,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"10a8a287-1a59-4e0a-9101-6849ef2507c0","block_type":"box","text":"making, armed conflict, crime and instability as a result of religious, ethnic and/or socioeconomic unrest. Saudi","page_number":75,"box":{"x":69,"y":271,"width":797,"height":12}},{"id":"f668c5f8-7dae-4805-b53e-07607bfd7d12","block_type":"box","text":"Arabia has privatized, or has begun the process of privatizing, certain entities and industries. Newly privatized","page_number":75,"box":{"x":68,"y":286,"width":781,"height":12}},{"id":"2c799b5c-2d9a-4a96-9feb-b256c0bd349e","block_type":"box","text":"companies may face strong competition from government-sponsored competitors that have not been privatized. In","page_number":75,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"ca618b0b-490e-4778-8ef2-6fb22b692ab1","block_type":"box","text":"some instances, investors in newly privatized entities have suffered losses due to the inability of the newly privatized","page_number":75,"box":{"x":69,"y":317,"width":833,"height":11}},{"id":"f618c7a3-e7dc-4bd7-9010-882bf6f6e567","block_type":"box","text":"entities to adjust quickly to a competitive environment or changing regulatory and legal standards or, in some cases,","page_number":75,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"927b8a01-6a75-4d12-a7a4-a91b439500ee","block_type":"box","text":"due to re-nationalization of such privatized entities. There is no assurance that similar losses will not recur. Further,","page_number":75,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"0d0022c5-7d7f-4b78-a446-2115331f5f15","block_type":"box","text":"under income tax laws imposed by the Department of Zakat and Income Tax, dividends paid by a Saudi Arabian","page_number":75,"box":{"x":69,"y":362,"width":791,"height":11}},{"id":"f7d3f16c-0b04-4528-956a-2bbe5d33c865","block_type":"box","text":"company to foreign stockholders are generally subject to a 5% withholding tax (different tax rates may apply pursuant","page_number":75,"box":{"x":69,"y":377,"width":835,"height":12}},{"id":"13b171be-ceeb-426b-a24e-ef6daacb7d9c","block_type":"box","text":"to an applicable treaty). Saudi Arabia is highly reliant on income from the sale of petroleum and trade with other","page_number":75,"box":{"x":68,"y":392,"width":799,"height":12}},{"id":"4c892d1b-669e-49fb-b335-0bef699a8f5d","block_type":"box","text":"countries involved in the sale of petroleum, and its economy is therefore vulnerable to changes in foreign currency","page_number":75,"box":{"x":69,"y":407,"width":815,"height":12}},{"id":"e83b6fd3-c2f0-43c4-b03c-f6bb8f56d43f","block_type":"box","text":"values and the market for petroleum. As global demand for petroleum fluctuates, Saudi Arabia may be significantly","page_number":75,"box":{"x":68,"y":423,"width":818,"height":11}},{"id":"4aa01685-34d8-44f4-910e-1362a562d6a0","block_type":"box","text":"impacted.","page_number":75,"box":{"x":70,"y":438,"width":67,"height":11}},{"id":"fbe15e2a-0ae7-4b6e-bc24-8e92b89004b7","block_type":"box","text":"Like most Middle Eastern governments, the government of Saudi Arabia exercises substantial influence over","page_number":75,"box":{"x":102,"y":460,"width":773,"height":12}},{"id":"a2c79d16-7073-4b8c-b036-f145e4b4e0d4","block_type":"box","text":"many aspects of the private sector. Although liberalization in the wider economy is underway, in many areas it has","page_number":75,"box":{"x":69,"y":475,"width":812,"height":12}},{"id":"bf34f7b4-09a6-441b-9823-19728047a79c","block_type":"box","text":"lagged significantly: restrictions on foreign ownership persist, and the government has an ownership stake in many","page_number":75,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"997a0626-0a04-40e9-880a-f3c00b3b40bc","block_type":"box","text":"key industries. The situation is exacerbated by the fact that Saudi Arabia is governed by an absolute monarchy. Saudi","page_number":75,"box":{"x":69,"y":506,"width":836,"height":11}},{"id":"eaff111e-3a4a-42a3-b416-df5c6d9d9667","block_type":"box","text":"Arabia has historically experienced strained relations with economic partners worldwide, including other countries in","page_number":75,"box":{"x":68,"y":521,"width":826,"height":11}},{"id":"e9cdfdc5-9637-4032-b058-217761cc4b79","block_type":"box","text":"the Middle East due to geopolitical events. Incidents involving a Middle Eastern country’s or the region’s security,","page_number":75,"box":{"x":68,"y":536,"width":809,"height":11}},{"id":"86668b92-3eb9-4b6a-a30b-06b5c852e88c","block_type":"box","text":"including terrorism, may cause uncertainty in their markets and may adversely affect its economy and a Fund’s","page_number":75,"box":{"x":70,"y":551,"width":790,"height":11}},{"id":"090061e0-8de5-4f8c-9b39-d62e389e6021","block_type":"box","text":"investments. Governmental actions in the future could have a significant effect on economic conditions in Saudi","page_number":75,"box":{"x":70,"y":566,"width":798,"height":11}},{"id":"60b1eeea-2c23-4281-bdb9-661f6225ac6f","block_type":"box","text":"Arabia, which could affect private sector companies and a Fund, as well as the value of securities in a Fund’s","page_number":75,"box":{"x":68,"y":581,"width":781,"height":11}},{"id":"eec59c69-0ffe-4e56-8aa3-dae705ca82e5","block_type":"box","text":"portfolio. Any economic sanctions on Saudi Arabian individuals or Saudi Arabian corporate entities, or even the threat","page_number":75,"box":{"x":70,"y":596,"width":836,"height":12}},{"id":"95128b88-3c3c-4deb-8279-820315c7e58c","block_type":"box","text":"of sanctions, may result in the decline of the value and liquidity of Saudi Arabian securities, a weakening of the Saudi","page_number":75,"box":{"x":69,"y":612,"width":837,"height":11}},{"id":"f7c408d5-13fb-4e27-817c-2973e0a7605b","block_type":"box","text":"riyal or other adverse consequences to the Saudi Arabian economy. In addition, Saudi Arabia’s economy relies heavily","page_number":75,"box":{"x":69,"y":627,"width":838,"height":11}},{"id":"7f541de8-7eca-443b-8c70-4d5aef47fa66","block_type":"box","text":"on cheap, foreign labor, and changes in the availability of this labor supply could have an adverse effect on the","page_number":75,"box":{"x":69,"y":642,"width":790,"height":11}},{"id":"69d83ec4-4b26-4bfc-943d-a2c4580ebf72","block_type":"box","text":"economy.","page_number":75,"box":{"x":69,"y":659,"width":65,"height":9}},{"id":"5ec9151d-c77e-4ad6-81b2-b933d47a8bf2","block_type":"box","text":"The securities markets in Saudi Arabia may not be as developed as those in other countries. As a result,","page_number":75,"box":{"x":101,"y":680,"width":747,"height":11}},{"id":"ca322604-9802-4bae-8689-8d488fb20c2e","block_type":"box","text":"securities markets in Saudi Arabia are subject to greater risks associated with market volatility, lower market","page_number":75,"box":{"x":69,"y":695,"width":776,"height":11}},{"id":"2a4d9535-03fc-49f6-aa49-5b610d080513","block_type":"box","text":"capitalization, lower trading volume, illiquidity, inflation, greater price fluctuations, uncertainty regarding the existence","page_number":75,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"2259f856-29d7-46c4-af50-c2f9487c3394","block_type":"box","text":"of trading markets, governmental control and heavy regulation of labor and industry. Shares of certain Saudi Arabian","page_number":75,"box":{"x":69,"y":725,"width":830,"height":11}},{"id":"0c9e6753-c906-4768-96c5-60fc7b7ed3ec","block_type":"box","text":"companies tend to trade less frequently than those of companies on exchanges in more developed markets. Such","page_number":75,"box":{"x":69,"y":740,"width":813,"height":11}},{"id":"714fa4f1-5b81-43aa-9fc1-8ec8c91d335b","block_type":"box","text":"infrequent trading may adversely affect the pricing of these securities and a Fund’s ability to sell these securities in","page_number":75,"box":{"x":70,"y":755,"width":822,"height":11}},{"id":"6b7cbe0e-825d-4c75-a987-2f4de7c43515","block_type":"box","text":"the future. Current regulations in Saudi Arabian markets may require a Fund to execute trades of securities through a","page_number":75,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"f10dac51-13ad-407d-bfd2-037a489c5e12","block_type":"box","text":"single broker. As a result, the Manager will have less flexibility to choose among brokers on behalf of a Fund than is","page_number":75,"box":{"x":69,"y":785,"width":826,"height":12}},{"id":"700f9787-0639-4814-aab1-89e47a544bd5","block_type":"box","text":"typically the case for investment managers.","page_number":75,"box":{"x":68,"y":801,"width":309,"height":11}},{"id":"4cf9ee49-8c1f-415d-8667-cdeb8e5a1e5e","block_type":"box","text":"Although the political situation in Saudi Arabia is largely stable, Saudi Arabia has historically experienced political","page_number":75,"box":{"x":101,"y":823,"width":806,"height":12}},{"id":"f7ad08b1-094a-4cca-8cd0-8e371404e690","block_type":"box","text":"instability, and there remains the possibility that the stability will not hold in the future or that instability in the larger","page_number":75,"box":{"x":70,"y":838,"width":828,"height":12}},{"id":"bfe3333d-7d6a-4ff0-a705-e2e101f475f8","block_type":"box","text":"Middle East region could adversely impact the economy of Saudi Arabia. Instability may be caused by military","page_number":75,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"741ed886-2e16-446c-bf16-a3dbf7f7809b","block_type":"box","text":"developments, government interventions in the marketplace, terrorism, extremist attitudes, attempted social or","page_number":75,"box":{"x":69,"y":869,"width":796,"height":11}},{"id":"c767ccb7-2261-4037-8841-514ed2be8371","block_type":"box","text":"political reforms, religious differences, or other factors. Additionally, anti-Western views held by certain groups in the","page_number":75,"box":{"x":70,"y":884,"width":830,"height":11}},{"id":"c0e9cfa9-1fb3-4ff7-9789-6ad5d7e3c582","block_type":"box","text":"Middle East may influence government policies regarding foreign investment. Further developments in U.S. relations","page_number":75,"box":{"x":70,"y":899,"width":827,"height":11}},{"id":"e4a43feb-9e2c-47e1-8d14-00dc52faea7a","block_type":"box","text":"II-39","page_number":75,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bc3c687b-462b-4f51-828a-859d490c0413","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":75,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"68febfc6-29d0-4341-84ec-b3641bfc94f7","block_type":"box","text":"with Saudi Arabia and other Middle-Eastern countries may affect these attitudes and policies. The U.S. is a","page_number":76,"box":{"x":68,"y":45,"width":764,"height":11}},{"id":"d4e34c5f-16f6-4f43-8409-33ed8c0efa6d","block_type":"box","text":"significant, and in some cases the most significant, trading partner of, or foreign investor in, Saudi Arabia. As a","page_number":76,"box":{"x":69,"y":60,"width":795,"height":11}},{"id":"a50d1ec6-2821-448d-ba9e-2b9047206d6d","block_type":"box","text":"result, economic conditions of Saudi Arabia may be particularly affected by changes in the U.S. economy. A decrease","page_number":76,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"ef7ecfdc-fa2d-45ae-809e-fe42c02a6dfa","block_type":"box","text":"in U.S. imports or exports, new trade and financial regulations or tariffs, changes in the U.S. dollar exchange rate or","page_number":76,"box":{"x":70,"y":90,"width":829,"height":11}},{"id":"ea63141c-4710-4467-9a76-6caa10c712ce","block_type":"box","text":"an economic slowdown in the U.S. may have a material adverse effect on the economic conditions of Saudi Arabia","page_number":76,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"f080d6b4-184a-4ea8-83a6-5c8203a6e9be","block_type":"box","text":"and, as a result, securities to which the Fund has exposure. Political instability in North Africa and the larger Middle","page_number":76,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"2bb52b95-1ef2-4e0a-90a5-d8fedfad1438","block_type":"box","text":"East region has caused significant disruptions to many industries. Continued political and social unrest in these","page_number":76,"box":{"x":70,"y":135,"width":797,"height":12}},{"id":"324d84d2-77dd-401a-9022-5daaf970f3a7","block_type":"box","text":"areas may negatively affect the value of securities in a Fund’s portfolio.","page_number":76,"box":{"x":69,"y":150,"width":510,"height":12}},{"id":"e5ea6a7f-1738-4f3f-bf03-9548bc6f8bc0","block_type":"box","text":"Certain issuers located in Saudi Arabia may operate in, or have dealings with, countries subject to sanctions","page_number":76,"box":{"x":102,"y":173,"width":773,"height":11}},{"id":"7da2cbe3-e1fb-4983-ae80-b6b62d2ad291","block_type":"box","text":"and/or embargoes imposed by the U.S. Government and the United Nations and/or countries identified by the U.S.","page_number":76,"box":{"x":69,"y":188,"width":820,"height":12}},{"id":"d4cc7cbc-18d2-4434-b265-21a922729f70","block_type":"box","text":"Government as state sponsors of terrorism. As a result, an issuer may sustain damage to its reputation if it is","page_number":76,"box":{"x":69,"y":203,"width":787,"height":12}},{"id":"1a8e5112-9c4f-4cf7-bdb4-8b35c1d680bf","block_type":"box","text":"identified as an issuer which operates in, or has dealings with, such countries. A Fund, as an investor in such issuers","page_number":76,"box":{"x":70,"y":218,"width":837,"height":12}},{"id":"21229d2b-8dd5-4d3e-9a4a-43f306d3f594","block_type":"box","text":"will be indirectly subject to those risks.","page_number":76,"box":{"x":68,"y":234,"width":277,"height":11}},{"id":"80756e0c-1fee-4314-8267-b0d2a06eae63","block_type":"box","text":"Risks of Investing in Venezuela.","page_number":76,"box":{"x":102,"y":256,"width":223,"height":12}},{"id":"00e18ad9-9e75-4bda-b894-fa16e20537ff","block_type":"box","text":"Investment in Venezuela may subject a Fund to legal, regulatory, political,","page_number":76,"box":{"x":332,"y":257,"width":521,"height":11}},{"id":"7b94cc93-c910-46ad-a31c-327b08949364","block_type":"box","text":"currency, security, expropriation and/or nationalization of assets and economic risk specific to Venezuela. Venezuela","page_number":76,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"f3429e0b-29de-486b-ae10-0fd9d83199ef","block_type":"box","text":"is extremely well endowed with natural resources, including oil and natural gas, and its economy is heavily dependent","page_number":76,"box":{"x":70,"y":287,"width":837,"height":11}},{"id":"f4059768-1feb-4d22-b101-50a08acdc25e","block_type":"box","text":"on export of natural resources to key trading partners. Any act of terrorism, an armed conflict or a breakdown of a","page_number":76,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"10b01a42-b3c6-4f70-b3b0-79c6c776c44d","block_type":"box","text":"key trading relationship that disrupts the production or export of natural resources will likely negatively affect the","page_number":76,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"84d4dc07-e330-49a2-a1a4-2105bf733700","block_type":"box","text":"Venezuelan economy. The government continues to control key sectors of the economy, including upstream oil and","page_number":76,"box":{"x":68,"y":332,"width":816,"height":11}},{"id":"d622416f-ac92-4609-929d-a0dc740d5a93","block_type":"box","text":"gas production, and has sought to increase its role in key sectors, such as telecommunications and steel.","page_number":76,"box":{"x":68,"y":347,"width":758,"height":11}},{"id":"5d745969-9e4c-4ee8-8d66-f3d6d2035778","block_type":"box","text":"Meanwhile, ambiguities in the investment environment remain, such as continued high levels of bureaucracy and","page_number":76,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"783a3ea9-828e-4595-b009-2090ff443135","block_type":"box","text":"corruption, large macroeconomic imbalances, and political and policy uncertainty. Friction continues between the","page_number":76,"box":{"x":69,"y":377,"width":804,"height":12}},{"id":"c167e44f-8514-4f27-b8f0-41b533dffbd1","block_type":"box","text":"governments of the U.S. and Venezuela. The U.S. has imposed economic sanctions, which consist of asset freezes","page_number":76,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"e205fac0-ff1e-4d4f-990f-c0454e47ecfc","block_type":"box","text":"and sectoral sanctions, on certain Venezuelan individuals and Venezuelan corporate entities, and on the Venezuelan","page_number":76,"box":{"x":69,"y":408,"width":827,"height":10}},{"id":"5e337d2b-60ef-404e-8e13-ec0d4aea0445","block_type":"box","text":"government. The U.S. could also institute broader sanctions on Venezuela. The U.S. has also taken military action","page_number":76,"box":{"x":68,"y":423,"width":814,"height":11}},{"id":"b6409cd3-bb8c-4686-8b3f-40d85f3e9d83","block_type":"box","text":"against Venezuela in an effort to effect regime change. Military action, sanctions, or even the threat of further","page_number":76,"box":{"x":69,"y":438,"width":787,"height":11}},{"id":"bbb673ba-1f3b-409d-a20f-f802f8ad1558","block_type":"box","text":"military action and sanctions, may result in the decline of the value and liquidity of Venezuelan securities, a","page_number":76,"box":{"x":69,"y":453,"width":766,"height":11}},{"id":"fb6f58eb-0271-443b-9a75-e6bd47c205c4","block_type":"box","text":"weakening of the bolivar or other adverse consequences to the Venezuelan economy. These sanctions impair the","page_number":76,"box":{"x":68,"y":468,"width":804,"height":11}},{"id":"f631020d-04b0-49e3-a3fd-658445d58847","block_type":"box","text":"ability of a Fund to buy, sell, receive or deliver those securities and/or assets. Additional sanctions against Venezuela","page_number":76,"box":{"x":69,"y":483,"width":838,"height":11}},{"id":"0d69ab2c-f7f5-42ae-a099-119a488f5f3c","block_type":"box","text":"may in the future be imposed by the U.S. or other countries. These factors, among others, can have a negative","page_number":76,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"53d25ae3-f894-472b-9efd-de149dce5821","block_type":"box","text":"impact on a Fund’s investments.","page_number":76,"box":{"x":70,"y":514,"width":230,"height":10}},{"id":"1e34e16c-1453-44c2-b133-642d2f58e9c6","block_type":"box","text":"Brady Bonds.","page_number":76,"box":{"x":102,"y":536,"width":92,"height":11}},{"id":"5377f376-887e-4493-b40c-0194a990cecd","block_type":"box","text":"Certain Funds may invest in Brady Bonds. A Fund’s emerging market debt securities may include","page_number":76,"box":{"x":201,"y":536,"width":689,"height":11}},{"id":"cc6afc0b-7918-40a0-9040-e10a30fce11f","block_type":"box","text":"emerging market governmental debt obligations commonly referred to as Brady Bonds. Brady Bonds are securities","page_number":76,"box":{"x":69,"y":551,"width":815,"height":11}},{"id":"83a2c5af-0146-4725-8ce7-07dd2fbb3842","block_type":"box","text":"created through the exchange of existing commercial bank loans to sovereign entities for new obligations in","page_number":76,"box":{"x":69,"y":566,"width":766,"height":11}},{"id":"fff85c76-34a4-4d78-93d8-950d4d4a5e36","block_type":"box","text":"connection with debt restructurings under a debt restructuring plan introduced by former U.S. Secretary of the","page_number":76,"box":{"x":69,"y":581,"width":784,"height":12}},{"id":"0b46425a-bc8b-41b3-b212-03fe382235c5","block_type":"box","text":"Treasury, Nicholas F. Brady (the “Brady Plan”). Brady Plan debt restructurings have been implemented in a number of","page_number":76,"box":{"x":68,"y":596,"width":837,"height":12}},{"id":"33e3ef88-43a2-4ba1-b904-120cc3f46945","block_type":"box","text":"countries, including: Argentina, Bolivia, Brazil, Bulgaria, Costa Rica, the Dominican Republic, Ecuador, Jordan, Mexico,","page_number":76,"box":{"x":69,"y":612,"width":839,"height":11}},{"id":"d12590d5-9bc3-4501-b59a-107a1ee1ecde","block_type":"box","text":"Niger, Nigeria, Panama, Peru, the Philippines, Poland, Uruguay, Venezuela, and Vietnam. Beginning in the early","page_number":76,"box":{"x":70,"y":627,"width":786,"height":11}},{"id":"f7e594cc-a778-4fcc-84d9-5ba20a9d86ad","block_type":"box","text":"2000s, certain countries began retiring their Brady Bonds, including Brazil, Colombia, Mexico, the Philippines, and","page_number":76,"box":{"x":69,"y":642,"width":814,"height":11}},{"id":"001e95b0-3af0-4be5-afe4-303b4605fc66","block_type":"box","text":"Venezuela.","page_number":76,"box":{"x":68,"y":657,"width":75,"height":9}},{"id":"b2d5ef35-73de-4d47-ac51-365f85c1e40c","block_type":"box","text":"Brady Bonds may be collateralized or uncollateralized, are issued in various currencies (primarily the U.S. dollar)","page_number":76,"box":{"x":102,"y":680,"width":798,"height":11}},{"id":"28cf9d9f-a05a-4262-91cc-5f2e6bf4c90d","block_type":"box","text":"and are actively traded in the OTC secondary market. Brady Bonds are not considered to be U.S. Government","page_number":76,"box":{"x":69,"y":695,"width":780,"height":11}},{"id":"37f4b970-342c-4692-8403-5d853e80de7a","block_type":"box","text":"Securities. U.S. dollar-denominated, collateralized Brady Bonds, which may be fixed rate par bonds or floating rate","page_number":76,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"15f66c9d-43aa-404d-b386-a6a5d5dee841","block_type":"box","text":"discount bonds, are generally collateralized in full as to principal by U.S. Treasury zero-coupon bonds having the","page_number":76,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"d595e386-f0b2-4734-8811-816931d3990f","block_type":"box","text":"same maturity as the Brady Bonds. Interest payments on these Brady Bonds generally are collateralized on a one","page_number":76,"box":{"x":69,"y":740,"width":812,"height":11}},{"id":"baa31450-e791-4656-93cb-fa4fe880a2fc","block_type":"box","text":"year or longer rolling-forward basis by cash or securities in an amount that, in the case of fixed rate bonds, is equal","page_number":76,"box":{"x":68,"y":755,"width":823,"height":11}},{"id":"6ae8f6bb-e00b-4080-9ad9-0bc70af78943","block_type":"box","text":"to at least one year of interest payments or, in the case of floating rate bonds, initially is equal to at least one year’s","page_number":76,"box":{"x":68,"y":770,"width":833,"height":12}},{"id":"435a1899-d09c-4c0d-8b7d-3643baf786f8","block_type":"box","text":"interest payments based on the applicable interest rate at that time and is adjusted at regular intervals thereafter.","page_number":76,"box":{"x":70,"y":785,"width":816,"height":12}},{"id":"19e56a12-7da2-40db-b941-9f68ae32109f","block_type":"box","text":"Certain Brady Bonds are entitled to “value recovery payments” in certain circumstances, which in effect constitute","page_number":76,"box":{"x":69,"y":801,"width":818,"height":11}},{"id":"83667999-a1cf-4bd9-9ffa-8cab6c68ec31","block_type":"box","text":"supplemental interest payments but generally are not collateralized. Brady Bonds are often viewed as having three or","page_number":76,"box":{"x":69,"y":816,"width":835,"height":11}},{"id":"e372759c-10ee-42cc-891f-9d6ac24f802e","block_type":"box","text":"four valuation components: (i) the collateralized repayment of principal at final maturity; (ii) the collateralized interest","page_number":76,"box":{"x":68,"y":831,"width":832,"height":11}},{"id":"ff9e21e6-787d-4f22-b027-1619a750b5c3","block_type":"box","text":"payments; (iii) the uncollateralized interest payments; and (iv) any uncollateralized repayment of principal at maturity","page_number":76,"box":{"x":70,"y":846,"width":828,"height":11}},{"id":"e7554497-a992-4519-b015-b50cfdff9145","block_type":"box","text":"(the uncollateralized amounts constitute the “residual risk”).","page_number":76,"box":{"x":69,"y":861,"width":430,"height":11}},{"id":"9698356a-a14e-43bd-91c8-86a5f0c5fbbb","block_type":"box","text":"Brady Bonds involve various risk factors described above associated with investing in foreign securities, including","page_number":76,"box":{"x":102,"y":884,"width":807,"height":11}},{"id":"df70284a-9738-4744-8306-522dc374143c","block_type":"box","text":"the history of defaults with respect to commercial bank loans by public and private entities of countries issuing Brady","page_number":76,"box":{"x":68,"y":899,"width":838,"height":11}},{"id":"97c617a6-479a-42ed-b0de-bd14c51b98f2","block_type":"box","text":"II-40","page_number":76,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"14646223-833e-47d9-867c-32103fcf4ef6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":76,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e004b813-e6f4-4581-bcaa-314e670c11ec","block_type":"box","text":"Bonds. In light of the residual risk of Brady Bonds and, among other factors, the history of defaults, investments in","page_number":77,"box":{"x":70,"y":45,"width":819,"height":11}},{"id":"c1169800-6048-4c73-b8f8-e720fcbfdee2","block_type":"box","text":"Brady Bonds are considered speculative. There can be no assurance that Brady Bonds in which the Funds may invest","page_number":77,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"b7509f47-5b8f-455b-b6a2-51e705c183ea","block_type":"box","text":"will not be subject to restructuring arrangements or to requests for new credit, which may cause the Funds to suffer a","page_number":77,"box":{"x":68,"y":75,"width":841,"height":11}},{"id":"e33bf96c-1804-418d-8e8f-c66f3bd42599","block_type":"box","text":"loss of interest or principal on any of its holdings.","page_number":77,"box":{"x":70,"y":90,"width":351,"height":11}},{"id":"c885c704-2f10-4bb4-9b4d-4216a5c14608","block_type":"box","text":"China Investments Risk.","page_number":77,"box":{"x":102,"y":113,"width":171,"height":9}},{"id":"86309bf5-e863-493b-a1aa-36810c291fee","block_type":"box","text":"Investments in securities of companies domiciled in the People’s Republic of China (“China” or the “PRC”),","page_number":77,"box":{"x":102,"y":135,"width":763,"height":11}},{"id":"f4b28248-8981-4356-a3f1-362319bd307d","block_type":"box","text":"including certain Hong Kong-listed and U.S.-listed securities, involve a high degree of risk and special considerations","page_number":77,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"0f7d72e3-6e03-4d12-a4da-1fc75282ec5e","block_type":"box","text":"not typically associated with investing in the U.S. securities markets. Such heightened risks include, among others,","page_number":77,"box":{"x":69,"y":166,"width":821,"height":11}},{"id":"e6767c3c-3026-4043-a451-6f796f6ba99a","block_type":"box","text":"an authoritarian government, popular unrest associated with demands for improved political, economic and social","page_number":77,"box":{"x":69,"y":181,"width":809,"height":11}},{"id":"b28146c3-55c0-4208-a340-f3fe818fac3c","block_type":"box","text":"conditions, the impact of regional conflict on the economy and hostile relations with other countries.","page_number":77,"box":{"x":69,"y":196,"width":713,"height":11}},{"id":"6eaaace9-1281-46e3-9ce4-27bcc68e0da3","block_type":"box","text":"Military conflicts, either in response to internal social unrest or conflicts with other countries, could disrupt","page_number":77,"box":{"x":102,"y":218,"width":762,"height":12}},{"id":"e6e5e48f-bf83-4bae-a2d8-ab63313701db","block_type":"box","text":"economic development. The Chinese economy is vulnerable to the long-running disagreements and religious and","page_number":77,"box":{"x":69,"y":234,"width":800,"height":11}},{"id":"193f8b12-474c-453a-9307-81d3a072ced8","block_type":"box","text":"nationalist disputes with Tibet and the Xinjiang region. Since 1997, there have been tensions between the Chinese","page_number":77,"box":{"x":69,"y":249,"width":820,"height":11}},{"id":"11506830-d0eb-4c48-9539-733330e657d2","block_type":"box","text":"government and many people in Hong Kong who perceive China as tightening control over Hong Kong’s semi","page_number":77,"box":{"x":68,"y":264,"width":777,"height":11}},{"id":"14b7077e-3abb-4860-abc9-5268e7e730bc","block_type":"box","text":"autonomous liberal political, economic, legal, and social framework. Protests and unrest have increased tensions","page_number":77,"box":{"x":69,"y":279,"width":809,"height":11}},{"id":"8319caff-feaa-45c7-a034-ca5e8acbe494","block_type":"box","text":"even further. Due to the interconnected nature of the Hong Kong and Chinese economies, this instability in Hong","page_number":77,"box":{"x":69,"y":294,"width":805,"height":11}},{"id":"8cce85cc-4f8e-47be-b907-a5ada9de9ba5","block_type":"box","text":"Kong may cause uncertainty in the Hong Kong and Chinese markets. China has a complex territorial dispute","page_number":77,"box":{"x":70,"y":309,"width":770,"height":11}},{"id":"a389f057-a3b6-47a3-ae3e-cec225ae3f73","block_type":"box","text":"regarding the sovereignty of Taiwan and has made threats of invasion. Taiwan-based companies and individuals are","page_number":77,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"c0f54e3e-6f2b-45d1-b4fd-42979c2cce08","block_type":"box","text":"significant investors in China. The continuing hostility between China and Taiwan may have an adverse impact on the","page_number":77,"box":{"x":69,"y":339,"width":831,"height":12}},{"id":"bcef0255-3419-4219-a779-d9b716dddf07","block_type":"box","text":"value of the Fund’s investments in China or Taiwan, may cause a suspension in a Fund’s ability to trade in certain","page_number":77,"box":{"x":68,"y":355,"width":812,"height":11}},{"id":"ab83b783-796b-4422-a2f4-b70ba1fbbcac","block_type":"box","text":"securities or other assets or may otherwise make such investments impracticable or impossible. Any escalation of","page_number":77,"box":{"x":69,"y":370,"width":818,"height":11}},{"id":"0b55efa4-1e47-473b-96ab-5e750244ffbd","block_type":"box","text":"hostility between China and Taiwan would likely have a significant adverse impact on the value of the Fund’s","page_number":77,"box":{"x":69,"y":385,"width":769,"height":11}},{"id":"6fac978e-69bd-427b-a2c2-2893bb1519e6","block_type":"box","text":"investments in both countries and the region. In addition, China has strained international relations with Japan, India,","page_number":77,"box":{"x":70,"y":400,"width":836,"height":11}},{"id":"d175272d-4e44-4def-badf-2560478cc978","block_type":"box","text":"the Philippines and other neighbors due to territorial disputes, historical animosities and other defense concerns.","page_number":77,"box":{"x":68,"y":415,"width":810,"height":11}},{"id":"5e245161-e651-4f54-88bd-804077084706","block_type":"box","text":"Frictions between China and the Philippines in the South China Sea pose a risk of escalation potentially leading to","page_number":77,"box":{"x":70,"y":430,"width":813,"height":11}},{"id":"b919644b-8f76-4b37-bf51-b8e94ce1db39","block_type":"box","text":"military conflict. Additionally, China is alleged to have participated in state-sponsored cyberattacks against foreign","page_number":77,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"ea870f4b-955e-4356-bc81-0f0f9552c01f","block_type":"box","text":"companies and foreign governments. Actual and threatened responses to such activity and strained international","page_number":77,"box":{"x":69,"y":460,"width":804,"height":12}},{"id":"23b2573a-472f-4c38-afa0-6ef00698fc53","block_type":"box","text":"relations, including purchasing restrictions, sanctions, tariffs or cyberattacks on the Chinese government or Chinese","page_number":77,"box":{"x":69,"y":475,"width":829,"height":12}},{"id":"212b8ad2-73b7-4159-98ef-dcd0cd64091c","block_type":"box","text":"companies, may impact China’s economy and Chinese issuers of securities in which a Fund invests. China could be","page_number":77,"box":{"x":69,"y":491,"width":825,"height":11}},{"id":"01290a33-5f4e-4a5e-b58b-0d2a953e4216","block_type":"box","text":"affected by military events on the Korean peninsula or internal instability within North Korea. These situations may","page_number":77,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"c1ad35c8-d4c4-4078-9683-07542a854547","block_type":"box","text":"cause uncertainty in the Chinese market and may adversely affect the performance of the Chinese economy.","page_number":77,"box":{"x":69,"y":521,"width":776,"height":11}},{"id":"aca3cf4a-237d-4ad2-8e66-66a98bdf0eb9","block_type":"box","text":"The Chinese government has implemented economic reforms in order to liberalize trade policy, promote foreign","page_number":77,"box":{"x":101,"y":543,"width":792,"height":12}},{"id":"c84052a9-e48e-4593-86df-a743f3bc3e47","block_type":"box","text":"investment in the economy, reduce government control of the economy and develop market mechanisms. However,","page_number":77,"box":{"x":70,"y":559,"width":818,"height":11}},{"id":"cc0e2f3f-4333-4f23-b993-4eb7a1af4691","block_type":"box","text":"the Chinese government still exercises substantial influence over many aspects of the private sector and may own or","page_number":77,"box":{"x":68,"y":574,"width":835,"height":11}},{"id":"8c87d45d-86b2-44d4-b668-47d323432d09","block_type":"box","text":"control many companies. Chinese companies, such as those in the financial services or technology sectors, and","page_number":77,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"39ea5a9f-3a53-4643-8dca-f5dbaf7ce00f","block_type":"box","text":"potentially other sectors in the future, are subject to the risk that Chinese authorities can intervene in their","page_number":77,"box":{"x":70,"y":604,"width":763,"height":11}},{"id":"0e70e9b2-e933-49f3-8b1a-bfcbf5883727","block_type":"box","text":"operations and structure. The Chinese government continues to maintain a major role in economic policymaking and","page_number":77,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"c1e5ee32-ddb9-401b-8675-454a314bae25","block_type":"box","text":"investing in China involves risk of loss due to expropriation, nationalization, confiscation of assets and property or","page_number":77,"box":{"x":70,"y":634,"width":813,"height":12}},{"id":"7288fc93-6572-4744-af5a-819a7ee2f8ba","block_type":"box","text":"the imposition of restrictions on foreign investments and on repatriation of capital invested.","page_number":77,"box":{"x":68,"y":649,"width":653,"height":12}},{"id":"e70c026b-ea5b-4401-a2aa-64ccceb4d97e","block_type":"box","text":"The Chinese government may intervene in the Chinese financial markets, such as by the imposition of trading","page_number":77,"box":{"x":101,"y":672,"width":783,"height":11}},{"id":"08677e8e-03ed-4ea9-865a-73b036c6bc2d","block_type":"box","text":"restrictions, a ban on “naked” short selling or the suspension of short selling for certain stocks. This may affect","page_number":77,"box":{"x":69,"y":687,"width":805,"height":11}},{"id":"d204e21e-7614-4ce2-9ebe-f8162171e4a9","block_type":"box","text":"market price and liquidity of these stocks, and may have an unpredictable impact on the investment activities of the","page_number":77,"box":{"x":69,"y":702,"width":827,"height":11}},{"id":"68e03f08-ea35-44b9-91aa-5ac5ce30ec49","block_type":"box","text":"Funds. Furthermore, such market interventions may have a negative impact on market sentiment which may in turn","page_number":77,"box":{"x":70,"y":718,"width":821,"height":11}},{"id":"67650449-16f7-4d6e-84fa-0ae944d9ca8d","block_type":"box","text":"affect the performance of the securities markets and as a result the performance of the Funds.","page_number":77,"box":{"x":69,"y":732,"width":683,"height":11}},{"id":"e654cae1-4ffa-481b-9fc2-715c84362b39","block_type":"box","text":"In addition, there is less regulation and monitoring of Chinese securities markets and the activities of investors,","page_number":77,"box":{"x":102,"y":755,"width":797,"height":11}},{"id":"46ca1d1c-6154-402f-8b1e-ece350b06328","block_type":"box","text":"brokers and other participants than in the United States. Accordingly, issuers of securities in China, including","page_number":77,"box":{"x":69,"y":770,"width":779,"height":12}},{"id":"44cdb880-668b-429f-9409-235969b3074d","block_type":"box","text":"Chinese companies that are listed on U.S. exchanges, are not subject to the same degree of regulation as are U.S.","page_number":77,"box":{"x":69,"y":785,"width":822,"height":12}},{"id":"6c937e57-d105-4fb9-a0db-059103ea5013","block_type":"box","text":"issuers with respect to such matters as insider trading rules, tender offer regulation, accounting standards or auditor","page_number":77,"box":{"x":70,"y":801,"width":836,"height":11}},{"id":"01b72b54-4fe9-4219-a057-fe441e61e0d0","block_type":"box","text":"oversight, stockholder proxy requirements and the requirements mandating timely and accurate disclosure of","page_number":77,"box":{"x":69,"y":816,"width":778,"height":11}},{"id":"0b25ccae-f258-47be-a1cd-c64db03e6276","block_type":"box","text":"information. Securities markets in China are in the process of change and further development. This may lead to","page_number":77,"box":{"x":70,"y":831,"width":803,"height":11}},{"id":"980e573c-5067-4992-ac02-3214ace6bfdd","block_type":"box","text":"trading volatility, difficulty in the settlement and recording of transactions and difficulty in interpreting and applying","page_number":77,"box":{"x":68,"y":846,"width":816,"height":11}},{"id":"c6e750b1-385e-4dbf-bcc1-29fd1ae7e231","block_type":"box","text":"the relevant regulation. Custodians may not be able to offer the level of service and safe-keeping in relation to the","page_number":77,"box":{"x":68,"y":861,"width":816,"height":11}},{"id":"5e517a2d-0479-4a81-b7eb-ba50f69a034c","block_type":"box","text":"settlement and administration of securities in China that is customary in more developed markets. In particular,","page_number":77,"box":{"x":69,"y":876,"width":798,"height":11}},{"id":"d3861865-7886-47cf-9dd1-0580a2419dc7","block_type":"box","text":"there is a risk that a Fund may not be recognized as the owner of securities that are held on behalf of the Fund by a","page_number":77,"box":{"x":68,"y":891,"width":826,"height":12}},{"id":"98984507-7249-46c3-90dc-a7a156cbec57","block_type":"box","text":"sub-custodian.","page_number":77,"box":{"x":69,"y":907,"width":102,"height":8}},{"id":"9c3fb312-960a-4b62-a5d5-f15243475fe7","block_type":"box","text":"II-41","page_number":77,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5ad3c421-0bb3-4209-919d-1c6cd1a4cea1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":77,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"13b8eebb-ec9b-41fc-b86a-7c407c12c055","block_type":"box","text":"There may be significant obstacles to obtaining information necessary for investigations into or litigation against","page_number":78,"box":{"x":101,"y":45,"width":801,"height":11}},{"id":"e7fdfdeb-8c80-4cfc-b30c-0b2361f7d894","block_type":"box","text":"Chinese companies, and shareholders may have limited legal remedies. The Funds do not select investments based","page_number":78,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"b02a9ffe-b115-4ca4-9509-b0d22896eaf1","block_type":"box","text":"on investor protection considerations.","page_number":78,"box":{"x":69,"y":75,"width":268,"height":11}},{"id":"a5045a04-6bea-4453-ba72-fb88189c08d9","block_type":"box","text":"The Chinese government historically took positions that prevented the U.S. Public Company Accounting Oversight","page_number":78,"box":{"x":101,"y":98,"width":806,"height":11}},{"id":"0b0c191f-6b64-47e6-9c6f-bd02214ec366","block_type":"box","text":"Board (“PCAOB”) from inspecting the audit work and practices of accounting firms in mainland China and Hong Kong","page_number":78,"box":{"x":70,"y":113,"width":829,"height":11}},{"id":"acd3eca0-e2ae-4749-b6c6-4356d5da159c","block_type":"box","text":"for compliance with U.S. law and professional standards. On August 26, 2022, the PCAOB signed a Statement of","page_number":78,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"69539596-e6b7-4953-9f32-89b07b59b67d","block_type":"box","text":"Protocol with the China Securities Regulatory Commission and the Ministry of Finance of the PRC, which marked the","page_number":78,"box":{"x":69,"y":143,"width":829,"height":11}},{"id":"a527d371-5ec3-4e5b-88cc-16dfdea487b7","block_type":"box","text":"first step toward opening access for the PCAOB to inspect and investigate registered public accounting firms","page_number":78,"box":{"x":68,"y":158,"width":774,"height":11}},{"id":"91cac66f-1c42-4da0-b84d-3650ee93d7ce","block_type":"box","text":"headquartered in mainland China and Hong Kong completely in accordance with U.S. law. However, as this","page_number":78,"box":{"x":69,"y":173,"width":760,"height":11}},{"id":"55b6d876-f128-49cb-98f8-7a1420ea6076","block_type":"box","text":"development is relatively recent, the implementation of the Statement of Protocol remains to be tested. Audits","page_number":78,"box":{"x":69,"y":188,"width":788,"height":11}},{"id":"04be30b9-85b1-4f57-a41b-c8bde53f9cba","block_type":"box","text":"performed by PCAOB-registered accounting firms in mainland China and Hong Kong may be less reliable than those","page_number":78,"box":{"x":70,"y":203,"width":822,"height":12}},{"id":"7685608a-8af7-41de-9233-1b4b2f448633","block_type":"box","text":"performed by firms subject to PCAOB inspection. Accordingly, information about the Chinese securities in which the","page_number":78,"box":{"x":70,"y":218,"width":821,"height":12}},{"id":"8588284b-1b3e-413e-abcd-78e481b170e0","block_type":"box","text":"Funds invest may be less reliable or complete. Under amendments to the Sarbanes-Oxley Act enacted in December","page_number":78,"box":{"x":70,"y":234,"width":820,"height":11}},{"id":"8dd830b7-b857-4263-b488-665396d7aed1","block_type":"box","text":"2020, which requires that the PCAOB be permitted to inspect the accounting firm of a U.S.-listed Chinese issuer,","page_number":78,"box":{"x":69,"y":249,"width":805,"height":11}},{"id":"6880acc0-b6da-4955-8e84-b7be419d5351","block_type":"box","text":"Chinese companies with securities listed on U.S. exchanges may be delisted if the PCAOB is unable to inspect the","page_number":78,"box":{"x":69,"y":264,"width":816,"height":11}},{"id":"a5ac159d-53f3-4f17-8ae5-f0ba95473f58","block_type":"box","text":"accounting firm.","page_number":78,"box":{"x":69,"y":279,"width":112,"height":11}},{"id":"af063b65-01ff-4eac-9b84-73a9e9088a98","block_type":"box","text":"The Renminbi (“RMB”) is currently not a freely convertible currency and is subject to foreign exchange control","page_number":78,"box":{"x":101,"y":302,"width":780,"height":11}},{"id":"e664406c-60f8-47ef-ba7d-64f229695658","block_type":"box","text":"policies and repatriation restrictions imposed by the Chinese government. The imposition of currency controls may","page_number":78,"box":{"x":70,"y":317,"width":815,"height":11}},{"id":"8f82641e-8801-4590-b4c5-5c5e407dc537","block_type":"box","text":"negatively impact performance and liquidity of the Funds as capital may become trapped in the PRC. The Funds could","page_number":78,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"83427584-f599-4cbc-b106-56df0dee271c","block_type":"box","text":"be adversely affected by delays in, or a refusal to grant, any required governmental approval for repatriation of","page_number":78,"box":{"x":69,"y":347,"width":787,"height":11}},{"id":"04e432f7-761c-41ea-9493-71a0c7cecfdb","block_type":"box","text":"capital, as well as by the application to the Funds of any restrictions on investments. Investing in entities either in, or","page_number":78,"box":{"x":69,"y":362,"width":837,"height":11}},{"id":"43e5c8bd-607b-401e-a7af-fb5cbb1a1e80","block_type":"box","text":"which have a substantial portion of their operations in, the PRC may require the Funds to adopt special procedures,","page_number":78,"box":{"x":68,"y":377,"width":825,"height":11}},{"id":"20306768-7d77-420d-b057-5cf3e6081e61","block_type":"box","text":"seek local government approvals or take other actions, each of which may involve additional costs and delays to the","page_number":78,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"ac1cb8c3-b9fa-49ce-a5fb-daf631c6f07a","block_type":"box","text":"Funds. The Fund may also incur costs in connection with conversions between U.S. dollars and RMB, as well as in","page_number":78,"box":{"x":70,"y":408,"width":812,"height":11}},{"id":"3fc9dee6-fb5f-4997-b61e-6b625e690559","block_type":"box","text":"connection with conversions between the two separate types of RMB, the onshore RMB (“CNY”) and the offshore","page_number":78,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"62129ad8-da11-44e2-bfc0-f825f4e6a8c2","block_type":"box","text":"RMB (“CNH”).","page_number":78,"box":{"x":70,"y":438,"width":97,"height":11}},{"id":"daaad900-dd05-42de-927a-1c1dbe06eac1","block_type":"box","text":"Many Chinese companies listed on U.S. exchanges use variable interest entities or “VIEs” in their structure as a","page_number":78,"box":{"x":102,"y":460,"width":802,"height":12}},{"id":"57f8bb18-ce42-4af0-b701-87dabbdea0ac","block_type":"box","text":"result of foreign ownership restrictions. In a VIE structure, a Chinese operating company establishes a shell company","page_number":78,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"5e623581-7ae3-448b-938d-a33cf156a57e","block_type":"box","text":"in another jurisdiction to issue stock to public shareholders. When a VIE structure is used by a Chinese company to","page_number":78,"box":{"x":70,"y":491,"width":822,"height":11}},{"id":"a46546bc-8537-4e3d-965a-e18bc4fd733a","block_type":"box","text":"list its stock in the U.S., instead of owning the equity securities of the Chinese company, the U.S.-listed shell","page_number":78,"box":{"x":70,"y":506,"width":775,"height":11}},{"id":"a296e3bb-4342-410d-819a-f185e9197add","block_type":"box","text":"company directly or indirectly enters into contracts with the Chinese operating company under Chinese law. These","page_number":78,"box":{"x":69,"y":521,"width":809,"height":11}},{"id":"1a6da5b2-9fbe-43f2-ac4b-f7b358f4b888","block_type":"box","text":"contracts provide the U.S.-listed shell company with only economic exposure to the Chinese company and do not","page_number":78,"box":{"x":69,"y":536,"width":803,"height":11}},{"id":"ef305f53-0da2-4a92-a211-dc376147b970","block_type":"box","text":"represent equity ownership in the operating company.","page_number":78,"box":{"x":69,"y":551,"width":380,"height":11}},{"id":"fef9ea0e-0000-4311-868e-669a08225486","block_type":"box","text":"While VIEs are a longstanding practice that is well known to Chinese officials and regulators, they have not been","page_number":78,"box":{"x":101,"y":574,"width":801,"height":11}},{"id":"ddda0fde-17e6-484a-938d-b55c91859789","block_type":"box","text":"formally recognized under Chinese law. The Chinese government has provided guidance to and placed restrictions on","page_number":78,"box":{"x":68,"y":589,"width":833,"height":11}},{"id":"4069ef85-2553-4ee8-be42-d65903310c71","block_type":"box","text":"Chinese-based companies raising capital offshore, including through VIEs. In 2023, the China Securities Regulatory","page_number":78,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"2d787d0f-08da-447a-a7c3-fcd692f53cfa","block_type":"box","text":"Commission (“CSRC”) released new rules that permit the use of VIE structures, provided they abide by Chinese laws","page_number":78,"box":{"x":69,"y":619,"width":832,"height":11}},{"id":"204cae0a-be35-46d2-87f9-7852216151bf","block_type":"box","text":"and register with the CSRC. The rules, however, may cause Chinese companies to undergo greater scrutiny and add","page_number":78,"box":{"x":69,"y":634,"width":826,"height":12}},{"id":"6f26df9c-4c08-483a-8c9c-f927925be9d0","block_type":"box","text":"costs to VIE structures. Intervention, rulemaking or guidance by the Chinese government with respect to VIE","page_number":78,"box":{"x":69,"y":649,"width":770,"height":12}},{"id":"4e0c1bfe-0298-46d5-a2bb-6a96d54b33b4","block_type":"box","text":"structures or the non-enforcement of VIE-related contractual rights could significantly affect the operating company’s","page_number":78,"box":{"x":69,"y":664,"width":829,"height":12}},{"id":"43d5d58e-1c1b-4bb6-9d3f-f51ce50153b3","block_type":"box","text":"business in China, the enforceability of the U.S.-listed shell company’s contractual arrangements with the Chinese","page_number":78,"box":{"x":69,"y":680,"width":815,"height":11}},{"id":"03ce6430-06ee-4897-b10c-d192ad8817aa","block_type":"box","text":"company and the value of the U.S.-listed stock. Further, the VIE contractual arrangement would likely be subject to","page_number":78,"box":{"x":69,"y":695,"width":815,"height":11}},{"id":"dc3db4f4-728e-4564-bef4-b0bc6ca91916","block_type":"box","text":"Chinese law and jurisdiction, and remedies available to the U.S.-listed shell company are uncertain and could be","page_number":78,"box":{"x":69,"y":710,"width":802,"height":11}},{"id":"5beddcdd-69fc-4347-b792-f28004a6ca1f","block_type":"box","text":"ineffective. In addition to the risk of government intervention, investments through a VIE structure are subject to the","page_number":78,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"b20bf08a-5d24-4435-9e16-5b349b48dd42","block_type":"box","text":"risk that the China-based company (or its officers, directors, or Chinese equity owners) may breach those contractual","page_number":78,"box":{"x":69,"y":740,"width":833,"height":11}},{"id":"b1e99697-40d6-426c-8a93-b3fb26c6f95d","block_type":"box","text":"arrangements, or Chinese law changes in a way that adversely affects the enforceability of these arrangements, or","page_number":78,"box":{"x":69,"y":755,"width":819,"height":11}},{"id":"a27a99a9-5cdf-42a9-80ea-6e14798cf1fa","block_type":"box","text":"those contracts are otherwise not enforceable under Chinese law, in which case the Fund may suffer significant","page_number":78,"box":{"x":68,"y":770,"width":798,"height":12}},{"id":"1597e56d-0306-4c3c-aa7e-4119627238b8","block_type":"box","text":"losses on its investments through a VIE structure with little or no recourse available. Any change in the operations of","page_number":78,"box":{"x":70,"y":785,"width":833,"height":12}},{"id":"22b41620-6557-4135-84b1-270425dfdbc3","block_type":"box","text":"entities in a VIE structure, the status of VIE contractual arrangements or the legal or regulatory environment in China,","page_number":78,"box":{"x":69,"y":801,"width":837,"height":11}},{"id":"8a98703a-b863-4fba-8cd0-2013bb491824","block_type":"box","text":"generally or with respect to specific industries, could result in significant, and possibly permanent and/or total,","page_number":78,"box":{"x":68,"y":816,"width":792,"height":11}},{"id":"69202759-fc4d-4c86-a245-e834b651a872","block_type":"box","text":"losses to a Fund.","page_number":78,"box":{"x":70,"y":831,"width":120,"height":9}},{"id":"69c7daeb-6253-4d16-8d3b-490fca10b68d","block_type":"box","text":"While the Chinese economy has experienced past periods of rapid growth, there is no assurance that such","page_number":78,"box":{"x":101,"y":853,"width":760,"height":12}},{"id":"f311013b-b498-40ff-9ee6-94803680a4b6","block_type":"box","text":"growth rates will recur. Other economic challenges for China include indebtedness, weak consumer demand, trade","page_number":78,"box":{"x":68,"y":869,"width":815,"height":11}},{"id":"a021f23a-c370-47ca-9afb-eca274bf447c","block_type":"box","text":"tensions, and an aging population. China continues to face pressure from its trading partners over its exporting of its","page_number":78,"box":{"x":68,"y":884,"width":837,"height":11}},{"id":"24adb9d2-0c9e-42d7-9c15-44acb0673087","block_type":"box","text":"excess industrial capacity and overall approach to economic management. China’s economy is heavily dependent on","page_number":78,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"b26cc606-7d53-4e8f-9954-1ebf799f6ff8","block_type":"box","text":"II-42","page_number":78,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"607f84b5-e34a-4cfa-b326-f65573e56862","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":78,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f340a819-11b1-432b-95a2-f56be0a5611c","block_type":"box","text":"export growth. Reduction in spending on Chinese products and services, supply chain diversification, institution of","page_number":79,"box":{"x":69,"y":45,"width":815,"height":11}},{"id":"a8feae84-ac54-423c-ba04-41913a94dfe5","block_type":"box","text":"additional tariffs, sanctions or other trade barriers (including as a result of heightened trade tensions between China","page_number":79,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"647deada-fc37-4a3e-8b80-05cab718656d","block_type":"box","text":"and the United States or in response to actual or alleged Chinese cyber activity) or a downturn in any of the","page_number":79,"box":{"x":69,"y":75,"width":765,"height":11}},{"id":"5892608e-5443-4608-b59e-9b036663bd52","block_type":"box","text":"economies of China’s key trading partners may have an adverse impact on the Chinese economy and the companies","page_number":79,"box":{"x":69,"y":90,"width":833,"height":11}},{"id":"fd0f7593-4dc4-4333-8e14-ec8eda6ce33b","block_type":"box","text":"in which a Fund invests. Certain Chinese companies (which may change from time to time) are directly or indirectly","page_number":79,"box":{"x":70,"y":105,"width":816,"height":11}},{"id":"76a7145e-1d07-43a5-bb6f-f71cc4589580","block_type":"box","text":"subject to economic or trade restrictions imposed by the U.S. or other governments due to national security, human","page_number":79,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"5359640f-7056-41b4-b5aa-cd15bca789b1","block_type":"box","text":"rights or other concerns of such government. For example, certain foreign technology companies are subject to U.S.","page_number":79,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"c002682a-006b-43d9-889e-851d1f5cb174","block_type":"box","text":"export controls as those companies are believed to pose a risk to U.S. interests. The U.S. also bans imports of","page_number":79,"box":{"x":69,"y":150,"width":798,"height":11}},{"id":"373c27f6-d6e3-4098-a7c9-4e0d93b1b9f0","block_type":"box","text":"goods produced in certain regions of China or by certain Chinese companies due to concerns about forced labor.","page_number":79,"box":{"x":68,"y":166,"width":805,"height":11}},{"id":"91871b24-cc8f-4a4f-a2c2-1329cbe88056","block_type":"box","text":"Such restrictions may have unanticipated and adverse effects on the Chinese economy and companies. Any action","page_number":79,"box":{"x":69,"y":181,"width":817,"height":11}},{"id":"f5a53886-963b-4cf5-9b68-e81ab4fbb20c","block_type":"box","text":"that targets Chinese financial markets or securities exchanges could interfere with orderly trading, delay settlement","page_number":79,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"4b4f6f86-64ce-4599-bc0e-b49613c301d8","block_type":"box","text":"or cause market disruptions. Certain companies may be subject to economic or trade restrictions (but not investment","page_number":79,"box":{"x":69,"y":211,"width":839,"height":11}},{"id":"1038c61f-516f-4e00-b5a5-9a8c2ec963e9","block_type":"box","text":"restrictions) imposed by the U.S. or other governments due to national security, human rights or other concerns of","page_number":79,"box":{"x":69,"y":226,"width":815,"height":11}},{"id":"a1809304-18ed-470b-8532-6313294a6135","block_type":"box","text":"such government. So long as these restrictions do not include restrictions on investments, the Fund may invest in","page_number":79,"box":{"x":69,"y":241,"width":812,"height":11}},{"id":"20baa156-2a21-49ad-8961-5f889cfccd85","block_type":"box","text":"such companies.","page_number":79,"box":{"x":69,"y":257,"width":119,"height":10}},{"id":"0676302b-4ac9-4e98-a67f-a86997059b84","block_type":"box","text":"The tax laws and regulations in the PRC are subject to change, including the issuance of authoritative guidance","page_number":79,"box":{"x":101,"y":279,"width":792,"height":11}},{"id":"08bfbe14-5784-4801-b9e4-16867ab76d6a","block_type":"box","text":"or enforcement, possibly with retroactive effect. The interpretation, applicability and enforcement of such laws by PRC","page_number":79,"box":{"x":69,"y":294,"width":840,"height":11}},{"id":"873878d7-41fd-4516-aa4f-dd9c9ee4ec22","block_type":"box","text":"tax authorities are not as consistent and transparent as those of more developed nations, and may vary over time","page_number":79,"box":{"x":68,"y":309,"width":815,"height":11}},{"id":"3ce54821-25b3-419e-8085-070676520c2c","block_type":"box","text":"and from region to region. The application and enforcement of PRC tax rules could have a significant adverse effect","page_number":79,"box":{"x":69,"y":324,"width":823,"height":12}},{"id":"5edde4aa-010c-46a0-8230-9d763039b912","block_type":"box","text":"on a Fund and its investors, particularly in relation to capital gains withholding tax imposed upon non-residents. In","page_number":79,"box":{"x":69,"y":340,"width":812,"height":11}},{"id":"d980eec5-cf42-4a41-aecf-9aa3ae612c26","block_type":"box","text":"addition, the accounting, auditing and financial reporting standards and practices applicable to Chinese companies","page_number":79,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"918c1db4-ece3-4612-b9a1-71cec3a162e8","block_type":"box","text":"may be less rigorous, and may result in significant differences between financial statements prepared in accordance","page_number":79,"box":{"x":69,"y":370,"width":832,"height":11}},{"id":"ca211740-b73d-4333-91a5-9575f99fe967","block_type":"box","text":"with PRC accounting standards and practice and those prepared in accordance with international accounting","page_number":79,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"ab63cb6d-24c9-445b-ba5c-f54d3aa8615a","block_type":"box","text":"standards.","page_number":79,"box":{"x":69,"y":400,"width":74,"height":9}},{"id":"b6253fcc-550a-4e59-a2c2-fa85966333ea","block_type":"box","text":"From time to time and in recent years, China has experienced outbreaks of infectious illnesses and the country","page_number":79,"box":{"x":102,"y":423,"width":794,"height":11}},{"id":"c12d36eb-91b3-495d-8650-60c61237702e","block_type":"box","text":"may be subject to other public health threats, infectious illnesses, diseases or similar issues in the future. Any","page_number":79,"box":{"x":69,"y":438,"width":792,"height":11}},{"id":"b1e1d952-821b-474a-8ca4-3760941d578d","block_type":"box","text":"spread of an infectious illness, public health threat or similar issue could reduce consumer demand or economic","page_number":79,"box":{"x":69,"y":453,"width":803,"height":11}},{"id":"a6da0c5d-2bcf-43d8-b668-8e3735cf386a","block_type":"box","text":"output, result in market closures, travel restrictions or quarantines, and generally have a significant impact on the","page_number":79,"box":{"x":69,"y":468,"width":811,"height":11}},{"id":"b221ee9d-5d00-4238-bd7d-323e29b04ebc","block_type":"box","text":"Chinese economy, which in turn could adversely affect a Fund’s investments.","page_number":79,"box":{"x":69,"y":483,"width":548,"height":11}},{"id":"b3827095-65d8-4b4c-b31a-b5429fc54103","block_type":"box","text":"Risk of Investing through Stock Connect.","page_number":79,"box":{"x":102,"y":506,"width":288,"height":11}},{"id":"692fede7-c1dd-4548-babb-c978c2251f77","block_type":"box","text":"General","page_number":79,"box":{"x":102,"y":529,"width":55,"height":8}},{"id":"cdd992a6-377a-49de-8ae3-dabb85cb9ce9","block_type":"box","text":". China A-shares are equity securities of companies domiciled in China that trade on Chinese stock","page_number":79,"box":{"x":158,"y":528,"width":704,"height":12}},{"id":"32ff516d-ccf4-4c72-b72e-efd33df823a0","block_type":"box","text":"exchanges such as the Shanghai Stock Exchange (“SSE”), the Shenzhen Stock Exchange (“SZSE”) and the Beijing","page_number":79,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"ea5c78b6-cb6f-4210-bf25-53479fdfc964","block_type":"box","text":"Stock Exchange (“BSE”) (“A-shares”). Foreign investment in A-shares on the SSE and SZSE is not permitted, other","page_number":79,"box":{"x":69,"y":559,"width":815,"height":11}},{"id":"5c9eff9d-c4c9-44d6-8c70-822aba05a747","block_type":"box","text":"than pursuant to available exceptions, such as through a qualified foreign investor approved pursuant to the relevant","page_number":79,"box":{"x":68,"y":574,"width":833,"height":11}},{"id":"d42a7e2a-ee67-412e-8e3c-973d64b6e9af","block_type":"box","text":"mainland China laws and regulations as may be promulgated and/or amended from time to time (“QFI”).","page_number":79,"box":{"x":69,"y":589,"width":744,"height":11}},{"id":"401d7e8c-812a-4c99-934a-bd1e9c63c4bc","block_type":"box","text":"Investment in eligible exchange traded funds and A-shares listed and traded on the SSE or SZSE (“Stock","page_number":79,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"5b24775f-ad54-4bbc-a23b-a46a2fcdc586","block_type":"box","text":"Connect Securities”) is also permitted through the Shanghai-Hong Kong Stock Connect program or the Shenzhen","page_number":79,"box":{"x":69,"y":627,"width":807,"height":11}},{"id":"ee3f90e7-1b1c-4f7c-90ba-3168e1789ac3","block_type":"box","text":"Hong Kong Stock Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). Each","page_number":79,"box":{"x":70,"y":642,"width":834,"height":11}},{"id":"cf30776b-7a0e-403a-af3e-8c8b8fed8d9b","block_type":"box","text":"Stock Connect is a securities trading and clearing links program established by The Stock Exchange of Hong Kong","page_number":79,"box":{"x":69,"y":657,"width":812,"height":11}},{"id":"f08de33a-2549-4796-ac87-6ffc720c311e","block_type":"box","text":"Limited (“SEHK”), the Hong Kong Securities Clearing Company Limited (“HKSCC”), the SSE or SZSE, as applicable,","page_number":79,"box":{"x":70,"y":672,"width":819,"height":11}},{"id":"35d228fb-520e-436d-99d1-15fdc7dd49f8","block_type":"box","text":"and China Securities Depository and Clearing Corporation Limited (“CSDCC”) that aims to provide mutual stock","page_number":79,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"c456f82c-036a-4608-a8fd-91e9e7b9a576","block_type":"box","text":"market access between the PRC and Hong Kong by permitting investors to trade and settle shares on each market","page_number":79,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"10a46083-c877-4ae0-a1e2-17041668a512","block_type":"box","text":"through their local securities brokers. Under Stock Connects, a Fund’s trading of Stock Connect Securities listed on","page_number":79,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"e25b0f73-2382-49ca-bd7d-6b02710a8653","block_type":"box","text":"the SSE or SZSE, as applicable, would be effectuated through its Hong Kong broker and a securities trading service","page_number":79,"box":{"x":68,"y":732,"width":827,"height":12}},{"id":"48c80d8f-0f62-43c4-9a10-9ceded1be673","block_type":"box","text":"company established by SEHK.","page_number":79,"box":{"x":69,"y":748,"width":219,"height":11}},{"id":"467de9e5-0a3b-4b68-b1b3-023542caa7ce","block_type":"box","text":"Although no individual investment quotas or licensing requirements apply to investors in Stock Connect, trading","page_number":79,"box":{"x":101,"y":770,"width":794,"height":12}},{"id":"27af4024-091c-4120-99f6-2feb1f98fd4f","block_type":"box","text":"through a Stock Connect’s Northbound Trading Link is subject to daily investment quota limitations which require that","page_number":79,"box":{"x":68,"y":786,"width":839,"height":11}},{"id":"a4b9cf00-0bba-44cc-aaa1-ec956fc24a4e","block_type":"box","text":"buy orders for Stock Connect Securities be rejected once the daily quota is exceeded (although a Fund will be","page_number":79,"box":{"x":69,"y":801,"width":779,"height":11}},{"id":"e77a2228-cf7c-433e-8606-a8c3d7364f79","block_type":"box","text":"permitted to sell their Stock Connect Securities regardless of the quota). These limitations may restrict a Fund from","page_number":79,"box":{"x":70,"y":816,"width":824,"height":11}},{"id":"49810e00-4e23-49e2-8bb8-5264bada2a21","block_type":"box","text":"investing in Stock Connect Securities on a timely basis, which could affect the Fund’s ability to effectively pursue its","page_number":79,"box":{"x":70,"y":831,"width":827,"height":11}},{"id":"c7229049-fcb6-48e4-9b42-15b457428d57","block_type":"box","text":"investment strategy. Investment quotas are also subject to change. Investment in Stock Connect Securities through a","page_number":79,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"1c0db1f8-b107-4902-8ea0-985d1f8bd67e","block_type":"box","text":"Stock Connect is subject to trading, clearance and settlement procedures that could pose risks to a Fund. Stock","page_number":79,"box":{"x":69,"y":861,"width":802,"height":11}},{"id":"c2eb29f3-91b9-4011-8217-076ceeec9c0d","block_type":"box","text":"Connect Securities purchased through Stock Connects generally may not be sold or otherwise transferred other than","page_number":79,"box":{"x":69,"y":876,"width":831,"height":11}},{"id":"c23d7e16-0b01-42d1-bc5d-b1b0ada56feb","block_type":"box","text":"through Stock Connects in accordance with applicable rules. For example, the PRC regulations require that in order","page_number":79,"box":{"x":68,"y":891,"width":821,"height":12}},{"id":"6c0ea815-7418-4130-8955-412ffc62a7b6","block_type":"box","text":"for an investor to sell any Stock Connect Securities on a certain trading day, there must be sufficient Stock Connect","page_number":79,"box":{"x":68,"y":906,"width":829,"height":12}},{"id":"163f00e9-b663-4143-bb07-ef94082a0ba9","block_type":"box","text":"II-43","page_number":79,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"eb5542e6-fd05-4562-9d6a-737ada6a3668","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":79,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8410574e-0094-4f39-9434-402a29da5884","block_type":"box","text":"Securities in the investor’s account before the market opens on that day. If there are insufficient Stock Connect","page_number":80,"box":{"x":69,"y":45,"width":797,"height":11}},{"id":"160c19ff-1cf3-4463-b17a-2916c2a6ceef","block_type":"box","text":"Securities in the investor’s account, the sell order will be rejected by the SSE or SZSE, as applicable. SEHK carries","page_number":80,"box":{"x":69,"y":60,"width":820,"height":11}},{"id":"508db3ba-8008-466e-b85d-454c52ec38b0","block_type":"box","text":"out pre-trade checking on sell orders of certain stocks listed on the SSE market (“SSE Securities”) or SZSE market","page_number":80,"box":{"x":69,"y":75,"width":820,"height":11}},{"id":"70842302-47c3-456e-994a-82ca0be75306","block_type":"box","text":"(“SZSE Securities”) of its participants (","page_number":80,"box":{"x":69,"y":90,"width":278,"height":11}},{"id":"5d05ac5e-8cdd-49f9-850b-78fd2b1e2f4b","block_type":"box","text":"i.e.","page_number":80,"box":{"x":349,"y":90,"width":21,"height":9}},{"id":"854ead52-666e-4805-9da6-35c50d6e2ee4","block_type":"box","text":", stock brokers) to ensure that this requirement is satisfied. While shares","page_number":80,"box":{"x":372,"y":90,"width":524,"height":11}},{"id":"03797945-9d31-4862-b62c-7db808c85734","block_type":"box","text":"must be designated as eligible to be traded under a Stock Connect, those shares may also lose such designation,","page_number":80,"box":{"x":69,"y":105,"width":815,"height":11}},{"id":"e41edd2b-5e9b-4bc3-90c5-3819858114bf","block_type":"box","text":"and if this occurs, such shares may be sold but cannot be purchased through a Stock Connect. In addition, Stock","page_number":80,"box":{"x":69,"y":120,"width":810,"height":12}},{"id":"d848ca6d-4005-4f67-b29b-435c22284c1c","block_type":"box","text":"Connects will only operate on days when both the Chinese and Hong Kong markets are open for trading, and banking","page_number":80,"box":{"x":69,"y":135,"width":834,"height":12}},{"id":"4d299521-8801-4819-a3e3-5cf5dec41f7f","block_type":"box","text":"services are available in both markets on the corresponding settlement days. Therefore, an investment in Stock","page_number":80,"box":{"x":69,"y":150,"width":799,"height":12}},{"id":"7daa2460-10a1-44d7-a9d2-65e1cf6c8597","block_type":"box","text":"Connect Securities through a Stock Connect may subject a Fund to a risk of price fluctuations on days when the","page_number":80,"box":{"x":69,"y":166,"width":797,"height":11}},{"id":"4ed7d5e5-a2d8-41df-83f8-5f38176d2ab2","block_type":"box","text":"Chinese market is open, but a Stock Connect is not trading. Moreover, day (turnaround) trading is not permitted on","page_number":80,"box":{"x":69,"y":181,"width":818,"height":11}},{"id":"8c6922c3-3b0f-4bd8-b578-a49d9eace864","block_type":"box","text":"the Stock Connect Securities market. If an investor buys Stock Connect Securities on day “T,” the investor will only","page_number":80,"box":{"x":68,"y":196,"width":820,"height":11}},{"id":"dedd6b5c-d30b-4a3f-ad3f-d58912d7b972","block_type":"box","text":"be able to sell the Stock Connect Securities on or after day T+1. Further, since all trades of Stock Connect Securities","page_number":80,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"f0ba1090-671d-4f2b-b806-8efe91fa8bee","block_type":"box","text":"must be settled in RMB, investors must have timely access to a reliable supply of offshore RMB, which cannot be","page_number":80,"box":{"x":69,"y":226,"width":811,"height":11}},{"id":"dca959fd-6428-48b4-a2c7-0ff5e8b6f6c6","block_type":"box","text":"guaranteed. There is also no assurance that RMB will not be subject to devaluation. Any devaluation of RMB could","page_number":80,"box":{"x":68,"y":241,"width":815,"height":11}},{"id":"c9633456-0c8f-49ac-b52b-ed16090bd29a","block_type":"box","text":"adversely affect a Fund’s investments. If a Fund holds a class of shares denominated in a local currency other than","page_number":80,"box":{"x":69,"y":256,"width":824,"height":11}},{"id":"beb43d33-662f-4e6d-8f45-512905f6d453","block_type":"box","text":"RMB, the Fund will be exposed to currency exchange risk if the Fund converts the local currency into RMB for","page_number":80,"box":{"x":70,"y":271,"width":777,"height":12}},{"id":"94cb0c24-354a-4675-bc9a-0da0cccbce61","block_type":"box","text":"investments in Stock Connect Securities. A Fund may also incur conversion costs.","page_number":80,"box":{"x":70,"y":287,"width":582,"height":11}},{"id":"5895d085-1814-4cd7-84ad-7a55a507c832","block_type":"box","text":"Stock Connect Securities held through the nominee structure under a Stock Connect will be held through HKSCC","page_number":80,"box":{"x":102,"y":309,"width":802,"height":11}},{"id":"c9dc97d7-8b80-414e-937b-e2fb8b13d2df","block_type":"box","text":"as nominee on behalf of investors. The precise nature and rights of a Fund as the beneficial owner of the SSE","page_number":80,"box":{"x":69,"y":324,"width":784,"height":12}},{"id":"f0a1b796-6e60-4c0e-a55e-3d71b8d93440","block_type":"box","text":"Securities or SZSE Securities through HKSCC as nominee is not well defined under the PRC laws. There is a lack of a","page_number":80,"box":{"x":69,"y":339,"width":837,"height":12}},{"id":"bfacdbf0-e3ee-44a7-9a61-be509d30b3b3","block_type":"box","text":"clear definition of, and distinction between, legal ownership and beneficial ownership under the PRC laws and there","page_number":80,"box":{"x":69,"y":355,"width":822,"height":11}},{"id":"08d8c7e9-5511-46fc-8598-f302bb1f4465","block_type":"box","text":"have been few cases involving a nominee account structure in the PRC courts. The exact nature and methods of","page_number":80,"box":{"x":69,"y":370,"width":802,"height":11}},{"id":"d1ad4c5e-6a6c-425f-abdd-e9baec8da0bc","block_type":"box","text":"enforcement of the rights and interests of a Fund under the PRC laws is also uncertain. In the unlikely event that","page_number":80,"box":{"x":69,"y":385,"width":805,"height":11}},{"id":"42ac5648-0299-449a-9cf0-058a48994781","block_type":"box","text":"HKSCC becomes subject to winding up proceedings in Hong Kong, there is a risk that the SSE Securities or SZSE","page_number":80,"box":{"x":70,"y":400,"width":807,"height":11}},{"id":"1f69915f-8b74-444f-a04b-703b77b52d00","block_type":"box","text":"Securities may not be regarded as held for the beneficial ownership of a Fund or as part of the general assets of","page_number":80,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"e4101bfe-394e-4e4b-b82a-ced0444b2d6b","block_type":"box","text":"HKSCC available for general distribution to its creditors. Notwithstanding the fact that HKSCC does not claim","page_number":80,"box":{"x":70,"y":430,"width":774,"height":11}},{"id":"a54f5697-1ebe-4376-bf46-5993430daa46","block_type":"box","text":"proprietary interests in the SSE Securities or SZSE Securities held in its omnibus stock account in the CSDCC, the","page_number":80,"box":{"x":70,"y":445,"width":816,"height":11}},{"id":"57b23bd0-be7c-423c-8a8e-e5fc7cc2cd5b","block_type":"box","text":"CSDCC as the share registrar for SSE- or SZSE-listed companies will still treat HKSCC as one of the shareholders","page_number":80,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"816ab843-b777-4f6d-9595-a1e46308fbfa","block_type":"box","text":"when it handles corporate actions in respect of such SSE Securities or SZSE Securities. HKSCC monitors the","page_number":80,"box":{"x":68,"y":475,"width":779,"height":11}},{"id":"beb7f3ca-8564-432c-8971-4b0f83f43aa1","block_type":"box","text":"corporate actions affecting SSE Securities and SZSE Securities and keeps participants of Central Clearing and","page_number":80,"box":{"x":69,"y":491,"width":788,"height":11}},{"id":"5ba2bb07-392d-4564-8af7-16697eb8d5f0","block_type":"box","text":"Settlement System (“CCASS”) informed of all such corporate actions that require CCASS participants to take steps in","page_number":80,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"38da2a77-114c-4779-89ec-f89a0a85c26e","block_type":"box","text":"order to participate in them. Investors may only exercise their voting rights by providing their voting instructions to","page_number":80,"box":{"x":69,"y":521,"width":811,"height":11}},{"id":"31355855-ead5-4465-8ab9-0fca7dc008cf","block_type":"box","text":"HKSCC through participants of CCASS. All voting instructions from CCASS participants will be consolidated by","page_number":80,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"b6c34cbf-9f3d-4c7c-af03-659974bcaa0b","block_type":"box","text":"HKSCC, who will then submit a combined single voting instruction to the relevant SSE- or SZSE-listed company. As a","page_number":80,"box":{"x":70,"y":551,"width":826,"height":11}},{"id":"06f9425d-525f-40ea-b5e6-bc342ab76da8","block_type":"box","text":"result, a Fund may suffer difficulties or delays in enforcing its rights in SSE Securities or SZSE Securities.","page_number":80,"box":{"x":69,"y":566,"width":752,"height":11}},{"id":"4c351588-7f79-4ff9-a6ff-ab93ad03727c","block_type":"box","text":"Hong Kong’s Investor Compensation Fund is established to pay compensation to investors of any nationality who","page_number":80,"box":{"x":102,"y":589,"width":804,"height":11}},{"id":"b929f4db-c6dd-4ffb-be01-6701e5fb034f","block_type":"box","text":"suffer pecuniary losses as a result of default of a licensed intermediary or authorized financial institution in relation","page_number":80,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"4a5494e9-6a3c-4a7c-afcb-cb59891e62bb","block_type":"box","text":"to exchange-traded products in Hong Kong. For defaults occurring on or after January 1, 2020, Hong Kong’s","page_number":80,"box":{"x":68,"y":619,"width":769,"height":11}},{"id":"f0097b81-0652-4d7b-b4fd-c2da40fc27db","block_type":"box","text":"Investor Compensation Fund covers investors’ losses in relation to securities (i) that are traded on the SSE or the","page_number":80,"box":{"x":70,"y":634,"width":809,"height":11}},{"id":"810642c5-ffad-4859-8549-a372bef1a977","block_type":"box","text":"SZSE and (ii) in respect of which an order for sale or purchase is permitted to be routed through the Northbound","page_number":80,"box":{"x":69,"y":649,"width":801,"height":12}},{"id":"a5101914-d733-4061-bd20-37a6a8530b05","block_type":"box","text":"Trading Link of a Stock Connect. On the other hand, since a Fund carries out Northbound trading through securities","page_number":80,"box":{"x":68,"y":664,"width":822,"height":12}},{"id":"6d5572d3-19f5-4029-9a40-bee7b89891a3","block_type":"box","text":"brokers in Hong Kong but not PRC brokers, it is not protected by the China Securities Investor Protection Fund in the","page_number":80,"box":{"x":69,"y":680,"width":829,"height":11}},{"id":"e95f6511-7566-464e-a362-2a3c4aa5b0b6","block_type":"box","text":"PRC.","page_number":80,"box":{"x":69,"y":695,"width":32,"height":9}},{"id":"ae6a5a61-3860-4fa4-b975-829c3cb49e9b","block_type":"box","text":"Market participants are able to participate in Stock Connects subject to meeting certain information technology","page_number":80,"box":{"x":102,"y":717,"width":796,"height":12}},{"id":"b6ce1ac6-8820-4f43-ac22-f13aef415ced","block_type":"box","text":"capability, risk management and other requirements as may be specified by the relevant exchange and/or clearing","page_number":80,"box":{"x":69,"y":732,"width":815,"height":12}},{"id":"b6de1a52-0bf3-4768-8183-74701f85b638","block_type":"box","text":"house. Further, the “connectivity” in Stock Connects requires routing of orders across the border of Hong Kong and","page_number":80,"box":{"x":69,"y":748,"width":822,"height":11}},{"id":"474dcbb4-1c72-4ec0-af76-f92ddb2ee916","block_type":"box","text":"the PRC. This requires the development of new information technology systems on the part of SEHK and exchange","page_number":80,"box":{"x":68,"y":763,"width":818,"height":11}},{"id":"a7dc7596-e062-42c0-898e-1959be92cb67","block_type":"box","text":"participants. There is no assurance that the systems of SEHK and market participants will function properly or will","page_number":80,"box":{"x":70,"y":778,"width":813,"height":11}},{"id":"73197cc8-630d-4239-9628-f2cd4f0140b0","block_type":"box","text":"continue to be adapted to changes and developments in both markets. In the event that the relevant systems fail to","page_number":80,"box":{"x":69,"y":793,"width":827,"height":11}},{"id":"5f4bb287-d8c5-4035-bb9d-954cd08efc3f","block_type":"box","text":"function properly, trading in Stock Connect Securities through Stock Connects could be disrupted.","page_number":80,"box":{"x":68,"y":808,"width":695,"height":11}},{"id":"66a8a73b-4edc-4d32-9ea0-0521b1e6fa07","block_type":"box","text":"The Shanghai-Hong Kong Stock Connect program launched in November 2014 and the Shenzhen-Hong Kong","page_number":80,"box":{"x":101,"y":831,"width":772,"height":11}},{"id":"ed29a940-16c4-40ee-8bb6-3bf35267bd3d","block_type":"box","text":"Stock Connect program launched in December 2016. Each program does not have an extensive operating history.","page_number":80,"box":{"x":69,"y":846,"width":810,"height":11}},{"id":"6e2745cd-47cc-40ee-957f-354e26c011c4","block_type":"box","text":"New or revised regulations may be issued from time to time by the regulators and stock exchanges in China and","page_number":80,"box":{"x":70,"y":861,"width":798,"height":11}},{"id":"9d945af0-0e4c-42b1-a216-959fbffc972e","block_type":"box","text":"Hong Kong in connection with operations, legal enforcement and cross-border trades under Stock Connects. In","page_number":80,"box":{"x":70,"y":876,"width":786,"height":11}},{"id":"13c116d4-64be-46bd-90a0-888ffc7a2100","block_type":"box","text":"addition, there can be no assurance that Stock Connect will not be discontinued. A Fund may be adversely affected","page_number":80,"box":{"x":69,"y":891,"width":821,"height":11}},{"id":"f276a52e-d64b-4733-907c-4140ea5ad02d","block_type":"box","text":"as a result of such changes. Furthermore, the securities regimes and legal systems of China and Hong Kong differ","page_number":80,"box":{"x":69,"y":906,"width":819,"height":12}},{"id":"13f8227c-3d04-4386-a371-fb713580f5ad","block_type":"box","text":"II-44","page_number":80,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a52830e8-2efa-486b-b301-fd77fbea12ac","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":80,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"701538e9-eb48-48ec-aea4-265b1bb2d0aa","block_type":"box","text":"significantly and issues may arise from the differences on an on-going basis. In the event that the relevant systems","page_number":81,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"0cd5c2a3-af3a-4cfb-9a2f-dd80fe87a494","block_type":"box","text":"fail to function properly, trading in both markets through Stock Connects could be disrupted and a Fund’s ability to","page_number":81,"box":{"x":68,"y":60,"width":814,"height":11}},{"id":"60d3dd62-0a2b-4dbf-b100-5474c174ba59","block_type":"box","text":"achieve its investment objective may be adversely affected. In addition, a Fund’s investments in Stock Connect","page_number":81,"box":{"x":69,"y":75,"width":793,"height":11}},{"id":"4f3ffd2f-60a1-4231-9c21-14c496562e42","block_type":"box","text":"Securities through Stock Connects are generally subject to Chinese securities regulations and listing rules, among","page_number":81,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"94099d76-a799-43f5-ab3d-e295a6a61403","block_type":"box","text":"other restrictions. Further, different fees, costs and taxes are imposed on foreign investors acquiring Stock Connect","page_number":81,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"778d77f2-07b5-4a4c-84a9-7c2abacf0b0a","block_type":"box","text":"Securities through Stock Connects, and these fees, costs and taxes may be higher than comparable fees, costs and","page_number":81,"box":{"x":69,"y":120,"width":831,"height":12}},{"id":"12f16ac9-29da-4025-b6d7-d2c8f2414db3","block_type":"box","text":"taxes imposed on owners of other securities providing similar investment exposure.","page_number":81,"box":{"x":68,"y":135,"width":596,"height":12}},{"id":"19b4f3e9-ca02-4a72-973b-3e8fceb6f7b2","block_type":"box","text":"Suspension Risk.","page_number":81,"box":{"x":102,"y":158,"width":122,"height":11}},{"id":"77756dc7-19e9-4311-8fd3-e124cd1a0c72","block_type":"box","text":"SSE Securities and SZSE Securities may only be bought from, or sold to, a Fund at times when","page_number":81,"box":{"x":231,"y":158,"width":675,"height":11}},{"id":"d39427d6-44dd-4b89-b0a6-acb23cbb2d0a","block_type":"box","text":"the relevant SSE Securities and SZSE Securities may be sold or purchased on the relevant Chinese stock exchange.","page_number":81,"box":{"x":68,"y":173,"width":829,"height":11}},{"id":"ff16385a-1c59-4897-bc54-ba5846f14f5f","block_type":"box","text":"The SSE Securities and SZSE Securities markets have a higher propensity for trading suspensions than many other","page_number":81,"box":{"x":68,"y":188,"width":823,"height":12}},{"id":"4b61da1a-0018-436d-a0aa-9100ad656d51","block_type":"box","text":"global equity markets. Each of the SEHK, SSE and SZSE reserves the right to suspend trading of SSE Securities and","page_number":81,"box":{"x":68,"y":203,"width":831,"height":12}},{"id":"83e2ebfb-f6e0-45b5-b0c5-c5cc321abb27","block_type":"box","text":"SZSE Securities purchased on the Stock Connects if necessary for ensuring an orderly and fair market and ensuring","page_number":81,"box":{"x":69,"y":218,"width":828,"height":12}},{"id":"226e148e-968a-4ce4-a29f-a429c18be898","block_type":"box","text":"that risks are managed prudently. Consent from the relevant regulator would be sought before a suspension of","page_number":81,"box":{"x":68,"y":234,"width":791,"height":11}},{"id":"d1a4f5f9-7973-4834-8e09-d437eedeb3cb","block_type":"box","text":"Northbound trading is triggered. The relevant PRC government authority may also impose “circuit breakers” and other","page_number":81,"box":{"x":70,"y":249,"width":837,"height":11}},{"id":"3cd4c483-92e2-462e-8b90-a687c3615d8e","block_type":"box","text":"measures to halt or suspend Northbound trading. Where a suspension in the Northbound trading through Stock","page_number":81,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"81476e51-8d66-4545-ba23-f8ae175b294b","block_type":"box","text":"Connect is effected, the Fund’s ability to access the PRC market will be adversely affected. Trading suspensions in","page_number":81,"box":{"x":69,"y":279,"width":820,"height":11}},{"id":"2c39909d-c133-42cf-91f7-bc7008cfbe3b","block_type":"box","text":"certain stocks could lead to greater market execution risk and costs for a Fund. The SSE and SZSE currently apply a","page_number":81,"box":{"x":69,"y":294,"width":829,"height":11}},{"id":"7c36d061-5cc2-48f4-a7f0-c237c5e129be","block_type":"box","text":"daily price limit, generally set at 10%, of the amount of fluctuation permitted in the prices of the relevant SSE","page_number":81,"box":{"x":69,"y":309,"width":778,"height":11}},{"id":"ce6d90d5-266c-4c2c-82a7-6dd420c743ce","block_type":"box","text":"Securities and SZSE Securities during a single trading day. The daily price limit refers to price movements only and","page_number":81,"box":{"x":69,"y":324,"width":815,"height":12}},{"id":"b0c4889a-a598-4a29-9ef2-8501bd92b782","block_type":"box","text":"does not restrict trading within the relevant limit. There can be no assurance that a liquid market on an exchange will","page_number":81,"box":{"x":69,"y":340,"width":833,"height":11}},{"id":"22390446-840e-4577-a965-37cee8a9033b","block_type":"box","text":"exist for any particular SSE Security or SZSE Security or for any particular time.","page_number":81,"box":{"x":69,"y":355,"width":563,"height":11}},{"id":"e735cdfb-2b7e-46fc-b97d-57db87be690a","block_type":"box","text":"Risk of Investing in the China Interbank Bond Market through Bond Connect.","page_number":81,"box":{"x":102,"y":377,"width":542,"height":12}},{"id":"0a17222c-d3c6-4a34-b641-e935489d3e2a","block_type":"box","text":"A Fund may invest directly in the","page_number":81,"box":{"x":650,"y":377,"width":230,"height":11}},{"id":"aa6c5351-4763-41e0-a42c-1a70843c33b1","block_type":"box","text":"domestic bond market in the PRC (the “China Interbank Bond Market”) through the northbound trading of Bond","page_number":81,"box":{"x":69,"y":392,"width":791,"height":12}},{"id":"9f0046fb-a416-4828-a2e7-3846dd85629a","block_type":"box","text":"Connect (“Bond Connect”). Bond Connect is an initiative launched in July 2017 for mutual bond market access","page_number":81,"box":{"x":69,"y":407,"width":790,"height":12}},{"id":"ef59a177-e531-4ed1-98ae-403aadecb700","block_type":"box","text":"between the PRC and Hong Kong, established by the China Foreign Exchange Trade System & National Interbank","page_number":81,"box":{"x":69,"y":423,"width":803,"height":11}},{"id":"9444307d-8e20-4636-9623-9d7c6d3bf5b1","block_type":"box","text":"Funding Centre (“CFETS”), China Central Depository & Clearing Co., Ltd (“CDCC”), Shanghai Clearing House (“SCH”),","page_number":81,"box":{"x":70,"y":438,"width":832,"height":11}},{"id":"c27b644b-dfef-4ce6-9c8f-c76d48366c6b","block_type":"box","text":"Hong Kong Exchanges and Clearing Limited (“HKEX”) and Central Moneymarkets Unit (“CMU”). Under the prevailing","page_number":81,"box":{"x":70,"y":453,"width":821,"height":11}},{"id":"1426d9d2-a852-49c5-ac4a-abc666cad9b4","block_type":"box","text":"regulations in the PRC, eligible foreign investors are allowed to invest in the bonds circulated in the China Interbank","page_number":81,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"76691930-ca3c-4d4c-83a1-8b607f8df947","block_type":"box","text":"Bond Market through Bond Connect. Eligible foreign investors may submit trade requests for bonds circulated in the","page_number":81,"box":{"x":70,"y":483,"width":825,"height":11}},{"id":"1d980e7b-87ba-4725-952f-0bce821b78cb","block_type":"box","text":"China Interbank Bond Market through offshore electronic bond trading platforms (such as Tradeweb), which will in","page_number":81,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"3e5b8b86-454e-4605-b8b9-74b5c8fee0ef","block_type":"box","text":"turn transmit their requests for quotation to CFETS. CFETS will send the requests for quotation to a number of","page_number":81,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"836c1a83-bf82-46af-b51a-3b3717b336a7","block_type":"box","text":"approved onshore dealers (including market makers and others engaged in the market making business) in the PRC.","page_number":81,"box":{"x":69,"y":529,"width":830,"height":11}},{"id":"84149a2f-fb2d-43b5-a03c-fd4286acb01e","block_type":"box","text":"The approved onshore dealer(s) will respond to the requests for quotation via CFETS and CFETS will send their","page_number":81,"box":{"x":68,"y":543,"width":788,"height":12}},{"id":"f04e0db1-5a19-4335-a10f-ccf285d2a193","block_type":"box","text":"responses to those eligible foreign investors through the same offshore electronic bond trading platforms. Once the","page_number":81,"box":{"x":69,"y":559,"width":827,"height":11}},{"id":"5be05c7b-c913-436b-a459-f50ada32c088","block_type":"box","text":"eligible foreign investor accepts the quotation, the trade is concluded on CFETS.","page_number":81,"box":{"x":69,"y":574,"width":570,"height":11}},{"id":"b55c4714-cc3a-4b08-a57d-940d04cc55ca","block_type":"box","text":"The settlement and custody of bonds traded in the China Interbank Bond Market under Bond Connect will be","page_number":81,"box":{"x":101,"y":596,"width":773,"height":12}},{"id":"b252a1fe-e7c7-47de-8e3d-da81a917fd30","block_type":"box","text":"effected through the settlement and custody link between CMU, as an offshore custody agent, and CDCC and SCH,","page_number":81,"box":{"x":69,"y":612,"width":823,"height":11}},{"id":"5f6d2d79-df60-419b-b15c-427c3b9d12bf","block_type":"box","text":"as onshore custodians and clearing institutions in the PRC. Under the settlement link, CDCC or SCH will effect gross","page_number":81,"box":{"x":69,"y":627,"width":832,"height":11}},{"id":"85deb8df-93e3-4a45-9cda-0430753d4ac2","block_type":"box","text":"settlement of confirmed trades onshore and CMU will process bond settlement instructions from CMU members on","page_number":81,"box":{"x":69,"y":642,"width":822,"height":11}},{"id":"0f10e63b-41f1-4197-975a-1d04b1f66566","block_type":"box","text":"behalf of eligible foreign investors in accordance with its relevant rules. Since the introduction in August 2018 of","page_number":81,"box":{"x":69,"y":657,"width":804,"height":11}},{"id":"cc07819e-13b5-491a-9984-66531e796cf3","block_type":"box","text":"delivery versus payment (DVP) settlement in respect of Bond Connect, the movement of cash and securities is","page_number":81,"box":{"x":69,"y":672,"width":787,"height":11}},{"id":"3ecb5ace-ab9e-48b6-aeb4-41d9d8be1958","block_type":"box","text":"carried out simultaneously on a real-time basis. Pursuant to the prevailing regulations in the PRC, CMU, as the","page_number":81,"box":{"x":69,"y":687,"width":788,"height":11}},{"id":"879634d1-8828-4b63-bdd1-f55f9cf8979c","block_type":"box","text":"offshore custody agent recognized by the Hong Kong Monetary Authority, will open omnibus nominee accounts with","page_number":81,"box":{"x":69,"y":702,"width":820,"height":12}},{"id":"ed6ef6ce-83fd-4a75-8ffd-1d628563ac0f","block_type":"box","text":"the onshore custody agent recognized by the People’s Bank of China (","page_number":81,"box":{"x":68,"y":717,"width":500,"height":12}},{"id":"b6cce3b9-d7bb-4294-ac52-1b960ca920e8","block_type":"box","text":"i.e.","page_number":81,"box":{"x":570,"y":718,"width":20,"height":8}},{"id":"177c8fa9-6391-4b8d-888f-6c27ab715799","block_type":"box","text":", CDCC and SCH). All bonds traded by","page_number":81,"box":{"x":593,"y":718,"width":267,"height":11}},{"id":"05374419-033a-455d-9a8a-45cf7291048e","block_type":"box","text":"eligible foreign investors through Bond Connect will be registered in the name of CMU, which will hold such bonds as","page_number":81,"box":{"x":69,"y":732,"width":832,"height":12}},{"id":"c87bd409-57c9-4635-845e-f3cd1d8d7062","block_type":"box","text":"a nominee owner. Therefore, a Fund will be exposed to custody risks with respect to CMU. In the remote event of a","page_number":81,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"86bc6480-87b4-49de-ac8d-419c96c641a0","block_type":"box","text":"CDCC or SCH default, CMU’s liabilities in Bond Connect bonds under its market contracts with clearing participants","page_number":81,"box":{"x":69,"y":763,"width":822,"height":11}},{"id":"0c7afc65-d33f-4722-bd6e-e94ad723ad59","block_type":"box","text":"will be limited to assisting clearing participants in pursuing their claims against CDCC or SCH. The Fund may suffer","page_number":81,"box":{"x":68,"y":778,"width":822,"height":11}},{"id":"3bf8fb8c-19c9-4bb5-90a1-126963b61886","block_type":"box","text":"delay in the recovery process or may not fully recover its losses from CDCC or SCH. In addition, as the relevant","page_number":81,"box":{"x":69,"y":793,"width":793,"height":11}},{"id":"84f8d900-9a12-4e32-be4a-c7c44f0f053e","block_type":"box","text":"filings, registration with the People’s Bank of China, and account opening have to be carried out by third parties,","page_number":81,"box":{"x":68,"y":808,"width":802,"height":11}},{"id":"bb98ea4f-ef46-42d7-8947-63397e87e41a","block_type":"box","text":"including CMU, CDCC, SCH, and CFETS, a Fund is subject to the risks of default or errors on the part of such third","page_number":81,"box":{"x":70,"y":823,"width":812,"height":12}},{"id":"a70774bc-03e6-4e5a-a4d3-5744c59ef21f","block_type":"box","text":"parties.","page_number":81,"box":{"x":70,"y":839,"width":52,"height":10}},{"id":"b340de4a-8310-4d5d-9216-ccf97c69dfe9","block_type":"box","text":"The precise nature and rights of a Fund as the beneficial owner of the bonds traded in the China Interbank Bond","page_number":81,"box":{"x":101,"y":861,"width":799,"height":11}},{"id":"81d19705-e49c-4352-98b2-0e299e9d4c6d","block_type":"box","text":"Market through CMU as nominee is not well-defined under PRC law. There is a lack of a clear definition of, and","page_number":81,"box":{"x":70,"y":876,"width":785,"height":11}},{"id":"4922f26c-29db-451c-95b0-3823118e64c2","block_type":"box","text":"distinction between, legal ownership and beneficial ownership under PRC law and there have been few cases","page_number":81,"box":{"x":69,"y":891,"width":776,"height":12}},{"id":"37ff34cb-a02e-44b3-9069-06e4a8c492ea","block_type":"box","text":"II-45","page_number":81,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1d54e772-30c4-4793-aed7-9c9b6e940093","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":81,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2740d10e-888b-4fe2-b729-ac2eb719f85a","block_type":"box","text":"involving a nominee account structure in the PRC courts. The exact nature and methods of enforcement of the rights","page_number":82,"box":{"x":70,"y":45,"width":830,"height":11}},{"id":"1105e1d8-633e-4d20-ae3c-7135534e85fd","block_type":"box","text":"and interests of a Fund under PRC law are also uncertain.","page_number":82,"box":{"x":69,"y":60,"width":412,"height":9}},{"id":"b7f88922-777d-40b2-8480-ac0319e51844","block_type":"box","text":"Market volatility and potential lack of liquidity due to low trading volume of certain bonds in the China Interbank","page_number":82,"box":{"x":102,"y":82,"width":793,"height":12}},{"id":"58288aca-0f79-4f57-88f9-77389669654a","block_type":"box","text":"Bond Market may result in prices of certain bonds traded on such market fluctuating significantly. A Fund investing in","page_number":82,"box":{"x":70,"y":98,"width":832,"height":11}},{"id":"795d3b2d-ad61-497b-8afb-58f79d4f8d1b","block_type":"box","text":"such market is therefore subject to liquidity and volatility risks. The bid-ask spreads of the prices of such securities","page_number":82,"box":{"x":69,"y":113,"width":821,"height":11}},{"id":"e3b3536f-699b-482b-ae2f-56d255b62321","block_type":"box","text":"may be large, and a Fund may therefore incur significant costs and may suffer losses when selling such investments.","page_number":82,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"69ba7d1c-fc45-416e-a8a5-d26070cc4b89","block_type":"box","text":"The bonds traded in the China Interbank Bond Market may be difficult or impossible to sell, which may impact a","page_number":82,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"5cfd1b4f-bb2c-4f1c-baa7-db90c6246eec","block_type":"box","text":"Fund’s ability to acquire or dispose of such securities at their expected prices.","page_number":82,"box":{"x":70,"y":158,"width":556,"height":11}},{"id":"761f157b-7e83-4f6f-9c21-29f19bcd0842","block_type":"box","text":"Investing in the China Interbank Bond Market through Bond Connect is also subject to regulatory risks. The","page_number":82,"box":{"x":102,"y":181,"width":762,"height":11}},{"id":"4e5a7a35-a6f0-4f1a-a25c-66adaffb86a6","block_type":"box","text":"relevant rules and regulations are subject to change, which may have potential retrospective effect, and there can be","page_number":82,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"ed5f5b00-5ce3-4d72-a4cc-d6430970137e","block_type":"box","text":"no assurance that Bond Connect will not be discontinued or abolished. Furthermore, the securities regimes and legal","page_number":82,"box":{"x":69,"y":211,"width":835,"height":11}},{"id":"d8dfa842-90cc-4c61-9307-9e3d99c2ff31","block_type":"box","text":"systems of China and Hong Kong differ significantly and issues may arise based on these differences. In the event","page_number":82,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"021bd58b-9c30-46d6-bc6a-20d6686609d5","block_type":"box","text":"that the relevant authorities suspend account opening or trading on the China Interbank Bond Market, a Fund’s ability","page_number":82,"box":{"x":68,"y":241,"width":840,"height":11}},{"id":"20e25ba8-e4fc-45a4-a702-b1bdba50131d","block_type":"box","text":"to invest in the China Interbank Bond Market will be adversely affected and limited. In such event, the Fund’s ability","page_number":82,"box":{"x":68,"y":256,"width":826,"height":11}},{"id":"8e54af46-10a2-436f-88cd-310ae0a53098","block_type":"box","text":"to achieve its investment objective will be negatively affected and, after exhausting other trading alternatives, the","page_number":82,"box":{"x":68,"y":271,"width":808,"height":12}},{"id":"73c0feed-1355-4f6e-9af8-7dc42542acc4","block_type":"box","text":"Fund may suffer substantial losses as a result. Further, if Bond Connect is not operating, a Fund may not be able to","page_number":82,"box":{"x":70,"y":286,"width":826,"height":12}},{"id":"2aeb1667-fdd9-4d53-b04b-35bf60e5ba7c","block_type":"box","text":"acquire or dispose of bonds through Bond Connect in a timely manner, which could adversely affect the Fund’s","page_number":82,"box":{"x":69,"y":302,"width":789,"height":11}},{"id":"a179d51c-c124-48d1-a440-c248c21570c3","block_type":"box","text":"performance.","page_number":82,"box":{"x":70,"y":317,"width":93,"height":11}},{"id":"f412d4e7-d22d-4385-9dc0-c43da2574002","block_type":"box","text":"Trading through Bond Connect is performed through newly developed trading platforms and operational systems.","page_number":82,"box":{"x":101,"y":339,"width":803,"height":12}},{"id":"f64ef605-e8c8-4adc-ab8b-17c7c8ae8533","block_type":"box","text":"There is no assurance that such systems will function properly or will continue to be adapted to changes and","page_number":82,"box":{"x":68,"y":355,"width":776,"height":11}},{"id":"a76b38d1-caa4-4017-9c9c-b137b6fd1259","block_type":"box","text":"developments in the market. In the event that the relevant systems fail to function properly, trading through Bond","page_number":82,"box":{"x":69,"y":370,"width":806,"height":11}},{"id":"534886a0-33be-448f-9e5d-a998f7479370","block_type":"box","text":"Connect may be disrupted. A Fund’s ability to trade through Bond Connect (and hence to pursue its investment","page_number":82,"box":{"x":69,"y":385,"width":791,"height":11}},{"id":"c51491f8-b15c-4108-9843-497eaa67eeec","block_type":"box","text":"strategy) may therefore be adversely affected. In addition, where a Fund invests in the China Interbank Bond Market","page_number":82,"box":{"x":69,"y":400,"width":827,"height":11}},{"id":"3bd5d132-872e-4d96-8b5b-3cf0c4537515","block_type":"box","text":"through Bond Connect, it may be subject to risks of delays inherent in the order placing and/or settlement systems.","page_number":82,"box":{"x":68,"y":415,"width":827,"height":11}},{"id":"57e05963-3479-4cc6-8114-4c37d47cf5b0","block_type":"box","text":"Bond Connect trades are settled in Chinese currency, the RMB, which is currently restricted and not freely","page_number":82,"box":{"x":102,"y":438,"width":755,"height":11}},{"id":"3d0b5e52-1764-4fac-9b06-20c6a9a08cc5","block_type":"box","text":"convertible. As a result, a Fund will be exposed to currency risk, and it cannot be guaranteed that investors will have","page_number":82,"box":{"x":69,"y":453,"width":830,"height":11}},{"id":"db2cc9e6-82c1-4329-945c-146e45dafdb3","block_type":"box","text":"timely access to a reliable supply of RMB.","page_number":82,"box":{"x":68,"y":468,"width":298,"height":11}},{"id":"db73e2e6-d12a-47ea-9630-6a29208c3826","block_type":"box","text":"Tax Risk – Withholding Income Tax Risk","page_number":82,"box":{"x":103,"y":491,"width":277,"height":11}},{"id":"705bf652-fbf1-43e4-9b94-00b01bb1b612","block_type":"box","text":".","page_number":82,"box":{"x":381,"y":498,"width":2,"height":2}},{"id":"b2c00d09-847d-4d2b-96d0-a74e92d5c1aa","block_type":"box","text":"According to PRC tax regulations, a 10% withholding income tax is imposed on PRC sourced dividends and","page_number":82,"box":{"x":101,"y":513,"width":758,"height":12}},{"id":"19054dab-a480-4f1b-997b-aa9a52a1f47f","block_type":"box","text":"interests from non-government bonds paid to a non-PRC tax resident enterprise, unless the rate is reduced under an","page_number":82,"box":{"x":70,"y":528,"width":828,"height":12}},{"id":"21bd43dc-fdb9-4eca-a2ea-e6386d64422a","block_type":"box","text":"applicable tax treaty. From a technical perspective, withholding income tax is also applicable to capital gains realized","page_number":82,"box":{"x":69,"y":544,"width":831,"height":11}},{"id":"7105c432-d76c-49b6-9c5b-06097604c231","block_type":"box","text":"by foreign investors on the disposal of PRC equity interests.","page_number":82,"box":{"x":69,"y":559,"width":425,"height":11}},{"id":"ad633272-2ab7-47ff-b57f-385973d3ab89","block_type":"box","text":"There are however certain tax exemptions available, some temporary in nature, highlighted below.","page_number":82,"box":{"x":101,"y":582,"width":697,"height":11}},{"id":"1fb96b62-0d01-43ab-81d4-1bd6eb0522f4","block_type":"box","text":"On November 14, 2014, the Ministry of Finance (“MoF”), China Securities Regulatory Commission and the State","page_number":82,"box":{"x":102,"y":604,"width":803,"height":11}},{"id":"5995c432-a7b2-4a3f-84f4-b191395fcda9","block_type":"box","text":"Taxation Administration (“STA”), acting with State Council’s approval, jointly released Circular 79, which temporarily","page_number":82,"box":{"x":68,"y":619,"width":822,"height":11}},{"id":"27b783bf-bc33-46b8-9050-dba9909217c0","block_type":"box","text":"exempts Qualified Foreign Institutional Investors (“QFIIs”) and Renminbi Qualified Foreign Institutional Investors","page_number":82,"box":{"x":69,"y":634,"width":794,"height":12}},{"id":"3d6bb52f-601b-49b9-80e5-774e88489e04","block_type":"box","text":"(“RQFIIs”) from tax on capital gains derived from the trading of shares and other equity interest investments on or","page_number":82,"box":{"x":69,"y":649,"width":812,"height":12}},{"id":"1e1e3a8e-4067-403c-8ede-afd9aeee4a09","block_type":"box","text":"after November 17, 2014. Subsequently, Circulars 81 and 127 were issued to temporarily exempt tax on capital","page_number":82,"box":{"x":69,"y":664,"width":800,"height":12}},{"id":"0a0454c2-2183-4f4f-a554-8497f339e704","block_type":"box","text":"gains derived from trading of equity securities of companies domiciled in the PRC that trade on Chinese stock","page_number":82,"box":{"x":68,"y":680,"width":783,"height":11}},{"id":"292ccca1-41cd-4aea-abf3-7bd16bb0af44","block_type":"box","text":"exchanges (“A-Shares”) through the Shanghai-Hong Kong Stock Connect program or the Shenzhen-Hong Kong Stock","page_number":82,"box":{"x":69,"y":695,"width":825,"height":11}},{"id":"bc79321b-4fb9-4647-b434-32645283fd24","block_type":"box","text":"Connect program, as applicable (each, a “Stock Connect” and collectively, “Stock Connects”). The duration of the","page_number":82,"box":{"x":69,"y":710,"width":809,"height":11}},{"id":"09e472c3-368c-4b4c-9d77-582a2a97cca7","block_type":"box","text":"temporary exemptions is not stated in the circulars and is subject to termination by the PRC tax authorities with or","page_number":82,"box":{"x":68,"y":725,"width":818,"height":11}},{"id":"dffa789b-3da4-4b45-b8e5-77bf59790060","block_type":"box","text":"without notice.","page_number":82,"box":{"x":68,"y":740,"width":103,"height":9}},{"id":"1cf3e24f-c2a1-4d28-9f2c-9613479f2a06","block_type":"box","text":"On November 22, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":82,"box":{"x":102,"y":763,"width":759,"height":11}},{"id":"996d5ee0-d5d0-48e7-9c0f-afbdd625755a","block_type":"box","text":"investors are temporarily exempt from withholding income tax with respect to interest income on bonds derived from","page_number":82,"box":{"x":70,"y":778,"width":827,"height":11}},{"id":"276cff8e-b3e3-4d81-a934-c7615f63e6dd","block_type":"box","text":"the PRC bond market from November 7, 2018 to November 6, 2021. On November 22, 2021, the MoF and STA","page_number":82,"box":{"x":68,"y":793,"width":798,"height":10}},{"id":"b913417a-0371-4f49-b56f-0d6047eebe75","block_type":"box","text":"issued Public Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. On","page_number":82,"box":{"x":70,"y":808,"width":798,"height":11}},{"id":"bc7cb852-d406-42ca-80a4-eec9b94af21b","block_type":"box","text":"January 15, 2026, it was announced via Public Notice No. 5 of 2026 that the exemption was extended through","page_number":82,"box":{"x":69,"y":823,"width":792,"height":12}},{"id":"064c382c-a0a4-4d34-b436-6efc17ce7cad","block_type":"box","text":"December 31, 2027.","page_number":82,"box":{"x":70,"y":838,"width":147,"height":11}},{"id":"6be640f0-9142-4c8b-99de-9386d44e037d","block_type":"box","text":"Value Added Tax (“VAT”) Risk —","page_number":82,"box":{"x":103,"y":861,"width":225,"height":11}},{"id":"abad4ec5-0199-488b-b253-d0adf031a547","block_type":"box","text":"From May 1, 2016, VAT applies to certain income derived by the Fund, including","page_number":82,"box":{"x":333,"y":861,"width":569,"height":11}},{"id":"a4e23ab3-6cf3-45d9-ae0b-c5138e986d0a","block_type":"box","text":"PRC sourced interest income on non-government bonds and trading gains.","page_number":82,"box":{"x":69,"y":876,"width":528,"height":11}},{"id":"7d80044d-7ee9-4b62-a6f7-681716922e52","block_type":"box","text":"There are however certain tax exemptions available, some temporary in nature, highlighted below.","page_number":82,"box":{"x":101,"y":899,"width":697,"height":11}},{"id":"2f5fb906-cbab-4c22-8ec3-4c37a22eabde","block_type":"box","text":"II-46","page_number":82,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fbc67d5b-e5ae-4559-9f8b-430cd46721cd","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":82,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"21e8e693-9495-40e1-bf65-ceb4f5926210","block_type":"box","text":"VAT exemptions currently apply to capital gains from trading of QFII and RQFII products, A-Shares traded on the","page_number":83,"box":{"x":101,"y":45,"width":789,"height":11}},{"id":"1ef6bb06-44d1-4842-986c-a6ce2edeeb74","block_type":"box","text":"Stock Connects and debt securities traded in the China Interbank Bond Market.","page_number":83,"box":{"x":69,"y":60,"width":565,"height":9}},{"id":"156e2345-79dd-424e-9d7c-833b21d48616","block_type":"box","text":"On November 7, 2018, the MoF and STA jointly issued Circular 108 which states that foreign institutional","page_number":83,"box":{"x":102,"y":82,"width":749,"height":12}},{"id":"016339f0-f30f-4f16-aacc-1886d68baf8b","block_type":"box","text":"investors are temporarily exempt from VAT with respect to interest income on bonds derived from the PRC bond","page_number":83,"box":{"x":70,"y":98,"width":791,"height":11}},{"id":"c9b85482-94b6-43b4-9d51-5eedba496093","block_type":"box","text":"market from November 7, 2018 to November 6, 2021. On November 22, 2021, the MoF and STA jointly issued Public","page_number":83,"box":{"x":69,"y":113,"width":840,"height":11}},{"id":"6f034158-9783-44f0-92d7-6c06367bf0b6","block_type":"box","text":"Notice 34 to extend the temporary exemption from November 7, 2021 to December 31, 2025. However, on","page_number":83,"box":{"x":70,"y":128,"width":766,"height":11}},{"id":"2008f67b-dbd6-4756-b064-e204b7ae4a1d","block_type":"box","text":"July 31, 2025, the MoF and STA jointly issued Public Notice No 4 of 2025, stating that VAT will apply with respect to","page_number":83,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"5736eb8d-2d31-443a-bee6-9d1b987e878b","block_type":"box","text":"interest income derived from treasury bonds, local government bonds and financial bonds issued on or after","page_number":83,"box":{"x":70,"y":158,"width":772,"height":11}},{"id":"33d0bf62-463c-44d8-a48c-8b8be630ba66","block_type":"box","text":"August 8, 2025. It is understood that Public Notice No 4 of 2025 does not supersede the afore-mentioned exemption","page_number":83,"box":{"x":68,"y":173,"width":840,"height":11}},{"id":"de7b8228-f92f-4fb2-a42b-3a2d376b0f36","block_type":"box","text":"for foreign institutional investors. This exemption was extended through December 31, 2027.","page_number":83,"box":{"x":68,"y":188,"width":665,"height":12}},{"id":"c17ed3ca-8bb1-4c27-af60-2feeee56eae9","block_type":"box","text":"Any changes in PRC tax law, future clarifications thereof, and/or subsequent retroactive enforcement by the PRC","page_number":83,"box":{"x":101,"y":211,"width":801,"height":11}},{"id":"3788391c-00ef-41f2-8ae9-c22a218217d2","block_type":"box","text":"tax authorities may result in a loss which could be material to the Fund. There is a risk the PRC tax authorities may","page_number":83,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"3045d220-b37e-462f-ac63-fe90feb0a181","block_type":"box","text":"withdraw the temporary tax exemptions in the future and seek to collect taxes realized on the sale of A-Shares or","page_number":83,"box":{"x":68,"y":241,"width":808,"height":11}},{"id":"6c267ce9-9dba-40fd-a56e-2e89460f6606","block_type":"box","text":"PRC sourced interest income on non-government bonds received by the Fund without giving any prior notice. If the","page_number":83,"box":{"x":69,"y":256,"width":810,"height":12}},{"id":"bc79d322-a7fe-440c-b969-e6297348b432","block_type":"box","text":"temporary tax exemptions are withdrawn, any taxes may be directly borne by or indirectly passed on to the Fund and","page_number":83,"box":{"x":68,"y":272,"width":829,"height":11}},{"id":"549a7233-6be7-4358-b1db-f79eae253673","block_type":"box","text":"may result in a substantial impact to its net asset value. As with any net asset value adjustment, investors may be","page_number":83,"box":{"x":69,"y":287,"width":819,"height":11}},{"id":"c0b47258-1db5-4d4d-86bd-8dc39aa6ea4c","block_type":"box","text":"advantaged or disadvantaged depending on when the investors purchased and/or sold the shares of the Fund. There","page_number":83,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"2c937096-c1bb-497a-9e08-5101d0c4fa59","block_type":"box","text":"will be no retrospective restatement of the Fund’s net asset value.","page_number":83,"box":{"x":68,"y":317,"width":474,"height":11}},{"id":"f6d6d74d-c3f6-43d7-bed6-73f0d7982eb8","block_type":"box","text":"BlackRock will keep the provisioning policy for tax liability under review and may, in its discretion from time to","page_number":83,"box":{"x":102,"y":339,"width":777,"height":12}},{"id":"b7117515-9083-426c-888e-0671c19f35f6","block_type":"box","text":"time, make a provision for potential tax liabilities if in its opinion such provision is warranted or as further clarified by","page_number":83,"box":{"x":68,"y":355,"width":836,"height":11}},{"id":"7b18abb9-4935-4145-b10e-dd2c32b40982","block_type":"box","text":"the PRC in notifications.","page_number":83,"box":{"x":68,"y":370,"width":171,"height":9}},{"id":"85094c1c-475c-4b29-b970-7dab272cba93","block_type":"box","text":"Investment in Other Investment Companies.","page_number":83,"box":{"x":102,"y":392,"width":320,"height":11}},{"id":"e87c242b-7336-46bd-8f94-8dea6df1d052","block_type":"box","text":"Each Fund may, subject to applicable law, invest in other","page_number":83,"box":{"x":429,"y":393,"width":402,"height":11}},{"id":"0bad9dbd-a44a-4a83-ba2b-f50cf6ffee74","block_type":"box","text":"investment companies (including investment companies managed by BlackRock and its affiliates), including money","page_number":83,"box":{"x":70,"y":407,"width":818,"height":12}},{"id":"b92b35d2-decb-43aa-a5d0-c01ca8aa7496","block_type":"box","text":"market funds and ETFs, which are typically open-end funds or unit investment trusts listed on a stock exchange.","page_number":83,"box":{"x":69,"y":423,"width":797,"height":11}},{"id":"bacabef0-b035-43d8-8c3b-b4288ba47996","block_type":"box","text":"Under Section 12(d)(1)(A) of the Investment Company Act, however, a Fund may invest up to 10% of its total assets","page_number":83,"box":{"x":70,"y":438,"width":822,"height":11}},{"id":"1e1b0033-0918-432e-880f-e4ff844e297f","block_type":"box","text":"in securities of other investment companies (measured at the time of such investment). In addition, under Section","page_number":83,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"accdc191-5110-4d03-aa80-9fdb1dacaf14","block_type":"box","text":"12(d)(1)(A) of the Investment Company Act a Fund may not acquire securities of an investment company if such","page_number":83,"box":{"x":70,"y":468,"width":793,"height":11}},{"id":"819ede10-a4b3-43fd-b5a7-fb3adddc067d","block_type":"box","text":"acquisition would cause the Fund to own more than 3% of the total outstanding voting stock of such investment","page_number":83,"box":{"x":69,"y":483,"width":796,"height":11}},{"id":"b7b688a8-7223-40c5-9703-8eb34c867ebf","block_type":"box","text":"company and a Fund may not invest in another investment company if such investment would cause more than 5% of","page_number":83,"box":{"x":69,"y":498,"width":837,"height":11}},{"id":"af1b7160-190e-4c10-95e3-0c799a029834","block_type":"box","text":"the value of the Fund’s total assets to be invested in securities of such investment company. (These limits do not","page_number":83,"box":{"x":68,"y":513,"width":812,"height":11}},{"id":"d176f8d9-d4a2-4955-953a-c341f326fe55","block_type":"box","text":"restrict a Feeder Fund from investing all of its assets in shares of its Master Portfolio.) In addition to the restrictions","page_number":83,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"e3b625fa-4ea1-4aca-860e-0b6ea3540b76","block_type":"box","text":"on investing in other investment companies discussed above, under Section 12(d)(1)(C) of the Investment Company","page_number":83,"box":{"x":69,"y":543,"width":827,"height":12}},{"id":"903fe360-c1b5-42cb-844a-ea6359dd45bf","block_type":"box","text":"Act a Fund may not invest in a registered closed-end investment company if such investment would cause the Fund","page_number":83,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"5bcb3e8a-11f7-4fb2-978b-e9770e02f274","block_type":"box","text":"and other BlackRock-advised investment companies to own more than 10% of the total outstanding voting stock of","page_number":83,"box":{"x":69,"y":574,"width":817,"height":11}},{"id":"422c2257-33ed-427c-a7e7-79b9a84e401f","block_type":"box","text":"such closed-end investment company. Pursuant to Section 12(d)(1)(G) of the Investment Company Act, these","page_number":83,"box":{"x":69,"y":589,"width":776,"height":11}},{"id":"84fa2508-9697-4c0f-ab5e-18b0e1145e09","block_type":"box","text":"percentage limitations do not apply to investments in affiliated investment companies, including ETFs, subject to","page_number":83,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"1bc9c41c-a4f1-4ebc-8178-beda0ab876e0","block_type":"box","text":"certain conditions. In addition, a Fund may be able to rely on certain rules under the Investment Company Act to","page_number":83,"box":{"x":69,"y":619,"width":801,"height":11}},{"id":"e802ad7e-2a3f-41b2-9f46-1e1ca54f5f0d","block_type":"box","text":"invest in shares of money market funds or other investment companies beyond the statutory limits noted above, but","page_number":83,"box":{"x":70,"y":634,"width":829,"height":11}},{"id":"ed1236a0-f104-4e9e-959b-8193d521f658","block_type":"box","text":"subject to certain conditions.","page_number":83,"box":{"x":69,"y":650,"width":206,"height":10}},{"id":"f973684d-b758-4dba-92bc-f0b4392acf14","block_type":"box","text":"As with other investments, investments in other investment companies are subject to market and selection risk.","page_number":83,"box":{"x":101,"y":672,"width":799,"height":11}},{"id":"484ce5b6-84d8-4336-a99e-98aef38096b0","block_type":"box","text":"Shares of investment companies, such as closed-end fund investment companies, that trade on an exchange","page_number":83,"box":{"x":102,"y":695,"width":779,"height":11}},{"id":"0b0c7bf0-60ef-40da-8e2e-7531cf23a822","block_type":"box","text":"may at times be acquired at market prices representing premiums to their NAVs. In addition, investment companies","page_number":83,"box":{"x":69,"y":710,"width":824,"height":11}},{"id":"e96dac84-160d-4f10-b280-7087691a8985","block_type":"box","text":"held by a Fund that trade on an exchange could trade at a discount from NAV, and such discount could increase while","page_number":83,"box":{"x":69,"y":725,"width":836,"height":11}},{"id":"93f38a24-3923-4271-a574-1831077256f2","block_type":"box","text":"the Fund holds the shares. If the market price of shares of an exchange-traded investment company decreases below","page_number":83,"box":{"x":68,"y":740,"width":839,"height":11}},{"id":"8d6521e1-fb21-411e-8889-31d46f2e51ac","block_type":"box","text":"the price that the Fund paid for the shares and the Fund were to sell its shares of such investment company at a","page_number":83,"box":{"x":68,"y":755,"width":806,"height":11}},{"id":"31ca3274-99b4-4da9-b795-a5a017b972fd","block_type":"box","text":"time when the market price is lower than the price at which it purchased the shares, the Fund would experience a","page_number":83,"box":{"x":68,"y":771,"width":810,"height":10}},{"id":"4e4e7aba-3ea9-4491-b04c-4dcd154447a8","block_type":"box","text":"loss.","page_number":83,"box":{"x":70,"y":786,"width":31,"height":8}},{"id":"05d2a2e4-78f3-4ea1-aa60-a3dd956f1732","block_type":"box","text":"In addition, if a Fund acquires shares in investment companies, including affiliated investment companies,","page_number":83,"box":{"x":102,"y":808,"width":758,"height":11}},{"id":"6f7af757-1842-4fe9-b895-be158cda1eb3","block_type":"box","text":"shareholders would bear both their proportionate share of expenses in the Fund and, indirectly, the expenses of such","page_number":83,"box":{"x":69,"y":823,"width":837,"height":11}},{"id":"146868cb-f69c-4fe0-968d-e5d6c12c0081","block_type":"box","text":"investment companies. Such expenses, both at the Fund level and acquired investment company level, would include","page_number":83,"box":{"x":70,"y":838,"width":835,"height":11}},{"id":"f7859668-1500-4877-a9c3-f3294af4c899","block_type":"box","text":"management and advisory fees, unless such fees have been waived by BlackRock. Please see the relevant Fund’s","page_number":83,"box":{"x":69,"y":853,"width":816,"height":12}},{"id":"ece6b573-0888-492b-a934-2a53e7e3ac55","block_type":"box","text":"Prospectus to determine whether any such management and advisory fees have been waived by BlackRock.","page_number":83,"box":{"x":69,"y":869,"width":768,"height":11}},{"id":"2ddc33d3-175d-4839-b15c-91f3c96bab50","block_type":"box","text":"Investments by a Fund in wholly owned investment entities created under the laws of certain countries will not be","page_number":83,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"a156caf6-0efa-4957-b354-787de971ea10","block_type":"box","text":"deemed an investment in other investment companies. Pursuant to guidance issued by the staff of the Commission,","page_number":83,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"b89a0a34-e798-4387-8809-397a3cf52492","block_type":"box","text":"II-47","page_number":83,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f4edf3ef-1739-4946-b56a-9e25a692fc53","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":83,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"25e54521-18fd-4a30-8d41-dde3d758d34c","block_type":"box","text":"fees and expenses of money market funds used for the investment of cash collateral received in connection with","page_number":84,"box":{"x":68,"y":45,"width":804,"height":11}},{"id":"342b66ae-63b8-4185-ae75-84d2d80baac8","block_type":"box","text":"loans of Fund securities are not treated as “acquired fund fees and expenses,” which are fees and expenses","page_number":84,"box":{"x":70,"y":60,"width":778,"height":11}},{"id":"f0bd1579-0ee8-44f2-bb0d-e4ab01cc18be","block_type":"box","text":"charged by other investment companies and pooled investment vehicles in which a Fund invests a portion of its","page_number":84,"box":{"x":69,"y":75,"width":796,"height":11}},{"id":"1a14c111-4c10-4ac5-abd8-cf4ab1014c7f","block_type":"box","text":"assets.","page_number":84,"box":{"x":69,"y":91,"width":51,"height":8}},{"id":"c5f5cbc7-cfe2-495e-9ab7-84804d70db0f","block_type":"box","text":"To the extent shares of a Fund are held by another fund, the ability of the Fund itself to purchase other funds","page_number":84,"box":{"x":101,"y":113,"width":776,"height":11}},{"id":"c2ae3f71-3a85-4936-a148-04b58b495eae","block_type":"box","text":"may be limited. In addition, a fund-of-funds (","page_number":84,"box":{"x":69,"y":128,"width":313,"height":11}},{"id":"6c3a0ff0-d883-4e57-8cec-bd8515c3fb85","block_type":"box","text":"e.g.","page_number":84,"box":{"x":384,"y":129,"width":24,"height":10}},{"id":"15d4a456-f4d8-409e-8775-79bdaf46ad00","block_type":"box","text":", an investment company that seeks to meet its investment objective","page_number":84,"box":{"x":411,"y":128,"width":491,"height":11}},{"id":"3f22022c-fae6-4f90-9642-c306d864102a","block_type":"box","text":"by investing significantly in other investment companies) may be limited in its ability to purchase underlying funds if","page_number":84,"box":{"x":69,"y":143,"width":823,"height":11}},{"id":"2c71be5e-7484-4c4c-9395-b343c2405a23","block_type":"box","text":"such underlying funds themselves own shares of underlying funds.","page_number":84,"box":{"x":69,"y":158,"width":472,"height":11}},{"id":"0dc6c902-d73e-4bc8-b12f-9f417b14c5d7","block_type":"box","text":"A number of publicly traded closed-end investment companies have been organized to facilitate indirect foreign","page_number":84,"box":{"x":101,"y":181,"width":790,"height":11}},{"id":"d1d1bd01-eee5-4f91-a558-b4de24aa83c5","block_type":"box","text":"investment in developing countries, and certain of such countries, such as Thailand, South Korea, Chile and Brazil,","page_number":84,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"f4cc4700-4d0d-49eb-90c7-bb369d2aca68","block_type":"box","text":"have specifically authorized such funds. There also are investment opportunities in certain of such countries in","page_number":84,"box":{"x":69,"y":211,"width":791,"height":11}},{"id":"fb3c1d3d-c991-441f-a9f0-b96b2fe7d890","block_type":"box","text":"pooled vehicles that resemble open-end investment companies. The restrictions on investments in securities of","page_number":84,"box":{"x":70,"y":226,"width":795,"height":11}},{"id":"ed022f98-ccaf-4969-9eab-afc14397fe90","block_type":"box","text":"investment companies set forth above may limit opportunities for a Fund to invest indirectly in certain developing","page_number":84,"box":{"x":70,"y":241,"width":807,"height":11}},{"id":"870962cc-6c70-401a-b5ae-3aa5f927ccb2","block_type":"box","text":"countries.","page_number":84,"box":{"x":69,"y":257,"width":69,"height":8}},{"id":"38dabbcb-cec6-4d63-819c-4edc47dfaeb8","block_type":"box","text":"Issuer Insolvency Risk.","page_number":84,"box":{"x":102,"y":279,"width":166,"height":11}},{"id":"104f34d8-581a-441f-ac81-704d644f0109","block_type":"box","text":"Certain Funds’ potential exposure to financially or operationally troubled issuers involves","page_number":84,"box":{"x":275,"y":279,"width":631,"height":11}},{"id":"0de91709-a337-44db-82a8-84948b0c0787","block_type":"box","text":"a high degree of credit and market risk, which may be heightened during an economic downturn or recession. Should","page_number":84,"box":{"x":69,"y":294,"width":832,"height":11}},{"id":"256583b4-e691-4267-8d03-3beb2df6a4fe","block_type":"box","text":"an issuer of securities held by a Fund become involved in a bankruptcy proceeding, reorganization or financial","page_number":84,"box":{"x":69,"y":309,"width":781,"height":11}},{"id":"2e6bc3ac-aa10-4bfe-ae2e-c9a5f5a616c2","block_type":"box","text":"restructuring, a wide variety of considerations make an evaluation of the outcome of the Fund’s exposure to the","page_number":84,"box":{"x":69,"y":324,"width":797,"height":12}},{"id":"9a3132af-174b-412a-9550-91c640a5487f","block_type":"box","text":"issuer uncertain.","page_number":84,"box":{"x":70,"y":340,"width":118,"height":8}},{"id":"7a2b332b-3793-4d1b-b4ad-9d7e557ae74b","block_type":"box","text":"During the period of a bankruptcy proceeding, reorganization or financial restructuring, it is unlikely that a Fund","page_number":84,"box":{"x":102,"y":362,"width":788,"height":11}},{"id":"53ea2f90-0306-4614-92d5-3bb750003bd5","block_type":"box","text":"will receive any interest payments on the securities of the issuer. A Fund will be subject to significant uncertainty as","page_number":84,"box":{"x":68,"y":377,"width":827,"height":12}},{"id":"b37f5f78-ed54-444e-8cde-d93c77722bda","block_type":"box","text":"to whether the reorganization or restructuring will be completed, and the Fund may bear certain extraordinary","page_number":84,"box":{"x":68,"y":393,"width":779,"height":11}},{"id":"2ce1e45a-55ce-4520-af65-22bfe5265c46","block_type":"box","text":"expenses to protect and recover its investment. A Fund will also be subject to significant uncertainty as to when and","page_number":84,"box":{"x":69,"y":407,"width":829,"height":12}},{"id":"acd04288-2716-4361-a470-247db0d538f4","block_type":"box","text":"in what manner and for what value the obligations evidenced by the securities of the issuer held by the Fund will","page_number":84,"box":{"x":70,"y":423,"width":797,"height":11}},{"id":"886eae1c-bb54-49b5-a11f-f1ea64b22105","block_type":"box","text":"eventually be satisfied.","page_number":84,"box":{"x":69,"y":438,"width":162,"height":11}},{"id":"772d7691-1aa9-49d7-a84b-f13377bb9a6c","block_type":"box","text":"Even if a plan of reorganization or restructuring is adopted with respect to the securities of the issuer held by the","page_number":84,"box":{"x":102,"y":460,"width":805,"height":12}},{"id":"09edb655-367a-43aa-b525-6aca4ff8473d","block_type":"box","text":"Fund, there can be no assurance that the securities or other assets received by a Fund in connection with such plan","page_number":84,"box":{"x":70,"y":476,"width":827,"height":11}},{"id":"5da5bb91-aec6-4299-8c0b-58c043f120fd","block_type":"box","text":"of reorganization or restructuring will not have a lower value or income potential than may have been anticipated or","page_number":84,"box":{"x":69,"y":491,"width":819,"height":11}},{"id":"d4908f92-9b02-46d0-8c5b-0cf4b0cbc5cd","block_type":"box","text":"no value. A Fund may be unable to enforce its claims or rights in any collateral or may have its claims or security","page_number":84,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"b7788b2f-6e7c-43c2-96cd-67baf94ea5bb","block_type":"box","text":"interest in any collateral challenged, disallowed or subordinated to the claims or security interests of other creditors.","page_number":84,"box":{"x":70,"y":521,"width":830,"height":11}},{"id":"0e38a55a-1808-44f0-ad37-6a586fe3b31b","block_type":"box","text":"In addition, amendments to the U.S. Bankruptcy Code or other relevant laws could alter the expected outcome or","page_number":84,"box":{"x":70,"y":536,"width":805,"height":11}},{"id":"0ba5a317-3f67-47a2-943d-c4fab0ff10fe","block_type":"box","text":"introduce greater uncertainty regarding the outcome of the Fund’s securities holdings in the issuer. In a bankruptcy","page_number":84,"box":{"x":70,"y":551,"width":820,"height":11}},{"id":"e98a7c3d-d061-473e-a9ae-7a853496f11a","block_type":"box","text":"proceeding, a reorganization or restructuring, the securities of the issuer held by a Fund could be re-characterized or","page_number":84,"box":{"x":70,"y":566,"width":828,"height":11}},{"id":"381b2f00-85d9-47cd-bb91-9e7953a863f7","block_type":"box","text":"a Fund may receive different securities or other assets, including equity securities. These types of equity securities","page_number":84,"box":{"x":69,"y":581,"width":820,"height":12}},{"id":"3a5ede3c-2af2-4584-a794-5d5cb2ed58d6","block_type":"box","text":"include, but are not limited to: common stock; preferred stock (including convertible preferred stock); bonds, notes","page_number":84,"box":{"x":70,"y":596,"width":820,"height":12}},{"id":"205e47a5-0b57-4878-8986-78f61167f7cd","block_type":"box","text":"and debentures convertible into common or preferred stock; stock purchase warrants and rights; equity interests in","page_number":84,"box":{"x":69,"y":612,"width":824,"height":11}},{"id":"3cc72d4a-d35d-494d-aea9-94a11cd68fdf","block_type":"box","text":"trusts; and depositary receipts. Equity securities are subject to changes in value, and their value may be more","page_number":84,"box":{"x":68,"y":627,"width":788,"height":11}},{"id":"a1b93c47-345c-4d42-89d9-4f725db8917a","block_type":"box","text":"volatile than those of other asset classes. Holders of equity securities are subject to more risk than holders of debt","page_number":84,"box":{"x":68,"y":642,"width":826,"height":11}},{"id":"772a868f-bde7-4302-84ab-739b6bb60f0a","block_type":"box","text":"securities because the status of equity holders is subordinate to debtholders in an issuer’s capital structure. The","page_number":84,"box":{"x":69,"y":657,"width":809,"height":11}},{"id":"28ac9826-3676-4510-841c-4e7fd49fd4bb","block_type":"box","text":"value of equity securities received by a Fund could decline if the financial condition of the issuer deteriorates or if","page_number":84,"box":{"x":68,"y":672,"width":809,"height":11}},{"id":"caa3534b-ef6e-40f6-ad74-e8c3fc404e66","block_type":"box","text":"overall market and economic conditions, or conditions within the issuer’s region or industry, deteriorate.","page_number":84,"box":{"x":69,"y":687,"width":741,"height":11}},{"id":"5c03167b-3c33-455d-bba0-7f750a4da3e0","block_type":"box","text":"To the extent that a Fund receives other assets in connection with a bankruptcy proceeding, reorganization or","page_number":84,"box":{"x":101,"y":710,"width":780,"height":11}},{"id":"2df2b890-dc98-486e-9738-c2b0e1351c63","block_type":"box","text":"financial restructuring, the Fund may also be subject to additional risks associated with the assets received. One","page_number":84,"box":{"x":68,"y":725,"width":807,"height":11}},{"id":"3c0a41c7-6fa8-4ff0-b5c8-65a960cab925","block_type":"box","text":"example of assets that a Fund could receive is an interest in one or more loans made to the issuer as part of a","page_number":84,"box":{"x":69,"y":740,"width":795,"height":11}},{"id":"c8db5868-d190-4a2e-bc08-1f9f42f28be9","block_type":"box","text":"workout agreed to by a consortium of lienholders and creditors of the issuer. A Fund may receive such interests in","page_number":84,"box":{"x":68,"y":755,"width":814,"height":11}},{"id":"a99eac7e-ee7a-4597-ac9b-7f9607a3072b","block_type":"box","text":"loans to the extent permitted by the Investment Company Act.","page_number":84,"box":{"x":70,"y":770,"width":439,"height":11}},{"id":"266c4f65-fbec-495c-924a-a8b29df3dd46","block_type":"box","text":"Securities or other assets received in a reorganization or restructuring typically entail a higher degree of risk than","page_number":84,"box":{"x":102,"y":793,"width":806,"height":11}},{"id":"9cbfe173-c51f-47da-8a0c-b21f3e72ecb1","block_type":"box","text":"investments in securities of issuers that have not undergone a reorganization or restructuring and may be subject to","page_number":84,"box":{"x":70,"y":808,"width":829,"height":11}},{"id":"fc99f010-bc6b-4a0e-b2e2-ccea4149a81c","block_type":"box","text":"heavy selling or downward pricing pressure after completion of the reorganization or restructuring. The post","page_number":84,"box":{"x":69,"y":823,"width":767,"height":12}},{"id":"161f49bc-d761-4ffb-8319-5e91fce14f74","block_type":"box","text":"reorganization/restructuring assets and securities may also be illiquid and difficult to sell or value. If a Fund","page_number":84,"box":{"x":69,"y":838,"width":771,"height":12}},{"id":"6a43e842-11e6-4e99-9c0e-8df6c6feb4cc","block_type":"box","text":"participates in negotiations with respect to a plan of reorganization or restructuring with respect to securities of the","page_number":84,"box":{"x":70,"y":853,"width":823,"height":12}},{"id":"950e5f7b-59bd-45ae-b0a1-7bc5b950bf69","block_type":"box","text":"issuer held by a Fund, the Fund also may be restricted from disposing such securities for a period of time. If a Fund","page_number":84,"box":{"x":70,"y":869,"width":822,"height":11}},{"id":"d6ed54aa-856d-4742-93db-19857f4037e2","block_type":"box","text":"becomes involved in such proceedings, the Fund may have more active participation in the affairs of the issuer than","page_number":84,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"de1698e9-950b-453a-80a8-18f4212e6c14","block_type":"box","text":"that assumed generally by an investor.","page_number":84,"box":{"x":68,"y":899,"width":274,"height":11}},{"id":"4fcd4c45-7e27-4633-88bc-af05e49a49ee","block_type":"box","text":"II-48","page_number":84,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"72536dd8-c3e0-4e6d-b1ba-42bff0a186cb","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":84,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"68e74992-a788-4db1-8b67-5fa0b95ceda2","block_type":"box","text":"Lease Obligations.","page_number":85,"box":{"x":102,"y":45,"width":133,"height":11}},{"id":"fe81b46b-d7d5-4454-8e7a-e99bb5161453","block_type":"box","text":"A Fund may hold participation certificates in a lease, an installment purchase contract, or a","page_number":85,"box":{"x":241,"y":45,"width":653,"height":11}},{"id":"81c64bf1-b168-4f77-aec4-baf11acab272","block_type":"box","text":"conditional sales contract (“lease obligations”). The Manager will monitor the credit standing of each borrower and","page_number":85,"box":{"x":69,"y":60,"width":816,"height":11}},{"id":"98d42e03-ac38-4790-ac4c-f1f8747eaeba","block_type":"box","text":"each entity providing credit support and/or a put option relating to lease obligations.","page_number":85,"box":{"x":69,"y":75,"width":602,"height":11}},{"id":"d50980c4-b73e-4fea-b7ed-a9e75fb30f13","block_type":"box","text":"Life Settlement Investments.","page_number":85,"box":{"x":102,"y":98,"width":210,"height":9}},{"id":"398a9001-8487-4abd-ac5e-a3bb6af30f1e","block_type":"box","text":"A Fund may invest in life settlements, which are sales to third parties, such as the","page_number":85,"box":{"x":318,"y":98,"width":589,"height":11}},{"id":"9659d8f4-c756-44d9-8567-d4ae5e5c0d2b","block_type":"box","text":"Fund, of existing life insurance contracts for more than their cash surrender value but less than the net benefits to be","page_number":85,"box":{"x":70,"y":113,"width":838,"height":11}},{"id":"244ac1c6-9a32-4b70-ae5a-e3b3510cce1a","block_type":"box","text":"paid under the policies. When a Fund acquires such a contract, it pays the policy premiums in return for the expected","page_number":85,"box":{"x":70,"y":128,"width":834,"height":11}},{"id":"ab790921-afd9-46d5-a64f-93d574666198","block_type":"box","text":"receipt of the net benefit as the beneficiary under the policy. Investments in these contracts involve certain risks,","page_number":85,"box":{"x":69,"y":143,"width":808,"height":11}},{"id":"271596ed-82b3-4a61-894c-bbad3eb9ee09","block_type":"box","text":"including liquidity risk, credit risk of the insurance company, and inaccurate estimations of life expectancy of the","page_number":85,"box":{"x":70,"y":158,"width":797,"height":11}},{"id":"11ab62e5-e849-45bb-943e-ec12d2d788e2","block_type":"box","text":"insured individuals (viators). These policies may be considered illiquid because they are bought and sold in a","page_number":85,"box":{"x":70,"y":173,"width":775,"height":11}},{"id":"82ece507-2155-4ebc-a0dd-039c27b70d70","block_type":"box","text":"secondary market through life settlement agents. Also, in the event of a bankruptcy of the insurance carrier for a","page_number":85,"box":{"x":69,"y":188,"width":805,"height":12}},{"id":"d6bce55e-c2c1-40b3-9293-19aeab101493","block_type":"box","text":"policy, the Fund may receive reduced or no benefits under the contract. A Fund seeks to minimize credit risk by","page_number":85,"box":{"x":70,"y":203,"width":789,"height":12}},{"id":"a8dadc04-b7ba-418e-b984-e41daf168945","block_type":"box","text":"investing in policies issued by a diverse range of highly-rated insurance carriers. Furthermore, a Fund may encounter","page_number":85,"box":{"x":70,"y":218,"width":829,"height":12}},{"id":"38aefe4f-4ff3-42e4-85c5-4c6dc90a82a2","block_type":"box","text":"losses on its investments if there is an inaccurate estimation of the life expectancies of viators. A Fund intends to","page_number":85,"box":{"x":70,"y":234,"width":813,"height":11}},{"id":"b7c83cea-a401-4b8d-bf7f-ea0f1ca23c6d","block_type":"box","text":"reduce this life expectancy risk by investing only in contracts where the life expectancy was reviewed by an","page_number":85,"box":{"x":69,"y":249,"width":758,"height":11}},{"id":"67f3403f-8e0f-4a5e-8706-55e92d1a7a33","block_type":"box","text":"experienced actuary, as well as by diversifying its investments across viators of varying ages and medical profiles. In","page_number":85,"box":{"x":69,"y":264,"width":832,"height":11}},{"id":"ad16f329-afda-433c-b6eb-e442566d32d5","block_type":"box","text":"addition, it is unclear whether the income from life settlements is qualifying income for purposes of the IRS 90%","page_number":85,"box":{"x":69,"y":279,"width":800,"height":11}},{"id":"ecd0db48-6b7f-4710-b679-a7d0fcb64d57","block_type":"box","text":"gross income test a Fund must satisfy each year to qualify as a regulated investment company. A Fund intends to","page_number":85,"box":{"x":68,"y":294,"width":809,"height":11}},{"id":"133bd612-141d-4965-aad1-d65e012de09d","block_type":"box","text":"monitor its investments to ensure that the Fund remains qualified as a regulated investment company.","page_number":85,"box":{"x":69,"y":309,"width":730,"height":11}},{"id":"9f3e43b7-2984-40c3-a911-59dd4e041bc6","block_type":"box","text":"Liquidity Risk Management.","page_number":85,"box":{"x":102,"y":332,"width":202,"height":11}},{"id":"6ba132f7-4dee-4ff2-87c1-b4d9364ee5cd","block_type":"box","text":"Rule 22e-4 under the Investment Company Act (the “Liquidity Rule”) requires open","page_number":85,"box":{"x":311,"y":332,"width":591,"height":11}},{"id":"6744f235-0137-4a9a-b362-3b26cdc19659","block_type":"box","text":"end funds, such as the Funds, to adopt a liquidity risk management program and enhance disclosures regarding fund","page_number":85,"box":{"x":69,"y":347,"width":835,"height":11}},{"id":"cdb409c1-eb96-45ed-86bf-317bc2f84f52","block_type":"box","text":"liquidity. As required by the Liquidity Rule, the Funds have implemented a liquidity risk management program (the","page_number":85,"box":{"x":70,"y":362,"width":803,"height":11}},{"id":"b3b9c5e5-771b-4fd9-8b04-0626883e1c1d","block_type":"box","text":"“Liquidity Program”), and the Boards of Directors of the Funds, including a majority of the independent Directors,","page_number":85,"box":{"x":70,"y":377,"width":801,"height":12}},{"id":"7212c4f1-ab01-4bb8-9a10-9b962113e547","block_type":"box","text":"have appointed the Manager as the liquidity risk program administrator of the Liquidity Program. Under the Liquidity","page_number":85,"box":{"x":69,"y":392,"width":822,"height":12}},{"id":"66d87b62-2a92-48f1-b131-4e1be95b3784","block_type":"box","text":"Program, the Manager assesses, manages, and periodically reviews each Fund’s liquidity risk and classifies each","page_number":85,"box":{"x":69,"y":407,"width":808,"height":12}},{"id":"450129ae-1649-4c5f-b518-a22615a616e0","block_type":"box","text":"investment held by a Fund as a “highly liquid investment,” “moderately liquid investment,” “less liquid investment” or","page_number":85,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"38845f1d-9faf-446a-9e4d-48a876c8c620","block_type":"box","text":"“illiquid investment.” The Liquidity Rule defines “liquidity risk” as the risk that a Fund could not meet requests to","page_number":85,"box":{"x":70,"y":438,"width":804,"height":11}},{"id":"ae08a727-ace7-497e-b50c-06d9f80a2816","block_type":"box","text":"redeem shares issued by the Fund without significant dilution of the remaining investors’ interests in the Fund. The","page_number":85,"box":{"x":69,"y":453,"width":821,"height":11}},{"id":"c5199ced-b057-4504-a1a5-dc716006404a","block_type":"box","text":"liquidity of a Fund’s portfolio investments is determined based on relevant market, trading and investment-specific","page_number":85,"box":{"x":70,"y":468,"width":815,"height":11}},{"id":"dcc773e3-ba8e-43b9-9a82-f708b40338ef","block_type":"box","text":"considerations under the Liquidity Program. To the extent that an investment is deemed to be an illiquid investment","page_number":85,"box":{"x":69,"y":483,"width":823,"height":11}},{"id":"8a0f8262-6b54-4434-b0e2-c50ae176438a","block_type":"box","text":"or a less liquid investment, a Fund can expect to be exposed to greater liquidity risk.","page_number":85,"box":{"x":69,"y":498,"width":601,"height":11}},{"id":"8aadfe5a-ef69-4852-964b-141e0e9fb741","block_type":"box","text":"Master Limited Partnerships.","page_number":85,"box":{"x":102,"y":521,"width":211,"height":11}},{"id":"7fbf5378-f19f-418a-8bec-0feba05e2e69","block_type":"box","text":"Certain Funds may invest in publicly traded master limited partnerships (“MLPs”)","page_number":85,"box":{"x":320,"y":521,"width":577,"height":11}},{"id":"1238cae7-8574-461d-b234-0975e723686a","block_type":"box","text":"which are limited partnerships or limited liability companies taxable as partnerships. MLPs may derive income and","page_number":85,"box":{"x":68,"y":536,"width":816,"height":11}},{"id":"f0d875ae-7dcc-48bf-ad23-c801c94ac659","block_type":"box","text":"gains from the exploration, development, mining or production, processing, refining, transportation (including","page_number":85,"box":{"x":68,"y":551,"width":777,"height":11}},{"id":"5f4a817a-65cc-48bd-92bd-f2873266e175","block_type":"box","text":"pipelines transporting gas, oil, or products thereof), or the marketing of any mineral or natural resources. MLPs","page_number":85,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"adadb688-14a7-41f9-9f12-c2fc36a768fd","block_type":"box","text":"generally have two classes of owners, the general partner and limited partners. When investing in an MLP, a Fund","page_number":85,"box":{"x":68,"y":581,"width":811,"height":12}},{"id":"855b224e-ea37-45f7-b680-d8ec6f2dcb69","block_type":"box","text":"intends to purchase publicly traded common units issued to limited partners of the MLP. The general partner is","page_number":85,"box":{"x":70,"y":596,"width":791,"height":12}},{"id":"a0c75b70-ee50-4d30-8baa-f448a5f8e486","block_type":"box","text":"typically owned by a major energy company, an investment fund, the direct management of the MLP or is an entity","page_number":85,"box":{"x":68,"y":612,"width":812,"height":11}},{"id":"355f60eb-f877-4467-a5ce-6e9d55d83648","block_type":"box","text":"owned by one or more of such parties. The general partner may be structured as a private or publicly traded","page_number":85,"box":{"x":69,"y":627,"width":770,"height":11}},{"id":"0062e05d-b579-4ded-bd2b-f0f209724e36","block_type":"box","text":"corporation or other entity. The general partner typically controls the operations and management of the MLP through","page_number":85,"box":{"x":69,"y":642,"width":833,"height":11}},{"id":"cf7e27b6-d4d1-4c26-b0b8-819de1383918","block_type":"box","text":"an up to 2% equity interest in the MLP plus, in many cases, ownership of common units and subordinated units.","page_number":85,"box":{"x":69,"y":657,"width":799,"height":11}},{"id":"97d0e393-17a6-4a8e-9bad-721d29e5fc36","block_type":"box","text":"Limited partners own the remainder of the partnership, through ownership of common units, and have a limited role","page_number":85,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"46188254-cabb-4f2b-bfb7-fc3aaae52557","block_type":"box","text":"in the partnership’s operations and management.","page_number":85,"box":{"x":70,"y":687,"width":352,"height":11}},{"id":"457b1ffc-9e2a-4a4b-9158-f9f1b1b5200f","block_type":"box","text":"MLPs are typically structured such that common units and general partner interests have first priority to receive","page_number":85,"box":{"x":102,"y":710,"width":794,"height":11}},{"id":"70f540ad-1ecd-4081-933b-1a93086a146c","block_type":"box","text":"quarterly cash distributions up to an established minimum amount (“minimum quarterly distributions” or “MQD”).","page_number":85,"box":{"x":69,"y":725,"width":809,"height":11}},{"id":"aab5a001-1549-4d77-99d0-18f60f2866ba","block_type":"box","text":"Common and general partner interests also accrue arrearages in distributions to the extent the MQD is not paid.","page_number":85,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"ce1bbd33-cb33-4174-bde9-dcb1172bce25","block_type":"box","text":"Once common and general partner interests have been paid, subordinated units receive distributions of up to the","page_number":85,"box":{"x":69,"y":755,"width":808,"height":11}},{"id":"6e0634e0-3aca-453c-88ba-8bce01159803","block_type":"box","text":"MQD; however, subordinated units do not accrue arrearages. Distributable cash in excess of the MQD paid to both","page_number":85,"box":{"x":70,"y":770,"width":816,"height":12}},{"id":"eed34957-8dfc-4919-ba4d-1b59c1de4a06","block_type":"box","text":"common and subordinated units is distributed to both common and subordinated units generally on a pro rata basis.","page_number":85,"box":{"x":69,"y":786,"width":831,"height":11}},{"id":"304faab5-ddec-458f-8364-b8884075c238","block_type":"box","text":"The general partner is also eligible to receive incentive distributions if the general partner operates the business in a","page_number":85,"box":{"x":68,"y":801,"width":835,"height":11}},{"id":"0eb1c94b-161d-41b8-a40c-8d8bd7e7bd40","block_type":"box","text":"manner which results in distributions paid per common unit surpassing specified target levels. As the general partner","page_number":85,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"f348317a-f32e-460b-8fb7-b4285afe3ca8","block_type":"box","text":"increases cash distributions to the limited partners, the general partner receives an increasingly higher percentage of","page_number":85,"box":{"x":70,"y":831,"width":839,"height":11}},{"id":"c726fee3-a122-48a0-9fd1-762da4232151","block_type":"box","text":"the incremental cash distributions. A common arrangement provides that the general partner can reach a tier where","page_number":85,"box":{"x":68,"y":846,"width":828,"height":11}},{"id":"9db07bcd-6bad-4a5b-8c98-efa95c1434a2","block_type":"box","text":"it receives 50% of every incremental dollar paid to common and subordinated unit holders. These incentive","page_number":85,"box":{"x":70,"y":861,"width":761,"height":11}},{"id":"9ceb89db-a0d1-4430-aa2a-3a9a13a210ae","block_type":"box","text":"distributions encourage the general partner to streamline costs, increase capital expenditures and acquire assets in","page_number":85,"box":{"x":69,"y":876,"width":830,"height":11}},{"id":"8ea3452b-d0fd-4980-be54-a7092fb9a8d3","block_type":"box","text":"order to increase the partnership’s cash flow and raise the quarterly cash distribution in order to reach higher tiers.","page_number":85,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"fc709733-4e3d-4c8e-8d13-e60beb374ded","block_type":"box","text":"Such results benefit all security holders of the MLP.","page_number":85,"box":{"x":69,"y":906,"width":366,"height":12}},{"id":"da454ba8-c724-423d-acb7-5714df470f34","block_type":"box","text":"II-49","page_number":85,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b11a5e8c-6caf-47c9-9a11-2aedd5709b10","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":85,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d1257c9c-18e7-4017-8afa-766baee28a3d","block_type":"box","text":"MLP common units represent a limited partnership interest in the MLP. Common units are listed and traded on","page_number":86,"box":{"x":102,"y":45,"width":790,"height":11}},{"id":"33e2b30f-ca90-409b-9c54-dd7e754beccc","block_type":"box","text":"U.S. securities exchanges, with their value fluctuating predominantly based on prevailing market conditions and the","page_number":86,"box":{"x":70,"y":60,"width":820,"height":11}},{"id":"58924744-e1b6-4b25-b83d-c026480ce225","block_type":"box","text":"success of the MLP. Certain Funds intend to purchase common units in market transactions. Unlike owners of","page_number":86,"box":{"x":69,"y":75,"width":787,"height":11}},{"id":"7c96562e-8f1b-42bb-a009-4a1e795f937e","block_type":"box","text":"common stock of a corporation, owners of common units have limited voting rights and have no ability to annually","page_number":86,"box":{"x":69,"y":90,"width":810,"height":11}},{"id":"8687ae51-500c-4d90-9913-a644e6c10046","block_type":"box","text":"elect directors. In the event of liquidation, common units have preference over subordinated units, but not over debt","page_number":86,"box":{"x":69,"y":105,"width":828,"height":11}},{"id":"fcb8e7ba-6182-412a-ab49-24c5fd1f449a","block_type":"box","text":"or preferred units, to the remaining assets of the MLP.","page_number":86,"box":{"x":69,"y":120,"width":387,"height":12}},{"id":"a0d1e26f-e9bb-4b9a-9fec-ec5f6b1da959","block_type":"box","text":"Merger Transaction Risk.","page_number":86,"box":{"x":102,"y":143,"width":183,"height":11}},{"id":"9b50dd92-ea8b-4370-a5a3-9c7548b9853b","block_type":"box","text":"A Fund may buy stock of the target company in an announced merger transaction prior","page_number":86,"box":{"x":291,"y":143,"width":616,"height":11}},{"id":"ec488283-5da2-4864-899f-bf6ca11745ef","block_type":"box","text":"to the consummation of such transaction. In that circumstance, a Fund would expect to receive an amount (whether","page_number":86,"box":{"x":68,"y":158,"width":827,"height":11}},{"id":"7166f135-76d8-4187-a42f-dee272364b84","block_type":"box","text":"in cash, stock of the acquiring company or a combination of both) in excess of the purchase price paid by the Fund","page_number":86,"box":{"x":70,"y":173,"width":816,"height":11}},{"id":"d1e89200-4090-4fed-a07a-12a6e0666bbb","block_type":"box","text":"for the target company’s stock. However, a Fund is subject to the risk that the merger transaction may be canceled,","page_number":86,"box":{"x":68,"y":188,"width":825,"height":12}},{"id":"ee8d519b-fd47-4e41-9930-d1b81284b588","block_type":"box","text":"delayed or restructured, in which case a Fund’s holding of the target company’s stock may not result in any profit for","page_number":86,"box":{"x":69,"y":203,"width":832,"height":12}},{"id":"4a0a55c5-3fc3-4ab8-bc97-7e64116d4f7a","block_type":"box","text":"the Fund and may lose significant value.","page_number":86,"box":{"x":68,"y":218,"width":286,"height":12}},{"id":"5adab67c-74dd-41a5-86f1-928bedd59e76","block_type":"box","text":"Money Market Obligations of Domestic Banks, Foreign Banks and Foreign Branches of U.S. Banks.","page_number":86,"box":{"x":102,"y":241,"width":723,"height":11}},{"id":"0e9279e1-214a-4046-b2c9-0c24e662e957","block_type":"box","text":"Certain","page_number":86,"box":{"x":831,"y":241,"width":50,"height":9}},{"id":"e17cddd6-8e13-4f6a-a873-a2cd7130a56b","block_type":"box","text":"Funds may purchase bank obligations, such as certificates of deposit, notes, bankers’ acceptances and time","page_number":86,"box":{"x":70,"y":256,"width":778,"height":12}},{"id":"683dc865-f804-454f-8117-e4a41d8a1aa7","block_type":"box","text":"deposits, including instruments issued or supported by the credit of U.S. or foreign banks or savings institutions","page_number":86,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"8b1826f1-3a00-418d-8d36-5e405146065f","block_type":"box","text":"having total assets at the time of purchase in excess of $1 billion. These obligations may be general obligations of","page_number":86,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"3459beab-a857-4976-8a07-e72da1ef6227","block_type":"box","text":"the parent bank or may be limited to the issuing branch or subsidiary by the terms of a specific obligation or by","page_number":86,"box":{"x":68,"y":302,"width":794,"height":11}},{"id":"4ddb0117-85ad-405d-8a11-dfa1ad1525a7","block_type":"box","text":"government regulation. The assets of a bank or savings institution will be deemed to include the assets of its","page_number":86,"box":{"x":68,"y":317,"width":781,"height":11}},{"id":"e6bffb39-7ea8-4fed-aefa-82993935911b","block_type":"box","text":"domestic and foreign branches for purposes of a Fund’s investment policies. Investments in short-term bank","page_number":86,"box":{"x":69,"y":332,"width":776,"height":11}},{"id":"1db525f6-89de-46c4-9a88-ee7caf179560","block_type":"box","text":"obligations may include obligations of foreign banks and domestic branches of foreign banks, and also foreign","page_number":86,"box":{"x":69,"y":347,"width":785,"height":11}},{"id":"2e402b94-ada0-428a-bb8d-3ffc608f6155","block_type":"box","text":"branches of domestic banks.","page_number":86,"box":{"x":69,"y":362,"width":205,"height":9}},{"id":"4fafd37c-f4c5-4844-ae73-abb3e847ccfc","block_type":"box","text":"To the extent consistent with their investment objectives, a Fund may invest in debt obligations of domestic or","page_number":86,"box":{"x":101,"y":385,"width":785,"height":11}},{"id":"706ed39b-7e1c-4e6a-8a48-8082320be73a","block_type":"box","text":"foreign corporations and banks, and may acquire commercial obligations issued by Canadian corporations and","page_number":86,"box":{"x":68,"y":400,"width":787,"height":11}},{"id":"22bcbf0e-debb-484c-80f3-15caa2dd1aef","block_type":"box","text":"Canadian counterparts of U.S. corporations, as well as Europaper, which is U.S. dollar-denominated commercial","page_number":86,"box":{"x":69,"y":415,"width":797,"height":11}},{"id":"b0043d96-b398-4a1d-a6e1-36b4e37e9664","block_type":"box","text":"paper of a foreign issuer.","page_number":86,"box":{"x":70,"y":430,"width":176,"height":11}},{"id":"9395a222-957b-414a-99ba-e0b8d83dd7a3","block_type":"box","text":"Money Market Securities.","page_number":86,"box":{"x":102,"y":453,"width":188,"height":11}},{"id":"db5e0801-98bd-4a4b-ad5b-1c6cdcf22c27","block_type":"box","text":"Certain Funds may invest in a broad range of short-term, high quality, U.S. dollar","page_number":86,"box":{"x":296,"y":453,"width":578,"height":11}},{"id":"3392c9f2-fdd8-4d2d-b92e-b84e8f9cb269","block_type":"box","text":"denominated instruments, such as government, bank, commercial and other obligations that are available in the","page_number":86,"box":{"x":69,"y":468,"width":802,"height":11}},{"id":"de47b1e2-62c1-4172-9530-f8e2f9b59d5f","block_type":"box","text":"money markets. In particular, the Funds may invest in:","page_number":86,"box":{"x":69,"y":483,"width":386,"height":11}},{"id":"e25b2641-180f-4dcf-aaf0-7e2bc02c1669","block_type":"box","text":"(a) U.S. dollar-denominated obligations issued or supported by the credit of U.S. or foreign banks or savings","page_number":86,"box":{"x":69,"y":503,"width":779,"height":12}},{"id":"871c865d-9ae2-4f0e-8755-cef052a15734","block_type":"box","text":"institutions with total assets in excess of $1 billion (including obligations of foreign branches of such banks);","page_number":86,"box":{"x":102,"y":518,"width":776,"height":12}},{"id":"6338b176-2262-4893-9631-dab2ed11abf0","block_type":"box","text":"(b) high quality commercial paper and other obligations issued or guaranteed by U.S. and foreign corporations and","page_number":86,"box":{"x":69,"y":538,"width":821,"height":12}},{"id":"7a5ef36b-62e7-4fdc-980a-c99b9dbd72c2","block_type":"box","text":"other issuers rated (at the time of purchase) A-2 or higher by S&P, Prime-2 or higher by Moody’s or F-2 or higher","page_number":86,"box":{"x":102,"y":554,"width":795,"height":11}},{"id":"c9b1f87c-aa3a-414b-99d8-bdf6a722e0fc","block_type":"box","text":"by Fitch, as well as high quality corporate bonds rated (at the time of purchase) A or higher by those rating","page_number":86,"box":{"x":102,"y":569,"width":757,"height":11}},{"id":"e337fc48-0e07-4886-87ad-d8550754d1c3","block_type":"box","text":"agencies;","page_number":86,"box":{"x":102,"y":584,"width":66,"height":11}},{"id":"fe6d3a95-58a7-48ee-a278-4524d17533b6","block_type":"box","text":"(c) unrated notes, paper and other instruments that are of comparable quality to the instruments described in","page_number":86,"box":{"x":69,"y":604,"width":792,"height":11}},{"id":"e455e2b1-1f2b-400b-9c92-645f4ebd0d80","block_type":"box","text":"(b) above as determined by the Fund’s Manager;","page_number":86,"box":{"x":102,"y":619,"width":344,"height":11}},{"id":"3bf49f8b-75e4-41e5-9645-29e8d7322703","block_type":"box","text":"(d) asset-backed securities (including interests in pools of assets such as mortgages, installment purchase","page_number":86,"box":{"x":69,"y":639,"width":776,"height":12}},{"id":"9a9398c3-a76b-4559-908b-21f983e941bc","block_type":"box","text":"obligations and credit card receivables);","page_number":86,"box":{"x":102,"y":655,"width":283,"height":11}},{"id":"f3c89111-610e-4ca3-86af-2135e2d925fe","block_type":"box","text":"(e) securities issued or guaranteed as to principal and interest by the U.S. Government or by its agencies or","page_number":86,"box":{"x":69,"y":675,"width":778,"height":11}},{"id":"c2b0a243-2913-4a53-b07f-f0dbe9d1d1fe","block_type":"box","text":"authorities and related custodial receipts;","page_number":86,"box":{"x":102,"y":690,"width":296,"height":11}},{"id":"25fcca5c-164d-4c73-b42d-5d99baa69533","block_type":"box","text":"(f) dollar-denominated securities issued or guaranteed by foreign governments or their political subdivisions,","page_number":86,"box":{"x":69,"y":710,"width":782,"height":11}},{"id":"1d3e8a1e-b67a-4985-905b-e58b7789b50f","block_type":"box","text":"agencies or authorities;","page_number":86,"box":{"x":102,"y":725,"width":166,"height":11}},{"id":"a1b90f56-7eb6-42eb-b1f6-1574e3496724","block_type":"box","text":"(g) funding agreements issued by highly-rated U.S. insurance companies;","page_number":86,"box":{"x":69,"y":745,"width":528,"height":11}},{"id":"206d71d4-30ed-433d-9bf1-6c357f1c924e","block_type":"box","text":"(h) securities issued or guaranteed by state or local governmental bodies;","page_number":86,"box":{"x":69,"y":766,"width":534,"height":11}},{"id":"d2eecda0-a7b5-496e-9d0a-dd89ef2e9864","block_type":"box","text":"(i) repurchase agreements relating to the above instruments;","page_number":86,"box":{"x":69,"y":786,"width":447,"height":11}},{"id":"99557601-d355-4da4-aaf5-2656bc8a0cd6","block_type":"box","text":"(j) municipal bonds and notes whose principal and interest payments are guaranteed by the U.S. Government or","page_number":86,"box":{"x":69,"y":806,"width":812,"height":11}},{"id":"382d2173-7ca3-41bc-81b5-4460688988b7","block_type":"box","text":"one of its agencies or authorities or which otherwise depend directly or indirectly on the credit of the United","page_number":86,"box":{"x":102,"y":821,"width":766,"height":11}},{"id":"5e2e1f19-d211-4c19-b2c2-b10a42530a4d","block_type":"box","text":"States;","page_number":86,"box":{"x":102,"y":836,"width":49,"height":10}},{"id":"9d092900-89f4-4e7a-90d5-9d7cf2e998ab","block_type":"box","text":"(k) fixed and variable rate notes and similar debt instruments rated MIG-2, VMIG-2 or Prime-2 or higher by Moody’s,","page_number":86,"box":{"x":69,"y":856,"width":829,"height":11}},{"id":"0220cdcc-94be-4ca7-ae9d-16388c0ad1b2","block_type":"box","text":"SP-2 or A-2 or higher by S&P, or F-2 or higher by Fitch;","page_number":86,"box":{"x":102,"y":871,"width":379,"height":11}},{"id":"06d8c9ad-a103-4b52-8e97-69e9271a8035","block_type":"box","text":"(l) tax-exempt commercial paper and similar debt instruments rated Prime-2 or higher by Moody’s, A-2 or higher by","page_number":86,"box":{"x":69,"y":891,"width":826,"height":12}},{"id":"bf4a7246-292e-4af0-bbb0-3e9d408bb375","block_type":"box","text":"S&P, or F-2 or higher by Fitch;","page_number":86,"box":{"x":102,"y":906,"width":207,"height":12}},{"id":"6a657e5a-f42f-4edd-99b0-6cf48e1fad39","block_type":"box","text":"II-50","page_number":86,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6ed54e5c-3670-40aa-aed8-b951cc5fdb96","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":86,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cf2d7dcb-a330-43b8-877c-31a9d9042c44","block_type":"box","text":"(m) municipal bonds rated A or higher by Moody’s, S&P or Fitch;","page_number":87,"box":{"x":69,"y":45,"width":458,"height":11}},{"id":"e9631b3c-af85-4183-bb93-f5a7d0115c75","block_type":"box","text":"(n) unrated notes, paper or other instruments that are of comparable quality to the instruments described above, as","page_number":87,"box":{"x":69,"y":65,"width":837,"height":11}},{"id":"f12108fe-ddcf-4a9a-9327-ce3f78c05e15","block_type":"box","text":"determined by the Fund’s Manager under guidelines established by the Board; and","page_number":87,"box":{"x":101,"y":80,"width":589,"height":11}},{"id":"d659477d-e22d-4059-b7e4-c2f654b92f29","block_type":"box","text":"(o) municipal bonds and notes which are guaranteed as to principal and interest by the U.S. Government or an","page_number":87,"box":{"x":69,"y":100,"width":795,"height":11}},{"id":"79258669-259f-4090-99ad-ac16ef2192e1","block_type":"box","text":"agency or instrumentality thereof or which otherwise depend directly or indirectly on the credit of the United","page_number":87,"box":{"x":102,"y":115,"width":764,"height":11}},{"id":"394a3d12-3103-4cff-a62d-66c9d335498b","block_type":"box","text":"States.","page_number":87,"box":{"x":102,"y":130,"width":49,"height":9}},{"id":"611a858c-c29c-4010-a993-443faceb3a65","block_type":"box","text":"Mortgage-Related Securities.","page_number":87,"box":{"x":102,"y":153,"width":213,"height":11}},{"id":"478ea0bd-9e54-4899-b08f-e106642d710c","block_type":"box","text":"Mor tgage-Backed Securities.","page_number":87,"box":{"x":102,"y":176,"width":203,"height":11}},{"id":"31f8995b-72a1-46a6-8029-9a00cf94ab50","block_type":"box","text":"Mortgage-backed securities represent interests in pools of mortgages in which","page_number":87,"box":{"x":312,"y":176,"width":560,"height":11}},{"id":"9f5c3b5f-eede-48f1-b84d-aa9861d13372","block_type":"box","text":"payments of both principal and interest on the securities are generally made monthly, in effect “passing through”","page_number":87,"box":{"x":70,"y":191,"width":805,"height":11}},{"id":"5278b51b-c5e3-4de1-965f-644a03457123","block_type":"box","text":"monthly payments made by borrowers on the residential or commercial mortgage loans that underlie the securities","page_number":87,"box":{"x":69,"y":206,"width":819,"height":11}},{"id":"819a5efc-fadb-4846-96ff-03c0fa478cc9","block_type":"box","text":"(net of any fees paid to the issuer or guarantor of the securities). Mortgage-backed securities differ from other forms","page_number":87,"box":{"x":69,"y":221,"width":832,"height":11}},{"id":"83e9ce8d-359b-41d4-8749-32949977c1b6","block_type":"box","text":"of debt securities, which normally provide for periodic payment of interest in fixed amounts with principal payments at","page_number":87,"box":{"x":69,"y":236,"width":838,"height":11}},{"id":"d224e75c-2661-4c6f-8336-d2706910ffbb","block_type":"box","text":"maturity or specified call dates.","page_number":87,"box":{"x":69,"y":251,"width":222,"height":11}},{"id":"a559d2d7-1939-4e97-a155-f5bb7e790b99","block_type":"box","text":"Mortgage-backed securities are subject to the general risks associated with investing in real estate securities;","page_number":87,"box":{"x":102,"y":274,"width":785,"height":11}},{"id":"d3ea62ad-1cf3-4c84-8a56-a97190fd1fc7","block_type":"box","text":"that is, they may lose value if the value of the underlying real estate to which a pool of mortgages relates declines. In","page_number":87,"box":{"x":68,"y":289,"width":838,"height":11}},{"id":"0451638c-d189-4727-af06-45947aee05bf","block_type":"box","text":"addition, investments in mortgage-backed securities involve certain specific risks. These risks include the failure of a","page_number":87,"box":{"x":69,"y":304,"width":836,"height":11}},{"id":"0031d34d-5724-4290-87de-e601736fe56a","block_type":"box","text":"party to meet its commitments under the related operative documents, adverse interest rate changes and the effects","page_number":87,"box":{"x":70,"y":319,"width":837,"height":12}},{"id":"6e100fbe-0139-4bed-9c84-6528725e7a8d","block_type":"box","text":"of prepayments on mortgage cash flows. Mortgage-backed securities are “pass-through” securities, meaning that","page_number":87,"box":{"x":69,"y":334,"width":810,"height":12}},{"id":"5aa66f95-00d4-4f0f-a59c-e02cab27f989","block_type":"box","text":"principal and interest payments made by the borrower on the underlying mortgages are passed through to a Fund.","page_number":87,"box":{"x":70,"y":350,"width":811,"height":11}},{"id":"04e9f0ad-817d-4f12-acb6-1709a07918b3","block_type":"box","text":"Accordingly, the value of mortgage-backed securities in which a Fund invests may be particularly sensitive to changes","page_number":87,"box":{"x":68,"y":365,"width":837,"height":11}},{"id":"2ac5ac48-4160-42c2-9de9-ccdb3fa0cb18","block_type":"box","text":"in prevailing interest rates, and, like other fixed income investments, the ability of a Fund to utilize these instruments","page_number":87,"box":{"x":70,"y":380,"width":834,"height":11}},{"id":"14f79f52-ff6d-424f-8ad0-71c0fb4fa956","block_type":"box","text":"successfully may depend in part upon the ability of the Manager to forecast interest rates and other economic factors","page_number":87,"box":{"x":69,"y":395,"width":840,"height":11}},{"id":"fb2b5276-274e-4952-b374-af7e8cffedcc","block_type":"box","text":"correctly. The value of mortgage-backed securities, like that of traditional fixed-income securities, typically increases","page_number":87,"box":{"x":69,"y":410,"width":827,"height":11}},{"id":"467d1bc7-cb76-4549-8932-02135fb4b1ca","block_type":"box","text":"when interest rates fall and decreases when interest rates rise. However, mortgage-backed securities differ from","page_number":87,"box":{"x":68,"y":425,"width":805,"height":11}},{"id":"22865d5e-a419-4251-87b2-d4fa46c8eb94","block_type":"box","text":"traditional fixed-income securities because of their potential for prepayment without penalty. The price paid by a Fund","page_number":87,"box":{"x":68,"y":440,"width":834,"height":11}},{"id":"0d749f22-bc31-4da2-a7ca-45f21867e312","block_type":"box","text":"for its mortgage-backed securities, the yield the Fund expects to receive from such securities and the weighted","page_number":87,"box":{"x":68,"y":455,"width":791,"height":12}},{"id":"4333c891-85fd-4948-bd7b-8b93104b2f43","block_type":"box","text":"average life of the securities are based on a number of factors, including the anticipated rate of prepayment of the","page_number":87,"box":{"x":69,"y":470,"width":816,"height":12}},{"id":"1b3b22e6-253d-4200-9c6b-4594aee49dc7","block_type":"box","text":"underlying mortgages. In a period of declining interest rates, borrowers may prepay the underlying mortgages more","page_number":87,"box":{"x":69,"y":486,"width":819,"height":11}},{"id":"96f477fd-cd57-4f7a-bfb7-326cdfc6cbb3","block_type":"box","text":"quickly than anticipated, thereby reducing the yield to maturity and the average life of the mortgage-backed","page_number":87,"box":{"x":69,"y":501,"width":761,"height":11}},{"id":"6598282e-b860-457a-ad8e-0f7332855bea","block_type":"box","text":"securities. Moreover, when a Fund reinvests the proceeds of a prepayment in these circumstances, it will likely","page_number":87,"box":{"x":69,"y":516,"width":791,"height":11}},{"id":"bb130df8-1b61-4fdb-8469-a65d9db19bb5","block_type":"box","text":"receive a rate of interest that is lower than the rate on the security that was prepaid.","page_number":87,"box":{"x":69,"y":531,"width":602,"height":11}},{"id":"7b1bf6b7-ed8d-45a9-9e7c-fedc6d9b2385","block_type":"box","text":"To the extent that a Fund purchases mortgage-backed securities at a premium, mortgage foreclosures and","page_number":87,"box":{"x":101,"y":554,"width":761,"height":11}},{"id":"533b0d2d-b0b2-4325-aad4-54743bed55bc","block_type":"box","text":"principal prepayments may result in a loss to the extent of the premium paid. If a Fund buys such securities at a","page_number":87,"box":{"x":70,"y":569,"width":800,"height":11}},{"id":"60961749-1c5a-4fe0-8da3-a18f2c6a10c6","block_type":"box","text":"discount, both scheduled payments of principal and unscheduled prepayments will increase current and total returns","page_number":87,"box":{"x":69,"y":584,"width":833,"height":11}},{"id":"5576ea02-d7a2-4bf7-8720-da6d94f11224","block_type":"box","text":"and will accelerate the recognition of income, which, when distributed to shareholders, will be taxable as ordinary","page_number":87,"box":{"x":69,"y":599,"width":809,"height":11}},{"id":"b7c5e277-92bd-42a0-8ee1-a2404375547e","block_type":"box","text":"income. In a period of rising interest rates, prepayments of the underlying mortgages may occur at a slower than","page_number":87,"box":{"x":70,"y":614,"width":801,"height":11}},{"id":"8f9826dd-54c8-466a-b3b5-a9a3f20748bc","block_type":"box","text":"expected rate, creating maturity extension risk. This particular risk may effectively change a security that was","page_number":87,"box":{"x":69,"y":629,"width":778,"height":11}},{"id":"1e19a599-bd75-4a8f-89a4-1e93f89774ee","block_type":"box","text":"considered short- or intermediate-term at the time of purchase into a long-term security. Since the value of long-term","page_number":87,"box":{"x":69,"y":644,"width":831,"height":12}},{"id":"5df35792-00ce-4893-a580-1b81de1810a7","block_type":"box","text":"securities generally fluctuates more widely in response to changes in interest rates than that of shorter-term","page_number":87,"box":{"x":69,"y":659,"width":773,"height":12}},{"id":"67e0d2d0-ca7d-4eaf-8952-fe36378d4e1a","block_type":"box","text":"securities, maturity extension risk could increase the inherent volatility of the Fund. Under certain interest rate and","page_number":87,"box":{"x":69,"y":675,"width":818,"height":11}},{"id":"3d993cf2-1cab-437a-925f-0708c5e21064","block_type":"box","text":"prepayment scenarios, a Fund may fail to recoup fully its investment in mortgage-backed securities notwithstanding","page_number":87,"box":{"x":70,"y":690,"width":822,"height":11}},{"id":"26aa54d3-03c5-487b-8978-2f7cb1d14b8f","block_type":"box","text":"any direct or indirect governmental or agency guarantee.","page_number":87,"box":{"x":69,"y":705,"width":399,"height":11}},{"id":"5f7e8eef-b542-4978-a418-d38490a8f1d0","block_type":"box","text":"There are currently three types of mortgage pass-through securities: (1) those issued by the U.S. Government or","page_number":87,"box":{"x":101,"y":727,"width":802,"height":12}},{"id":"f8d7f123-fed1-41da-a662-a2f38f4780d8","block_type":"box","text":"one of its agencies or instrumentalities, such as the Government National Mortgage Association (“Ginnie Mae”), the","page_number":87,"box":{"x":69,"y":743,"width":830,"height":11}},{"id":"c9994692-b0e1-4545-b273-89ecd1dc130e","block_type":"box","text":"Federal National Mortgage Association (“Fannie Mae”) and the Federal Home Loan Mortgage Corporation (“Freddie","page_number":87,"box":{"x":70,"y":758,"width":818,"height":11}},{"id":"d68a8096-962b-4107-bd2c-154a50326ea0","block_type":"box","text":"Mac”); (2) those issued by private issuers that represent an interest in or are collateralized by pass-through","page_number":87,"box":{"x":70,"y":773,"width":766,"height":11}},{"id":"70d464e6-616a-44e7-bd5b-4970be680a6c","block_type":"box","text":"securities issued or guaranteed by the U.S. Government or one of its agencies or instrumentalities; and (3) those","page_number":87,"box":{"x":69,"y":788,"width":808,"height":11}},{"id":"27a60980-cfc1-4fd6-8404-488c27963e2b","block_type":"box","text":"issued by private issuers that represent an interest in or are collateralized by whole mortgage loans or pass-through","page_number":87,"box":{"x":70,"y":803,"width":825,"height":11}},{"id":"8dc912fb-8d9f-41c1-9cbb-2d8d26eeba92","block_type":"box","text":"securities without a government guarantee but that usually have some form of private credit enhancement.","page_number":87,"box":{"x":69,"y":818,"width":761,"height":11}},{"id":"448ac8f2-ca35-4826-9767-7ab8978569e7","block_type":"box","text":"Ginnie Mae is a wholly owned U.S. Government corporation within the Department of Housing and Urban","page_number":87,"box":{"x":102,"y":841,"width":743,"height":11}},{"id":"2991210e-d92d-4c08-a2ac-d0ef568d8bb2","block_type":"box","text":"Development. Ginnie Mae is authorized to guarantee, with the full faith and credit of the U.S. Government, the timely","page_number":87,"box":{"x":70,"y":856,"width":831,"height":11}},{"id":"f9b0e22d-4d41-4c2a-b9d6-a0847e3b47f0","block_type":"box","text":"payment of principal and interest on securities issued by the institutions approved by Ginnie Mae (such as savings","page_number":87,"box":{"x":70,"y":871,"width":815,"height":11}},{"id":"b36ca06f-ef55-4b25-a87a-af945fbd4de6","block_type":"box","text":"and loan institutions, commercial banks and mortgage banks), and backed by pools of Federal Housing","page_number":87,"box":{"x":69,"y":886,"width":737,"height":12}},{"id":"c3fdde23-1e39-475e-8861-0411b5541cbb","block_type":"box","text":"Administration (“FHA”)-insured or Veterans’ Administration (“VA”)-guaranteed mortgages. Pass-through certificates","page_number":87,"box":{"x":68,"y":901,"width":814,"height":12}},{"id":"9160a544-7ecf-4868-85b1-5c5a0ec7b2dd","block_type":"box","text":"II-51","page_number":87,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"44889fef-9335-4cc8-b765-e5cc69693df3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":87,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6baf5b51-2215-44e3-9cdf-1c49d66e7eaf","block_type":"box","text":"guaranteed by Ginnie Mae (such certificates are also known as “Ginnie Maes”) are guaranteed as to the timely","page_number":88,"box":{"x":68,"y":45,"width":794,"height":11}},{"id":"b837fc2d-f92c-4e50-b70b-8cc3ed988e77","block_type":"box","text":"payment of principal and interest by Ginnie Mae, whose guarantee is backed by the full faith and credit of the United","page_number":88,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"d213bc47-1c47-41be-81bb-66894eed8ca8","block_type":"box","text":"States. Ginnie Mae certificates also are supported by the authority of Ginnie Mae to borrow funds from the U.S.","page_number":88,"box":{"x":69,"y":75,"width":798,"height":11}},{"id":"fe6146a2-8000-4266-ad6b-2c4dcb873e83","block_type":"box","text":"Treasury Department to make payments under its guarantee. Mortgage-related securities issued by Fannie Mae","page_number":88,"box":{"x":68,"y":90,"width":798,"height":11}},{"id":"1af60455-c11e-4202-8378-a107b7ca4e69","block_type":"box","text":"include Fannie Mae guaranteed Mortgage Pass-Through Certificates (also known as “Fannie Maes”), which are","page_number":88,"box":{"x":70,"y":105,"width":788,"height":11}},{"id":"95a33731-225e-42b7-ae5f-38c54942ad53","block_type":"box","text":"guaranteed as to timely payment of principal and interest by Fannie Mae. They are not backed by or entitled to the full","page_number":88,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"fa532f86-029c-4543-afaf-4d75cd68c47b","block_type":"box","text":"faith and credit of the United States, but are supported by the right of Fannie Mae to borrow from the U.S. Treasury","page_number":88,"box":{"x":68,"y":135,"width":825,"height":12}},{"id":"3f8fceff-ee2f-439e-b445-7793c8362ef9","block_type":"box","text":"Department. Fannie Mae was established as a federal agency in 1938 and in 1968 was chartered by Congress as a","page_number":88,"box":{"x":70,"y":150,"width":830,"height":12}},{"id":"493f2804-99b2-4c2a-8bf9-62c34ddf4c8a","block_type":"box","text":"private shareholder-owned company. Mortgage-related securities issued by Freddie Mac include Freddie Mac","page_number":88,"box":{"x":70,"y":166,"width":770,"height":11}},{"id":"44af5555-2e5c-4397-9e72-00d909dbbf4f","block_type":"box","text":"Mortgage Participation Certificates (also known as “Freddie Macs” or “PCs”). Freddie Mac is a stockholder-owned","page_number":88,"box":{"x":70,"y":181,"width":812,"height":11}},{"id":"bd3dbba3-46b1-414c-92e5-58fc489af89a","block_type":"box","text":"corporation chartered by Congress in 1970. Freddie Macs are not guaranteed by the United States or by any Federal","page_number":88,"box":{"x":69,"y":196,"width":829,"height":11}},{"id":"6a3245aa-62de-4e07-bb77-b0c9f344fa1e","block_type":"box","text":"Home Loan Banks and do not constitute a debt or obligation of the United States or of any Federal Home Loan Bank.","page_number":88,"box":{"x":70,"y":211,"width":832,"height":11}},{"id":"5e9f1269-8e9a-4914-adf9-d9f3c163eb0e","block_type":"box","text":"Freddie Macs entitle the holder to timely payment of interest, which is guaranteed by Freddie Mac. Freddie Mac","page_number":88,"box":{"x":70,"y":226,"width":792,"height":11}},{"id":"abf2682b-efa7-4d71-a8d7-52c1b9e73db3","block_type":"box","text":"guarantees either ultimate collection or timely payment of all principal payments on the underlying mortgage loans.","page_number":88,"box":{"x":68,"y":241,"width":819,"height":11}},{"id":"acba7c16-10e6-485e-b9cb-a43f059433f7","block_type":"box","text":"While Freddie Mac generally does not guarantee timely payment of principal, Freddie Mac may remit the amount due","page_number":88,"box":{"x":68,"y":256,"width":829,"height":12}},{"id":"f2728207-8830-40db-9d48-0e679580271f","block_type":"box","text":"on account of its guarantee of ultimate payment of principal at any time after default on an underlying mortgage, but","page_number":88,"box":{"x":69,"y":271,"width":829,"height":12}},{"id":"a934e348-760e-4cda-b240-e0664f365b55","block_type":"box","text":"in no event later than one year after it becomes payable.","page_number":88,"box":{"x":70,"y":286,"width":401,"height":12}},{"id":"9cb17e2a-164b-4eac-8b84-0a1dc87173bb","block_type":"box","text":"Private mortgage pass-through securities are structured similarly to Ginnie Mae, Fannie Mae, and Freddie Mac","page_number":88,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"236cfb82-9f4a-4e54-976a-4123136df197","block_type":"box","text":"mortgage pass-through securities and are issued by originators of and investors in mortgage loans, including","page_number":88,"box":{"x":69,"y":324,"width":777,"height":12}},{"id":"ae489231-bec0-45e0-b836-85b9c1e4340c","block_type":"box","text":"depository institutions, mortgage banks, investment banks and special purpose subsidiaries of the foregoing.","page_number":88,"box":{"x":69,"y":339,"width":782,"height":12}},{"id":"02c0a29b-2a34-445c-88e8-34488fedeb0a","block_type":"box","text":"Pools created by private mortgage pass-through issuers generally offer a higher rate of interest than government","page_number":88,"box":{"x":102,"y":362,"width":802,"height":11}},{"id":"f1f1d028-62c6-418d-b1d4-27d2737f3024","block_type":"box","text":"and government-related pools because there are no direct or indirect government or agency guarantees of payments","page_number":88,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"72ee4766-d5a6-42a5-8437-bb1b1d0c9d76","block_type":"box","text":"in the private pools. However, timely payment of interest and principal of these pools may be supported by various","page_number":88,"box":{"x":70,"y":392,"width":814,"height":12}},{"id":"00ee1315-3c5b-4503-8899-d861b3b159cc","block_type":"box","text":"forms of insurance or guarantees, including individual loan, title, pool and hazard insurance and letters of credit. The","page_number":88,"box":{"x":68,"y":407,"width":833,"height":12}},{"id":"535bf819-a823-47f3-be40-1dc2f835c1c1","block_type":"box","text":"insurance and guarantees are issued by governmental entities, private insurers and the mortgage poolers. The","page_number":88,"box":{"x":70,"y":423,"width":789,"height":11}},{"id":"3d9bf96e-3748-496d-a43b-e65fd4c60e39","block_type":"box","text":"insurance and guarantees and the creditworthiness of the issuers thereof will be considered in determining whether","page_number":88,"box":{"x":70,"y":438,"width":827,"height":11}},{"id":"b61245be-d68d-4128-a994-644be3595fa2","block_type":"box","text":"a mortgage-related security meets a Fund’s investment quality standards. There can be no assurance that the private","page_number":88,"box":{"x":69,"y":453,"width":838,"height":11}},{"id":"1b730cef-3d44-48d5-8766-76f3ab81a68c","block_type":"box","text":"insurers or guarantors can meet their obligations under the insurance policies or guarantee arrangements. Private","page_number":88,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"79577a42-c5c9-473d-adc8-e04763215f46","block_type":"box","text":"mortgage pass-through securities may be bought without insurance or guarantees if, through an examination of the","page_number":88,"box":{"x":69,"y":483,"width":820,"height":11}},{"id":"224d6a2a-722b-4566-9083-6350db142f19","block_type":"box","text":"loan experience and practices of the originator/servicers and poolers, the Manager determines that the securities","page_number":88,"box":{"x":70,"y":498,"width":812,"height":11}},{"id":"74e2d86e-f674-4e15-bf50-19696880e7d5","block_type":"box","text":"meet a Fund’s quality standards. Any mortgage-related securities that are issued by private issuers have some","page_number":88,"box":{"x":69,"y":514,"width":790,"height":11}},{"id":"6aa52b21-4099-40a5-b0b5-04c03c1bd9e3","block_type":"box","text":"exposure to subprime loans as well as to the mortgage and credit markets generally.","page_number":88,"box":{"x":69,"y":529,"width":604,"height":11}},{"id":"9ffd9cba-710b-478b-afa5-d7ff05579774","block_type":"box","text":"In addition, mortgage-related securities that are issued by private issuers are not subject to the underwriting","page_number":88,"box":{"x":102,"y":551,"width":774,"height":11}},{"id":"76293765-3dd9-45d9-b12f-33fd1a737d5a","block_type":"box","text":"requirements for the underlying mortgages that are applicable to those mortgage-related securities that have a","page_number":88,"box":{"x":69,"y":566,"width":791,"height":11}},{"id":"400cb63d-3a59-4b36-b77b-a06abd4f61b0","block_type":"box","text":"government or government-sponsored entity guarantee. As a result, the mortgage loans underlying private mortgage","page_number":88,"box":{"x":68,"y":582,"width":832,"height":11}},{"id":"db80afb1-44a0-4383-bc3c-c79d0e847cba","block_type":"box","text":"related securities may, and frequently do, have less favorable collateral, credit risk or other underwriting","page_number":88,"box":{"x":69,"y":596,"width":742,"height":12}},{"id":"a486e36c-5b09-422d-8411-f76ce6142e83","block_type":"box","text":"characteristics than government or government-sponsored mortgage-related securities and have wider variances in a","page_number":88,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"b3fe79f9-e9cf-462f-b061-e5a4939705d1","block_type":"box","text":"number of terms including interest rate, term, size, purpose and borrower characteristics. Privately issued pools more","page_number":88,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"b5a35ce7-ac2d-4abf-8272-30636d6dee02","block_type":"box","text":"frequently include second mortgages, high loan-to-value mortgages and manufactured housing loans. The coupon","page_number":88,"box":{"x":68,"y":642,"width":809,"height":11}},{"id":"984ff688-1e6c-4545-a2d2-f1b5d0fab9f6","block_type":"box","text":"rates and maturities of the underlying mortgage loans in a private-label mortgage-related securities pool may vary to","page_number":88,"box":{"x":69,"y":657,"width":828,"height":11}},{"id":"86f7d405-cab2-455a-9eda-863fbfe7c638","block_type":"box","text":"a greater extent than those included in a government guaranteed pool, and the pool may include subprime mortgage","page_number":88,"box":{"x":69,"y":672,"width":830,"height":11}},{"id":"5c2c502e-0c50-49cd-a4c5-c9123b1ce084","block_type":"box","text":"loans. Subprime loans refer to loans made to borrowers with weakened credit histories or with a lower capacity to","page_number":88,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"20433c8f-e639-45f1-b407-3f0d071ebd16","block_type":"box","text":"make timely payments on their loans. For these reasons, the loans underlying these securities have had in many","page_number":88,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"a5b1fa1a-6834-4ddd-9ded-428b60aca6c1","block_type":"box","text":"cases higher default rates than those loans that meet government underwriting requirements.","page_number":88,"box":{"x":69,"y":717,"width":669,"height":12}},{"id":"f610be53-647b-43d8-b58c-0f3527db1996","block_type":"box","text":"The risk of non-payment is greater for mortgage-related securities that are backed by mortgage pools that","page_number":88,"box":{"x":101,"y":740,"width":754,"height":11}},{"id":"e43ec428-7926-4a12-96b9-858e9d35d56c","block_type":"box","text":"contain subprime loans, but a level of risk exists for all loans. Market factors adversely affecting mortgage loan","page_number":88,"box":{"x":69,"y":755,"width":795,"height":11}},{"id":"ec6acfed-0281-4d07-b9c0-7b8c066432bf","block_type":"box","text":"repayments may include a general economic turndown, high unemployment, a general slowdown in the real estate","page_number":88,"box":{"x":69,"y":771,"width":812,"height":11}},{"id":"9d706afc-1d81-45ff-9cbd-95ae77cf0ff8","block_type":"box","text":"market, a drop in the market prices of real estate, or an increase in interest rates resulting in higher mortgage","page_number":88,"box":{"x":69,"y":785,"width":788,"height":12}},{"id":"aac85d02-06a6-45d7-ad7c-d9b2f8dc76c7","block_type":"box","text":"payments by holders of adjustable rate mortgages.","page_number":88,"box":{"x":70,"y":801,"width":361,"height":11}},{"id":"f21f296b-bc0d-4143-95c5-be92b3c56a94","block_type":"box","text":"Privately issued mortgage-related securities are not traded on an exchange and there may be a limited market","page_number":88,"box":{"x":102,"y":823,"width":784,"height":12}},{"id":"c705337d-16ff-4ad0-9ab0-ba5c29b1ad4b","block_type":"box","text":"for the securities, especially when there is a perceived weakness in the mortgage and real estate market sectors.","page_number":88,"box":{"x":68,"y":838,"width":813,"height":12}},{"id":"12adf907-bfe5-4007-9d97-749302da0a3e","block_type":"box","text":"Without an active trading market, mortgage-related securities held in a Fund’s portfolio may be particularly difficult to","page_number":88,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"c4db8870-455e-4b9a-b650-451cdbe28f90","block_type":"box","text":"value because of the complexities involved in assessing the value of the underlying mortgage loans.","page_number":88,"box":{"x":68,"y":869,"width":714,"height":11}},{"id":"ffb3d94a-6d32-403d-bd3e-700df5a79685","block_type":"box","text":"Collateralized Mor tgage Obligations (“CMOs”).","page_number":88,"box":{"x":102,"y":891,"width":328,"height":12}},{"id":"1048b06a-7354-48bd-8dea-bea6addd2b56","block_type":"box","text":"CMOs are debt obligations collateralized by residential or","page_number":88,"box":{"x":437,"y":891,"width":407,"height":12}},{"id":"1e55907d-6ad9-4737-9d56-8a5c659be249","block_type":"box","text":"commercial mortgage loans or residential or commercial mortgage pass-through securities. Interest and prepaid","page_number":88,"box":{"x":69,"y":907,"width":800,"height":11}},{"id":"7fca8418-9fed-4a75-96c4-16e72de13011","block_type":"box","text":"II-52","page_number":88,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6145a600-92b7-485f-800e-fbc56fcaa385","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":88,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4fba0b78-54ff-41da-b476-7f54c9cbb017","block_type":"box","text":"principal are generally paid monthly. CMOs may be collateralized by whole mortgage loans or private mortgage pass","page_number":89,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"108f1666-2e8b-4e0d-ace8-7a60e5171a15","block_type":"box","text":"through securities but are more typically collateralized by portfolios of mortgage pass-through securities guaranteed","page_number":89,"box":{"x":68,"y":60,"width":826,"height":11}},{"id":"d6d485b3-1a7e-4958-b3f9-db2ba6d862b7","block_type":"box","text":"by Ginnie Mae, Freddie Mac, or Fannie Mae. The issuer of a series of CMOs may elect to be treated as a Real Estate","page_number":89,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"180dd894-2e39-4243-9c26-033883f2fd92","block_type":"box","text":"Mortgage Investment Conduit (“REMIC”). All future references to CMOs also include REMICs.","page_number":89,"box":{"x":70,"y":90,"width":661,"height":11}},{"id":"508b3953-f88c-443d-b9de-7be98e0c601a","block_type":"box","text":"CMOs are structured into multiple classes, often referred to as a “tranche,” each issued at a specific adjustable","page_number":89,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"5c25ec40-fdda-4c9d-9b3a-3463dd6286fe","block_type":"box","text":"or fixed interest rate, and bearing a different stated maturity date and each must be fully retired no later than its final","page_number":89,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"89431ce4-9055-4030-bf21-1739e6e9b411","block_type":"box","text":"distribution date. Actual maturity and average life will depend upon the prepayment experience of the collateral, which","page_number":89,"box":{"x":69,"y":143,"width":838,"height":11}},{"id":"37b8d4e5-46a3-41a5-a737-6cc7b0e801ef","block_type":"box","text":"is ordinarily unrelated to the stated maturity date. CMOs often provide for a modified form of call protection through a","page_number":89,"box":{"x":70,"y":158,"width":836,"height":11}},{"id":"c89178a4-8f83-4d85-8bf1-590524fd0b5e","block_type":"box","text":"de facto breakdown of the underlying pool of mortgages according to how quickly the loans are repaid. Monthly","page_number":89,"box":{"x":69,"y":173,"width":791,"height":11}},{"id":"bc24843e-8b61-4f5d-81da-8b54c0512b39","block_type":"box","text":"payment of principal received from the pool of underlying mortgages, including prepayments, is first returned to","page_number":89,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"1974888b-a368-4f24-bd07-f9350b3af658","block_type":"box","text":"investors holding the shortest maturity class. Investors holding the longer maturity classes usually receive principal","page_number":89,"box":{"x":70,"y":204,"width":820,"height":11}},{"id":"8d88d703-1a24-4f4b-b9aa-df6c89c74274","block_type":"box","text":"only after the first class has been retired. An investor may be partially protected against a sooner than desired return","page_number":89,"box":{"x":69,"y":218,"width":836,"height":12}},{"id":"2f2f12ee-9e97-4263-bfe3-4fe66149c75d","block_type":"box","text":"of principal because of the sequential payments.","page_number":89,"box":{"x":69,"y":234,"width":346,"height":11}},{"id":"c3b59580-9840-47f4-bba7-64fc2c80f1a9","block_type":"box","text":"Certain issuers of CMOs are not considered investment companies pursuant to a rule adopted by the","page_number":89,"box":{"x":102,"y":256,"width":723,"height":11}},{"id":"0c5c9945-15a6-46d7-aab5-3d914254d6ce","block_type":"box","text":"Commission, and a Fund may invest in the securities of such issuers without the limitations imposed by the","page_number":89,"box":{"x":69,"y":271,"width":768,"height":12}},{"id":"3a746fd9-67cf-4acf-9a91-706448fce496","block_type":"box","text":"Investment Company Act on investments by a Fund in other investment companies. In addition, in reliance on an","page_number":89,"box":{"x":70,"y":287,"width":800,"height":11}},{"id":"c416c6fc-4bda-4fdd-a9c0-c346e06af4b8","block_type":"box","text":"earlier Commission interpretation, a Fund’s investments in certain other qualifying CMOs, which cannot or do not rely","page_number":89,"box":{"x":69,"y":302,"width":836,"height":11}},{"id":"dc28eea8-e04e-4f0c-bd74-12f46e7cb26e","block_type":"box","text":"on the rule, are also not subject to the limitation of the Investment Company Act on acquiring interests in other","page_number":89,"box":{"x":69,"y":317,"width":793,"height":11}},{"id":"721f0fdc-3de0-4258-846c-b15f8cec3ee5","block_type":"box","text":"investment companies. In order to be able to rely on the Commission’s interpretation, these CMOs must be","page_number":89,"box":{"x":70,"y":332,"width":767,"height":11}},{"id":"dc139667-dced-4ca4-9221-02e7e5c3263a","block_type":"box","text":"unmanaged, fixed asset issuers, that: (1) invest primarily in mortgage-backed securities; (2) do not issue redeemable","page_number":89,"box":{"x":69,"y":347,"width":838,"height":11}},{"id":"f75dd754-6dc7-472a-89e5-284e5cdc055f","block_type":"box","text":"securities; (3) operate under general exemptive orders exempting them from all provisions of the Investment","page_number":89,"box":{"x":69,"y":362,"width":773,"height":11}},{"id":"47b506fd-2743-47a8-833b-e9d2891ddd6f","block_type":"box","text":"Company Act; and (4) are not registered or regulated under the Investment Company Act as investment companies.","page_number":89,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"78e52731-9c8f-4e23-98e2-d839775835af","block_type":"box","text":"To the extent that a Fund selects CMOs that cannot rely on the rule or do not meet the above requirements, the Fund","page_number":89,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"9b266bef-a465-4a6a-9cda-80972ebeca95","block_type":"box","text":"may not invest more than 10% of its assets in all such entities and may not acquire more than 3% of the voting","page_number":89,"box":{"x":69,"y":407,"width":795,"height":12}},{"id":"99260009-bf40-4655-b376-f7dbc6841987","block_type":"box","text":"securities of any single such entity.","page_number":89,"box":{"x":69,"y":423,"width":248,"height":11}},{"id":"0a0efa1d-d554-495a-b32f-df41f98c0d81","block_type":"box","text":"A Fund may also invest in, among other things, parallel pay CMOs, sequential pay CMOs, and floating rate CMOs.","page_number":89,"box":{"x":101,"y":445,"width":807,"height":12}},{"id":"310c8006-9aef-4d8e-ac81-a216afe639c8","block_type":"box","text":"Parallel pay CMOs are structured to provide payments of principal on each payment date to more than one class,","page_number":89,"box":{"x":69,"y":460,"width":805,"height":12}},{"id":"9be56e1c-4490-4f40-928f-f8be07995cdb","block_type":"box","text":"concurrently on a proportionate or disproportionate basis. These simultaneous payments are taken into account in","page_number":89,"box":{"x":69,"y":476,"width":819,"height":11}},{"id":"87f7ae02-495a-42ff-9a59-e99de5d5e09f","block_type":"box","text":"calculating the final distribution date of each class. Sequential pay CMOs generally pay principal to only one class at","page_number":89,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"879d63a8-06f6-48b7-a5e0-1d3fa333d7f5","block_type":"box","text":"a time while paying interest to several classes. A wide variety of REMIC Certificates may be issued in the parallel pay","page_number":89,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"07eef152-c35c-4ecf-ae36-0a3f1aea7843","block_type":"box","text":"or sequential pay structures. These securities include accrual certificates (also known as “Z-Bonds”), which only","page_number":89,"box":{"x":69,"y":521,"width":802,"height":11}},{"id":"e9495415-fcbc-4446-a895-a7c5a3e043b1","block_type":"box","text":"accrue interest at a specified rate until all other certificates having an earlier final distribution date have been retired","page_number":89,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"e1163559-6fbb-4e2a-b6dc-c7fc612b9d2d","block_type":"box","text":"and are converted thereafter to an interest-paying security. Floating rate CMOs are securities whose coupon rate","page_number":89,"box":{"x":69,"y":551,"width":801,"height":11}},{"id":"eaa99108-7284-4462-b061-f9340d1d716a","block_type":"box","text":"fluctuates according to some formula related to an existing market index or rate. Typical indices would include the","page_number":89,"box":{"x":68,"y":566,"width":813,"height":11}},{"id":"94f8e86c-3cf5-4abc-9fd8-51e1b3076f47","block_type":"box","text":"eleventh district cost-of-funds index (“COFI”), one-year Treasury yields, and ten-year Treasury yields.","page_number":89,"box":{"x":69,"y":581,"width":708,"height":11}},{"id":"7f49f704-19a8-444d-8d66-47332bd646f0","block_type":"box","text":"Classes of CMOs also include planned amortization classes (“PACs”) and targeted amortization classes","page_number":89,"box":{"x":102,"y":604,"width":742,"height":11}},{"id":"8b2af740-385a-41a7-a47c-ca68ce60259b","block_type":"box","text":"(“TACs”). PAC bonds generally require payments of a specified amount of principal on each payment date. The","page_number":89,"box":{"x":69,"y":619,"width":784,"height":11}},{"id":"413c6400-f003-4072-9638-e3b555c0b1c4","block_type":"box","text":"scheduled principal payments for PAC Certificates generally have the highest priority on each payment date after","page_number":89,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"1070e939-79ec-47f3-ae7a-f7c3277e83c7","block_type":"box","text":"interest due has been paid to all classes entitled to receive interest currently. Shortfalls, if any, are added to the","page_number":89,"box":{"x":70,"y":649,"width":802,"height":12}},{"id":"57834b31-7f99-4f64-83a9-46997df1cd13","block_type":"box","text":"amount payable on the next payment date. The PAC Certificate payment schedule is taken into account in calculating","page_number":89,"box":{"x":69,"y":664,"width":834,"height":12}},{"id":"a7659141-06cd-4cf8-9ae2-ed981e69f73e","block_type":"box","text":"the final distribution date of each class of PAC. In order to create PAC tranches, one or more tranches generally must","page_number":89,"box":{"x":68,"y":680,"width":835,"height":11}},{"id":"cfa78d52-05fb-403f-9662-fd374665e9f1","block_type":"box","text":"be created that absorb most of the volatility in the underlying mortgage assets. These tranches (often called","page_number":89,"box":{"x":69,"y":695,"width":772,"height":11}},{"id":"f6f6b748-b402-4c00-9df8-99f8a9c497e0","block_type":"box","text":"“supports” or “companion” tranches) tend to have market prices and yields that are more volatile than the PAC","page_number":89,"box":{"x":70,"y":710,"width":792,"height":11}},{"id":"ec9d049d-2f7a-4914-8830-131503c0281e","block_type":"box","text":"classes.","page_number":89,"box":{"x":69,"y":725,"width":57,"height":9}},{"id":"65f5a58b-c7c0-4c14-8910-a733caa4891f","block_type":"box","text":"TACs are similar to PACs in that they require that specified amounts of principal be applied on each payment","page_number":89,"box":{"x":101,"y":748,"width":774,"height":11}},{"id":"d2cc164e-7724-48fd-ba88-0455708daf55","block_type":"box","text":"date to one or more classes of REMIC Certificates. A PAC’s payment schedule, however, remains in effect as long as","page_number":89,"box":{"x":69,"y":763,"width":835,"height":11}},{"id":"67a2ba31-5880-487f-aeab-0c03d60aba9e","block_type":"box","text":"prepayment rates on the underlying mortgages do not exceed certain ranges. In contrast, a TAC provides investors","page_number":89,"box":{"x":70,"y":778,"width":815,"height":11}},{"id":"9b560056-1535-45e7-bbef-9d60ea3f209d","block_type":"box","text":"with protection, to a certain level, against either faster than expected or slower than expected prepayment rates, but","page_number":89,"box":{"x":68,"y":793,"width":833,"height":11}},{"id":"12c18d8b-fa7c-437c-a400-3ff6ad51f972","block_type":"box","text":"not both. TACs thus provide more cash flow stability than a regular sequential paying class, but less than a PAC. TACs","page_number":89,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"3a87d92d-721a-431d-bb7b-fcf0cb76002d","block_type":"box","text":"also tend to have market prices and yields that are more volatile than PACs.","page_number":89,"box":{"x":69,"y":823,"width":541,"height":11}},{"id":"00fc2067-4326-4e1d-9ed3-fc4c70ef4848","block_type":"box","text":"Adjustable Rate Mor tgage Securities.","page_number":89,"box":{"x":101,"y":846,"width":265,"height":11}},{"id":"69731f7b-c475-44c1-a910-d982652752c6","block_type":"box","text":"Adjustable rate mortgage securities (“ARMs”) are pass-through securities","page_number":89,"box":{"x":372,"y":846,"width":523,"height":11}},{"id":"7fa55a6b-6f64-4c0c-816a-ae25f34b7e82","block_type":"box","text":"collateralized by mortgages with adjustable rather than fixed rates. ARMs eligible for inclusion in a mortgage pool","page_number":89,"box":{"x":69,"y":861,"width":807,"height":11}},{"id":"e9c1e907-38c0-4416-a052-2ce28084636d","block_type":"box","text":"generally provide for a fixed initial mortgage interest rate for a set number of scheduled monthly payments. After that","page_number":89,"box":{"x":68,"y":876,"width":835,"height":11}},{"id":"63de6de6-d7d9-4b0e-921c-b740fa45f690","block_type":"box","text":"schedule of payments has been completed, the interest rates are subject to periodic adjustment based on changes","page_number":89,"box":{"x":69,"y":891,"width":824,"height":12}},{"id":"8425e92f-c045-40ec-801a-84f5769c9068","block_type":"box","text":"to a designated benchmark index.","page_number":89,"box":{"x":68,"y":907,"width":241,"height":11}},{"id":"e9376878-9a81-4ce0-8f7a-3cbd3ff46240","block_type":"box","text":"II-53","page_number":89,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b15ff17b-8d0b-4bb4-8d53-987412182d16","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":89,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5905ab76-4570-4293-81c2-863285265c28","block_type":"box","text":"ARMs contain maximum and minimum rates beyond which the mortgage interest rate may not vary over the","page_number":90,"box":{"x":101,"y":45,"width":767,"height":11}},{"id":"1b7abed8-34c2-4ff1-92d2-dda7bba2ae15","block_type":"box","text":"lifetime of the security. In addition, certain ARMs provide for additional limitations on the maximum amount by which","page_number":90,"box":{"x":70,"y":60,"width":828,"height":11}},{"id":"f9b011f2-fce3-4acc-9ca7-f25c19e8733a","block_type":"box","text":"the mortgage interest rate may adjust for any single adjustment period. In the event that market rates of interest rise","page_number":90,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"a9e3da1a-e8d0-4228-ae87-6572cb06c665","block_type":"box","text":"more rapidly to levels above that of the ARM’s maximum rate, the ARM’s coupon may represent a below market rate","page_number":90,"box":{"x":69,"y":90,"width":830,"height":11}},{"id":"a9bac535-2233-43bb-98fc-9a1bb41087c7","block_type":"box","text":"of interest. In these circumstances, the market value of the ARM security will likely have fallen.","page_number":90,"box":{"x":69,"y":105,"width":676,"height":11}},{"id":"b9ddfd4d-d15e-4a6f-a5c1-53687b15272b","block_type":"box","text":"Certain ARMs contain limitations on changes in the required monthly payment. In the event that a monthly","page_number":90,"box":{"x":102,"y":128,"width":757,"height":11}},{"id":"a254b3f2-42cc-43d6-b169-54f14e0bdead","block_type":"box","text":"payment is not sufficient to pay the interest accruing on an ARM, any such excess interest is added to the principal","page_number":90,"box":{"x":70,"y":143,"width":822,"height":11}},{"id":"e50c06da-3b8f-43b0-8b75-c48c3a70064c","block_type":"box","text":"balance of the mortgage loan, which is repaid through future monthly payments. If the monthly payment for such an","page_number":90,"box":{"x":69,"y":158,"width":823,"height":11}},{"id":"5ae99d36-d681-4e6b-9258-3156212b78d8","block_type":"box","text":"instrument exceeds the sum of the interest accrued at the applicable mortgage interest rate and the principal","page_number":90,"box":{"x":70,"y":173,"width":782,"height":11}},{"id":"7e052660-4940-4f5a-9907-64cb642198e5","block_type":"box","text":"payment required at such point to amortize the outstanding principal balance over the remaining term of the loan, the","page_number":90,"box":{"x":70,"y":188,"width":838,"height":12}},{"id":"50498d5c-34ca-4f9f-9b51-7994cbd3abd4","block_type":"box","text":"excess is then used to reduce the outstanding principal balance of the ARM.","page_number":90,"box":{"x":69,"y":203,"width":544,"height":12}},{"id":"f11da4a2-a5f9-4112-b507-c9beacbf5979","block_type":"box","text":"CMO Residuals.","page_number":90,"box":{"x":102,"y":226,"width":112,"height":9}},{"id":"8e481b3e-ae0b-44f5-be19-64c4ba0f9f39","block_type":"box","text":"CMO residuals are derivative mortgage securities issued by agencies or instrumentalities of the","page_number":90,"box":{"x":221,"y":226,"width":682,"height":11}},{"id":"0ae16917-b9ae-44b2-a171-a0b9a89ae7c1","block_type":"box","text":"U.S. Government or by private originators of, or investors in, mortgage loans, including savings and loan","page_number":90,"box":{"x":70,"y":241,"width":740,"height":11}},{"id":"0bec525b-313e-44f9-bae7-a99004e888bd","block_type":"box","text":"associations, homebuilders, mortgage banks, commercial banks, investment banks, and special purpose entities of","page_number":90,"box":{"x":69,"y":256,"width":829,"height":12}},{"id":"857e7081-88b3-4549-9cfc-eabb2a9cd825","block_type":"box","text":"the foregoing. The cash flow generated by the mortgage assets underlying a series of CMOs is applied first to make","page_number":90,"box":{"x":68,"y":271,"width":826,"height":12}},{"id":"8291686d-2759-418f-9ffa-fb3f9cf8a42f","block_type":"box","text":"required payments of principal and interest on the CMOs and second to pay the related administrative expenses and","page_number":90,"box":{"x":69,"y":286,"width":831,"height":12}},{"id":"fe1b7806-8deb-47fd-8884-8f4225afe52a","block_type":"box","text":"any management fees of the issuer. The residual in a CMO structure generally represents the interest in any excess","page_number":90,"box":{"x":69,"y":302,"width":827,"height":11}},{"id":"4a30e45e-099a-472c-a29c-d1786c84ce72","block_type":"box","text":"cash flow remaining after making the foregoing payments. Each payment of such excess cash flow to a holder of the","page_number":90,"box":{"x":69,"y":317,"width":829,"height":11}},{"id":"8196f5ed-5787-4f86-8f92-fa1847f4b87d","block_type":"box","text":"related CMO residual represents income and/or a return of capital. The amount of residual cash flow resulting from a","page_number":90,"box":{"x":69,"y":332,"width":838,"height":11}},{"id":"a7fa7ee3-1b32-4f05-9293-6fa3ee007b8d","block_type":"box","text":"CMO will depend on, among other things, the characteristics of the mortgage assets, the coupon rate of each class","page_number":90,"box":{"x":69,"y":347,"width":825,"height":11}},{"id":"88cb21ef-ce60-4aa4-afab-ebd09016f6b2","block_type":"box","text":"of CMO, prevailing interest rates, the amount of administrative expenses and the prepayment experience on the","page_number":90,"box":{"x":69,"y":362,"width":798,"height":11}},{"id":"ee42bb59-2946-4f7c-ab48-385c56b4f76d","block_type":"box","text":"mortgage assets. In part, the yield to maturity on the CMO residuals is extremely sensitive to prepayments on the","page_number":90,"box":{"x":69,"y":377,"width":813,"height":12}},{"id":"eee94510-ddf5-4983-ae58-4922fb454129","block_type":"box","text":"related underlying mortgage assets, in the same manner as an interest-only class of stripped mortgage-related","page_number":90,"box":{"x":69,"y":392,"width":790,"height":12}},{"id":"67c26871-ac26-4df8-9696-2295304c80e0","block_type":"box","text":"securities. In addition, if a series of a CMO includes a class that bears interest at an adjustable rate, the yield to","page_number":90,"box":{"x":69,"y":407,"width":805,"height":12}},{"id":"511e26de-5e1d-4cf7-9e54-2ae001e74b67","block_type":"box","text":"maturity on the related CMO residual will also be extremely sensitive to changes in the level of the index upon which","page_number":90,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"7509b161-3a94-4dfa-b1d6-72903308fba1","block_type":"box","text":"interest rate adjustments are based. In certain circumstances, a Fund may fail to recoup fully its initial investment in","page_number":90,"box":{"x":70,"y":438,"width":831,"height":11}},{"id":"c3a26339-ce05-4c04-b434-7bd2c1349722","block_type":"box","text":"a CMO residual.","page_number":90,"box":{"x":69,"y":453,"width":112,"height":9}},{"id":"aa2c1e9b-636c-4481-a964-8b5d31fdfa27","block_type":"box","text":"CMO residuals are generally purchased and sold by institutional investors through one or more investment","page_number":90,"box":{"x":102,"y":476,"width":758,"height":11}},{"id":"afe800ef-ffaf-4928-b731-0e3ac40d39a0","block_type":"box","text":"banking firms acting as brokers or dealers. Transactions in CMO residuals are generally completed only after careful","page_number":90,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"e6654b3d-3136-4574-be13-4b98345bf369","block_type":"box","text":"review of the characteristics of the securities in question. In addition, CMO residuals may or, pursuant to an","page_number":90,"box":{"x":69,"y":506,"width":769,"height":11}},{"id":"76f16070-f225-40c4-8be1-72f03040837c","block_type":"box","text":"exemption therefrom, may not have been registered under the Securities Act. Residual interests generally are junior","page_number":90,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"8112de39-ceea-4508-a61a-60d6e7d5f669","block_type":"box","text":"to, and may be significantly more volatile than, “regular” CMO and REMIC interests. CMO residuals, whether or not","page_number":90,"box":{"x":68,"y":536,"width":820,"height":11}},{"id":"774c0135-b90b-4dfa-a399-85ca6cc5aaac","block_type":"box","text":"registered under the Securities Act, may be subject to certain restrictions on transferability.","page_number":90,"box":{"x":69,"y":551,"width":650,"height":11}},{"id":"1ebf3ac8-d6cd-4040-92d8-124ffb2bdb5e","block_type":"box","text":"Stripped Mor tgage-Backed Securities.","page_number":90,"box":{"x":102,"y":574,"width":267,"height":11}},{"id":"183b1d66-c365-4c0b-92bb-e57cfc6b055e","block_type":"box","text":"A Fund may invest in stripped mortgage-backed securities (“SMBSs”)","page_number":90,"box":{"x":375,"y":574,"width":493,"height":11}},{"id":"9400284b-0ed6-4241-9427-0c2e573704b2","block_type":"box","text":"issued by agencies or instrumentalities of the United States. SMBSs are derivative multi-class mortgage-backed","page_number":90,"box":{"x":70,"y":589,"width":798,"height":11}},{"id":"35e19436-ddc3-41ea-ac5f-cfb7805b7549","block_type":"box","text":"securities. SMBS arrangements commonly involve two classes of securities that receive different proportions of the","page_number":90,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"5f242d87-0642-4e26-9c41-450adc332075","block_type":"box","text":"interest and principal distributions on a pool of mortgage assets. A common variety of SMBS is where one class (the","page_number":90,"box":{"x":70,"y":619,"width":832,"height":11}},{"id":"377a9f83-9f98-452d-bf50-1e6fd5ff52ce","block_type":"box","text":"principal only or PO class) receives some of the interest and most of the principal from the underlying assets, while","page_number":90,"box":{"x":70,"y":634,"width":821,"height":12}},{"id":"8340b267-db64-4908-88cc-77a052eb2465","block_type":"box","text":"the other class (the interest only or IO class) receives most of the interest and the remainder of the principal. In the","page_number":90,"box":{"x":68,"y":649,"width":826,"height":12}},{"id":"4b33c7ad-1294-4f06-9c85-bbdc05aeca7d","block_type":"box","text":"most extreme case, the IO class receives all of the interest, while the PO class receives all of the principal. While a","page_number":90,"box":{"x":69,"y":664,"width":822,"height":11}},{"id":"90d673d5-839f-47c2-9a68-f3470728e260","block_type":"box","text":"Fund may purchase securities of a PO class, a Fund is more likely to purchase the securities of an IO class. The yield","page_number":90,"box":{"x":70,"y":680,"width":834,"height":11}},{"id":"bc082bc2-94dd-4a39-aa49-ea243e88ad2f","block_type":"box","text":"to maturity of an IO class is extremely sensitive to the rate of principal payments (including prepayments) on the","page_number":90,"box":{"x":68,"y":695,"width":800,"height":11}},{"id":"54227632-9b86-4744-9d97-4f0a6868a6f6","block_type":"box","text":"related underlying assets, and a rapid rate of principal prepayments in excess of that considered in pricing the","page_number":90,"box":{"x":69,"y":710,"width":786,"height":11}},{"id":"5efa5edb-598d-459d-9302-8aa72d393104","block_type":"box","text":"securities will have a material adverse effect on an IO security’s yield to maturity. If the underlying mortgage assets","page_number":90,"box":{"x":69,"y":725,"width":823,"height":11}},{"id":"a982e594-b3ea-436c-ad3d-37117b35bf25","block_type":"box","text":"experience greater than anticipated payments of principal, a Fund may fail to recoup fully its initial investment in IOs.","page_number":90,"box":{"x":69,"y":740,"width":832,"height":11}},{"id":"48236d2f-7aef-4a73-87ed-ec954f5f2f55","block_type":"box","text":"In addition, there are certain types of IOs that represent the interest portion of a particular class as opposed to the","page_number":90,"box":{"x":70,"y":755,"width":824,"height":11}},{"id":"721b17d0-0d98-4640-b2a7-565984902bbc","block_type":"box","text":"interest portion of the entire pool. The sensitivity of this type of IO to interest rate fluctuations may be increased","page_number":90,"box":{"x":70,"y":770,"width":800,"height":11}},{"id":"f02a11e6-b43e-4d98-8342-737a72be4d5e","block_type":"box","text":"because of the characteristics of the principal portion to which they relate. As a result of the above factors, a Fund","page_number":90,"box":{"x":69,"y":785,"width":818,"height":12}},{"id":"61a5993a-0574-4ee4-98f6-4ce4724f202c","block_type":"box","text":"generally will purchase IOs only as a component of so called “synthetic” securities. This means that purchases of IOs","page_number":90,"box":{"x":68,"y":801,"width":840,"height":11}},{"id":"f0831522-a754-400b-8431-6fd8362f1fb9","block_type":"box","text":"will be matched with certain purchases of other securities, such as POs, inverse floating rate CMOs or fixed rate","page_number":90,"box":{"x":68,"y":816,"width":802,"height":11}},{"id":"1fd2ca5a-2c70-4404-97bc-4646f38a4a51","block_type":"box","text":"securities; as interest rates fall, presenting a greater risk of unanticipated prepayments of principal, the negative","page_number":90,"box":{"x":69,"y":831,"width":805,"height":11}},{"id":"75082f62-75b4-4be8-8216-467667598eca","block_type":"box","text":"effect on a Fund because of its holdings of IOs should be diminished somewhat because of the increased yield on","page_number":90,"box":{"x":69,"y":846,"width":814,"height":11}},{"id":"9fc1ad9f-1126-4505-b18a-edcbe83dda1e","block_type":"box","text":"the inverse floating rate CMOs or the increased appreciation on the POs or fixed rate securities.","page_number":90,"box":{"x":68,"y":861,"width":683,"height":11}},{"id":"82d28fd8-12fa-4316-977b-0cb99716bfad","block_type":"box","text":"Tiered Index Bonds.","page_number":90,"box":{"x":103,"y":884,"width":138,"height":9}},{"id":"80c9182b-729b-4f70-9758-a45ebd340df4","block_type":"box","text":"Tiered index bonds are forms of mortgage-related securities. The interest rate on a tiered","page_number":90,"box":{"x":247,"y":884,"width":638,"height":11}},{"id":"b05b801c-3f1b-43f6-bb70-1740e6222eed","block_type":"box","text":"index bond is tied to a specified index or market rate. So long as this index or market rate is below a predetermined","page_number":90,"box":{"x":70,"y":899,"width":825,"height":11}},{"id":"73a56bc0-3a3c-498d-ac68-80d87faffb1d","block_type":"box","text":"II-54","page_number":90,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"cec2975d-657f-4314-b681-131843b84d99","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":90,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d52789a9-3033-4c58-a2fc-a0835ebfac3b","block_type":"box","text":"“strike” rate, the interest rate on the tiered index bond remains fixed. If, however, the specified index or market rate","page_number":91,"box":{"x":70,"y":45,"width":827,"height":11}},{"id":"013c53f1-26b0-48dc-bf58-c00d840015ea","block_type":"box","text":"rises above the “strike” rate, the interest rate of the tiered index bond will decrease. Thus, under these","page_number":91,"box":{"x":69,"y":60,"width":738,"height":10}},{"id":"667635ce-c470-4a47-8d54-1e4425dfd97b","block_type":"box","text":"circumstances, the interest rate on a tiered index bond, like an inverse floater, will move in the opposite direction of","page_number":91,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"352bf969-10b8-4f06-830b-a890196d6200","block_type":"box","text":"prevailing interest rates, with the result that the price of the tiered index bond may be considerably more volatile than","page_number":91,"box":{"x":70,"y":90,"width":836,"height":11}},{"id":"156db8a1-ef59-4ff0-9dd4-1ea523397cc7","block_type":"box","text":"that of a fixed-rate bond.","page_number":91,"box":{"x":68,"y":105,"width":174,"height":9}},{"id":"207bdce2-123d-4ffe-a7d3-b3b8569aa7ee","block_type":"box","text":"TBA Commitments.","page_number":91,"box":{"x":103,"y":128,"width":133,"height":9}},{"id":"d78dfb3c-9478-4d5f-a2a7-ee280e3e6a7a","block_type":"box","text":"Certain Funds may enter into “to be announced” or “TBA” commitments. TBA commitments","page_number":91,"box":{"x":243,"y":128,"width":653,"height":11}},{"id":"3dabc713-62a2-478a-bd6b-a0b895342212","block_type":"box","text":"are forward agreements for the purchase or sale of securities, including mortgage-backed securities for a fixed price,","page_number":91,"box":{"x":69,"y":143,"width":834,"height":11}},{"id":"27efca61-8693-4555-81f0-8f3fab4557b4","block_type":"box","text":"with payment and delivery on an agreed upon future settlement date. The specific securities to be delivered are not","page_number":91,"box":{"x":68,"y":158,"width":825,"height":11}},{"id":"2f5b1543-0f8f-410c-b1fa-45b4085d7ffe","block_type":"box","text":"identified at the trade date. However, delivered securities must meet specified terms, including issuer, rate and","page_number":91,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"e9da49dd-8213-4fbe-aa5c-0f5dc447717f","block_type":"box","text":"mortgage terms. When the Fund enters into a TBA commitment for the sale of mortgage-backed securities for a fixed","page_number":91,"box":{"x":69,"y":188,"width":833,"height":12}},{"id":"5cf5e626-33de-4966-ab5b-d340976b6b6f","block_type":"box","text":"price, with payment and delivery on an agreed upon future settlement date (which may be referred to as having a","page_number":91,"box":{"x":70,"y":203,"width":804,"height":12}},{"id":"20bc6b9d-d5fa-4c2c-bd0c-32b43cc10d7a","block_type":"box","text":"short position in such TBA securities), the Fund may or may not hold the types of mortgage-backed securities","page_number":91,"box":{"x":69,"y":218,"width":779,"height":12}},{"id":"a5008a81-6ece-497c-9904-804530ad297c","block_type":"box","text":"required to be delivered. See “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”","page_number":91,"box":{"x":69,"y":234,"width":810,"height":11}},{"id":"405ce94b-fb85-4ce8-8092-2810005eae45","block_type":"box","text":"below.","page_number":91,"box":{"x":69,"y":249,"width":43,"height":9}},{"id":"d3bd754f-5ae0-45ed-875b-0448d28a9c36","block_type":"box","text":"Mor tgage Dollar Rolls.","page_number":91,"box":{"x":102,"y":272,"width":157,"height":11}},{"id":"a8707cd5-b2e9-41db-a96b-6c0d035f524c","block_type":"box","text":"Certain Funds may invest in mortgage dollar rolls. In a mortgage dollar roll transaction, a","page_number":91,"box":{"x":266,"y":272,"width":634,"height":11}},{"id":"87aa08e4-6a96-48c1-9da0-95c7ac187538","block_type":"box","text":"Fund sells mortgage-backed securities for delivery in the current month and simultaneously contracts to repurchase","page_number":91,"box":{"x":70,"y":286,"width":825,"height":12}},{"id":"e07b5636-c3f4-4d3d-a5ba-456a704c0712","block_type":"box","text":"substantially similar securities on a specified future date. The securities that are repurchased will bear the same","page_number":91,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"c8ec7423-bef0-4809-9ee4-5f3b68221008","block_type":"box","text":"interest rate and a similar maturity as those sold, but pools of mortgages collateralizing those securities may have","page_number":91,"box":{"x":70,"y":317,"width":817,"height":11}},{"id":"ed7d10be-f158-4550-b85b-edbd783cc7b1","block_type":"box","text":"different prepayment histories than those sold. During the period between the sale and repurchase, a Fund will not","page_number":91,"box":{"x":69,"y":332,"width":820,"height":11}},{"id":"fe06d95f-a624-44f5-b71c-582879fc0ec3","block_type":"box","text":"be entitled to receive interest and principal payments on the securities sold. Proceeds of the sale will be invested in","page_number":91,"box":{"x":69,"y":347,"width":827,"height":11}},{"id":"69db9cd0-6dea-4724-a8b7-6322cf8251c3","block_type":"box","text":"additional instruments for the Fund, and the income from these investments will generate income for the Fund. If","page_number":91,"box":{"x":69,"y":362,"width":806,"height":11}},{"id":"77b74f40-39b4-4ab9-80ce-087159ebcdc0","block_type":"box","text":"such income does not exceed the income, capital appreciation and gain or loss that would have been realized on the","page_number":91,"box":{"x":69,"y":377,"width":833,"height":12}},{"id":"04232ddf-01f7-460b-a9cc-5e89cbd6052b","block_type":"box","text":"securities sold as part of the dollar roll, the use of this technique will diminish the investment performance of a Fund","page_number":91,"box":{"x":69,"y":392,"width":836,"height":11}},{"id":"9dcd10db-d6c8-4282-8039-0eee193daca5","block_type":"box","text":"compared with what the performance would have been without the use of dollar rolls.","page_number":91,"box":{"x":69,"y":407,"width":607,"height":11}},{"id":"0903e101-ca0a-4a49-a1e0-bc855e20e636","block_type":"box","text":"Each mortgage dollar roll transaction is accounted for as a sale or purchase of a portfolio security and a","page_number":91,"box":{"x":102,"y":430,"width":744,"height":11}},{"id":"1ee426d7-024f-42e7-87e0-54788f0cd1aa","block_type":"box","text":"subsequent purchase or sale of a substantially similar security in the forward market. Transactions in mortgage","page_number":91,"box":{"x":69,"y":445,"width":796,"height":12}},{"id":"c7049f16-1b16-4f4a-a712-99dc338ce132","block_type":"box","text":"dollar rolls may increase trading costs and portfolio turnover.","page_number":91,"box":{"x":69,"y":460,"width":433,"height":12}},{"id":"6e40f2b4-5301-4362-96ac-3d6e1a8a49dd","block_type":"box","text":"In the event the buyer of the securities under a mortgage dollar roll files for bankruptcy or becomes insolvent, a","page_number":91,"box":{"x":102,"y":483,"width":795,"height":11}},{"id":"9512e66b-028d-496d-b658-df4e43185f4a","block_type":"box","text":"Fund’s use of the proceeds of the current sale portion of the transaction may be restricted pending a determination","page_number":91,"box":{"x":70,"y":498,"width":824,"height":11}},{"id":"b96dd840-6a23-4665-a133-fe3e10fb81f9","block_type":"box","text":"by the other party, or its trustee or receiver, whether to enforce the Fund’s obligation to purchase the similar","page_number":91,"box":{"x":69,"y":513,"width":774,"height":12}},{"id":"8c029830-151a-4c8f-9628-442a00f0f157","block_type":"box","text":"securities in the forward transaction.","page_number":91,"box":{"x":69,"y":528,"width":261,"height":9}},{"id":"a20e0d81-f4d7-47af-a737-d262750b14f0","block_type":"box","text":"A Fund may engage in dollar roll transactions to enhance returns. Successful use of mortgage dollar rolls may","page_number":91,"box":{"x":101,"y":551,"width":785,"height":11}},{"id":"f1fd00ef-9fa7-4d9f-b2ca-f450c7dc06b4","block_type":"box","text":"depend upon the Manager’s ability to correctly predict interest rates and prepayments. Dollar rolls involve the risk","page_number":91,"box":{"x":69,"y":566,"width":812,"height":11}},{"id":"c50fc454-1c3e-48ea-ba36-435791bb49e1","block_type":"box","text":"that the market value of the securities subject to a Fund’s forward purchase commitment may decline below, or the","page_number":91,"box":{"x":68,"y":581,"width":824,"height":11}},{"id":"72a7ed95-537d-4eb5-984f-492ff38ea4aa","block_type":"box","text":"market value of the securities subject to a Fund’s forward sale commitment may increase above, the exercise price","page_number":91,"box":{"x":69,"y":596,"width":824,"height":12}},{"id":"60150cf7-8fa0-4784-b74b-cd58cf15fb98","block_type":"box","text":"of the forward commitment. Dollar rolls are speculative techniques that can be deemed to involve leverage. There is","page_number":91,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"82c70292-a40a-4570-afb2-7bdc984e91ba","block_type":"box","text":"no assurance that dollar rolls can be successfully employed.","page_number":91,"box":{"x":69,"y":627,"width":430,"height":11}},{"id":"3a4b8cdd-79b0-400b-a8d3-5738bc1d6f4b","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into when-issued or forward-settling","page_number":91,"box":{"x":102,"y":649,"width":759,"height":12}},{"id":"a02e95ff-f9d6-46b6-8d03-f47604569430","block_type":"box","text":"securities (","page_number":91,"box":{"x":69,"y":665,"width":78,"height":11}},{"id":"03b9b04b-3ee5-4b72-b0dd-3a1129e9c0a6","block_type":"box","text":"e.g.","page_number":91,"box":{"x":148,"y":666,"width":25,"height":10}},{"id":"64f6933d-325b-49fc-9092-4630f43aae59","block_type":"box","text":", dollar rolls and firm and standby commitments, including TBA commitments) and non-standard","page_number":91,"box":{"x":176,"y":664,"width":681,"height":12}},{"id":"6e404f67-69d5-4128-b02d-4956989b414a","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":91,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"c378f32a-24c3-4415-a82b-03da64bd624c","block_type":"box","text":"Investment Company Act, provided that the transaction meets the Delayed-Settlement Securities Provision (as","page_number":91,"box":{"x":70,"y":695,"width":783,"height":11}},{"id":"5c3c47a2-4a47-46c2-bca9-d6efc969ef42","block_type":"box","text":"defined below under “—When-Issued Securities, Delayed Delivery Securities and Forward Commitments”). If a when","page_number":91,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"460eee57-b0f0-4034-a7c3-5d3d52316e1d","block_type":"box","text":"issued, forward-settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities","page_number":91,"box":{"x":70,"y":725,"width":830,"height":11}},{"id":"54c2afff-7d47-4c8f-a70e-c92d0bb3e98a","block_type":"box","text":"Provision, then it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of","page_number":91,"box":{"x":69,"y":740,"width":788,"height":11}},{"id":"e5f0000e-fb13-4ede-863d-b64b2d2c826f","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":91,"box":{"x":70,"y":755,"width":489,"height":11}},{"id":"347de77e-7c9f-40e5-a683-66d47454d0c7","block_type":"box","text":"Net Interest Margin (NIM) Securities.","page_number":91,"box":{"x":102,"y":778,"width":260,"height":11}},{"id":"0bbed937-e572-4b6a-861f-07dbf7a5ad1b","block_type":"box","text":"A Fund may invest in net interest margin (“NIM”) securities. These","page_number":91,"box":{"x":368,"y":778,"width":473,"height":11}},{"id":"fadade4b-8fa8-4eb5-9fa6-230a37a293d1","block_type":"box","text":"securities are derivative interest-only mortgage securities structured off home equity loan transactions. NIM","page_number":91,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"81834817-7c84-4863-ac79-68bc4efa4ace","block_type":"box","text":"securities receive any “excess” interest computed after paying coupon costs, servicing costs and fees and any credit","page_number":91,"box":{"x":69,"y":808,"width":836,"height":11}},{"id":"e448b59c-b192-4b52-9db3-9aa7fb51ddd4","block_type":"box","text":"losses associated with the underlying pool of home equity loans. Like traditional stripped mortgage-backed","page_number":91,"box":{"x":70,"y":823,"width":760,"height":12}},{"id":"2c56de17-a099-4d3c-9942-1aa6267679b9","block_type":"box","text":"securities, the yield to maturity on a NIM security is sensitive not only to changes in prevailing interest rates but also","page_number":91,"box":{"x":69,"y":839,"width":832,"height":11}},{"id":"24e396c7-ea3f-4e9e-b79f-8083ec3de242","block_type":"box","text":"to the rate of principal payments (including prepayments) on the underlying home equity loans. NIM securities are","page_number":91,"box":{"x":68,"y":853,"width":810,"height":12}},{"id":"7bcc49f5-3a89-4af2-b409-29f1f73eebdd","block_type":"box","text":"highly sensitive to credit losses on the underlying collateral and the timing in which those losses are taken.","page_number":91,"box":{"x":69,"y":869,"width":764,"height":11}},{"id":"871a32ee-8d37-42ad-8921-31df909f1b2d","block_type":"box","text":"Municipal Investments.","page_number":91,"box":{"x":102,"y":891,"width":169,"height":11}},{"id":"f1ac4431-197f-4bd3-bbab-c7059f54d3f2","block_type":"box","text":"II-55","page_number":91,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"537f573a-5952-4010-80ec-40f97c2950ee","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":91,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c6c8048f-a80d-4fe1-bc22-da960f341a90","block_type":"box","text":"Certain Funds may invest in obligations issued by or on behalf of states, territories and possessions of the","page_number":92,"box":{"x":102,"y":45,"width":763,"height":11}},{"id":"4e33200b-34b8-446a-894e-2f58b1a81986","block_type":"box","text":"United States and the District of Columbia and their political subdivisions, agencies and instrumentalities, the","page_number":92,"box":{"x":70,"y":60,"width":783,"height":11}},{"id":"5d0db00e-821e-4531-8c41-8572c4f1f1d5","block_type":"box","text":"payments from which, in the opinion of bond counsel to the issuer, are excludable from gross income for U.S. federal","page_number":92,"box":{"x":70,"y":75,"width":833,"height":11}},{"id":"85978cca-2e96-4ad9-8b9f-77fabef3eae9","block_type":"box","text":"income tax purposes (“Municipal Bonds”). Certain of the Municipal Funds may also invest in Municipal Bonds that","page_number":92,"box":{"x":70,"y":90,"width":813,"height":11}},{"id":"e0894958-3ac3-4274-9f16-64cb77c50fd6","block_type":"box","text":"pay interest excludable from gross income for purposes of state and local income taxes of the designated state and/","page_number":92,"box":{"x":70,"y":105,"width":836,"height":11}},{"id":"758b5261-c6d5-45d2-808c-f29ea152712a","block_type":"box","text":"or allow the value of a Fund’s shares to be exempt from state and local taxes of the designated state (“State","page_number":92,"box":{"x":69,"y":120,"width":779,"height":12}},{"id":"ec8d8dfd-b917-4d04-9290-6957f5385321","block_type":"box","text":"Municipal Bonds”). The Municipal Funds may also invest in securities not issued by or on behalf of a state or territory","page_number":92,"box":{"x":70,"y":135,"width":838,"height":11}},{"id":"c658ca8b-e120-4137-acae-5c10e6f1a315","block_type":"box","text":"or by an agency or instrumentality thereof, if the Manager believes such securities to pay interest excludable from","page_number":92,"box":{"x":69,"y":150,"width":810,"height":12}},{"id":"3393a9d0-2d04-4e62-a9a7-b4af2aae8bcf","block_type":"box","text":"gross income for purposes of U.S. federal income tax and state and local income taxes of the designated state and/","page_number":92,"box":{"x":68,"y":166,"width":834,"height":11}},{"id":"11994cca-bf6e-423f-af72-002ee424a75b","block_type":"box","text":"or state and local personal property taxes of the designated state (“Non-Municipal Tax-Exempt Securities”). Non","page_number":92,"box":{"x":69,"y":181,"width":801,"height":11}},{"id":"93af0524-92e1-425e-947e-de633603596b","block_type":"box","text":"Municipal Tax-Exempt Securities could include trust certificates or other instruments evidencing interest in one or","page_number":92,"box":{"x":70,"y":196,"width":807,"height":11}},{"id":"9ebf8fa3-21b5-49d9-9b8e-2187010a9a13","block_type":"box","text":"more long-term municipal securities. Non-Municipal Tax-Exempt Securities also may include securities issued by other","page_number":92,"box":{"x":69,"y":211,"width":837,"height":11}},{"id":"8f72bd44-7b71-4e8e-9d8a-cd4e6c1196ec","block_type":"box","text":"investment companies that invest in municipal bonds, to the extent such investments are permitted by applicable","page_number":92,"box":{"x":70,"y":226,"width":809,"height":11}},{"id":"2db5dd8d-40dc-4859-9167-9d194f7db9eb","block_type":"box","text":"law. Non-Municipal Tax-Exempt Securities that pay interest excludable from gross income for U.S. federal income tax","page_number":92,"box":{"x":70,"y":241,"width":826,"height":11}},{"id":"4e34aa02-0ae5-428a-b4ec-7d8aa28a0e04","block_type":"box","text":"purposes will be considered “Municipal Bonds” for purposes of a Municipal Fund’s investment objective and policies.","page_number":92,"box":{"x":70,"y":256,"width":834,"height":11}},{"id":"2d3f805a-b21e-47ac-9cd9-d232b55e674f","block_type":"box","text":"Non-Municipal Tax-Exempt Securities that pay interest excludable from gross income for purposes of U.S. federal","page_number":92,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"b2745ae6-bc70-4316-a90f-091c3f88cef5","block_type":"box","text":"income tax and state and local income taxes of a designated state and/or allow the value of a Fund’s shares to be","page_number":92,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"985d7472-17e0-40cc-8051-d6b098b2f82a","block_type":"box","text":"exempt from state and local personal property taxes of that state will be considered “State Municipal Bonds” for","page_number":92,"box":{"x":69,"y":302,"width":805,"height":11}},{"id":"b7f98a9f-c0e2-4b5b-8a4d-0bb59c8f6905","block_type":"box","text":"purposes of the investment objective and policies of each of California Municipal Opportunities Fund, New Jersey","page_number":92,"box":{"x":70,"y":317,"width":805,"height":11}},{"id":"c5f64434-c2a0-4122-a0af-707503e2b463","block_type":"box","text":"Municipal Bond Fund, New York Municipal Opportunities Fund and Pennsylvania Municipal Bond Fund.","page_number":92,"box":{"x":70,"y":332,"width":721,"height":11}},{"id":"e99357ff-e08a-4974-ab27-76ac440e7cf7","block_type":"box","text":"Risk Factors and Special Considerations Relating to Municipal Bonds.","page_number":92,"box":{"x":102,"y":355,"width":495,"height":11}},{"id":"fc897788-09bf-4c39-b977-2683045a4ac5","block_type":"box","text":"The risks and special considerations","page_number":92,"box":{"x":603,"y":355,"width":260,"height":11}},{"id":"2793eb0b-3d12-41e1-9d4e-6cafd29b47d0","block_type":"box","text":"involved in investment in Municipal Bonds vary with the types of instruments being acquired. Investments in Non","page_number":92,"box":{"x":70,"y":370,"width":806,"height":11}},{"id":"584ffeb9-6344-4fc8-935b-024091acda55","block_type":"box","text":"Municipal Tax-Exempt Securities may present similar risks, depending on the particular product. Certain municipal","page_number":92,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"48c9e0ca-973c-433a-9161-91ac479a5dc7","block_type":"box","text":"instruments in which a Fund may invest may be characterized as derivatives.","page_number":92,"box":{"x":70,"y":400,"width":544,"height":11}},{"id":"a375cefd-b2f7-46f8-b221-0f4872a3670d","block_type":"box","text":"The value of Municipal Bonds generally may be affected by uncertainties in the municipal markets as a result of","page_number":92,"box":{"x":101,"y":423,"width":799,"height":11}},{"id":"3442b8bc-6f88-45e4-ab25-69beff37f112","block_type":"box","text":"legislation or litigation, including legislation or litigation that changes the taxation of Municipal Bonds or the rights of","page_number":92,"box":{"x":70,"y":438,"width":829,"height":11}},{"id":"8eaf2ef8-a435-4899-988b-7fc0578193ce","block_type":"box","text":"Municipal Bond holders in the event of a bankruptcy. Municipal bankruptcies are rare and certain provisions of the","page_number":92,"box":{"x":70,"y":453,"width":814,"height":11}},{"id":"041cb292-464f-43de-8296-f3d13bafb851","block_type":"box","text":"U.S. Bankruptcy Code governing such bankruptcies are unclear. Further, the application of state law to Municipal","page_number":92,"box":{"x":70,"y":468,"width":802,"height":11}},{"id":"09a29186-f933-4c50-96ce-e7246addb1ac","block_type":"box","text":"Bond issuers could produce varying results among the states or among Municipal Bond issuers within a state. These","page_number":92,"box":{"x":70,"y":483,"width":834,"height":11}},{"id":"d1ff5b10-f3f9-4200-8063-bf254f69ec92","block_type":"box","text":"uncertainties could have a significant impact on the prices of the Municipal Bonds in which a Fund invests.","page_number":92,"box":{"x":69,"y":498,"width":761,"height":11}},{"id":"e2f17ff1-7f4c-4191-ae76-228658a868c0","block_type":"box","text":"II-56","page_number":92,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8fc66ef0-816d-482a-a756-d4ab6b3fb9d3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":92,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"643770b3-62fb-40f8-b521-368da8e332a7","block_type":"box","text":"Description of Municipal Bonds.","page_number":93,"box":{"x":70,"y":45,"width":224,"height":11}},{"id":"2549eeaa-5081-4dec-99a8-fa4e30291902","block_type":"box","text":"Municipal Bonds include debt obligations issued to obtain funds for various public purposes, including the","page_number":93,"box":{"x":102,"y":67,"width":754,"height":12}},{"id":"4270a28a-ba7a-4b5b-a897-ef585180a4ed","block_type":"box","text":"construction of a wide range of public facilities, refunding of outstanding obligations and obtaining funds for general","page_number":93,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"378caf7a-8409-4874-ac1a-f80f08c68ef8","block_type":"box","text":"operating expenses and loans to other public institutions and facilities. In addition, certain types of bonds are issued","page_number":93,"box":{"x":69,"y":98,"width":836,"height":11}},{"id":"0305adec-14de-4e29-8704-454b89a93982","block_type":"box","text":"by or on behalf of public authorities to finance various privately owned or operated facilities, including certain","page_number":93,"box":{"x":69,"y":113,"width":776,"height":11}},{"id":"0a6987e1-fd84-44d1-9aec-a86fe5c0fc4d","block_type":"box","text":"facilities for the local furnishing of electric energy or gas, sewage facilities, solid waste disposal facilities and other","page_number":93,"box":{"x":68,"y":128,"width":822,"height":11}},{"id":"88bfe21b-1ff8-43c7-ba5b-1884450cb5c4","block_type":"box","text":"specialized facilities. Such obligations are included within the term Municipal Bonds if the interest paid thereon is","page_number":93,"box":{"x":69,"y":143,"width":810,"height":11}},{"id":"c7bb12ad-d2ec-4284-8ca6-15eb42a69e9b","block_type":"box","text":"excluded from gross income for U.S. federal income tax purposes and any applicable state and local taxes. Other","page_number":93,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"dee4cd07-fa78-4c51-8357-7764e9abe1d3","block_type":"box","text":"types of private activity bonds, the proceeds of which are used for the construction, equipment or improvement of","page_number":93,"box":{"x":68,"y":173,"width":812,"height":11}},{"id":"2ccc1f09-ee1e-4553-9d0a-71d026fb5b6a","block_type":"box","text":"privately operated industrial or commercial facilities, may constitute Municipal Bonds, although the current U.S.","page_number":93,"box":{"x":70,"y":188,"width":792,"height":12}},{"id":"e39aa3c7-371a-43b6-bc97-b690b90ede94","block_type":"box","text":"federal tax laws place substantial limitations on the size of such issues. The interest on Municipal Bonds may bear a","page_number":93,"box":{"x":68,"y":203,"width":835,"height":12}},{"id":"c155354e-c7ff-4230-8ce1-a33f9c0adc2a","block_type":"box","text":"fixed rate or be payable at a variable or floating rate. The two principal classifications of Municipal Bonds are “general","page_number":93,"box":{"x":68,"y":218,"width":840,"height":12}},{"id":"7cc3b189-eebe-4999-b612-bb29da3469ed","block_type":"box","text":"obligation” and “revenue” or “special obligation” bonds, which latter category includes private activity bonds (“PABs”)","page_number":93,"box":{"x":69,"y":234,"width":838,"height":11}},{"id":"05978b97-660c-4486-acfb-572111dd4f66","block_type":"box","text":"(or “industrial development bonds” under pre-1986 law).","page_number":93,"box":{"x":69,"y":249,"width":401,"height":11}},{"id":"77a616a0-dfc8-49b0-95b5-3f18dc940916","block_type":"box","text":"General Obligation Bonds.","page_number":93,"box":{"x":102,"y":272,"width":184,"height":11}},{"id":"76f183e0-77d3-447e-8b56-ffd5ce6358af","block_type":"box","text":"General obligation bonds are secured by the issuer’s pledge of its full faith, credit and","page_number":93,"box":{"x":292,"y":271,"width":613,"height":12}},{"id":"b0515c48-e35b-4cfa-93aa-e51404670423","block_type":"box","text":"taxing power for the payment of principal and interest. The taxing power of any governmental entity may be limited,","page_number":93,"box":{"x":68,"y":286,"width":816,"height":12}},{"id":"da7a42cb-42cc-46df-890e-a188bc14bca4","block_type":"box","text":"however, by provisions of its state constitution or laws, and an entity’s creditworthiness will depend on many factors,","page_number":93,"box":{"x":69,"y":302,"width":834,"height":11}},{"id":"2b4c41be-f0af-4c7c-b95e-76e1df538f39","block_type":"box","text":"including potential erosion of its tax base due to population declines, natural disasters, declines in the state’s","page_number":93,"box":{"x":70,"y":317,"width":786,"height":11}},{"id":"922f6f59-c543-49cf-aeb4-d98db826ae28","block_type":"box","text":"industrial base or inability to attract new industries, economic limits on the ability to tax without eroding the tax base,","page_number":93,"box":{"x":70,"y":332,"width":835,"height":11}},{"id":"24c8c5f1-78b3-4cc7-93b8-74e622e49a31","block_type":"box","text":"state legislative proposals or voter initiatives to limit ad valorem real property taxes and the extent to which the entity","page_number":93,"box":{"x":69,"y":347,"width":840,"height":11}},{"id":"68e310ba-c610-42e5-92b2-f9f5cdfa15ae","block_type":"box","text":"relies on federal or state aid, access to capital markets or other factors beyond the state’s or entity’s control.","page_number":93,"box":{"x":69,"y":362,"width":782,"height":11}},{"id":"8bbe3ad3-94b0-4eb2-982a-69a5bad8d666","block_type":"box","text":"Accordingly, the capacity of the issuer of a general obligation bond as to the timely payment of interest and the","page_number":93,"box":{"x":68,"y":377,"width":791,"height":12}},{"id":"cbdc5650-bfd8-4844-8087-5a399f4e2c9b","block_type":"box","text":"repayment of principal when due is affected by the issuer’s maintenance of its tax base.","page_number":93,"box":{"x":69,"y":392,"width":630,"height":12}},{"id":"cfb37452-704b-4f25-9f21-9cbde5a4a8d2","block_type":"box","text":"Revenue Bonds.","page_number":93,"box":{"x":102,"y":415,"width":114,"height":9}},{"id":"80a0fb76-a8d1-4cb9-a978-eedc3c1cda82","block_type":"box","text":"Revenue bonds are payable only from the revenues derived from a particular facility or class of","page_number":93,"box":{"x":223,"y":415,"width":676,"height":11}},{"id":"272599c8-4465-49e0-902f-a3b2a63b3bb1","block_type":"box","text":"facilities or, in some cases, from the proceeds of a special excise tax or other specific revenue source such as","page_number":93,"box":{"x":68,"y":430,"width":791,"height":11}},{"id":"51fe2766-edf3-4895-8d8f-f950c1c8f4fe","block_type":"box","text":"payments from the user of the facility being financed; accordingly, the timely payment of interest and the repayment","page_number":93,"box":{"x":70,"y":445,"width":824,"height":12}},{"id":"dd0470e9-7402-447f-ad93-85e1db5408a1","block_type":"box","text":"of principal in accordance with the terms of the revenue or special obligation bond is a function of the economic","page_number":93,"box":{"x":69,"y":460,"width":798,"height":12}},{"id":"155a44eb-0aac-4abf-9197-54ed4f614bd3","block_type":"box","text":"viability of such facility or such revenue source.","page_number":93,"box":{"x":68,"y":475,"width":336,"height":12}},{"id":"32179244-8048-4604-ac4c-22eb1eb0feaa","block_type":"box","text":"Revenue bonds issued by state or local agencies to finance the development of low-income, multi-family housing","page_number":93,"box":{"x":102,"y":498,"width":801,"height":11}},{"id":"acbbe0c1-318e-4a62-b02e-eb66c1fdb161","block_type":"box","text":"involve special risks in addition to those associated with municipal bonds generally, including that the underlying","page_number":93,"box":{"x":70,"y":514,"width":800,"height":11}},{"id":"180b6722-ea1a-46b9-b257-ad43d0a1c196","block_type":"box","text":"properties may not generate sufficient income to pay expenses and interest costs. Such bonds are generally non","page_number":93,"box":{"x":70,"y":528,"width":810,"height":12}},{"id":"f0ee8a1c-7ea1-40fb-8d48-7264a5e3dd5d","block_type":"box","text":"recourse against the property owner, may be junior to the rights of others with an interest in the properties, may pay","page_number":93,"box":{"x":69,"y":543,"width":830,"height":12}},{"id":"bab9f0d6-e70d-4156-8846-cbce31c57b9a","block_type":"box","text":"interest that changes based in part on the financial performance of the property, may be prepayable without penalty","page_number":93,"box":{"x":70,"y":559,"width":828,"height":11}},{"id":"23bbde09-cc7c-4714-a4c7-8cfcac6e879f","block_type":"box","text":"and may be used to finance the construction of housing developments which, until completed and rented, do not","page_number":93,"box":{"x":69,"y":574,"width":804,"height":11}},{"id":"705634c0-1563-42f6-ab33-27f1be0667f6","block_type":"box","text":"generate income to pay interest. Increases in interest rates payable on senior obligations may make it more difficult","page_number":93,"box":{"x":68,"y":589,"width":830,"height":11}},{"id":"a810204a-8990-4e47-8b67-1b06342a4204","block_type":"box","text":"for issuers to meet payment obligations on subordinated bonds.","page_number":93,"box":{"x":68,"y":604,"width":457,"height":11}},{"id":"b8f9e524-c8e6-45d2-a409-424915be2e2b","block_type":"box","text":"PABs.","page_number":93,"box":{"x":102,"y":627,"width":38,"height":9}},{"id":"718d062b-0b74-4986-83a7-0d2d40217db5","block_type":"box","text":"PABs are, in most cases, tax-exempt securities issued by states, municipalities or public authorities to","page_number":93,"box":{"x":147,"y":627,"width":730,"height":11}},{"id":"66a51309-7bcc-4579-ba8c-5bc362c287be","block_type":"box","text":"provide funds, usually through a loan or lease arrangement, to a private entity for the purpose of financing","page_number":93,"box":{"x":70,"y":642,"width":755,"height":11}},{"id":"38fa9b73-6865-43d1-a594-728d635c1516","block_type":"box","text":"construction or improvement of a facility to be used by the entity. Such bonds are secured primarily by revenues","page_number":93,"box":{"x":69,"y":657,"width":797,"height":11}},{"id":"91071999-2660-4b57-9d67-7e344b1513b8","block_type":"box","text":"derived from loan repayments or lease payments due from the entity, which may or may not be guaranteed by a","page_number":93,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"19e2bd7a-b24b-4752-8034-33197ac0a6ef","block_type":"box","text":"parent company or otherwise secured. PABs generally are not secured by a pledge of the taxing power of the issuer of","page_number":93,"box":{"x":70,"y":687,"width":840,"height":11}},{"id":"978f3050-e7e0-4af4-8a37-62d445331451","block_type":"box","text":"such bonds. Therefore, an investor should understand that repayment of such bonds generally depends on the","page_number":93,"box":{"x":69,"y":702,"width":789,"height":12}},{"id":"dd66afc7-aef0-4d4a-9b2a-dd36be6efeb8","block_type":"box","text":"revenues of a private entity and be aware of the risks that such an investment may entail. The continued ability of an","page_number":93,"box":{"x":69,"y":717,"width":832,"height":12}},{"id":"6656535e-3e04-446b-948e-052baa48c957","block_type":"box","text":"entity to generate sufficient revenues for the payment of principal and interest on such bonds will be affected by","page_number":93,"box":{"x":69,"y":732,"width":802,"height":12}},{"id":"326c44c3-c0f8-40d6-953e-9f63a044b19c","block_type":"box","text":"many factors including the size of the entity, its capital structure, demand for its products or services, competition,","page_number":93,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"279e94b5-db5f-4345-a9be-73feefd460e5","block_type":"box","text":"general economic conditions, government regulation and the entity’s dependence on revenues for the operation of","page_number":93,"box":{"x":68,"y":763,"width":816,"height":11}},{"id":"413c1ff3-8485-4404-a04a-946ed2cdcff4","block_type":"box","text":"the particular facility being financed.","page_number":93,"box":{"x":68,"y":778,"width":258,"height":11}},{"id":"686ba585-a701-4281-9f3a-05592c780bac","block_type":"box","text":"Moral Obligation Bonds.","page_number":93,"box":{"x":102,"y":801,"width":169,"height":11}},{"id":"a29163b3-9b1e-4812-90e0-186cecd66bc2","block_type":"box","text":"“Moral obligation” bonds are normally issued by special purpose public authorities. If an","page_number":93,"box":{"x":278,"y":801,"width":628,"height":11}},{"id":"efbffd12-d701-49cc-8897-4036899ccfa9","block_type":"box","text":"issuer of moral obligation bonds is unable to meet its obligations, the repayment of such bonds becomes a moral","page_number":93,"box":{"x":70,"y":816,"width":809,"height":11}},{"id":"76b0fa7f-a8bf-465a-a5e7-d056e83c9348","block_type":"box","text":"commitment but not a legal obligation of the state or municipality that created the special purpose public authority","page_number":93,"box":{"x":69,"y":831,"width":816,"height":11}},{"id":"3b844994-1941-4337-9746-569fc1564480","block_type":"box","text":"that issued the bonds.","page_number":93,"box":{"x":68,"y":846,"width":160,"height":9}},{"id":"ae845a66-e82c-4747-8ca3-77338b1a15c9","block_type":"box","text":"Municipal Notes.","page_number":93,"box":{"x":102,"y":869,"width":118,"height":11}},{"id":"ee7a1d5b-9baf-426d-baa0-1222bce3e04f","block_type":"box","text":"Municipal notes are shorter term municipal debt obligations. They may provide interim financing","page_number":93,"box":{"x":227,"y":869,"width":683,"height":11}},{"id":"1141763a-fab2-4bb4-8ed7-b97e59c43fbe","block_type":"box","text":"in anticipation of tax collection, bond sales or revenue receipts. If there is a shortfall in the anticipated proceeds,","page_number":93,"box":{"x":70,"y":884,"width":807,"height":11}},{"id":"ed362d7a-ee6d-4e31-b8be-d9c26a7a67fc","block_type":"box","text":"repayment on the note may be delayed or the note may not be fully repaid, and a Fund may lose money.","page_number":93,"box":{"x":69,"y":899,"width":739,"height":11}},{"id":"943cd934-59fb-4660-a20f-2bac9ec0292b","block_type":"box","text":"II-57","page_number":93,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"96a962c7-74d9-40e4-a038-e53e75206592","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":93,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e16c5ff4-1705-4316-91a5-b39d40a122e7","block_type":"box","text":"Municipal Commercial Paper.","page_number":94,"box":{"x":102,"y":45,"width":205,"height":11}},{"id":"2b62e3fc-4e1e-42c6-b07b-3d00b688ebb7","block_type":"box","text":"Municipal commercial paper is generally unsecured and issued to meet short-term","page_number":94,"box":{"x":314,"y":45,"width":586,"height":11}},{"id":"add85ed8-57ea-403b-a216-7308aeac94f2","block_type":"box","text":"financing needs. The lack of security presents some risk of loss to a Fund since, in the event of an issuer’s","page_number":94,"box":{"x":68,"y":60,"width":767,"height":11}},{"id":"d9dd5aec-a281-437b-a11a-4c78aa5c8767","block_type":"box","text":"bankruptcy, unsecured creditors are repaid only after the secured creditors out of the assets, if any, that remain.","page_number":94,"box":{"x":69,"y":75,"width":803,"height":11}},{"id":"a7a60e10-d177-4d3c-9db0-3d45b8bdcd49","block_type":"box","text":"Municipal Lease Obligations.","page_number":94,"box":{"x":102,"y":98,"width":203,"height":11}},{"id":"e41d1487-e2ff-4373-b70f-ece9c4b67847","block_type":"box","text":"Also included within the general category of Municipal Bonds are certificates of","page_number":94,"box":{"x":311,"y":98,"width":566,"height":11}},{"id":"6ff682cf-5abb-4163-96bf-75410bae36c0","block_type":"box","text":"participation (“COPs”) issued by government authorities or entities to finance the acquisition or construction of","page_number":94,"box":{"x":70,"y":113,"width":791,"height":11}},{"id":"31dd760f-a7bc-4ddc-b03e-0dd7b3a9e2be","block_type":"box","text":"equipment, land and/or facilities. The COPs represent participations in a lease, an installment purchase contract or a","page_number":94,"box":{"x":69,"y":128,"width":840,"height":11}},{"id":"64e57850-1bf1-4274-9433-b2e4a67dd1cb","block_type":"box","text":"conditional sales contract (hereinafter collectively called “lease obligations”) relating to such equipment, land or","page_number":94,"box":{"x":69,"y":143,"width":800,"height":11}},{"id":"b956fe55-c406-46e8-8521-73ea87546dfb","block_type":"box","text":"facilities. Municipal leases, like other municipal debt obligations, are subject to the risk of non-payment. Although","page_number":94,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"748ed593-e2c2-4fd8-8c08-025774d4996c","block_type":"box","text":"lease obligations do not constitute general obligations of the issuer for which the issuer’s unlimited taxing power is","page_number":94,"box":{"x":70,"y":173,"width":820,"height":11}},{"id":"134869a9-f466-475a-a8d9-c7cff5e72548","block_type":"box","text":"pledged, a lease obligation is frequently backed by the issuer’s covenant to budget for, appropriate and make the","page_number":94,"box":{"x":70,"y":188,"width":808,"height":12}},{"id":"c9c2fd06-1ca7-40bd-927e-7cc8aac0adb2","block_type":"box","text":"payments due under the lease obligation. However, certain lease obligations contain “non-appropriation” clauses,","page_number":94,"box":{"x":70,"y":204,"width":809,"height":11}},{"id":"cd44bb10-1e1e-4633-b6aa-93de7aa8a2b3","block_type":"box","text":"which provide that the issuer has no obligation to make lease or installment purchase payments in future years","page_number":94,"box":{"x":68,"y":218,"width":795,"height":12}},{"id":"f335c361-0db6-4787-a466-7c2a0d07fc71","block_type":"box","text":"unless money is appropriated for such purpose on a yearly basis. Although “non-appropriation” lease obligations are","page_number":94,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"477bbbe4-d07b-4016-bc44-dae66da54e3f","block_type":"box","text":"secured by the leased property, disposition of the property in the event of foreclosure might prove difficult. These","page_number":94,"box":{"x":69,"y":249,"width":810,"height":11}},{"id":"6d405ab1-6458-43e8-b604-4d6c5f00c7b8","block_type":"box","text":"securities represent a type of financing that has not yet developed the depth of marketability associated with more","page_number":94,"box":{"x":69,"y":264,"width":817,"height":11}},{"id":"b5d9a57f-f553-4535-881c-d1ffd19ba973","block_type":"box","text":"conventional securities. Certain investments in lease obligations may be illiquid.","page_number":94,"box":{"x":69,"y":279,"width":572,"height":11}},{"id":"92266d64-b462-47f2-b752-24b3b4b9ca92","block_type":"box","text":"The ability of issuers of municipal leases to make timely lease payments may be adversely impacted in general","page_number":94,"box":{"x":101,"y":302,"width":791,"height":11}},{"id":"21216943-9974-4fa6-8c18-57866f637c1f","block_type":"box","text":"economic downturns and as relative governmental cost burdens are allocated and reallocated among federal, state","page_number":94,"box":{"x":69,"y":317,"width":822,"height":11}},{"id":"3457b464-26ab-4006-9110-754d112f0d5c","block_type":"box","text":"and local governmental units. Such non-payment would result in a reduction of income to a Fund and could result in a","page_number":94,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"a20743f1-f9e2-4c24-a2d5-b84193eeca8c","block_type":"box","text":"reduction in the value of the municipal lease experiencing non-payment and a potential decrease in the NAV of a","page_number":94,"box":{"x":69,"y":347,"width":798,"height":11}},{"id":"362ebe40-2ccf-4427-bed9-cec615a64280","block_type":"box","text":"Fund. Issuers of municipal securities might seek protection under the bankruptcy laws. In the event of bankruptcy of","page_number":94,"box":{"x":70,"y":362,"width":828,"height":11}},{"id":"3769b640-20e3-44c5-baa4-b6d3882f59ac","block_type":"box","text":"such an issuer, a Fund could experience delays and limitations with respect to the collection of principal and interest","page_number":94,"box":{"x":69,"y":377,"width":833,"height":11}},{"id":"0d160568-1aaa-48bb-ab9c-e8da6eefc3f7","block_type":"box","text":"on such municipal leases and a Fund may not, in all circumstances, be able to collect all principal and interest to","page_number":94,"box":{"x":69,"y":393,"width":807,"height":11}},{"id":"1c0640d6-9d45-47b4-930b-11df51455eb4","block_type":"box","text":"which it is entitled. To enforce its rights in the event of a default in lease payments, a Fund might take possession of","page_number":94,"box":{"x":68,"y":407,"width":835,"height":12}},{"id":"19abb328-d7bc-4950-a1a8-6124bad39f1f","block_type":"box","text":"and manage the assets securing the issuer’s obligations on such securities, which may increase a Fund’s operating","page_number":94,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"445905ab-3ef3-4b96-b903-bd23f63a7e14","block_type":"box","text":"expenses and adversely affect the NAV of a Fund. When the lease contains a non-appropriation clause, however, the","page_number":94,"box":{"x":69,"y":438,"width":829,"height":11}},{"id":"8ce4d1a7-8e65-4d12-b696-c9414ae28d94","block_type":"box","text":"failure to pay would not be a default and a Fund would not have the right to take possession of the assets. Any","page_number":94,"box":{"x":68,"y":453,"width":793,"height":11}},{"id":"f23fdb51-d5d7-480c-bf2f-b23db796586d","block_type":"box","text":"income derived from a Fund’s ownership or operation of such assets may not be tax-exempt. In addition, a Fund’s","page_number":94,"box":{"x":70,"y":468,"width":810,"height":11}},{"id":"6b10dde8-0d4d-441b-bd9f-3eaa7f141c72","block_type":"box","text":"intention to qualify as a “regulated investment company” under the Code, may limit the extent to which a Fund may","page_number":94,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"fed43785-0bcb-44d3-ab9d-63153ccb8178","block_type":"box","text":"exercise its rights by taking possession of such assets, because as a regulated investment company a Fund is","page_number":94,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"1e807084-557c-4621-a137-f78b816ba2db","block_type":"box","text":"subject to certain limitations on its investments and on the nature of its income.","page_number":94,"box":{"x":69,"y":513,"width":574,"height":11}},{"id":"d2cd22d4-3214-4f30-8361-3a45ac0333cd","block_type":"box","text":"Tender Option Bonds.","page_number":94,"box":{"x":103,"y":536,"width":150,"height":11}},{"id":"0740baff-d342-47fc-81ea-dd6c02a675e7","block_type":"box","text":"Certain Funds may invest in residual inverse floating rate interest tender option bonds","page_number":94,"box":{"x":260,"y":536,"width":613,"height":11}},{"id":"ee25e673-3cb4-49a3-a3ce-869f5a94b64e","block_type":"box","text":"(“TOB Residuals”), which are derivative interests in Municipal Bonds. The TOB Residuals in which the Funds will","page_number":94,"box":{"x":69,"y":551,"width":796,"height":11}},{"id":"815de00f-ad15-46ca-a106-00f9e39d979a","block_type":"box","text":"invest pay interest or income that, in the opinion of counsel to the issuer, is exempt from regular U.S. federal income","page_number":94,"box":{"x":70,"y":566,"width":834,"height":11}},{"id":"b9e3591e-cade-42fa-85a9-84609efb73bc","block_type":"box","text":"tax. BlackRock will not conduct its own analysis of the tax status of the interest or income paid by TOB Residuals","page_number":94,"box":{"x":68,"y":581,"width":807,"height":11}},{"id":"f2512fc0-b5da-4958-807e-60c6b3b8fc7e","block_type":"box","text":"held by the Funds, but will rely on the opinion of counsel to the issuer. Although volatile, TOB Residuals typically offer","page_number":94,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"6aa1bf27-319b-44ec-a68b-05f3599159b9","block_type":"box","text":"the potential for yields exceeding the yields available on fixed rate Municipal Bonds with comparable credit quality.","page_number":94,"box":{"x":68,"y":612,"width":814,"height":11}},{"id":"d62eff7d-0858-443d-89cf-f852e5cc2253","block_type":"box","text":"The Funds may invest in TOB Residuals for the purpose of using economic leverage.","page_number":94,"box":{"x":68,"y":627,"width":598,"height":11}},{"id":"08a95906-df38-45cd-b30d-33d61d28bd63","block_type":"box","text":"TOB Residuals represent beneficial interests in a special purpose trust formed for the purpose of holding","page_number":94,"box":{"x":101,"y":649,"width":751,"height":12}},{"id":"016a856f-6523-4699-aff2-0bb136c1d0cf","block_type":"box","text":"Municipal Bonds contributed by one or more funds (a “TOB Trust”). A TOB Trust typically issues two classes of","page_number":94,"box":{"x":70,"y":664,"width":786,"height":12}},{"id":"4cc389d1-7094-4fb5-b31c-2f2359895fa9","block_type":"box","text":"beneficial interests: short-term floating rate interests (“TOB Floaters”), which are sold to third-party investors, and","page_number":94,"box":{"x":69,"y":680,"width":813,"height":11}},{"id":"2a5fa31c-66c4-4b16-a0c5-310e214e5a62","block_type":"box","text":"TOB Residuals, which are generally issued to the fund(s) that transferred Municipal Bonds to the TOB Trust. The","page_number":94,"box":{"x":68,"y":695,"width":799,"height":11}},{"id":"bb9d03af-7228-4138-b7ad-18c0e99ce5c3","block_type":"box","text":"Funds may invest in both TOB Floaters and TOB Residuals. TOB Floaters may have first priority on the cash flow from","page_number":94,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"3a18105c-58a1-4477-840e-68b59602fdb7","block_type":"box","text":"the Municipal Bonds held by the TOB Trust and are enhanced with a liquidity support arrangement from a third-party","page_number":94,"box":{"x":68,"y":725,"width":828,"height":11}},{"id":"2f417950-9802-41ca-9ad0-0b7d1b0591e5","block_type":"box","text":"Liquidity Provider (defined below) which allows holders to tender their position at par (plus accrued interest). A Fund,","page_number":94,"box":{"x":70,"y":740,"width":826,"height":11}},{"id":"9a90fa17-1238-4589-a3d0-6b3d0884bb39","block_type":"box","text":"as a holder of TOB Residuals, is paid the residual cash flow from the TOB Trust. A Fund that contributes the","page_number":94,"box":{"x":69,"y":755,"width":768,"height":11}},{"id":"9a75c67a-b376-419c-b98d-d471ac7bfe21","block_type":"box","text":"Municipal Bonds to the TOB Trust is paid the cash received by the TOB Trust from the sale of the TOB Floaters, less","page_number":94,"box":{"x":70,"y":770,"width":825,"height":11}},{"id":"a7a00e9c-0e74-4a71-b307-c2f75db6994d","block_type":"box","text":"certain transaction costs, and typically will invest the cash to purchase additional Municipal Bonds or other","page_number":94,"box":{"x":69,"y":786,"width":764,"height":11}},{"id":"d79a4916-4d4a-4c49-b517-2c0fb0b30b7e","block_type":"box","text":"investments permitted by its investment policies. If a Fund ever purchases all or a portion of the TOB Floaters sold by","page_number":94,"box":{"x":70,"y":801,"width":838,"height":11}},{"id":"ae364a87-74c4-4e5d-a6f3-820e9d558a7b","block_type":"box","text":"the TOB Trust, it may surrender those TOB Floaters together with a proportionate amount of TOB Residuals to the","page_number":94,"box":{"x":68,"y":816,"width":810,"height":11}},{"id":"63915285-f263-4a32-9b2c-23b2ff0705eb","block_type":"box","text":"TOB Trust in exchange for a proportionate amount of the Municipal Bonds owned by the TOB Trust.","page_number":94,"box":{"x":68,"y":831,"width":704,"height":11}},{"id":"2581a2d6-bb93-4340-a1e6-cac4553e97f5","block_type":"box","text":"Other BlackRock-advised funds may contribute Municipal Bonds to a TOB Trust into which a Fund has contributed","page_number":94,"box":{"x":102,"y":853,"width":804,"height":12}},{"id":"8919e4c0-06e8-4af1-8ae4-ebdec62698b1","block_type":"box","text":"Municipal Bonds. If multiple BlackRock-advised funds participate in the same TOB Trust, the economic rights and","page_number":94,"box":{"x":70,"y":869,"width":805,"height":11}},{"id":"73d47f97-1c8d-4c14-9ef4-cd07a7fbc265","block_type":"box","text":"obligations under the TOB Residual will generally be shared among the funds ratably in proportion to their","page_number":94,"box":{"x":69,"y":884,"width":752,"height":11}},{"id":"4a8b8d32-a891-480e-ba5d-b6d757ff3f8b","block_type":"box","text":"participation in the TOB Trust.","page_number":94,"box":{"x":70,"y":899,"width":211,"height":11}},{"id":"4adcda86-8fa4-46c4-9f92-adb3b8cb00ab","block_type":"box","text":"II-58","page_number":94,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c1e3f4ac-a719-4b94-861e-133399effdba","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":94,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5bb9623e-5601-4e52-9237-c3b36c848254","block_type":"box","text":"The Municipal Bonds transferred to a TOB Trust typically are high grade Municipal Bonds. In certain cases, when","page_number":95,"box":{"x":101,"y":45,"width":802,"height":11}},{"id":"cadf968e-e56e-435b-912c-bae779a04f8b","block_type":"box","text":"Municipal Bonds transferred are lower grade Municipal Bonds, the TOB Trust transaction includes a credit","page_number":95,"box":{"x":70,"y":60,"width":753,"height":11}},{"id":"0fc37172-ab1b-4cba-9efe-4270f48d461b","block_type":"box","text":"enhancement feature that provides for the timely payment of principal and interest on the bonds to the TOB Trust by","page_number":95,"box":{"x":69,"y":75,"width":829,"height":11}},{"id":"83a4bd60-8249-4b81-be17-af77c186b92b","block_type":"box","text":"a credit enhancement provider. The TOB Trust would be responsible for the payment of the credit enhancement fee","page_number":95,"box":{"x":69,"y":90,"width":819,"height":11}},{"id":"42fc486a-e9f8-4d57-aa6d-b114efca5384","block_type":"box","text":"and a Fund, as a TOB Residual holder, would be responsible for reimbursement of any payments of principal and","page_number":95,"box":{"x":69,"y":105,"width":802,"height":11}},{"id":"f34915aa-a84b-4dbd-bece-b8feca23c44d","block_type":"box","text":"interest made by the credit enhancement provider.","page_number":95,"box":{"x":70,"y":120,"width":357,"height":11}},{"id":"f3f2b820-ef5e-42e9-b474-9cbea19426ba","block_type":"box","text":"The TOB Residuals held by a Fund generally provide the Fund with the right to cause the holders of a proportional","page_number":95,"box":{"x":101,"y":143,"width":807,"height":11}},{"id":"13d189a4-e2d8-42fe-9758-5db2ed62d492","block_type":"box","text":"share of the TOB Floaters to tender their notes to the TOB Trust at par plus accrued interest. Thereafter, the Fund","page_number":95,"box":{"x":69,"y":158,"width":810,"height":11}},{"id":"7952ebda-0d63-4f46-b80a-1adf4b4390e2","block_type":"box","text":"may withdraw a corresponding share of the Municipal Bonds from the TOB Trust. This transaction, in effect, creates","page_number":95,"box":{"x":69,"y":173,"width":825,"height":11}},{"id":"8e05986e-ea0f-4a34-8c9d-4edfaec62fe0","block_type":"box","text":"exposure for the Fund to the entire return of the Municipal Bonds in the TOB Trust, with a net cash investment by the","page_number":95,"box":{"x":69,"y":188,"width":834,"height":11}},{"id":"8ea1d0a9-c2c9-4c6a-bef7-363a737e5d20","block_type":"box","text":"Fund that is less than the value of the Municipal Bonds in the TOB Trust. This multiplies the positive or negative","page_number":95,"box":{"x":70,"y":203,"width":797,"height":12}},{"id":"69340338-8d95-4e44-b02b-855107a62a9f","block_type":"box","text":"impact of the Municipal Bonds’ return within the Fund (thereby creating leverage). The leverage within a TOB Trust","page_number":95,"box":{"x":70,"y":218,"width":809,"height":12}},{"id":"52423343-8ca1-4197-8761-e14b94951b0e","block_type":"box","text":"depends on the value of the Municipal Bonds deposited in the TOB Trust relative to the value of the TOB Floaters it","page_number":95,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"6f91d4d3-e4ce-4a6b-9254-32fbef9f8d91","block_type":"box","text":"issues.","page_number":95,"box":{"x":70,"y":249,"width":49,"height":9}},{"id":"2085ba24-657d-4053-aa6b-54512a679105","block_type":"box","text":"A Fund may invest in highly leveraged TOB Residuals. A TOB Residual generally is considered highly leveraged if","page_number":95,"box":{"x":101,"y":271,"width":795,"height":12}},{"id":"ba5cffa2-9b41-42aa-9b01-e3dedd291ed4","block_type":"box","text":"the principal amount of the TOB Floaters issued by the related TOB Trust exceeds 75% of the principal amount of the","page_number":95,"box":{"x":68,"y":286,"width":833,"height":12}},{"id":"a3c7cdf6-2629-4558-8dac-6f559ea3072d","block_type":"box","text":"Municipal Bonds owned by the TOB Trust.","page_number":95,"box":{"x":70,"y":302,"width":293,"height":11}},{"id":"dd138db9-37ca-4b14-99b3-c26a67590e1f","block_type":"box","text":"The TOB Trust may be collapsed without the consent of a Fund upon the occurrence of tender option termination","page_number":95,"box":{"x":101,"y":324,"width":802,"height":11}},{"id":"9d71149b-d495-40d2-ad29-9fdffefc3f93","block_type":"box","text":"events (“TOTEs”) and mandatory termination events (“MTEs”), as defined in the TOB Trust agreements. TOTEs","page_number":95,"box":{"x":69,"y":339,"width":788,"height":12}},{"id":"d032ce8d-1132-4f5e-b306-81b84452b5b6","block_type":"box","text":"include the bankruptcy or default of the issuer of the Municipal Bonds held in the TOB Trust, a substantial downgrade","page_number":95,"box":{"x":70,"y":355,"width":836,"height":11}},{"id":"ad460348-7f9e-40c5-8938-680c34149e7d","block_type":"box","text":"in the credit quality of the issuer of the Municipal Bonds held in the TOB Trust, failure of any scheduled payment of","page_number":95,"box":{"x":70,"y":370,"width":819,"height":11}},{"id":"67f96600-3b32-4ba1-bafd-9a0ec2861fca","block_type":"box","text":"principal or interest on the Municipal Bonds, and a judgment or ruling that interest on the Municipal Bonds is subject","page_number":95,"box":{"x":70,"y":385,"width":833,"height":11}},{"id":"cef8160c-2395-47d8-82b2-ebad390b6da6","block_type":"box","text":"to U.S. federal income taxation. MTEs may include, among other things, a failed remarketing of the TOB Floaters, the","page_number":95,"box":{"x":68,"y":400,"width":834,"height":11}},{"id":"c991fe6b-ec65-42e6-b52a-2e8ab4eb4315","block_type":"box","text":"inability of the TOB Trust to obtain renewal of the liquidity support agreement, and a substantial decline in the market","page_number":95,"box":{"x":70,"y":415,"width":838,"height":11}},{"id":"e09cff2a-6df2-44c8-9c35-4e5964d06ad9","block_type":"box","text":"value of the Municipal Bonds held in the TOB Trust. Upon the occurrence of a TOTE or an MTE, a TOB Trust would be","page_number":95,"box":{"x":68,"y":430,"width":831,"height":11}},{"id":"70113705-2271-4ca6-ab05-28de45aca659","block_type":"box","text":"liquidated with the proceeds applied first to any accrued fees owed to the trustee of the TOB Trust, the remarketing","page_number":95,"box":{"x":70,"y":445,"width":823,"height":12}},{"id":"ce187083-df46-4cd1-94cc-a05fab8396fa","block_type":"box","text":"agent of the TOB Floaters and the Liquidity Provider (defined below). In the case of an MTE, after the payment of fees,","page_number":95,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"1a600f57-7bec-48ea-9517-7d80c96fa64d","block_type":"box","text":"the holders of the TOB Floaters would be paid senior to the TOB Residual holders (","page_number":95,"box":{"x":68,"y":475,"width":589,"height":12}},{"id":"a0ed3844-233c-4ce2-9958-e78854fefb5f","block_type":"box","text":"i.e.","page_number":95,"box":{"x":659,"y":476,"width":21,"height":8}},{"id":"024c4fba-f111-4e44-ac38-ef9cbdeaa297","block_type":"box","text":", the Fund). In contrast, in the","page_number":95,"box":{"x":682,"y":476,"width":211,"height":11}},{"id":"e9e01213-58fd-4004-a9fc-e62d275eed63","block_type":"box","text":"case of a TOTE, after payment of fees, the holders of TOB Floaters and the TOB Residual holders would be paid pro","page_number":95,"box":{"x":69,"y":491,"width":822,"height":11}},{"id":"ec70ff7b-5378-413d-9661-070cea91d7e2","block_type":"box","text":"rata in proportion to the respective face values of their certificates.","page_number":95,"box":{"x":69,"y":506,"width":479,"height":11}},{"id":"98540162-ca8d-4096-9ca4-8baef07580c1","block_type":"box","text":"A Fund may invest in a TOB Trust on either a non-recourse or recourse basis. TOB Trusts are typically supported","page_number":95,"box":{"x":101,"y":529,"width":797,"height":11}},{"id":"165f4699-5cf0-4cf1-87a4-07df9cf647f1","block_type":"box","text":"by a liquidity facility provided by a third-party bank or other financial institution (the “Liquidity Provider”) that allows","page_number":95,"box":{"x":69,"y":543,"width":815,"height":12}},{"id":"671124a2-7573-41ea-8ac4-e3596559a2a7","block_type":"box","text":"the holders of the TOB Floaters to tender their TOB Floaters in exchange for payment of par plus accrued interest on","page_number":95,"box":{"x":68,"y":559,"width":828,"height":11}},{"id":"c51f3f9e-c9ad-48b4-a329-6aed202ae83e","block_type":"box","text":"any business day (subject to the non-occurrence of a TOTE described above). Depending on the structure of the TOB","page_number":95,"box":{"x":69,"y":574,"width":828,"height":11}},{"id":"fe71540e-7980-4890-b176-c7ab26777549","block_type":"box","text":"Trust, the Liquidity Provider may purchase the tendered TOB Floaters, or the TOB Trust may draw upon a loan from","page_number":95,"box":{"x":68,"y":589,"width":815,"height":11}},{"id":"90ae786b-9c31-40cf-96a1-b899841ce49f","block_type":"box","text":"the Liquidity Provider to purchase the tendered TOB Floaters.","page_number":95,"box":{"x":68,"y":604,"width":434,"height":11}},{"id":"8c62059e-0520-4d8b-9085-7a46ef948ce2","block_type":"box","text":"When a Fund invests in TOB Trusts on a non-recourse basis, and the Liquidity Provider is required to make a","page_number":95,"box":{"x":101,"y":627,"width":772,"height":11}},{"id":"80420794-8bdf-41f1-8970-3a6c59b95636","block_type":"box","text":"payment under the liquidity facility, the Liquidity Provider will typically liquidate all or a portion of the Municipal Bonds","page_number":95,"box":{"x":70,"y":642,"width":831,"height":11}},{"id":"1f189860-ef08-4e8f-b891-d11502688127","block_type":"box","text":"held in the TOB Trust and then fund the balance, if any, of the amount owed under the liquidity facility over the","page_number":95,"box":{"x":69,"y":657,"width":785,"height":11}},{"id":"33949f5c-d5dc-4d0a-87a2-0723cf07ce29","block_type":"box","text":"liquidation proceeds (the “Liquidation Shortfall”). If a Fund invests in a TOB Trust on a recourse basis, it will typically","page_number":95,"box":{"x":70,"y":672,"width":831,"height":11}},{"id":"ecf2ce25-7788-4d4b-ab8a-581dca665953","block_type":"box","text":"enter into a reimbursement agreement with the Liquidity Provider pursuant to which the Fund is required to reimburse","page_number":95,"box":{"x":69,"y":687,"width":836,"height":11}},{"id":"e8cc54c8-8164-4f59-8aba-68cc1c9fc69d","block_type":"box","text":"the Liquidity Provider the amount of any Liquidation Shortfall. As a result, if the Fund invests in a recourse TOB Trust,","page_number":95,"box":{"x":68,"y":702,"width":836,"height":11}},{"id":"2f7fc3ba-2e9d-4513-8e9d-75bea8166083","block_type":"box","text":"the Fund will bear the risk of loss with respect to any Liquidation Shortfall. If multiple BlackRock-advised funds","page_number":95,"box":{"x":68,"y":717,"width":788,"height":12}},{"id":"d9049d4d-962a-470a-b4d5-6531dea0f7ad","block_type":"box","text":"participate in any such TOB Trust, these losses will be shared ratably, in proportion to their participation in the TOB","page_number":95,"box":{"x":70,"y":733,"width":823,"height":11}},{"id":"cbfb5bbc-4e70-4ee4-84c2-e1578abe5a1d","block_type":"box","text":"Trust.","page_number":95,"box":{"x":68,"y":748,"width":39,"height":9}},{"id":"122beeb9-87b5-49f2-8cf2-f18d9f7a9927","block_type":"box","text":"Under accounting rules, Municipal Bonds of a Fund that are deposited into a TOB Trust are investments of the","page_number":95,"box":{"x":102,"y":770,"width":784,"height":12}},{"id":"2c09ac99-35af-4300-9741-b64e84d81949","block_type":"box","text":"Fund and are presented on the Fund’s Schedule of Investments and outstanding TOB Floaters issued by a TOB Trust","page_number":95,"box":{"x":70,"y":785,"width":830,"height":12}},{"id":"bcd755d9-a82a-46de-bc45-f1938ac98b5c","block_type":"box","text":"are presented as liabilities in the Fund’s Statement of Assets and Liabilities. Interest income from the underlying","page_number":95,"box":{"x":69,"y":801,"width":806,"height":11}},{"id":"4bdb139b-c7af-40b6-9206-e06118fcd431","block_type":"box","text":"Municipal Bonds is recorded by a Fund on an accrual basis. Interest expense incurred on the TOB Floaters and other","page_number":95,"box":{"x":70,"y":816,"width":831,"height":11}},{"id":"e0e5c372-51d4-4b02-aeb4-43b6aea2c530","block_type":"box","text":"expenses related to remarketing, administration, trustee and other services to a TOB Trust are reported as expenses","page_number":95,"box":{"x":69,"y":831,"width":837,"height":11}},{"id":"2509b211-88a4-4550-be4e-84931fe33a2e","block_type":"box","text":"of a Fund. In addition, under accounting rules, loans made to a TOB Trust sponsored by a Fund may be presented as","page_number":95,"box":{"x":69,"y":846,"width":832,"height":11}},{"id":"f4222954-9e5d-43df-9391-565578dbf669","block_type":"box","text":"loans of the Fund in the Fund’s financial statements even if there is no recourse to the Fund’s assets.","page_number":95,"box":{"x":70,"y":861,"width":728,"height":9}},{"id":"135a5c40-f009-43cb-807a-5afb0d5867fe","block_type":"box","text":"For TOB Floaters, generally, the interest rate earned will be based upon the market rates for Municipal Bonds","page_number":95,"box":{"x":102,"y":884,"width":776,"height":11}},{"id":"0126a05d-bf48-4340-995a-dc565dd31546","block_type":"box","text":"with maturities or remarketing provisions that are comparable in duration to the periodic interval of the tender option.","page_number":95,"box":{"x":68,"y":899,"width":837,"height":11}},{"id":"b0a39f76-9f65-4fd6-b54a-b8b86504fe45","block_type":"box","text":"II-59","page_number":95,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9c1d85e1-fa81-433e-aa56-a65676ac9464","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":95,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1d049adb-2a09-4191-8866-c657de756aaf","block_type":"box","text":"Since the tender option feature has a shorter term than the final maturity or first call date of the underlying Municipal","page_number":96,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"c3adbffd-140b-4a69-bcc7-639803b2617d","block_type":"box","text":"Bonds deposited in the TOB Trust, the holder of the TOB Floaters relies upon the terms of the agreement with the","page_number":96,"box":{"x":70,"y":60,"width":809,"height":11}},{"id":"a4c8fcb8-819a-4e07-8229-0c559bdfa5e1","block_type":"box","text":"financial institution furnishing the liquidity facility as well as the credit strength of that institution. The risk associated","page_number":96,"box":{"x":68,"y":75,"width":836,"height":11}},{"id":"a1337352-7776-4e56-a55c-146e96b4c456","block_type":"box","text":"with TOB Floaters, however, may be increased in the current market environment as a result of recent downgrades to","page_number":96,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"ff926203-56e6-467b-80d8-97ff5b66ded3","block_type":"box","text":"the credit ratings, and thus the perceived reliability and creditworthiness, of many major financial institutions, some","page_number":96,"box":{"x":68,"y":105,"width":827,"height":11}},{"id":"69561805-a6d1-423d-9586-7581538ddeb2","block_type":"box","text":"of which sponsor and/or provide liquidity support to TOB Trusts. This in turn may reduce the desirability of TOB","page_number":96,"box":{"x":69,"y":120,"width":790,"height":11}},{"id":"0907fedf-8808-4f8c-a222-5d599968a2ec","block_type":"box","text":"Floaters as investments, which could impair the viability or availability of TOB Trusts.","page_number":96,"box":{"x":70,"y":135,"width":599,"height":11}},{"id":"d944105d-4b89-4222-bddf-eaf2c43f3edc","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into TOB Trust transactions, reverse","page_number":96,"box":{"x":102,"y":158,"width":762,"height":11}},{"id":"696a82f8-141c-4d6d-b312-ea782c569427","block_type":"box","text":"repurchase agreements and similar financing transactions (e.g., borrowed bonds) notwithstanding the limitation on","page_number":96,"box":{"x":69,"y":173,"width":818,"height":11}},{"id":"3f571c9a-d2d7-42d6-a1e2-240262063308","block_type":"box","text":"the issuance of senior securities in Section 18 of the Investment Company Act, provided that the Fund either","page_number":96,"box":{"x":68,"y":188,"width":778,"height":11}},{"id":"5f2033c7-8e20-4a2a-b688-9bb97e9645d8","block_type":"box","text":"(i) complies with the 300% asset coverage ratio with respect to such transactions and any other borrowings in the","page_number":96,"box":{"x":69,"y":203,"width":811,"height":12}},{"id":"7ba68a97-0320-4cc6-b296-ddf6f634b615","block_type":"box","text":"aggregate, or (ii) treats such transactions as Derivatives Transactions under Rule 18f-4. See “—Derivatives —","page_number":96,"box":{"x":69,"y":218,"width":786,"height":12}},{"id":"76caa45f-a100-46f4-af36-9d3d1f433ab4","block_type":"box","text":"Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":96,"box":{"x":70,"y":234,"width":588,"height":11}},{"id":"d881b101-59cc-4bf8-994f-dbc05ab3ac50","block_type":"box","text":"Developments in the TOB Trust Market.","page_number":96,"box":{"x":102,"y":256,"width":279,"height":11}},{"id":"27f56798-8fac-4bd5-a6e7-2269235fc380","block_type":"box","text":"In response to the restrictions imposed by section 619 of the Dodd-Frank Wall Street Reform and Consumer","page_number":96,"box":{"x":102,"y":279,"width":771,"height":11}},{"id":"cbe011ac-b056-4395-8a16-ad3026847661","block_type":"box","text":"Protection Act (the “Volcker Rule”), market participants have developed a structure for TOB Trusts designed to","page_number":96,"box":{"x":69,"y":294,"width":786,"height":11}},{"id":"0d72ad75-00cf-478e-ba93-f9d7092bc4bc","block_type":"box","text":"ensure that no banking entity is sponsoring the TOB Trust for purposes of the Volcker Rule. Specifically, a Fund will","page_number":96,"box":{"x":69,"y":309,"width":816,"height":11}},{"id":"f37d621b-cc60-448b-a7a2-bd4006ffed74","block_type":"box","text":"establish, structure and “sponsor” the TOB Trusts in which it holds TOB Residuals. In such a structure, certain","page_number":96,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"5947b21c-3364-4f07-b08c-237f57c78df2","block_type":"box","text":"responsibilities that previously belonged to the sponsor bank will be performed by, or on behalf of, a Fund. A Fund","page_number":96,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"2d18daba-226b-4bb7-9ba6-59eaa2c387e7","block_type":"box","text":"may utilize service providers in meeting these responsibilities. It is possible that regulators could take positions that","page_number":96,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"c0493752-7de8-4e1c-8f0e-90864a9af98c","block_type":"box","text":"could limit the market for such structured TOB Trust transactions or a Fund’s ability to hold TOB Residuals. Under","page_number":96,"box":{"x":69,"y":370,"width":810,"height":11}},{"id":"d11e5788-bc22-4e70-9256-20d55753c274","block_type":"box","text":"this TOB Trust structure, a Fund has certain additional duties and responsibilities, which may give rise to certain","page_number":96,"box":{"x":68,"y":385,"width":803,"height":11}},{"id":"7f8ed782-64e8-46c3-ad88-85bc715391e9","block_type":"box","text":"additional risks including, but not limited to, compliance, securities law and operational risks.","page_number":96,"box":{"x":69,"y":400,"width":665,"height":11}},{"id":"e836eb4e-b60a-4c34-9203-1b51349df987","block_type":"box","text":"Under this structure, service providers to a TOB Trust, such as administrators, liquidity providers, trustees, and","page_number":96,"box":{"x":102,"y":423,"width":793,"height":11}},{"id":"d0413f67-e0f5-4873-9976-926bc0b5c67f","block_type":"box","text":"remarketing agents, act at the direction of, and as agent of, a Fund as the TOB Residual holder. Similar to the","page_number":96,"box":{"x":69,"y":438,"width":783,"height":11}},{"id":"22b1f88c-d86c-411b-b129-ca31b22e62e2","block_type":"box","text":"traditional tender option bond structure, a Fund deposits Municipal Bonds into the TOB Trust in exchange for TOB","page_number":96,"box":{"x":68,"y":453,"width":808,"height":11}},{"id":"144d40bd-7394-4be4-843e-4c827a6aba98","block_type":"box","text":"Residuals, the TOB Trust then issues and sells TOB Floaters to third-party investors, and the proceeds of the sale of","page_number":96,"box":{"x":70,"y":468,"width":830,"height":11}},{"id":"0f71e805-4909-48d5-9634-6d5276fd2586","block_type":"box","text":"the TOB Floaters is distributed to such TOB Residual holders (","page_number":96,"box":{"x":68,"y":483,"width":442,"height":11}},{"id":"85dcffde-7b82-4e01-8202-3121609be139","block_type":"box","text":"i.e.","page_number":96,"box":{"x":512,"y":483,"width":20,"height":9}},{"id":"0f5ff78d-271e-44d3-8764-ff30c2dd0874","block_type":"box","text":", the Fund). Tendered TOB Floaters continue to be","page_number":96,"box":{"x":535,"y":483,"width":352,"height":11}},{"id":"1b169f76-939b-4287-aa04-ac0e841d9054","block_type":"box","text":"supported by a remarketing agent and a liquidity facility. However, the remarketing agent does not purchase tendered","page_number":96,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"a224ce1b-87f1-4b52-ad4c-9db2f7a1cb61","block_type":"box","text":"TOB Floaters for its own account in the event of a failed remarketing, which may increase the likelihood that a TOB","page_number":96,"box":{"x":68,"y":513,"width":816,"height":12}},{"id":"1a7342a1-3817-4eaa-9972-52ac980c2740","block_type":"box","text":"Trust will need to be collapsed and liquidated in order to purchase the tendered TOB Floaters. In the event of a failed","page_number":96,"box":{"x":68,"y":528,"width":835,"height":11}},{"id":"27f26ad6-6be6-408e-97a9-1bd7bdc53787","block_type":"box","text":"remarketing of TOB Floaters, the Liquidity Provider, at its option, may advance a loan to the TOB Trust the proceeds","page_number":96,"box":{"x":69,"y":543,"width":822,"height":12}},{"id":"8ceb3361-79b5-493f-ab28-7ee14a587280","block_type":"box","text":"of which would be used by the TOB Trust to purchase the tendered TOB Floaters. The Liquidity Provider is not","page_number":96,"box":{"x":69,"y":559,"width":777,"height":11}},{"id":"0da982ff-5eda-49f7-8e73-03325bf08e8e","block_type":"box","text":"obligated to advance such a loan. The TOB Trust would be the borrower with respect to any such loan. Any loans","page_number":96,"box":{"x":69,"y":574,"width":800,"height":11}},{"id":"ecc825f4-3d9d-43da-abea-9bba4a597305","block_type":"box","text":"made by a Liquidity Provider will be secured by the purchased TOB Floaters held by the TOB Trust.","page_number":96,"box":{"x":69,"y":589,"width":696,"height":11}},{"id":"f398db3b-9925-4a9e-98d3-c27f78f4224c","block_type":"box","text":"Similar to the traditional structure for TOB Trusts, a Fund may hold either non-recourse TOB Residuals or","page_number":96,"box":{"x":102,"y":612,"width":745,"height":11}},{"id":"978a1903-6623-4941-9567-5c9d08fac7b8","block_type":"box","text":"recourse TOB Residuals under this structure. In the event of a Liquidation Shortfall, there would generally be no","page_number":96,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"74ef2046-1eda-41c1-839b-0f0c8f46ff85","block_type":"box","text":"contractual recourse to the Fund’s assets if the Fund holds a non-recourse TOB Residual. However, as described","page_number":96,"box":{"x":69,"y":642,"width":803,"height":10}},{"id":"a42283a8-4644-427d-8155-09b6f18fdb57","block_type":"box","text":"above, a Fund would bear the risk of loss with respect to any Liquidation Shortfall if it holds a recourse TOB Residual.","page_number":96,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"fbaf1871-a2e6-47fd-a394-185182647263","block_type":"box","text":"The SEC and various federal banking and housing agencies adopted credit risk retention rules for securitizations","page_number":96,"box":{"x":101,"y":680,"width":801,"height":11}},{"id":"aa71b5cc-418c-4b7c-92cb-097e33d82bfc","block_type":"box","text":"(the “Risk Retention Rules”), which took effect in December 2016. The Risk Retention Rules require the sponsor of a","page_number":96,"box":{"x":69,"y":695,"width":838,"height":11}},{"id":"33288d5a-0010-4bb4-bf75-cd4511eb035d","block_type":"box","text":"TOB Trust to retain at least 5% of the credit risk of the underlying assets supporting the TOB Trust’s Municipal","page_number":96,"box":{"x":68,"y":710,"width":787,"height":11}},{"id":"9db28625-85bc-43e6-a390-eb1ad6d8fa22","block_type":"box","text":"Bonds. The Risk Retention Rules may adversely affect the Fund’s ability to engage in TOB Trust transactions or","page_number":96,"box":{"x":70,"y":725,"width":791,"height":11}},{"id":"1fbd1847-0673-48b3-b3b8-8cbd0f91487e","block_type":"box","text":"increase the costs of such transactions in certain circumstances.","page_number":96,"box":{"x":70,"y":740,"width":466,"height":9}},{"id":"f04d051d-e319-4bbe-97d6-9a27b9040144","block_type":"box","text":"TOB Trust transactions constitute an important component of the municipal bond market. Accordingly,","page_number":96,"box":{"x":101,"y":763,"width":726,"height":11}},{"id":"ee725bfb-229a-4c51-abff-bd8c9cec609b","block_type":"box","text":"implementation of the Volcker Rule may adversely impact the municipal market, including through reduced demand","page_number":96,"box":{"x":70,"y":778,"width":816,"height":11}},{"id":"fa325e6c-6b46-43b5-ac4a-d6bf33f3f79a","block_type":"box","text":"for and liquidity of municipal bonds and increased financing costs for municipal issuers. Any such developments","page_number":96,"box":{"x":68,"y":793,"width":799,"height":11}},{"id":"177f73a5-b594-4c62-a630-829079bb4e92","block_type":"box","text":"could adversely affect the Funds. The ultimate impact of these rules on the TOB market and the overall municipal","page_number":96,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"3933f072-4acd-4114-a039-3f553de2d9ab","block_type":"box","text":"market is not yet certain.","page_number":96,"box":{"x":69,"y":823,"width":178,"height":11}},{"id":"74afd0ff-a426-434f-8da3-c68d7a823ad3","block_type":"box","text":"Yields.","page_number":96,"box":{"x":103,"y":846,"width":45,"height":9}},{"id":"4ec512df-38fd-4b76-a37e-09e5cf2328c3","block_type":"box","text":"Yields on Municipal Bonds are dependent on a variety of factors, including the general condition of the","page_number":96,"box":{"x":154,"y":846,"width":730,"height":11}},{"id":"6fbfb894-4b07-4cc7-8cec-aa4e210262f8","block_type":"box","text":"money market and of the municipal bond market, the size of a particular offering, the financial condition of the","page_number":96,"box":{"x":69,"y":861,"width":788,"height":11}},{"id":"28ee7eb8-f682-43a4-a541-475d9fa2fdcf","block_type":"box","text":"issuer, the maturity of the obligation and the rating of the issue. The ability of a Fund to achieve its investment","page_number":96,"box":{"x":70,"y":876,"width":787,"height":11}},{"id":"b5c6b26d-b96f-484a-954d-1e6e2761833f","block_type":"box","text":"objective is also dependent on the continuing ability of the issuers of the securities in which the Fund invests to meet","page_number":96,"box":{"x":69,"y":891,"width":838,"height":12}},{"id":"d52a262b-58e4-42f6-a8a2-b9c6f96d4ed7","block_type":"box","text":"their obligations for the payment of interest and principal when due. There are variations in the risks involved in","page_number":96,"box":{"x":68,"y":906,"width":794,"height":12}},{"id":"dd7caa91-25a2-43ce-81d4-461339226e20","block_type":"box","text":"II-60","page_number":96,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8a4f8fec-7310-4388-be06-d33ab60ec8af","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":96,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d84b03b2-5dbc-456b-a56b-5f655ec9d2bd","block_type":"box","text":"holding Municipal Bonds, both within a particular classification and between classifications, depending on numerous","page_number":97,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"e8eb3e4c-8ead-4da3-a61c-a056fe3ebc1f","block_type":"box","text":"factors. Furthermore, the rights of owners of Municipal Bonds and the obligations of the issuer of such Municipal","page_number":97,"box":{"x":68,"y":60,"width":806,"height":11}},{"id":"b8470a8c-d5c7-4e33-b7dc-9fc104074c74","block_type":"box","text":"Bonds may be subject to applicable bankruptcy, insolvency and similar laws and court decisions affecting the rights","page_number":97,"box":{"x":70,"y":75,"width":823,"height":11}},{"id":"05375142-0194-4286-9781-b58e92dd64cf","block_type":"box","text":"of creditors generally and to general equitable principles, which may limit the enforcement of certain remedies.","page_number":97,"box":{"x":69,"y":90,"width":790,"height":11}},{"id":"ce00b5f8-44ac-4034-abeb-9858e7b99492","block_type":"box","text":"Variable Rate Demand Obligations (“VRDOs”).","page_number":97,"box":{"x":103,"y":113,"width":323,"height":11}},{"id":"e060349c-f538-474b-9cf8-c70df7f14499","block_type":"box","text":"VRDOs are tax-exempt obligations that contain a floating or","page_number":97,"box":{"x":432,"y":113,"width":422,"height":11}},{"id":"5ba0fb0f-122a-4117-9132-98b33aa8ca3f","block_type":"box","text":"variable interest rate adjustment formula and a right of demand on the part of the holder thereof to receive payment","page_number":97,"box":{"x":68,"y":128,"width":830,"height":11}},{"id":"8fda8203-8909-48ac-b918-3409bc7dc93c","block_type":"box","text":"of the unpaid principal balance plus accrued interest upon a short notice period not to exceed seven days.","page_number":97,"box":{"x":69,"y":143,"width":759,"height":11}},{"id":"1842ec8a-75d5-401b-b02d-825614416c73","block_type":"box","text":"There is the possibility that because of default or insolvency the demand feature of VRDOs may not be honored.","page_number":97,"box":{"x":101,"y":166,"width":798,"height":11}},{"id":"00f52dcc-65d1-4248-8446-a10780c98ed5","block_type":"box","text":"The interest rates are adjustable at periodic intervals to some prevailing market rate for similar investments, such","page_number":97,"box":{"x":68,"y":181,"width":815,"height":11}},{"id":"6187df2f-47dc-41b2-b401-d811ede1adbf","block_type":"box","text":"adjustment formula being calculated to maintain the market rate of the VRDOs at approximately the par value of the","page_number":97,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"be107737-65f0-4f99-8c13-f015d18d1900","block_type":"box","text":"VRDOs on the adjustment date. The adjustments typically are based upon the Securities Industry and Financial","page_number":97,"box":{"x":68,"y":211,"width":791,"height":11}},{"id":"4d5f3f38-e173-4d33-a99a-66b3d816805a","block_type":"box","text":"Markets Association (“SIFMA”) Index.","page_number":97,"box":{"x":70,"y":226,"width":264,"height":11}},{"id":"bffa467c-7741-44f0-b7a9-77cf45ca9dc7","block_type":"box","text":"Because of the interest rate adjustment formula on VRDOs, VRDOs are not comparable to fixed rate securities.","page_number":97,"box":{"x":102,"y":249,"width":791,"height":11}},{"id":"d3d6027e-4d37-4fbc-afdc-cc178b56345f","block_type":"box","text":"During periods of declining interest rates, a Fund’s yield on a VRDO will decrease and its shareholders will forego the","page_number":97,"box":{"x":70,"y":264,"width":833,"height":11}},{"id":"421e5f9a-80b9-4be5-8475-b90398396f27","block_type":"box","text":"opportunity for capital appreciation. During periods of rising interest rates, however, a Fund’s yield on a VRDO will","page_number":97,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"537a0e8d-a4a1-40f8-9199-f046fcd1ce8a","block_type":"box","text":"increase and the Fund’s shareholders will have a reduced risk of capital depreciation.","page_number":97,"box":{"x":70,"y":294,"width":608,"height":11}},{"id":"e81f3bb1-93da-4d3e-a178-55f46fac8129","block_type":"box","text":"Transactions in Financial Futures Contracts on Municipal Indexes.","page_number":97,"box":{"x":103,"y":317,"width":465,"height":11}},{"id":"3201b0be-0b32-4d96-94e9-3cf51060cf75","block_type":"box","text":"The Municipal Funds and certain other funds","page_number":97,"box":{"x":574,"y":317,"width":318,"height":11}},{"id":"e7c469da-ee75-442b-a267-dc7e4bfa5a23","block_type":"box","text":"deal in financial futures contracts based on a long-term municipal bond index developed by the Chicago Board of","page_number":97,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"210514d7-7f4e-46e1-9bb2-6ddedffa12b5","block_type":"box","text":"Trade (“CBT”) and The Bond Buyer (the “Municipal Bond Index”). The Municipal Bond Index is comprised of 40 long","page_number":97,"box":{"x":68,"y":347,"width":825,"height":11}},{"id":"cc02c8a7-cd74-4cc4-846b-b6376b80b2c9","block_type":"box","text":"term, actively traded tax-exempt municipal revenue and general obligation bonds. Each bond included in the Municipal","page_number":97,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"40263767-3d86-4d6c-b619-54be707234ce","block_type":"box","text":"Bond Index must be rated A or higher by Moody’s or S&P and must have a remaining maturity of 19 years or more.","page_number":97,"box":{"x":70,"y":377,"width":815,"height":12}},{"id":"81d40acc-250d-497a-ba1d-57f0930fb6c0","block_type":"box","text":"Twice a month new issues satisfying the eligibility requirements are added to, and an equal number of old issues are","page_number":97,"box":{"x":68,"y":392,"width":836,"height":12}},{"id":"2cd40395-dc65-43b6-b8c7-113c7b25631b","block_type":"box","text":"deleted from, the Municipal Bond Index. The value of the Municipal Bond Index is computed daily according to a","page_number":97,"box":{"x":69,"y":407,"width":796,"height":12}},{"id":"b0aec03e-57b4-4c48-a3fd-cee3213a6e03","block_type":"box","text":"formula based on the price of each bond in the Municipal Bond Index, as evaluated by six dealer-to-dealer brokers.","page_number":97,"box":{"x":68,"y":423,"width":816,"height":11}},{"id":"4966b061-0a53-44f0-b229-4af2637d7c42","block_type":"box","text":"The Municipal Bond Index futures contract is traded only on the CBT. Like other contract markets, the CBT","page_number":97,"box":{"x":101,"y":445,"width":756,"height":11}},{"id":"72565e54-810d-41f2-b314-852cd41111b0","block_type":"box","text":"assures performance under futures contracts through a clearing corporation, a nonprofit organization managed by the","page_number":97,"box":{"x":69,"y":460,"width":839,"height":12}},{"id":"8b1a21ea-91df-421d-9201-d2c09897c7ff","block_type":"box","text":"exchange membership that is also responsible for handling daily accounting of deposits or withdrawals of margin.","page_number":97,"box":{"x":69,"y":475,"width":808,"height":12}},{"id":"32bf7acf-7586-4372-8522-6362981913e3","block_type":"box","text":"The particular municipal bonds comprising the index underlying the Municipal Bond Index financial futures","page_number":97,"box":{"x":101,"y":498,"width":753,"height":11}},{"id":"159c2ecd-803e-433a-b5c0-2667b8f92253","block_type":"box","text":"contract may vary from the bonds held by a Municipal Fund. As a result, a Municipal Fund’s ability to hedge","page_number":97,"box":{"x":69,"y":513,"width":764,"height":12}},{"id":"eb67af95-6952-4a4b-a4d9-3a4da5199b7e","block_type":"box","text":"effectively all or a portion of the value of its Municipal Bonds through the use of such financial futures contracts will","page_number":97,"box":{"x":69,"y":528,"width":826,"height":12}},{"id":"f84574c3-8f34-4e6a-a19a-2b4412f0739b","block_type":"box","text":"depend in part on the degree to which price movements in the index underlying the financial futures contract","page_number":97,"box":{"x":69,"y":543,"width":774,"height":12}},{"id":"01a4467c-407c-4bba-9a12-d9138f750ac7","block_type":"box","text":"correlate with the price movements of the Municipal Bonds held by the Fund. The correlation may be affected by","page_number":97,"box":{"x":69,"y":559,"width":801,"height":11}},{"id":"a4e049b3-b0c6-41ce-bf59-20e12da7fc7a","block_type":"box","text":"disparities in the average maturity, ratings, geographical mix or structure of a Municipal Fund’s investments as","page_number":97,"box":{"x":69,"y":574,"width":788,"height":11}},{"id":"7bce53d6-1443-4674-adb3-62b29118504b","block_type":"box","text":"compared to those comprising the Municipal Bond Index and general economic or political factors. In addition, the","page_number":97,"box":{"x":69,"y":589,"width":812,"height":11}},{"id":"912a7fbc-135a-4e85-8198-a867085dc317","block_type":"box","text":"correlation between movements in the value of the Municipal Bond Index may be subject to change over time as","page_number":97,"box":{"x":69,"y":604,"width":799,"height":11}},{"id":"4e4bedd8-bc1a-4509-a3ef-e2ba38e91e1d","block_type":"box","text":"additions to and deletions from the Municipal Bond Index alter its structure. The correlation between futures","page_number":97,"box":{"x":69,"y":619,"width":772,"height":11}},{"id":"bed4168f-f679-4f14-b878-cd343a8c7cfc","block_type":"box","text":"contracts on U.S. Government Securities and the Municipal Bonds held by a Municipal Fund may be adversely","page_number":97,"box":{"x":69,"y":634,"width":782,"height":11}},{"id":"876e1ab7-9a8e-42e7-a07d-f6c0b6d1b629","block_type":"box","text":"affected by similar factors and the risk of imperfect correlation between movements in the prices of such futures","page_number":97,"box":{"x":69,"y":649,"width":806,"height":12}},{"id":"f0fb6e84-afec-48f9-896b-6de1d60016d9","block_type":"box","text":"contracts and the prices of Municipal Bonds held by a Municipal Fund may be greater. Municipal Bond Index futures","page_number":97,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"8cf31a8f-18b2-4a66-bd48-d0fc79a034aa","block_type":"box","text":"contracts were approved for trading in 1985. Trading in such futures contracts may tend to be less liquid than trading","page_number":97,"box":{"x":69,"y":680,"width":837,"height":11}},{"id":"ee9f2a52-1780-4be0-99ac-2f5c4017ddab","block_type":"box","text":"in other futures contracts. The trading of futures contracts also is subject to certain market risks, such as inadequate","page_number":97,"box":{"x":70,"y":695,"width":839,"height":11}},{"id":"d309489c-872e-407c-863e-aca2a3fada90","block_type":"box","text":"trading activity, which could at times make it difficult or impossible to liquidate existing positions.","page_number":97,"box":{"x":68,"y":710,"width":693,"height":11}},{"id":"11427ac2-d075-4b25-8933-061e88dde972","block_type":"box","text":"Call Rights.","page_number":97,"box":{"x":102,"y":733,"width":79,"height":11}},{"id":"26d37342-d3c9-4541-a628-5807f8558238","block_type":"box","text":"A Fund may purchase a Municipal Bond issuer’s right to call all or a portion of such Municipal Bond","page_number":97,"box":{"x":187,"y":732,"width":708,"height":12}},{"id":"38ce13cd-d8fe-49fd-84dd-4bb350a2aa50","block_type":"box","text":"for mandatory tender for purchase (a “Call Right”). A holder of a Call Right may exercise such right to require a","page_number":97,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"a760ea67-5e8c-4c6f-b014-1a57d8630d55","block_type":"box","text":"mandatory tender for the purchase of related Municipal Bonds, subject to certain conditions. A Call Right that is not","page_number":97,"box":{"x":69,"y":763,"width":827,"height":11}},{"id":"914c83f2-86db-44f1-bc67-b22bd0fdbff6","block_type":"box","text":"exercised prior to maturity of the related Municipal Bond will expire without value. The economic effect of holding","page_number":97,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"1a436760-277d-4d1c-b068-dd61a4acc89f","block_type":"box","text":"both the Call Right and the related Municipal Bond is identical to holding a Municipal Bond as a non-callable security.","page_number":97,"box":{"x":69,"y":793,"width":833,"height":11}},{"id":"93b19108-8006-4ee6-90c4-6a3880488346","block_type":"box","text":"Certain investments in such obligations may be illiquid.","page_number":97,"box":{"x":69,"y":808,"width":393,"height":11}},{"id":"1d9642fb-33ef-41fa-af2e-2d9121015496","block_type":"box","text":"Municipal Interest Rate Swap Transactions.","page_number":97,"box":{"x":102,"y":831,"width":307,"height":11}},{"id":"6f7ebd6e-9162-4516-99d0-2cdafe231131","block_type":"box","text":"In order to hedge the value of a Fund against interest rate","page_number":97,"box":{"x":417,"y":831,"width":411,"height":11}},{"id":"8d09604d-5b2a-40ca-9612-b7d29d5babc9","block_type":"box","text":"fluctuations or to enhance a Fund’s income, a Fund may enter into interest rate swap transactions such as Municipal","page_number":97,"box":{"x":68,"y":846,"width":835,"height":11}},{"id":"64ea1218-1c5a-4f6b-b6ec-a31a8db547e5","block_type":"box","text":"Market Data AAA Cash Curve swaps (“MMD Swaps”) or Securities Industry and Financial Markets Association","page_number":97,"box":{"x":70,"y":861,"width":781,"height":11}},{"id":"5d1b22c3-413c-4c90-87c4-f222a647059a","block_type":"box","text":"Municipal Swap Index swaps (“SIFMA Swaps”). To the extent that a Fund enters into these transactions, the Fund","page_number":97,"box":{"x":70,"y":876,"width":808,"height":11}},{"id":"daf45d9f-138e-4dcf-a98f-215ffa2ec7dd","block_type":"box","text":"expects to do so primarily to preserve a return or spread on a particular investment or portion of its portfolio or to","page_number":97,"box":{"x":69,"y":891,"width":814,"height":11}},{"id":"bdc68d02-2526-402f-83d7-369e87532108","block_type":"box","text":"protect against any increase in the price of securities the Fund anticipates purchasing at a later date. A Fund intends","page_number":97,"box":{"x":70,"y":906,"width":832,"height":12}},{"id":"dd7cf008-f7d5-4598-ab66-1d60bb7ef9de","block_type":"box","text":"II-61","page_number":97,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"add96c32-9ae4-48d3-a67d-631a26d7cee1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":97,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bb5a5aa2-88fd-4e84-ba01-c06591e7149a","block_type":"box","text":"to use these transactions primarily as a hedge rather than as a speculative investment. However, a Fund also may","page_number":98,"box":{"x":68,"y":45,"width":817,"height":11}},{"id":"20ab4f8b-7023-4c22-bb76-6ccb833fd35b","block_type":"box","text":"invest in MMD Swaps and SIFMA Swaps to enhance income or gain or to increase the Fund’s yield, for example,","page_number":98,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"527507b3-9a2b-4e35-b73b-7480295a0b4d","block_type":"box","text":"during periods of steep interest rate yield curves (","page_number":98,"box":{"x":69,"y":75,"width":356,"height":11}},{"id":"b5fb29f9-4f2e-43a5-ba28-0c121be9d17c","block_type":"box","text":"i.e.","page_number":98,"box":{"x":427,"y":75,"width":20,"height":9}},{"id":"1b8be24c-dfde-48ad-9cb4-42be4545ab0b","block_type":"box","text":", wide differences between short-term and long-term interest","page_number":98,"box":{"x":449,"y":75,"width":433,"height":11}},{"id":"5835880b-7742-46c4-932a-65e5225e348c","block_type":"box","text":"rates).","page_number":98,"box":{"x":69,"y":90,"width":44,"height":11}},{"id":"9a3c6609-2c83-4fcf-b5b2-8fbf464be7b1","block_type":"box","text":"A Fund may purchase and sell SIFMA Swaps in the SIFMA swap market. In a SIFMA Swap, a Fund exchanges with","page_number":98,"box":{"x":101,"y":113,"width":807,"height":11}},{"id":"d8c9e080-aa58-4296-8332-68ba46201613","block_type":"box","text":"another party their respective commitments to pay or receive interest (","page_number":98,"box":{"x":69,"y":128,"width":503,"height":11}},{"id":"f179ec0f-9001-4bda-8f50-8e9751fd1a0d","block_type":"box","text":"e.g.","page_number":98,"box":{"x":574,"y":129,"width":25,"height":10}},{"id":"d0ab5b41-8d5b-453c-b18c-9e688e9d0c09","block_type":"box","text":", an exchange of fixed rate payments for","page_number":98,"box":{"x":601,"y":128,"width":286,"height":11}},{"id":"747ece71-63ee-4290-904f-5d5266740bff","block_type":"box","text":"floating rate payments linked to the SIFMA Municipal Swap Index). Because the underlying index is a tax-exempt","page_number":98,"box":{"x":68,"y":143,"width":798,"height":11}},{"id":"c02c4c0e-a431-4e80-b3af-29b85d023fde","block_type":"box","text":"index, SIFMA Swaps may reduce cross-market risks incurred by a Fund and increase a Fund’s ability to hedge","page_number":98,"box":{"x":70,"y":158,"width":778,"height":11}},{"id":"835ee57a-689b-4a76-a5e0-855b3141f69b","block_type":"box","text":"effectively. SIFMA Swaps are typically quoted for the entire yield curve, beginning with a seven day floating rate index","page_number":98,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"922626a7-6ba9-4576-88e1-fb5a376b6052","block_type":"box","text":"out to 30 years. The duration of a SIFMA Swap is approximately equal to the duration of a fixed-rate Municipal Bond","page_number":98,"box":{"x":69,"y":188,"width":823,"height":11}},{"id":"1484a2d8-c29e-476e-8da0-7fe2fc5cb090","block_type":"box","text":"with the same attributes as the swap (","page_number":98,"box":{"x":68,"y":204,"width":275,"height":10}},{"id":"81ad34a2-248c-4e11-8023-9969ca11d592","block_type":"box","text":"e.g.","page_number":98,"box":{"x":345,"y":205,"width":24,"height":10}},{"id":"989b34e7-6a39-4846-827f-5d03f67090a0","block_type":"box","text":", coupon, maturity, call feature).","page_number":98,"box":{"x":372,"y":203,"width":224,"height":12}},{"id":"594ea5b6-afe0-44e7-815c-bcee4bcd8a57","block_type":"box","text":"A Fund may also purchase and sell MMD Swaps, also known as MMD rate locks. An MMD Swap permits a Fund","page_number":98,"box":{"x":101,"y":226,"width":797,"height":11}},{"id":"5c6dadb4-871a-428b-ba8e-045412c40fd6","block_type":"box","text":"to lock in a specified municipal interest rate for a portion of its portfolio to preserve a return on a particular","page_number":98,"box":{"x":68,"y":241,"width":770,"height":11}},{"id":"451aa771-f428-4073-904e-afa9a5bc8089","block_type":"box","text":"investment or a portion of its portfolio as a duration management technique or to protect against any increase in the","page_number":98,"box":{"x":70,"y":256,"width":832,"height":12}},{"id":"22f7ccad-7806-4673-8bfa-3e69ec78a71c","block_type":"box","text":"price of securities to be purchased at a later date. By using an MMD Swap, a Fund can create a synthetic long or","page_number":98,"box":{"x":70,"y":271,"width":805,"height":12}},{"id":"95d03af5-8a3d-4be8-b56a-47ad7d1b079e","block_type":"box","text":"short position, allowing the Fund to select the most attractive part of the yield curve. An MMD Swap is a contract","page_number":98,"box":{"x":69,"y":286,"width":808,"height":12}},{"id":"feddecd3-4565-41f8-abf9-4d378932995c","block_type":"box","text":"between a Fund and an MMD Swap provider pursuant to which the parties agree to make payments to each other on","page_number":98,"box":{"x":69,"y":302,"width":832,"height":11}},{"id":"473a1db4-6847-4be9-896a-61731efbf3a2","block_type":"box","text":"a notional amount, contingent upon whether the Municipal Market Data AAA General Obligation Scale is above or","page_number":98,"box":{"x":69,"y":317,"width":804,"height":11}},{"id":"05af2d53-1de8-4307-bae6-1e7844bc9472","block_type":"box","text":"below a specified level on the expiration date of the contract. For example, if a Fund buys an MMD Swap and the","page_number":98,"box":{"x":69,"y":332,"width":803,"height":11}},{"id":"8fe52710-490d-4310-9dc3-9f5315149410","block_type":"box","text":"Municipal Market Data AAA General Obligation Scale is below the specified level on the expiration date, the","page_number":98,"box":{"x":70,"y":347,"width":763,"height":11}},{"id":"40aa4b18-a7af-49e5-b66d-6e329d340219","block_type":"box","text":"counterparty to the contract will make a payment to the Fund equal to the specified level minus the actual level,","page_number":98,"box":{"x":69,"y":362,"width":797,"height":11}},{"id":"e4408f35-9332-473e-8061-b80e7beb0065","block_type":"box","text":"multiplied by the notional amount of the contract. If the Municipal Market Data AAA General Obligation Scale is above","page_number":98,"box":{"x":69,"y":377,"width":836,"height":12}},{"id":"dc2da1e9-15d0-420a-b01f-cd21b822aca6","block_type":"box","text":"the specified level on the expiration date, a Fund will make a payment to the counterparty equal to the actual level","page_number":98,"box":{"x":68,"y":392,"width":816,"height":12}},{"id":"86846ca6-5b23-4a6e-a85a-71b0aa4fcbda","block_type":"box","text":"minus the specified level, multiplied by the notional amount of the contract.","page_number":98,"box":{"x":69,"y":407,"width":537,"height":12}},{"id":"be796abc-4f9f-4a81-a1aa-17c009a344a9","block_type":"box","text":"In connection with investments in SIFMA and MMD Swaps, there is a risk that municipal yields will move in the","page_number":98,"box":{"x":102,"y":430,"width":788,"height":11}},{"id":"c7df0ba8-7978-4fae-aa0b-2cc59ee2ab1a","block_type":"box","text":"opposite direction than anticipated by a Fund, which would cause the Fund to make payments to its counterparty in","page_number":98,"box":{"x":69,"y":446,"width":821,"height":10}},{"id":"8559b4bf-200b-442b-ad7f-748586870b40","block_type":"box","text":"the transaction that could adversely affect the Fund’s performance.","page_number":98,"box":{"x":68,"y":460,"width":482,"height":12}},{"id":"9b8c8602-7ace-4134-a246-86d1f2ffbd67","block_type":"box","text":"Insured Municipal Bonds.","page_number":98,"box":{"x":102,"y":483,"width":179,"height":11}},{"id":"f279efaf-7a2e-4bb7-904e-158d2bb02510","block_type":"box","text":"Bonds purchased by a Fund may be covered by insurance that guarantees that interest","page_number":98,"box":{"x":288,"y":483,"width":619,"height":11}},{"id":"f79b1057-8dde-4a3b-999d-593f398e0ab7","block_type":"box","text":"payments on the bond will be made on time and the principal will be repaid when the bond matures. Either the issuer","page_number":98,"box":{"x":70,"y":498,"width":835,"height":11}},{"id":"d8a3ef65-9442-47f5-89e4-0cdce658d5ed","block_type":"box","text":"of the bond or the Fund purchases the insurance. Insurance is expected to protect the Fund against losses caused by","page_number":98,"box":{"x":69,"y":513,"width":840,"height":12}},{"id":"bfcb7de6-c2e4-45f5-a6b1-2f68b691a8c0","block_type":"box","text":"a bond issuer’s failure to make interest or principal payments. However, insurance does not protect the Fund or its","page_number":98,"box":{"x":69,"y":528,"width":818,"height":12}},{"id":"54e2031e-4b38-443c-a89c-f51ac25bbc78","block_type":"box","text":"shareholders against losses caused by declines in a bond’s market value. Also, the Fund cannot be certain that any","page_number":98,"box":{"x":69,"y":544,"width":829,"height":11}},{"id":"23ba5c55-5eb5-4687-a7d8-1995d0bc048e","block_type":"box","text":"insurance company does not make these payments. In addition, if the Fund purchases the insurance, it may pay the","page_number":98,"box":{"x":70,"y":559,"width":827,"height":11}},{"id":"8333731b-f769-4b69-8a88-333218d07e23","block_type":"box","text":"premiums, which will reduce the Fund’s yield. The Fund seeks to use only insurance companies with claims paying","page_number":98,"box":{"x":70,"y":574,"width":815,"height":11}},{"id":"c7b5a85c-796c-4c2e-806a-ab36c79e6751","block_type":"box","text":"ability, financial strength, or equivalent ratings of at least investment grade. However, if insurance from insurers with","page_number":98,"box":{"x":69,"y":589,"width":829,"height":11}},{"id":"6c7222c4-44a3-4076-a6a8-e1cf0a696899","block_type":"box","text":"these ratings is not available, the Fund may use insurance companies with lower ratings or stop purchasing","page_number":98,"box":{"x":68,"y":604,"width":767,"height":11}},{"id":"a160d9f2-46da-432a-ac47-a6982e99dcc4","block_type":"box","text":"insurance or insured bonds. If a bond’s insurer fails to fulfill its obligations or loses its credit rating, the value of the","page_number":98,"box":{"x":70,"y":619,"width":827,"height":11}},{"id":"f131b1c0-af6f-419b-b950-b989a89081bb","block_type":"box","text":"bond could drop.","page_number":98,"box":{"x":69,"y":634,"width":118,"height":11}},{"id":"97671359-dbf0-4d36-8c9e-41dde41aae15","block_type":"box","text":"Build America Bonds.","page_number":98,"box":{"x":102,"y":657,"width":150,"height":9}},{"id":"e94211a5-f82e-4eab-9c0f-da0350edde6f","block_type":"box","text":"If a Fund holds Build America Bonds, the Fund may be eligible to receive a U.S. federal","page_number":98,"box":{"x":259,"y":657,"width":616,"height":11}},{"id":"c46251ab-9a80-4313-a201-dead038c1ca9","block_type":"box","text":"income tax credit; however, the issuer of a Build America Bond may instead elect to receive a cash payment directly","page_number":98,"box":{"x":70,"y":672,"width":825,"height":11}},{"id":"73ee43ee-0081-4d4a-945d-1a4b9f08a2fb","block_type":"box","text":"from the federal government in lieu of holders such as the fund receiving a tax credit. The interest on Build America","page_number":98,"box":{"x":68,"y":687,"width":824,"height":11}},{"id":"5348968f-4768-4ec3-b721-4ab52de31448","block_type":"box","text":"Bonds is taxable for U.S. federal income tax purposes. If the Fund does receive tax credits from Build America Bonds","page_number":98,"box":{"x":70,"y":702,"width":833,"height":11}},{"id":"26581104-e746-4a53-b751-857f9617b5d1","block_type":"box","text":"or other tax credit bonds on one or more specified dates during the fund’s taxable year, and the Fund satisfies the","page_number":98,"box":{"x":69,"y":717,"width":815,"height":12}},{"id":"d2def68f-e820-4efc-926e-955281003787","block_type":"box","text":"minimum distribution requirement, the Fund may elect for U.S. federal income tax purposes to pass through to","page_number":98,"box":{"x":69,"y":732,"width":788,"height":12}},{"id":"b8ae83f8-bccd-4c05-9ac5-bf2a2bd163ec","block_type":"box","text":"shareholders tax credits otherwise allowable to the Fund for that year with respect to such bonds. A tax credit bond","page_number":98,"box":{"x":69,"y":748,"width":823,"height":11}},{"id":"cbfe8454-e228-4c1f-b9a9-32ed35dc1142","block_type":"box","text":"is defined in the Code as a “qualified tax credit bond” (which includes a qualified forestry conservation bond, a new","page_number":98,"box":{"x":70,"y":763,"width":825,"height":11}},{"id":"8a0b7ffb-7c8f-4df3-b874-0a1a794a5d3d","block_type":"box","text":"clean renewable energy bond, a qualified energy conservation bond, or a qualified zone academy bond, each of which","page_number":98,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"71c572e4-bd90-4d5c-8750-53a073a9ceea","block_type":"box","text":"must meet certain requirements specified in the Code), a “Build America Bond” (which includes certain qualified","page_number":98,"box":{"x":69,"y":793,"width":802,"height":11}},{"id":"232ae9b4-6db7-46be-b896-31c477dcb696","block_type":"box","text":"bonds issued before January 1, 2011) or certain other specified bonds. If the Fund were to so elect, a shareholder","page_number":98,"box":{"x":69,"y":808,"width":821,"height":11}},{"id":"f6bbfa44-9f42-41ca-9003-e02c83980b9e","block_type":"box","text":"would be required to include in income and would be entitled to claim as a tax credit an amount equal to a","page_number":98,"box":{"x":68,"y":823,"width":760,"height":11}},{"id":"38af0509-a345-4839-a278-e1316e984d6d","block_type":"box","text":"proportionate share of such credits, and such amount would be subject to withholding provisions of the Code.","page_number":98,"box":{"x":70,"y":838,"width":782,"height":12}},{"id":"5e709d77-b41b-433a-92d0-df307c4b9e41","block_type":"box","text":"Certain limitations may apply on the extent to which the credit may be claimed.","page_number":98,"box":{"x":69,"y":854,"width":563,"height":11}},{"id":"c53b0b87-361c-4c29-9ce7-93bc3372842f","block_type":"box","text":"Tax-Exempt Municipal Investments.","page_number":98,"box":{"x":103,"y":876,"width":246,"height":11}},{"id":"45ff6eb6-a405-4ef5-b878-c3a546fcf10c","block_type":"box","text":"Certain Funds may hold tax-exempt municipal investments which may be in","page_number":98,"box":{"x":355,"y":876,"width":534,"height":11}},{"id":"922f6f32-f727-4e94-84af-072c138ded19","block_type":"box","text":"the form of tender option bonds, variable rate demand obligations, participations, beneficial interests in a trust,","page_number":98,"box":{"x":68,"y":891,"width":798,"height":12}},{"id":"92cec9f1-015b-487a-bcf8-a5551bdded38","block_type":"box","text":"partnership interests or other forms. These investments are described in greater detail above in this section. Some","page_number":98,"box":{"x":70,"y":906,"width":823,"height":12}},{"id":"b9a9d185-9da6-4151-958b-6468b407ac31","block_type":"box","text":"II-62","page_number":98,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"52ee900b-588f-4105-93fb-800a708335d4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":98,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"11cb1c1d-a3d1-448d-bd9b-688fce9b5a90","block_type":"box","text":"of the structures used by certain Funds include interests in long-term fixed-rate municipal debt obligations, held by a","page_number":99,"box":{"x":69,"y":45,"width":830,"height":11}},{"id":"9659ab7a-dc76-4607-aa43-e7b5f3c75a91","block_type":"box","text":"trustee or custodian, that are coupled with tender option, demand and other features when the tax-exempt municipal","page_number":99,"box":{"x":68,"y":60,"width":832,"height":11}},{"id":"4357439a-5b15-47a9-9d52-2dbe8d713f7c","block_type":"box","text":"investments are created. Together, these features entitle the holder of the interest to tender (or put) the underlying","page_number":99,"box":{"x":70,"y":75,"width":819,"height":11}},{"id":"8890d101-3305-4ae5-a924-fa9270818ae5","block_type":"box","text":"municipal debt obligation to a third party at periodic intervals and to receive the principal amount thereof.","page_number":99,"box":{"x":69,"y":90,"width":752,"height":11}},{"id":"52c6f72f-ebc9-4730-b9b0-b8d6b4f6da5d","block_type":"box","text":"In some cases, municipal debt obligations are represented by custodial receipts evidencing rights to receive","page_number":99,"box":{"x":102,"y":113,"width":770,"height":11}},{"id":"d15992a0-1369-41ad-87ec-981d277971dd","block_type":"box","text":"specific future interest payments, principal payments, or both, on the underlying securities held by the custodian.","page_number":99,"box":{"x":69,"y":128,"width":806,"height":11}},{"id":"0bae2fcb-a45a-4b83-a20c-47bbe3fea817","block_type":"box","text":"Under such arrangements, the holder of the custodial receipt has the option to tender the underlying securities at","page_number":99,"box":{"x":70,"y":143,"width":809,"height":11}},{"id":"0dc9632c-5a17-4a26-92e1-9340fa10a6ff","block_type":"box","text":"their face value to the sponsor (","page_number":99,"box":{"x":68,"y":158,"width":228,"height":11}},{"id":"6aff99c8-f7db-43d3-95f9-096642f0da8e","block_type":"box","text":"e.g.","page_number":99,"box":{"x":297,"y":160,"width":25,"height":9}},{"id":"bb6388cb-bc9f-45fe-93ad-61e1a9e77ba6","block_type":"box","text":", a Fund, or a bank or broker-dealer or other financial institution), which is paid","page_number":99,"box":{"x":325,"y":158,"width":557,"height":11}},{"id":"c79fe180-91c8-42a0-bb6c-a4a9de60778d","block_type":"box","text":"periodic fees equal to the difference between the securities’ fixed coupon rate and the rate that would cause the","page_number":99,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"3e4290d3-55c7-4d4a-ab8b-8cf7c61af1a2","block_type":"box","text":"securities, coupled with the tender option, to trade at par on the date of a rate adjustment.","page_number":99,"box":{"x":69,"y":188,"width":648,"height":11}},{"id":"eea6f7cf-96cb-4b3b-a249-02077c267ab7","block_type":"box","text":"A participation interest gives the Fund an undivided interest in a Municipal Bond in the proportion the Fund’s","page_number":99,"box":{"x":101,"y":211,"width":775,"height":11}},{"id":"ef6a289a-51bf-4f01-bbf1-1bd72f84e251","block_type":"box","text":"participation bears to the total principal amount of the Municipal Bond, and typically provides for a repurchase","page_number":99,"box":{"x":70,"y":226,"width":785,"height":11}},{"id":"0bc42245-79a0-41d4-959a-8ecc60a8db77","block_type":"box","text":"feature for all or any part of the full principal amount of the participation interest, plus accrued interest. Trusts and","page_number":99,"box":{"x":68,"y":241,"width":821,"height":11}},{"id":"e5c18a22-2b3a-4d1e-b901-aa5465812ad5","block_type":"box","text":"partnerships are typically used to convert long-term fixed rate high quality bonds of a single state or municipal issuer","page_number":99,"box":{"x":70,"y":256,"width":833,"height":12}},{"id":"93ec1758-324b-46e2-b7e1-ab42e7b0f67f","block_type":"box","text":"into variable or floating rate demand instruments.","page_number":99,"box":{"x":70,"y":271,"width":351,"height":12}},{"id":"94eda4a1-7859-4f48-b610-7de9e27c8db1","block_type":"box","text":"The Municipal Bond Funds may hold participation interests and custodial receipts for municipal debt obligations","page_number":99,"box":{"x":101,"y":294,"width":797,"height":11}},{"id":"74783fb2-57c4-431e-86e0-e353815dcb0f","block_type":"box","text":"which give the holder the right to receive payment of principal subject to the conditions described above. The IRS has","page_number":99,"box":{"x":68,"y":309,"width":836,"height":11}},{"id":"305dc6d3-3779-4174-ae82-9ff269d9cab6","block_type":"box","text":"not ruled on whether the interest received on tax-exempt municipal investments in the form of participation interests","page_number":99,"box":{"x":69,"y":324,"width":831,"height":11}},{"id":"a247f7a5-4401-46d6-a45e-29a0bb94384c","block_type":"box","text":"or custodial receipts is tax-exempt, and accordingly, purchases of any such interests or receipts are based on the","page_number":99,"box":{"x":69,"y":339,"width":809,"height":12}},{"id":"09b3040b-eccd-4914-b578-312af91299bb","block_type":"box","text":"opinions of counsel to the sponsors of such derivative securities. Neither a Fund nor its investment adviser or sub","page_number":99,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"b589a727-3254-4697-9b60-100a7b9a480f","block_type":"box","text":"advisers will review the proceedings related to the creation of any tax-exempt municipal investments or the basis for","page_number":99,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"ba4c6ddc-288c-4d64-9f68-0573072e8764","block_type":"box","text":"such opinions.","page_number":99,"box":{"x":69,"y":385,"width":102,"height":11}},{"id":"7c8780be-b397-4e24-bd40-bb695ebae2b1","block_type":"box","text":"Operational and Technology Risks.","page_number":99,"box":{"x":102,"y":408,"width":250,"height":11}},{"id":"4b5ac96e-31ce-4aac-b38d-b60f47c082ac","block_type":"box","text":"The Fund and the entities with which it interacts directly or indirectly are","page_number":99,"box":{"x":358,"y":408,"width":512,"height":11}},{"id":"5ee0a816-2ea2-4c15-bd28-b7d64c08390c","block_type":"box","text":"susceptible to operational and technology risks, including those related to human errors, processing errors,","page_number":99,"box":{"x":69,"y":423,"width":766,"height":11}},{"id":"18c6ae8c-0bae-4d65-a540-5320da9ab215","block_type":"box","text":"communication errors, systems failures, cybersecurity incidents, and the use of artificial intelligence and machine","page_number":99,"box":{"x":69,"y":438,"width":812,"height":11}},{"id":"48769867-fcbe-4eb1-ac02-9661586ea64f","block_type":"box","text":"learning (“AI”), which may result in losses for the Fund and its shareholders or impair the Fund’s operations. These","page_number":99,"box":{"x":70,"y":453,"width":820,"height":11}},{"id":"c7dc42d6-fb63-46c3-92cd-69abf14aa79d","block_type":"box","text":"entities include, but are not limited to, the Fund’s adviser, administrator, distributor, other service providers (e.g.,","page_number":99,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"c146bde4-f1ea-47f8-906b-6f87d402d575","block_type":"box","text":"index and benchmark providers, accountants, custodians, and transfer agents), financial intermediaries,","page_number":99,"box":{"x":70,"y":483,"width":741,"height":11}},{"id":"2b32aefc-7cfd-4abb-b7b7-8994ae1116b0","block_type":"box","text":"counterparties, market makers, Authorized Participants, listing exchanges, other financial market operators, and","page_number":99,"box":{"x":69,"y":498,"width":802,"height":11}},{"id":"7661899a-2c66-48ff-813c-7860737073ca","block_type":"box","text":"governmental authorities, as applicable. Operational and technology risks for the issuers in which the Fund invests","page_number":99,"box":{"x":68,"y":513,"width":818,"height":12}},{"id":"bcf045b3-05f9-4c7a-9c8b-a6bee1ef29d2","block_type":"box","text":"could also result in material adverse consequences for such issuers and may cause the Fund’s investments in such","page_number":99,"box":{"x":69,"y":528,"width":827,"height":12}},{"id":"1f1cfe56-1f9f-49ea-ae20-b334f94e06a7","block_type":"box","text":"issuers to lose value. The Fund may incur substantial costs in order to mitigate operational and technology risks.","page_number":99,"box":{"x":70,"y":544,"width":803,"height":11}},{"id":"f3ce7713-31a3-481e-8121-de350755b4eb","block_type":"box","text":"Cybersecurity incidents can result from deliberate attacks or unintentional events against an issuer in which the","page_number":99,"box":{"x":102,"y":566,"width":796,"height":11}},{"id":"482ea219-c043-46c3-8b7f-863a8e8176d6","block_type":"box","text":"Fund invests, the Fund or any of its service providers. They include, but are not limited to, gaining unauthorized","page_number":99,"box":{"x":70,"y":581,"width":790,"height":12}},{"id":"2dadaa4e-c85c-4d33-bc50-dd9602fd6784","block_type":"box","text":"access to systems, misappropriating assets or sensitive information, corrupting or destroying data, and causing","page_number":99,"box":{"x":69,"y":596,"width":800,"height":12}},{"id":"5a2e9f1f-b5a4-465e-bb9b-021577ff52be","block_type":"box","text":"operational disruption. Geopolitical tension may increase the scale and sophistication of deliberate attacks,","page_number":99,"box":{"x":69,"y":612,"width":768,"height":11}},{"id":"663edb56-e730-4e81-813f-a9280308da1c","block_type":"box","text":"particularly those from nation states or from entities with nation state backing. Cybersecurity incidents may result in","page_number":99,"box":{"x":70,"y":627,"width":827,"height":11}},{"id":"5fb3eb59-c033-424a-a092-4f858ef3b40b","block_type":"box","text":"any of the following: financial losses; interference with the Fund’s ability to calculate its NAV; disclosure of","page_number":99,"box":{"x":69,"y":642,"width":760,"height":11}},{"id":"b2e98666-f32b-4150-b958-7ccfc7fd5d57","block_type":"box","text":"confidential information; impediments to trading; submission of erroneous trades by the Fund or erroneous","page_number":99,"box":{"x":69,"y":657,"width":763,"height":11}},{"id":"aa4f23d9-bb5e-441f-8fdf-f1a45a646725","block_type":"box","text":"subscription or redemption orders; the inability of the Fund or its service providers to transact business; violations of","page_number":99,"box":{"x":69,"y":672,"width":835,"height":11}},{"id":"fbe418d0-e434-4d3f-b60a-76508d3dd2e7","block_type":"box","text":"applicable privacy and other laws; regulatory fines; penalties; reputational damage; reimbursement or other","page_number":99,"box":{"x":69,"y":687,"width":766,"height":11}},{"id":"bdf09be4-574c-4ef4-8ddc-346eef487ec6","block_type":"box","text":"compensation costs; and other legal and compliance expenses. Furthermore, cybersecurity incidents may render","page_number":99,"box":{"x":69,"y":703,"width":804,"height":11}},{"id":"49ad5798-134b-4306-bc22-5500f8ebd0b0","block_type":"box","text":"records of the Fund, including records relating to its assets and transactions, shareholder ownership of Fund shares,","page_number":99,"box":{"x":69,"y":717,"width":833,"height":12}},{"id":"9183dc8d-e7c6-45e4-a8b3-53c4dbc8b108","block_type":"box","text":"and other data integral to the Fund’s functioning, inaccessible, inaccurate or incomplete. Power outages, natural","page_number":99,"box":{"x":69,"y":732,"width":800,"height":12}},{"id":"7f6dbe3f-56bf-433d-886c-521866f5c39d","block_type":"box","text":"disasters, equipment malfunctions and processing errors that threaten information and technology systems relied","page_number":99,"box":{"x":69,"y":748,"width":812,"height":11}},{"id":"c7570cd0-2f1c-4c76-b946-257c41de3831","block_type":"box","text":"upon by the Fund or its service providers, as well as market events that occur at a pace that overloads these","page_number":99,"box":{"x":69,"y":763,"width":777,"height":11}},{"id":"b35eba6b-37ea-4a01-a090-999d60701232","block_type":"box","text":"systems, may also disrupt business operations or impact critical data. Recent advances in AI technology pose risks","page_number":99,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"292ad2eb-56f5-4d29-9f11-99312819602b","block_type":"box","text":"to the Fund and its portfolio investments. These advancements could harm the Fund and its portfolio investments by","page_number":99,"box":{"x":68,"y":793,"width":836,"height":11}},{"id":"035c78e2-8e08-46c2-b87a-7b2c5293631b","block_type":"box","text":"reducing the demand for both the technology and software offerings of the Fund’s portfolio investments. Additionally,","page_number":99,"box":{"x":69,"y":808,"width":833,"height":11}},{"id":"784f4abd-6f8d-4ea2-8ed1-aea7eac366cf","block_type":"box","text":"these advancements could significantly disrupt the Fund’s portfolio investments and subject them to increased","page_number":99,"box":{"x":68,"y":823,"width":793,"height":12}},{"id":"beab7719-a1a4-4b07-ac34-9291ec5c2980","block_type":"box","text":"competition, which could have a material adverse effect on business, financial condition, and results of operations.","page_number":99,"box":{"x":69,"y":838,"width":822,"height":11}},{"id":"46f93f29-adb7-485f-945d-7dc06c1e0ddb","block_type":"box","text":"AI technology advancements, including efficiency improvements, without related increases in the adoption and","page_number":99,"box":{"x":68,"y":853,"width":787,"height":12}},{"id":"06e717c0-058d-4ef2-ad29-641850a7c9d3","block_type":"box","text":"development of such technologies, could also negatively impact demand for, and the valuation of, digital","page_number":99,"box":{"x":69,"y":869,"width":742,"height":11}},{"id":"2d7ebf59-98f8-4a0a-ac68-742bff6c89b3","block_type":"box","text":"infrastructure assets.","page_number":99,"box":{"x":70,"y":884,"width":151,"height":9}},{"id":"276c8d1f-4cad-4e72-aa13-3faef40dbca2","block_type":"box","text":"II-63","page_number":99,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7f46e705-b373-49d9-9620-8d78d0ebf587","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":99,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"41c20048-0c2e-4e9d-ad3c-00de9963f589","block_type":"box","text":"The Fund and its portfolio investments could be exposed to the risks of AI technology if third-party service","page_number":100,"box":{"x":101,"y":45,"width":755,"height":11}},{"id":"02a0f7b0-c364-4103-b0d9-09c15ac9f1b1","block_type":"box","text":"providers or any counterparties, whether or not known to the Fund, also use AI technology in their business activities.","page_number":100,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"aef2bb79-5686-4841-9dd4-e9b25e2d333d","block_type":"box","text":"The Fund and its service providers may not be in a position to control the use of AI technology in third-party products","page_number":100,"box":{"x":68,"y":75,"width":833,"height":11}},{"id":"99811096-15f2-4153-8434-a06b2dba8e4d","block_type":"box","text":"or services.","page_number":100,"box":{"x":69,"y":90,"width":82,"height":9}},{"id":"15c336d1-5438-4e69-8f71-50b51aae13bc","block_type":"box","text":"Use of AI technology could include the input of confidential information in contravention of applicable policies,","page_number":100,"box":{"x":102,"y":113,"width":781,"height":11}},{"id":"e5c09087-2128-4dcd-9896-0d1c764cdc69","block_type":"box","text":"contractual or other obligations or restrictions, resulting in such confidential information becoming accessible by","page_number":100,"box":{"x":69,"y":128,"width":801,"height":11}},{"id":"afe71bc5-2570-419d-a6a7-9f780f6faaf1","block_type":"box","text":"other third-party AI technology applications and users.","page_number":100,"box":{"x":69,"y":143,"width":383,"height":11}},{"id":"054097d2-0c4f-4fc2-851b-64df4746eab5","block_type":"box","text":"Independent of its context of use, AI technology is generally highly reliant on the collection and analysis of large","page_number":100,"box":{"x":102,"y":166,"width":795,"height":11}},{"id":"ad0c6d6b-37cd-4913-b227-f329c301fa3f","block_type":"box","text":"amounts of data, may incorporate biased or inaccurate data, and it is not possible or practicable to incorporate all","page_number":100,"box":{"x":69,"y":181,"width":813,"height":11}},{"id":"e8c83b11-2b4c-452d-9448-eeceba1a3dc1","block_type":"box","text":"relevant data into the models that AI technology utilizes to operate. Certain data in such models will inevitably","page_number":100,"box":{"x":69,"y":196,"width":785,"height":11}},{"id":"e24f8715-aa87-4a89-bc53-72ccb8586379","block_type":"box","text":"contain a degree of inaccuracy and error, or could otherwise be inadequate or flawed, which would be likely to","page_number":100,"box":{"x":69,"y":211,"width":782,"height":11}},{"id":"2461b859-5751-44f0-b39a-4fbe0fba0cc8","block_type":"box","text":"degrade the effectiveness of AI technology. The output or results of any such AI technologies may therefore be","page_number":100,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"f87089af-067e-4e2c-a4bc-4dfae26c291c","block_type":"box","text":"incomplete, erroneous, distorted, or misleading. Further, AI tools may lack transparency as to how data is utilized","page_number":100,"box":{"x":70,"y":241,"width":809,"height":11}},{"id":"108ee1c4-7446-488c-bebf-afc0674146de","block_type":"box","text":"and how outputs are generated. AI technologies may also allow the unintended introduction of vulnerabilities into","page_number":100,"box":{"x":69,"y":256,"width":805,"height":12}},{"id":"d6c9f24e-d38f-456a-96f1-5272e8c29d38","block_type":"box","text":"infrastructures and applications. To the extent that the Fund or its portfolio investments are exposed to the risks of","page_number":100,"box":{"x":70,"y":271,"width":822,"height":11}},{"id":"791fd767-0aa8-4cff-9cd1-55b4d2cd7e01","block_type":"box","text":"AI technology use, any such inaccuracies or errors could have adverse impacts on the Fund or its investments.","page_number":100,"box":{"x":68,"y":287,"width":789,"height":11}},{"id":"1294e18c-cb94-4b54-9150-e23a63c48640","block_type":"box","text":"Regulations related to AI technology could also impose certain obligations and costs related to monitoring and","page_number":100,"box":{"x":102,"y":309,"width":786,"height":11}},{"id":"7d4ce9e1-6d70-4c2f-a22e-b395dc6f0c34","block_type":"box","text":"compliance. For example, in April 2023, the Federal Trade Commission, U.S. Department of Justice, Consumer","page_number":100,"box":{"x":69,"y":324,"width":791,"height":11}},{"id":"bcc4bb58-3c37-435c-8909-8280e3ee1419","block_type":"box","text":"Financial Protection Bureau, and U.S. Equal Employment Opportunity Commission released a joint statement on","page_number":100,"box":{"x":70,"y":340,"width":796,"height":11}},{"id":"22cb8aa9-07d9-4a13-89d6-4628a5a4f783","block_type":"box","text":"artificial intelligence demonstrating interest in monitoring the development and use of automated systems and","page_number":100,"box":{"x":69,"y":355,"width":788,"height":11}},{"id":"43f8785b-2de1-4744-9b35-41f780987f57","block_type":"box","text":"enforcement of their respective laws and regulations. In October 2023, an executive order established new standards","page_number":100,"box":{"x":69,"y":370,"width":839,"height":11}},{"id":"31e6eab2-317f-40b0-87b2-f6a07783b24b","block_type":"box","text":"for AI safety and security. In addition to the U.S. regulatory framework, in 2024, the EU adopted the Artificial","page_number":100,"box":{"x":68,"y":385,"width":773,"height":11}},{"id":"60455adc-953a-4220-8758-20738e1d5148","block_type":"box","text":"Intelligence Act, which applies to certain AI technology and the data used to train, test, and deploy them, which may","page_number":100,"box":{"x":70,"y":400,"width":826,"height":11}},{"id":"06f70f18-18b2-4c8e-89f3-8df1e9a549be","block_type":"box","text":"create additional compliance burdens, higher administrative costs, and significant penalties should the Fund, the","page_number":100,"box":{"x":69,"y":415,"width":805,"height":11}},{"id":"aa908935-3102-4528-9177-0f7b64328c5c","block_type":"box","text":"adviser, or the Fund’s portfolio investments fail to comply.","page_number":100,"box":{"x":69,"y":430,"width":412,"height":11}},{"id":"de0524c7-4183-45cd-b61e-6aeb8bc83a67","block_type":"box","text":"AI technology and its applications, including in the investment and financial sectors, continue to develop rapidly,","page_number":100,"box":{"x":101,"y":453,"width":797,"height":11}},{"id":"5aa392e8-2ef2-4a47-ba83-d06db0d1e9f6","block_type":"box","text":"and it is impossible to predict the future risks that may arise from such developments. The full extent of current or","page_number":100,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"fa7c0430-7e34-43f1-9efb-c9f9d15d77b9","block_type":"box","text":"future risks related thereto is not possible to predict, and the Fund may not be able to anticipate, prevent, mitigate,","page_number":100,"box":{"x":68,"y":483,"width":824,"height":11}},{"id":"2c3864c7-2aa6-4116-91bb-f25d263ef9dd","block_type":"box","text":"or remediate all of the potential risks, challenges, or impacts of such changes.","page_number":100,"box":{"x":69,"y":498,"width":561,"height":11}},{"id":"784e20cd-d0f2-41e4-b9bc-9313fed40101","block_type":"box","text":"While the Fund’s service providers are required to have appropriate operational, information security and","page_number":100,"box":{"x":101,"y":521,"width":747,"height":11}},{"id":"055a4753-5034-48ff-95b7-a1b671366342","block_type":"box","text":"cybersecurity risk management policies and procedures, their methods of risk management may differ from those of","page_number":100,"box":{"x":69,"y":536,"width":830,"height":11}},{"id":"98f32e16-ae52-4acb-b062-6740fd825e3c","block_type":"box","text":"the Fund in the setting of priorities, the personnel and resources available or the effectiveness of relevant controls.","page_number":100,"box":{"x":68,"y":551,"width":823,"height":11}},{"id":"0ecc7060-5f5f-407a-a8d6-8c72df664a92","block_type":"box","text":"The Fund and its adviser seek to reduce these risks through controls, procedures and oversight, including","page_number":100,"box":{"x":68,"y":566,"width":755,"height":11}},{"id":"dffacf95-2a4d-45b6-b13a-29f3cec071ff","block_type":"box","text":"establishing business continuity plans and risk management systems. However, there are inherent limitations in such","page_number":100,"box":{"x":69,"y":582,"width":838,"height":11}},{"id":"0517b9aa-b97a-47da-9fd2-7b60e62d9db4","block_type":"box","text":"plans and systems, including the possibility that certain risks that may affect the Fund have not been identified or","page_number":100,"box":{"x":70,"y":596,"width":812,"height":12}},{"id":"69365fca-9f8a-4cfe-bc43-0d4f665aeafd","block_type":"box","text":"may emerge in the future; that such plans and systems may not completely eliminate the occurrence or mitigate the","page_number":100,"box":{"x":69,"y":612,"width":828,"height":11}},{"id":"75611fd2-32c3-4721-aa97-a6c5a29a3dd7","block_type":"box","text":"effects of operational or information security disruptions or failures or of cybersecurity incidents; or that prevention","page_number":100,"box":{"x":69,"y":627,"width":819,"height":11}},{"id":"4a5f5c96-9fd0-4073-9b6f-952885457f9b","block_type":"box","text":"and remediation efforts will not be successful or that incidents will go undetected. The Fund cannot control the","page_number":100,"box":{"x":69,"y":642,"width":792,"height":11}},{"id":"ba67e8bd-276e-4af7-b275-d347f5eaa24b","block_type":"box","text":"systems, information security or other cybersecurity of the issuers in which it invests or its service providers,","page_number":100,"box":{"x":69,"y":657,"width":775,"height":11}},{"id":"6023cfce-6a2d-4a5d-9720-6cf9dd9046e9","block_type":"box","text":"counterparties, and other third parties whose activities affect the Fund.","page_number":100,"box":{"x":69,"y":672,"width":510,"height":11}},{"id":"d1ea811c-4340-417e-a31d-715480deb7f2","block_type":"box","text":"Lastly, the regulatory climate governing cybersecurity and data protection is developing quickly and may vary","page_number":100,"box":{"x":102,"y":695,"width":771,"height":11}},{"id":"d13c6429-0a51-4f88-a426-c17a4b9b9670","block_type":"box","text":"considerably across jurisdictions. Regulators continue to develop new rules and standards related to cybersecurity","page_number":100,"box":{"x":69,"y":710,"width":816,"height":11}},{"id":"684d8b50-e2b4-4be1-8b58-901030e1355e","block_type":"box","text":"and data protection. Compliance with evolving regulations can be demanding and costly, requiring substantial","page_number":100,"box":{"x":69,"y":725,"width":778,"height":11}},{"id":"bb9c4f0f-9718-49c4-9747-06e26b384569","block_type":"box","text":"resources to monitor and implement required changes.","page_number":100,"box":{"x":69,"y":740,"width":391,"height":11}},{"id":"69b34939-25cc-4d42-8f0b-e8fe33b764b8","block_type":"box","text":"Participation Notes.","page_number":100,"box":{"x":102,"y":763,"width":145,"height":11}},{"id":"e30aa805-7f68-4b85-bb8d-c9cb448bd851","block_type":"box","text":"A Fund may buy participation notes from a bank or broker-dealer (“issuer”) that entitle the","page_number":100,"box":{"x":253,"y":763,"width":641,"height":11}},{"id":"919b66c7-5643-45a9-91d3-1becbae204c9","block_type":"box","text":"Fund to a return measured by the change in value of an identified underlying security or basket of securities","page_number":100,"box":{"x":70,"y":778,"width":766,"height":11}},{"id":"4e57c2f0-952e-43f0-b258-1f0bf73f8447","block_type":"box","text":"(collectively, the “underlying security”). Participation notes are typically used when a direct investment in the","page_number":100,"box":{"x":69,"y":793,"width":772,"height":11}},{"id":"86f8e75c-1536-4676-9ee0-67975a4a2af1","block_type":"box","text":"underlying security is restricted due to country-specific regulations.","page_number":100,"box":{"x":69,"y":808,"width":475,"height":11}},{"id":"11cf1b41-12fa-45a4-9ac7-00bb3a001542","block_type":"box","text":"The Fund is subject to counterparty risk associated with each issuer. Investment in a participation note is not","page_number":100,"box":{"x":101,"y":831,"width":782,"height":11}},{"id":"7526959c-f5d3-4c0d-8fdb-7821fef5ce3a","block_type":"box","text":"the same as investment in the constituent shares of the company. A participation note represents only an obligation","page_number":100,"box":{"x":68,"y":846,"width":831,"height":11}},{"id":"3716e54d-97a5-4654-908e-d8e8929d8896","block_type":"box","text":"of the issuer to provide the Fund the economic performance equivalent to holding shares of an underlying security. A","page_number":100,"box":{"x":69,"y":861,"width":831,"height":11}},{"id":"d92d97a2-1c01-44b1-a162-b16d4fed145b","block_type":"box","text":"participation note does not provide any beneficial or equitable entitlement or interest in the relevant underlying","page_number":100,"box":{"x":70,"y":876,"width":789,"height":11}},{"id":"8d9ac2f9-2005-4be8-80b6-d15ad192d5f3","block_type":"box","text":"security. In other words, shares of the underlying security are not in any way owned by the Fund. However, each","page_number":100,"box":{"x":69,"y":891,"width":791,"height":12}},{"id":"e29caf7f-7826-40eb-b956-cb7fc1f301a9","block_type":"box","text":"participation note synthetically replicates the economic benefit of holding shares in the underlying security. Because","page_number":100,"box":{"x":70,"y":906,"width":827,"height":12}},{"id":"efe695d9-b6f0-4eee-9e73-70bcac9a2040","block_type":"box","text":"II-64","page_number":100,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"022b7084-09fb-449c-877a-ea27e88b0a67","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":100,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1983c394-b12c-4f49-8241-4553137325f6","block_type":"box","text":"a participation note is an obligation of the issuer, rather than a direct investment in shares of the underlying security,","page_number":101,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"6ec5ee3d-4a50-4b75-909e-f294fbcfd030","block_type":"box","text":"a Fund may suffer losses potentially equal to the full value of the participation note if the issuer fails to perform its","page_number":101,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"ef24ae60-27a1-47aa-9898-312a220667a4","block_type":"box","text":"obligations. A Fund attempts to mitigate that risk by purchasing only from issuers determined to be creditworthy.","page_number":101,"box":{"x":69,"y":75,"width":801,"height":11}},{"id":"4e43c193-e721-4289-b5fc-e1f085bdc3ff","block_type":"box","text":"The counterparty may, but is not required to, purchase the shares of the underlying security to hedge its","page_number":101,"box":{"x":101,"y":98,"width":743,"height":11}},{"id":"95f39cec-6f06-4b4b-aa03-91b37403274e","block_type":"box","text":"obligation. A Fund may, but is not required to, purchase credit protection against the default of the issuer. When the","page_number":101,"box":{"x":69,"y":113,"width":826,"height":11}},{"id":"61cfc2de-34b6-497a-b727-f5b42e17cd11","block_type":"box","text":"participation note expires or a Fund exercises the participation note and closes its position, the Fund receives a","page_number":101,"box":{"x":70,"y":128,"width":799,"height":11}},{"id":"5e42ca92-2b9f-4bdb-81cc-9caa0fa8f2d5","block_type":"box","text":"payment that is based upon the then-current value of the underlying security converted into U.S. dollars (less","page_number":101,"box":{"x":70,"y":143,"width":776,"height":11}},{"id":"aae9f7ff-745e-4a3b-9f48-be9803a846fb","block_type":"box","text":"transaction costs). The price, performance and liquidity of a participation note are all linked directly to the underlying","page_number":101,"box":{"x":68,"y":158,"width":834,"height":11}},{"id":"efc64316-49a7-4611-b107-63921fe44710","block_type":"box","text":"security. A Fund’s ability to redeem or exercise a participation note generally is dependent on the liquidity in the local","page_number":101,"box":{"x":69,"y":173,"width":834,"height":11}},{"id":"92a857c4-dccc-4727-8cb1-b18bca063465","block_type":"box","text":"trading market for the security underlying the participation note.","page_number":101,"box":{"x":68,"y":188,"width":454,"height":12}},{"id":"6d7b0dcd-ec38-42b7-b38b-30aeaa6d765c","block_type":"box","text":"Portfolio Turnover Rates.","page_number":101,"box":{"x":102,"y":211,"width":181,"height":9}},{"id":"3be966db-982b-4a5a-b55e-bbb7094c844a","block_type":"box","text":"A Fund’s annual portfolio turnover rate will not be a factor preventing a sale or","page_number":101,"box":{"x":289,"y":211,"width":558,"height":11}},{"id":"322029ba-38bc-4a09-80fb-67660a0f754f","block_type":"box","text":"purchase when the Manager believes investment considerations warrant such sale or purchase. Although certain","page_number":101,"box":{"x":70,"y":226,"width":804,"height":11}},{"id":"259e4d94-2792-4b82-8658-25ef3ff7bb68","block_type":"box","text":"Funds will use an approach to investing that is largely a passive, indexing approach, such Funds may engage in a","page_number":101,"box":{"x":70,"y":241,"width":806,"height":11}},{"id":"c4949442-d4b2-43ae-8fe0-d066ebf44bcd","block_type":"box","text":"substantial number of portfolio transactions. With respect to these Funds, the rate of portfolio turnover will be a","page_number":101,"box":{"x":69,"y":256,"width":800,"height":11}},{"id":"23e07b52-a603-4c0b-963b-80a64bb9f896","block_type":"box","text":"limiting factor when the Manager considers whether to purchase or sell securities for a Fund only to the extent that","page_number":101,"box":{"x":70,"y":271,"width":818,"height":12}},{"id":"a670cfa7-5129-4396-8d16-7b649a943393","block_type":"box","text":"the Manager will consider the impact of transaction costs on a Fund’s tracking error. Portfolio turnover may vary","page_number":101,"box":{"x":68,"y":286,"width":800,"height":12}},{"id":"73511952-d8b1-422c-b101-2af82fdff87f","block_type":"box","text":"greatly from year to year as well as within a particular year. High portfolio turnover (","page_number":101,"box":{"x":68,"y":302,"width":595,"height":11}},{"id":"a48da944-1eb5-47d5-a19e-6c7e4aad17b4","block_type":"box","text":"i.e.","page_number":101,"box":{"x":665,"y":302,"width":20,"height":9}},{"id":"07464ce8-55c7-4362-b238-6634c089d6ef","block_type":"box","text":", 100% or more) may result in","page_number":101,"box":{"x":687,"y":302,"width":210,"height":11}},{"id":"23b1c948-cae9-4ec2-9fa8-58c83df6928a","block_type":"box","text":"increased transaction costs to a Fund, including brokerage commissions, dealer mark-ups and other transaction","page_number":101,"box":{"x":70,"y":317,"width":797,"height":11}},{"id":"b9f1c9ed-8954-4d4c-9436-75cd52b1ceeb","block_type":"box","text":"costs on the sale of the securities and reinvestment in other securities. The sale of a Fund’s securities may result in","page_number":101,"box":{"x":69,"y":332,"width":832,"height":11}},{"id":"7f124349-a36f-4ef3-9cd3-3a4693f611e9","block_type":"box","text":"the recognition of capital gain or loss. Given the frequency of sales, such gain or loss will likely be short-term capital","page_number":101,"box":{"x":68,"y":347,"width":831,"height":11}},{"id":"37522eac-8969-4a24-87dc-97b964ec8255","block_type":"box","text":"gain or loss. These effects of higher than normal portfolio turnover may adversely affect a Fund’s performance.","page_number":101,"box":{"x":68,"y":362,"width":795,"height":11}},{"id":"a46582c0-06bf-4053-9b53-ae03ee7c2c85","block_type":"box","text":"Preferred Stock.","page_number":101,"box":{"x":102,"y":385,"width":118,"height":9}},{"id":"b1c15570-f152-4f99-bc55-4b1af20bfb15","block_type":"box","text":"Certain Funds may invest in preferred stocks. Preferred stock has a preference over common","page_number":101,"box":{"x":226,"y":385,"width":665,"height":11}},{"id":"f549ba2c-ef35-48b4-b400-bd70db09f80a","block_type":"box","text":"stock in liquidation (and generally dividends as well) but is subordinated to bond holders and other creditors in all","page_number":101,"box":{"x":69,"y":400,"width":808,"height":11}},{"id":"e201464f-561d-4f7e-bbb0-6e789076ad25","block_type":"box","text":"respects. As a general rule, the market value of preferred stock with a fixed dividend rate and no conversion element","page_number":101,"box":{"x":69,"y":415,"width":834,"height":11}},{"id":"a6d8c651-8683-46fc-8ff4-7450ddc8a3f7","block_type":"box","text":"varies inversely with interest rates and perceived credit risk, while the market price of convertible preferred stock","page_number":101,"box":{"x":68,"y":430,"width":808,"height":11}},{"id":"afe2602d-9a0a-41f0-a34f-2c039734560b","block_type":"box","text":"generally also reflects some element of conversion value. Because preferred stock is junior to debt securities and","page_number":101,"box":{"x":68,"y":445,"width":813,"height":12}},{"id":"31a496a6-9e14-4c19-8661-9eccf0c0eaf9","block_type":"box","text":"other obligations of the issuer, deterioration in the credit quality of the issuer will cause greater changes in the value","page_number":101,"box":{"x":69,"y":460,"width":831,"height":12}},{"id":"d641682f-f764-4573-8a12-8ef901101859","block_type":"box","text":"of a preferred stock than in a more senior debt security with similar stated yield characteristics. Unlike interest","page_number":101,"box":{"x":69,"y":475,"width":791,"height":12}},{"id":"351ed415-61a2-49d9-9eaa-46f26dc8d732","block_type":"box","text":"payments on debt securities, preferred stock dividends are payable only if declared by the issuer’s board of directors.","page_number":101,"box":{"x":70,"y":491,"width":838,"height":11}},{"id":"c5780260-8a79-44ba-9c63-c248a0a9cbfb","block_type":"box","text":"Preferred stock also may be subject to optional or mandatory redemption provisions.","page_number":101,"box":{"x":69,"y":506,"width":604,"height":11}},{"id":"0cae3ef0-892b-4f77-ac74-e4ee17c6e405","block_type":"box","text":"Tax-Exempt Preferred Shares.","page_number":101,"box":{"x":103,"y":528,"width":207,"height":11}},{"id":"a1560fef-f1ba-4aa3-b355-d192d1a38a06","block_type":"box","text":"Certain Funds may invest in preferred interests of other investment funds that pay","page_number":101,"box":{"x":316,"y":528,"width":588,"height":12}},{"id":"160ece92-323e-4bb3-bd73-0378f42c1c4a","block_type":"box","text":"dividends that are exempt from regular U.S. federal income tax. Such funds in turn invest in municipal bonds and","page_number":101,"box":{"x":69,"y":543,"width":806,"height":12}},{"id":"a10eb638-558e-498f-b4cd-c46688388563","block_type":"box","text":"other assets that pay interest or make distributions that are exempt from regular U.S. federal income tax, such as","page_number":101,"box":{"x":69,"y":559,"width":814,"height":11}},{"id":"0a9d8210-5097-4255-b35c-cbd4c2b6de60","block_type":"box","text":"revenue bonds issued by state or local agencies to fund the development of low-income, multi-family housing.","page_number":101,"box":{"x":69,"y":574,"width":780,"height":11}},{"id":"0974c6b9-fc7e-420c-863c-fa8ca466384f","block_type":"box","text":"Investment in such tax-exempt preferred shares involves many of the same issues as investing in other investment","page_number":101,"box":{"x":70,"y":589,"width":820,"height":11}},{"id":"87642bd7-15fe-4d85-bc8e-4c79d9af64bd","block_type":"box","text":"companies. These investments also have additional risks, including illiquid investments risk, the absence of","page_number":101,"box":{"x":69,"y":604,"width":772,"height":11}},{"id":"b5d728d1-52de-4d49-b943-5a13063fffa9","block_type":"box","text":"regulation governing investment practices, capital structure and leverage, affiliated transactions and other matters,","page_number":101,"box":{"x":69,"y":619,"width":821,"height":11}},{"id":"661d727e-4c70-456f-bf38-7c517d4f60c4","block_type":"box","text":"and concentration of investments in particular issuers or industries. The Municipal Bond Funds will treat investments","page_number":101,"box":{"x":69,"y":634,"width":834,"height":11}},{"id":"22845eb5-55ec-4146-81cd-1d484575c8ad","block_type":"box","text":"in tax-exempt preferred shares as investments in municipal bonds.","page_number":101,"box":{"x":70,"y":649,"width":474,"height":11}},{"id":"8d8a7dbc-dac4-4164-b86e-97e211451b50","block_type":"box","text":"Trust Preferred Securities.","page_number":101,"box":{"x":103,"y":672,"width":184,"height":9}},{"id":"69c12650-9e43-41ae-bc50-d255782574ee","block_type":"box","text":"Certain Funds may invest in trust preferred securities. Trust preferred securities are","page_number":101,"box":{"x":294,"y":672,"width":599,"height":11}},{"id":"530638fb-0e6b-4a4e-9843-81a16760da0c","block_type":"box","text":"typically issued by corporations, generally in the form of interest bearing notes with preferred securities","page_number":101,"box":{"x":68,"y":687,"width":737,"height":11}},{"id":"6e2af04c-3738-4975-9c52-bac666d2c162","block_type":"box","text":"characteristics, or by an affiliated business trust of a corporation, generally in the form of beneficial interests in","page_number":101,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"4e7e042c-9b92-44c1-acfd-2227420d88aa","block_type":"box","text":"subordinated debentures or similarly structured securities. The trust preferred securities market consists of both","page_number":101,"box":{"x":69,"y":717,"width":805,"height":12}},{"id":"682f6168-aa0a-452b-b235-108434caf501","block_type":"box","text":"fixed and adjustable coupon rate securities that are either perpetual in nature or have stated maturity dates.","page_number":101,"box":{"x":68,"y":732,"width":773,"height":12}},{"id":"98581856-8005-4332-b312-aa83dd49fd3d","block_type":"box","text":"Trust preferred securities are typically junior and fully subordinated liabilities of an issuer and benefit from a","page_number":101,"box":{"x":101,"y":755,"width":770,"height":11}},{"id":"51f8b518-0b44-4758-9b01-6b1b131bce51","block_type":"box","text":"guarantee that is junior and fully subordinated to the other liabilities of the guarantor. In addition, trust preferred","page_number":101,"box":{"x":68,"y":770,"width":801,"height":12}},{"id":"d9147244-aba5-4496-bf8b-0f9df4d15f54","block_type":"box","text":"securities typically permit an issuer to defer the payment of income for five years or more without triggering an event","page_number":101,"box":{"x":69,"y":785,"width":830,"height":12}},{"id":"bf52be07-8cff-461e-a50b-053eb23c34a9","block_type":"box","text":"of default. Because of their subordinated position in the capital structure of an issuer, the ability to defer payments","page_number":101,"box":{"x":69,"y":801,"width":822,"height":11}},{"id":"6c4f6d7b-7357-4c19-9cd4-fd63a44e6611","block_type":"box","text":"for extended periods of time without default consequences to the issuer, and certain other features (such as","page_number":101,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"db39eeba-c39a-4b95-a90e-c45f46383549","block_type":"box","text":"restrictions on common dividend payments by the issuer or ultimate guarantor when full cumulative payments on the","page_number":101,"box":{"x":69,"y":831,"width":831,"height":11}},{"id":"8a06c990-41b8-49f0-a665-0db35cecdb1a","block_type":"box","text":"trust preferred securities have not been made), these trust preferred securities are often treated as close","page_number":101,"box":{"x":68,"y":846,"width":757,"height":11}},{"id":"66f7862b-2e5a-4083-b23e-89714e89944a","block_type":"box","text":"substitutes for traditional preferred securities, both by issuers and investors.","page_number":101,"box":{"x":69,"y":861,"width":548,"height":11}},{"id":"180e4270-30f8-4039-a6c3-680e18ee240f","block_type":"box","text":"Trust preferred securities include but are not limited to trust originated preferred securities (“TOPRS","page_number":101,"box":{"x":101,"y":884,"width":715,"height":11}},{"id":"100cc9c5-0032-4945-a0d0-2c9ee80af565","block_type":"box","text":"®","page_number":101,"box":{"x":817,"y":884,"width":5,"height":5}},{"id":"e59fb267-ee0e-49a0-89c9-82d1002b99ab","block_type":"box","text":"”); monthly","page_number":101,"box":{"x":824,"y":884,"width":77,"height":11}},{"id":"290cde0c-1d65-40d5-9439-a6055ea6e694","block_type":"box","text":"income preferred securities (“MIPS","page_number":101,"box":{"x":70,"y":899,"width":248,"height":11}},{"id":"1506efc0-c213-4c60-b1bc-44b4805f21e3","block_type":"box","text":"®","page_number":101,"box":{"x":319,"y":899,"width":6,"height":5}},{"id":"91b76234-7237-40cb-8c9e-9d1aa4e27b07","block_type":"box","text":"”); quarterly income bond securities (“QUIBS","page_number":101,"box":{"x":326,"y":899,"width":317,"height":11}},{"id":"5501942a-8b46-4f98-8519-c9dd1505a8df","block_type":"box","text":"®","page_number":101,"box":{"x":644,"y":899,"width":6,"height":5}},{"id":"c8e1d2f2-7266-4701-83b2-7bc9e17e7f9b","block_type":"box","text":"” ); quarterly income debt securities","page_number":101,"box":{"x":652,"y":899,"width":255,"height":11}},{"id":"7f36294f-d314-4a25-bc34-a118ad32a2d6","block_type":"box","text":"II-65","page_number":101,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a7113e61-1984-4f12-9afb-1763a0bb8f9a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":101,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"24c66d04-57ba-4896-8d7b-c32e596aff96","block_type":"box","text":"(“QUIDS","page_number":102,"box":{"x":69,"y":45,"width":57,"height":11}},{"id":"7bfaa9e0-1a31-4cd4-870e-e0ec30047a0b","block_type":"box","text":"®","page_number":102,"box":{"x":127,"y":45,"width":6,"height":4}},{"id":"b3aa2f24-6fd7-43f0-ae25-da4dfe702635","block_type":"box","text":"”); quarterly income preferred securities (“QUIPS","page_number":102,"box":{"x":135,"y":45,"width":346,"height":11}},{"id":"6dc947ea-1a20-4fbc-af89-f010ea17f4e2","block_type":"box","text":"SM","page_number":102,"box":{"x":482,"y":45,"width":11,"height":4}},{"id":"0fc1abc0-884c-4b96-bbf2-e0f153837c21","block_type":"box","text":"”); corporate trust securities (“CORTS","page_number":102,"box":{"x":495,"y":45,"width":267,"height":11}},{"id":"6a131a2b-36f3-448a-86df-b72a15b076ed","block_type":"box","text":"®","page_number":102,"box":{"x":762,"y":45,"width":6,"height":4}},{"id":"702c949f-7569-4109-91de-fee79e700db0","block_type":"box","text":"”); public income","page_number":102,"box":{"x":770,"y":45,"width":118,"height":11}},{"id":"b4708058-acca-416c-bf87-a63cc3af9232","block_type":"box","text":"notes (“PINES","page_number":102,"box":{"x":69,"y":60,"width":99,"height":11}},{"id":"fc5bd05d-1ec5-4645-ba4f-e2a1e3d4fa79","block_type":"box","text":"®","page_number":102,"box":{"x":169,"y":60,"width":6,"height":5}},{"id":"df1f4493-b5b4-4abb-9a7c-2b8dc42aba57","block_type":"box","text":"”); and other trust preferred securities.","page_number":102,"box":{"x":177,"y":60,"width":275,"height":11}},{"id":"8c168efc-94ae-46ff-832a-f38d29cc2b95","block_type":"box","text":"Trust preferred securities are typically issued with a final maturity date, although some are perpetual in nature.","page_number":102,"box":{"x":101,"y":82,"width":790,"height":12}},{"id":"b32e28cf-538b-492e-b005-3b6aa9dcd075","block_type":"box","text":"In certain instances, a final maturity date may be extended and/or the final payment of principal may be deferred at","page_number":102,"box":{"x":70,"y":98,"width":825,"height":11}},{"id":"52aeaee8-9fb0-43a4-b317-184c37d198db","block_type":"box","text":"the issuer’s option for a specified time without default. No redemption can typically take place unless all cumulative","page_number":102,"box":{"x":68,"y":113,"width":827,"height":11}},{"id":"ca9c957c-5d10-44df-b384-6cdcbc28e2a2","block_type":"box","text":"payment obligations have been met, although issuers may be able to engage in open-market repurchases without","page_number":102,"box":{"x":70,"y":128,"width":808,"height":11}},{"id":"a13f89c0-b647-4184-802a-bca030848612","block_type":"box","text":"regard to whether all payments have been paid.","page_number":102,"box":{"x":69,"y":143,"width":338,"height":11}},{"id":"a49dd980-f2f8-47ba-ac39-608cd946466f","block_type":"box","text":"Many trust preferred securities are issued by trusts or other special purpose entities established by operating","page_number":102,"box":{"x":102,"y":166,"width":784,"height":11}},{"id":"77d36ea0-2285-41f2-aa60-209bdff14ce7","block_type":"box","text":"companies and are not a direct obligation of an operating company. At the time the trust or special purpose entity","page_number":102,"box":{"x":69,"y":181,"width":811,"height":11}},{"id":"9fe8ddf9-c1db-4155-9f04-7c711c363dd4","block_type":"box","text":"sells such preferred securities to investors, it purchases debt of the operating company (with terms comparable to","page_number":102,"box":{"x":69,"y":196,"width":817,"height":11}},{"id":"0835721b-efd9-478a-895b-7dc783b98239","block_type":"box","text":"those of the trust or special purpose entity securities), which enables the operating company to deduct for tax","page_number":102,"box":{"x":68,"y":211,"width":785,"height":11}},{"id":"b3f54a59-111f-4a4d-9fa2-ee2a10a1bd1c","block_type":"box","text":"purposes the interest paid on the debt held by the trust or special purpose entity. The trust or special purpose entity","page_number":102,"box":{"x":70,"y":226,"width":830,"height":11}},{"id":"eca4e70d-5708-4295-8f7e-be8ae84af6ec","block_type":"box","text":"is generally required to be treated as transparent for U.S. federal income tax purposes such that the holders of the","page_number":102,"box":{"x":70,"y":241,"width":819,"height":11}},{"id":"fc45c6ab-4c7d-4e0b-9f33-9684fe141704","block_type":"box","text":"trust preferred securities are treated as owning beneficial interests in the underlying debt of the operating company.","page_number":102,"box":{"x":68,"y":256,"width":827,"height":12}},{"id":"eb93447b-9796-4087-913e-27c22dae6b73","block_type":"box","text":"Accordingly, payments on the trust preferred securities are treated as interest rather than dividends for U.S. federal","page_number":102,"box":{"x":68,"y":271,"width":824,"height":12}},{"id":"fe5020b4-dee0-4428-9935-2ad8448697df","block_type":"box","text":"income tax purposes. The trust or special purpose entity in turn would be a holder of the operating company’s debt","page_number":102,"box":{"x":70,"y":286,"width":819,"height":12}},{"id":"b2790ebc-4656-47c0-87b1-31ffc4323ae0","block_type":"box","text":"and would have priority with respect to the operating company’s earnings and profits over the operating company’s","page_number":102,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"acff81be-84fc-4578-9d89-e629cc515e59","block_type":"box","text":"common shareholders, but would typically be subordinated to other classes of the operating company’s debt.","page_number":102,"box":{"x":69,"y":317,"width":778,"height":11}},{"id":"4a2112cf-badd-4e92-9c1d-91d78f48f161","block_type":"box","text":"Typically a preferred share has a rating that is slightly below that of its corresponding operating company’s senior","page_number":102,"box":{"x":68,"y":332,"width":811,"height":11}},{"id":"da813b9d-6bbf-4940-a09b-0a77e6b41764","block_type":"box","text":"debt securities.","page_number":102,"box":{"x":69,"y":347,"width":109,"height":9}},{"id":"c41f22e2-12be-4b44-8b10-9f2a76ca30ef","block_type":"box","text":"Real Estate Investment Trusts (“REITs”).","page_number":102,"box":{"x":102,"y":370,"width":300,"height":11}},{"id":"5b775270-641a-4ecc-92e8-062668719e1c","block_type":"box","text":"In pursuing its investment strategy, a Fund may invest in shares of","page_number":102,"box":{"x":409,"y":370,"width":473,"height":11}},{"id":"f322d552-c8ef-463f-9d7f-50ca40809a3c","block_type":"box","text":"REITs. REITs possess certain risks which differ from an investment in common stocks. REITs are financial vehicles","page_number":102,"box":{"x":70,"y":385,"width":814,"height":11}},{"id":"c8683758-0fd6-4db5-ad40-1e94ae4e1510","block_type":"box","text":"that pool investor’s capital to purchase or finance real estate. REITs may concentrate their investments in specific","page_number":102,"box":{"x":68,"y":400,"width":814,"height":11}},{"id":"dc4df247-6a79-448d-86d7-47f4c26ac78f","block_type":"box","text":"geographic areas or in specific property types,","page_number":102,"box":{"x":68,"y":415,"width":329,"height":11}},{"id":"02edf818-70f5-4bac-a1b3-438895a0511a","block_type":"box","text":"i.e.","page_number":102,"box":{"x":405,"y":415,"width":20,"height":9}},{"id":"f2885061-58d0-46b1-a520-c34816b7e8db","block_type":"box","text":", hotels, shopping malls, residential complexes and office","page_number":102,"box":{"x":428,"y":415,"width":411,"height":11}},{"id":"8cc3cdcc-0bea-4f95-b21b-8be5b37cfb1e","block_type":"box","text":"buildings.","page_number":102,"box":{"x":69,"y":430,"width":66,"height":11}},{"id":"cd7d40df-e754-43bd-9146-ab1531ed7c63","block_type":"box","text":"REITs are subject to management fees and other expenses, and so a Fund that invests in REITs will bear its","page_number":102,"box":{"x":102,"y":453,"width":768,"height":11}},{"id":"4771cd39-ba55-44dd-8a9d-bc53f54a4ab2","block_type":"box","text":"proportionate share of the costs of the REITs’ operations. There are three general categories of REITs: Equity REITs,","page_number":102,"box":{"x":70,"y":468,"width":824,"height":11}},{"id":"0be87e00-58a4-4955-b23e-3d277089b1a5","block_type":"box","text":"Mortgage REITs and Hybrid REITs. Equity REITs invest primarily in direct fee ownership or leasehold ownership of real","page_number":102,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"c2cc2fd2-e53c-451e-858e-7631597dcad6","block_type":"box","text":"property, which derive most of their income from rents. Mortgage REITs invest mostly in mortgages on real estate,","page_number":102,"box":{"x":70,"y":498,"width":813,"height":11}},{"id":"6ca54e4c-389b-4463-af0b-ef221e4dbed9","block_type":"box","text":"which may secure construction, development or long-term loans; the main source of their income is mortgage","page_number":102,"box":{"x":68,"y":513,"width":782,"height":12}},{"id":"c0311c34-85e0-4b0a-be11-d09a4728296f","block_type":"box","text":"interest payments. Hybrid REITs hold both ownership and mortgage interests in real estate.","page_number":102,"box":{"x":70,"y":529,"width":649,"height":11}},{"id":"bcf67e09-178f-43d2-95c2-e7c3b415f884","block_type":"box","text":"Investing in REITs involves certain unique risks in addition to those risks associated with investing in the real","page_number":102,"box":{"x":102,"y":551,"width":776,"height":11}},{"id":"0d921401-9293-43b2-8988-d98d9c226439","block_type":"box","text":"estate industry in general. The market value of REIT shares and the ability of the REITs to distribute income may be","page_number":102,"box":{"x":69,"y":566,"width":822,"height":11}},{"id":"9cfecd8f-9949-45c0-9c2f-66a93dda1f81","block_type":"box","text":"adversely affected by several factors, including rising interest rates, changes in the national, state and local","page_number":102,"box":{"x":69,"y":581,"width":769,"height":12}},{"id":"b81f945d-8852-4773-97f7-e213e73c2bb6","block_type":"box","text":"economic climate and real estate conditions, occupancy and rental rates, perceptions of prospective tenants of the","page_number":102,"box":{"x":69,"y":596,"width":822,"height":12}},{"id":"93cdc0c9-fb10-4116-aeaf-984277db7734","block_type":"box","text":"safety, convenience and attractiveness of the properties, the ability of the owners to provide adequate management,","page_number":102,"box":{"x":69,"y":612,"width":831,"height":11}},{"id":"9ba13488-4d56-44ed-ba54-1308f1cc9fd8","block_type":"box","text":"maintenance and insurance, the cost of complying with the Americans with Disabilities Act, increased competition","page_number":102,"box":{"x":69,"y":627,"width":810,"height":11}},{"id":"e8324d4a-dbd8-49ad-b994-ffb077207859","block_type":"box","text":"from new properties, the impact of present or future environmental legislation and compliance with environmental","page_number":102,"box":{"x":68,"y":642,"width":812,"height":11}},{"id":"0382b520-5dce-44fe-8cfe-4b2b85b78e2c","block_type":"box","text":"laws, failing to maintain their exemptions from registration under the Investment Company Act, changes in real estate","page_number":102,"box":{"x":70,"y":657,"width":838,"height":11}},{"id":"42ac60fc-c635-4b0c-a489-0cba645def75","block_type":"box","text":"taxes and other operating expenses, adverse changes in governmental rules and fiscal policies, adverse changes in","page_number":102,"box":{"x":68,"y":672,"width":826,"height":11}},{"id":"36d2fb0d-0474-4545-a468-e1f8158d4679","block_type":"box","text":"zoning laws and other factors beyond the control of the issuers of the REITs. To the extent that assets underlying a","page_number":102,"box":{"x":69,"y":687,"width":817,"height":11}},{"id":"e8aa5fb2-d44d-40cc-8250-9893b942fac1","block_type":"box","text":"REIT are concentrated geographically, by property type, or in certain other respects, these risks may be heightened.","page_number":102,"box":{"x":70,"y":703,"width":822,"height":11}},{"id":"9972a29b-b066-4a56-abcf-f5d0b6231c45","block_type":"box","text":"In addition, distributions received by a Fund from REITs may consist of dividends, capital gains and/or return of","page_number":102,"box":{"x":70,"y":717,"width":792,"height":12}},{"id":"ea349a28-952a-4a8b-a646-bb9a8ee23fb2","block_type":"box","text":"capital. As REITs generally pay a higher rate of dividends (on a pre-tax basis) than operating companies, to the extent","page_number":102,"box":{"x":69,"y":732,"width":834,"height":12}},{"id":"9a40ff42-6f81-4076-8dec-380a546ef9e4","block_type":"box","text":"application of the Fund’s investment strategy results in the Fund investing in REIT shares, the percentage of the","page_number":102,"box":{"x":69,"y":748,"width":798,"height":11}},{"id":"7d6445ab-eac3-4692-9160-58739f453731","block_type":"box","text":"Fund’s dividend income received from REIT shares will likely exceed the percentage of the Fund’s portfolio which is","page_number":102,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"39b19853-b6f1-4163-a684-bf027428156a","block_type":"box","text":"comprised of REIT shares. Ordinary REIT dividends received by the Fund and distributed to the Fund’s shareholders","page_number":102,"box":{"x":69,"y":778,"width":821,"height":11}},{"id":"a27d867e-2871-4ce4-9ad6-94ec8f7e6671","block_type":"box","text":"will generally be taxable as ordinary income and will not constitute “qualified dividend income.” However, a non","page_number":102,"box":{"x":68,"y":793,"width":797,"height":11}},{"id":"cf020757-677e-40ec-b502-0c197810d227","block_type":"box","text":"corporate taxpayer who is a direct REIT shareholder may claim a 20% “qualified business income” deduction for","page_number":102,"box":{"x":69,"y":808,"width":798,"height":11}},{"id":"fc03dccb-fecd-48f9-b2a0-94f54b353fff","block_type":"box","text":"ordinary REIT dividends, and a regulated investment company may report dividends as eligible for this deduction to","page_number":102,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"b9dd5cbf-0d0e-4cdd-8c9c-f5c68b7395cc","block_type":"box","text":"the extent the regulated investment company’s income is derived from ordinary REIT dividends (reduced by allocable","page_number":102,"box":{"x":68,"y":838,"width":831,"height":12}},{"id":"dccb1787-d4e1-40db-8654-c9f42c081b53","block_type":"box","text":"regulated investment company expenses). A shareholder may treat the dividends as such provided the regulated","page_number":102,"box":{"x":69,"y":854,"width":801,"height":11}},{"id":"33313df7-1e8d-4017-a212-66799988ba7a","block_type":"box","text":"investment company and the shareholder satisfy applicable holding period requirements.","page_number":102,"box":{"x":70,"y":869,"width":631,"height":11}},{"id":"a3bf4c66-8a2c-4408-8dfa-395c13acc98a","block_type":"box","text":"REITs (especially mortgage REITs) are also subject to interest rate risk. Rising interest rates may cause REIT","page_number":102,"box":{"x":102,"y":891,"width":772,"height":12}},{"id":"ceb628ff-bc2e-4069-b528-85f2a0dad7db","block_type":"box","text":"investors to demand a higher annual yield, which may, in turn, cause a decline in the market price of the equity","page_number":102,"box":{"x":70,"y":906,"width":790,"height":12}},{"id":"0a8721a2-8187-4974-af3d-ad9194fca201","block_type":"box","text":"II-66","page_number":102,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fdc112dd-5980-4b66-855e-8e304fd576b3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":102,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cc753f46-881a-4ecc-a358-bd3abc007a10","block_type":"box","text":"securities issued by a REIT. Rising interest rates also generally increase the costs of obtaining financing, which could","page_number":103,"box":{"x":69,"y":45,"width":834,"height":11}},{"id":"77fbcc0b-256c-4dfc-8a22-76198aae2c93","block_type":"box","text":"cause the value of a Fund’s REIT investments to decline. During periods when interest rates are declining, mortgages","page_number":103,"box":{"x":69,"y":60,"width":837,"height":11}},{"id":"659930e0-0302-4906-bf79-3a776c8cc2b7","block_type":"box","text":"are often refinanced. Refinancing may reduce the yield on investments in mortgage REITs. In addition, since REITs","page_number":103,"box":{"x":69,"y":75,"width":812,"height":11}},{"id":"5799ba2f-8fbd-4762-a39e-c5b793769950","block_type":"box","text":"depend on payment under their mortgage loans and leases to generate cash to make distributions to their","page_number":103,"box":{"x":69,"y":90,"width":759,"height":11}},{"id":"44c46c8f-3dd5-4edd-bf93-4db09b6acde7","block_type":"box","text":"shareholders, investments in REITs may be adversely affected by defaults on such mortgage loans or leases.","page_number":103,"box":{"x":69,"y":105,"width":778,"height":11}},{"id":"a8210829-7b43-4bca-834b-fa8088324a8f","block_type":"box","text":"Investing in certain REITs, which often have small market capitalizations, may also involve the same risks as","page_number":103,"box":{"x":102,"y":128,"width":773,"height":11}},{"id":"138cfac6-1a54-49c1-92b4-754043ca04b1","block_type":"box","text":"investing in other small capitalization companies. REITs may have limited financial resources and their securities may","page_number":103,"box":{"x":70,"y":143,"width":836,"height":11}},{"id":"ad433625-bb97-4ff8-a3df-f7df3f2f26b2","block_type":"box","text":"trade less frequently and in limited volume and may be subject to more abrupt or erratic price movements than larger","page_number":103,"box":{"x":68,"y":158,"width":839,"height":11}},{"id":"a300678f-b3a5-427d-b8b6-3a57a0cbe877","block_type":"box","text":"company securities. Historically, small capitalization stocks, such as REITs, have been more volatile in price than the","page_number":103,"box":{"x":69,"y":173,"width":832,"height":11}},{"id":"7d7ea41f-0137-4dbe-a6e9-bbfca9760e46","block_type":"box","text":"larger capitalization stocks such as those included in the S&P 500 Index. The management of a REIT may be subject","page_number":103,"box":{"x":70,"y":188,"width":832,"height":12}},{"id":"2c3a2f16-08ce-4295-9ea0-5e1040035571","block_type":"box","text":"to conflicts of interest with respect to the operation of the business of the REIT and may be involved in real estate","page_number":103,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"f0b64fd8-7b25-4cb1-8884-1b72be761544","block_type":"box","text":"activities competitive with the REIT. REITs may own properties through joint ventures or in other circumstances in","page_number":103,"box":{"x":69,"y":219,"width":804,"height":11}},{"id":"31137465-248e-455d-9a6f-a6317f79f00a","block_type":"box","text":"which the REIT may not have control over its investments. REITs may incur significant amounts of leverage.","page_number":103,"box":{"x":68,"y":234,"width":761,"height":11}},{"id":"e929dd5e-0ffb-4375-99f5-fb952242d77b","block_type":"box","text":"Market Risks/Recent Market Events.","page_number":103,"box":{"x":102,"y":256,"width":275,"height":11}},{"id":"3bc2a5fd-7faa-41f9-adab-a9b564bb1907","block_type":"box","text":"Securities may decline in value due to factors affecting securities","page_number":103,"box":{"x":383,"y":256,"width":466,"height":12}},{"id":"9587d921-274f-4c00-96df-8e1bcadb70eb","block_type":"box","text":"markets generally or particular industries represented in the markets. The value of a security may decline due to","page_number":103,"box":{"x":69,"y":271,"width":801,"height":12}},{"id":"e8cae8dc-d2ab-4702-8f5c-23e393852d21","block_type":"box","text":"general market conditions, economic trends or events that are not specifically related to a company or to factors that","page_number":103,"box":{"x":68,"y":286,"width":837,"height":12}},{"id":"550145b7-b23a-4e8c-9f7f-72cc51cd556b","block_type":"box","text":"affect a particular industry or industries, or factors that affect a particular issuer or issuers, exchange, country,","page_number":103,"box":{"x":69,"y":302,"width":795,"height":11}},{"id":"da32835c-1d0a-4711-acca-566dc654667c","block_type":"box","text":"group of countries, region, market, industry, group of industries, sector or asset class. The success of a Fund’s","page_number":103,"box":{"x":68,"y":317,"width":796,"height":11}},{"id":"0d046729-bcab-4276-bfe8-62612cf3daec","block_type":"box","text":"activities could be affected by interest rates, availability of credit, inflation rates, economic uncertainty, changes in","page_number":103,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"86f7dacc-535a-4e65-8a0b-c7588df3093a","block_type":"box","text":"laws, trade barriers, economic sanctions, currency exchange controls, and local, regional or global events such as","page_number":103,"box":{"x":70,"y":347,"width":812,"height":11}},{"id":"db448a1b-6101-44a2-89b5-c73c29d9cc56","block_type":"box","text":"war, acts of terrorism, natural and environmental disasters, the spread of infectious illness or other public health","page_number":103,"box":{"x":68,"y":362,"width":807,"height":11}},{"id":"53107f11-48d3-43c4-be70-199c6fb239a1","block_type":"box","text":"issues, recessions, or other events could have a significant impact on a Fund and its investments. During a general","page_number":103,"box":{"x":70,"y":377,"width":822,"height":12}},{"id":"80f7f517-2306-4c07-a89d-b109c0814616","block_type":"box","text":"economic downturn in the securities markets, multiple asset classes may be negatively affected. These factors may","page_number":103,"box":{"x":69,"y":392,"width":828,"height":12}},{"id":"e5bec940-cfa1-4297-a8b6-34cf506afa17","block_type":"box","text":"affect the level and volatility of securities prices and the liquidity of a Fund’s investments, which could impair the","page_number":103,"box":{"x":69,"y":407,"width":804,"height":12}},{"id":"03e99b93-159f-4fbe-a830-5b946b1e0bfa","block_type":"box","text":"Fund’s profitability or result in losses. A Fund may maintain substantial trading positions that can be adversely","page_number":103,"box":{"x":70,"y":423,"width":787,"height":11}},{"id":"da93e9a7-0efe-4c2c-9e6d-087968741619","block_type":"box","text":"affected by the level of volatility in the financial markets; the larger the positions, the greater the potential for loss.","page_number":103,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"cba917b9-b918-43f8-88f0-c8e1f9edcb9d","block_type":"box","text":"Unpredictable or unstable market conditions may result in reduced opportunities to find suitable investments to","page_number":103,"box":{"x":70,"y":453,"width":796,"height":11}},{"id":"c434cc66-591e-45ac-a016-27badc1a9f8b","block_type":"box","text":"deploy capital or make it more difficult to exit and realize value from a Fund’s existing investments. It is important to","page_number":103,"box":{"x":69,"y":468,"width":832,"height":11}},{"id":"9dd32f3f-292d-4b9d-bceb-a0eac0efb420","block_type":"box","text":"understand that a Fund can incur material losses even if it reacts quickly to difficult market conditions and there can","page_number":103,"box":{"x":69,"y":483,"width":831,"height":11}},{"id":"f5b2befe-1b1c-4596-b035-e25e6132dc6c","block_type":"box","text":"be no assurance that a Fund will not suffer material adverse effects from broad and rapid changes in market","page_number":103,"box":{"x":69,"y":498,"width":776,"height":11}},{"id":"467eb5f7-63cc-4b5d-a36b-ea3e0869cbe3","block_type":"box","text":"conditions.","page_number":103,"box":{"x":69,"y":514,"width":76,"height":8}},{"id":"d3b0b307-3814-4ccb-9602-a1394a8c8f97","block_type":"box","text":"Periods of unusually high volatility in the financial markets and restrictive credit conditions, sometimes limited to","page_number":103,"box":{"x":102,"y":536,"width":802,"height":11}},{"id":"f32026b6-6569-496d-a1ba-ea8dcc1cf68c","block_type":"box","text":"a particular sector or a geography, can occur. Some countries, including the United States, have adopted and/or are","page_number":103,"box":{"x":69,"y":551,"width":829,"height":11}},{"id":"f9da7b79-7d3c-41f7-a11b-53de3096985e","block_type":"box","text":"considering the adoption of more protectionist trade policies, a move away from the tighter financial industry","page_number":103,"box":{"x":69,"y":566,"width":775,"height":11}},{"id":"71de4ffb-c009-4064-9876-bc73366dc960","block_type":"box","text":"regulations that followed the financial crisis of 2008, and/or substantially reducing corporate taxes. The exact shape","page_number":103,"box":{"x":69,"y":581,"width":833,"height":12}},{"id":"175279f8-b508-4abe-b601-3fc8ec2e5a3e","block_type":"box","text":"of these policies is still being considered, but the equity and debt markets may react strongly to expectations of","page_number":103,"box":{"x":69,"y":596,"width":799,"height":12}},{"id":"ce1c2d83-4558-46eb-aabe-d87eaebc8c06","block_type":"box","text":"change, which could increase volatility, especially if the market’s expectations are not borne out. A rise in","page_number":103,"box":{"x":69,"y":612,"width":751,"height":11}},{"id":"096d061c-7d78-491d-899a-3d32c3144a3c","block_type":"box","text":"protectionist trade policies, and the possibility of changes to some international trade agreements, could affect the","page_number":103,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"bb198871-8738-41b0-84d2-dca8a0d28339","block_type":"box","text":"economies of many nations in ways that cannot necessarily be foreseen at the present time. In addition, geopolitical","page_number":103,"box":{"x":69,"y":642,"width":831,"height":11}},{"id":"fc8645f7-0625-4f58-b19f-7099b0603fba","block_type":"box","text":"and other risks, including environmental and public health, may add to instability in world economies and markets","page_number":103,"box":{"x":69,"y":657,"width":810,"height":11}},{"id":"e301da52-8914-46ee-89bd-16850ac6f4e5","block_type":"box","text":"generally. Economies and financial markets throughout the world are increasingly interconnected. As a result, whether","page_number":103,"box":{"x":68,"y":672,"width":841,"height":11}},{"id":"82391453-d917-43f5-b247-466d0b42c3a0","block_type":"box","text":"or not a Fund invests in securities of issuers located in or with significant exposure to countries experiencing","page_number":103,"box":{"x":69,"y":687,"width":775,"height":11}},{"id":"16490254-1ff2-4a70-9810-60523c9644de","block_type":"box","text":"economic, political and/or financial difficulties, the value and liquidity of the Fund’s investments may be negatively","page_number":103,"box":{"x":69,"y":702,"width":818,"height":12}},{"id":"35553bc4-d45f-40e6-9dea-d154b1163fd7","block_type":"box","text":"affected by such events.","page_number":103,"box":{"x":69,"y":717,"width":173,"height":12}},{"id":"cb292b0d-eca1-476f-84ff-dda98e587ad1","block_type":"box","text":"Governments and regulators may take actions that affect the regulation of the Fund or the instruments in which","page_number":103,"box":{"x":102,"y":740,"width":795,"height":11}},{"id":"ac46bb76-f00d-4adc-b4b7-523b25310c87","block_type":"box","text":"the Fund invests, or the issuers of such instruments, in ways that are unforeseeable. Future legislation or regulation","page_number":103,"box":{"x":68,"y":755,"width":830,"height":11}},{"id":"5116f1a8-e282-4535-809b-4f8b7b1749bd","block_type":"box","text":"or other governmental actions could limit or preclude the Fund’s abilities to achieve its investment objectives or","page_number":103,"box":{"x":69,"y":771,"width":796,"height":11}},{"id":"91bc70e1-83c8-40d5-b889-fb69187bdd3b","block_type":"box","text":"otherwise adversely impact an investment in the Fund. Recent policy initiatives undertaken by the U.S. government","page_number":103,"box":{"x":69,"y":786,"width":820,"height":11}},{"id":"cf6800fb-5f29-4f4b-ac3d-5b327e8160d3","block_type":"box","text":"have the potential to impact international relations, trade agreements and the overall regulatory environment in ways","page_number":103,"box":{"x":69,"y":801,"width":833,"height":11}},{"id":"789be2dc-8b54-4827-98e9-a6d3000cc481","block_type":"box","text":"that could create uncertainty and instability in domestic and global markets and could adversely affect the","page_number":103,"box":{"x":68,"y":816,"width":759,"height":11}},{"id":"d987815b-4c92-464c-83e2-16f2d664cc5d","block_type":"box","text":"investment performance of the Fund. In particular, actions taken by the U.S. government in respect of international","page_number":103,"box":{"x":70,"y":831,"width":819,"height":11}},{"id":"b8ff747b-66f2-46aa-935d-e66d69416b71","block_type":"box","text":"trade relations could lead to trade wars, increased costs for imported goods, disruptions in supply chains, reduced","page_number":103,"box":{"x":68,"y":846,"width":821,"height":11}},{"id":"ec2800d6-bf53-45e4-a03c-a2b2db69390f","block_type":"box","text":"foreign investment, and instability in regions where the Fund invests. Political and diplomatic events within the United","page_number":103,"box":{"x":68,"y":861,"width":837,"height":11}},{"id":"94054bc8-709a-4903-92d5-517932722ece","block_type":"box","text":"States, including a contentious domestic political environment, changes in political party control of one or more","page_number":103,"box":{"x":69,"y":876,"width":795,"height":11}},{"id":"6089ad73-af47-4c75-8d87-2517295e3ce2","block_type":"box","text":"branches of the U.S. Government, the U.S. Government’s inability at times to agree on a long-term budget and deficit","page_number":103,"box":{"x":69,"y":891,"width":836,"height":12}},{"id":"5fce15f6-be44-44a3-b22e-3a9078f57d00","block_type":"box","text":"reduction plan, the threat of a U.S. Government shutdown, and disagreements over, or threats not to increase, the","page_number":103,"box":{"x":69,"y":906,"width":817,"height":12}},{"id":"87dd2fd9-d831-407f-9e30-a468c3239a1d","block_type":"box","text":"II-67","page_number":103,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"7b24c78f-7d0b-4a1c-beea-2d2c6708b763","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":103,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"105cafa2-ced3-4314-a694-95fa9e7c0313","block_type":"box","text":"U.S. Government’s borrowing limit (or “debt ceiling”), as well as political and diplomatic events abroad, may affect","page_number":104,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"2f6648da-7c62-4b99-8776-428c99ea7009","block_type":"box","text":"investor and consumer confidence and may adversely impact financial markets and the broader economy, perhaps","page_number":104,"box":{"x":70,"y":60,"width":813,"height":11}},{"id":"ca0c8d6b-8a84-40ee-ba25-0f265c859496","block_type":"box","text":"suddenly and to a significant degree. A downgrade of the ratings of U.S. Government debt obligations, or concerns","page_number":104,"box":{"x":69,"y":75,"width":815,"height":11}},{"id":"6d839b46-6d62-43bc-abc2-7e3775fd6c65","block_type":"box","text":"about the U.S. Government’s credit quality in general, could have a substantial negative effect on the U.S. and global","page_number":104,"box":{"x":69,"y":90,"width":836,"height":11}},{"id":"bd5819b6-95f7-49f5-91bf-40a75b8445a5","block_type":"box","text":"economies. For example, concerns about the U.S. Government’s credit quality may cause increased volatility in the","page_number":104,"box":{"x":69,"y":105,"width":820,"height":11}},{"id":"ed3fcc71-aaff-4611-853c-d532a5455b9a","block_type":"box","text":"stock and bond markets, higher interest rates, reduced prices and liquidity of U.S. Treasury securities, and/or","page_number":104,"box":{"x":69,"y":120,"width":785,"height":12}},{"id":"ed661b14-ca20-47f2-b475-950b3d5fba4b","block_type":"box","text":"increased costs of various kinds of debt. Moreover, although the U.S. Government has honored its credit obligations,","page_number":104,"box":{"x":70,"y":135,"width":832,"height":12}},{"id":"8a22ac49-7964-42a2-9182-b64593a78afe","block_type":"box","text":"there remains a possibility that the United States could default on its obligations. The consequences of such an","page_number":104,"box":{"x":68,"y":150,"width":799,"height":12}},{"id":"ecb252bd-d267-43ef-a7d5-b4f3935737b5","block_type":"box","text":"unprecedented event are impossible to predict, but it is likely that a default by the United States would be highly","page_number":104,"box":{"x":69,"y":166,"width":802,"height":11}},{"id":"e3acc878-ad81-406a-b4ee-34ee6c65a39d","block_type":"box","text":"disruptive to the U.S. and global securities markets and could significantly impair the value of the Fund’s","page_number":104,"box":{"x":69,"y":181,"width":746,"height":11}},{"id":"9843dabc-0726-409d-97d2-b7908d571e44","block_type":"box","text":"investments.","page_number":104,"box":{"x":70,"y":196,"width":89,"height":9}},{"id":"e1ba015a-16ee-4fc6-8d61-ef81982aa178","block_type":"box","text":"The COVID-19 pandemic resulted in significant market volatility, exchange suspensions and closures, declines in","page_number":104,"box":{"x":101,"y":218,"width":802,"height":12}},{"id":"8eae9bdd-02ff-41ba-9670-4b2ef1594013","block_type":"box","text":"global financial markets, higher default rates, supply chain disruptions, and a substantial economic downturn in","page_number":104,"box":{"x":68,"y":234,"width":796,"height":11}},{"id":"51f500e1-f1d0-4f39-8b8e-e5bff4c145d1","block_type":"box","text":"economies throughout the world. The impact of this coronavirus, and other epidemics and pandemics that may arise","page_number":104,"box":{"x":69,"y":249,"width":830,"height":11}},{"id":"7787c456-5bf2-4470-8c6b-c9d247b5b61f","block_type":"box","text":"in the future, could affect the economies of many nations, individual companies and the market in general in ways","page_number":104,"box":{"x":70,"y":264,"width":813,"height":11}},{"id":"e8f7e8b0-dfa3-4597-b6c8-192466160a4e","block_type":"box","text":"that cannot necessarily be foreseen at the present time. These health crises may be short term or long term, and","page_number":104,"box":{"x":68,"y":279,"width":812,"height":11}},{"id":"5f095c1e-9452-43f2-ac32-43de069e054b","block_type":"box","text":"may exacerbate other pre-existing political, social and economic risks, disrupt normal market conditions and","page_number":104,"box":{"x":69,"y":294,"width":771,"height":11}},{"id":"8d1737d1-b4b7-4dec-a311-222b161bb679","block_type":"box","text":"operations, and negatively impact performance. In addition, the impact of infectious diseases in emerging developing","page_number":104,"box":{"x":69,"y":309,"width":837,"height":11}},{"id":"589124f4-1d15-492c-8e02-9403bdf28db8","block_type":"box","text":"or emerging market countries may be greater due to less established health care systems.","page_number":104,"box":{"x":69,"y":325,"width":646,"height":11}},{"id":"9eb88af8-c8e7-43a9-b8b4-e1c5ded166a1","block_type":"box","text":"Legal and Regulatory Risks.","page_number":104,"box":{"x":102,"y":347,"width":197,"height":11}},{"id":"8958a331-fa98-452b-9e66-bb1b389d4adc","block_type":"box","text":"The Manager is part of a larger firm with multiple business lines active in multiple","page_number":104,"box":{"x":305,"y":347,"width":583,"height":11}},{"id":"27a5eba6-0704-412a-8a26-127419daa117","block_type":"box","text":"jurisdictions that are governed by a multitude of legal systems and regulatory regimes, some of which are new and","page_number":104,"box":{"x":67,"y":362,"width":819,"height":11}},{"id":"489e24b2-9cc3-4724-ad6f-caaab00a0085","block_type":"box","text":"evolving. As a result, the Funds and the Manager and its affiliates are subject to extensive and sophisticated legal,","page_number":104,"box":{"x":69,"y":377,"width":820,"height":12}},{"id":"d6fb593a-03da-4afd-9b05-3ac42658f672","block_type":"box","text":"tax and regulatory risks, including changing laws and regulations, developing interpretations of such laws and","page_number":104,"box":{"x":68,"y":392,"width":781,"height":12}},{"id":"84c49914-d677-4579-b8da-67ec502c2b3a","block_type":"box","text":"regulations, as well as existing laws, and increased scrutiny by regulators and law enforcement authorities.","page_number":104,"box":{"x":69,"y":407,"width":763,"height":12}},{"id":"5570c108-f8b1-413c-959b-da042b2a472b","block_type":"box","text":"Unexpected economic, political, regulatory and diplomatic events within the United States and abroad can trigger new","page_number":104,"box":{"x":70,"y":423,"width":838,"height":11}},{"id":"60ac7321-59db-4544-bac1-47978345f5ce","block_type":"box","text":"and complex regulations that the Manager and/or the Funds may need to comply with. The implementation of","page_number":104,"box":{"x":69,"y":438,"width":781,"height":11}},{"id":"ba8419ee-b79c-48ce-a228-35d76e9242d7","block_type":"box","text":"changes to comply with current and/or new regulations applicable to the Funds and/or the Manager could have a","page_number":104,"box":{"x":69,"y":453,"width":807,"height":11}},{"id":"a6f18324-5991-449a-9f1f-5e37a6fbefda","block_type":"box","text":"material adverse effect on the Funds (including by imposing material costs on the Funds, reducing profit margins,","page_number":104,"box":{"x":69,"y":468,"width":807,"height":11}},{"id":"597f581a-da9b-409a-ba09-4e58f52c35fa","block_type":"box","text":"reducing investment opportunities or by otherwise restricting the Funds and/or the Manager).","page_number":104,"box":{"x":69,"y":483,"width":666,"height":11}},{"id":"f99030d8-26dc-4e12-85f8-6b9975599779","block_type":"box","text":"Tariff and Trade Policy Risks.","page_number":104,"box":{"x":103,"y":506,"width":202,"height":11}},{"id":"bceb5c59-d292-40f8-b3d6-1952f1ee41dd","block_type":"box","text":"Some countries, including the U.S., have adopted more protectionist trade policies.","page_number":104,"box":{"x":312,"y":506,"width":593,"height":11}},{"id":"79034948-c36f-4bb5-b972-319d980c2b8a","block_type":"box","text":"The U.S. government recently altered its approach to international trade policy, resulting in significant impacts on","page_number":104,"box":{"x":68,"y":521,"width":806,"height":11}},{"id":"8aa5fc94-ff7a-4b5e-bcbd-344afe36107d","block_type":"box","text":"international trade relations, certain tax and immigration policies, and other aspects of the national and international","page_number":104,"box":{"x":70,"y":536,"width":833,"height":11}},{"id":"a9481af6-255d-4670-beea-8f9fda95c589","block_type":"box","text":"political and financial landscape. The rise in protectionist trade policies, slowing economic growth, changes to some","page_number":104,"box":{"x":70,"y":551,"width":827,"height":11}},{"id":"f59a66c7-75b8-4a6c-bca6-d381bcb9bd8b","block_type":"box","text":"major international trade agreements, risks associated with trade agreements between the U.S. and the European","page_number":104,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"17707e4e-f357-42cc-91d8-4666dc8ef6df","block_type":"box","text":"Union, and the risks associated with trade negotiations between the U.S. and China, could affect the economies of","page_number":104,"box":{"x":70,"y":581,"width":821,"height":12}},{"id":"4f7f2ebf-3304-4e3f-8069-1be2a5505b55","block_type":"box","text":"many nations in ways that cannot necessarily be foreseen at the present time.","page_number":104,"box":{"x":69,"y":596,"width":559,"height":12}},{"id":"afb0ca4c-7950-4450-ad48-401ad4013b11","block_type":"box","text":"Global trade disruption, significant introductions of trade barriers, and bilateral trade frictions, together with any","page_number":104,"box":{"x":102,"y":619,"width":796,"height":11}},{"id":"cfb2cfe6-c0c3-4a8e-902a-788555e6728c","block_type":"box","text":"future downturns in the global economy resulting therefrom, could adversely affect the financial performance of a","page_number":104,"box":{"x":68,"y":634,"width":809,"height":12}},{"id":"c58f5c04-af2b-4b3b-bc48-5cafd6bca685","block_type":"box","text":"Fund and its investments. Trade policy may be an ongoing source of instability, potentially resulting in significant","page_number":104,"box":{"x":70,"y":649,"width":799,"height":12}},{"id":"cf44eb69-1a78-4b29-8860-6ae1be049e02","block_type":"box","text":"currency fluctuations and/or having other adverse effects on international markets, international trade agreements,","page_number":104,"box":{"x":69,"y":664,"width":823,"height":12}},{"id":"2608b743-60f2-4028-bc34-98aeeb63bbf1","block_type":"box","text":"and/or other existing cross-border cooperation arrangements (whether economic, tax, fiscal, legal, regulatory, or","page_number":104,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"5f97204c-6476-4167-ad73-5e1cef40c8dc","block_type":"box","text":"otherwise). To the extent trade disputes escalate globally, there could be additional significant impacts on the","page_number":104,"box":{"x":69,"y":695,"width":783,"height":11}},{"id":"7a2286cb-1154-4eb4-b79d-24470261de64","block_type":"box","text":"sectors or industries in which a Fund invests and other adverse impacts on a Fund’s overall performance.","page_number":104,"box":{"x":69,"y":710,"width":753,"height":11}},{"id":"96ca1eed-c88e-4cdb-8fe6-d090094e7da3","block_type":"box","text":"Geographic Risks","page_number":104,"box":{"x":102,"y":733,"width":123,"height":11}},{"id":"f0f8be55-b4e0-40f1-91f3-19604cda0ad0","block_type":"box","text":". Some of the companies in which the Fund invests may be located in, or otherwise connected","page_number":104,"box":{"x":226,"y":732,"width":671,"height":12}},{"id":"166acef2-7ec6-4c65-afe2-ff00c3875c40","block_type":"box","text":"to, parts of the world affected by natural disasters such as severe heat, earthquakes, tornadoes, volcanic eruptions,","page_number":104,"box":{"x":68,"y":748,"width":835,"height":11}},{"id":"8791957b-1ede-4f2f-afe1-2f1176760de2","block_type":"box","text":"wildfires, droughts, floods, hurricanes or tsunamis, and are economically sensitive to environmental events. In","page_number":104,"box":{"x":68,"y":763,"width":787,"height":11}},{"id":"6c9975c9-f895-4e7f-b1b4-811138f15fdb","block_type":"box","text":"addition, issuers may be impacted by security concerns with respect to a country or region, such as war and other","page_number":104,"box":{"x":69,"y":778,"width":814,"height":11}},{"id":"dbe6a558-f38a-4e6a-a440-dcaff3bc05af","block_type":"box","text":"types of conflict, terrorism, strained international relations and territorial disputes. Any of these events may adversely","page_number":104,"box":{"x":68,"y":793,"width":840,"height":11}},{"id":"e5546bb1-0189-4a6d-87fe-301494fd7742","block_type":"box","text":"affect the issuers, markets and economies to which a Fund is exposed, which may adversely affect the value of the","page_number":104,"box":{"x":69,"y":808,"width":824,"height":11}},{"id":"f6adae42-98fd-4fc9-936f-7a3bcfb0e369","block_type":"box","text":"Fund.","page_number":104,"box":{"x":70,"y":823,"width":36,"height":9}},{"id":"a6a265f5-181a-4b75-8df3-810951c1785f","block_type":"box","text":"Reference Rate Replacement Risk.","page_number":104,"box":{"x":102,"y":846,"width":255,"height":11}},{"id":"1fa0010a-b28b-47c1-9a36-c615aa28cfcb","block_type":"box","text":"A Fund’s investments, payment obligations and financing terms may be","page_number":104,"box":{"x":363,"y":846,"width":508,"height":11}},{"id":"d3e9443f-c463-43df-8ab3-3c2fcaef17fb","block_type":"box","text":"based on floating rates, such as the Secured Overnight Financing Rate (“SOFR”), Sterling Overnight Interbank Average","page_number":104,"box":{"x":69,"y":861,"width":839,"height":11}},{"id":"b80c5c02-cc71-4873-ad56-ceac1a096ad4","block_type":"box","text":"Rate (“SONIA”), and other similar types of reference rates (“Reference Rates”). The elimination of a Reference Rate","page_number":104,"box":{"x":70,"y":876,"width":825,"height":11}},{"id":"716d0cc0-69d7-4db2-a299-fd7aa7e65922","block_type":"box","text":"or any other changes or reforms to the determination or supervision of a Reference Rate could have an adverse","page_number":104,"box":{"x":69,"y":891,"width":797,"height":12}},{"id":"94e2be94-420b-4131-a1f9-cd9daf9e11cc","block_type":"box","text":"impact on the market for, or value of, any instruments (including debt instruments and certain derivative instruments)","page_number":104,"box":{"x":70,"y":906,"width":837,"height":12}},{"id":"4e376a9b-41c9-4e31-a6ee-9c2273b927f0","block_type":"box","text":"II-68","page_number":104,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6b7f4b00-371b-4d70-92fc-48d7806f0fc4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":104,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"33682854-b8f4-4803-9c2a-3d7e08d29774","block_type":"box","text":"or payments linked to those Reference Rates. In addition, any substitute Reference Rate and any pricing adjustments","page_number":105,"box":{"x":69,"y":45,"width":837,"height":11}},{"id":"16b0b2e1-bce4-4963-bc62-020bf21c41cf","block_type":"box","text":"imposed by a regulator or by counterparties or otherwise may adversely affect a Fund’s performance and/or net","page_number":105,"box":{"x":70,"y":60,"width":800,"height":11}},{"id":"974f6f7c-bd47-4a6d-a8ea-d59ab0a24b97","block_type":"box","text":"asset value. The London Interbank Offered Rate (“LIBOR”) had historically been used extensively in the U.S. and","page_number":105,"box":{"x":69,"y":75,"width":800,"height":11}},{"id":"52e3197d-75d3-4beb-927e-79fce95165c1","block_type":"box","text":"globally as a “benchmark” or “reference rate” for various commercial and financial contracts, including corporate and","page_number":105,"box":{"x":68,"y":90,"width":836,"height":11}},{"id":"3515ed89-dac6-46d5-8ec9-7a5ecef463d7","block_type":"box","text":"municipal bonds, bank loans, asset-backed and mortgage-related securities, interest rate swaps and other","page_number":105,"box":{"x":69,"y":105,"width":761,"height":11}},{"id":"ede32f26-12a2-4d81-a5c2-ca9e8fe582bf","block_type":"box","text":"derivatives. Instruments in which a Fund may have historically paid interest at floating rates based on LIBOR or may","page_number":105,"box":{"x":69,"y":120,"width":824,"height":12}},{"id":"2f8b10c4-dbc3-4daf-906a-65b407cbe42e","block_type":"box","text":"have been subject to interest caps or floors based on LIBOR. The Funds and issuers of instruments in which a Fund","page_number":105,"box":{"x":69,"y":135,"width":825,"height":11}},{"id":"792ca88b-56f8-4607-b544-439fb20ca668","block_type":"box","text":"invests may have also historically obtained financing at floating rates based on LIBOR. In connection with the global","page_number":105,"box":{"x":70,"y":150,"width":822,"height":12}},{"id":"c239f070-3428-4f9b-934f-c1978266cca8","block_type":"box","text":"transition away from LIBOR led by regulators and market participants as a result of benchmark reforms, LIBOR was","page_number":105,"box":{"x":68,"y":166,"width":822,"height":11}},{"id":"99a591e0-c481-4604-a2f1-4ccc4c43bb9a","block_type":"box","text":"last published on a representative basis at the end of June 2023. Alternative Reference Rates to LIBOR have been","page_number":105,"box":{"x":70,"y":181,"width":817,"height":11}},{"id":"cb484cd3-dcec-4e31-b11a-c1603a659861","block_type":"box","text":"established in most major currencies and markets in these alternative rates are continuing to develop (","page_number":105,"box":{"x":69,"y":196,"width":736,"height":11}},{"id":"5259a412-ce92-4b6f-a36f-7756f3ab409f","block_type":"box","text":"e.g.","page_number":105,"box":{"x":807,"y":197,"width":25,"height":10}},{"id":"60d3c1cf-5cf9-41a6-8557-8a5fb8d25c22","block_type":"box","text":", SOFR for","page_number":105,"box":{"x":835,"y":196,"width":70,"height":10}},{"id":"5ac0e2bc-4552-4774-b12a-abd65c70a6d0","block_type":"box","text":"USD-LIBOR and SONIA for GBP-LIBOR). While the transition from LIBOR has gone relatively smoothly, residual risks","page_number":105,"box":{"x":70,"y":211,"width":814,"height":11}},{"id":"a245ec60-0b46-40c1-acfb-aaf1849c196f","block_type":"box","text":"associated with the transition may remain that may impact markets or particular investments and, as such, the full","page_number":105,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"40fb4a9c-7254-41da-b7b8-ed7ada4e1880","block_type":"box","text":"impact of the transition on the Funds or the financial instruments in which the Funds invest cannot yet be fully","page_number":105,"box":{"x":70,"y":241,"width":784,"height":11}},{"id":"136eae87-d2ef-4e86-ad9a-01bbf83db721","block_type":"box","text":"determined.","page_number":105,"box":{"x":69,"y":257,"width":84,"height":8}},{"id":"831c0142-daf1-4f3b-9302-989ad18a4403","block_type":"box","text":"SOFR is intended to be a broad measure of the cost of borrowing funds overnight in transactions that are","page_number":105,"box":{"x":102,"y":279,"width":750,"height":11}},{"id":"63a6d12e-e3f6-41e2-8a1c-fdbda71c1178","block_type":"box","text":"collateralized by U.S. Treasury securities. SOFR is calculated based on transaction-level repo data collected from","page_number":105,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"463c8772-18b9-4896-8e21-b800795500eb","block_type":"box","text":"various sources. For each trading day, SOFR is calculated as a volume-weighted median rate derived from such data.","page_number":105,"box":{"x":68,"y":309,"width":831,"height":11}},{"id":"702bb08f-a16f-42d3-a161-66bd341aa0dc","block_type":"box","text":"Because SOFR is a financing rate based on overnight secured funding transactions, it differs fundamentally from","page_number":105,"box":{"x":70,"y":324,"width":801,"height":12}},{"id":"f59f59c0-c52e-49af-a143-7a362c7dbbca","block_type":"box","text":"LIBOR. LIBOR is intended to be an unsecured rate that represents interbank funding costs for different short-term","page_number":105,"box":{"x":70,"y":339,"width":810,"height":12}},{"id":"4fb083e4-66b3-425c-aea0-469abcab385b","block_type":"box","text":"maturities or tenors. It is a forward-looking rate reflecting expectations regarding interest rates for the applicable","page_number":105,"box":{"x":69,"y":355,"width":803,"height":11}},{"id":"62d139ca-bf2d-4271-bf64-2c390fad173a","block_type":"box","text":"tenor. Thus, LIBOR is intended to be sensitive, in certain respects, to bank credit risk and to term interest rate risk.","page_number":105,"box":{"x":68,"y":370,"width":825,"height":11}},{"id":"14b7bdc3-5d95-4c11-93d3-fdb95c8eb7d8","block_type":"box","text":"In contrast, SOFR is a secured overnight rate reflecting the credit of U.S. Treasury securities as collateral. Thus, it is","page_number":105,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"a50e01b6-935a-45c0-822f-ff0c598abcd7","block_type":"box","text":"largely insensitive to credit-risk considerations and to short-term interest rate risks. SOFR is a transaction-based rate,","page_number":105,"box":{"x":70,"y":400,"width":838,"height":11}},{"id":"f94ce5de-a107-4db6-a3a3-78de524c4eb8","block_type":"box","text":"and it has been more volatile than other benchmark or market rates, such as three-month LIBOR, during certain","page_number":105,"box":{"x":69,"y":415,"width":796,"height":11}},{"id":"4ab4c81f-445f-4532-836b-2dd2d6183339","block_type":"box","text":"periods. For these reasons, among others, there is no assurance that SOFR, or rates derived from SOFR, will perform","page_number":105,"box":{"x":70,"y":430,"width":836,"height":11}},{"id":"04950766-544c-47fb-9ef2-e9aa55267db9","block_type":"box","text":"in the same or similar way as LIBOR would have performed at any time, and there is no assurance that SOFR-based","page_number":105,"box":{"x":70,"y":445,"width":824,"height":11}},{"id":"c36066a8-3331-400f-bcfa-05f076c3d955","block_type":"box","text":"rates will be a suitable substitute for LIBOR. SOFR has a relatively limited history, having been first published in April","page_number":105,"box":{"x":69,"y":460,"width":830,"height":12}},{"id":"6111f70f-ca5d-4a88-8da2-12e761949c40","block_type":"box","text":"2018. The future performance of SOFR, and SOFR-based Reference Rates, cannot be predicted based on SOFR’s","page_number":105,"box":{"x":69,"y":475,"width":809,"height":11}},{"id":"36121a85-00df-4b7b-8cb6-0a7c62d739b9","block_type":"box","text":"history or otherwise. Levels of SOFR in the future may bear little or no relation to historical levels of SOFR, LIBOR or","page_number":105,"box":{"x":69,"y":491,"width":827,"height":11}},{"id":"a2545f6c-e9b0-4542-af6c-925d871e14cd","block_type":"box","text":"other rates. There can also be no assurance that SOFR will not be discontinued or fundamentally altered in a manner","page_number":105,"box":{"x":69,"y":506,"width":835,"height":11}},{"id":"99523f8e-fe7d-46c9-83f6-f3a5fc124814","block_type":"box","text":"that is materially adverse to the interests of the Fund.","page_number":105,"box":{"x":68,"y":521,"width":384,"height":11}},{"id":"25d696ae-7cf4-4365-8070-aefe5ac51bf5","block_type":"box","text":"In addition, interest rates or other types of rates and indices which are classified as “benchmarks” have been","page_number":105,"box":{"x":102,"y":543,"width":782,"height":12}},{"id":"699bdae6-c9f2-409c-bb62-41adf4695251","block_type":"box","text":"the subject of ongoing national and international regulatory reform, including under the European Union (“EU”)","page_number":105,"box":{"x":68,"y":559,"width":786,"height":11}},{"id":"da931b11-15d9-4666-9f95-6b3d099319c9","block_type":"box","text":"regulation on indices used as benchmarks in financial instruments and financial contracts (known as the","page_number":105,"box":{"x":69,"y":574,"width":746,"height":11}},{"id":"ed12b574-b44e-477d-94c7-022f13b1ef3e","block_type":"box","text":"“Benchmarks Regulation”). The Benchmarks Regulation has been enacted into United Kingdom (“UK”) law by virtue","page_number":105,"box":{"x":70,"y":589,"width":822,"height":11}},{"id":"1a18558a-6844-4120-baca-7db2db45f3ae","block_type":"box","text":"of the EU (Withdrawal) Act 2018 (as amended), subject to amendments made by the Benchmarks (Amendment and","page_number":105,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"bf0ef6b3-fbd2-4648-ac09-d8ed3bf9b841","block_type":"box","text":"Transitional Provision) (EU Exit) Regulations 2019 (SI 2019/657) and other statutory instruments. Following the","page_number":105,"box":{"x":68,"y":619,"width":799,"height":11}},{"id":"fbac0ce3-b56e-46c4-84b1-bf8d3f627361","block_type":"box","text":"implementation of these reforms, the manner of administration of benchmarks has changed and may further change","page_number":105,"box":{"x":70,"y":634,"width":830,"height":12}},{"id":"d6fffadb-1d5d-4356-9a1e-c34d5f4549e7","block_type":"box","text":"in the future, with the result that relevant benchmarks may perform differently than in the past, the use of","page_number":105,"box":{"x":70,"y":649,"width":757,"height":12}},{"id":"1a29ee24-1cc5-4554-903f-c46c91ff2f4e","block_type":"box","text":"benchmarks that are not compliant with the new standards by certain supervised entities may be restricted, and","page_number":105,"box":{"x":69,"y":665,"width":802,"height":11}},{"id":"16580c81-4727-42cc-a1a3-aa951dd0c149","block_type":"box","text":"certain benchmarks may be eliminated entirely. Such changes could cause increased market volatility and disruptions","page_number":105,"box":{"x":69,"y":680,"width":840,"height":11}},{"id":"bd5f227a-bd1f-411f-b5a1-448a1179e653","block_type":"box","text":"in liquidity for instruments that rely on or are impacted by such benchmarks. Additionally, there could be other","page_number":105,"box":{"x":70,"y":695,"width":782,"height":11}},{"id":"3e71ca8a-95fe-4da9-87b4-7a6a1d8f1f6d","block_type":"box","text":"consequences which cannot be predicted.","page_number":105,"box":{"x":69,"y":710,"width":298,"height":11}},{"id":"e0bbc0b5-b714-4243-99cf-7472d4ee83f7","block_type":"box","text":"Repurchase Agreements and Purchase and Sale Contracts.","page_number":105,"box":{"x":102,"y":733,"width":432,"height":11}},{"id":"d942bc98-d5bb-4f4f-83aa-9a68dd671333","block_type":"box","text":"Under repurchase agreements and purchase and","page_number":105,"box":{"x":541,"y":733,"width":347,"height":11}},{"id":"910453c7-aaa2-4635-a360-d3fde6cf5739","block_type":"box","text":"sale contracts, the other party agrees, upon entering into the contract with a Fund, to repurchase a security sold to","page_number":105,"box":{"x":69,"y":748,"width":821,"height":11}},{"id":"e39d90b2-970f-4d61-a7c2-92e0f34f226e","block_type":"box","text":"the Fund at a mutually agreed-upon time and price in a specified currency, thereby determining the yield during the","page_number":105,"box":{"x":68,"y":763,"width":815,"height":11}},{"id":"857847d1-b417-4bdc-88bf-13d7462a4738","block_type":"box","text":"term of the agreement.","page_number":105,"box":{"x":68,"y":778,"width":164,"height":11}},{"id":"29e5d960-d079-4785-9480-6b87229e4d45","block_type":"box","text":"A purchase and sale contract differs from a repurchase agreement in that the contract arrangements stipulate","page_number":105,"box":{"x":101,"y":801,"width":788,"height":11}},{"id":"6830bcdc-b946-49b8-a259-96c65c297332","block_type":"box","text":"that securities are owned by the Fund and the purchaser receives any interest on the security paid during the period.","page_number":105,"box":{"x":68,"y":816,"width":831,"height":11}},{"id":"e4e63297-ab74-40b8-a787-dce477f9d4cd","block_type":"box","text":"In the case of repurchase agreements, the prices at which the trades are conducted do not reflect accrued interest","page_number":105,"box":{"x":70,"y":831,"width":821,"height":11}},{"id":"fe40c203-2fc0-45f1-90f1-5bdb9b0969c0","block_type":"box","text":"on the underlying obligation; whereas, in the case of purchase and sale contracts, the prices take into account","page_number":105,"box":{"x":69,"y":846,"width":790,"height":11}},{"id":"9c5ffa73-cb0f-4618-ac99-1fad6929a721","block_type":"box","text":"accrued interest. A Fund may enter into “tri-party” repurchase agreements. In “tri-party” repurchase agreements, an","page_number":105,"box":{"x":69,"y":861,"width":827,"height":11}},{"id":"8f1aab2b-95b8-4997-8cd4-5665469535dc","block_type":"box","text":"unaffiliated third-party custodian maintains accounts to hold collateral for the Fund and its counterparties and,","page_number":105,"box":{"x":69,"y":876,"width":788,"height":11}},{"id":"eec17275-489a-4e91-8470-7a576b5a573b","block_type":"box","text":"therefore, the Fund may be subject to the credit risk of those custodians.","page_number":105,"box":{"x":68,"y":891,"width":522,"height":11}},{"id":"8e6874c5-8199-414f-be9c-388b7326701c","block_type":"box","text":"II-69","page_number":105,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"16661a51-5b35-4c81-a422-99fc45671c09","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":105,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"35eaa97a-abbb-48e8-93e6-dc5de9977756","block_type":"box","text":"Some repurchase agreements and purchase and sale contracts are structured to result in a fixed rate of return","page_number":106,"box":{"x":102,"y":45,"width":792,"height":11}},{"id":"db1c9d50-0ada-4fb9-9f1a-d88bdbbb525c","block_type":"box","text":"insulated from market fluctuations during the term of the agreement, although such return may be affected by","page_number":106,"box":{"x":70,"y":60,"width":784,"height":11}},{"id":"3f6c9d30-d699-46c4-9b86-9b748282e62e","block_type":"box","text":"currency fluctuations. However, in the event of a default under a repurchase agreement or under a purchase and sale","page_number":106,"box":{"x":69,"y":75,"width":837,"height":11}},{"id":"4bf8c1b4-e329-4fb3-86ed-4401ef131e5f","block_type":"box","text":"contract, instead of the contractual fixed rate, the rate of return to the Fund would be dependent upon intervening","page_number":106,"box":{"x":69,"y":90,"width":812,"height":11}},{"id":"1c2da3b0-781d-4502-a485-82c6c7a977cf","block_type":"box","text":"fluctuations of the market values of the securities underlying the contract and the accrued interest on those","page_number":106,"box":{"x":68,"y":105,"width":770,"height":11}},{"id":"fd85e66b-be84-44a5-8616-41e48b274ae6","block_type":"box","text":"securities. In such event, the Fund would have rights against the seller for breach of contract with respect to any","page_number":106,"box":{"x":69,"y":120,"width":802,"height":12}},{"id":"ebc419c7-4479-4c9e-abfb-cdd9f5b5dd0a","block_type":"box","text":"losses arising from market fluctuations following the default.","page_number":106,"box":{"x":70,"y":135,"width":430,"height":12}},{"id":"6e453bee-44aa-406c-b4a8-dcbfaab98da6","block_type":"box","text":"Both types of agreement usually cover short periods, such as less than one week, although they may have","page_number":106,"box":{"x":102,"y":158,"width":759,"height":11}},{"id":"b3abd408-b57f-4c47-8c2f-b2a0fa05424c","block_type":"box","text":"longer terms, and may be construed to be collateralized loans by the purchaser to the seller secured by the","page_number":106,"box":{"x":70,"y":173,"width":765,"height":11}},{"id":"0d9a95f4-550f-483f-88cc-83fbf718cf52","block_type":"box","text":"securities transferred to the purchaser. In the case of a repurchase agreement, as a purchaser, a Fund’s Manager or","page_number":106,"box":{"x":69,"y":188,"width":835,"height":12}},{"id":"0737fc75-03a7-4d2f-ac7a-a49e4a3e378e","block_type":"box","text":"sub-adviser will monitor the creditworthiness of the seller, and a Fund will require the seller to provide additional","page_number":106,"box":{"x":69,"y":203,"width":799,"height":11}},{"id":"a571bdc8-be89-4e46-8f90-105d327d092e","block_type":"box","text":"collateral if the market value of the securities falls below the repurchase price at any time during the term of the","page_number":106,"box":{"x":69,"y":218,"width":801,"height":12}},{"id":"ed2b3db0-be4b-40ff-8877-6dfbdf2f2cac","block_type":"box","text":"repurchase agreement. The Fund does not have this right to seek additional collateral as a purchaser in the case of","page_number":106,"box":{"x":69,"y":234,"width":826,"height":11}},{"id":"25886fc7-8d23-47c1-80c5-fe28f8bbba40","block_type":"box","text":"purchase and sale contracts. The Fund’s Manager or sub-adviser will mark-to-market daily the value of the securities.","page_number":106,"box":{"x":70,"y":249,"width":831,"height":11}},{"id":"2611cf82-08dd-41d4-8484-25501e310b11","block_type":"box","text":"Securities subject to repurchase agreements (other than tri-party repurchase agreements) and purchase and sale","page_number":106,"box":{"x":69,"y":264,"width":810,"height":11}},{"id":"84375525-06bd-45b8-89a0-088f5e7dce85","block_type":"box","text":"contracts will be held by the Fund’s custodian (or sub-custodian) in the Federal Reserve/Treasury book-entry system","page_number":106,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"3df4efb6-6173-442e-877b-3f81e8d79669","block_type":"box","text":"or by another authorized securities depository.","page_number":106,"box":{"x":69,"y":294,"width":329,"height":11}},{"id":"ddf27cb7-4253-4e13-b8a7-0ba91470db06","block_type":"box","text":"In the event of default by the seller under a repurchase agreement construed to be a collateralized loan, the","page_number":106,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"91f33fd9-1012-41d2-bd37-14bbd404d030","block_type":"box","text":"underlying securities are not owned by the Fund but only constitute collateral for the seller’s obligation to pay the","page_number":106,"box":{"x":69,"y":332,"width":805,"height":11}},{"id":"e2315a80-3641-46ff-a1cf-2ada9ebdfad3","block_type":"box","text":"repurchase price. Therefore, the Fund may suffer time delays and incur costs or possible losses in connection with","page_number":106,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"577a6e59-1500-406b-9779-697823eb2ebf","block_type":"box","text":"disposition of the collateral. If the seller becomes insolvent and subject to liquidation or reorganization under","page_number":106,"box":{"x":69,"y":362,"width":778,"height":11}},{"id":"db19fa06-313e-4109-8ea4-db4625115a35","block_type":"box","text":"applicable bankruptcy or other laws, a Fund’s ability to dispose of the underlying securities may be restricted. Finally,","page_number":106,"box":{"x":69,"y":377,"width":832,"height":12}},{"id":"a885feac-641a-4b7e-b810-a26b5445bef2","block_type":"box","text":"it is possible that a Fund may not be able to substantiate its interest in the underlying securities. To minimize this","page_number":106,"box":{"x":70,"y":393,"width":810,"height":11}},{"id":"cd0e8d08-96ad-41d7-b3ee-ea8f0368c280","block_type":"box","text":"risk, the securities underlying the repurchase agreement will be held by the applicable custodian at all times in an","page_number":106,"box":{"x":69,"y":408,"width":812,"height":11}},{"id":"bc4f6eca-13aa-4c92-ba6c-88d3a33bb753","block_type":"box","text":"amount at least equal to the repurchase price, including accrued interest. If the seller fails to repurchase the","page_number":106,"box":{"x":69,"y":423,"width":778,"height":11}},{"id":"63fff020-0cfc-43ce-8892-2b727e35cbbf","block_type":"box","text":"securities, a Fund may suffer a loss to the extent proceeds from the sale of the underlying securities are less than","page_number":106,"box":{"x":69,"y":438,"width":817,"height":11}},{"id":"a9844c47-6de8-45a9-bf20-e09ab77346a9","block_type":"box","text":"the repurchase price.","page_number":106,"box":{"x":68,"y":453,"width":151,"height":11}},{"id":"34a9e21f-62aa-4bb2-b0fb-d4b39d37f8e5","block_type":"box","text":"In any repurchase transaction to which a Fund is a party, collateral for a repurchase agreement may include cash","page_number":106,"box":{"x":102,"y":475,"width":805,"height":12}},{"id":"71259be0-8684-4f0b-9609-a6e0d10dc9be","block_type":"box","text":"items and obligations issued by the U.S. Government or its agencies or instrumentalities. For certain Funds, however,","page_number":106,"box":{"x":70,"y":491,"width":837,"height":11}},{"id":"da0d7cb4-351b-48ee-a5aa-9313146ddb94","block_type":"box","text":"collateral may include instruments other than cash items and obligations issued by the U.S. Government or its","page_number":106,"box":{"x":69,"y":506,"width":788,"height":11}},{"id":"f817f6e9-abf3-4abf-bc91-108fbf133376","block_type":"box","text":"agencies or instrumentalities, including securities that the Fund could not hold directly under its investment","page_number":106,"box":{"x":69,"y":521,"width":767,"height":11}},{"id":"e25545ef-1fc0-4788-8df5-6f1d7b720422","block_type":"box","text":"strategies without the repurchase obligation.","page_number":106,"box":{"x":69,"y":536,"width":317,"height":11}},{"id":"8ba640c0-ab87-42ff-95a0-b961a9b1495d","block_type":"box","text":"The type of collateral underlying repurchase agreements may also pose certain risks for a Fund. Lower quality","page_number":106,"box":{"x":101,"y":559,"width":782,"height":11}},{"id":"05abfa30-2542-4dca-b27f-018eb99ac3ea","block_type":"box","text":"collateral and collateral with longer maturities may be subject to greater price fluctuations than higher quality","page_number":106,"box":{"x":69,"y":574,"width":776,"height":11}},{"id":"50d43c3b-dceb-4948-990c-12eadc86be35","block_type":"box","text":"collateral and collateral with shorter maturities. If the repurchase agreement counterparty were to default, lower","page_number":106,"box":{"x":69,"y":589,"width":799,"height":11}},{"id":"d3ae5023-3e5c-4c2d-9144-a66a30103e51","block_type":"box","text":"quality collateral may be more difficult to liquidate than higher quality collateral. Should the counterparty default and","page_number":106,"box":{"x":69,"y":604,"width":829,"height":11}},{"id":"b0255bc7-8f36-427f-b5a3-2c3ff9d1b12b","block_type":"box","text":"the amount of collateral not be sufficient to cover the counterparty’s repurchase obligation, a Fund would retain the","page_number":106,"box":{"x":68,"y":619,"width":825,"height":11}},{"id":"4b780907-f8bb-4cf8-8bad-131519e6380a","block_type":"box","text":"status of an unsecured creditor of the counterparty (","page_number":106,"box":{"x":69,"y":634,"width":374,"height":11}},{"id":"01682c98-bfe0-4443-ac1f-f9059678b604","block_type":"box","text":"i.e.","page_number":106,"box":{"x":445,"y":634,"width":20,"height":9}},{"id":"3fa95f23-a48f-4ae7-8dc6-8fb2d342f9f2","block_type":"box","text":", the position the Fund would normally be in if it were to hold,","page_number":106,"box":{"x":468,"y":634,"width":434,"height":11}},{"id":"2f370107-4b0b-44f6-84a0-3291588cf320","block_type":"box","text":"pursuant to its investment policies, other unsecured debt securities of the defaulting counterparty) with respect to","page_number":106,"box":{"x":70,"y":649,"width":813,"height":12}},{"id":"583d1711-31ad-4242-8006-f9d103076629","block_type":"box","text":"the amount of the shortfall. As an unsecured creditor, a Fund would be at risk of losing some or all of the principal","page_number":106,"box":{"x":68,"y":664,"width":816,"height":12}},{"id":"d334c745-0f1f-4350-b745-67f32fc87afc","block_type":"box","text":"and income involved in the transaction.","page_number":106,"box":{"x":69,"y":680,"width":278,"height":9}},{"id":"99717a88-25a7-47af-82cb-b3e4fd5cb906","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":106,"box":{"x":102,"y":702,"width":800,"height":12}},{"id":"034c1cfc-fc77-4712-9fdb-7d97eed1524f","block_type":"box","text":"their affiliates to include in certain financial contracts, including many repurchase agreements and purchase and sale","page_number":106,"box":{"x":68,"y":717,"width":840,"height":12}},{"id":"606fad21-3b17-46b6-ac8c-6ead6cc3b595","block_type":"box","text":"contracts, terms that delay or restrict the rights of counterparties, such as a Fund, to terminate such agreements,","page_number":106,"box":{"x":69,"y":732,"width":814,"height":12}},{"id":"36a8d54f-0255-4a86-ae3d-b00afdc1821b","block_type":"box","text":"take foreclosure action, exercise other default rights or restrict transfers of credit support in the event that the","page_number":106,"box":{"x":68,"y":748,"width":790,"height":11}},{"id":"dd1748ef-0daf-4624-a386-35ffdc2dfe1e","block_type":"box","text":"counterparty and/or its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible","page_number":106,"box":{"x":69,"y":763,"width":818,"height":11}},{"id":"ef5e5e80-bbd4-495f-8eec-4349dd553138","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":106,"box":{"x":68,"y":778,"width":783,"height":11}},{"id":"48df7dcc-5005-4f8d-84b5-97b5ba95715e","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing repurchase agreements and purchase and sale","page_number":106,"box":{"x":69,"y":793,"width":821,"height":11}},{"id":"db886366-32ba-4000-b7b2-763731585b0b","block_type":"box","text":"contracts or to realize amounts to be received under such agreements. The SEC has also finalized rules that will","page_number":106,"box":{"x":69,"y":808,"width":800,"height":11}},{"id":"c7c27386-1385-436a-bb79-d48d9dd5ff1a","block_type":"box","text":"require certain transactions involving U.S. Treasuries, including repurchase agreements, to be centrally cleared.","page_number":106,"box":{"x":69,"y":823,"width":796,"height":12}},{"id":"5d48bb75-487f-4a63-b892-7815c0911c7c","block_type":"box","text":"Compliance with these rules is expected to be required by the middle of 2027. Although the impact of these rules on","page_number":106,"box":{"x":69,"y":838,"width":834,"height":12}},{"id":"1da359d3-17a5-4c12-8ec5-00a4f1337753","block_type":"box","text":"the Funds is difficult to predict, they may reduce the availability or increase the costs of such transactions and may","page_number":106,"box":{"x":68,"y":853,"width":824,"height":12}},{"id":"3fd0fe31-9216-4a52-a1c5-a54f2f356e00","block_type":"box","text":"adversely affect a Fund’s performance.","page_number":106,"box":{"x":69,"y":869,"width":279,"height":11}},{"id":"36256994-538e-440e-8ef8-08834067c239","block_type":"box","text":"Restricted Securities.","page_number":106,"box":{"x":102,"y":891,"width":157,"height":9}},{"id":"8f3aa600-f3a8-41a4-a63b-6c7a757fceb6","block_type":"box","text":"A Fund may invest in or hold securities that are not registered under the Securities Act","page_number":106,"box":{"x":265,"y":891,"width":617,"height":12}},{"id":"48e29154-81cc-460f-89b2-74a13a3d8752","block_type":"box","text":"(“restricted securities”), which may include securities in private companies and Rule 144A Securities. Restricted","page_number":106,"box":{"x":69,"y":906,"width":801,"height":12}},{"id":"66abfed3-d7cf-4858-bf8c-c35b55c00008","block_type":"box","text":"II-70","page_number":106,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5ba8d702-b8a0-44eb-a25d-62da6509a34f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":106,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"08c8f382-a186-4e2d-96ef-334fb504ed78","block_type":"box","text":"securities may be sold in private placement transactions between issuers and their purchasers, including through","page_number":107,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"125cd9a1-5248-4e29-9e6f-658f15868883","block_type":"box","text":"private negotiated transactions between the issuer and their purchasers, such as the Funds, and may be neither","page_number":107,"box":{"x":70,"y":60,"width":802,"height":11}},{"id":"e423d44a-c74f-4c6b-94e3-b89e0b4b601a","block_type":"box","text":"listed on an exchange nor traded in other established markets. In many cases, privately placed securities may not be","page_number":107,"box":{"x":70,"y":75,"width":834,"height":11}},{"id":"d5da40ac-0312-4a2a-8c85-35fd083134f4","block_type":"box","text":"freely transferable under the laws of the applicable jurisdiction or due to contractual restrictions on resale. Some of","page_number":107,"box":{"x":68,"y":90,"width":825,"height":11}},{"id":"fa63639b-3077-4588-9de3-f951ae561a27","block_type":"box","text":"these securities are new and complex, and trade only among institutions; the markets for these securities are still","page_number":107,"box":{"x":68,"y":105,"width":815,"height":11}},{"id":"43ae0034-9300-4038-b2b2-9d6e1b524f31","block_type":"box","text":"developing, and may not function as efficiently as established markets. Typically, investments in private companies","page_number":107,"box":{"x":69,"y":120,"width":821,"height":12}},{"id":"26a5300e-dd08-435e-83b1-920e50fa4f08","block_type":"box","text":"are in restricted securities that are not traded in public markets and subject to substantial holding periods, so that a","page_number":107,"box":{"x":69,"y":136,"width":831,"height":11}},{"id":"c38621fd-6dd8-4abd-978c-de42beaa82b8","block_type":"box","text":"Fund may not be able to resell some of its holdings for extended periods, which may be several years. There can be","page_number":107,"box":{"x":70,"y":150,"width":824,"height":12}},{"id":"ce0a6434-3f9d-4752-8086-243d8abb1299","block_type":"box","text":"no assurance that a Fund will be able to realize the value of such restricted securities in a timely manner or at all. As","page_number":107,"box":{"x":69,"y":166,"width":834,"height":11}},{"id":"6179b890-5f63-45ba-aefa-b45dda65d176","block_type":"box","text":"a result of the absence of a public trading market and the potential bespoke nature on certain transactions,","page_number":107,"box":{"x":69,"y":181,"width":769,"height":11}},{"id":"9422acba-71da-4baa-92ae-4db453448dc8","block_type":"box","text":"restricted securities may be deemed to be illiquid investments or less liquid investments and may be more difficult to","page_number":107,"box":{"x":69,"y":196,"width":838,"height":11}},{"id":"dba0a180-59c9-426d-b430-d4f33beeaccf","block_type":"box","text":"value than publicly traded securities. To the extent that restricted securities may be resold in privately negotiated","page_number":107,"box":{"x":68,"y":211,"width":805,"height":11}},{"id":"999889b1-298b-4815-9fc9-dd869ff94450","block_type":"box","text":"transactions, the prices realized from the sales, due to lack of liquidity, could be less than those originally paid by the","page_number":107,"box":{"x":68,"y":226,"width":840,"height":11}},{"id":"5fc9e06a-b8fa-496f-a041-2493f76443dd","block_type":"box","text":"Fund or less than their fair market value. The amount of any discount may vary depending on the security type, the","page_number":107,"box":{"x":70,"y":241,"width":815,"height":11}},{"id":"8ab0c937-27cd-403a-a444-6b65234812e2","block_type":"box","text":"character of the issuer, which party (if any) will bear the expenses of registering the restricted security, and prevailing","page_number":107,"box":{"x":69,"y":256,"width":835,"height":12}},{"id":"84ed71ee-c43d-4d45-8bd0-539cf8ba5ab7","block_type":"box","text":"market conditions. In addition, issuers whose securities are not publicly traded or who are not otherwise publicly","page_number":107,"box":{"x":69,"y":272,"width":803,"height":11}},{"id":"1c5b54a0-c1b2-421a-83bd-4992307dd6a4","block_type":"box","text":"listed may not be subject to the disclosure and other investor protection requirements that may be applicable if their","page_number":107,"box":{"x":70,"y":286,"width":830,"height":12}},{"id":"0ccf3ebe-659c-43e9-86a0-8bfaeb661a35","block_type":"box","text":"securities were publicly traded. If any privately placed securities held by a Fund are required to be registered under","page_number":107,"box":{"x":69,"y":302,"width":817,"height":11}},{"id":"2ad1994b-67b6-4acd-8f21-e85086bf0803","block_type":"box","text":"the securities laws of one or more jurisdictions before being resold, the Fund may be required to bear the expenses","page_number":107,"box":{"x":68,"y":317,"width":825,"height":11}},{"id":"c68dcde2-940b-433f-a5c5-ce4fff5b710b","block_type":"box","text":"of registration. Where registration is required for restricted securities, a considerable time period may elapse","page_number":107,"box":{"x":69,"y":332,"width":777,"height":11}},{"id":"bb99543a-62b8-4aa2-b0e5-1963c143535f","block_type":"box","text":"between the time the Fund decides to sell the security and the time it is actually permitted to sell the security under","page_number":107,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"5891c7bd-50e2-48f7-bad0-d108e6eb718d","block_type":"box","text":"an effective registration statement. If during such period, adverse market conditions were to develop, the Fund might","page_number":107,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"99a5a63f-3b84-4b8f-94fd-b571267a8534","block_type":"box","text":"obtain less favorable pricing terms than when it decided to sell the security. In addition, the Fund may be deemed to","page_number":107,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"6d80d0f5-a28d-4c85-a3d4-a80f61b0d3e5","block_type":"box","text":"be an “underwriter” for purposes of the Securities Act when selling restricted securities. If so, the Fund may be liable","page_number":107,"box":{"x":69,"y":392,"width":836,"height":12}},{"id":"284d0ddb-8419-40e8-9157-1f6ce67191a1","block_type":"box","text":"to purchasers of the restricted securities if the registration statement prepared by the issuer, or the corresponding","page_number":107,"box":{"x":68,"y":407,"width":819,"height":12}},{"id":"5c9d865d-a7da-4288-93bd-f0271e6ae940","block_type":"box","text":"prospectus, is materially inaccurate or misleading. Transactions in restricted securities may entail other transaction","page_number":107,"box":{"x":70,"y":423,"width":822,"height":11}},{"id":"e6234b2e-1726-49f0-875a-52205b118a61","block_type":"box","text":"costs that are higher than those for transactions in unrestricted securities. Certain of the Fund’s investments in","page_number":107,"box":{"x":69,"y":438,"width":798,"height":11}},{"id":"bfecb9a3-9384-4f32-9820-9d9ae06b98ff","block_type":"box","text":"private placements may consist of direct investments and may include investments in smaller, less seasoned","page_number":107,"box":{"x":70,"y":453,"width":780,"height":11}},{"id":"b91e2f91-9c8e-46b8-a61c-33ad6a3caff6","block_type":"box","text":"issuers, which may involve greater risks. Issuers of restricted securities may not be subject to SEC reporting","page_number":107,"box":{"x":70,"y":468,"width":773,"height":11}},{"id":"987676ed-5b20-4165-89c2-3fc24a0e174f","block_type":"box","text":"requirements, may not be required to maintain their accounting records in accordance with generally accepted","page_number":107,"box":{"x":69,"y":483,"width":784,"height":11}},{"id":"64e642f2-c225-41e5-ade3-52cc71db9a6a","block_type":"box","text":"accounting principles, and may not be required to maintain effective internal controls over financial reporting. As a","page_number":107,"box":{"x":69,"y":498,"width":816,"height":11}},{"id":"effcf9c5-f3ad-4015-aad4-45130e580492","block_type":"box","text":"result, BlackRock may not have timely or accurate information about the business, financial condition and results of","page_number":107,"box":{"x":69,"y":513,"width":828,"height":11}},{"id":"5bd06e75-c793-4e11-9692-0b8fd40fa20d","block_type":"box","text":"operations of such issuers, and investments in securities of such issuers may involve a high degree of business and","page_number":107,"box":{"x":69,"y":528,"width":831,"height":12}},{"id":"4c58123b-ec91-4bb0-bda2-5d8af28ba262","block_type":"box","text":"financial risk and may result in substantial losses to the Fund. Such issuers may also have limited product lines,","page_number":107,"box":{"x":68,"y":543,"width":804,"height":12}},{"id":"bce6cad8-6c77-4e04-b7a7-ff889db2f466","block_type":"box","text":"markets or financial resources, or they may be dependent on a limited management group.","page_number":107,"box":{"x":69,"y":559,"width":647,"height":11}},{"id":"22b48b65-32bb-4f17-b2d0-1241d0744628","block_type":"box","text":"Certain restricted securities may represent limited investment opportunities and each shareholder’s","page_number":107,"box":{"x":102,"y":581,"width":714,"height":11}},{"id":"20450396-4727-4cc6-a482-77b028d87f51","block_type":"box","text":"proportionate investment exposure to such limited investment opportunities may be reduced proportionately as the","page_number":107,"box":{"x":70,"y":597,"width":823,"height":11}},{"id":"43ab03fa-3882-4bf1-8d60-14312d0d672c","block_type":"box","text":"Fund’s net assets grow from new or additional investments made in the Fund by other shareholders. The issuer of a","page_number":107,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"c27b19e8-00b0-4825-91e4-c8d8fbc241ec","block_type":"box","text":"private placement may later register those shares for public sale in an IPO, but there is no guarantee that an IPO will","page_number":107,"box":{"x":70,"y":627,"width":830,"height":11}},{"id":"08a42098-63de-4555-95b6-02760a1e4d20","block_type":"box","text":"ever be completed. Even after an IPO, there may be a limited trading market for securities of that issuer, including","page_number":107,"box":{"x":69,"y":642,"width":812,"height":11}},{"id":"e70a14ff-138f-4dea-9264-7f0c226712fe","block_type":"box","text":"any direct investment by a Fund, or the Fund may be subject to contractual limitations on its ability to resell its","page_number":107,"box":{"x":69,"y":657,"width":787,"height":11}},{"id":"a9701109-1177-4069-b19f-4fc304c6d19c","block_type":"box","text":"existing securities following an IPO. The inability of an applicable issuer of a restricted security to complete an IPO or","page_number":107,"box":{"x":69,"y":672,"width":833,"height":11}},{"id":"1657648e-f78c-415e-a13f-688cf54be992","block_type":"box","text":"offer other liquidity opportunities to the Fund and other investors will extend the holding period of a Fund’s","page_number":107,"box":{"x":69,"y":687,"width":759,"height":11}},{"id":"ad8927e0-b15f-491b-beb3-9a7f291d041c","block_type":"box","text":"investments, potentially indefinitely, and may adversely affect the value of the investments. In making investments in","page_number":107,"box":{"x":70,"y":702,"width":833,"height":12}},{"id":"eb0b7a58-7426-4de0-97c8-ae58c88f1415","block_type":"box","text":"such securities, a Fund may obtain access to material nonpublic information, which may restrict the Fund’s ability to","page_number":107,"box":{"x":69,"y":717,"width":828,"height":12}},{"id":"00fd5960-bcfd-4f32-a964-d579e54fc402","block_type":"box","text":"conduct portfolio transactions in such securities. The activity of identifying, completing, and realizing upon attractive","page_number":107,"box":{"x":69,"y":732,"width":827,"height":12}},{"id":"6cf7bb93-a8d9-49a5-ad18-1788435ba827","block_type":"box","text":"investments in restricted securities is highly competitive and involves a high degree of uncertainty. A Fund will be","page_number":107,"box":{"x":70,"y":748,"width":804,"height":11}},{"id":"dab08f7c-dd96-4bc2-9b2b-a50e265af2cc","block_type":"box","text":"competing for investments against other similarly situated investors. It is possible that competition for appropriate","page_number":107,"box":{"x":69,"y":763,"width":816,"height":11}},{"id":"b809b0f6-18ee-4f77-8998-3ce5e35ec6dc","block_type":"box","text":"investment opportunities may increase, thus potentially reducing the number of investment opportunities available to","page_number":107,"box":{"x":70,"y":778,"width":835,"height":11}},{"id":"a69a3d09-4d03-4437-9158-73b5de460fcb","block_type":"box","text":"a Fund and adversely affecting the terms upon which investments can be made. There is no assurance that","page_number":107,"box":{"x":69,"y":793,"width":768,"height":11}},{"id":"44ed9712-66e5-44eb-afe5-f2964eed9886","block_type":"box","text":"investment opportunities for restricted securities will be available at any given time or at a level desired by a Fund,","page_number":107,"box":{"x":70,"y":808,"width":815,"height":11}},{"id":"3785e2ff-5e5c-46f4-ae43-5d5bfe3e64a5","block_type":"box","text":"especially as that Fund grows in size.","page_number":107,"box":{"x":69,"y":823,"width":264,"height":12}},{"id":"bd70da54-df93-4417-83d4-604e4bde7dc3","block_type":"box","text":"There may not be a readily available market value for a Fund’s restricted securities (in particular, restricted","page_number":107,"box":{"x":101,"y":846,"width":762,"height":11}},{"id":"d61e53ee-9108-4b55-a93b-06be770ccb68","block_type":"box","text":"securities issued by private companies) and thus they may be considered “illiquid”. Each Fund values restricted","page_number":107,"box":{"x":69,"y":861,"width":795,"height":11}},{"id":"c299a034-4b0b-4cf3-923c-b42281c4cba8","block_type":"box","text":"securities in accordance with BlackRock’s valuation policies and procedures, which are designed to value","page_number":107,"box":{"x":69,"y":876,"width":751,"height":11}},{"id":"dc1abb44-e959-4dd6-8ff1-ff087c316ec7","block_type":"box","text":"investments such that they accurately reflect fair value. Due to the inherent uncertainty and subjectivity of","page_number":107,"box":{"x":70,"y":891,"width":755,"height":11}},{"id":"cc7c0af7-2f13-41e3-9173-06323350b9e4","block_type":"box","text":"determining the fair value of investments that do not have a readily available market value, the fair value of a Fund’s","page_number":107,"box":{"x":69,"y":906,"width":830,"height":12}},{"id":"1589a5f7-4b2a-4a20-bea0-5c6465823568","block_type":"box","text":"II-71","page_number":107,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"d966f2b0-8c6d-4ca4-9439-a1dd4abb33d5","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":107,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e1cc5257-959e-412f-955b-33dd86de7dfe","block_type":"box","text":"private investments may differ significantly from the values that would have been used had a readily available market","page_number":108,"box":{"x":70,"y":45,"width":835,"height":11}},{"id":"65843654-07df-44a7-9691-e2f752d73cae","block_type":"box","text":"value existed for such investments and may differ materially from the amounts the Fund may realize on any","page_number":108,"box":{"x":68,"y":60,"width":766,"height":11}},{"id":"9cc6fca7-bb73-46d9-aeb8-05f613d5ab3a","block_type":"box","text":"dispositions of such investments. Differences in the value of the Fund’s private investments could result in the","page_number":108,"box":{"x":69,"y":75,"width":792,"height":11}},{"id":"b13f81db-ea5e-4a6d-9afd-f2062f37dcaa","block_type":"box","text":"Fund’s shareholder transactions being effected at a NAV that does not accurately reflect the underlying value of the","page_number":108,"box":{"x":70,"y":90,"width":821,"height":11}},{"id":"bff2a7db-2521-41e9-8b62-09d5f6d70e2f","block_type":"box","text":"Fund’s portfolio, potentially resulting in the dilution of shareholder interests and increasing opportunities for","page_number":108,"box":{"x":70,"y":105,"width":771,"height":11}},{"id":"a6acdf27-20ff-494b-b4c3-a7969a90d5f7","block_type":"box","text":"shareholder arbitrage. The values used by the Fund to price its restricted securities may also differ from those used","page_number":108,"box":{"x":69,"y":120,"width":826,"height":12}},{"id":"481fdc11-e1c2-4791-b913-386a18b8acac","block_type":"box","text":"by other investment companies and investors to price the same restricted securities. In addition, the impact of","page_number":108,"box":{"x":69,"y":135,"width":790,"height":11}},{"id":"65018df4-629c-4e28-a371-5b320b08c8ff","block_type":"box","text":"changes in the market environment and other events on the fair values of a Fund’s investments that have no readily","page_number":108,"box":{"x":69,"y":150,"width":828,"height":12}},{"id":"f8c4cae0-f85b-47ee-b95b-0400465112be","block_type":"box","text":"available market values may differ from the impact of such changes on the readily available market values for the","page_number":108,"box":{"x":69,"y":166,"width":810,"height":11}},{"id":"153c36bf-c5f0-4356-8080-9eaf540bca89","block_type":"box","text":"Fund’s other investments. A Fund’s NAV could be adversely affected if the Fund’s determinations regarding the fair","page_number":108,"box":{"x":70,"y":181,"width":818,"height":11}},{"id":"aa56494f-eab4-40d9-9ede-f37d086fe84b","block_type":"box","text":"value of the Fund’s investments were materially higher than the investment’s actual market or fair value or the values","page_number":108,"box":{"x":68,"y":196,"width":839,"height":11}},{"id":"fd3ee048-e4f6-41bb-a5eb-f3372ae9e87a","block_type":"box","text":"that the Fund ultimately realizes upon the disposal of such investments.","page_number":108,"box":{"x":68,"y":211,"width":514,"height":11}},{"id":"810abb8f-6502-4a26-a7de-557d26936d30","block_type":"box","text":"See also risks discussed under “Illiquid Investments.”","page_number":108,"box":{"x":102,"y":234,"width":385,"height":11}},{"id":"752066c9-e32d-46de-b966-cfc0e4cf5836","block_type":"box","text":"Reverse Repurchase Agreements.","page_number":108,"box":{"x":102,"y":257,"width":246,"height":10}},{"id":"37ce297d-b922-4857-becb-6e022a3b3e5e","block_type":"box","text":"A Fund may enter into reverse repurchase agreements with the same parties","page_number":108,"box":{"x":354,"y":257,"width":548,"height":11}},{"id":"369abc7e-5dc9-4188-ae07-3414d9051b14","block_type":"box","text":"with whom it may enter into repurchase agreements. Under a reverse repurchase agreement, a Fund sells securities","page_number":108,"box":{"x":68,"y":272,"width":830,"height":11}},{"id":"a6a63240-1f44-4603-9bb7-515ce8a97e54","block_type":"box","text":"to another party and agrees to repurchase them at a particular date and price. A Fund may enter into a reverse","page_number":108,"box":{"x":68,"y":287,"width":793,"height":11}},{"id":"ee3eb022-9cce-4c16-a154-1319c12bae6f","block_type":"box","text":"repurchase agreement when it is anticipated that the interest income to be earned from the investment of the","page_number":108,"box":{"x":69,"y":302,"width":784,"height":11}},{"id":"189bead2-172a-4345-bc69-d38c90a2e26e","block_type":"box","text":"proceeds of the transaction is greater than the interest expense of the transaction.","page_number":108,"box":{"x":70,"y":317,"width":591,"height":11}},{"id":"c03452ed-90dd-4fd6-bf6c-184b2f1995c9","block_type":"box","text":"The use of reverse repurchase agreements may be regarded as leveraging and, therefore, speculative.","page_number":108,"box":{"x":101,"y":339,"width":730,"height":12}},{"id":"092fdc75-5f86-4e19-b802-b7da64b455e6","block_type":"box","text":"Furthermore, reverse repurchase agreements involve the risks that (i) the interest income earned in the investment","page_number":108,"box":{"x":70,"y":355,"width":822,"height":11}},{"id":"c9e88973-d46f-45f6-9bc9-3c3bcaa2544c","block_type":"box","text":"of the proceeds will be less than the interest expense, (ii) the market value of the securities retained in lieu of sale","page_number":108,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"d5df34f0-8c68-4fec-a445-8f1d0a6d1a78","block_type":"box","text":"by a Fund may decline below the price of the securities the Fund has sold but is obligated to repurchase, (iii) the","page_number":108,"box":{"x":69,"y":385,"width":801,"height":11}},{"id":"9f7e28e8-b9d5-4412-804f-a99a77c49202","block_type":"box","text":"market value of the securities sold will decline below the price at which the Fund is required to repurchase them and","page_number":108,"box":{"x":69,"y":400,"width":830,"height":11}},{"id":"1f059529-eb9f-41be-b70d-fa88f0df0bcc","block_type":"box","text":"(iv) the securities will not be returned to the Fund.","page_number":108,"box":{"x":69,"y":415,"width":354,"height":11}},{"id":"ad5c985f-8eed-40e0-8c0c-c1ed4ce1d539","block_type":"box","text":"In addition, if the buyer of securities under a reverse repurchase agreement files for bankruptcy or becomes","page_number":108,"box":{"x":102,"y":438,"width":769,"height":11}},{"id":"c7aa5a44-2bc9-4d3d-82b2-b77694a4b1e5","block_type":"box","text":"insolvent, such buyer or its trustee or receiver may receive an extension of time to determine whether to enforce a","page_number":108,"box":{"x":70,"y":453,"width":815,"height":11}},{"id":"df8106e0-bbca-46da-96e5-52deb06f6579","block_type":"box","text":"Fund’s obligations to repurchase the securities and the Fund’s use of the proceeds of the reverse repurchase","page_number":108,"box":{"x":70,"y":468,"width":782,"height":11}},{"id":"4c701ef1-1492-4c9a-81cc-45b52df5f6c4","block_type":"box","text":"agreement may effectively be restricted pending such decision.","page_number":108,"box":{"x":69,"y":483,"width":449,"height":11}},{"id":"bdfe70f8-8d3b-47ed-bb58-da3a68ca0361","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into reverse repurchase agreements and","page_number":108,"box":{"x":102,"y":506,"width":794,"height":11}},{"id":"1ece5b95-17bf-409b-8364-dec3cb018d96","block_type":"box","text":"similar financing transactions (","page_number":108,"box":{"x":69,"y":521,"width":218,"height":11}},{"id":"c4f2428a-b016-4bbe-84e0-228791fc8ea7","block_type":"box","text":"e.g.","page_number":108,"box":{"x":289,"y":522,"width":24,"height":10}},{"id":"f8338eae-2df1-4b75-b6c0-16646233fdc5","block_type":"box","text":", recourse and non-recourse tender option bonds, borrowed bonds) notwithstanding","page_number":108,"box":{"x":316,"y":521,"width":594,"height":11}},{"id":"6e4be6ff-21b3-4597-a9f6-7ec071657a39","block_type":"box","text":"the limitation on the issuance of senior securities in Section 18 of the Investment Company Act, provided that the","page_number":108,"box":{"x":68,"y":536,"width":813,"height":11}},{"id":"1a80ebca-86dc-4de6-a3c5-d42051d9b8cf","block_type":"box","text":"Fund either (i) complies with the 300% asset coverage ratio with respect to all such transactions and any other","page_number":108,"box":{"x":70,"y":551,"width":789,"height":11}},{"id":"62ddc1ee-9769-407d-95a8-36e4dceed217","block_type":"box","text":"borrowings in the aggregate, or (ii) treats all such transactions as Derivatives Transactions under Rule 18f-4. See “—","page_number":108,"box":{"x":69,"y":566,"width":836,"height":11}},{"id":"75a56ea9-359d-4f93-9ca8-5b91a52c83a6","block_type":"box","text":"Derivatives — Regulation of Derivatives — Rule 18f-4 under the Investment Company Act” above. The SEC has also","page_number":108,"box":{"x":70,"y":581,"width":824,"height":12}},{"id":"6032374a-8e65-480c-a31f-56bd3457caec","block_type":"box","text":"finalized rules that will require certain transactions involving U.S. Treasuries, including reverse repurchase","page_number":108,"box":{"x":68,"y":596,"width":758,"height":12}},{"id":"42db80e6-04e9-4097-99a4-66df6aabfcdd","block_type":"box","text":"agreements, to be centrally cleared. Compliance with these rules is expected to be required by the middle of 2027.","page_number":108,"box":{"x":69,"y":612,"width":822,"height":11}},{"id":"a0bd6244-0324-4c79-ac2a-2aace37e0d98","block_type":"box","text":"Although the impact of these rules on the Funds is difficult to predict, they may reduce the availability or increase the","page_number":108,"box":{"x":68,"y":627,"width":838,"height":11}},{"id":"ad9db0de-5123-4a4b-9989-1b1e0516dfc0","block_type":"box","text":"costs of such transactions and may adversely affect a Fund’s performance.","page_number":108,"box":{"x":69,"y":642,"width":538,"height":11}},{"id":"82de1f73-54cd-4f68-bed9-7829e6eb95fa","block_type":"box","text":"Additionally, regulations adopted by global prudential regulators require certain bank-regulated counterparties","page_number":108,"box":{"x":101,"y":665,"width":780,"height":11}},{"id":"00598d54-8491-4b36-b0d9-f5f53075b719","block_type":"box","text":"and certain of their affiliates to include in certain financial contracts, including many reverse repurchase agreements,","page_number":108,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"0204f9a2-4167-4697-ac60-4537fbd4d6bd","block_type":"box","text":"terms that delay or restrict the rights of counterparties, such as a Fund, to terminate such agreements, take","page_number":108,"box":{"x":68,"y":695,"width":775,"height":11}},{"id":"ca83cbe9-75be-4f4d-bb96-939fd2abf55f","block_type":"box","text":"foreclosure action, exercise other default rights or restrict transfers of credit support in the event that the","page_number":108,"box":{"x":68,"y":710,"width":754,"height":11}},{"id":"0eb7f4fd-075c-4fcd-b3ef-2d4a3a764916","block_type":"box","text":"counterparty and/or its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible","page_number":108,"box":{"x":69,"y":725,"width":818,"height":11}},{"id":"6db7de9e-a583-4cb2-8288-3bc99a229ff9","block_type":"box","text":"that these requirements, as well as potential additional government regulation and other developments in the","page_number":108,"box":{"x":68,"y":740,"width":783,"height":11}},{"id":"c9670449-ba6d-4469-8e81-257bac98e949","block_type":"box","text":"market, could adversely affect a Fund’s ability to terminate existing reverse repurchase agreements or to realize","page_number":108,"box":{"x":69,"y":755,"width":800,"height":11}},{"id":"8dfd3af8-a0df-4ed0-b2b2-071398ae92a9","block_type":"box","text":"amounts to be received under such agreements.","page_number":108,"box":{"x":69,"y":771,"width":345,"height":11}},{"id":"b9270fcb-4bd2-4356-b4c6-974d46338053","block_type":"box","text":"Rights Offerings and Warrants to Purchase.","page_number":108,"box":{"x":102,"y":793,"width":316,"height":11}},{"id":"1c118310-3618-42ab-bfd4-ffcbb197c1a5","block_type":"box","text":"Certain Funds may participate in rights offerings and may purchase","page_number":108,"box":{"x":424,"y":793,"width":481,"height":11}},{"id":"3a2ce6a9-1716-4289-8142-26185339ed6c","block_type":"box","text":"warrants, which are privileges issued by corporations enabling the owners to subscribe to and purchase a specified","page_number":108,"box":{"x":68,"y":808,"width":822,"height":11}},{"id":"750f2ecf-c009-48af-899f-f4b0856a0cd4","block_type":"box","text":"number of shares of the corporation at a specified price during a specified period of time. Subscription rights","page_number":108,"box":{"x":69,"y":823,"width":776,"height":12}},{"id":"0ca08949-b057-4e9b-9097-9fc09961ec56","block_type":"box","text":"normally have a short life span to expiration. The purchase of rights or warrants involves the risk that a Fund could","page_number":108,"box":{"x":69,"y":838,"width":817,"height":12}},{"id":"55871157-d8f5-43b9-9f7a-5aced53b624e","block_type":"box","text":"lose the purchase value of a right or warrant if the right to subscribe to additional shares is not exercised prior to the","page_number":108,"box":{"x":70,"y":853,"width":833,"height":12}},{"id":"7e20f49a-b2d8-4282-b536-2ec7fa44441e","block_type":"box","text":"rights’ and warrants’ expiration. Also, the purchase of rights and/or warrants involves the risk that the effective price","page_number":108,"box":{"x":69,"y":869,"width":835,"height":11}},{"id":"d91bf795-771b-4fe5-aeda-5327d34ea0eb","block_type":"box","text":"paid for the right and/or warrant added to the subscription price of the related security may exceed the value of the","page_number":108,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"78d4ee4b-9454-4059-b72f-9c50816c13c9","block_type":"box","text":"subscribed security’s market price such as when there is no movement in the level of the underlying security. Buying","page_number":108,"box":{"x":69,"y":899,"width":830,"height":11}},{"id":"15d95c22-2aeb-4860-951b-34c33be0d3bc","block_type":"box","text":"II-72","page_number":108,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fc2b25b4-df09-438c-b541-1cec8f923431","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":108,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fec20aa3-9d50-4d37-8bb8-9fd4e3b6b1df","block_type":"box","text":"a warrant does not make the Fund a shareholder of the underlying stock. The warrant holder has no voting or","page_number":109,"box":{"x":69,"y":45,"width":777,"height":11}},{"id":"a3420e75-8328-40e2-81de-ecb44787014e","block_type":"box","text":"dividend rights with respect to the underlying stock. A warrant does not carry any right to assets of the issuer, and for","page_number":109,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"bea3f0c3-426e-416b-b0f5-55be80259c8b","block_type":"box","text":"this reason investments in warrants may be more speculative than other equity-based investments.","page_number":109,"box":{"x":68,"y":75,"width":708,"height":11}},{"id":"d5490b36-e906-4e02-9b79-7be8aeac88c3","block_type":"box","text":"Rule 144A Securities.","page_number":109,"box":{"x":102,"y":98,"width":159,"height":9}},{"id":"2b8394b6-c165-4597-ba74-ed111fc5784d","block_type":"box","text":"A Fund may purchase securities that can be offered and sold only to “qualified","page_number":109,"box":{"x":266,"y":98,"width":560,"height":11}},{"id":"22f9a0be-4171-4b2d-b17e-479403d44887","block_type":"box","text":"institutional buyers” pursuant to Rule 144A under the Securities Act. See “Restricted Securities” above.","page_number":109,"box":{"x":70,"y":113,"width":741,"height":11}},{"id":"a40f726f-d7a6-4c8b-abd0-86910ec18bb8","block_type":"box","text":"Securities Lending.","page_number":109,"box":{"x":101,"y":135,"width":139,"height":11}},{"id":"d90d69d9-e602-4c73-9f76-457ca8499c09","block_type":"box","text":"Each Fund may lend portfolio securities to certain borrowers that BlackRock determines to","page_number":109,"box":{"x":247,"y":135,"width":645,"height":11}},{"id":"705add06-bb3d-40f5-b256-7bd5fc997751","block_type":"box","text":"be creditworthy, including borrowers affiliated with BlackRock. The borrowers provide collateral that is maintained in","page_number":109,"box":{"x":69,"y":150,"width":825,"height":12}},{"id":"662e3db5-6ed2-40e0-b9bf-e713951b15be","block_type":"box","text":"an amount at least equal to the current market value of the securities loaned. No securities loan shall be made on","page_number":109,"box":{"x":69,"y":166,"width":817,"height":11}},{"id":"81a1044f-4150-40f9-881b-d40b359f7429","block_type":"box","text":"behalf of a Fund if, as a result, the aggregate value of all securities loans of the particular Fund exceeds one-third of","page_number":109,"box":{"x":69,"y":181,"width":831,"height":11}},{"id":"5cb2353d-8a72-4e6c-b99b-78e1b9ec4f76","block_type":"box","text":"the value of such Fund’s total assets (including the value of the collateral received). A Fund may terminate a loan at","page_number":109,"box":{"x":68,"y":196,"width":827,"height":11}},{"id":"421de549-8158-45c6-9bf8-af1a717bc04f","block_type":"box","text":"any time and obtain the return of the securities loaned. Each Fund receives, by way of substitute payment, the value","page_number":109,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"9207c089-3624-4bc8-9fc1-60083e86b3cd","block_type":"box","text":"of any interest or cash or non-cash distributions paid on the loaned securities that it would have otherwise received if","page_number":109,"box":{"x":69,"y":226,"width":838,"height":11}},{"id":"8f89ffa2-b2a4-457d-9e25-48aa8146f375","block_type":"box","text":"the securities were not on loan.","page_number":109,"box":{"x":68,"y":241,"width":225,"height":9}},{"id":"7441a640-a25b-4e59-b2d5-0d1390baea1f","block_type":"box","text":"With respect to loans that are collateralized by cash, the borrower may be entitled to receive a fee based on the","page_number":109,"box":{"x":101,"y":264,"width":799,"height":11}},{"id":"ef34d033-c7cb-4c65-b786-236a8c1a5bff","block_type":"box","text":"amount of cash collateral. The Funds are compensated by any positive difference between the amount earned on the","page_number":109,"box":{"x":69,"y":279,"width":835,"height":11}},{"id":"d847d572-accd-4782-9e72-263fa8757c85","block_type":"box","text":"reinvestment of cash collateral and the fee paid to the borrower. In the case of collateral other than cash, a Fund is","page_number":109,"box":{"x":69,"y":294,"width":824,"height":11}},{"id":"d955dcba-4525-4303-bac9-9278b5640844","block_type":"box","text":"compensated by a fee paid by the borrower equal to a percentage of the market value of the loaned securities. Any","page_number":109,"box":{"x":69,"y":309,"width":821,"height":11}},{"id":"fa4d94ac-e64e-4b44-a0d3-c3ca9b39f5a1","block_type":"box","text":"cash collateral received by the Fund for such loans, and uninvested cash, may be reinvested in certain short-term","page_number":109,"box":{"x":69,"y":324,"width":810,"height":11}},{"id":"d79463e1-afc0-4834-aefe-9961469129c6","block_type":"box","text":"instruments either directly on behalf of the Fund or through one or more joint accounts or money market funds,","page_number":109,"box":{"x":70,"y":339,"width":789,"height":12}},{"id":"416ad150-3f91-47b0-9762-1471e55b2849","block_type":"box","text":"including those affiliated with BlackRock; such investments are subject to investment risk.","page_number":109,"box":{"x":70,"y":355,"width":643,"height":11}},{"id":"def1a045-20a8-4c83-9026-2455155d1da9","block_type":"box","text":"Securities lending involves exposure to certain risks, including operational risk (","page_number":109,"box":{"x":102,"y":377,"width":568,"height":12}},{"id":"0180af5f-5008-47f6-b442-05044c6e2d83","block_type":"box","text":"i.e.","page_number":109,"box":{"x":672,"y":377,"width":20,"height":9}},{"id":"237be2a7-1f7c-496f-bd2f-9245972c3a99","block_type":"box","text":", the risk of losses resulting","page_number":109,"box":{"x":695,"y":377,"width":198,"height":12}},{"id":"76c75ef4-15dd-44aa-b03a-2df8e8b14476","block_type":"box","text":"from problems in the settlement and accounting process), “gap” risk (","page_number":109,"box":{"x":68,"y":392,"width":501,"height":12}},{"id":"c2a4a48e-75bb-474d-a719-efc0e29b645f","block_type":"box","text":"i.e.","page_number":109,"box":{"x":571,"y":393,"width":20,"height":8}},{"id":"6324b95a-4401-467d-be9b-c90ff6c1e77e","block_type":"box","text":", the risk of a mismatch between the return","page_number":109,"box":{"x":594,"y":392,"width":307,"height":11}},{"id":"8b70e118-3672-48c9-846e-a8127de9e6ff","block_type":"box","text":"on cash collateral reinvestments and the fees each Fund has agreed to pay a borrower), foreign exchange risk (","page_number":109,"box":{"x":69,"y":407,"width":794,"height":12}},{"id":"09cea34e-5802-4821-b3e8-7a293510aa65","block_type":"box","text":"i.e.","page_number":109,"box":{"x":865,"y":408,"width":20,"height":8}},{"id":"871771a9-895d-4abf-9854-5fa6956cf372","block_type":"box","text":",","page_number":109,"box":{"x":888,"y":415,"width":2,"height":3}},{"id":"38b98854-a0d7-428e-a605-98df978597e1","block_type":"box","text":"the risk of a shortfall at default when a cash collateral investment is denominated in a currency other than the","page_number":109,"box":{"x":68,"y":423,"width":788,"height":11}},{"id":"f100926a-8afc-427d-b28f-9308089a0a99","block_type":"box","text":"currency of the assets being loaned due to movements in foreign exchange rates), and credit, legal, counterparty and","page_number":109,"box":{"x":69,"y":438,"width":837,"height":11}},{"id":"a16a12ea-9ead-4e2e-bb44-31e07d199397","block_type":"box","text":"market risks (including the risk that market events, including but not limited to corporate actions, could lead a Fund","page_number":109,"box":{"x":69,"y":453,"width":822,"height":11}},{"id":"3db78a16-2926-4f5a-97ba-6fd5452caff7","block_type":"box","text":"to lend securities that are trading at a premium due to increased demand, or to recall loaned securities or to lend","page_number":109,"box":{"x":68,"y":468,"width":811,"height":11}},{"id":"ca5ff672-ad51-4cc1-8184-ba893b888071","block_type":"box","text":"less or not at all, which could lead to reduced securities lending revenue). If a Fund were to lend out securities that","page_number":109,"box":{"x":70,"y":483,"width":820,"height":11}},{"id":"5adede89-93ab-4f27-80df-227013c92b10","block_type":"box","text":"are subject to a corporate action and commit to the borrower a particular election as determined by the Fund’s","page_number":109,"box":{"x":69,"y":498,"width":790,"height":11}},{"id":"f6e21f8c-8229-4781-ae91-81c447068d10","block_type":"box","text":"investment adviser, the benefit the Fund would receive in respect of committing to such election may or may not be","page_number":109,"box":{"x":70,"y":513,"width":820,"height":12}},{"id":"10664452-904f-4889-b8ec-83b79d0dccd0","block_type":"box","text":"less than the benefit the Fund would have received from making a different election in such corporate action. If a","page_number":109,"box":{"x":70,"y":528,"width":805,"height":12}},{"id":"9b079802-0cb5-4ace-ab6b-a6584401a896","block_type":"box","text":"securities lending counterparty were to default, a Fund would be subject to the risk of a possible delay in receiving","page_number":109,"box":{"x":69,"y":543,"width":816,"height":12}},{"id":"ffd13b47-73aa-4e5b-9613-6daaa6f6afa6","block_type":"box","text":"collateral or in recovering the loaned securities, or to a possible loss of rights in the collateral. In the event a","page_number":109,"box":{"x":69,"y":559,"width":775,"height":11}},{"id":"b7141a3c-ac96-4a11-b852-a2786599bfa1","block_type":"box","text":"borrower does not return a Fund’s securities as agreed, the Fund’s ability to participate in a corporate action event","page_number":109,"box":{"x":69,"y":574,"width":821,"height":11}},{"id":"643b1241-db27-4154-baac-b6612451b6ff","block_type":"box","text":"may be impacted, or the Fund may experience losses if the proceeds received from liquidating the collateral do not at","page_number":109,"box":{"x":69,"y":589,"width":838,"height":11}},{"id":"72f27195-dd57-4788-bfdd-498432e318ce","block_type":"box","text":"least equal the value of the loaned security at the time the collateral is liquidated, plus the transaction costs incurred","page_number":109,"box":{"x":70,"y":604,"width":837,"height":11}},{"id":"ee1e8bae-d710-4673-9269-3c67dbe70217","block_type":"box","text":"in purchasing replacement securities. This latter event could trigger adverse tax consequences for a Fund. A Fund","page_number":109,"box":{"x":70,"y":619,"width":808,"height":11}},{"id":"7c370745-1336-4514-9b9f-b9658e5f5dda","block_type":"box","text":"could lose money if its short-term investment of the collateral declines in value over the period of the loan. Substitute","page_number":109,"box":{"x":69,"y":634,"width":839,"height":11}},{"id":"0cea319f-9d99-4ddf-b4dd-49e2c5baa873","block_type":"box","text":"payments received by a Fund representing dividends paid on securities loaned out by the Fund will not be considered","page_number":109,"box":{"x":70,"y":650,"width":832,"height":11}},{"id":"c3bada3f-6661-45c5-93c0-1c76ed3b57c5","block_type":"box","text":"qualified dividend income, and distributions by the Fund of such substitute payments will not constitute qualified","page_number":109,"box":{"x":69,"y":664,"width":801,"height":12}},{"id":"4196ae98-c23f-4cdf-a372-96e477005551","block_type":"box","text":"dividend income. Additionally, substitute payments received by a Fund representing qualified REIT dividends paid on","page_number":109,"box":{"x":69,"y":680,"width":823,"height":11}},{"id":"53a63c61-d03d-4204-a7f8-b156ee480d6f","block_type":"box","text":"REIT securities loaned out by the Fund will not be considered qualified REIT dividends, and distributions by the Fund","page_number":109,"box":{"x":70,"y":695,"width":823,"height":11}},{"id":"7664fe83-b191-44ba-9a1a-6153d6e06590","block_type":"box","text":"of such substitute payments will not be eligible for a 20% deduction currently available for ordinary REIT dividends","page_number":109,"box":{"x":69,"y":710,"width":812,"height":11}},{"id":"df6a32a4-7a7f-479c-99ed-a0185431f1ad","block_type":"box","text":"paid to non-corporate shareholders provided certain other requirements are satisfied. The securities lending agent","page_number":109,"box":{"x":70,"y":725,"width":814,"height":11}},{"id":"5c312aff-c858-42a4-bcfe-c1f47f548da5","block_type":"box","text":"will take into account the tax effects on shareholders caused by these differences in connection with a Fund’s","page_number":109,"box":{"x":68,"y":740,"width":787,"height":11}},{"id":"6e6b75e5-6f2b-45a0-9a6c-f0941b2d4af9","block_type":"box","text":"securities lending program. Substitute payments received on tax-exempt securities loaned out will not be tax-exempt","page_number":109,"box":{"x":69,"y":755,"width":828,"height":11}},{"id":"53faa23e-b291-4a77-8581-acf8b009ff11","block_type":"box","text":"income. There could also be changes in the status of issuers under applicable laws and regulations, including tax","page_number":109,"box":{"x":70,"y":770,"width":809,"height":12}},{"id":"3b086ec9-69ea-44b9-8d25-3dae3d62e342","block_type":"box","text":"regulations, that may impact the regulatory or tax treatment of loaned securities and could, for example, result in a","page_number":109,"box":{"x":69,"y":785,"width":821,"height":12}},{"id":"ca55ff56-1f68-47cc-b4fc-759b65325a3f","block_type":"box","text":"delay in the payment of dividend equivalent payments owed to a Fund (as permitted by applicable law).","page_number":109,"box":{"x":69,"y":801,"width":731,"height":11}},{"id":"5c48f9c7-961d-486a-a2c3-252ee5253517","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":109,"box":{"x":102,"y":823,"width":800,"height":12}},{"id":"5d44b73b-ca87-4a86-a93c-1583ea847031","block_type":"box","text":"their affiliates to include in certain financial contracts, including many securities lending agreements, terms that","page_number":109,"box":{"x":68,"y":838,"width":802,"height":12}},{"id":"5700958c-981a-4007-91e4-767ec81c9e8d","block_type":"box","text":"delay or restrict the rights of counterparties, such as the Fund, to terminate such agreements, foreclose upon","page_number":109,"box":{"x":69,"y":853,"width":783,"height":12}},{"id":"be3d371e-b82f-4c6a-b693-cd4280fe1ce6","block_type":"box","text":"collateral, exercise other default rights or restrict transfers of credit support in the event that the counterparty and/or","page_number":109,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"44921642-41c9-45d0-bd2a-308d363d6fdc","block_type":"box","text":"its affiliates are subject to certain types of resolution or insolvency proceedings. It is possible that these","page_number":109,"box":{"x":70,"y":884,"width":747,"height":11}},{"id":"52e29cb1-e0ca-453c-ac50-d0def990ec8b","block_type":"box","text":"requirements, as well as potential additional government regulation and other developments in the market, could","page_number":109,"box":{"x":69,"y":899,"width":806,"height":11}},{"id":"1061797d-f966-45c8-8049-6997752c8284","block_type":"box","text":"II-73","page_number":109,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"6fc3b0d6-93c3-4fd7-8d3e-18773a83e33f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":109,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c6216b23-235a-423f-8500-71f996c54b4d","block_type":"box","text":"adversely affect the Fund’s ability to terminate existing securities lending agreements or to realize amounts to be","page_number":110,"box":{"x":69,"y":45,"width":808,"height":11}},{"id":"ca13255c-8907-4be4-ab5c-082dbc3e6cf8","block_type":"box","text":"received under such agreements. Prudential regulation may also favor lenders that can provide additional protections,","page_number":110,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"db40b06d-1835-4efe-8bc6-7605ac8f4e60","block_type":"box","text":"such as liens that are exercisable in connection with a lender default, to borrowers. Certain Funds expect to provide","page_number":110,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"b83bfc9f-3ca4-40b6-a7af-cc436ee4bb05","block_type":"box","text":"additional protections to borrowers, where permitted pursuant to a Fund’s investment policies and if BlackRock","page_number":110,"box":{"x":69,"y":90,"width":794,"height":11}},{"id":"f7780b94-082f-4eb7-8b2b-fea38a0d4f78","block_type":"box","text":"believes doing so is in the best interest of the Fund.","page_number":110,"box":{"x":69,"y":105,"width":371,"height":11}},{"id":"c1214be2-377b-4d51-beab-84cf3f075f2a","block_type":"box","text":"The SEC has adopted a rule that will require reporting and public disclosure of securities loan transaction","page_number":110,"box":{"x":101,"y":128,"width":753,"height":11}},{"id":"9cbf6d60-f8cd-42fa-a8ec-8eac98846f3c","block_type":"box","text":"information (not including party names); this may include, but is not limited to, information about securities loans","page_number":110,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"c0a16605-33c8-4d80-8d21-a7258ccbd10b","block_type":"box","text":"entered into in connection with short sales. Compliance with this rule is expected to be required in late 2028,","page_number":110,"box":{"x":69,"y":158,"width":784,"height":11}},{"id":"ddc9f05d-ee06-42d9-baad-c6ea0869a70b","block_type":"box","text":"although in response to the outcome of a legal challenge against the rule, the SEC may amend the rule and/or delay","page_number":110,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"5a5af38c-daf3-4233-a5b5-4e1aa8816724","block_type":"box","text":"the current expected compliance date.","page_number":110,"box":{"x":68,"y":188,"width":273,"height":11}},{"id":"eeae7cc0-afd1-4191-80b7-e966b7627d84","block_type":"box","text":"Short Sales.","page_number":110,"box":{"x":101,"y":211,"width":89,"height":9}},{"id":"d5bfc08e-a1ec-4833-8dbb-8addca4d6cc3","block_type":"box","text":"Certain Funds may make short sales of securities, either as a hedge against potential declines in","page_number":110,"box":{"x":196,"y":211,"width":696,"height":11}},{"id":"5cc3db69-1458-4eed-98b5-994c26ac97b2","block_type":"box","text":"value of a portfolio security or to realize appreciation when a security that the Fund does not own declines in value.","page_number":110,"box":{"x":68,"y":226,"width":821,"height":11}},{"id":"7b40476e-7c8e-4d2f-8f7b-e531fe17811e","block_type":"box","text":"Certain Funds have a fundamental investment restriction prohibiting short sales of securities unless they are","page_number":110,"box":{"x":69,"y":241,"width":778,"height":11}},{"id":"e68f4e9e-e277-452b-97bb-deff396e5cf2","block_type":"box","text":"“against-the-box.” In a short sale “against-the-box,” at the time of the sale, the Fund owns or has the immediate and","page_number":110,"box":{"x":70,"y":256,"width":831,"height":12}},{"id":"1a76c7f0-ed94-413a-9df2-4f1b1d405e2e","block_type":"box","text":"unconditional right to acquire the identical security at no additional cost. When a Fund makes a short sale, it borrows","page_number":110,"box":{"x":69,"y":272,"width":837,"height":11}},{"id":"ace9d267-a0e1-409b-8c8d-b26759a97987","block_type":"box","text":"the security sold short and delivers it to the broker-dealer through which it made the short sale. A Fund may have to","page_number":110,"box":{"x":68,"y":287,"width":828,"height":11}},{"id":"a1f96fe5-9e07-4458-aaa8-1450d3e705b7","block_type":"box","text":"pay a fee to borrow particular securities and is often obligated to turn over any payments received on such borrowed","page_number":110,"box":{"x":70,"y":302,"width":829,"height":11}},{"id":"76381aea-b124-4a40-affa-9263973422e6","block_type":"box","text":"securities to the lender of the securities.","page_number":110,"box":{"x":69,"y":317,"width":289,"height":9}},{"id":"37ecdc0a-90f7-405e-8b1b-936df9cc954b","block_type":"box","text":"A Fund secures its obligation to replace the borrowed security by depositing collateral with the broker-dealer,","page_number":110,"box":{"x":101,"y":340,"width":772,"height":11}},{"id":"fbea7170-861a-4739-ada7-e6f85524af51","block_type":"box","text":"usually in cash, U.S. Government Securities or other liquid securities similar to those borrowed. With respect to","page_number":110,"box":{"x":69,"y":355,"width":795,"height":11}},{"id":"155c90ae-fdb4-49a8-8a4b-628cf4f0fb77","block_type":"box","text":"uncovered short positions, a Fund is required to deposit similar collateral with its custodian, if necessary, to the","page_number":110,"box":{"x":69,"y":370,"width":801,"height":11}},{"id":"5d8b634f-97b5-44c2-8c36-4435c8849d0b","block_type":"box","text":"extent that the value of both collateral deposits in the aggregate is at all times equal to at least 100% of the current","page_number":110,"box":{"x":69,"y":385,"width":830,"height":11}},{"id":"95bbaf51-33b9-41f0-8efb-3eed89272bf9","block_type":"box","text":"market value of the security sold short. Depending on arrangements made with the broker-dealer from which the Fund","page_number":110,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"8c123be7-3857-4002-a27b-bf03448dec1e","block_type":"box","text":"borrowed the security, regarding payment received by the Fund on such security, a Fund may not receive any","page_number":110,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"fee567fa-0a20-4a5a-9522-bf3f8ac1124f","block_type":"box","text":"payments (including interest) on its collateral deposited with such broker-dealer.","page_number":110,"box":{"x":70,"y":430,"width":568,"height":11}},{"id":"3e4b5397-b1d7-430c-8583-dacdc07c0c68","block_type":"box","text":"Because making short sales in securities that it does not own exposes a Fund to the risks associated with those","page_number":110,"box":{"x":102,"y":453,"width":806,"height":11}},{"id":"4f059db9-7de2-4503-aa18-9c0503f0de6b","block_type":"box","text":"securities, such short sales involve speculative exposure risk. A Fund will incur a loss as a result of a short sale if","page_number":110,"box":{"x":69,"y":468,"width":817,"height":11}},{"id":"1753fc93-c676-4a48-bec1-bc376a048f6e","block_type":"box","text":"the price of the security increases between the date of the short sale and the date on which the Fund replaces the","page_number":110,"box":{"x":68,"y":483,"width":819,"height":11}},{"id":"19876ec7-0cb5-4e1e-83cc-9936ea8495d8","block_type":"box","text":"borrowed security. As a result, if a Fund makes short sales in securities that increase in value, it will likely","page_number":110,"box":{"x":69,"y":498,"width":758,"height":11}},{"id":"e5e74fa6-3157-458d-9ce0-0bcc3542d633","block_type":"box","text":"underperform similar mutual funds that do not make short sales in securities. A Fund will realize a gain on a short","page_number":110,"box":{"x":69,"y":513,"width":817,"height":12}},{"id":"8109f2e4-89ba-4a20-87e7-d0efb7fcd0c1","block_type":"box","text":"sale if the security declines in price between those dates. There can be no assurance that a Fund will be able to","page_number":110,"box":{"x":69,"y":528,"width":800,"height":12}},{"id":"9afb7dab-f12b-452a-86cc-1a006725f976","block_type":"box","text":"close out a short sale position at any particular time or at an acceptable price. Although a Fund’s gain is limited to","page_number":110,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"b6abb377-cdb6-4f85-95b8-9f0a41570271","block_type":"box","text":"the price at which it sold the security short, its potential loss is limited only by the maximum attainable price of the","page_number":110,"box":{"x":68,"y":559,"width":821,"height":11}},{"id":"f4d3ea0f-ce69-4756-a6ff-0af8feed774d","block_type":"box","text":"security, less the price at which the security was sold and may, theoretically, be unlimited.","page_number":110,"box":{"x":69,"y":574,"width":640,"height":11}},{"id":"5bd2d47b-f328-44c1-8a3a-c98190c0565e","block_type":"box","text":"A Fund may also make short sales “against the box” without being subject to such limitations.","page_number":110,"box":{"x":101,"y":597,"width":673,"height":11}},{"id":"8e95bb09-9c52-44d2-beac-7e631c47b495","block_type":"box","text":"A Fund must comply with Rule 18f-4 under the Investment Company Act with respect to its short sale","page_number":110,"box":{"x":101,"y":619,"width":721,"height":11}},{"id":"06e53802-a6fa-48ab-bfd8-e417e3af9dc2","block_type":"box","text":"borrowings, which are considered Derivatives Transactions under the Rule. See “—Derivatives — Regulation of","page_number":110,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"59192b17-0e52-477e-9e4a-20257e9d66d0","block_type":"box","text":"Derivatives — Rule 18f-4 under the Investment Company Act” above.","page_number":110,"box":{"x":70,"y":649,"width":489,"height":12}},{"id":"d5b78212-3370-4d6c-aaa8-6a364ebae5d2","block_type":"box","text":"Short sales are also subject to certain SEC regulations and certain European Union and United Kingdom","page_number":110,"box":{"x":102,"y":672,"width":745,"height":11}},{"id":"affdc112-2fe0-4935-979d-0caee6178646","block_type":"box","text":"regulations (under which there are restrictions on net short sales in certain securities). If the SEC or regulatory","page_number":110,"box":{"x":69,"y":687,"width":793,"height":11}},{"id":"95b0da36-e41d-4fe7-80d7-50cd257a6bf8","block_type":"box","text":"authorities in other jurisdictions were to adopt additional restrictions regarding short sales, they could restrict a","page_number":110,"box":{"x":69,"y":703,"width":796,"height":11}},{"id":"67b20197-7269-4111-9f5a-c866096c1859","block_type":"box","text":"Fund’s ability to engage in short sales in certain circumstances, and the Fund may be unable to execute its","page_number":110,"box":{"x":70,"y":718,"width":766,"height":11}},{"id":"7442412d-e69e-40f7-9c37-5c685bb45afe","block_type":"box","text":"investment strategy as a result. In response to market events, the SEC and regulatory authorities in other","page_number":110,"box":{"x":70,"y":733,"width":754,"height":11}},{"id":"0e34e24c-f716-4cee-85bd-fea506744a40","block_type":"box","text":"jurisdictions may adopt (and in certain cases, have adopted) bans or other restrictions on short sales of certain","page_number":110,"box":{"x":67,"y":748,"width":800,"height":11}},{"id":"c47c1bc1-4d95-455a-a3fb-687b6a06ea3e","block_type":"box","text":"securities or on derivatives and other hedging instruments used to achieve a similar economic effect. Such bans or","page_number":110,"box":{"x":69,"y":763,"width":823,"height":11}},{"id":"2e644e1f-a152-40b3-8360-cfe3acbc804f","block_type":"box","text":"other restrictions may make it impossible for a Fund to execute certain investment strategies and may have a","page_number":110,"box":{"x":69,"y":778,"width":782,"height":11}},{"id":"28fc6c4c-a51c-471a-abdf-0546c7270532","block_type":"box","text":"material adverse effect on the Fund’s ability to generate returns.","page_number":110,"box":{"x":69,"y":793,"width":460,"height":11}},{"id":"b14c793b-a8bf-4f21-a32e-666d3dc78b5e","block_type":"box","text":"Special Purpose Acquisition Companies.","page_number":110,"box":{"x":101,"y":816,"width":293,"height":11}},{"id":"0826e51f-e8ed-46be-8d72-a2f9ddbac295","block_type":"box","text":"A Fund may invest in stock, warrants, rights and other interests issued","page_number":110,"box":{"x":400,"y":816,"width":504,"height":11}},{"id":"b928e432-8342-4be4-8993-61a51b961ec9","block_type":"box","text":"by special purpose acquisition companies (“SPACs”) or similar special purpose entities that pool funds to seek","page_number":110,"box":{"x":69,"y":831,"width":791,"height":11}},{"id":"35991d94-f2da-43e7-b174-237f65220db1","block_type":"box","text":"potential acquisition opportunities, including the “founder’s” shares and warrants described below. A SPAC is a","page_number":110,"box":{"x":70,"y":846,"width":793,"height":11}},{"id":"1e97c828-4d61-43ec-86c1-b86d0a25b827","block_type":"box","text":"publicly traded company that raises investment capital via an IPO for the purpose of identifying and acquiring one or","page_number":110,"box":{"x":70,"y":861,"width":824,"height":11}},{"id":"244ac9b1-38ba-43b1-aa83-a471e3590ed6","block_type":"box","text":"more operating businesses or assets. In connection with forming a SPAC, the SPAC’s sponsors acquire “founder’s”","page_number":110,"box":{"x":69,"y":876,"width":821,"height":11}},{"id":"13a9b4c0-aa6e-43e4-a511-8b94ad3803d7","block_type":"box","text":"shares, generally for nominal consideration, and warrants that will result in the sponsors owning a specified","page_number":110,"box":{"x":69,"y":891,"width":768,"height":12}},{"id":"51e726d5-5819-4dab-b02b-7692af750b53","block_type":"box","text":"percentage (typically 20%) of the SPAC’s outstanding common stock upon completion of the IPO. At the time a SPAC","page_number":110,"box":{"x":70,"y":906,"width":826,"height":12}},{"id":"14e3d86a-acc3-4793-9734-ea2a30dc6e93","block_type":"box","text":"II-74","page_number":110,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f10ca741-39ed-41f0-98ba-7ca0c7cba688","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":110,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"85d23b90-469c-48fa-ba29-4991bd03fb99","block_type":"box","text":"conducts an IPO, it has selected a management team but has not yet identified a specific acquisition opportunity.","page_number":111,"box":{"x":69,"y":45,"width":809,"height":11}},{"id":"daa7e31d-7cf9-4eab-a088-730880d0c3fc","block_type":"box","text":"Unless and until an acquisition is completed, a SPAC generally invests its assets in U.S. Government securities,","page_number":111,"box":{"x":70,"y":60,"width":797,"height":11}},{"id":"7efd067b-33ba-40d2-929d-af8d682bdae1","block_type":"box","text":"money market securities and cash. If an acquisition that meets the requirements for the SPAC is not completed","page_number":111,"box":{"x":69,"y":75,"width":795,"height":11}},{"id":"21b8b5d4-57aa-4b4f-80d7-22976e939f95","block_type":"box","text":"within a pre-established period of time, the invested funds are returned to the SPAC’s public shareholders, the","page_number":111,"box":{"x":68,"y":90,"width":788,"height":11}},{"id":"9844684f-1e32-4e36-98e7-87b52e36e230","block_type":"box","text":"warrants expire, and the “founder’s” shares and such warrants become worthless. Because SPACs and similar","page_number":111,"box":{"x":68,"y":105,"width":794,"height":11}},{"id":"a98a26f4-c51a-4df5-8b34-726e7131c9e0","block_type":"box","text":"entities are in essence “blank check” companies without operating histories or ongoing business operations (other","page_number":111,"box":{"x":69,"y":120,"width":820,"height":12}},{"id":"8e7ff7d9-4289-4cd6-bb5e-3c1f8070aa0b","block_type":"box","text":"than identifying and pursuing acquisitions), the potential for the long-term capital appreciation of their securities is","page_number":111,"box":{"x":68,"y":135,"width":815,"height":12}},{"id":"7de317de-4158-421c-8c6c-b29098942475","block_type":"box","text":"particularly dependent on the ability of the SPAC’s management to identify and complete a profitable acquisition.","page_number":111,"box":{"x":70,"y":150,"width":802,"height":12}},{"id":"6ac0e190-290d-46e9-86c5-6b61b3c61748","block_type":"box","text":"There is no guarantee that the SPACs in which a Fund invests will complete an acquisition or that any acquisitions","page_number":111,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"487cd404-86ad-4f09-bc8d-db2088e72712","block_type":"box","text":"completed by the SPACs in which the Fund invests will be profitable. Some SPACs may pursue acquisitions only within","page_number":111,"box":{"x":69,"y":181,"width":838,"height":11}},{"id":"162d99a7-eefd-4da3-ab71-61095e24b7c2","block_type":"box","text":"certain industries or regions, which may ultimately lead to an increase in the volatility of their prices following the","page_number":111,"box":{"x":69,"y":196,"width":806,"height":11}},{"id":"4e405493-f35e-41f9-83ee-ae4b0c1603d0","block_type":"box","text":"acquisition. In addition, some of these securities may be considered illiquid and/or subject to restrictions on resale.","page_number":111,"box":{"x":69,"y":211,"width":828,"height":11}},{"id":"0b8d7c36-ab6a-4456-8a9f-63b04f274850","block_type":"box","text":"Standby Commitment Agreements.","page_number":111,"box":{"x":101,"y":234,"width":255,"height":11}},{"id":"16517585-5f19-4e9b-882d-7c128eb24980","block_type":"box","text":"Standby commitment agreements commit a Fund, for a stated period of","page_number":111,"box":{"x":362,"y":234,"width":511,"height":11}},{"id":"85ed26ad-921b-4748-b244-7aad8b2ccb99","block_type":"box","text":"time, to purchase a stated amount of securities that may be issued and sold to that Fund at the option of the issuer.","page_number":111,"box":{"x":68,"y":249,"width":834,"height":11}},{"id":"086b1666-8563-4507-a5d1-cbc605d49bbe","block_type":"box","text":"The price of the security is fixed at the time of the commitment. At the time of entering into the agreement, a Fund is","page_number":111,"box":{"x":68,"y":264,"width":834,"height":11}},{"id":"8e1a99a8-bb21-49d0-97d5-831d0839cb52","block_type":"box","text":"paid a commitment fee, regardless of whether or not the security is ultimately issued. A Fund will enter into such","page_number":111,"box":{"x":70,"y":279,"width":802,"height":11}},{"id":"f1ac9049-2048-4306-acc0-d2ac8f77225d","block_type":"box","text":"agreements for the purpose of investing in the security underlying the commitment at a price that is considered","page_number":111,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"4ccdc8e0-421c-4f37-9b2a-1e5813dd36c2","block_type":"box","text":"advantageous to the Fund.","page_number":111,"box":{"x":69,"y":309,"width":188,"height":11}},{"id":"7c7d4b26-046b-4773-85d6-d98d8ff751ea","block_type":"box","text":"There can be no assurance that the securities subject to a standby commitment will be issued, and the value of","page_number":111,"box":{"x":101,"y":332,"width":800,"height":11}},{"id":"8781e463-be04-4add-9f38-cfc01a620358","block_type":"box","text":"the security, if issued, on the delivery date may be more or less than its purchase price. Since the issuance of the","page_number":111,"box":{"x":68,"y":347,"width":816,"height":11}},{"id":"ba50e91b-d865-4e1b-9fb2-5fd03a2184fc","block_type":"box","text":"security underlying the commitment is at the option of the issuer, the Fund may bear the risk of a decline in the value","page_number":111,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"da1c8dd4-8958-4794-a60f-38bf93e763e7","block_type":"box","text":"of such security and may not benefit from an appreciation in the value of the security during the commitment period.","page_number":111,"box":{"x":69,"y":377,"width":828,"height":12}},{"id":"a7ca894c-392f-446c-938a-61928c5f9d1a","block_type":"box","text":"The purchase of a security pursuant to a standby commitment agreement and the related commitment fee will","page_number":111,"box":{"x":101,"y":400,"width":785,"height":11}},{"id":"8947bdd4-4150-42e8-8155-0088021d96d7","block_type":"box","text":"be recorded on the date on which the security can reasonably be expected to be issued, and the value of the security","page_number":111,"box":{"x":69,"y":415,"width":837,"height":11}},{"id":"2844a69c-4e77-4a5e-9d98-291a430f6e09","block_type":"box","text":"thereafter will be reflected in the calculation of a Fund’s NAV. The cost basis of the security will be adjusted by the","page_number":111,"box":{"x":68,"y":430,"width":815,"height":11}},{"id":"260e18de-b3dc-414a-bf2c-cc697eb9e0f0","block_type":"box","text":"amount of the commitment fee. In the event the security is not issued, the commitment fee will be recorded as","page_number":111,"box":{"x":69,"y":445,"width":792,"height":11}},{"id":"295c9f1a-8f15-4a56-9abf-e39aff81f229","block_type":"box","text":"income on the expiration date of the standby commitment.","page_number":111,"box":{"x":70,"y":460,"width":415,"height":12}},{"id":"e524c5f1-a903-4c28-b790-2fa1ed7021c8","block_type":"box","text":"Standby commitments will only be entered into with dealers, banks and broker-dealers which, in the Manager’s","page_number":111,"box":{"x":102,"y":483,"width":789,"height":11}},{"id":"c3fa5e34-d816-4f97-93fe-902fbee17aa8","block_type":"box","text":"or sub-adviser’s opinion, present minimal credit risks. A Fund will acquire standby commitments solely to facilitate","page_number":111,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"45a3b3ff-93e6-4fdd-8127-00de74a390e1","block_type":"box","text":"portfolio liquidity and not to exercise its rights thereunder for trading purposes. Standby commitments will be valued","page_number":111,"box":{"x":70,"y":513,"width":827,"height":12}},{"id":"1f7bda75-36cd-4894-a57f-27aa82a5a68b","block_type":"box","text":"at zero in determining NAV. Accordingly, where a Fund pays directly or indirectly for a standby commitment, its cost","page_number":111,"box":{"x":69,"y":528,"width":815,"height":12}},{"id":"dd9b022d-aac0-4e74-ab11-d178591aaf43","block_type":"box","text":"will be reflected as an unrealized loss for the period during which the commitment is held by such Fund and will be","page_number":111,"box":{"x":68,"y":543,"width":817,"height":12}},{"id":"744b1556-b6f2-4f20-a675-c0d68d64776b","block_type":"box","text":"reflected as a realized gain or loss when the commitment is exercised or expires.","page_number":111,"box":{"x":69,"y":559,"width":578,"height":11}},{"id":"4f864fcb-1586-472e-a661-31bfc08a7431","block_type":"box","text":"Stripped Securities.","page_number":111,"box":{"x":101,"y":581,"width":143,"height":11}},{"id":"3a549692-fdc3-48ba-9840-13f474a63c45","block_type":"box","text":"Stripped securities are created when the issuer separates the interest and principal","page_number":111,"box":{"x":251,"y":581,"width":596,"height":11}},{"id":"3f6df694-64d1-4822-bea1-599d6090b6e4","block_type":"box","text":"components of an instrument and sells them as separate securities. In general, one security is entitled to receive the","page_number":111,"box":{"x":69,"y":596,"width":839,"height":12}},{"id":"c4fe4bfa-62c6-4b54-bfb4-f7eae0e73a54","block_type":"box","text":"interest payments on the underlying assets (the interest only or “IO” security) and the other to receive the principal","page_number":111,"box":{"x":70,"y":612,"width":818,"height":11}},{"id":"7016fdde-0a59-461c-958f-63a60de87431","block_type":"box","text":"payments (the principal only or “PO” security). Some stripped securities may receive a combination of interest and","page_number":111,"box":{"x":70,"y":627,"width":813,"height":11}},{"id":"57ab1ef9-d640-4ff2-aa95-4c6cce4313e4","block_type":"box","text":"principal payments. The yields to maturity on IOs and POs are sensitive to the expected or anticipated rate of","page_number":111,"box":{"x":70,"y":642,"width":777,"height":11}},{"id":"c006755f-5d2a-4da4-9429-99c2817582a5","block_type":"box","text":"principal payments (including prepayments) on the related underlying assets, and principal payments may have a","page_number":111,"box":{"x":70,"y":657,"width":802,"height":11}},{"id":"d5851dc5-18a0-4c8e-a96c-27647d1cefd7","block_type":"box","text":"material effect on yield to maturity. If the underlying assets experience greater than anticipated prepayments of","page_number":111,"box":{"x":69,"y":672,"width":794,"height":11}},{"id":"d5c6d7d0-35c0-46a8-8ea7-970684d0e01f","block_type":"box","text":"principal, a Fund may not fully recoup its initial investment in IOs. Conversely, if the underlying assets experience less","page_number":111,"box":{"x":70,"y":687,"width":837,"height":11}},{"id":"25a52360-8e5b-4a01-ade7-ca2895dddb57","block_type":"box","text":"than anticipated prepayments of principal, the yield on POs could be adversely affected. Stripped securities may be","page_number":111,"box":{"x":68,"y":702,"width":823,"height":11}},{"id":"a903c619-03a8-46c9-91f2-fd770f192141","block_type":"box","text":"highly sensitive to changes in interest rates and rates of prepayment.","page_number":111,"box":{"x":69,"y":717,"width":494,"height":12}},{"id":"dff82eed-5c6c-455f-95e2-e82552807494","block_type":"box","text":"Structured Notes.","page_number":111,"box":{"x":101,"y":740,"width":130,"height":9}},{"id":"31e752f2-1055-4f1b-a107-28c6e256d79d","block_type":"box","text":"Structured notes and other related instruments purchased by a Fund are generally privately","page_number":111,"box":{"x":237,"y":740,"width":650,"height":11}},{"id":"60edb351-1950-40fb-bbc0-508cf1faee9e","block_type":"box","text":"negotiated debt obligations where the principal and/or interest is determined by reference to the performance of a","page_number":111,"box":{"x":69,"y":755,"width":818,"height":11}},{"id":"75605d54-8b7b-4e35-9c50-3cca6a120b10","block_type":"box","text":"specific asset, benchmark asset, market or interest rate (“reference measure”). Issuers of structured notes generally","page_number":111,"box":{"x":69,"y":770,"width":839,"height":12}},{"id":"ecba9f6b-3c3c-4388-b5b5-84154feba1b1","block_type":"box","text":"include corporations and banks. The interest rate or the principal amount payable upon maturity or redemption may","page_number":111,"box":{"x":70,"y":786,"width":821,"height":11}},{"id":"83d35d9c-ea7d-4be5-9b33-b0fe4324e811","block_type":"box","text":"increase or decrease, depending upon changes in the value of the reference measure. The terms of a structured note","page_number":111,"box":{"x":70,"y":801,"width":839,"height":11}},{"id":"5f0801ba-582f-47a4-8659-0af4e83dc802","block_type":"box","text":"may provide that, in certain circumstances, no principal is due at maturity and, therefore, may result in a loss of","page_number":111,"box":{"x":69,"y":816,"width":801,"height":11}},{"id":"fa3a6c0d-45f3-4644-810a-bac4d1203fb0","block_type":"box","text":"invested capital by a Fund. The interest and/or principal payments that may be made on a structured product may","page_number":111,"box":{"x":70,"y":831,"width":813,"height":11}},{"id":"0fc20117-6736-44fb-88c5-ebbaa0fcd7a8","block_type":"box","text":"vary widely, depending on a variety of factors, including the volatility of the reference measure.","page_number":111,"box":{"x":68,"y":846,"width":673,"height":11}},{"id":"794baecb-a268-4d75-aeae-27ca966cfb4d","block_type":"box","text":"Structured notes may be positively or negatively indexed, so the appreciation of the reference measure may","page_number":111,"box":{"x":102,"y":869,"width":768,"height":11}},{"id":"7520e58e-3e16-4d18-a9a0-69954e0f04e9","block_type":"box","text":"produce an increase or a decrease in the interest rate or the value of the principal at maturity. The rate of return on","page_number":111,"box":{"x":70,"y":884,"width":821,"height":11}},{"id":"7f3ddae0-e7ec-4c53-a71f-4ca3dc302a01","block_type":"box","text":"II-75","page_number":111,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a1c54ba4-3ac1-4064-9c2b-8835f76373ad","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":111,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"85f3df39-1ab7-4cf3-b385-0b67cc695b3c","block_type":"box","text":"structured notes may be determined by applying a multiplier to the performance or differential performance of","page_number":112,"box":{"x":69,"y":45,"width":787,"height":11}},{"id":"a4f3e788-7910-4169-b6ab-80b44bfe658d","block_type":"box","text":"reference measures. Application of a multiplier involves leverage that will serve to magnify the potential for gain and","page_number":112,"box":{"x":69,"y":60,"width":827,"height":11}},{"id":"d9ee29bc-01be-4058-8baf-4fa724d72d87","block_type":"box","text":"the risk of loss.","page_number":112,"box":{"x":68,"y":75,"width":110,"height":9}},{"id":"6e7db556-8f09-45bd-93d9-d64fc29d24da","block_type":"box","text":"The purchase of structured notes exposes a Fund to the credit risk of the issuer of the structured product.","page_number":112,"box":{"x":101,"y":98,"width":759,"height":11}},{"id":"fe2dc8db-3d16-49a7-8e49-463dcfad29b9","block_type":"box","text":"Structured notes may also be more volatile, less liquid, and more difficult to price accurately than less complex","page_number":112,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"985aef2e-2249-45fe-a10c-374013f4f0be","block_type":"box","text":"securities and instruments or more traditional debt securities. The secondary market for structured notes could be","page_number":112,"box":{"x":69,"y":128,"width":819,"height":11}},{"id":"e47af9ad-8808-4472-951d-d63e6d1b1c9a","block_type":"box","text":"illiquid making them difficult to sell when the Fund determines to sell them. The possible lack of a liquid secondary","page_number":112,"box":{"x":70,"y":143,"width":821,"height":11}},{"id":"6d0e5737-10c8-4482-81ad-f55139b3dbba","block_type":"box","text":"market for structured notes and the resulting inability of the Fund to sell a structured note could expose the Fund to","page_number":112,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"dd2965af-ad83-42fa-83b1-dea77da5d1c5","block_type":"box","text":"losses and could make structured notes more difficult for the Fund to value accurately.","page_number":112,"box":{"x":70,"y":173,"width":618,"height":11}},{"id":"e3d0eb2d-8625-4fb6-9b39-52f4e8f3c45d","block_type":"box","text":"Taxability Risk.","page_number":112,"box":{"x":103,"y":196,"width":109,"height":11}},{"id":"c8a39790-f4f2-4981-bea8-f77a4c61817d","block_type":"box","text":"Certain of the Funds intend to minimize the payment of taxable income to shareholders by","page_number":112,"box":{"x":218,"y":196,"width":644,"height":11}},{"id":"c89a5f4e-7388-4a6e-adb6-9d7d43320314","block_type":"box","text":"investing in tax-exempt or municipal securities in reliance at the time of purchase on an opinion of bond counsel to","page_number":112,"box":{"x":70,"y":211,"width":817,"height":11}},{"id":"5adb8515-2b53-47ef-8c83-3c9a48e02b13","block_type":"box","text":"the issuer and, in the case of derivative securities, sponsors’ counsel, that the interest paid on those securities will","page_number":112,"box":{"x":68,"y":226,"width":827,"height":11}},{"id":"01ce4c65-118b-44b5-b579-1ff9b18044b8","block_type":"box","text":"be excludable from gross income for U.S. federal income tax purposes. Such securities, however, may be determined","page_number":112,"box":{"x":69,"y":241,"width":835,"height":11}},{"id":"b742e929-f5a5-4340-9024-249b2669dabf","block_type":"box","text":"to pay, or have paid, taxable income subsequent to the Fund’s acquisition of the securities. In that event, the IRS","page_number":112,"box":{"x":68,"y":256,"width":809,"height":11}},{"id":"887f76d4-1bb4-4ab7-a24d-6d7e4f5bfaef","block_type":"box","text":"may demand that the Fund pay U.S. federal income taxes on the affected interest income, and, if the Fund agrees to","page_number":112,"box":{"x":69,"y":271,"width":832,"height":12}},{"id":"af392647-2731-4ec7-b25e-8f5e6149e11c","block_type":"box","text":"do so, the Fund’s yield could be adversely affected. In addition, the treatment of dividends previously paid or to be","page_number":112,"box":{"x":69,"y":286,"width":816,"height":12}},{"id":"b34e37f6-6aaa-494e-9ced-8f4bd0d6b913","block_type":"box","text":"paid by the Fund as “exempt interest dividends” could be adversely affected, subjecting the Fund’s shareholders to","page_number":112,"box":{"x":70,"y":302,"width":822,"height":11}},{"id":"37c48eed-bae3-46ae-8927-cda4f6030158","block_type":"box","text":"increased U.S. federal income tax liabilities. If the interest paid on any tax-exempt or municipal security held by the","page_number":112,"box":{"x":70,"y":317,"width":818,"height":11}},{"id":"62b1b19b-da7a-4af7-989d-84de0a36af06","block_type":"box","text":"Fund is subsequently determined to be taxable, the Fund will dispose of that security as soon as reasonably","page_number":112,"box":{"x":70,"y":332,"width":771,"height":11}},{"id":"52851035-c2ea-430f-b557-53e73d61e42c","block_type":"box","text":"practicable. In addition, future laws, regulations, rulings or court decisions may cause interest on municipal","page_number":112,"box":{"x":70,"y":347,"width":765,"height":11}},{"id":"55128d4e-2abf-406c-8ec5-93eae41729fd","block_type":"box","text":"securities to be subject, directly or indirectly, to U.S. federal income taxation or interest on state municipal securities","page_number":112,"box":{"x":69,"y":362,"width":834,"height":11}},{"id":"aaf99785-7515-4045-892a-f1ace20f6778","block_type":"box","text":"to be subject to state or local income taxation, or the value of state municipal securities to be subject to state or","page_number":112,"box":{"x":68,"y":377,"width":807,"height":11}},{"id":"8fcbb966-77fb-47ae-bc76-0be8c8ad527b","block_type":"box","text":"local intangible personal property tax, or may otherwise prevent the Fund from realizing the full current benefit of the","page_number":112,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"8067a096-79d5-4ae7-ab3b-b10e826e2814","block_type":"box","text":"tax-exempt status of such securities. Any such change could also affect the market price of such securities, and thus","page_number":112,"box":{"x":68,"y":407,"width":838,"height":12}},{"id":"e4cc8e4c-b444-4459-84d4-73f5187f6bb5","block_type":"box","text":"the value of an investment in the Fund.","page_number":112,"box":{"x":68,"y":423,"width":278,"height":9}},{"id":"467a1c74-9ecb-469b-96a2-f951dbeab2c5","block_type":"box","text":"Temporary Defensive Measures.","page_number":112,"box":{"x":103,"y":445,"width":230,"height":11}},{"id":"47733636-4ad8-4954-b2ee-dc1e8524e367","block_type":"box","text":"As a temporary defensive measure, including to respond to adverse market,","page_number":112,"box":{"x":339,"y":445,"width":542,"height":12}},{"id":"388b7912-49ba-408e-a755-91704bcb1862","block_type":"box","text":"economic, political or other conditions, a Fund may depart from its principal investment strategies and may invest","page_number":112,"box":{"x":69,"y":460,"width":811,"height":12}},{"id":"42331927-f507-44e5-8b51-5fe9ea7d49a2","block_type":"box","text":"without limitation in cash, high quality money market instruments, or other short term investments. Certain Funds","page_number":112,"box":{"x":68,"y":476,"width":813,"height":11}},{"id":"dc5bd302-41fd-45fd-994b-f7fb76950e90","block_type":"box","text":"may also invest in cash and other such instruments pending investment or to meet anticipated redemption requests.","page_number":112,"box":{"x":69,"y":491,"width":833,"height":11}},{"id":"e7d65153-ddfb-4275-8a81-6845e8be96dd","block_type":"box","text":"High quality money market instruments include U.S. Government obligations, U.S. Government agency obligations,","page_number":112,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"234f964f-bb90-48bf-b74a-7a9513796a4e","block_type":"box","text":"dollar denominated obligations of foreign issuers, bank obligations, including U.S. subsidiaries and branches of","page_number":112,"box":{"x":69,"y":521,"width":795,"height":11}},{"id":"31552a0d-efc8-4596-aaa8-e4522edf496f","block_type":"box","text":"foreign banks, corporate obligations, commercial paper, repurchase agreements and obligations of supranational","page_number":112,"box":{"x":68,"y":536,"width":806,"height":11}},{"id":"cece4b52-84c0-48f4-a582-d2c9a4b968ba","block_type":"box","text":"organizations. Generally, such obligations will mature within one year from the date of settlement but may mature","page_number":112,"box":{"x":69,"y":551,"width":808,"height":11}},{"id":"87a8e3a9-b879-4bad-9be2-a1d4c179f9ef","block_type":"box","text":"within two years from the date of settlement. Temporary defensive measures may affect a Fund’s ability to achieve","page_number":112,"box":{"x":68,"y":566,"width":820,"height":11}},{"id":"8effacc0-b1cd-4d70-aa6f-e9b4de59a790","block_type":"box","text":"its investment objective.","page_number":112,"box":{"x":70,"y":582,"width":171,"height":10}},{"id":"4651cbfe-bb07-43fb-b45c-49f3166c74b9","block_type":"box","text":"U.S. Government Obligations.","page_number":112,"box":{"x":102,"y":604,"width":213,"height":11}},{"id":"cfa126e3-c977-473d-9a75-1144485573d9","block_type":"box","text":"A Fund may purchase obligations issued or guaranteed by the U.S. Government","page_number":112,"box":{"x":321,"y":604,"width":566,"height":11}},{"id":"1a03a8f8-3e85-435b-892c-56bea8ee876c","block_type":"box","text":"and U.S. Government agencies and instrumentalities. Obligations of certain agencies and instrumentalities of the","page_number":112,"box":{"x":69,"y":619,"width":810,"height":11}},{"id":"501ca5e8-895c-4c0c-988c-919a70a635fc","block_type":"box","text":"U.S. Government are supported by the full faith and credit of the U.S. Treasury. Others are supported by the right of","page_number":112,"box":{"x":70,"y":634,"width":826,"height":12}},{"id":"376201cf-7ee6-4b8f-960b-10d96b41e069","block_type":"box","text":"the issuer to borrow from the U.S. Treasury; and still others are supported only by the credit of the agency or","page_number":112,"box":{"x":68,"y":649,"width":779,"height":12}},{"id":"0df5b777-490e-425a-bf6b-c566b9c7e632","block_type":"box","text":"instrumentality issuing the obligation. No assurance can be given that the U.S. Government will provide financial","page_number":112,"box":{"x":70,"y":664,"width":798,"height":12}},{"id":"dc19e1f4-3b25-4197-8597-e835a185b64c","block_type":"box","text":"support to U.S. Government-sponsored instrumentalities if it is not obligated to do so by law. Certain U.S. Treasury","page_number":112,"box":{"x":69,"y":680,"width":822,"height":11}},{"id":"7c537546-6e69-4962-be88-85c75912d39c","block_type":"box","text":"and agency securities may be held by trusts that issue participation certificates (such as Treasury income growth","page_number":112,"box":{"x":69,"y":695,"width":809,"height":11}},{"id":"9d59f02d-4978-492b-997b-f088a3585ada","block_type":"box","text":"receipts and certificates of accrual on Treasury certificates). These certificates, as well as Treasury receipts and","page_number":112,"box":{"x":69,"y":710,"width":805,"height":11}},{"id":"187c5af5-bc2e-4de6-b3e6-9b00668751c1","block_type":"box","text":"other stripped securities, represent beneficial ownership interests in either future interest payments or the future","page_number":112,"box":{"x":69,"y":725,"width":807,"height":11}},{"id":"aafcf0dc-fb12-49de-a303-114ca7387285","block_type":"box","text":"principal payments on U.S. Government obligations. These instruments are issued at a discount to their “face value”","page_number":112,"box":{"x":70,"y":740,"width":832,"height":11}},{"id":"47c42309-1d23-4abd-985d-c21ecc09c9f7","block_type":"box","text":"and may (particularly in the case of stripped mortgage-backed securities) exhibit greater price volatility than ordinary","page_number":112,"box":{"x":69,"y":755,"width":829,"height":11}},{"id":"24ed0dc9-a895-43bd-a331-db93e11268d0","block_type":"box","text":"debt securities because of the manner in which their principal and interest are returned to investors.","page_number":112,"box":{"x":69,"y":770,"width":716,"height":11}},{"id":"80e0b1a7-9183-4033-a3ce-08fe4d0cfe3a","block_type":"box","text":"Examples of the types of U.S. Government obligations that may be held by the Funds include U.S. Treasury Bills,","page_number":112,"box":{"x":102,"y":793,"width":800,"height":11}},{"id":"b4f08633-cc00-4b41-adda-0cfa7ecf160d","block_type":"box","text":"Treasury Notes and Treasury Bonds and the obligations of the Federal Housing Administration, Farmers Home","page_number":112,"box":{"x":68,"y":808,"width":785,"height":11}},{"id":"f90310f0-4af5-4249-8cda-22305777ddcc","block_type":"box","text":"Administration, Export-Import Bank of the United States, Small Business Administration, Ginnie Mae, Fannie Mae,","page_number":112,"box":{"x":68,"y":823,"width":813,"height":11}},{"id":"5bf12bb4-edc5-4f5c-b912-708831550284","block_type":"box","text":"Federal Financing Bank, General Services Administration, Student Loan Marketing Association, Central Bank for","page_number":112,"box":{"x":70,"y":838,"width":794,"height":12}},{"id":"7135eabf-c753-41b9-9e59-8bb8f7ebd39f","block_type":"box","text":"Cooperatives, Federal Home Loan Banks, Freddie Mac, Federal Intermediate Credit Banks, Federal Land Banks, Farm","page_number":112,"box":{"x":69,"y":854,"width":835,"height":10}},{"id":"fae6e074-7aa0-4a12-99ac-10391849bff7","block_type":"box","text":"Credit Banks System, Maritime Administration, Tennessee Valley Authority and Washington D.C. Armory Board. The","page_number":112,"box":{"x":69,"y":869,"width":818,"height":11}},{"id":"cf12254b-58f4-4a85-98e7-892fc87615b4","block_type":"box","text":"Funds may also invest in mortgage-related securities issued or guaranteed by U.S. Government agencies and","page_number":112,"box":{"x":70,"y":884,"width":777,"height":11}},{"id":"67741dc9-690f-44ed-a7dd-a8892cb6ffeb","block_type":"box","text":"instrumentalities, including such instruments as obligations of Ginnie Mae, Fannie Mae and Freddie Mac.","page_number":112,"box":{"x":70,"y":899,"width":749,"height":11}},{"id":"2490bb68-6e0f-4fea-84d3-d4bee7ce890e","block_type":"box","text":"II-76","page_number":112,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"4ce663e8-e1f9-4f85-8359-6dc5972a819d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":112,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"86766d02-fbb2-4b1c-a928-da8b90b0b315","block_type":"box","text":"U.S. Treasury Obligations.","page_number":113,"box":{"x":103,"y":45,"width":183,"height":11}},{"id":"5a5e3f20-d01b-490c-a9a7-18d8bd80577b","block_type":"box","text":"Treasury obligations may differ in their interest rates, maturities, times of issuance","page_number":113,"box":{"x":292,"y":45,"width":593,"height":11}},{"id":"f9ac9299-98cf-4ba9-ab09-caab541de7c9","block_type":"box","text":"and other characteristics. Obligations of U.S. Government agencies and authorities are supported by varying degrees","page_number":113,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"f67b283f-4b6e-4145-b58e-e6ef19f853cc","block_type":"box","text":"of credit but generally are not backed by the full faith and credit of the U.S. Government. No assurance can be given","page_number":113,"box":{"x":69,"y":75,"width":827,"height":11}},{"id":"b134d252-b4fb-4577-8f08-960dd4a4209c","block_type":"box","text":"that the U.S. Government will provide financial support to its agencies and authorities if it is not obligated by law to","page_number":113,"box":{"x":68,"y":90,"width":823,"height":11}},{"id":"15c80ccc-48d0-4a9a-8538-456720d205b3","block_type":"box","text":"do so.","page_number":113,"box":{"x":69,"y":105,"width":42,"height":9}},{"id":"ad14bbcd-5a3b-4aaf-8767-77c1dafe9cda","block_type":"box","text":"U.S. Treasury Rolls","page_number":113,"box":{"x":102,"y":128,"width":139,"height":11}},{"id":"a6f4b871-48e6-4344-b990-8670583818c6","block_type":"box","text":".","page_number":113,"box":{"x":241,"y":135,"width":3,"height":2}},{"id":"28a15213-d3ea-4583-9c41-c85f328a566c","block_type":"box","text":"Certain Funds may invest in U.S. Treasury rolls. In a U.S. Treasury roll transaction, the Fund","page_number":113,"box":{"x":250,"y":128,"width":656,"height":11}},{"id":"4119f946-8d6a-4b57-a018-112439740929","block_type":"box","text":"sells a treasury security to a counterparty with a simultaneous agreement to repurchase the same security at an","page_number":113,"box":{"x":69,"y":143,"width":804,"height":11}},{"id":"186faea8-2715-4fb9-849f-d7bec4c34048","block_type":"box","text":"agreed upon price and future settlement date. U.S. Treasury roll transactions may incrementally adjust the average","page_number":113,"box":{"x":69,"y":158,"width":820,"height":11}},{"id":"7ac16fe8-17c4-4697-b555-df05dca89fc8","block_type":"box","text":"maturity of a Fund’s portfolio and increase the interest yield on the Fund’s portfolio by extending the average maturity","page_number":113,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"bde1d075-53dc-45dd-807a-4443ec120c25","block_type":"box","text":"of the portfolio in a normal yield curve environment. During the period before the settlement date of a U.S. Treasury","page_number":113,"box":{"x":69,"y":188,"width":828,"height":12}},{"id":"de836b91-636c-41c8-a2ac-25bf76373776","block_type":"box","text":"roll, a Fund continues to earn interest on the securities it is selling; however, it does not earn interest on the","page_number":113,"box":{"x":69,"y":204,"width":775,"height":11}},{"id":"811ba49e-1e1b-4d45-be9a-a05662114ff0","block_type":"box","text":"securities it is purchasing until after the settlement date. A Fund could suffer an opportunity loss if the counterparty","page_number":113,"box":{"x":69,"y":218,"width":829,"height":12}},{"id":"5b1f89de-c5d0-4296-aeef-27075ea37f44","block_type":"box","text":"to the U.S. Treasury roll transaction failed to perform its obligations on the settlement date.","page_number":113,"box":{"x":68,"y":234,"width":657,"height":11}},{"id":"7fed5d23-ba01-49ff-b1c6-fa003e03e1a9","block_type":"box","text":"The market value of the securities that a Fund is required to purchase may decline below the agreed upon","page_number":113,"box":{"x":101,"y":256,"width":756,"height":12}},{"id":"8bf15560-a116-4a59-87d6-81e565cf747d","block_type":"box","text":"purchase price of those securities. U.S. Treasury rolls are speculative techniques that can be deemed to involve","page_number":113,"box":{"x":70,"y":271,"width":800,"height":12}},{"id":"0aed4108-0067-4341-ac86-097eb9756b44","block_type":"box","text":"leverage. There is no assurance that U.S. Treasury rolls can be successfully employed.","page_number":113,"box":{"x":70,"y":286,"width":617,"height":12}},{"id":"470d5302-f8df-4ecd-87bb-edd1e18602c4","block_type":"box","text":"Utility Industries.","page_number":113,"box":{"x":102,"y":309,"width":124,"height":11}},{"id":"16ec0d38-1144-4c3b-95c1-89c7860ab660","block_type":"box","text":"Risks that are intrinsic to the utility industries include difficulty in obtaining an adequate return","page_number":113,"box":{"x":233,"y":309,"width":674,"height":11}},{"id":"7423a9d1-8a02-406e-abc0-0bb220f98a1a","block_type":"box","text":"on invested capital, difficulty in financing large construction programs during an inflationary period, restrictions on","page_number":113,"box":{"x":69,"y":324,"width":812,"height":12}},{"id":"a1ae6a48-0a7f-4f2f-a728-3bd96b7c0565","block_type":"box","text":"operations and increased cost and delays attributable to environmental considerations and regulation, difficulty in","page_number":113,"box":{"x":69,"y":339,"width":812,"height":12}},{"id":"8a61e549-aa2c-4ad5-b086-73b630b773fd","block_type":"box","text":"raising capital in adequate amounts on reasonable terms in periods of high inflation and unsettled capital markets,","page_number":113,"box":{"x":69,"y":355,"width":821,"height":11}},{"id":"20ee100c-6442-4d1b-bcee-1c95f598877e","block_type":"box","text":"technological innovations that may render existing plants, equipment or products obsolete, the potential impact of","page_number":113,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"7288031a-3c3e-40c8-abbd-2384b024c867","block_type":"box","text":"natural or man-made disasters, increased costs and reduced availability of certain types of fuel, occasional reduced","page_number":113,"box":{"x":69,"y":385,"width":827,"height":11}},{"id":"a6bdebff-6a67-4394-ad5a-6c4abac588db","block_type":"box","text":"availability and high costs of natural gas for resale, the effects of energy conservation, the effects of a national","page_number":113,"box":{"x":69,"y":400,"width":795,"height":11}},{"id":"dba4bf8e-ed31-4cb7-8152-674aa074db53","block_type":"box","text":"energy policy and lengthy delays and greatly increased costs and other problems associated with the design,","page_number":113,"box":{"x":69,"y":415,"width":774,"height":11}},{"id":"e04bc1b9-5e0a-4990-a7f3-2e6be3d4cf8f","block_type":"box","text":"construction, licensing, regulation and operation of nuclear facilities for electric generation, including, among other","page_number":113,"box":{"x":69,"y":430,"width":817,"height":11}},{"id":"439292c1-1e55-48a4-bb30-54565355f0ad","block_type":"box","text":"considerations, the problems associated with the use of radioactive materials and the disposal of radioactive wastes.","page_number":113,"box":{"x":69,"y":445,"width":839,"height":11}},{"id":"8d240dae-d8fd-446d-b6ac-3369de28e1f6","block_type":"box","text":"There are substantial differences among the regulatory practices and policies of various jurisdictions, and any given","page_number":113,"box":{"x":68,"y":460,"width":827,"height":12}},{"id":"9a6af546-302e-4b0d-956e-453cb20389af","block_type":"box","text":"regulatory agency may make major shifts in policy from time to time. There is no assurance that regulatory","page_number":113,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"852e2dab-cc23-407f-9138-89eb4d0ed2ea","block_type":"box","text":"authorities will, in the future, grant rate increases or that such increases will be adequate to permit the payment of","page_number":113,"box":{"x":69,"y":491,"width":821,"height":11}},{"id":"02e4f360-8353-40f3-ade8-1cdd01601716","block_type":"box","text":"dividends on common stocks issued by a utility company. Additionally, existing and possible future regulatory","page_number":113,"box":{"x":69,"y":506,"width":777,"height":11}},{"id":"611eb46b-be68-4194-be0a-8327d4772f4b","block_type":"box","text":"legislation may make it even more difficult for utilities to obtain adequate relief. Certain of the issuers of securities","page_number":113,"box":{"x":70,"y":521,"width":820,"height":11}},{"id":"c04e34f5-75ac-4fd7-9194-99bf7e274465","block_type":"box","text":"held in the Fund’s portfolio may own or operate nuclear generating facilities. Governmental authorities may from time","page_number":113,"box":{"x":69,"y":536,"width":835,"height":11}},{"id":"a44e7829-b251-4420-9ee4-f766a316f798","block_type":"box","text":"to time review existing policies and impose additional requirements governing the licensing, construction and","page_number":113,"box":{"x":68,"y":551,"width":778,"height":11}},{"id":"a7310f51-63cb-4828-8e65-da823badc8bf","block_type":"box","text":"operation of nuclear power plants. Prolonged changes in climatic conditions can also have a significant impact on","page_number":113,"box":{"x":69,"y":566,"width":808,"height":11}},{"id":"eb23377d-0a37-4c86-bc7a-3503f49cbdfd","block_type":"box","text":"both the revenues of an electric and gas utility as well as the expenses of a utility, particularly a hydro-based electric","page_number":113,"box":{"x":69,"y":581,"width":831,"height":12}},{"id":"240501e8-1146-4ae6-ba8c-814f77f6f215","block_type":"box","text":"utility.","page_number":113,"box":{"x":69,"y":597,"width":39,"height":11}},{"id":"9ff149a8-8ef8-4a41-86da-fa031666c234","block_type":"box","text":"Companies in the utilities sector may be adversely affected by changes in exchange rates, domestic and","page_number":113,"box":{"x":102,"y":619,"width":744,"height":11}},{"id":"1cd1a5fb-2a96-4542-8fe3-bbe14e633c9b","block_type":"box","text":"international competition, and governmental limitations on rates charged to customers. The value of regulated utility","page_number":113,"box":{"x":70,"y":634,"width":828,"height":12}},{"id":"d507265f-c68e-4898-84c7-53fe82e3db26","block_type":"box","text":"debt securities and, to a lesser extent, equity securities, tends to have an inverse relationship to the movement of","page_number":113,"box":{"x":69,"y":649,"width":817,"height":12}},{"id":"ceed175e-fe8d-4f9f-a6ba-7a84559bb8dd","block_type":"box","text":"interest rates and therefore may lead to volatility in performance.","page_number":113,"box":{"x":70,"y":664,"width":464,"height":12}},{"id":"33377c75-f9e6-4d83-b483-17b77c7bbaa6","block_type":"box","text":"Utility companies in the United States and in foreign countries are generally subject to regulation. In the United","page_number":113,"box":{"x":102,"y":687,"width":789,"height":11}},{"id":"c451d429-fbcb-4edb-96d3-bf9bfee69a00","block_type":"box","text":"States, most utility companies are regulated by state and/or federal authorities. Such regulation is intended to","page_number":113,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"080557bd-e460-4f8f-89c7-f8349cbff6e0","block_type":"box","text":"ensure appropriate standards of service and adequate capacity to meet public demand. Generally, prices are also","page_number":113,"box":{"x":69,"y":717,"width":811,"height":12}},{"id":"d8befc35-7b29-4cd0-8ab3-b905ca8be085","block_type":"box","text":"regulated in the United States and in foreign countries with the intention of protecting the public while ensuring that","page_number":113,"box":{"x":69,"y":732,"width":824,"height":12}},{"id":"7aa18b3c-32bc-4c7d-8312-dc37db9b49e7","block_type":"box","text":"the rate of return earned by utility companies is sufficient to allow them to attract capital in order to grow and","page_number":113,"box":{"x":68,"y":748,"width":781,"height":11}},{"id":"1592757c-3050-4294-ba66-d22cd6580c16","block_type":"box","text":"continue to provide appropriate services. There can be no assurance that such pricing policies or rates of return will","page_number":113,"box":{"x":69,"y":763,"width":826,"height":11}},{"id":"49d2c552-6ce5-4fff-8028-4b263f1f0813","block_type":"box","text":"continue in the future.","page_number":113,"box":{"x":69,"y":778,"width":156,"height":9}},{"id":"f79f043e-3885-45cc-a250-57240a85caf5","block_type":"box","text":"The nature of regulation of the utility industries continues to evolve both in the United States and in foreign","page_number":113,"box":{"x":101,"y":801,"width":763,"height":11}},{"id":"c7c09e5d-25bb-45df-938d-c21193d6abe8","block_type":"box","text":"countries. In recent years, changes in regulation in the United States increasingly have allowed utility companies to","page_number":113,"box":{"x":69,"y":816,"width":820,"height":11}},{"id":"2e895be3-79e3-4253-ab75-2cc517e7d89d","block_type":"box","text":"provide services and products outside their traditional geographic areas and lines of business, creating new areas of","page_number":113,"box":{"x":70,"y":831,"width":834,"height":11}},{"id":"33bf94b4-e497-4cb5-9224-687585de69d6","block_type":"box","text":"competition within the industries. In some instances, utility companies are operating on an unregulated basis.","page_number":113,"box":{"x":69,"y":846,"width":784,"height":11}},{"id":"2f48eb9b-a65d-4da2-893d-ee50c28f29b6","block_type":"box","text":"Because of trends toward deregulation and the evolution of independent power producers as well as new entrants to","page_number":113,"box":{"x":70,"y":861,"width":830,"height":11}},{"id":"70471d11-6fa7-4e1f-b42a-26027560d88a","block_type":"box","text":"the field of telecommunications, non-regulated providers of utility services have become a significant part of their","page_number":113,"box":{"x":68,"y":876,"width":809,"height":11}},{"id":"ff2bbe51-dcc8-457c-8eda-3498f7b99e47","block_type":"box","text":"respective industries. The Manager believes that the emergence of competition and deregulation will result in certain","page_number":113,"box":{"x":69,"y":891,"width":834,"height":12}},{"id":"74d6fbfa-b171-46db-af21-bb4dd07af287","block_type":"box","text":"utility companies being able to earn more than their traditional regulated rates of return, while others may be forced","page_number":113,"box":{"x":69,"y":906,"width":825,"height":12}},{"id":"d6275bea-612e-4856-90ad-e2e173526a63","block_type":"box","text":"II-77","page_number":113,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ae41aaf3-f1d1-4984-8405-d8cdfe7f4248","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":113,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"13902b7d-15b4-4d78-a936-1a2fe21b280d","block_type":"box","text":"to defend their core business from increased competition and may be less profitable. Reduced profitability, as well as","page_number":114,"box":{"x":68,"y":45,"width":840,"height":11}},{"id":"0172e954-62e0-42b4-af39-21eee2f207b1","block_type":"box","text":"new uses of funds (such as for expansion, operations or stock buybacks) could result in cuts in dividend payout","page_number":114,"box":{"x":69,"y":60,"width":796,"height":11}},{"id":"b6bb5a1f-9a5c-4ba3-829a-406e3e95e8f5","block_type":"box","text":"rates. As deregulation allows utility companies to diversify outside of their original geographic regions and their","page_number":114,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"64980cd5-b3e3-4b1c-90af-4db388950110","block_type":"box","text":"traditional lines of business, utility companies may engage in riskier ventures. Therefore, deregulation may eliminate","page_number":114,"box":{"x":68,"y":90,"width":831,"height":11}},{"id":"a307ba98-1085-4ea1-8aa3-7072a55085aa","block_type":"box","text":"restrictions on the maximum level of profits of certain utility companies, but may also subject these companies to","page_number":114,"box":{"x":69,"y":105,"width":812,"height":11}},{"id":"3e761cd1-2a21-4744-b72e-899a9b299445","block_type":"box","text":"greater risk of loss. The Manager seeks to take advantage of favorable investment opportunities that may arise from","page_number":114,"box":{"x":68,"y":120,"width":833,"height":12}},{"id":"cd3de642-a88a-466c-a600-659bc2e12ab8","block_type":"box","text":"these structural changes. Of course, there can be no assurance that favorable developments will occur in the future.","page_number":114,"box":{"x":68,"y":135,"width":831,"height":12}},{"id":"40e216ec-d954-4164-bd54-6e782e07a9fd","block_type":"box","text":"Foreign utility companies are also subject to regulation, although such regulations may or may not be","page_number":114,"box":{"x":102,"y":158,"width":720,"height":11}},{"id":"233d2885-eac2-4264-b9aa-f15c5757d82f","block_type":"box","text":"comparable to those in the United States. Foreign utility companies may be more heavily regulated by their respective","page_number":114,"box":{"x":69,"y":173,"width":838,"height":11}},{"id":"5e4de773-8b5a-445d-836c-42e5ea005ed0","block_type":"box","text":"governments than utilities in the United States and, as in the United States, generally are required to seek","page_number":114,"box":{"x":68,"y":188,"width":762,"height":12}},{"id":"91c7911b-ec09-4239-acb0-af789d8deb8a","block_type":"box","text":"government approval for rate increases. In addition, many foreign utilities use fuels that may cause more pollution","page_number":114,"box":{"x":68,"y":203,"width":815,"height":12}},{"id":"5823f639-f701-4375-8778-c3efd2079dde","block_type":"box","text":"than those used in the United States, which may require such utilities to invest in pollution control equipment to","page_number":114,"box":{"x":68,"y":219,"width":801,"height":11}},{"id":"265d121b-7edd-4543-a588-3cabb65376bb","block_type":"box","text":"meet any proposed pollution restrictions. Foreign regulatory systems vary from country to country and may evolve in","page_number":114,"box":{"x":69,"y":234,"width":828,"height":11}},{"id":"bf5025b0-e743-4549-a43b-f113d652a24a","block_type":"box","text":"ways different from regulation in the United States.","page_number":114,"box":{"x":68,"y":249,"width":365,"height":11}},{"id":"2d489fe0-1d7f-4146-a528-dabf7d0fa468","block_type":"box","text":"A Fund’s investment policies are designed to enable it to capitalize on evolving investment opportunities","page_number":114,"box":{"x":101,"y":272,"width":745,"height":11}},{"id":"38918aa6-172a-4e33-8c2c-3c9d994504b5","block_type":"box","text":"throughout the world. For example, the rapid growth of certain foreign economies will necessitate expansion of","page_number":114,"box":{"x":68,"y":286,"width":790,"height":12}},{"id":"b0a3f3f3-8661-4c37-a8e5-03f9d208692b","block_type":"box","text":"capacity in the utility industries in those countries. Although many foreign utility companies currently are government","page_number":114,"box":{"x":69,"y":302,"width":833,"height":11}},{"id":"58261946-d955-4ec2-a903-ff69930842c1","block_type":"box","text":"owned, thereby limiting current investment opportunities for a Fund, the Manager believes that, in order to attract","page_number":114,"box":{"x":69,"y":317,"width":810,"height":11}},{"id":"f88f83fe-3d86-4d26-83fb-6ca01dfbd473","block_type":"box","text":"significant capital for growth, foreign governments are likely to seek global investors through the privatization of their","page_number":114,"box":{"x":69,"y":332,"width":831,"height":11}},{"id":"8b2203b6-7cac-4f02-b1b0-a28a379ea9fe","block_type":"box","text":"utility industries. Privatization, which refers to the trend toward investor ownership of assets rather than government","page_number":114,"box":{"x":69,"y":347,"width":828,"height":11}},{"id":"cb58329b-0c28-4d14-a409-97fb0438f5c0","block_type":"box","text":"ownership, is expected to occur in newer, faster-growing economies and in mature economies. Of course, there is no","page_number":114,"box":{"x":69,"y":362,"width":832,"height":11}},{"id":"5450b220-a60e-465a-ba7a-e2b0e31689a6","block_type":"box","text":"assurance that such favorable developments will occur or that investment opportunities in foreign markets will","page_number":114,"box":{"x":69,"y":377,"width":786,"height":12}},{"id":"2fdc4549-d425-4c03-9a30-8cff7b1ae703","block_type":"box","text":"increase.","page_number":114,"box":{"x":70,"y":393,"width":63,"height":8}},{"id":"149f881a-734c-46c3-96fd-0b9505c16ab8","block_type":"box","text":"The revenues of domestic and foreign utility companies generally reflect the economic growth and development","page_number":114,"box":{"x":101,"y":415,"width":793,"height":11}},{"id":"5cb06ae4-e0f6-4cbf-b24f-5e3b65b94e9f","block_type":"box","text":"in the geographic areas in which they do business. The Manager will take into account anticipated economic growth","page_number":114,"box":{"x":70,"y":430,"width":821,"height":11}},{"id":"4f433650-26f4-41bf-b4ab-2f76ec2e3fcc","block_type":"box","text":"rates and other economic developments when selecting securities of utility companies.","page_number":114,"box":{"x":69,"y":445,"width":619,"height":12}},{"id":"78d5ee71-7349-45cb-8539-7a837e10443a","block_type":"box","text":"Electric.","page_number":114,"box":{"x":102,"y":468,"width":54,"height":9}},{"id":"29eb7060-9423-4377-8fae-5253e25c453e","block_type":"box","text":"The electric utility industry consists of companies that are engaged principally in the generation,","page_number":114,"box":{"x":163,"y":468,"width":684,"height":11}},{"id":"2d4fe26d-7a09-4b90-acdc-5042379d0772","block_type":"box","text":"transmission and sale of electric energy, although many also provide other energy-related services. In the past,","page_number":114,"box":{"x":68,"y":483,"width":793,"height":11}},{"id":"a8fb9bc2-5bdb-4ee2-aaaf-8b6c9f39a211","block_type":"box","text":"electric utility companies, in general, have been favorably affected by lower fuel and financing costs and the full or","page_number":114,"box":{"x":69,"y":498,"width":814,"height":11}},{"id":"0c32ce92-9326-43b7-9e76-06647a6d0a12","block_type":"box","text":"near completion of major construction programs. In addition, many of these companies have generated cash flows in","page_number":114,"box":{"x":69,"y":513,"width":833,"height":12}},{"id":"5233d67c-eb38-455c-adac-570d614f67db","block_type":"box","text":"excess of current operating expenses and construction expenditures, permitting some degree of diversification into","page_number":114,"box":{"x":69,"y":528,"width":821,"height":12}},{"id":"78f448bc-142f-4163-ac54-0e0cda00df46","block_type":"box","text":"unregulated businesses. Some electric utilities have also taken advantage of the right to sell power outside of their","page_number":114,"box":{"x":69,"y":543,"width":823,"height":12}},{"id":"85520aca-b037-48b7-b08d-2155955c6df9","block_type":"box","text":"traditional geographic areas. Electric utility companies have historically been subject to the risks associated with","page_number":114,"box":{"x":68,"y":559,"width":803,"height":11}},{"id":"a1cfbdf7-7fc3-437e-b6bf-ae07b57d30fc","block_type":"box","text":"increases in fuel and other operating costs, high interest costs on borrowings needed for capital construction","page_number":114,"box":{"x":70,"y":574,"width":778,"height":11}},{"id":"ea9b4ad0-a1cd-4d52-bd55-37d57424190d","block_type":"box","text":"programs, costs associated with compliance with environmental and safety regulations and changes in the regulatory","page_number":114,"box":{"x":70,"y":589,"width":836,"height":11}},{"id":"50ec6ae5-6d02-4b6e-9a14-4c8f2b0adc9b","block_type":"box","text":"climate. As interest rates declined, many utilities refinanced high cost debt and in doing so improved their fixed","page_number":114,"box":{"x":69,"y":604,"width":793,"height":11}},{"id":"fc7abea1-0e50-4bf5-bfbe-cd308054df1d","block_type":"box","text":"charges coverage. Regulators, however, lowered allowed rates of return as interest rates declined and thereby","page_number":114,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"f32ff83b-2811-4077-9096-5cc375866e97","block_type":"box","text":"caused the benefits of the rate declines to be shared wholly or in part with customers. In a period of rising interest","page_number":114,"box":{"x":69,"y":634,"width":819,"height":12}},{"id":"dc0ee2de-dedd-4498-8ebe-acb7d58f7de3","block_type":"box","text":"rates, the allowed rates of return may not keep pace with the utilities’ increased costs. The construction and","page_number":114,"box":{"x":69,"y":649,"width":775,"height":12}},{"id":"3e379230-a9d1-4759-9332-9f6c76949c08","block_type":"box","text":"operation of nuclear power facilities are subject to strict scrutiny by, and evolving regulations of, the Nuclear","page_number":114,"box":{"x":69,"y":664,"width":770,"height":12}},{"id":"dcacc11c-ee46-48b0-9a25-5ad921b12c01","block_type":"box","text":"Regulatory Commission and state agencies which have comparable jurisdiction. Strict scrutiny might result in higher","page_number":114,"box":{"x":70,"y":680,"width":826,"height":11}},{"id":"1147f83c-3560-4cc4-b4ba-f806f99ef142","block_type":"box","text":"operating costs and higher capital expenditures, with the risk that the regulators may disallow inclusion of these","page_number":114,"box":{"x":69,"y":695,"width":800,"height":11}},{"id":"5679b759-8aee-4a31-9b73-c06196b48e85","block_type":"box","text":"costs in rate authorizations or the risk that a company may not be permitted to operate or complete construction of a","page_number":114,"box":{"x":69,"y":710,"width":836,"height":11}},{"id":"68ca8b0e-9a1b-4c79-adbc-ec52d8c8c56e","block_type":"box","text":"facility. In addition, operators of nuclear power plants may be subject to significant costs for disposal of nuclear fuel","page_number":114,"box":{"x":68,"y":725,"width":826,"height":11}},{"id":"5c8e14f1-4ddf-42fd-9c89-ef8d22bad96d","block_type":"box","text":"and for decommissioning such plants.","page_number":114,"box":{"x":69,"y":740,"width":270,"height":11}},{"id":"0b21c35d-0af3-426c-901a-2a62ae81058b","block_type":"box","text":"The rating agencies look closely at the business profile of utilities. Ratings for companies are expected to be","page_number":114,"box":{"x":101,"y":763,"width":776,"height":11}},{"id":"8f1e55fd-096b-444c-a011-5a75d4f89e84","block_type":"box","text":"impacted to a greater extent in the future by the division of their asset base. Electric utility companies that focus","page_number":114,"box":{"x":70,"y":778,"width":802,"height":11}},{"id":"5137ad85-56b6-44fd-8548-676d971f36a7","block_type":"box","text":"more on the generation of electricity may be assigned less favorable ratings as this business is expected to be","page_number":114,"box":{"x":69,"y":793,"width":791,"height":11}},{"id":"c454a8f5-d95a-4f06-baee-ef699b875c63","block_type":"box","text":"competitive and the least regulated. On the other hand, companies that focus on transmission and distribution, which","page_number":114,"box":{"x":69,"y":808,"width":839,"height":11}},{"id":"3ed68c22-a759-45a8-8332-3a8175b1f341","block_type":"box","text":"is expected to be the least competitive and the more regulated part of the business, may see higher ratings given the","page_number":114,"box":{"x":70,"y":823,"width":838,"height":12}},{"id":"a7b3240d-b279-44fc-a0ce-08f9d8153f39","block_type":"box","text":"greater predictability of cash flow.","page_number":114,"box":{"x":68,"y":838,"width":239,"height":12}},{"id":"c7e8d2c6-d7c1-4930-a2fa-aca43e3b158f","block_type":"box","text":"A number of states are considering or have enacted deregulation proposals. The introduction of competition into","page_number":114,"box":{"x":101,"y":861,"width":801,"height":11}},{"id":"26e4b473-8d22-44fc-a27c-b279d15dca95","block_type":"box","text":"the industry as a result of such deregulation has at times resulted in lower revenue, lower credit ratings, increased","page_number":114,"box":{"x":68,"y":876,"width":821,"height":11}},{"id":"61b3d7e0-96a9-4783-af88-b447dd249925","block_type":"box","text":"default risk, and lower electric utility security prices. Such increased competition may also cause long-term contracts,","page_number":114,"box":{"x":69,"y":891,"width":835,"height":12}},{"id":"2cfe94a8-b035-467a-8cbe-13e6949e5776","block_type":"box","text":"which electric utilities previously entered into to buy power, to become “stranded assets” which have no economic","page_number":114,"box":{"x":68,"y":907,"width":815,"height":11}},{"id":"3714e817-af50-483a-9e87-8269c73b5b8c","block_type":"box","text":"II-78","page_number":114,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"8fb34b3c-bea1-43a7-8da9-e716b32a7dfb","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":114,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"69f7666d-9d30-4d72-8b50-be3530ee7a37","block_type":"box","text":"value. Any loss associated with such contracts must be absorbed by ratepayers and investors. In addition, some","page_number":115,"box":{"x":68,"y":45,"width":803,"height":11}},{"id":"05f3b118-39a9-41f1-803e-1ff6ad52aa05","block_type":"box","text":"electric utilities have acquired electric utilities overseas to diversify, enhance earnings and gain experience in","page_number":115,"box":{"x":69,"y":60,"width":777,"height":11}},{"id":"2376ee40-eac8-44d8-a023-d1fc7360509b","block_type":"box","text":"operating in a deregulated environment. In some instances, such acquisitions have involved significant borrowings,","page_number":115,"box":{"x":69,"y":75,"width":819,"height":11}},{"id":"0b598339-8178-4ffc-9022-8eb58ed029d7","block_type":"box","text":"which have burdened the acquirer’s balance sheet. There is no assurance that current deregulation proposals will be","page_number":115,"box":{"x":68,"y":90,"width":835,"height":11}},{"id":"23cddac8-88de-4bcd-bc97-aa15902c83f6","block_type":"box","text":"adopted. However, deregulation in any form could significantly impact the electric utilities industry.","page_number":115,"box":{"x":69,"y":105,"width":700,"height":11}},{"id":"500c4d3d-5984-471c-a0df-a96321527840","block_type":"box","text":"Telecommunications.","page_number":115,"box":{"x":103,"y":128,"width":147,"height":9}},{"id":"35963d55-9ebd-4411-9129-30d70c5657c5","block_type":"box","text":"The telecommunications industry today includes both traditional telephone companies, with","page_number":115,"box":{"x":256,"y":128,"width":652,"height":11}},{"id":"1ad10239-b593-490f-8002-c129ab23f721","block_type":"box","text":"a history of broad market coverage and highly regulated businesses, and cable companies, which began as small,","page_number":115,"box":{"x":69,"y":143,"width":813,"height":11}},{"id":"64df3845-08aa-4962-967a-f561e0b8d565","block_type":"box","text":"lightly regulated businesses focused on limited markets. Today these two historically different businesses are","page_number":115,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"ca29ce0c-36cd-4013-89bb-d1ed06da8b41","block_type":"box","text":"converging in an industry that is trending toward larger, competitive national and international markets with an","page_number":115,"box":{"x":69,"y":173,"width":786,"height":11}},{"id":"40e51d1f-cd0e-4427-bdb2-03b0510150e1","block_type":"box","text":"emphasis on deregulation. Companies that distribute telephone services and provide access to the telephone","page_number":115,"box":{"x":69,"y":188,"width":784,"height":12}},{"id":"058812f9-b569-4bcc-9e12-0e9e7be2954d","block_type":"box","text":"networks still comprise the greatest portion of this segment, but non-regulated activities such as wireless telephone","page_number":115,"box":{"x":69,"y":203,"width":830,"height":12}},{"id":"5e850aec-6985-41aa-aabb-b4616c7aa6a9","block_type":"box","text":"services, paging, data transmission and processing, equipment retailing, computer software and hardware and","page_number":115,"box":{"x":69,"y":218,"width":790,"height":12}},{"id":"05ebd533-f8ea-41be-b2cf-f44f71b1db48","block_type":"box","text":"internet services are becoming increasingly significant components as well. In particular, wireless and internet","page_number":115,"box":{"x":70,"y":234,"width":788,"height":11}},{"id":"d797bc82-8f41-4659-8154-88e554895d7e","block_type":"box","text":"telephone services continue to gain market share at the expense of traditional telephone companies. The presence","page_number":115,"box":{"x":68,"y":249,"width":825,"height":11}},{"id":"28943ede-b688-4f00-b9da-19521fcc7933","block_type":"box","text":"of unregulated companies in this industry and the entry of traditional telephone companies into unregulated or less","page_number":115,"box":{"x":69,"y":264,"width":823,"height":11}},{"id":"a3455ee4-0c88-412f-8273-3964ddd68c81","block_type":"box","text":"regulated businesses provide significant investment opportunities with companies that may increase their earnings","page_number":115,"box":{"x":69,"y":279,"width":821,"height":11}},{"id":"c2fcca16-b2f6-451d-a1ef-eeee4d84414d","block_type":"box","text":"at faster rates than had been allowed in traditional regulated businesses. Still, increasing competition, technological","page_number":115,"box":{"x":69,"y":294,"width":830,"height":11}},{"id":"1b8eaeae-4a42-44db-a5d1-7d53cbd83aa2","block_type":"box","text":"innovations and other structural changes could adversely affect the profitability of such utilities and the growth rate","page_number":115,"box":{"x":70,"y":309,"width":821,"height":11}},{"id":"66a39826-82d5-444c-8c9f-a4da18db5819","block_type":"box","text":"of their dividends. Given mergers and proposed legislation and enforcement changes, it is likely that both traditional","page_number":115,"box":{"x":69,"y":324,"width":827,"height":12}},{"id":"7e0282eb-9f38-4fdf-8d5b-d16c69cb6343","block_type":"box","text":"telephone companies and cable companies will continue to provide an expanding range of utility services to both","page_number":115,"box":{"x":68,"y":339,"width":804,"height":12}},{"id":"e4909677-ee32-4887-9583-cdfd4055b214","block_type":"box","text":"residential, corporate and governmental customers.","page_number":115,"box":{"x":69,"y":355,"width":367,"height":11}},{"id":"e5cbd48c-f376-4040-a37e-d46d7c4c5985","block_type":"box","text":"Gas.","page_number":115,"box":{"x":102,"y":377,"width":31,"height":9}},{"id":"b36f5a13-1e20-4977-9be6-7b635e57ea26","block_type":"box","text":"Gas transmission companies and gas distribution companies are undergoing significant changes. In the","page_number":115,"box":{"x":139,"y":377,"width":740,"height":12}},{"id":"394744a7-6c72-481a-8b96-434838551233","block_type":"box","text":"United States, interstate transmission companies are regulated by the Federal Energy Regulatory Commission, which","page_number":115,"box":{"x":70,"y":392,"width":834,"height":12}},{"id":"4f0aae5e-66de-4c4e-9b95-9938ce83c6d2","block_type":"box","text":"is reducing its regulation of the industry. Many companies have diversified into oil and gas exploration and","page_number":115,"box":{"x":70,"y":407,"width":756,"height":12}},{"id":"4d778f92-5c55-447c-a306-c37fd66aac10","block_type":"box","text":"development, making returns more sensitive to energy prices. In the recent decade, gas utility companies have been","page_number":115,"box":{"x":69,"y":423,"width":831,"height":11}},{"id":"93510415-e6fe-40d5-8c8f-384e26cea802","block_type":"box","text":"adversely affected by disruptions in the oil industry and have also been affected by increased concentration and","page_number":115,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"9125f27b-f313-4ccb-a3c6-52ef9d9cdc88","block_type":"box","text":"competition. In the opinion of the Manager, however, environmental considerations could improve the gas industry","page_number":115,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"dde34af9-f759-4906-b1e8-e36614023968","block_type":"box","text":"outlook in the future. For example, natural gas is the cleanest of the hydrocarbon fuels, and this may result in","page_number":115,"box":{"x":69,"y":468,"width":782,"height":11}},{"id":"ac9874ad-94c8-4dc0-a046-39f51a5e4c6b","block_type":"box","text":"incremental shifts in fuel consumption toward natural gas and away from oil and coal, even for electricity generation.","page_number":115,"box":{"x":70,"y":483,"width":829,"height":11}},{"id":"85fcb0a3-e838-4fc3-bed1-0a76bbb2fdeb","block_type":"box","text":"However, technological or regulatory changes within the industry may delay or prevent this result.","page_number":115,"box":{"x":70,"y":498,"width":691,"height":11}},{"id":"586c3ae7-8bcd-40b5-b953-229299f47924","block_type":"box","text":"Water.","page_number":115,"box":{"x":103,"y":521,"width":42,"height":9}},{"id":"a5b44055-7eb5-4053-8532-24cf82a4432c","block_type":"box","text":"Water supply utilities are companies that collect, purify, distribute and sell water. In the United States and","page_number":115,"box":{"x":151,"y":521,"width":754,"height":11}},{"id":"5f2a578b-94cf-412b-a049-9168d11b52c4","block_type":"box","text":"around the world the industry is highly fragmented because most of the supplies are owned by local authorities.","page_number":115,"box":{"x":69,"y":536,"width":796,"height":11}},{"id":"1f967508-da2e-4e18-a095-220bee690ac0","block_type":"box","text":"Companies in this industry are generally mature and are experiencing little or no per capita volume growth. In the","page_number":115,"box":{"x":69,"y":551,"width":806,"height":11}},{"id":"bfbd37b9-9717-4275-9003-cca02c998095","block_type":"box","text":"opinion of the Manager, there may be opportunities for certain companies to acquire other water utility companies","page_number":115,"box":{"x":69,"y":566,"width":814,"height":11}},{"id":"953cc393-3d63-4b19-885a-a39128850521","block_type":"box","text":"and for foreign acquisition of domestic companies. The Manager believes that favorable investment opportunities","page_number":115,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"d6be35ea-c7e9-4dd7-8051-4ba13d09dc7d","block_type":"box","text":"may result from consolidation of this segment. As with other utilities, however, increased regulation, increased costs","page_number":115,"box":{"x":69,"y":596,"width":832,"height":12}},{"id":"a862612a-a12b-428c-bd3d-5b84f743316a","block_type":"box","text":"and potential disruptions in supply may adversely affect investments in water supply utilities.","page_number":115,"box":{"x":69,"y":612,"width":662,"height":11}},{"id":"6826ec96-2bef-47ce-9a0f-ece76d2fc772","block_type":"box","text":"Utility Industries Generally.","page_number":115,"box":{"x":103,"y":634,"width":186,"height":11}},{"id":"ec61070a-af86-412d-9836-d70c46c23733","block_type":"box","text":"There can be no assurance that the positive developments noted above, including","page_number":115,"box":{"x":296,"y":634,"width":584,"height":12}},{"id":"5340c416-8193-4662-ac8a-c70fc7f71f8f","block_type":"box","text":"those relating to privatization and changing regulation, will occur or that risk factors other than those noted above will","page_number":115,"box":{"x":68,"y":649,"width":837,"height":12}},{"id":"5268fbc4-8506-4cbb-a917-4fb5a0432f44","block_type":"box","text":"not develop in the future.","page_number":115,"box":{"x":69,"y":664,"width":178,"height":11}},{"id":"4c5220bb-8c11-4eef-ae39-d2823fb8c689","block_type":"box","text":"When-Issued Securities, Delayed Delivery Securities and Forward Commitments.","page_number":115,"box":{"x":103,"y":687,"width":585,"height":11}},{"id":"bff1b180-ca76-4df6-a70f-4d33d1f666a2","block_type":"box","text":"A Fund may purchase or sell","page_number":115,"box":{"x":694,"y":687,"width":200,"height":11}},{"id":"c020d0a9-5778-4ee3-a8f0-0c7a79d142c7","block_type":"box","text":"securities that it is entitled to receive on a when-issued basis. A Fund may also purchase or sell securities on a","page_number":115,"box":{"x":69,"y":703,"width":795,"height":10}},{"id":"423a1182-b944-4ce7-9e5e-d8f190be581f","block_type":"box","text":"delayed delivery basis or through a forward commitment (including on a TBA (to be announced) basis). These","page_number":115,"box":{"x":69,"y":717,"width":777,"height":12}},{"id":"389164f4-9681-4abd-a4f6-7289ab1b4269","block_type":"box","text":"transactions involve the purchase or sale of securities by a Fund at an established price with payment and delivery","page_number":115,"box":{"x":68,"y":732,"width":820,"height":12}},{"id":"576905ac-bcc7-46c0-8475-469e662950f9","block_type":"box","text":"taking place in the future. The Fund enters into these transactions to obtain what is considered an advantageous","page_number":115,"box":{"x":68,"y":748,"width":807,"height":11}},{"id":"a8cba45a-7c7d-4630-8282-2535e1f9abfd","block_type":"box","text":"price to the Fund at the time of entering into the transaction.","page_number":115,"box":{"x":70,"y":763,"width":430,"height":11}},{"id":"d80f3541-58a1-4b74-aaab-4059f07bd774","block_type":"box","text":"Pursuant to recommendations of the Treasury Market Practices Group, which is sponsored by the Federal","page_number":115,"box":{"x":102,"y":785,"width":750,"height":12}},{"id":"9ebb1f52-7086-423d-9097-fa4e507654d2","block_type":"box","text":"Reserve Bank of New York, a Fund or its counterparty generally will be required to post collateral when entering into","page_number":115,"box":{"x":70,"y":801,"width":823,"height":11}},{"id":"476915d5-e1fc-4f6d-af3f-91d4c00ea6e3","block_type":"box","text":"certain forward-settling transactions, including without limitation TBA transactions. FINRA rules have also been","page_number":115,"box":{"x":69,"y":816,"width":788,"height":11}},{"id":"273330a9-56d9-4304-a21b-6196aa4ba66e","block_type":"box","text":"implemented that include mandatory margin requirements for the TBA market with limited exceptions. The","page_number":115,"box":{"x":70,"y":831,"width":755,"height":11}},{"id":"a5bbe8ab-f270-4b95-a63a-ff828d24e30c","block_type":"box","text":"collateralization of TBA trades is intended to mitigate counterparty credit risk between trade and settlement, but","page_number":115,"box":{"x":69,"y":846,"width":799,"height":11}},{"id":"0528abc9-9221-4666-8497-9ca887f41218","block_type":"box","text":"could increase the cost of TBA transactions and impose added operational complexity.","page_number":115,"box":{"x":69,"y":861,"width":614,"height":11}},{"id":"b3b51064-490b-407d-9c46-974972e43d8c","block_type":"box","text":"There can be no assurance that a security purchased on a when-issued basis will be issued or that a security","page_number":115,"box":{"x":101,"y":884,"width":780,"height":11}},{"id":"c817008b-e84e-40fd-bb96-570f9408da82","block_type":"box","text":"purchased or sold on a delayed delivery basis or through a forward commitment will be delivered. Also, the value of","page_number":115,"box":{"x":70,"y":899,"width":823,"height":11}},{"id":"2c4b3897-2fe3-48ba-b416-fa35b488ee1e","block_type":"box","text":"II-79","page_number":115,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"781ac507-f6f9-451e-9747-e4fddac3672a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":115,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"93480b50-c647-4529-ad9c-0068f3a8c24d","block_type":"box","text":"securities in these transactions on the delivery date may be more or less than the price paid by the Fund to purchase","page_number":116,"box":{"x":69,"y":45,"width":838,"height":11}},{"id":"e2efbe05-9909-426b-8c50-2a4aebb3ee37","block_type":"box","text":"the securities. The Fund will lose money if the value of the security in such a transaction declines below the purchase","page_number":116,"box":{"x":68,"y":60,"width":839,"height":11}},{"id":"17f47d13-c943-4a2a-bec2-f5d438e5953a","block_type":"box","text":"price and will not benefit if the value of the security appreciates above the sale price during the commitment period.","page_number":116,"box":{"x":70,"y":75,"width":824,"height":11}},{"id":"a8febdc3-1da8-4e4d-a98c-e8e812f1e506","block_type":"box","text":"If deemed advisable as a matter of investment strategy, a Fund may dispose of or renegotiate a commitment","page_number":116,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"efd7c268-1ba2-4156-b505-e7588742851a","block_type":"box","text":"after it has been entered into, and may sell securities it has committed to purchase before those securities are","page_number":116,"box":{"x":69,"y":113,"width":795,"height":11}},{"id":"fc860be2-1e71-429b-821f-1cd312f8aa73","block_type":"box","text":"delivered to the Fund on the settlement date. In these cases the Fund may realize a taxable capital gain or loss.","page_number":116,"box":{"x":69,"y":128,"width":799,"height":11}},{"id":"956b3ca5-9709-4a19-9a77-89981b7ad7e3","block_type":"box","text":"When a Fund engages in when-issued, TBA or forward commitment transactions, it relies on the other party to","page_number":116,"box":{"x":101,"y":150,"width":784,"height":12}},{"id":"186468ef-3eb9-496d-88bb-dadcc92ca214","block_type":"box","text":"consummate the trade. Failure of such party to do so may result in the Fund’s incurring a loss or missing an","page_number":116,"box":{"x":69,"y":166,"width":772,"height":11}},{"id":"72c9658b-8e09-4808-b4a4-362821b41096","block_type":"box","text":"opportunity to obtain a price considered to be advantageous.","page_number":116,"box":{"x":69,"y":181,"width":434,"height":11}},{"id":"af468c76-12c4-42fa-a11d-7635586212c1","block_type":"box","text":"The market value of the securities underlying a commitment to purchase securities, and any subsequent","page_number":116,"box":{"x":101,"y":203,"width":745,"height":12}},{"id":"01054591-b5c1-47eb-a35b-3b3c2d5b86b4","block_type":"box","text":"fluctuations in their market value, is taken into account when determining the market value of a Fund starting on the","page_number":116,"box":{"x":68,"y":218,"width":831,"height":12}},{"id":"52e33d5b-f02d-4a7b-8146-c0834b92345f","block_type":"box","text":"day the Fund agrees to purchase the securities. The Fund does not earn interest on the securities it has committed","page_number":116,"box":{"x":69,"y":234,"width":823,"height":11}},{"id":"d82aeee7-3054-45bc-8d9a-1793aa5d53d0","block_type":"box","text":"to purchase until they are paid for and delivered on the settlement date.","page_number":116,"box":{"x":68,"y":249,"width":514,"height":11}},{"id":"b16a4e09-ef71-4de1-b767-ac96f640213a","block_type":"box","text":"Rule 18f-4 under the Investment Company Act permits a Fund to enter into when-issued or forward-settling","page_number":116,"box":{"x":102,"y":271,"width":759,"height":12}},{"id":"fc3c1dd1-5dd7-488e-a075-cbcd84b15e42","block_type":"box","text":"securities (","page_number":116,"box":{"x":69,"y":287,"width":78,"height":11}},{"id":"83d7fc39-0d41-4883-a08d-586266893efc","block_type":"box","text":"e.g.","page_number":116,"box":{"x":148,"y":288,"width":25,"height":10}},{"id":"bd59e527-f00b-49e0-acfe-68777cebc86f","block_type":"box","text":", firm and standby commitments, including TBA commitments, and dollar rolls) and non-standard","page_number":116,"box":{"x":176,"y":286,"width":686,"height":12}},{"id":"296d5753-de6c-42b9-8ae8-8626739d6b7f","block_type":"box","text":"settlement cycle securities notwithstanding the limitation on the issuance of senior securities in Section 18 of the","page_number":116,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"5115ca52-430e-4ffa-b012-8eef4b7adf94","block_type":"box","text":"Investment Company Act, provided that the Fund intends to physically settle the transaction and the transaction will","page_number":116,"box":{"x":70,"y":317,"width":822,"height":11}},{"id":"1587e0b2-fd00-440c-b97b-95d7df811e55","block_type":"box","text":"settle within 35 days of its trade date (the “Delayed-Settlement Securities Provision”). If a when-issued, forward","page_number":116,"box":{"x":69,"y":332,"width":802,"height":11}},{"id":"4c06c33b-498a-4f51-856f-c33d6c2dc849","block_type":"box","text":"settling or non-standard settlement cycle security does not satisfy the Delayed-Settlement Securities Provision, then","page_number":116,"box":{"x":69,"y":347,"width":826,"height":11}},{"id":"baefd7c7-309d-4fc8-89fa-6535d09e1357","block_type":"box","text":"it is treated as a Derivatives Transaction under Rule 18f-4. See “—Derivatives — Regulation of Derivatives — Rule","page_number":116,"box":{"x":70,"y":362,"width":816,"height":11}},{"id":"0f6fb93f-caef-439e-a664-7989df29ef73","block_type":"box","text":"18f-4 under the Investment Company Act” above.","page_number":116,"box":{"x":70,"y":377,"width":349,"height":11}},{"id":"3cd05fea-dd30-45a9-b953-67a75face7e0","block_type":"box","text":"Regulations adopted by global prudential regulators require certain bank-regulated counterparties and certain of","page_number":116,"box":{"x":102,"y":400,"width":800,"height":11}},{"id":"9c5d529b-be48-41e7-898e-b1aa61b92e53","block_type":"box","text":"their affiliates to include in certain financial contracts, including many agreements with respect to when-issued, TBA","page_number":116,"box":{"x":68,"y":415,"width":829,"height":11}},{"id":"7e55f86d-a1b2-467e-ad40-7de75236ef77","block_type":"box","text":"and forward commitment transactions, terms that delay or restrict the rights of counterparties, such as a Fund, to","page_number":116,"box":{"x":69,"y":430,"width":814,"height":11}},{"id":"a9005200-433e-4f8f-92f1-0a1059295191","block_type":"box","text":"terminate such agreements, foreclose upon collateral, exercise other default rights or restrict transfers of credit","page_number":116,"box":{"x":68,"y":445,"width":799,"height":12}},{"id":"b7591954-d999-4749-800f-66a51c47dd2f","block_type":"box","text":"support in the event that the counterparty and/or its affiliates are subject to certain types of resolution or insolvency","page_number":116,"box":{"x":69,"y":460,"width":836,"height":12}},{"id":"ce521ac7-1b57-43a6-b395-8e00b024ecd4","block_type":"box","text":"proceedings. It is possible that these requirements, as well as potential additional government regulation and other","page_number":116,"box":{"x":70,"y":476,"width":824,"height":11}},{"id":"c9d00e30-3dc6-4534-b995-ceda02d54c8e","block_type":"box","text":"developments in the market, could adversely affect a Fund’s ability to terminate existing agreements with respect to","page_number":116,"box":{"x":69,"y":491,"width":829,"height":11}},{"id":"527a4aa3-00d5-423b-9794-c87bc5c8f447","block_type":"box","text":"these transactions or to realize amounts to be received under such agreements.","page_number":116,"box":{"x":68,"y":506,"width":573,"height":11}},{"id":"19d58656-932b-49f2-acd4-5839223a1956","block_type":"box","text":"Yields and Ratings.","page_number":116,"box":{"x":103,"y":529,"width":139,"height":11}},{"id":"cd398b00-3f1a-4658-a760-fbc02f2b45e3","block_type":"box","text":"The yields on certain obligations are dependent on a variety of factors, including general","page_number":116,"box":{"x":247,"y":528,"width":628,"height":12}},{"id":"468035bc-7b31-4922-86a6-8054cbdeb63b","block_type":"box","text":"market conditions, conditions in the particular market for the obligation, the financial condition of the issuer, the size","page_number":116,"box":{"x":69,"y":543,"width":834,"height":12}},{"id":"9377f7e9-ad8b-4f8e-8800-c9ec73a07c11","block_type":"box","text":"of the offering, the maturity of the obligation and the ratings of the issue. The ratings of Moody’s, Fitch and S&P","page_number":116,"box":{"x":69,"y":559,"width":799,"height":11}},{"id":"c2a6642c-f9f7-42a7-ae08-931f5cdae17b","block_type":"box","text":"represent their respective opinions as to the quality of the obligations they undertake to rate. Ratings, however, are","page_number":116,"box":{"x":69,"y":574,"width":824,"height":11}},{"id":"1c964ecb-3437-46a8-8dda-640e821b99cb","block_type":"box","text":"general and are not absolute standards of quality. Consequently, obligations with the same rating, maturity and","page_number":116,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"c35c04e9-e9ae-4de5-b8e7-1e254c60e2e4","block_type":"box","text":"interest rate may have different market prices. Subsequent to its purchase by a Fund, a rated security may cease to","page_number":116,"box":{"x":70,"y":604,"width":827,"height":11}},{"id":"c98da0d6-eb4f-487c-b2aa-833fa52d3879","block_type":"box","text":"be rated. A Fund’s Manager or sub-adviser will consider such an event in determining whether the Fund should","page_number":116,"box":{"x":69,"y":619,"width":786,"height":11}},{"id":"8581031d-e7e1-416b-b4f7-f72fba27deb4","block_type":"box","text":"continue to hold the security.","page_number":116,"box":{"x":69,"y":634,"width":204,"height":11}},{"id":"2c4e497e-ba35-48dc-a64f-eeeb63f8ca8f","block_type":"box","text":"Zero Coupon Securities.","page_number":116,"box":{"x":102,"y":657,"width":175,"height":11}},{"id":"caef4dea-e180-4e7b-8a23-135d27732bd0","block_type":"box","text":"Zero coupon securities are securities that are sold at a discount to par value and do","page_number":116,"box":{"x":283,"y":657,"width":601,"height":11}},{"id":"bb52cd2d-433e-4c5e-acc7-67ed309de93b","block_type":"box","text":"not pay interest during the life of the security. The discount approximates the total amount of interest the security will","page_number":116,"box":{"x":69,"y":672,"width":837,"height":11}},{"id":"83328de7-5aab-4fac-882f-9fea79457357","block_type":"box","text":"accrue and compound over the period until maturity at a rate of interest reflecting the market rate of the security at","page_number":116,"box":{"x":69,"y":687,"width":822,"height":11}},{"id":"a11f3f29-6776-4d2b-b8f5-0946db7ed9fb","block_type":"box","text":"the time of issuance. Upon maturity, the holder of a zero coupon security is entitled to receive the par value of the","page_number":116,"box":{"x":68,"y":702,"width":814,"height":11}},{"id":"027cf84e-cda5-4132-a7b4-c8cfb4c93959","block_type":"box","text":"security.","page_number":116,"box":{"x":69,"y":718,"width":57,"height":11}},{"id":"54966ae6-3a76-4889-9def-53de67c1eefc","block_type":"box","text":"While interest payments are not made on such securities, holders of such securities are deemed to have","page_number":116,"box":{"x":101,"y":740,"width":749,"height":11}},{"id":"57ce8f1b-cdf7-4d20-8e20-7fd2a5a1bf9e","block_type":"box","text":"received income (“phantom income”) annually, notwithstanding that cash may not be received currently. The effect of","page_number":116,"box":{"x":69,"y":755,"width":835,"height":11}},{"id":"835aa61d-c698-4208-bbc4-e55e206fd40f","block_type":"box","text":"owning instruments that do not make current interest payments is that a fixed yield is earned not only on the original","page_number":116,"box":{"x":69,"y":770,"width":833,"height":12}},{"id":"57c98f16-71eb-47a5-a0ae-e0ef9fd04476","block_type":"box","text":"investment but also, in effect, on all discount accretion during the life of the obligations. This implicit reinvestment of","page_number":116,"box":{"x":70,"y":785,"width":836,"height":12}},{"id":"01b49039-ddc1-4807-84f2-375350349d06","block_type":"box","text":"earnings at a fixed rate eliminates the risk of being unable to invest distributions at a rate as high as the implicit","page_number":116,"box":{"x":69,"y":801,"width":804,"height":11}},{"id":"b1f7e8d8-4c43-40e8-ae45-a83655f29ed0","block_type":"box","text":"yield on the zero coupon bond, but at the same time eliminates the holder’s ability to reinvest at higher rates in the","page_number":116,"box":{"x":68,"y":816,"width":824,"height":11}},{"id":"bfa05be2-c91b-4fe8-85fe-31074ab13aac","block_type":"box","text":"future. For this reason, some of these securities may be subject to substantially greater price fluctuations during","page_number":116,"box":{"x":68,"y":831,"width":805,"height":11}},{"id":"c48955cb-d806-4562-81f1-608101351a5f","block_type":"box","text":"periods of changing market interest rates than are comparable securities that pay interest currently. Longer term zero","page_number":116,"box":{"x":70,"y":846,"width":837,"height":11}},{"id":"82fd3163-92c2-4fce-b19b-82421a33e43e","block_type":"box","text":"coupon bonds are more exposed to interest rate risk than shorter term zero coupon bonds. These investments","page_number":116,"box":{"x":69,"y":861,"width":791,"height":11}},{"id":"78b4fff6-7124-489d-9999-86272fe125c9","block_type":"box","text":"benefit the issuer by mitigating its need for cash to meet debt service, but also require a higher rate of return to","page_number":116,"box":{"x":69,"y":876,"width":800,"height":11}},{"id":"f22f506a-d6aa-4aac-be25-ee362a3bde02","block_type":"box","text":"attract investors who are willing to defer receipt of cash.","page_number":116,"box":{"x":69,"y":891,"width":400,"height":12}},{"id":"b96ea6e6-580f-4fb5-9fab-408e85f259de","block_type":"box","text":"II-80","page_number":116,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"77439fb2-5813-4954-b78b-33f61c19156e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":116,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"053b75cb-817e-4648-8408-bcdea80d671c","block_type":"box","text":"A Fund accrues income with respect to these securities for U.S. federal income tax and accounting purposes","page_number":117,"box":{"x":101,"y":45,"width":775,"height":11}},{"id":"cacf983f-4653-4fb5-8068-8f4018ee1b06","block_type":"box","text":"prior to the receipt of cash payments. Zero coupon securities may be subject to greater fluctuation in value and less","page_number":117,"box":{"x":70,"y":60,"width":827,"height":11}},{"id":"1809bd54-1519-4ec6-8305-bc57c5528698","block_type":"box","text":"liquidity in the event of adverse market conditions than comparably rated securities that pay cash interest at regular","page_number":117,"box":{"x":70,"y":75,"width":826,"height":11}},{"id":"8fbe821a-d9da-4826-a325-494c903dc4ba","block_type":"box","text":"intervals.","page_number":117,"box":{"x":70,"y":90,"width":64,"height":9}},{"id":"2da86681-1217-4151-8740-3df4b7309a14","block_type":"box","text":"Further, to maintain its qualification for pass-through treatment under the U.S. federal tax laws, a Fund is","page_number":117,"box":{"x":102,"y":113,"width":749,"height":11}},{"id":"b8f5c8cb-92e1-4221-852a-1bcefb735eb0","block_type":"box","text":"required to distribute income to its shareholders and, consequently, may have to dispose of other, more liquid","page_number":117,"box":{"x":69,"y":128,"width":784,"height":11}},{"id":"587eb593-dc89-4d0f-9c2c-eb2e846905cf","block_type":"box","text":"portfolio securities under disadvantageous circumstances or may have to leverage itself by borrowing in order to","page_number":117,"box":{"x":70,"y":143,"width":799,"height":11}},{"id":"20f279bb-554a-4790-8c0d-650a2575f50a","block_type":"box","text":"generate the cash to satisfy these distributions. The required distributions may result in an increase in a Fund’s","page_number":117,"box":{"x":68,"y":158,"width":799,"height":11}},{"id":"166fb145-c568-4c79-b186-d91521410d74","block_type":"box","text":"exposure to zero coupon securities.","page_number":117,"box":{"x":69,"y":173,"width":253,"height":11}},{"id":"95614f96-66f8-4c4c-8521-04ada7528190","block_type":"box","text":"In addition to the above-described risks, there are certain other risks related to investing in zero coupon","page_number":117,"box":{"x":102,"y":196,"width":740,"height":11}},{"id":"2e32a33f-478f-44cc-85d2-6e8d8ae1350d","block_type":"box","text":"securities. During a period of severe market conditions, the market for such securities may become even less liquid.","page_number":117,"box":{"x":69,"y":211,"width":829,"height":11}},{"id":"791cf748-e315-4a30-9ce5-c742f1b4a886","block_type":"box","text":"In addition, as these securities do not pay cash interest, a Fund’s investment exposure to these securities and their","page_number":117,"box":{"x":70,"y":226,"width":829,"height":11}},{"id":"f4b00fe6-6b42-437f-a1b9-184a90c3fec0","block_type":"box","text":"risks, including credit risk, will increase during the time these securities are held in the Fund’s portfolio.","page_number":117,"box":{"x":69,"y":241,"width":741,"height":11}},{"id":"0051a555-ab04-4525-a6ec-afa055e934c5","block_type":"box","text":"Suitability. (All Funds)","page_number":117,"box":{"x":101,"y":264,"width":161,"height":11}},{"id":"f97b39a4-8fe7-43b5-8b47-43f1fa8c9801","block_type":"box","text":"The economic benefit of an investment in any Fund depends upon many factors beyond the control of the Fund,","page_number":117,"box":{"x":101,"y":286,"width":793,"height":12}},{"id":"aa0bfbb6-df77-43be-8a6c-86a37e9d5505","block_type":"box","text":"the Manager and its affiliates. Each Fund should be considered a vehicle for diversification and not as a balanced","page_number":117,"box":{"x":68,"y":302,"width":811,"height":11}},{"id":"bf2c08d2-ff21-4795-9470-8a8d1b264dd2","block_type":"box","text":"investment program. The suitability for any particular investor of a purchase of shares in a Fund will depend upon,","page_number":117,"box":{"x":70,"y":317,"width":810,"height":11}},{"id":"84beba2b-1939-4b07-9a30-ccd887fc1318","block_type":"box","text":"among other things, such investor’s investment objectives and such investor’s ability to accept the risks associated","page_number":117,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"b5614225-5000-47dc-b217-ca2bce8c1108","block_type":"box","text":"with investing in securities, including the risk of loss of principal.","page_number":117,"box":{"x":68,"y":347,"width":460,"height":11}},{"id":"da083db7-a659-441b-aab3-b72759f0efff","block_type":"box","text":"Investment Restrictions. (All Funds)","page_number":117,"box":{"x":102,"y":370,"width":264,"height":11}},{"id":"6e93f5dc-9c8a-4e19-82c4-b631a88e8b29","block_type":"box","text":"See “Investment Restrictions” or “Investment Policies,” as applicable in each Fund’s SAI for the specific","page_number":117,"box":{"x":102,"y":392,"width":745,"height":11}},{"id":"f13bfb86-3c0c-471f-b742-b66ae524dee5","block_type":"box","text":"fundamental and non-fundamental investment restrictions adopted by each Fund. In addition to those investment","page_number":117,"box":{"x":68,"y":407,"width":807,"height":12}},{"id":"f44e41a1-77cc-48cc-95de-f25ec2f51341","block_type":"box","text":"restrictions, each Fund is also subject to the restrictions discussed below.","page_number":117,"box":{"x":69,"y":423,"width":528,"height":11}},{"id":"232afb54-09e6-4ec9-8bc1-2367f0d5571d","block_type":"box","text":"Each Fund’s investments will be limited in order to allow the Fund to qualify as a “regulated investment","page_number":117,"box":{"x":102,"y":445,"width":735,"height":12}},{"id":"abd344e9-8e41-480b-b7c5-3214530a1a12","block_type":"box","text":"company” for purposes of the Code. See “Dividends and Taxes — Taxes” or “Taxes.” To qualify, among other","page_number":117,"box":{"x":69,"y":460,"width":775,"height":12}},{"id":"ca93d9ed-d4c9-4168-bbba-93cc28b4be8c","block_type":"box","text":"requirements, each Fund will limit its investments so that, at the close of each quarter of the taxable year, (i) at least","page_number":117,"box":{"x":69,"y":475,"width":837,"height":12}},{"id":"ab18b466-dccb-4f7f-8cec-5b36a932d5e0","block_type":"box","text":"50% of the market value of each Fund’s assets is represented by cash, securities of other regulated investment","page_number":117,"box":{"x":69,"y":491,"width":799,"height":11}},{"id":"77006767-a9a5-497b-a001-e98115f7bfa1","block_type":"box","text":"companies, U.S. Government Securities and other securities, with such other securities limited, in respect of any one","page_number":117,"box":{"x":69,"y":506,"width":837,"height":11}},{"id":"28be9811-35e8-466e-b625-bc08f08f87ed","block_type":"box","text":"issuer, to an amount not greater in value than 5% of the Fund’s assets and not greater than 10% of the outstanding","page_number":117,"box":{"x":70,"y":521,"width":825,"height":11}},{"id":"c9089b12-15ae-4fed-ae55-b69dfe965c47","block_type":"box","text":"voting securities of such issuer and (ii) not more than 25% of the value of its assets is invested in the securities","page_number":117,"box":{"x":68,"y":536,"width":802,"height":11}},{"id":"895dac95-4980-48a2-ad21-e13cc8c1e401","block_type":"box","text":"(other than U.S. Government Securities or securities of other regulated investment companies) of any one issuer, any","page_number":117,"box":{"x":69,"y":551,"width":837,"height":11}},{"id":"2a73a95d-458f-4e7d-bc58-2ea6f3476878","block_type":"box","text":"two or more issuers that the Fund controls and that are determined to be engaged in the same or similar trades or","page_number":117,"box":{"x":68,"y":566,"width":819,"height":11}},{"id":"dba82baf-45ec-426e-8792-c0d12ae6b736","block_type":"box","text":"businesses or related trades or businesses or in the securities of one or more qualified publicly traded partnerships","page_number":117,"box":{"x":69,"y":581,"width":828,"height":11}},{"id":"c64bacad-4852-494a-8976-868dacb1a897","block_type":"box","text":"(","page_number":117,"box":{"x":69,"y":597,"width":3,"height":10}},{"id":"bbb9abc5-7e56-48c9-ac7f-ed17d1faaf9c","block_type":"box","text":"i.e.","page_number":117,"box":{"x":74,"y":597,"width":21,"height":8}},{"id":"21c5ac7f-457a-4846-80fe-d37cf878c463","block_type":"box","text":", partnerships that are traded on an established securities market or tradable on a secondary market, other than","page_number":117,"box":{"x":97,"y":597,"width":806,"height":11}},{"id":"9f8e9ae9-bb08-4806-8cf0-c831723e9665","block_type":"box","text":"partnerships that derive 90% of their income from interest, dividends, capital gains and other traditionally permitted","page_number":117,"box":{"x":70,"y":612,"width":824,"height":11}},{"id":"6542ebbc-1252-42f8-bda8-fbd56b07f7a0","block_type":"box","text":"mutual fund income). For purposes of this restriction, the Municipal Funds generally will regard each state and each","page_number":117,"box":{"x":69,"y":627,"width":824,"height":11}},{"id":"836d0c8e-3807-4c74-ab57-dac0347f2910","block_type":"box","text":"of its political subdivisions, agencies or instrumentalities and each multi-state agency of which the state is a member","page_number":117,"box":{"x":69,"y":642,"width":838,"height":11}},{"id":"51b13b5f-7af3-49cd-88c6-a83e9ac26f76","block_type":"box","text":"as a separate issuer. Each public authority that issues securities on behalf of a private entity generally will also be","page_number":117,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"378b89a2-e898-4051-bc47-98453445a3ad","block_type":"box","text":"regarded as a separate issuer, except that if the security is backed only by the assets and revenues of a non","page_number":117,"box":{"x":69,"y":672,"width":781,"height":11}},{"id":"e402b82d-7bbe-4ab8-91b1-5c4a0e629ad1","block_type":"box","text":"government entity, then the entity with the ultimate responsibility for the payment of interest and principal may be","page_number":117,"box":{"x":68,"y":687,"width":810,"height":11}},{"id":"d5a0cede-773a-4365-bf72-0c10fffde4b7","block_type":"box","text":"regarded as the sole issuer.","page_number":117,"box":{"x":69,"y":703,"width":198,"height":11}},{"id":"acd504f8-6ad1-49af-b268-0d328159420a","block_type":"box","text":"Foreign government securities (unlike U.S. Government Securities) are not exempt from the 5%, 10% and 25%","page_number":117,"box":{"x":102,"y":725,"width":784,"height":11}},{"id":"7bde9995-4fb6-42da-9a6a-1c5b74bed906","block_type":"box","text":"diversification requirements of the Code discussed above and the securities of each foreign government issuer are","page_number":117,"box":{"x":69,"y":740,"width":819,"height":11}},{"id":"f0d28a63-3a1c-4e9f-8f90-0002b881cf81","block_type":"box","text":"considered to be obligations of a single issuer. These tax-related limitations may be changed by the Directors of a","page_number":117,"box":{"x":69,"y":755,"width":811,"height":11}},{"id":"d097aa7f-bb9a-4a66-ab70-3577d2868d93","block_type":"box","text":"Fund to the extent necessary to comply with changes to the U.S. federal tax requirements. A Fund that is","page_number":117,"box":{"x":70,"y":770,"width":747,"height":12}},{"id":"1ee3e1ab-9c87-4bf1-b6d2-e346ee0e7790","block_type":"box","text":"“diversified” under the Investment Company Act must satisfy the foregoing 5% and 10% requirements with respect to","page_number":117,"box":{"x":70,"y":785,"width":834,"height":12}},{"id":"a3b2452e-b755-4d71-9080-fa9d85c377a8","block_type":"box","text":"75% of its total assets.","page_number":117,"box":{"x":69,"y":801,"width":165,"height":9}},{"id":"5da8dcf4-6a94-4902-a1a1-654b34eea453","block_type":"box","text":"II-81","page_number":117,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"fb24b670-3cbe-4112-b381-cb60dd7c87cb","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":117,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6c4c8251-4819-4076-998e-cc3756a00244","block_type":"box","text":"MANAGEMENT AND OTHER SERVICE ARRANGEMENTS","page_number":118,"box":{"x":268,"y":45,"width":442,"height":10}},{"id":"e05eb869-22fd-4914-b802-fe4c31e12494","block_type":"box","text":"Directors and Officers","page_number":118,"box":{"x":69,"y":76,"width":159,"height":8}},{"id":"356504c4-63d8-42e0-91a0-a8caf48283b9","block_type":"box","text":"See “Information on Directors and Officers, ‘—Biographical Information,’ ‘— Share Ownership’ and ‘—","page_number":118,"box":{"x":102,"y":98,"width":733,"height":11}},{"id":"85ba3dd8-148d-4393-af03-7540d3ce2701","block_type":"box","text":"Compensation of Directors’” or “Information on Trustees and Officers, ‘—Biographical Information,’ ‘— Share","page_number":118,"box":{"x":69,"y":113,"width":783,"height":12}},{"id":"d77cd903-0b48-4df1-8239-aeb24c6d1d9e","block_type":"box","text":"Ownership’ and ‘— Compensation of Trustees’,” as applicable, in Part I of each Fund’s SAI for biographical and","page_number":118,"box":{"x":69,"y":128,"width":795,"height":12}},{"id":"0d4ba749-9193-4dab-acea-3de7e5cd62a0","block_type":"box","text":"certain other information relating to the Directors and officers of your Fund, including Directors’ compensation.","page_number":118,"box":{"x":69,"y":143,"width":789,"height":12}},{"id":"86e9dca2-2fe6-4e0e-9b8d-a554ca8a92df","block_type":"box","text":"Management Arrangements","page_number":118,"box":{"x":69,"y":174,"width":202,"height":11}},{"id":"acc449f0-d0b5-4a7e-b7fa-790c78da8014","block_type":"box","text":"Management Services.","page_number":118,"box":{"x":102,"y":197,"width":162,"height":11}},{"id":"82c677c0-29db-472b-8d25-fb554daad4fc","block_type":"box","text":"The Manager provides each Fund with investment advisory and management services.","page_number":118,"box":{"x":270,"y":197,"width":615,"height":11}},{"id":"819e0ca7-e98a-4f24-a87b-2b4d839b4cd2","block_type":"box","text":"Subject to the oversight of the Board of Directors, the Manager is responsible for the actual management of a Fund’s","page_number":118,"box":{"x":69,"y":212,"width":836,"height":11}},{"id":"8285a147-a61d-43c6-bd96-c60ff2f5435c","block_type":"box","text":"portfolio and reviews the Fund’s holdings in light of its own research analysis and that from other relevant sources.","page_number":118,"box":{"x":70,"y":227,"width":820,"height":11}},{"id":"3027187e-3fa2-435f-844c-4da8e16f6c34","block_type":"box","text":"The responsibility for making decisions to buy, sell or hold a particular security rests with the Manager. The Manager","page_number":118,"box":{"x":68,"y":242,"width":832,"height":11}},{"id":"24e13494-68dc-44cc-8c92-f17bf170c865","block_type":"box","text":"performs certain of the other administrative services and provides all the office space, facilities, equipment and","page_number":118,"box":{"x":70,"y":257,"width":801,"height":11}},{"id":"fb75d3aa-210c-48f4-9614-071ad320db30","block_type":"box","text":"necessary personnel for management of each Fund.","page_number":118,"box":{"x":69,"y":272,"width":370,"height":11}},{"id":"d58f7f91-094e-4e58-b078-a2040dac6ce2","block_type":"box","text":"Each Feeder Fund invests all or a portion of its assets in shares of a Master Portfolio. To the extent a Feeder","page_number":118,"box":{"x":102,"y":295,"width":778,"height":11}},{"id":"bfcbaf9b-d7e2-4f51-b06f-28e30455cb31","block_type":"box","text":"Fund invests all of its assets in a Master Portfolio, it does not invest directly in portfolio securities and does not","page_number":118,"box":{"x":70,"y":310,"width":800,"height":11}},{"id":"eb12d090-acf0-4951-b032-65b194ba5ac4","block_type":"box","text":"require management services. For such Feeder Funds, portfolio management occurs at the Master Portfolio level.","page_number":118,"box":{"x":69,"y":325,"width":810,"height":11}},{"id":"6bb82fa3-5b28-4a85-a81b-aed83725e9b5","block_type":"box","text":"Management Fee.","page_number":118,"box":{"x":102,"y":348,"width":126,"height":11}},{"id":"304347a1-e5f0-47f9-a0c1-d394dfcd0265","block_type":"box","text":"Each Fund has entered into a Management Agreement with the Manager pursuant to which","page_number":118,"box":{"x":235,"y":348,"width":646,"height":11}},{"id":"99978945-a5df-4aa3-9d79-10bf6fe21d3f","block_type":"box","text":"the Manager receives for its services to the Fund monthly compensation at an annual rate based on the average daily","page_number":118,"box":{"x":68,"y":363,"width":841,"height":11}},{"id":"815c9144-6dab-4fcf-83ca-731421c731db","block_type":"box","text":"net assets of the Fund. For information regarding the fees paid by your Fund to the Manager for the Fund’s last three","page_number":118,"box":{"x":69,"y":378,"width":833,"height":11}},{"id":"7c85c95e-3df8-4ae7-b04b-6879e5fb1391","block_type":"box","text":"fiscal years or other applicable periods, see “Management, Advisory and Other Service Arrangements —","page_number":118,"box":{"x":68,"y":393,"width":746,"height":11}},{"id":"8e34a8ac-8342-4e16-8527-cd8eb022629c","block_type":"box","text":"Management Agreement” or “Management and Advisory Arrangements,” as applicable, in Part I of each Fund’s SAI.","page_number":118,"box":{"x":70,"y":408,"width":825,"height":11}},{"id":"6e94d569-3890-4e0a-84a1-59dfa0f25be1","block_type":"box","text":"For Funds that do not have an administrator, each Management Agreement obligates the Manager to provide","page_number":118,"box":{"x":102,"y":431,"width":774,"height":11}},{"id":"f479420e-3b14-4d99-a9cf-8747e45ec30b","block_type":"box","text":"management services and to pay all compensation of and furnish office space for officers and employees of a Fund","page_number":118,"box":{"x":69,"y":446,"width":826,"height":11}},{"id":"d6ec4cd8-6b09-4d66-97e3-9d6672a5190d","block_type":"box","text":"in connection with investment and economic research, trading and investment management of the Fund, as well as","page_number":118,"box":{"x":70,"y":461,"width":820,"height":11}},{"id":"dff22708-11a7-49f5-9ba7-de6c81682157","block_type":"box","text":"the fees of all Directors of the Fund who are interested persons of the Fund. Each Fund pays all other expenses","page_number":118,"box":{"x":68,"y":476,"width":797,"height":11}},{"id":"8154dded-2c95-423b-b98a-135f594d317c","block_type":"box","text":"incurred in the operation of that Fund, including among other things: taxes; expenses for legal and auditing services;","page_number":118,"box":{"x":70,"y":491,"width":830,"height":12}},{"id":"73b530a1-9075-4e08-b787-a32788a33093","block_type":"box","text":"costs of preparing, printing and mailing proxies, shareholder reports, prospectuses and statements of additional","page_number":118,"box":{"x":69,"y":506,"width":802,"height":12}},{"id":"6b5e56f7-bfec-45b7-b37d-f838a8e897cd","block_type":"box","text":"information, except to the extent paid by BlackRock Investments, LLC (“BRIL” or the “Distributor”); charges of the","page_number":118,"box":{"x":70,"y":521,"width":809,"height":12}},{"id":"193945ef-8927-45b5-8b3e-c810ac9e5586","block_type":"box","text":"custodian and sub-custodian, and the transfer agent; expenses of redemption of shares; Commission fees; expenses","page_number":118,"box":{"x":69,"y":537,"width":838,"height":11}},{"id":"6b1336d9-d11d-4ce3-94f9-86222f74188a","block_type":"box","text":"of registering the shares under Federal, state or foreign laws; fees and expenses of Directors who are not interested","page_number":118,"box":{"x":69,"y":552,"width":830,"height":11}},{"id":"cd9b093c-a91c-42cd-909b-51bc4b6fa175","block_type":"box","text":"persons of a Fund as defined in the Investment Company Act; accounting and pricing costs (including the daily","page_number":118,"box":{"x":70,"y":567,"width":784,"height":11}},{"id":"928deec4-05d4-406e-b506-2cafcc5671ac","block_type":"box","text":"calculations of NAV); insurance; interest; brokerage costs; litigation and other extraordinary or non-recurring","page_number":118,"box":{"x":69,"y":582,"width":767,"height":11}},{"id":"37dea90b-9861-4342-8a63-a5d9b15083cc","block_type":"box","text":"expenses; and other expenses properly payable by the Fund. Certain accounting services are provided to each Fund","page_number":118,"box":{"x":69,"y":597,"width":825,"height":11}},{"id":"797f849b-f2a1-4feb-845e-e5f51f82b000","block_type":"box","text":"by State Street Bank and Trust Company (“State Street”), The Bank of New York Mellon (“BNY Mellon”) or JPMorgan","page_number":118,"box":{"x":69,"y":612,"width":827,"height":11}},{"id":"e6dec4e8-7fd0-4177-b1ff-09583846706c","block_type":"box","text":"Chase Bank, N.A. (“JPM”) pursuant to an agreement between State Street, BNY Mellon or JPM, as applicable, and","page_number":118,"box":{"x":69,"y":627,"width":814,"height":12}},{"id":"d3e64c99-e4dc-4599-b21f-937c134fc48a","block_type":"box","text":"each Fund. Each Fund pays a fee for these services. The Distributor pays certain promotional expenses of the Funds","page_number":118,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"4a40d67a-fde7-4307-bc21-4d0e9f9f369f","block_type":"box","text":"incurred in connection with the offering of shares of the Funds. Certain expenses are financed by each Fund pursuant","page_number":118,"box":{"x":70,"y":658,"width":839,"height":11}},{"id":"37315d4b-1211-48f1-b916-7682b81e7b03","block_type":"box","text":"to distribution plans in compliance with Rule 12b-1 under the Investment Company Act. See “Purchase of Shares —","page_number":118,"box":{"x":68,"y":673,"width":828,"height":11}},{"id":"0cfd0cbc-1df3-4a13-a145-9d94eb552da1","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans.”","page_number":118,"box":{"x":70,"y":688,"width":350,"height":11}},{"id":"1005c75e-e9aa-477f-a1bc-ea4f9f292b93","block_type":"box","text":"Sub-Advisory Fee.","page_number":118,"box":{"x":102,"y":711,"width":124,"height":11}},{"id":"a0ad8473-9d29-4ed7-98d8-b3cd0f7d28a2","block_type":"box","text":"The Manager of certain Funds has entered into one or more sub-advisory agreements (the","page_number":118,"box":{"x":232,"y":710,"width":643,"height":12}},{"id":"da356080-ad42-4071-bb83-366926c6ccfb","block_type":"box","text":"“Sub-Advisory Agreements”) with the sub-adviser or sub-advisers identified in each such Fund’s Prospectus (the “Sub","page_number":118,"box":{"x":70,"y":726,"width":839,"height":11}},{"id":"3c41e49d-f146-4d3c-82ce-63761dcadc08","block_type":"box","text":"Adviser”) pursuant to which the Sub-Adviser provides sub-advisory services to the Manager with respect to the Fund.","page_number":118,"box":{"x":68,"y":741,"width":830,"height":11}},{"id":"d6ca6b2b-3f13-4a5e-8928-d6fe24be1943","block_type":"box","text":"Organization of the Manager.","page_number":118,"box":{"x":102,"y":763,"width":204,"height":12}},{"id":"85973fa1-67ef-47fa-b9ea-4f7b4ef2b464","block_type":"box","text":"BlackRock Advisors, LLC is a Delaware limited liability company and BlackRock","page_number":118,"box":{"x":313,"y":763,"width":560,"height":12}},{"id":"795451c9-ecea-4ca8-88ae-5e22ed1f2d7e","block_type":"box","text":"Fund Advisors is a California corporation. Each Manager is an indirect, majority-owned subsidiary of BlackRock, Inc.","page_number":118,"box":{"x":70,"y":778,"width":819,"height":12}},{"id":"35d3a64f-7116-4e1f-8709-a2bb4c7d19d0","block_type":"box","text":"BlackRock, Inc., through its subsidiaries and divisions, provides (i) investment management services to individuals","page_number":118,"box":{"x":70,"y":794,"width":817,"height":11}},{"id":"7e4e78ce-0c4d-4e64-a5e3-541e2c431824","block_type":"box","text":"and institutional investors through separate account management, non-discretionary advisory programs and","page_number":118,"box":{"x":69,"y":809,"width":768,"height":11}},{"id":"2c56d3c4-69b6-4c35-a26f-10f5bb84fd06","block_type":"box","text":"commingled investment vehicles; (ii) risk management services, investment accounting and trade processing tools;","page_number":118,"box":{"x":69,"y":824,"width":821,"height":11}},{"id":"658cb512-4864-4c15-aa7a-7503fb8f6355","block_type":"box","text":"(iii) transition management services, and (iv) securities lending services.","page_number":118,"box":{"x":69,"y":839,"width":517,"height":11}},{"id":"efdb3c1f-9f0e-462b-a9b9-33fea055ed4f","block_type":"box","text":"Duration and Termination.","page_number":118,"box":{"x":102,"y":862,"width":182,"height":9}},{"id":"5dd3f758-862f-458d-8d88-ec5637522a39","block_type":"box","text":"Unless earlier terminated as described below, each Management Agreement and each","page_number":118,"box":{"x":292,"y":862,"width":613,"height":11}},{"id":"0de22545-4a7d-4d7f-87a1-3f9a8f4779ee","block_type":"box","text":"Sub-Advisory Agreement will remain in effect for an initial two year period and from year to year thereafter if approved","page_number":118,"box":{"x":69,"y":877,"width":835,"height":11}},{"id":"7c524505-2f76-4b44-a433-af24a4b484c0","block_type":"box","text":"annually (a) by the Board of Directors or by a vote of a majority of the outstanding voting securities of a Fund and","page_number":118,"box":{"x":69,"y":892,"width":803,"height":11}},{"id":"963c9813-5d2f-44d9-919c-4c458e6fa219","block_type":"box","text":"(b) by a majority of the Directors of the Fund who are not parties to such agreement or interested persons (as defined","page_number":118,"box":{"x":69,"y":907,"width":839,"height":11}},{"id":"50870235-0666-4dba-9da1-a7a825317584","block_type":"box","text":"II-82","page_number":118,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"1d3014a5-5a2d-41f9-b9eb-de91d778b234","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":118,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1bf0a454-d4ef-4930-9056-c5bfb6a7621f","block_type":"box","text":"in the Investment Company Act) of any such party. Each Management Agreement automatically terminates on","page_number":119,"box":{"x":70,"y":45,"width":778,"height":11}},{"id":"f975699c-6e9e-4e2c-9305-3bd1fa010469","block_type":"box","text":"assignment and may be terminated without penalty on 60 days’ written notice at the option of either party thereto or","page_number":119,"box":{"x":69,"y":60,"width":832,"height":11}},{"id":"e9c42867-d812-41f7-bdfd-d2f71fe936e7","block_type":"box","text":"by the vote of the shareholders of the applicable Fund.","page_number":119,"box":{"x":69,"y":75,"width":388,"height":11}},{"id":"7f93a07b-8b4b-485e-b212-50bd8bf60f47","block_type":"box","text":"Other Service Arrangements","page_number":119,"box":{"x":69,"y":105,"width":205,"height":11}},{"id":"525f385a-8d25-42f5-bd11-08b9524094ba","block_type":"box","text":"Administrative Services and Administrative Fee.","page_number":119,"box":{"x":101,"y":128,"width":338,"height":9}},{"id":"86dc90a1-f876-47b8-8778-7c64f0c47b6e","block_type":"box","text":"Certain Funds have entered into an administration agreement","page_number":119,"box":{"x":446,"y":128,"width":439,"height":11}},{"id":"5f5333ca-424d-45bc-aa01-e952deeed72f","block_type":"box","text":"(the “Administration Agreement”) with an administrator identified in the Fund’s Prospectus and Part I of the Fund’s","page_number":119,"box":{"x":69,"y":143,"width":818,"height":11}},{"id":"6674a0d9-1fce-483a-8fea-a6b6e4a08884","block_type":"box","text":"SAI (each an “Administrator”). For its services to a Fund, the Administrator receives monthly compensation at the","page_number":119,"box":{"x":69,"y":158,"width":808,"height":11}},{"id":"78d068b6-d5ee-4a8f-b344-9b2652f0e6af","block_type":"box","text":"annual rate set forth in each applicable Fund’s Prospectus. For information regarding any administrative fees paid by","page_number":119,"box":{"x":69,"y":173,"width":833,"height":11}},{"id":"d6f5aee4-0d56-4114-90ae-60b2e2fd3915","block_type":"box","text":"your Fund to the Administrator for the periods indicated, see “Management, Advisory and Other Service","page_number":119,"box":{"x":68,"y":188,"width":738,"height":12}},{"id":"c08dc15e-9261-4915-a37b-08a2b8e4b94f","block_type":"box","text":"Arrangements — Administration Agreement” or “Management and Advisory Arrangements,” as applicable, in Part I of","page_number":119,"box":{"x":68,"y":203,"width":839,"height":12}},{"id":"26014553-d20e-4fe5-9daf-2cb6f31a24a7","block_type":"box","text":"that Fund’s SAI.","page_number":119,"box":{"x":68,"y":219,"width":113,"height":8}},{"id":"569c26ff-2f50-445f-a4ab-1464815c2ac1","block_type":"box","text":"For Funds that have an Administrator, the Administration Agreement obligates the Administrator to provide","page_number":119,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"8c8005f0-8bc2-44b6-b542-0a63b4546b93","block_type":"box","text":"certain administrative services to the Fund and to pay, or cause its affiliates to pay, for maintaining its staff and","page_number":119,"box":{"x":69,"y":256,"width":800,"height":12}},{"id":"870b2595-d617-4490-b793-beba6e6bb436","block_type":"box","text":"personnel and to provide office space, facilities and necessary personnel for the Fund. Each Administrator is also","page_number":119,"box":{"x":70,"y":271,"width":809,"height":12}},{"id":"6378b57e-f34f-4dd8-97fc-ad9a46d79e51","block_type":"box","text":"obligated to pay, or cause its affiliates to pay, the fees of those officers and Directors of the Fund who are affiliated","page_number":119,"box":{"x":69,"y":286,"width":826,"height":12}},{"id":"7cf46f92-f0e6-4047-be77-323234269587","block_type":"box","text":"persons of the Administrator or any of its affiliates.","page_number":119,"box":{"x":70,"y":302,"width":362,"height":11}},{"id":"a6da26e8-70ba-449e-b0c7-1ff485570423","block_type":"box","text":"Duration and Termination of Administration Agreement.","page_number":119,"box":{"x":102,"y":324,"width":390,"height":12}},{"id":"d454ae63-1471-486c-b559-83b073ee30c9","block_type":"box","text":"Unless earlier terminated as described below, each","page_number":119,"box":{"x":499,"y":325,"width":364,"height":10}},{"id":"33c0a38b-6625-4039-b0fa-1c886ba19697","block_type":"box","text":"Administration Agreement with BlackRock will continue for an initial two year period and from year to year if approved","page_number":119,"box":{"x":68,"y":339,"width":832,"height":12}},{"id":"8277bf78-27a3-45b5-b0ea-44f8584e545d","block_type":"box","text":"annually (a) by the Board of Directors of each applicable Fund or by a vote of a majority of the outstanding voting","page_number":119,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"94897b9a-9780-42dc-bf64-8f5847bed398","block_type":"box","text":"securities of such Fund and (b) by a majority of the Directors of the Fund who are not parties to such contract or","page_number":119,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"60521ad8-dda5-481e-96f9-e52f37ef8a63","block_type":"box","text":"interested persons (as defined in the Investment Company Act) of any such party. Such contract is not assignable","page_number":119,"box":{"x":70,"y":385,"width":810,"height":11}},{"id":"8eae31c7-2768-4468-a0bf-36181c69dc8a","block_type":"box","text":"and may be terminated without penalty on written notice at the option of either party thereto or by the vote of the","page_number":119,"box":{"x":69,"y":400,"width":805,"height":11}},{"id":"44e6542e-3125-4881-9b7b-b68f9a1c7407","block_type":"box","text":"shareholders of the Fund.","page_number":119,"box":{"x":69,"y":415,"width":181,"height":9}},{"id":"6b6612fc-a36b-4264-a0c3-7c212ab1104e","block_type":"box","text":"Transfer Agency Services.","page_number":119,"box":{"x":103,"y":438,"width":180,"height":11}},{"id":"4be2563b-032f-4228-9372-d41ff17d9a20","block_type":"box","text":"BNY Mellon Investment Servicing (US) Inc. (in this capacity, the “Transfer Agent”), a","page_number":119,"box":{"x":291,"y":438,"width":595,"height":11}},{"id":"8fdc8ed0-24d8-4af2-94b3-486dfe3314a7","block_type":"box","text":"subsidiary of The Bank of New York Mellon Corporation, acts as each Fund’s Transfer Agent pursuant to a Transfer","page_number":119,"box":{"x":69,"y":453,"width":816,"height":11}},{"id":"f134522c-648b-4907-aad0-e711205578ec","block_type":"box","text":"Agency, Dividend Disbursing Agency and Shareholder Servicing Agency Agreement (the “Transfer Agency Agreement”)","page_number":119,"box":{"x":68,"y":468,"width":833,"height":11}},{"id":"4d209a1f-e99d-4a98-9013-dbba3895c8f8","block_type":"box","text":"with the Funds. Pursuant to the Transfer Agency Agreement, the Transfer Agent is responsible for the issuance,","page_number":119,"box":{"x":68,"y":483,"width":792,"height":11}},{"id":"66d425f4-f655-4426-8384-bb334903e81b","block_type":"box","text":"transfer and redemption of shares and the opening and maintenance of shareholder accounts. Each Fund pays the","page_number":119,"box":{"x":68,"y":498,"width":819,"height":11}},{"id":"092d5647-aca2-494c-8688-d94a1c119e29","block_type":"box","text":"Transfer Agent a fee for the services it receives based on the type of account and the level of services required. Each","page_number":119,"box":{"x":68,"y":513,"width":839,"height":12}},{"id":"bf36c73c-cefd-4813-870e-f2faf8d1c998","block_type":"box","text":"Fund reimburses the Transfer Agent’s reasonable out-of-pocket expenses and pays a fee of 0.10% of account assets","page_number":119,"box":{"x":70,"y":528,"width":831,"height":12}},{"id":"d99fd028-70e2-47ab-aa61-8aef5ad8683e","block_type":"box","text":"for certain accounts that participate in certain fee-based programs sponsored by the Manager or its affiliates. For","page_number":119,"box":{"x":68,"y":543,"width":813,"height":12}},{"id":"fdbedbde-af23-46ae-8c16-f8e8823e4b84","block_type":"box","text":"purposes of each Transfer Agency Agreement, the term “account” includes a shareholder account maintained directly","page_number":119,"box":{"x":70,"y":559,"width":836,"height":11}},{"id":"f5da23c1-6ff0-4658-9625-b211c6af7fb7","block_type":"box","text":"by the Transfer Agent and any other account representing the beneficial interest of a person in the relevant share","page_number":119,"box":{"x":69,"y":574,"width":806,"height":11}},{"id":"d8703657-01e2-41d0-a858-694dcbe092b8","block_type":"box","text":"class on a recordkeeping system.","page_number":119,"box":{"x":69,"y":589,"width":238,"height":11}},{"id":"6605db5c-3388-422c-9f69-14a3ae532614","block_type":"box","text":"Independent Registered Public Accounting Firm.","page_number":119,"box":{"x":102,"y":612,"width":338,"height":11}},{"id":"22aaa0b7-d442-4425-87d4-fd1671402073","block_type":"box","text":"The Audit Committee of each Fund, the members of which are","page_number":119,"box":{"x":446,"y":612,"width":441,"height":10}},{"id":"d64b6a9a-dcba-4e90-a484-d1ad364e8ec7","block_type":"box","text":"non-interested Directors of the Fund, has selected an independent registered public accounting firm for that Fund that","page_number":119,"box":{"x":69,"y":627,"width":840,"height":11}},{"id":"efea73a8-ae2c-4120-95d6-2c5e7b81e9f1","block_type":"box","text":"audits the Fund’s financial statements. Please see the inside back cover page of your Fund’s Prospectus and Part I","page_number":119,"box":{"x":69,"y":642,"width":823,"height":11}},{"id":"7e584e05-df80-4de5-8a2a-5061e6e560f5","block_type":"box","text":"of this SAI for information on your Fund’s independent registered public accounting firm.","page_number":119,"box":{"x":69,"y":657,"width":627,"height":11}},{"id":"dfbb7728-45a3-4442-b8e8-0ebe3f96ec25","block_type":"box","text":"Custodian Services.","page_number":119,"box":{"x":102,"y":680,"width":141,"height":9}},{"id":"0ef8bdac-61fb-4e5d-b2e5-8eed19b26031","block_type":"box","text":"The name and address of the custodian (the “Custodian”) of each Fund are provided on the","page_number":119,"box":{"x":249,"y":680,"width":654,"height":11}},{"id":"d4d69d7e-33c2-429e-9c36-bc3c56be782c","block_type":"box","text":"inside back cover page of the Fund’s Prospectus. The Custodian is responsible for safeguarding and controlling the","page_number":119,"box":{"x":70,"y":695,"width":820,"height":11}},{"id":"49808c13-6739-4259-9b4d-4a85bd0decc5","block_type":"box","text":"Fund’s cash and securities, handling the receipt and delivery of securities and collecting interest and dividends on","page_number":119,"box":{"x":70,"y":710,"width":814,"height":11}},{"id":"8c5335a9-8e21-4c7c-81ad-9e4af1bfca5e","block_type":"box","text":"the Fund’s investments. The Custodian is authorized to establish separate accounts in foreign currencies and to","page_number":119,"box":{"x":68,"y":725,"width":802,"height":11}},{"id":"6abf4ead-eba1-4960-8269-4b9d9b4f5715","block_type":"box","text":"cause foreign securities owned by the Fund to be held in its offices outside the United States and with certain foreign","page_number":119,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"cddeba1b-a720-43b4-a4df-a1a7d8d6a233","block_type":"box","text":"banks and securities depositories. A Fund also may use special purpose custodian banks from time to time for","page_number":119,"box":{"x":69,"y":755,"width":792,"height":11}},{"id":"0e1addec-00f0-4bb5-97ec-2bfc4b1a5c0d","block_type":"box","text":"certain assets.","page_number":119,"box":{"x":69,"y":771,"width":106,"height":8}},{"id":"392c7a76-7250-4330-bd48-392998b1327e","block_type":"box","text":"For certain Feeder Funds, the Custodian also acts as the custodian of the Master Portfolio’s assets.","page_number":119,"box":{"x":102,"y":793,"width":716,"height":10}},{"id":"2a7d1882-d92d-4fdd-b79f-a9670d07c86b","block_type":"box","text":"Generally, overdraft charges, if any, are treated as interest expense. With respect to certain Funds, on a monthly","page_number":119,"box":{"x":102,"y":816,"width":803,"height":11}},{"id":"4a700097-9248-4340-8d8b-a1c9f5149c2e","block_type":"box","text":"basis the Custodian nets the Fund’s daily positive and negative cash balances and calculates a credit (“custody","page_number":119,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"f1629627-b9c2-4d26-984c-8ae6b97034dc","block_type":"box","text":"credit”) or a charge based on that net amount. With respect to such Funds, the custodian fees, including the amount","page_number":119,"box":{"x":69,"y":846,"width":834,"height":11}},{"id":"093dd9fe-a419-4995-85ef-81da320c450e","block_type":"box","text":"of any overdraft charges, may be reduced by the amount of such custody credits, and any unused credits at the end","page_number":119,"box":{"x":69,"y":861,"width":826,"height":11}},{"id":"8726490f-e12d-4113-be75-2ad2173a4174","block_type":"box","text":"of a given month may be carried forward to a subsequent month. Any such credits unused by the end of a Fund’s","page_number":119,"box":{"x":69,"y":876,"width":807,"height":11}},{"id":"6b37a8ef-39a4-4df3-bab4-565098f97217","block_type":"box","text":"fiscal year will not expire. Net debits at the end of a given month are added to the Fund’s custody bill and paid by the","page_number":119,"box":{"x":68,"y":891,"width":836,"height":12}},{"id":"96bf6f24-78c3-4de4-bd04-443e766ab07a","block_type":"box","text":"Fund.","page_number":119,"box":{"x":70,"y":907,"width":36,"height":8}},{"id":"66f18c5e-f253-43ee-878c-d5bc8cbff393","block_type":"box","text":"II-83","page_number":119,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"18ade754-038a-4a37-87c2-61ef2784bcf9","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":119,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"455f2968-79ea-4b2e-a054-3d786bfeb771","block_type":"box","text":"Accounting Services.","page_number":120,"box":{"x":101,"y":45,"width":148,"height":11}},{"id":"199b003e-9b29-438d-866c-34f1b453b34e","block_type":"box","text":"Each Fund has entered into an agreement with State Street, BNY Mellon or JPM, pursuant","page_number":120,"box":{"x":256,"y":45,"width":641,"height":11}},{"id":"758e9fe5-9601-4190-8676-08700fc0297b","block_type":"box","text":"to which State Street, BNY Mellon or JPM provides certain accounting and administrative services to the Fund. Each","page_number":120,"box":{"x":68,"y":60,"width":829,"height":11}},{"id":"44d56d11-b121-417f-9c04-3849ef480cf0","block_type":"box","text":"Fund pays a fee for these services. State Street, BNY Mellon or JPM provides similar accounting services to the","page_number":120,"box":{"x":70,"y":75,"width":797,"height":11}},{"id":"2d4246c5-efa0-430b-a38d-2dfd524533d6","block_type":"box","text":"Master LLCs.","page_number":120,"box":{"x":70,"y":90,"width":91,"height":9}},{"id":"c6ac0f0b-bf6f-4007-a868-7456c34570fc","block_type":"box","text":"See “Management, Advisory and Other Service Arrangements — Accounting Services” or “Management and","page_number":120,"box":{"x":102,"y":113,"width":771,"height":11}},{"id":"950f61c5-7c57-4591-93ae-36f93e1eb97c","block_type":"box","text":"Advisory Arrangements — Accounting Services,” as applicable, in Part I of each Fund’s SAI for information on the","page_number":120,"box":{"x":68,"y":128,"width":810,"height":11}},{"id":"a8bdc839-6d97-4fc6-a26b-7a51f9a7b554","block_type":"box","text":"amounts paid by your Fund and, if applicable, Master LLC to State Street, BNY Mellon or JPM and the Manager or, if","page_number":120,"box":{"x":69,"y":143,"width":828,"height":11}},{"id":"a50050eb-8502-497f-90ee-e168e195e221","block_type":"box","text":"applicable, the Administrator for the periods indicated.","page_number":120,"box":{"x":69,"y":158,"width":386,"height":11}},{"id":"e0154441-5fb4-4cdd-bc7a-bd9174745333","block_type":"box","text":"Distribution Expenses.","page_number":120,"box":{"x":102,"y":181,"width":158,"height":11}},{"id":"48ec0b64-1a03-4aa8-bdf6-7a33169acfb3","block_type":"box","text":"Each Fund has entered into a distribution agreement with the Distributor in connection","page_number":120,"box":{"x":267,"y":181,"width":614,"height":11}},{"id":"d304fa07-86ef-4f7d-8f7f-de270401f0f5","block_type":"box","text":"with the continuous offering of each class of shares of the Fund (the “Distribution Agreements”). The Distribution","page_number":120,"box":{"x":68,"y":196,"width":807,"height":11}},{"id":"788ac69b-4180-472a-93cf-35776699b027","block_type":"box","text":"Agreements obligate the Distributor to pay certain expenses in connection with the offering of each class of shares of","page_number":120,"box":{"x":68,"y":211,"width":842,"height":11}},{"id":"0c9ab697-727a-4efa-9001-3c2508123f77","block_type":"box","text":"the Funds. After the prospectuses, statements of additional information and periodic reports have been prepared,","page_number":120,"box":{"x":68,"y":226,"width":813,"height":11}},{"id":"9ad656ff-0577-453b-962d-ff5ce99f086c","block_type":"box","text":"set in type and mailed to shareholders, the Distributor pays for the printing and distribution of these documents used","page_number":120,"box":{"x":69,"y":241,"width":836,"height":11}},{"id":"af7285dc-690e-4f3a-8408-b94dd01a14d7","block_type":"box","text":"in connection with the offering to dealers and investors. The Distributor also pays for other supplementary sales","page_number":120,"box":{"x":70,"y":256,"width":799,"height":12}},{"id":"840da039-4830-484e-9839-6419bf580f91","block_type":"box","text":"literature and advertising costs. Each Distribution Agreement is subject to the same renewal requirements and","page_number":120,"box":{"x":70,"y":272,"width":788,"height":11}},{"id":"6aa5392e-e515-4b0e-aa91-608047d60549","block_type":"box","text":"termination provisions as the Management Agreement described above.","page_number":120,"box":{"x":68,"y":287,"width":513,"height":11}},{"id":"5c566f28-0863-49e5-addb-31082380ffc2","block_type":"box","text":"Code of Ethics","page_number":120,"box":{"x":69,"y":317,"width":105,"height":9}},{"id":"c99f3288-1397-475c-bba2-4f8118dd675c","block_type":"box","text":"Each Fund, the Manager, each Sub-Adviser and the Distributor has adopted a Code of Ethics pursuant to Rule","page_number":120,"box":{"x":102,"y":339,"width":780,"height":12}},{"id":"a8640571-8bb3-4b15-977a-101c44ead962","block_type":"box","text":"17j-1 under the Investment Company Act. The Code of Ethics establishes procedures for personal investing and","page_number":120,"box":{"x":70,"y":355,"width":794,"height":11}},{"id":"105a0d62-3d71-423a-9003-8bae0e374be6","block_type":"box","text":"restricts certain transactions. Employees subject to the Code of Ethics may invest in securities for their personal","page_number":120,"box":{"x":69,"y":370,"width":803,"height":11}},{"id":"29619ab0-2aae-4bf3-8e3e-2ee7bd5fefc3","block_type":"box","text":"investment accounts, including securities that may be purchased or held by a Fund.","page_number":120,"box":{"x":70,"y":385,"width":593,"height":11}},{"id":"b941be8e-7554-4d24-bf6d-56ae1b65878a","block_type":"box","text":"SELECTIVE DISCLOSURE OF PORTFOLIO HOLDINGS","page_number":120,"box":{"x":282,"y":414,"width":413,"height":10}},{"id":"7eeb31f5-8584-4f6b-9a26-2f8e50e49968","block_type":"box","text":"The Board of Directors of each Fund and the Board of Directors of the Manager have each approved Portfolio","page_number":120,"box":{"x":101,"y":437,"width":777,"height":11}},{"id":"ffa0904e-feca-4188-a925-41a0dda80f7c","block_type":"box","text":"Holdings and Related Information Distribution Guidelines (the “Policy”) regarding the disclosure of each Fund’s","page_number":120,"box":{"x":70,"y":452,"width":788,"height":11}},{"id":"16d4336a-1678-4bce-bb5d-5342217ac2d3","block_type":"box","text":"portfolio securities, as applicable, and other portfolio information. The purpose of the Policy is to ensure that","page_number":120,"box":{"x":70,"y":467,"width":778,"height":11}},{"id":"4779af53-5c3f-4dd5-aba5-82a366ac6b27","block_type":"box","text":"(i) shareholders and prospective shareholders of the Funds have equal access to portfolio holdings and","page_number":120,"box":{"x":69,"y":482,"width":737,"height":12}},{"id":"e8a01b34-3f3d-4efc-9dfe-7b5176d587f3","block_type":"box","text":"characteristics and (ii) third parties (such as consultants, intermediaries and third-party data providers) have access","page_number":120,"box":{"x":69,"y":498,"width":829,"height":11}},{"id":"c4950001-4611-4f93-8a73-36dc6435740c","block_type":"box","text":"to such information no earlier or more frequently than shareholders and prospective shareholders.","page_number":120,"box":{"x":68,"y":513,"width":701,"height":11}},{"id":"9de653d4-ef18-462e-8037-820783cb138e","block_type":"box","text":"Pursuant to the Policy, each Fund and the Manager may, under certain circumstances as set forth below, make","page_number":120,"box":{"x":102,"y":535,"width":791,"height":12}},{"id":"1f636b49-21ec-48a3-a50e-bc0c2f0d5b0a","block_type":"box","text":"selective disclosure with respect to a Fund’s Portfolio Characteristics (as defined below) and Portfolio Holdings (as","page_number":120,"box":{"x":69,"y":550,"width":819,"height":12}},{"id":"795f915e-8331-47af-a04d-d7c8c4a66d78","block_type":"box","text":"defined below). The Board of Directors of each Fund and the Board of Directors of the Manager have each approved","page_number":120,"box":{"x":69,"y":566,"width":824,"height":11}},{"id":"61e8ef5a-c779-401a-8dfd-adb3669cb21c","block_type":"box","text":"the adoption by the Fund of the Policy, and employees of the Manager are responsible for adherence to the Policy.","page_number":120,"box":{"x":68,"y":581,"width":813,"height":11}},{"id":"6e110303-8883-4791-bc86-fb202d092792","block_type":"box","text":"The Board of Directors provides ongoing oversight of the Fund’s and Manager’s compliance with the Policy.","page_number":120,"box":{"x":68,"y":596,"width":761,"height":11}},{"id":"53c1f9f3-6578-47a6-b849-998e37d2dbec","block_type":"box","text":"Notwithstanding the above, there is no assurance that the Policy will protect the Funds from the potential misuse of","page_number":120,"box":{"x":70,"y":611,"width":825,"height":11}},{"id":"43c4625b-cafc-4ee4-8408-e83d04a4bcf2","block_type":"box","text":"holdings information by an individual or firms in possession of that information.","page_number":120,"box":{"x":69,"y":626,"width":565,"height":11}},{"id":"1be42167-0b08-4fc2-89f4-79171b2ae28c","block_type":"box","text":"Disclosure of material non-public information (“Confidential Information”) about a Fund’s Portfolio Holdings and/","page_number":120,"box":{"x":102,"y":649,"width":802,"height":11}},{"id":"9c644b89-6fb8-47b7-b972-3250e5aa2337","block_type":"box","text":"or Portfolio Characteristics is prohibited, except as provided in the Policy.","page_number":120,"box":{"x":69,"y":664,"width":520,"height":11}},{"id":"2a90da2a-c1fd-43e3-96c0-75b9d0967db5","block_type":"box","text":"Confidential Information relating to a Fund may not be distributed to persons not employed by BlackRock unless","page_number":120,"box":{"x":102,"y":686,"width":797,"height":12}},{"id":"ccc0c267-cdcf-4c3c-aa3b-9cc70a99c399","block_type":"box","text":"the Fund has a legitimate business purpose for doing so and confidentiality obligations are in effect, as appropriate.","page_number":120,"box":{"x":68,"y":702,"width":829,"height":11}},{"id":"04c50550-bd34-4d04-be5e-d3d4d06d5f02","block_type":"box","text":"•","page_number":120,"box":{"x":69,"y":725,"width":6,"height":4}},{"id":"1749e301-1e05-4358-8249-78723abf451c","block_type":"box","text":"Por tfolio Holdings","page_number":120,"box":{"x":102,"y":722,"width":126,"height":11}},{"id":"6155be38-b0b2-4136-87ee-94bce74cf3f4","block_type":"box","text":": “Portfolio Holdings” are a Fund’s portfolio securities and other instruments, and include, but","page_number":120,"box":{"x":229,"y":722,"width":671,"height":11}},{"id":"ce89439e-c580-4b1b-aa20-aacc4a9695f8","block_type":"box","text":"are not limited to:","page_number":120,"box":{"x":102,"y":737,"width":125,"height":9}},{"id":"34b2928b-32ae-417b-bd72-5eb3215a05fe","block_type":"box","text":"•","page_number":120,"box":{"x":102,"y":760,"width":6,"height":5}},{"id":"b88e6b42-a220-46bd-8b4d-3dd82f3b6452","block_type":"box","text":"for equity securities, information such as issuer name, CUSIP, ticker symbol, total shares and market value;","page_number":120,"box":{"x":134,"y":757,"width":768,"height":11}},{"id":"c4bc4a11-a970-4f21-8929-0e6f2ca2612e","block_type":"box","text":"•","page_number":120,"box":{"x":102,"y":780,"width":6,"height":5}},{"id":"5475417b-b184-4769-9266-23a0806c26c1","block_type":"box","text":"for fixed income securities, information such as issuer name, CUSIP, ticker symbol, coupon, maturity,","page_number":120,"box":{"x":134,"y":777,"width":720,"height":11}},{"id":"5f8e19a5-26f0-4d7b-a235-61655d006f17","block_type":"box","text":"current face value, market value, yield, WAL, WAM, duration and convexity;","page_number":120,"box":{"x":134,"y":792,"width":529,"height":12}},{"id":"24ea5e50-1f21-4eb6-9be3-38953ad6ea44","block_type":"box","text":"•","page_number":120,"box":{"x":102,"y":815,"width":6,"height":5}},{"id":"a7e983f3-5277-47b4-b453-70cdc42d2689","block_type":"box","text":"for all securities, information such as quantity, SEDOL and market price as of a specific date;","page_number":120,"box":{"x":134,"y":812,"width":664,"height":12}},{"id":"ce2fd6ab-61f2-4350-8f02-c858604cafd7","block_type":"box","text":"•","page_number":120,"box":{"x":102,"y":836,"width":6,"height":4}},{"id":"8fb336fb-f8e6-4501-a00e-28b09cbab210","block_type":"box","text":"for derivatives, indicative data including, but not limited to, pay leg, receive leg, notional amount, reset","page_number":120,"box":{"x":134,"y":833,"width":731,"height":11}},{"id":"ec42b72a-811e-4942-b678-888fdb1e38c1","block_type":"box","text":"frequency and trade counterparty; and","page_number":120,"box":{"x":134,"y":848,"width":271,"height":11}},{"id":"138e0bd0-5693-432f-9e95-6a55f87aa3ee","block_type":"box","text":"•","page_number":120,"box":{"x":102,"y":871,"width":6,"height":4}},{"id":"df776e79-11d0-492d-acfe-14f75d014148","block_type":"box","text":"for trading strategies, specific portfolio holdings, including the number of shares held, weightings of","page_number":120,"box":{"x":134,"y":868,"width":712,"height":11}},{"id":"67ebecd2-9532-4962-9792-df67becd53c0","block_type":"box","text":"particular holdings, trading details, pending or recent transactions and portfolio management plans to","page_number":120,"box":{"x":135,"y":883,"width":726,"height":11}},{"id":"bfea679d-b0e4-4c5e-9e1f-3ca5bde798e1","block_type":"box","text":"purchase or sell particular securities or allocation within particular sectors.","page_number":120,"box":{"x":135,"y":898,"width":533,"height":11}},{"id":"6ce8c575-2e22-408b-89d8-1ae2d06c77e6","block_type":"box","text":"II-84","page_number":120,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"5a659950-1eef-4302-b833-77fd16fd6646","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":120,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ff35c3ae-ab5f-4496-88dc-d74cb59e08e0","block_type":"box","text":"•","page_number":121,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"b90b57b6-37b5-4650-87ad-2117a74fc8a9","block_type":"box","text":"Por tfolio Characteristics (excluding Liquidity Metrics):","page_number":121,"box":{"x":102,"y":45,"width":377,"height":11}},{"id":"b2b5a2b2-83c9-480b-b1fa-36e4459fd9e9","block_type":"box","text":"“Portfolio Characteristics” include, but are not limited to,","page_number":121,"box":{"x":486,"y":45,"width":404,"height":10}},{"id":"64ef6943-078c-4ac7-b47e-174decde7bbf","block_type":"box","text":"sector allocation, credit quality breakdown, maturity distribution, duration and convexity measures, average credit","page_number":121,"box":{"x":102,"y":60,"width":807,"height":11}},{"id":"bb1f13d9-4778-400b-bfae-3098d745cb45","block_type":"box","text":"quality, average maturity, average coupon, top 10 holdings with percent of the fund held, average market","page_number":121,"box":{"x":102,"y":75,"width":745,"height":11}},{"id":"021a61fa-2627-4f65-b8ee-b34ee2a71358","block_type":"box","text":"capitalization, capitalization range, risk related information (","page_number":121,"box":{"x":101,"y":90,"width":427,"height":11}},{"id":"2c240713-57af-444e-b878-d322b90468fe","block_type":"box","text":"e.g.","page_number":121,"box":{"x":529,"y":91,"width":25,"height":10}},{"id":"a0e58860-2077-4c6d-9203-77b463c28211","block_type":"box","text":", value at risk, standard deviation), ROE, P/E,","page_number":121,"box":{"x":557,"y":90,"width":322,"height":11}},{"id":"74ffc18f-227e-43dd-aa2e-8b0c7180909e","block_type":"box","text":"P/B, P/CF, P/S and EPS.","page_number":121,"box":{"x":102,"y":105,"width":177,"height":11}},{"id":"802167d4-455d-4415-aa4c-cffc74ef3676","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":128,"width":6,"height":5}},{"id":"236fef05-4d23-4f04-9675-7073489f2519","block_type":"box","text":"Additional characteristics specific to money market funds include, but are not limited to, historical daily and","page_number":121,"box":{"x":134,"y":125,"width":766,"height":11}},{"id":"214a2d7a-18ec-439f-ac29-340d2d82306b","block_type":"box","text":"weekly liquid assets (as defined under Rule 2a-7) and historical fund net inflows and outflows.","page_number":121,"box":{"x":134,"y":140,"width":670,"height":12}},{"id":"03f7b6e7-9e1b-46a6-997a-49e0e44c7d35","block_type":"box","text":"•","page_number":121,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"ace2e61f-2f2c-4c19-beac-4dc8b03cbe60","block_type":"box","text":"Por tfolio Characteristics — Liquidity Metrics:","page_number":121,"box":{"x":102,"y":161,"width":318,"height":11}},{"id":"b008ba3e-3682-435b-ad28-51246aa8ec93","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":184,"width":6,"height":4}},{"id":"d5d934f4-3aae-4224-a7f2-d8b70dcd12bf","block_type":"box","text":"“Liquidity Metrics” which seek to ascertain a Fund’s liquidity profile under BlackRock’s global liquidity risk","page_number":121,"box":{"x":135,"y":181,"width":754,"height":11}},{"id":"696ec2b9-46c9-44eb-8ab9-792925f51dc3","block_type":"box","text":"methodology which include, but are not limited to: (a) disclosure regarding the number of days needed to","page_number":121,"box":{"x":135,"y":196,"width":746,"height":11}},{"id":"970b0d51-fe11-47a7-b071-57e46bd1bb2b","block_type":"box","text":"liquidate a portfolio or the portfolio’s underlying investments; and (b) the percentage of a Fund’s NAV","page_number":121,"box":{"x":135,"y":211,"width":721,"height":11}},{"id":"61bbb579-c91c-4a6f-a90b-f92a026c7efd","block_type":"box","text":"invested in a particular liquidity tier under BlackRock’s global liquidity risk methodology.","page_number":121,"box":{"x":135,"y":226,"width":621,"height":11}},{"id":"d9bf8f8d-7c1b-47c9-afaf-c2817249595c","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":249,"width":6,"height":5}},{"id":"6422b6b0-9a6b-44bd-ba61-b88111b2e929","block_type":"box","text":"The dissemination of position-level liquidity metrics data and any non-public regulatory data pursuant to SEC","page_number":121,"box":{"x":134,"y":246,"width":771,"height":11}},{"id":"ebcda0f3-15b4-438c-b471-35e7fde2a3db","block_type":"box","text":"Rule 22e-4 (including SEC liquidity tiering) is not permitted unless pre-approved.","page_number":121,"box":{"x":135,"y":261,"width":568,"height":12}},{"id":"f0c4f8f1-e1f5-453b-a1b2-cbfafc3fb400","block_type":"box","text":"•","page_number":121,"box":{"x":102,"y":284,"width":6,"height":5}},{"id":"230b2b7a-91eb-4aeb-bb51-19aeb6cbf393","block_type":"box","text":"Disclosure of Liquidity Metrics pursuant to Section 3 of the Policy should be reviewed by BlackRock’s Risk","page_number":121,"box":{"x":135,"y":281,"width":755,"height":12}},{"id":"bc750f14-b876-47c0-8ad8-8334f77e5e0b","block_type":"box","text":"and Quantitative Analysis Group and the relevant portfolio management team prior to dissemination.","page_number":121,"box":{"x":134,"y":297,"width":716,"height":11}},{"id":"f7b9a046-2adb-4c7a-8c2c-b371f07199c3","block_type":"box","text":"Information that is non-material or that may be obtained from public sources (","page_number":121,"box":{"x":102,"y":319,"width":553,"height":11}},{"id":"a4a3ea6d-500f-4ee8-a04c-2aad3b7758f1","block_type":"box","text":"i.e.","page_number":121,"box":{"x":658,"y":320,"width":20,"height":8}},{"id":"056bd0d4-ee10-4e59-8948-3a53ce6013c2","block_type":"box","text":", information that has been","page_number":121,"box":{"x":680,"y":319,"width":193,"height":11}},{"id":"f1718a32-8f9c-4cd3-b398-f7956f03b237","block_type":"box","text":"publicly disclosed via a filing with the SEC (","page_number":121,"box":{"x":70,"y":334,"width":305,"height":12}},{"id":"360acede-05d7-48f5-8a92-86181ad13f51","block_type":"box","text":"e.g.","page_number":121,"box":{"x":377,"y":336,"width":25,"height":10}},{"id":"5446a0e9-1dd7-407c-8225-4274bf29d6f1","block_type":"box","text":", a fund’s annual report and annual financial statements), through a","page_number":121,"box":{"x":404,"y":334,"width":485,"height":12}},{"id":"fe095656-a458-4321-8483-a7a447826736","block_type":"box","text":"press release or placement on a publicly-available internet website), or information derived or calculated from such","page_number":121,"box":{"x":70,"y":349,"width":817,"height":12}},{"id":"edc33a50-2646-42f2-8feb-2583395bfcf8","block_type":"box","text":"public sources shall not be deemed Confidential Information.","page_number":121,"box":{"x":70,"y":365,"width":433,"height":11}},{"id":"8f7e8fb5-cc73-4306-9743-ca0794f481b7","block_type":"box","text":"Portfolio Holdings and Portfolio Characteristics may be disclosed in accordance with the below schedule.","page_number":121,"box":{"x":102,"y":387,"width":747,"height":12}},{"id":"ceeaca22-67f2-4d92-ac25-6ff88abbeb2c","block_type":"box","text":"Prior to the time periods designated below, non-public portfolio holdings and portfolio characteristics may only","page_number":121,"box":{"x":102,"y":410,"width":806,"height":11}},{"id":"eb29d95c-2200-4ddd-8aa9-026330dcf6c6","block_type":"box","text":"be disclosed with both a non-disclosure or confidentiality agreement and Fund CCO approval.","page_number":121,"box":{"x":69,"y":425,"width":678,"height":11}},{"id":"a7e38f87-1b4e-4428-8861-46dd919e2f3f","block_type":"box","text":"Thereafter, BlackRock","page_number":121,"box":{"x":753,"y":425,"width":156,"height":11}},{"id":"bb0e4bde-8865-4732-8fd9-800505b1950d","block_type":"box","text":"may disclose such information to shareholders, prospective shareholders, intermediaries, consultants and third-party","page_number":121,"box":{"x":69,"y":440,"width":838,"height":11}},{"id":"73612a55-a79d-41b8-8a15-6cbf0c53b037","block_type":"box","text":"data providers. BlackRock generally discloses portfolio holdings and other portfolio characteristics information on the","page_number":121,"box":{"x":69,"y":455,"width":837,"height":12}},{"id":"0c8924cc-1fb5-41a9-a108-c8f4e1781b62","block_type":"box","text":"lag times established herein on its public website.","page_number":121,"box":{"x":70,"y":471,"width":356,"height":11}},{"id":"380b7b8f-ffa4-4337-9f37-4300253a3a02","block_type":"box","text":"II-85","page_number":121,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"2fd6c7cf-9dd9-4524-843f-d57c9d14f4cf","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":121,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0e3352e7-026b-4202-8625-836eedff658f","block_type":"box","text":"Time Periods for Portfolio Holdings","page_number":122,"box":{"x":440,"y":69,"width":254,"height":11}},{"id":"a1c91f3c-a5b1-4825-a649-5634d453787b","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":122,"box":{"x":339,"y":91,"width":536,"height":11}},{"id":"bf66e853-26ea-4e22-91ea-857c04f8a287","block_type":"box","text":"Portfolio Holdings May be Disclosed","page_number":122,"box":{"x":609,"y":106,"width":263,"height":11}},{"id":"688e385d-b5bb-49c7-94d8-46860876c039","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":122,"box":{"x":231,"y":129,"width":277,"height":11}},{"id":"7d538d31-880a-4365-b22c-62cdad4e288a","block_type":"box","text":"market) except those noted below.","page_number":122,"box":{"x":232,"y":144,"width":243,"height":11}},{"id":"964c40bb-4bd4-475d-8a49-b4edad2fc0fc","block_type":"box","text":"20 Calendar Days After Month-End","page_number":122,"box":{"x":578,"y":129,"width":244,"height":11}},{"id":"0c9a3154-9939-4555-89b2-5c72cdcd242b","block_type":"box","text":"Global Allocation funds,","page_number":122,"box":{"x":231,"y":167,"width":167,"height":10}},{"id":"6715bcd0-a058-40dc-abf0-8a4e35e91e66","block_type":"box","text":"1","page_number":122,"box":{"x":400,"y":167,"width":4,"height":5}},{"id":"cdc027b2-3dfc-4ddf-a34f-f71190d6e08a","block_type":"box","text":"BlackRock Core","page_number":122,"box":{"x":410,"y":167,"width":110,"height":9}},{"id":"bc5df500-d0d4-4316-bcbf-2475cf65673c","block_type":"box","text":"Bond Portfolio of BlackRock Funds V,","page_number":122,"box":{"x":232,"y":182,"width":261,"height":10}},{"id":"8daa7de6-db50-403e-a421-a9eafc5897f0","block_type":"box","text":"BlackRock Strategic Income Opportunities","page_number":122,"box":{"x":232,"y":197,"width":298,"height":11}},{"id":"50db2d4f-bb68-4caa-b564-4846650cc76f","block_type":"box","text":"Portfolio of BlackRock Funds V, BlackRock","page_number":122,"box":{"x":232,"y":212,"width":300,"height":11}},{"id":"81fc8690-5dd9-4b94-8c54-c00b94959efe","block_type":"box","text":"Strategic Global Bond Fund, Inc., BlackRock","page_number":122,"box":{"x":231,"y":227,"width":312,"height":12}},{"id":"31d6955e-cdfb-47d7-8a7f-6b0535151756","block_type":"box","text":"Total Return Fund of BlackRock Bond Fund,","page_number":122,"box":{"x":231,"y":242,"width":306,"height":11}},{"id":"8ca1e1a0-7c5f-46f6-9627-1860b36f11d8","block_type":"box","text":"Inc., BlackRock Total Return V.I. Fund of","page_number":122,"box":{"x":232,"y":258,"width":283,"height":10}},{"id":"b0a382f2-5fd0-4233-8714-7033da07750c","block_type":"box","text":"BlackRock Variable Series Funds II, Inc.,","page_number":122,"box":{"x":232,"y":273,"width":283,"height":10}},{"id":"41581228-063a-4c3a-94fb-5002807fd90c","block_type":"box","text":"BlackRock Unconstrained Equity Fund,","page_number":122,"box":{"x":232,"y":288,"width":270,"height":11}},{"id":"09e3cc5a-3348-4850-90c6-4311796b3485","block_type":"box","text":"BlackRock Systematic Multi-Strategy Fund of","page_number":122,"box":{"x":232,"y":303,"width":316,"height":11}},{"id":"2a74c7f7-e922-432f-8d3b-39696ba19fe7","block_type":"box","text":"BlackRock Funds IV and BlackRock Global","page_number":122,"box":{"x":232,"y":318,"width":296,"height":9}},{"id":"110eecf8-743d-4c67-a99b-77b5bfbeb2a3","block_type":"box","text":"Equity Market Neutral Fund of BlackRock","page_number":122,"box":{"x":232,"y":333,"width":288,"height":11}},{"id":"5f4c42a4-2051-49b5-9067-0e2a26bc0723","block_type":"box","text":"Funds","page_number":122,"box":{"x":232,"y":348,"width":40,"height":9}},{"id":"2f58e22a-996b-4747-b0d3-5e2c60b704b8","block_type":"box","text":"SM","page_number":122,"box":{"x":274,"y":349,"width":10,"height":4}},{"id":"2cf19c0b-8e84-48ee-ba0a-4ebde8e1da73","block_type":"box","text":".","page_number":122,"box":{"x":287,"y":356,"width":1,"height":1}},{"id":"08a76df6-8d20-4324-8f6d-888b403a2e33","block_type":"box","text":"60 Calendar Days After Month-End","page_number":122,"box":{"x":578,"y":167,"width":244,"height":11}},{"id":"3a8d6364-0a5e-4ab7-afcf-ac53445eb432","block_type":"box","text":"1","page_number":122,"box":{"x":823,"y":167,"width":4,"height":5}},{"id":"07046b88-8ee2-4b87-9dab-44bb2111c184","block_type":"box","text":"BlackRock Capital Appreciation Fund, Inc.,","page_number":122,"box":{"x":232,"y":371,"width":298,"height":11}},{"id":"6ab4dcf8-d5f7-43d9-877f-f41f526ea517","block_type":"box","text":"BlackRock Equity Dividend Fund, BlackRock","page_number":122,"box":{"x":232,"y":386,"width":308,"height":11}},{"id":"a19bf6be-1826-4045-9b70-b1d28dfe86a6","block_type":"box","text":"High Equity Income Fund of BlackRock","page_number":122,"box":{"x":232,"y":401,"width":271,"height":11}},{"id":"c261ceb3-0f89-4355-a8e5-ccc8500a1e44","block_type":"box","text":"Funds","page_number":122,"box":{"x":232,"y":417,"width":40,"height":8}},{"id":"92e7dea2-006b-4c58-ba44-3dc9d097570a","block_type":"box","text":"SM","page_number":122,"box":{"x":274,"y":417,"width":10,"height":4}},{"id":"a7fab578-8931-4883-a794-a9162c93b3b1","block_type":"box","text":", BlackRock Large Cap Focus Growth","page_number":122,"box":{"x":286,"y":416,"width":260,"height":12}},{"id":"1de59498-5fc3-4ce8-a859-0d3285033e15","block_type":"box","text":"Fund, Inc., BlackRock Large Cap Focus Value","page_number":122,"box":{"x":232,"y":432,"width":318,"height":11}},{"id":"0a240b92-1b85-4580-ae6d-14f4a147d40c","block_type":"box","text":"Fund, Inc., BlackRock Mid-Cap Growth Equity","page_number":122,"box":{"x":232,"y":447,"width":316,"height":11}},{"id":"15a833fc-b97d-4865-8ee4-dd3539b3e8db","block_type":"box","text":"Portfolio of BlackRock Funds","page_number":122,"box":{"x":232,"y":462,"width":203,"height":9}},{"id":"9199e031-2457-466a-8630-361dbaecd519","block_type":"box","text":"SM","page_number":122,"box":{"x":436,"y":462,"width":11,"height":4}},{"id":"d61d0d83-557f-4078-8569-e8383236ad98","block_type":"box","text":", BlackRock","page_number":122,"box":{"x":449,"y":462,"width":81,"height":10}},{"id":"f4f097a0-5d09-43cb-be58-eaef617e3816","block_type":"box","text":"Mid-Cap Value Fund of BlackRock Mid-Cap","page_number":122,"box":{"x":232,"y":477,"width":297,"height":11}},{"id":"34ce4d9e-20b2-4a0d-83c1-de69a1bca404","block_type":"box","text":"Value Series, Inc.","page_number":122,"box":{"x":231,"y":492,"width":122,"height":10}},{"id":"44299126-c66e-4fad-a1e9-3641f3ccdd0b","block_type":"box","text":"15 Calendar Days After Month-End","page_number":122,"box":{"x":578,"y":371,"width":244,"height":11}},{"id":"c3a4b688-a1af-4c18-9483-b842d14faf97","block_type":"box","text":"Time Periods for Portfolio Characteristics (Excluding Liquidity Metrics (Addressed Below))","page_number":122,"box":{"x":158,"y":515,"width":661,"height":11}},{"id":"a7aee512-d4eb-4c97-93fe-04e150e70107","block_type":"box","text":"Funds in Scope Days After Month-End — After Which","page_number":122,"box":{"x":339,"y":537,"width":536,"height":11}},{"id":"29064146-3509-49ac-acba-f98aa6adc680","block_type":"box","text":"Portfolio Characteristics May be Disclosed","page_number":122,"box":{"x":585,"y":552,"width":311,"height":11}},{"id":"5fdcbd39-8aca-4e3b-974e-d5a7ca246bf4","block_type":"box","text":"All Open-End Mutual Funds (non-money","page_number":122,"box":{"x":231,"y":575,"width":277,"height":11}},{"id":"6e5e8d01-32dd-4218-9311-a98017e68563","block_type":"box","text":"market)","page_number":122,"box":{"x":232,"y":590,"width":52,"height":11}},{"id":"8131b579-a81c-453c-be88-fc06fc96cf9b","block_type":"box","text":"5 Calendar Days After Month-End","page_number":122,"box":{"x":578,"y":575,"width":234,"height":11}},{"id":"82d5dd71-64fc-4950-9713-5b82f09ccef2","block_type":"box","text":"1","page_number":122,"box":{"x":69,"y":615,"width":3,"height":4}},{"id":"3c0fd1f0-8668-4bd4-a2de-33e640e816ec","block_type":"box","text":"Global Allocation Exception:","page_number":122,"box":{"x":94,"y":615,"width":164,"height":9}},{"id":"9cfe1484-d010-4f09-9b3f-6d53c284801d","block_type":"box","text":"The “Global Allocation funds” include BlackRock Global Allocation Fund, Inc., BlackRock Global Allocation","page_number":122,"box":{"x":262,"y":615,"width":598,"height":9}},{"id":"fa5bcd08-3e31-40a0-9cd6-0a1a89037a81","block_type":"box","text":"Portfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I. Fund of BlackRock Variable Series Funds, Inc. Information on","page_number":122,"box":{"x":94,"y":625,"width":784,"height":9}},{"id":"4a4722a3-ea84-4133-a858-a99162c9cca4","block_type":"box","text":"certain Portfolio Characteristics of BlackRock Global Allocation Portfolio of BlackRock Series Fund, Inc. and BlackRock Global Allocation V.I.","page_number":122,"box":{"x":93,"y":635,"width":795,"height":9}},{"id":"99482063-9517-4bf3-b7a1-70eec9379013","block_type":"box","text":"Fund of BlackRock Variable Series Funds, Inc. is available, upon request, to insurance companies that use these funds as underlying","page_number":122,"box":{"x":94,"y":645,"width":757,"height":9}},{"id":"c019c05f-d486-414f-bb1a-7fd2729d70ab","block_type":"box","text":"investments (and to advisers and sub-advisers of funds invested in BlackRock Global Allocation Portfolio of BlackRock Series Fund, Inc. and","page_number":122,"box":{"x":94,"y":656,"width":797,"height":8}},{"id":"55ef6cad-b6bb-4057-9685-4cbf6bfd4db4","block_type":"box","text":"BlackRock Global Allocation V.I. Fund of BlackRock Variable Series Funds, Inc.) in their variable annuity contracts and variable life insurance","page_number":122,"box":{"x":94,"y":666,"width":793,"height":9}},{"id":"70d4487a-ea07-4b1b-ac13-1e5247b401e6","block_type":"box","text":"policies on a weekly basis (or such other period as may be determined to be appropriate).","page_number":122,"box":{"x":94,"y":676,"width":511,"height":9}},{"id":"a76a61f0-7680-4253-9764-f8b5f35a1b7a","block_type":"box","text":"Open-End Mutual Funds and ETFs (Excluding Money Market Mutual Funds and MM ETFs)","page_number":122,"box":{"x":163,"y":694,"width":651,"height":11}},{"id":"9defe304-bc93-4a8d-a7eb-624fa8da9014","block_type":"box","text":"Time Periods for Portfolio Characteristics: Liquidity Metrics","page_number":122,"box":{"x":350,"y":709,"width":434,"height":11}},{"id":"05d4bbf8-28ee-49ae-8ec1-5c6c693254ce","block_type":"box","text":"Funds in Scope Days After Quarter-End — After Which","page_number":122,"box":{"x":339,"y":732,"width":540,"height":11}},{"id":"1bd97dc8-cb85-4837-be3e-6eb7e411787c","block_type":"box","text":"Liquidity Metrics May be Disclosed","page_number":122,"box":{"x":613,"y":747,"width":255,"height":11}},{"id":"1d4d172f-fcde-4da4-a08a-ddf8331f5fff","block_type":"box","text":"All Open-End Mutual Funds and ETFs (non","page_number":122,"box":{"x":231,"y":770,"width":300,"height":11}},{"id":"257541ac-a85e-4665-97b2-9cb04ef1b8ab","block_type":"box","text":"money market).","page_number":122,"box":{"x":232,"y":785,"width":108,"height":11}},{"id":"2b084718-5f00-41c5-b12b-f9237c3c7320","block_type":"box","text":"60 Calendar Days After Quarter-End","page_number":122,"box":{"x":578,"y":770,"width":253,"height":11}},{"id":"39dcbe48-ae28-48eb-a6ee-601ff0f1b845","block_type":"box","text":"If Liquidity Metrics are disclosed to one party, they must also be disclosed to all other","page_number":122,"box":{"x":232,"y":808,"width":631,"height":11}},{"id":"afaa46b7-f3e3-46d7-81f9-52c73f150245","block_type":"box","text":"parties requesting the same information.","page_number":122,"box":{"x":231,"y":823,"width":298,"height":11}},{"id":"a65153da-c76f-4eb2-b4e1-72b44ce2d0f0","block_type":"box","text":"Money Market Mutual Funds and ETFs","page_number":122,"box":{"x":340,"y":864,"width":281,"height":11}},{"id":"104b9b37-a05d-473b-b094-d75b38f4090a","block_type":"box","text":"2,3","page_number":122,"box":{"x":627,"y":864,"width":11,"height":5}},{"id":"fde11d48-70d0-426c-b82a-c04454e5ee85","block_type":"box","text":"Money Market ETFs will comply with the disclosure requirements under both the Money Market (Rule 2a-7) Policy and","page_number":122,"box":{"x":75,"y":879,"width":834,"height":11}},{"id":"7cbdfe6f-a1ba-43b3-bc79-034cf47e8a93","block_type":"box","text":"the ETF Rule (Rule 6c-11) Policy.","page_number":122,"box":{"x":74,"y":894,"width":229,"height":11}},{"id":"7f640287-bfbd-4f60-b96a-709bf9dbad0d","block_type":"box","text":"II-86","page_number":122,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"f25de068-259d-4936-a2e3-687e20d8d262","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":122,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3bfbb615-bde7-435e-8687-51eedaf60f90","block_type":"box","text":"Time Periods","page_number":123,"box":{"x":520,"y":49,"width":94,"height":9}},{"id":"61e8eb8a-e111-4652-a43b-682fecbe6c59","block_type":"box","text":"Prior to 5 Business Days After Month-End 5 Business Days After Month-End to Date of","page_number":123,"box":{"x":243,"y":72,"width":659,"height":11}},{"id":"93125507-66b9-4cb3-a5bd-1040772e1477","block_type":"box","text":"Public Filing","page_number":123,"box":{"x":697,"y":87,"width":88,"height":11}},{"id":"7347e365-882f-409c-90a1-6da482f9cc8b","block_type":"box","text":"Portfolio","page_number":123,"box":{"x":75,"y":110,"width":61,"height":9}},{"id":"ea1d15d6-4f0a-4294-99c3-2e803df00fa7","block_type":"box","text":"Holdings","page_number":123,"box":{"x":75,"y":125,"width":61,"height":11}},{"id":"9be2b347-6bf9-46a9-a080-ebffa2ac35e6","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":123,"box":{"x":231,"y":110,"width":297,"height":9}},{"id":"21169056-5c3f-4404-aab0-775ee5ad6c11","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":123,"box":{"x":231,"y":125,"width":310,"height":11}},{"id":"2390d2d9-aecf-4844-8ed6-0835e5b6ba3a","block_type":"box","text":"except the following Portfolio Holdings","page_number":123,"box":{"x":231,"y":140,"width":271,"height":11}},{"id":"c189670e-da81-4945-89c1-dedb98e2d6c6","block_type":"box","text":"information is required to be released on the","page_number":123,"box":{"x":232,"y":155,"width":318,"height":11}},{"id":"46a78d86-6732-404e-bb15-a594cac0c04e","block_type":"box","text":"website pursuant to Rule 2a-7 on a monthly","page_number":123,"box":{"x":231,"y":170,"width":311,"height":11}},{"id":"1a407101-0a51-4b12-ad27-1de4a78b16a5","block_type":"box","text":"basis: name of issuer, category of","page_number":123,"box":{"x":231,"y":185,"width":244,"height":11}},{"id":"2a9eafbe-833f-4f12-bce4-a01709072185","block_type":"box","text":"investment, CUSIP, principal amount, maturity","page_number":123,"box":{"x":232,"y":200,"width":325,"height":11}},{"id":"7c0e17d4-c148-4ae6-b8af-83344fe9020c","block_type":"box","text":"dates, yields and value. BlackRock will","page_number":123,"box":{"x":231,"y":216,"width":273,"height":10}},{"id":"9e6d87dd-fdb1-4707-95cf-5e82fe19a00b","block_type":"box","text":"release this information on the following","page_number":123,"box":{"x":232,"y":230,"width":286,"height":12}},{"id":"8f27ef54-b8aa-4af1-ab01-0fb1ac02ec56","block_type":"box","text":"timelines or on a more frequent timeline than","page_number":123,"box":{"x":231,"y":246,"width":323,"height":11}},{"id":"bbb9e14c-49a8-41ae-bdbd-dc939dca3336","block_type":"box","text":"required under Rule 2a-7:","page_number":123,"box":{"x":232,"y":261,"width":179,"height":11}},{"id":"d925d8c9-ca3a-4ee1-ab51-9fd6f9a1b474","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":279,"width":4,"height":3}},{"id":"44065503-e59f-4c87-9be3-3393774d1284","block_type":"box","text":"Government MMFs: Daily portfolio holdings","page_number":123,"box":{"x":241,"y":276,"width":306,"height":11}},{"id":"8a68f10b-b6c7-4ec4-aadc-ead7eea44ee0","block_type":"box","text":"are released on the website on a one","page_number":123,"box":{"x":241,"y":291,"width":266,"height":9}},{"id":"51e7b08b-c272-4bf9-b22a-06da4d7c9ef3","block_type":"box","text":"business day lag.","page_number":123,"box":{"x":241,"y":306,"width":122,"height":11}},{"id":"ed957ddd-0d91-424c-8d85-58a0c4bf7f6f","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":324,"width":4,"height":3}},{"id":"03e1515d-ed57-48fe-b78d-eb6e713158c0","block_type":"box","text":"Money Market ETFs (prime and","page_number":123,"box":{"x":242,"y":321,"width":218,"height":11}},{"id":"e42995ff-bb34-4f11-9e8f-604d454324d6","block_type":"box","text":"government): Daily portfolio holdings","page_number":123,"box":{"x":240,"y":336,"width":261,"height":12}},{"id":"ec2b1632-3f5a-442c-94f6-b7ce8024a74b","block_type":"box","text":"information released pursuant to ETF rule","page_number":123,"box":{"x":242,"y":351,"width":294,"height":11}},{"id":"5f09d8cc-cb66-41e7-81f5-e23ee1b407c3","block_type":"box","text":"requirements.","page_number":123,"box":{"x":241,"y":367,"width":97,"height":10}},{"id":"8aa1bc43-ed9d-497e-b1fa-7bdbda9b606c","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":385,"width":4,"height":3}},{"id":"b63edc55-b642-4d62-b040-a3268ad1f116","block_type":"box","text":"Certain Money Market Mutual Funds and","page_number":123,"box":{"x":241,"y":382,"width":289,"height":11}},{"id":"d7bfaa1f-14c9-4191-9321-45f34d6807ec","block_type":"box","text":"Money Market ETFs: Weekly schedule of","page_number":123,"box":{"x":242,"y":397,"width":285,"height":11}},{"id":"198c5f9b-c236-4004-8132-1c9e4cbefadf","block_type":"box","text":"investments (PDF) is posted to the website","page_number":123,"box":{"x":242,"y":412,"width":304,"height":11}},{"id":"5e00a257-b9c9-4242-83bf-17b75eba8766","block_type":"box","text":"at least one business day after week-end.","page_number":123,"box":{"x":241,"y":427,"width":296,"height":11}},{"id":"af7b9eb5-5ad5-4d89-91e5-39c0ab228c8a","block_type":"box","text":"(The Cash business identifies those Funds.)","page_number":123,"box":{"x":241,"y":442,"width":312,"height":11}},{"id":"7a9d3a21-203a-46c6-bc02-e86f0223fbbd","block_type":"box","text":"May disclose to shareholders, prospective","page_number":123,"box":{"x":578,"y":110,"width":300,"height":11}},{"id":"0800406c-313a-4e43-827a-b1d81e24d485","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":123,"box":{"x":578,"y":125,"width":297,"height":10}},{"id":"5fe0fc8b-c124-47f0-8013-6faae9db6335","block_type":"box","text":"and third party data providers. If Portfolio","page_number":123,"box":{"x":578,"y":140,"width":294,"height":11}},{"id":"2ab825e7-a6ee-4f8d-96ba-8e694761b223","block_type":"box","text":"Holdings are disclosed to one party, they","page_number":123,"box":{"x":578,"y":155,"width":291,"height":11}},{"id":"81f37e6c-4998-4297-81f3-a2d0d41bfe54","block_type":"box","text":"must also be disclosed to all other parties","page_number":123,"box":{"x":578,"y":170,"width":302,"height":11}},{"id":"a10727ff-9220-42c7-9cd3-bca1e9aba8c7","block_type":"box","text":"requesting the same information.","page_number":123,"box":{"x":578,"y":185,"width":236,"height":11}},{"id":"9dba5507-c282-4efc-b9a5-c4bab9668714","block_type":"box","text":"Portfolio","page_number":123,"box":{"x":75,"y":465,"width":61,"height":9}},{"id":"ba4701b0-22fd-473d-820a-6379f4053cb1","block_type":"box","text":"Characteristics","page_number":123,"box":{"x":74,"y":480,"width":111,"height":9}},{"id":"ca216c25-9d4a-4184-a0c9-e7109a3c897d","block_type":"box","text":"Cannot disclose without non-disclosure or","page_number":123,"box":{"x":231,"y":465,"width":297,"height":9}},{"id":"c865f856-5725-49dd-95e9-2295dd88bdda","block_type":"box","text":"confidentiality agreement and CCO approval","page_number":123,"box":{"x":231,"y":480,"width":310,"height":11}},{"id":"14c27b3c-2e48-4e92-ad49-64af03b1f397","block_type":"box","text":"except the following information is:","page_number":123,"box":{"x":231,"y":495,"width":247,"height":11}},{"id":"013f9cd2-ccdd-48de-8613-e576befe1233","block_type":"box","text":"(i) required to be released on the Fund’s","page_number":123,"box":{"x":231,"y":510,"width":287,"height":11}},{"id":"824d8877-e163-4c32-aa4e-df92942128f5","block_type":"box","text":"website daily (","page_number":123,"box":{"x":231,"y":526,"width":100,"height":10}},{"id":"fa80ede5-031a-4c25-b310-7be763103a57","block_type":"box","text":"i.e.","page_number":123,"box":{"x":334,"y":526,"width":20,"height":8}},{"id":"9fee65ca-c504-43d8-b4ae-4121466f731c","block_type":"box","text":", each Business Day as of","page_number":123,"box":{"x":356,"y":525,"width":186,"height":11}},{"id":"a94e916e-2317-4aa2-8c85-a759efb69352","block_type":"box","text":"the end of the preceding Business Day):","page_number":123,"box":{"x":231,"y":540,"width":285,"height":12}},{"id":"e4603d74-5502-419c-8e3b-3d4fab42224a","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":559,"width":4,"height":3}},{"id":"89630918-ceed-488c-8f4e-554d76ba51ac","block_type":"box","text":"Historical NAVs calculated based on market","page_number":123,"box":{"x":242,"y":556,"width":309,"height":8}},{"id":"77e3dc27-37b8-47f3-ae28-7c3026ece976","block_type":"box","text":"factors (","page_number":123,"box":{"x":240,"y":571,"width":58,"height":11}},{"id":"8dc1d989-8507-44bf-a17c-580429eb3658","block_type":"box","text":"e.g.","page_number":123,"box":{"x":300,"y":572,"width":25,"height":10}},{"id":"18c7f5a9-ff0e-410b-baf2-8dff1e966515","block_type":"box","text":", marked to market).","page_number":123,"box":{"x":328,"y":571,"width":143,"height":11}},{"id":"6fa99f5e-fbb5-4697-81fb-2932b75bc878","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":589,"width":4,"height":3}},{"id":"4ae112b0-9d2e-4614-a05a-db3e91bca9f7","block_type":"box","text":"Percentage of fund assets invested in daily","page_number":123,"box":{"x":241,"y":586,"width":307,"height":11}},{"id":"3f34037b-5811-46ef-a0f5-823f506dd4d8","block_type":"box","text":"and weekly liquid assets (as defined under","page_number":123,"box":{"x":241,"y":601,"width":304,"height":11}},{"id":"3ad328e6-96b2-48ae-b080-899cb03d4247","block_type":"box","text":"Rule 2a-7).","page_number":123,"box":{"x":242,"y":616,"width":75,"height":11}},{"id":"1c5748a9-95cd-4088-a7ed-eac692e2dd86","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":634,"width":4,"height":3}},{"id":"dbc04703-d1f8-40f1-9440-24a59a6d2507","block_type":"box","text":"Daily net flow information (inflows less","page_number":123,"box":{"x":242,"y":631,"width":273,"height":11}},{"id":"a85516d8-1861-4c72-9b11-a75faa30b7fe","block_type":"box","text":"outflows).","page_number":123,"box":{"x":241,"y":646,"width":67,"height":11}},{"id":"d502a9ed-199b-4da3-9930-71eab486d4c0","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":664,"width":4,"height":4}},{"id":"ff2935a8-12cf-4f97-9405-d7ec1bc94be0","block_type":"box","text":"Other information as may be required by","page_number":123,"box":{"x":241,"y":661,"width":287,"height":11}},{"id":"d42c9d70-ccb5-4edb-a0f1-ebde9f8e4d52","block_type":"box","text":"Rule 2a-7.","page_number":123,"box":{"x":242,"y":677,"width":70,"height":8}},{"id":"d9e95614-4820-4051-a339-441fcc8a7255","block_type":"box","text":"(ii) voluntarily released on the Fund’s","page_number":123,"box":{"x":241,"y":692,"width":262,"height":11}},{"id":"0d664fd4-bb45-4cbf-a513-d88018f0e271","block_type":"box","text":"website daily (","page_number":123,"box":{"x":240,"y":707,"width":101,"height":11}},{"id":"a43f4f3f-c070-4279-8d03-b44c8b0c96a6","block_type":"box","text":"i.e.","page_number":123,"box":{"x":343,"y":707,"width":20,"height":9}},{"id":"37c3f2f4-6da9-4c1f-830d-5735d15e47c4","block_type":"box","text":", each Business Day as of","page_number":123,"box":{"x":366,"y":707,"width":186,"height":11}},{"id":"340bc9de-7379-4c42-92d5-fe1caf205052","block_type":"box","text":"the end of the preceding Business Day):","page_number":123,"box":{"x":240,"y":722,"width":285,"height":11}},{"id":"1e3f3f58-d2ed-45f7-a4f4-f57b2b8556de","block_type":"box","text":"•","page_number":123,"box":{"x":234,"y":740,"width":4,"height":3}},{"id":"9762b5ae-031f-4fac-a02b-d67da64cc6d9","block_type":"box","text":"Fund SEC yields, WAM (required monthly),","page_number":123,"box":{"x":242,"y":737,"width":295,"height":11}},{"id":"511463fe-5477-486b-b697-d7fec8d0a42c","block_type":"box","text":"WAL (required monthly), fund size and share","page_number":123,"box":{"x":240,"y":752,"width":314,"height":11}},{"id":"9f4f0177-23d2-40be-9235-ae9ed34b0def","block_type":"box","text":"class size.","page_number":123,"box":{"x":241,"y":767,"width":73,"height":9}},{"id":"1764c768-14f5-4e4f-a0fd-c5383176f04c","block_type":"box","text":"May disclose to shareholders, prospective","page_number":123,"box":{"x":578,"y":465,"width":300,"height":11}},{"id":"859ab1fd-1a76-41ce-871e-49b22cea49f2","block_type":"box","text":"shareholders, intermediaries, consultants","page_number":123,"box":{"x":578,"y":480,"width":297,"height":10}},{"id":"c551dfe9-d5d8-4869-9f2b-e48f7d1ebe9d","block_type":"box","text":"and third party data providers. If Portfolio","page_number":123,"box":{"x":578,"y":495,"width":294,"height":11}},{"id":"a473e882-382e-4afe-b6b4-6646fd833f8c","block_type":"box","text":"Characteristics are disclosed to one party,","page_number":123,"box":{"x":578,"y":510,"width":300,"height":11}},{"id":"fc1e8c8c-2b9c-49ce-967b-22dd8580d4ee","block_type":"box","text":"they must also be disclosed to all other","page_number":123,"box":{"x":577,"y":526,"width":283,"height":10}},{"id":"93b989d5-aea5-49ca-b2ab-427666258837","block_type":"box","text":"parties requesting the same information.","page_number":123,"box":{"x":578,"y":540,"width":291,"height":12}},{"id":"69110838-47ea-4472-84e2-2de63d103007","block_type":"box","text":"2","page_number":123,"box":{"x":69,"y":785,"width":3,"height":3}},{"id":"f0596a87-47d4-4eeb-b167-5a6133bf92d9","block_type":"box","text":"BlackRock Short Obligations Fund","page_number":123,"box":{"x":77,"y":785,"width":200,"height":9}},{"id":"5a5d6224-2db7-4d0e-99cc-52f9ecf69ff6","block_type":"box","text":". Fund’s holdings may be disclosed in accordance with the frequency for money market funds.","page_number":123,"box":{"x":278,"y":785,"width":534,"height":9}},{"id":"1fd1bad1-a51c-4615-af65-4130a7f887b4","block_type":"box","text":"3","page_number":123,"box":{"x":69,"y":800,"width":3,"height":3}},{"id":"680775d0-2e3b-4b94-aa45-bc6584112ff7","block_type":"box","text":"Circle Reserve Fund Exception","page_number":123,"box":{"x":76,"y":800,"width":179,"height":9}},{"id":"2cd4da5b-4913-46b9-bd60-244d01a74cea","block_type":"box","text":": Information on portfolio holdings and certain portfolio characteristics of the Circle Reserve Fund of BlackRock","page_number":123,"box":{"x":257,"y":800,"width":634,"height":9}},{"id":"3742f47c-11e7-48c3-8dde-8d755f193266","block_type":"box","text":"Funds","page_number":123,"box":{"x":69,"y":813,"width":33,"height":7}},{"id":"7951499e-d1ac-483b-b0c5-d098997db92a","block_type":"box","text":"SM","page_number":123,"box":{"x":103,"y":813,"width":8,"height":3}},{"id":"131285d4-7309-49f1-ab35-00741f9bc8b7","block_type":"box","text":"may be made available to the shareholders of the Fund, upon request, on a more frequent basis as may be deemed appropriate by","page_number":123,"box":{"x":117,"y":812,"width":748,"height":9}},{"id":"3e18dcb9-599d-4287-85fe-88f5306d2442","block_type":"box","text":"BlackRock from time-to-time.","page_number":123,"box":{"x":69,"y":825,"width":162,"height":7}},{"id":"b251840b-297c-46d4-b8fd-98bf4cb62257","block_type":"box","text":"Guidelines for Confidential and Non-Material Information.","page_number":123,"box":{"x":102,"y":848,"width":404,"height":9}},{"id":"5d73eda1-495e-40df-bec1-1e3524f20b50","block_type":"box","text":"Confidential Information may be disclosed to the","page_number":123,"box":{"x":512,"y":848,"width":346,"height":12}},{"id":"a659397c-f3d6-4a8a-9929-4fad1484f5a5","block_type":"box","text":"Fund’s Board of Directors and its counsel, outside counsel for the Fund, the Fund’s auditors and to certain third-party","page_number":123,"box":{"x":70,"y":863,"width":839,"height":12}},{"id":"595410b9-ff10-4f28-9dc6-879ef4160b41","block_type":"box","text":"service providers (","page_number":123,"box":{"x":69,"y":879,"width":130,"height":11}},{"id":"fe2d8bee-6eb9-41eb-8a2b-490417a18928","block_type":"box","text":"e.g.","page_number":123,"box":{"x":201,"y":880,"width":25,"height":10}},{"id":"e4aac0e0-2bd3-410c-9955-d27cb633fbf3","block_type":"box","text":", Fund administrator, Fund custodian, proxy voting service), securities lending borrowers,","page_number":123,"box":{"x":228,"y":879,"width":630,"height":11}},{"id":"c6a45243-37be-43f9-9b99-e2092c888932","block_type":"box","text":"broker-dealers that are fund counterparties and shareholders and their representatives that participate in applicable","page_number":123,"box":{"x":69,"y":894,"width":829,"height":11}},{"id":"d3e9b0b7-294a-4ad7-bc1e-de0f3f300036","block_type":"box","text":"redemptions in kind. Non-disclosure or confidentiality agreements will be in place with such service providers,","page_number":123,"box":{"x":69,"y":909,"width":781,"height":11}},{"id":"dc178c09-cea7-4b3e-bfb4-510b4b1bf111","block_type":"box","text":"II-87","page_number":123,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b3ced4ce-544a-4f04-908e-33ac72930ded","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":123,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ee54d08b-7528-4a85-b6c7-011c57773486","block_type":"box","text":"borrowers, and broker-dealers. With respect to Confidential Information, the Fund’s CCO or his or her designee may","page_number":124,"box":{"x":69,"y":45,"width":823,"height":11}},{"id":"5e1a9fda-dab0-4143-98f9-323f4ddc7967","block_type":"box","text":"authorize the following, subject in the case of (ii) and (iii) to a confidentiality or non-disclosure arrangement:","page_number":124,"box":{"x":69,"y":60,"width":765,"height":11}},{"id":"f7cc0b87-1e14-4903-bbf8-8fa1b312d74a","block_type":"box","text":"(i) the preparation and posting of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to its website","page_number":124,"box":{"x":102,"y":80,"width":787,"height":11}},{"id":"2e4bcf41-2726-459b-a798-68f730cf6c4d","block_type":"box","text":"on a more frequent basis than authorized above;","page_number":124,"box":{"x":131,"y":95,"width":346,"height":11}},{"id":"d01e73c0-b13b-49d8-b0b9-b50a1a5e8d24","block_type":"box","text":"(ii) the disclosure of the Fund’s Portfolio Holdings to third-party service providers not noted above; and","page_number":124,"box":{"x":102,"y":115,"width":738,"height":11}},{"id":"db4e428a-7b61-469c-b742-2d97c62c0621","block_type":"box","text":"(iii) the disclosure of the Fund’s Portfolio Holdings and/or Portfolio Characteristics to other parties for legitimate","page_number":124,"box":{"x":102,"y":135,"width":804,"height":12}},{"id":"5e9d2e54-b7f4-4b4b-87ef-581f6a3f42e6","block_type":"box","text":"business purposes.","page_number":124,"box":{"x":131,"y":151,"width":138,"height":10}},{"id":"327ada94-bcd3-48e3-8df4-677b72b433f5","block_type":"box","text":"Fact Sheets and Repor ts","page_number":124,"box":{"x":102,"y":173,"width":177,"height":11}},{"id":"6f3c1189-048f-4171-a378-a638f66811c7","block_type":"box","text":"•","page_number":124,"box":{"x":102,"y":196,"width":6,"height":5}},{"id":"c2942350-6bbe-4fb4-a31e-f2735c4e7bcb","block_type":"box","text":"Fund Fact Sheets are available to shareholders, prospective shareholders, intermediaries and consultants","page_number":124,"box":{"x":135,"y":193,"width":756,"height":11}},{"id":"0d8a3d04-6f8a-4201-adf4-57f4c31e43da","block_type":"box","text":"on a monthly or quarterly basis no earlier than the fifth calendar day after the end of a month or quarter.","page_number":124,"box":{"x":134,"y":208,"width":744,"height":12}},{"id":"3d44ebd0-6092-4dde-8850-931f21ff1cdc","block_type":"box","text":"Other Information.","page_number":124,"box":{"x":102,"y":231,"width":128,"height":9}},{"id":"a0369cfb-fe5d-4c06-a74c-302631d30aa1","block_type":"box","text":"The Policy shall also apply to other Confidential Information of a Fund such as performance","page_number":124,"box":{"x":236,"y":231,"width":651,"height":11}},{"id":"989205eb-adb3-4fa5-a09c-175f390838d5","block_type":"box","text":"attribution analyses or security-specific information (","page_number":124,"box":{"x":69,"y":246,"width":372,"height":11}},{"id":"d467b819-d57f-4ad8-8089-c874f8664fa2","block_type":"box","text":"e.g.","page_number":124,"box":{"x":442,"y":248,"width":25,"height":9}},{"id":"8143f9b5-75e1-46c9-9d23-d6003f72ec17","block_type":"box","text":", information about Fund holdings where an issuer has been","page_number":124,"box":{"x":470,"y":246,"width":427,"height":11}},{"id":"cfd4e47a-cfb6-47fb-8f6e-2e60e2a41983","block_type":"box","text":"downgraded, been acquired or declared bankruptcy).","page_number":124,"box":{"x":69,"y":262,"width":372,"height":11}},{"id":"cf1f3de7-d9c9-4a50-a1b1-320638552170","block_type":"box","text":"Data on NAVs, asset levels (by total Fund and share class), accruals, yields, capital gains, dividends and fund","page_number":124,"box":{"x":102,"y":284,"width":781,"height":11}},{"id":"ecfcf8e1-a201-4c6c-8e48-d9f44ca7a575","block_type":"box","text":"returns (net of fees by share class) are generally available to shareholders, prospective shareholders, consultants,","page_number":124,"box":{"x":69,"y":299,"width":818,"height":11}},{"id":"4140ed81-4879-4a8d-ae4a-8474c1017422","block_type":"box","text":"and third-party data providers upon request, as soon as such data is available.","page_number":124,"box":{"x":69,"y":314,"width":562,"height":11}},{"id":"4bd9b26e-56d1-4243-8b86-8d4d7c9147ba","block_type":"box","text":"Contact Information.","page_number":124,"box":{"x":102,"y":337,"width":144,"height":9}},{"id":"42a7a366-363c-4a24-8c25-c800c9463689","block_type":"box","text":"For information about portfolio holdings and characteristics, BlackRock fund shareholders","page_number":124,"box":{"x":253,"y":337,"width":639,"height":11}},{"id":"3e34d628-c900-4dbf-90e5-176f97041a66","block_type":"box","text":"and prospective investors should call the number set out on the back cover of the Prospectus.","page_number":124,"box":{"x":69,"y":352,"width":672,"height":11}},{"id":"79a044a1-6573-4b71-b2d8-9c698f0a7924","block_type":"box","text":"Compensation.","page_number":124,"box":{"x":102,"y":375,"width":105,"height":11}},{"id":"d5b50236-99ef-49db-bfaf-fc89355aa318","block_type":"box","text":"Neither a Fund, a service provider nor any of their affiliated persons (as that term is defined in","page_number":124,"box":{"x":215,"y":375,"width":672,"height":11}},{"id":"f2c963ea-8e4a-41fc-a8f1-26b82c76118d","block_type":"box","text":"the Investment Company Act) shall receive compensation in any form in connection with the disclosure of information","page_number":124,"box":{"x":68,"y":390,"width":837,"height":11}},{"id":"1652939c-b394-4eb9-baeb-13f600f61ab4","block_type":"box","text":"about such Fund’s Portfolio Holdings or Portfolio Characteristics.","page_number":124,"box":{"x":69,"y":405,"width":461,"height":11}},{"id":"aebbaf0e-cde2-482b-a6f1-628855d3fa03","block_type":"box","text":"Ongoing Arrangements.","page_number":124,"box":{"x":102,"y":428,"width":164,"height":11}},{"id":"82ff0401-3b3a-4a6e-a380-b41a68fb2140","block_type":"box","text":"The Manager has entered into ongoing agreements to provide selective disclosure of","page_number":124,"box":{"x":272,"y":428,"width":605,"height":11}},{"id":"0645e25a-edb5-457e-ab0b-210254833add","block_type":"box","text":"Fund Portfolio Holdings to the following persons or entities:","page_number":124,"box":{"x":70,"y":443,"width":420,"height":11}},{"id":"e010878d-0642-410b-b69b-79eb66239fac","block_type":"box","text":"1. Fund’s Board of Directors and, if necessary, independent Directors’ counsel and Fund counsel.","page_number":124,"box":{"x":70,"y":463,"width":707,"height":11}},{"id":"05789bcc-9a45-44fc-b885-3795dca67c8b","block_type":"box","text":"2. Fund’s Transfer Agent.","page_number":124,"box":{"x":69,"y":483,"width":190,"height":11}},{"id":"1c4643b8-37c4-4911-a96e-645619cc2a0d","block_type":"box","text":"3. Fund’s Custodian.","page_number":124,"box":{"x":69,"y":503,"width":160,"height":9}},{"id":"2bb5d507-c5c1-4722-a6ce-fe511713dc5f","block_type":"box","text":"4. Fund’s Administrator, if applicable.","page_number":124,"box":{"x":69,"y":523,"width":278,"height":11}},{"id":"ddf688b6-dad9-40a4-8ac0-036a971388e1","block_type":"box","text":"5. Fund’s independent registered public accounting firm.","page_number":124,"box":{"x":69,"y":543,"width":414,"height":12}},{"id":"a3e56cf7-220f-474f-ac1e-1d754fad56c3","block_type":"box","text":"6. Fund’s accounting services provider.","page_number":124,"box":{"x":69,"y":564,"width":291,"height":11}},{"id":"81caae48-aadf-431c-9f3e-1bce73783528","block_type":"box","text":"7. Independent rating agencies — Lipper Inc., Moody’s, Fitch.","page_number":124,"box":{"x":69,"y":584,"width":451,"height":11}},{"id":"34e97086-21a0-494c-a715-fb7dcd8fac93","block_type":"box","text":"8. Information aggregators — S&P Global, Bloomberg, eVestments Alliance and Informa/PSN Investment Solutions.","page_number":124,"box":{"x":69,"y":604,"width":837,"height":11}},{"id":"74d204cd-f204-454b-803d-049a3de620e2","block_type":"box","text":"9. Pricing Vendors — Refinitiv Limited, Refinitiv US LLC, ICE Data Services, Bloomberg, IHS Markit, JP Morgan","page_number":124,"box":{"x":69,"y":624,"width":796,"height":11}},{"id":"f0cf03a8-8f14-4702-83d1-c4b83c4e8f3f","block_type":"box","text":"Pricing-Direct, Valuation Research Corporation, Murray, Devine & Co., Inc. and WM Company PLC.","page_number":124,"box":{"x":102,"y":639,"width":690,"height":12}},{"id":"a8ea401f-184a-467d-a1ce-777f5b55420f","block_type":"box","text":"10. Valuation Providers — Houlihan Lokey, Lincoln Financial, Chatham and Kroll.","page_number":124,"box":{"x":70,"y":660,"width":573,"height":11}},{"id":"d62c60cf-d330-4fad-9bdb-2a4274aef1c6","block_type":"box","text":"11. Third-party feeder funds — Stock Index Fund, a series of Homestead Funds, Inc. and Transamerica Stock Index,","page_number":124,"box":{"x":70,"y":680,"width":827,"height":11}},{"id":"609d28e5-ea53-4d05-8f90-6e7eb33ce8d2","block_type":"box","text":"a series of Transamerica Funds and their respective boards, sponsors, administrators and other service","page_number":124,"box":{"x":102,"y":695,"width":741,"height":11}},{"id":"341f5657-69f6-449f-9560-5e292773a63c","block_type":"box","text":"providers.","page_number":124,"box":{"x":102,"y":710,"width":68,"height":11}},{"id":"7a2bbc34-6d8d-4fcf-8c9b-da4f0f265414","block_type":"box","text":"12. Affiliated feeder funds — iShares S&P 500 Index Fund, iShares U.S. Aggregate Bond Index Fund, Treasury","page_number":124,"box":{"x":70,"y":730,"width":790,"height":11}},{"id":"bb013368-f831-418f-95f0-40e6bbbdbb37","block_type":"box","text":"Money Market Fund (Cayman) and their respective boards, sponsors, administrators and other service providers.","page_number":124,"box":{"x":102,"y":745,"width":803,"height":11}},{"id":"b3893cac-08eb-40d4-8303-fd8f7b77ecb6","block_type":"box","text":"13. Other — Investment Company Institute, Goldman Sachs Asset Management, L.P., JPMorgan Chase Bank, N.A.,","page_number":124,"box":{"x":70,"y":765,"width":821,"height":12}},{"id":"4b26756a-3988-4e50-9c9b-788dfae108c4","block_type":"box","text":"Mizuho Asset Management Co., Ltd., Nationwide Fund Advisors, State Street Bank and Trust Company,","page_number":124,"box":{"x":102,"y":780,"width":732,"height":12}},{"id":"642b10a0-8002-43ea-88f4-d7d89bfd71e4","block_type":"box","text":"Donnelley Financial Solutions, Inc. and Silicon Valley Bank.","page_number":124,"box":{"x":102,"y":796,"width":416,"height":11}},{"id":"6d1a7741-de09-4bed-b2a9-203cbe0a5808","block_type":"box","text":"In connection with effecting redemptions in kind, the Fund or the Manager may provide information about a","page_number":124,"box":{"x":102,"y":818,"width":762,"height":11}},{"id":"367988e8-d7d8-4168-8ec8-8f0800635afb","block_type":"box","text":"Fund’s portfolio holdings, such as the securities to be delivered in connection with the redemption in kind, to a","page_number":124,"box":{"x":70,"y":833,"width":790,"height":12}},{"id":"2d31ff60-d72a-4bf7-a35a-f8d3226f85a9","block_type":"box","text":"redeeming shareholder. Typically, such shareholder will be subject to a non-disclosure agreement or other duty to","page_number":124,"box":{"x":69,"y":849,"width":806,"height":11}},{"id":"84c6b01c-de30-45d6-b3ff-b0806b2bb321","block_type":"box","text":"keep the information confidential.","page_number":124,"box":{"x":69,"y":863,"width":238,"height":11}},{"id":"1035de60-871b-41f0-9795-8871235bcd16","block_type":"box","text":"With respect to each such arrangement, a Fund has a legitimate business purpose for the release of","page_number":124,"box":{"x":101,"y":886,"width":720,"height":12}},{"id":"abe4d025-90b6-4a94-a883-3734c3ab4646","block_type":"box","text":"information. The release of the information is subject to confidential treatment to prohibit the entity from sharing with","page_number":124,"box":{"x":70,"y":901,"width":836,"height":12}},{"id":"7d63b7c5-b836-4f7d-9330-9f4dce123a41","block_type":"box","text":"II-88","page_number":124,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"b1b15941-1e27-4616-b70e-a8dfeee11252","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":124,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"64ba9329-8e02-4fcb-9b51-74a05c1e7363","block_type":"box","text":"an unauthorized source. The Funds, BlackRock and their affiliates do not receive any compensation or other","page_number":125,"box":{"x":69,"y":45,"width":770,"height":11}},{"id":"3517d0f8-ab6b-47fa-8566-30e1ed5b646e","block_type":"box","text":"consideration in connection with such arrangements.","page_number":125,"box":{"x":69,"y":60,"width":375,"height":11}},{"id":"6d45ad41-1d89-432d-a757-4988294138bc","block_type":"box","text":"The Funds and the Manager may monitor, to the extent possible, the use of Confidential Information by the","page_number":125,"box":{"x":101,"y":82,"width":762,"height":12}},{"id":"3b082c87-b47e-44db-b415-5212d0440d23","block_type":"box","text":"individuals or firms to which it has been disclosed. To do so, in addition to the requirements of any applicable","page_number":125,"box":{"x":70,"y":98,"width":781,"height":11}},{"id":"524bd1f6-54c7-47d1-b9e3-fb726cc349ae","block_type":"box","text":"confidentiality agreement and/or the terms and conditions of the Fund’s and Manager’s Codes of Ethics, the","page_number":125,"box":{"x":69,"y":113,"width":775,"height":11}},{"id":"8f8e8470-ebd5-40e1-88e6-31cedfb8897c","block_type":"box","text":"Manager’s compliance personnel under the supervision of the Fund’s CCO, monitor the Manager’s securities trading","page_number":125,"box":{"x":70,"y":128,"width":830,"height":11}},{"id":"ce62dd42-4bbc-490a-ad45-88df241138f0","block_type":"box","text":"desks to determine whether individuals or firms who have received Confidential Information have made any trades on","page_number":125,"box":{"x":69,"y":143,"width":836,"height":11}},{"id":"cf6e533e-e145-43a1-82e8-5c7bde6d920b","block_type":"box","text":"the basis of that information. In addition, the Manager maintains an internal restricted list to prevent trading by the","page_number":125,"box":{"x":68,"y":158,"width":822,"height":11}},{"id":"bbe3bb80-4b9f-4b10-9ef8-6059b0025820","block_type":"box","text":"personnel of the Manager or its affiliates in securities — including securities held by a Fund — about which the","page_number":125,"box":{"x":70,"y":173,"width":793,"height":11}},{"id":"1e1787d5-063c-4d5a-a3f7-f206727f4931","block_type":"box","text":"Manager has Confidential Information. There can be no assurance, however, that the Fund’s policies and procedures","page_number":125,"box":{"x":70,"y":188,"width":831,"height":12}},{"id":"08cdecde-c9ec-44e4-a806-1ec9e7e218e4","block_type":"box","text":"with respect to the selective disclosure of Portfolio Holdings will prevent the misuse of such information by","page_number":125,"box":{"x":68,"y":203,"width":764,"height":12}},{"id":"59aa2ccd-8024-4d11-97da-2de347fca2e7","block_type":"box","text":"individuals or firms that receive such information.","page_number":125,"box":{"x":70,"y":218,"width":351,"height":9}},{"id":"c39cc3ef-237a-4aa6-b2e4-712c6a839f87","block_type":"box","text":"Potential Conflicts of Interest","page_number":125,"box":{"x":69,"y":249,"width":216,"height":9}},{"id":"467770ce-be29-4a3d-8b3d-3b72083ed086","block_type":"box","text":"Cer tain activities of BlackRock, Inc., BlackRock Advisors, LLC, BlackRock Fund Advisors and the other","page_number":125,"box":{"x":102,"y":271,"width":727,"height":11}},{"id":"dd727a38-7028-49b1-9b4d-7fc4d06a7214","block_type":"box","text":"subsidiaries of BlackRock, Inc. (collectively referred to in this section as “BlackRock”) and their respective directors,","page_number":125,"box":{"x":69,"y":286,"width":829,"height":12}},{"id":"3b9f631d-9e04-498d-a5af-1039e861bb3a","block_type":"box","text":"officers or employees, with respect to the Funds and/or other accounts managed by BlackRock, may give rise to","page_number":125,"box":{"x":69,"y":302,"width":802,"height":11}},{"id":"baecad81-fa21-40ea-89e0-d816caa8c867","block_type":"box","text":"actual or perceived conflicts of interest such as those described below.","page_number":125,"box":{"x":69,"y":317,"width":507,"height":11}},{"id":"5bdbb1bd-6929-4148-8022-8254e301916b","block_type":"box","text":"BlackRock is one of the world’s largest asset management firms. BlackRock, its subsidiaries and their","page_number":125,"box":{"x":102,"y":339,"width":731,"height":12}},{"id":"a707f6b2-df66-4877-a3ef-1027f4ec81af","block_type":"box","text":"respective directors, officers and employees, including the business units or entities and personnel who may be","page_number":125,"box":{"x":69,"y":355,"width":799,"height":11}},{"id":"b8070750-31ca-4bdf-943d-fd8c333ee03e","block_type":"box","text":"involved in the investment activities and business operations of a Fund, are engaged worldwide in businesses,","page_number":125,"box":{"x":70,"y":370,"width":786,"height":11}},{"id":"02dfee39-deaf-480b-a16f-0b4ae6f7d5a3","block_type":"box","text":"including managing equities, fixed income securities, cash and alternative investments, and other financial services,","page_number":125,"box":{"x":70,"y":385,"width":829,"height":11}},{"id":"8510cd0c-61d7-49fa-b0f2-dc7fee9588d1","block_type":"box","text":"and have interests other than that of managing the Funds. These are considerations of which investors in a Fund","page_number":125,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"9ba74e27-2d61-4ffb-a867-a378cb14e6f9","block_type":"box","text":"should be aware, and which may cause conflicts of interest that could disadvantage a Fund and its shareholders.","page_number":125,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"7d6bdf1c-e401-4d25-964a-2ceeda385ddf","block_type":"box","text":"These businesses and interests include potential multiple advisory, transactional, financial and other","page_number":125,"box":{"x":101,"y":438,"width":722,"height":11}},{"id":"9bc32897-a4dd-4a9b-802d-521e9cf2da36","block_type":"box","text":"relationships with, or interests in companies and interests in securities or other instruments that may be purchased","page_number":125,"box":{"x":69,"y":453,"width":827,"height":11}},{"id":"f78489f0-a241-4179-b6f4-306fae54f07f","block_type":"box","text":"or sold by a Fund.","page_number":125,"box":{"x":69,"y":468,"width":125,"height":11}},{"id":"2ae3e181-a6c3-43ff-88a7-42d51dd83c06","block_type":"box","text":"BlackRock may have proprietary interests in, and may manage or advise with respect to, accounts or funds","page_number":125,"box":{"x":102,"y":491,"width":762,"height":11}},{"id":"b23dc5c7-9f31-4af7-97dd-39737b4b88b4","block_type":"box","text":"(including separate accounts and other funds and collective investment vehicles) that have investment objectives","page_number":125,"box":{"x":69,"y":506,"width":806,"height":11}},{"id":"7c03f687-d12e-4530-8a6a-170208c2cbfe","block_type":"box","text":"identical or similar to those of a Fund and/or that engage in transactions in the same types of securities, currencies","page_number":125,"box":{"x":70,"y":521,"width":828,"height":11}},{"id":"01889723-5608-4400-b933-fb83f0c07504","block_type":"box","text":"and instruments as the Fund. Such other funds or accounts may offer exposure to strategies that are identical or","page_number":125,"box":{"x":69,"y":536,"width":808,"height":11}},{"id":"79c24f8f-3a92-440f-adbe-9ea01da9ba9d","block_type":"box","text":"substantially similar to those of a Fund but with different fees and expenses, governance and structures, and/or","page_number":125,"box":{"x":69,"y":551,"width":803,"height":11}},{"id":"328c33dd-e519-4b27-a484-2d24f258bdcf","block_type":"box","text":"services provided by BlackRock","page_number":125,"box":{"x":69,"y":566,"width":224,"height":11}},{"id":"93378f99-dcb9-44c2-abaa-d92db52c93d9","block_type":"box","text":".","page_number":125,"box":{"x":295,"y":574,"width":2,"height":1}},{"id":"f6f1f2a7-bb19-4c6f-ab6d-2275a26eaaaf","block_type":"box","text":"BlackRock is also a major participant in the global currency, equities, swap and fixed","page_number":125,"box":{"x":304,"y":566,"width":603,"height":11}},{"id":"3da37013-3340-43c6-8cf5-71384cf0c534","block_type":"box","text":"income markets, in each case, for the accounts of clients and, in some cases, on a proprietary basis. As such,","page_number":125,"box":{"x":70,"y":581,"width":791,"height":11}},{"id":"bb757c97-6ebf-4e13-b46f-c3cb9f576e57","block_type":"box","text":"BlackRock is or may be actively engaged in transactions in the same securities, currencies, and instruments in which","page_number":125,"box":{"x":70,"y":597,"width":835,"height":11}},{"id":"9d1aacb0-9d06-45e4-a750-fefa2da5f0c5","block_type":"box","text":"a Fund invests.","page_number":125,"box":{"x":69,"y":612,"width":106,"height":9}},{"id":"046c9bf0-1538-42e7-8ce4-946833b66fa9","block_type":"box","text":"Such activities could affect the prices and availability of the securities, currencies, and instruments in which a","page_number":125,"box":{"x":102,"y":634,"width":785,"height":11}},{"id":"b7729aa6-6bae-43b2-9822-d059da767d8a","block_type":"box","text":"Fund invests, which could have an adverse impact on a Fund’s performance. Such transactions, particularly in","page_number":125,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"fc4d451f-fc43-4692-9def-e07f20704b3e","block_type":"box","text":"respect of most proprietary accounts or client accounts, will be executed independently of a Fund’s transactions and","page_number":125,"box":{"x":69,"y":664,"width":832,"height":12}},{"id":"d1091c29-ee67-4364-8148-00733a32c4f4","block_type":"box","text":"thus at prices or rates that may be more or less favorable than those obtained by the Fund.","page_number":125,"box":{"x":68,"y":680,"width":652,"height":11}},{"id":"71de026b-5e8e-4203-a066-a20b20402783","block_type":"box","text":"In addition, the portfolio holdings of certain BlackRock-advised investment vehicles managed in an identical or","page_number":125,"box":{"x":102,"y":702,"width":787,"height":12}},{"id":"93d585c1-80df-4eff-b8b7-50c2431ae432","block_type":"box","text":"substantially similar manner as certain Funds are made publicly available on a more timely basis than the applicable","page_number":125,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"a64bb20c-5222-4dab-95de-bb30887514a0","block_type":"box","text":"Fund. In some cases, such portfolio holdings are made publicly available on a daily basis. While not expected, it is","page_number":125,"box":{"x":70,"y":732,"width":816,"height":12}},{"id":"74d7afc6-641d-4299-a14e-4316d1aebbe6","block_type":"box","text":"possible that a recipient of portfolio holdings information for such an investment vehicle could cause harm to a Fund","page_number":125,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"15eab26c-2c63-42b3-b325-d37b8606baa9","block_type":"box","text":"that is managed in an identical or substantially similar manner, including by trading ahead of or against such Fund","page_number":125,"box":{"x":68,"y":763,"width":813,"height":11}},{"id":"00ddaa62-6396-48c5-99af-7c37ab0b1eeb","block_type":"box","text":"based on the information received.","page_number":125,"box":{"x":69,"y":778,"width":247,"height":9}},{"id":"86737ca1-652a-44d8-bf6f-9b46b9fb2dcf","block_type":"box","text":"When BlackRock seeks to purchase or sell the same assets for client accounts, including a Fund, the assets","page_number":125,"box":{"x":101,"y":801,"width":777,"height":11}},{"id":"322492e1-92f0-4ba3-b02a-691cd9b6981a","block_type":"box","text":"actually purchased or sold may be allocated among the accounts on a basis determined in its good faith discretion to","page_number":125,"box":{"x":69,"y":816,"width":838,"height":11}},{"id":"173a8353-1d62-4048-a166-3894d9241b89","block_type":"box","text":"be equitable. In some cases, this system may adversely affect the size or price of the assets purchased or sold for a","page_number":125,"box":{"x":69,"y":831,"width":835,"height":11}},{"id":"6eba650b-10e3-475e-a9d2-0bd73a8bccac","block_type":"box","text":"Fund. In addition, transactions in investments by one or more other accounts managed by BlackRock may have the","page_number":125,"box":{"x":70,"y":846,"width":817,"height":11}},{"id":"a9dfe4f6-4cd2-40cf-9edf-db228063032c","block_type":"box","text":"effect of diluting or otherwise disadvantaging the values, prices or investment strategies of a Fund, particularly, but","page_number":125,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"243bae0f-0a26-4827-bc83-0b81b3fbbac0","block_type":"box","text":"not limited to, with respect to small capitalization, emerging market or less liquid strategies. This may occur with","page_number":125,"box":{"x":69,"y":876,"width":803,"height":11}},{"id":"f445e789-7fdb-464e-b769-220100de268f","block_type":"box","text":"respect to BlackRock-advised accounts when investment decisions regarding a Fund are based on research or other","page_number":125,"box":{"x":69,"y":891,"width":827,"height":12}},{"id":"775ac3bf-f2fe-4f35-8ac5-06efabd4ba3f","block_type":"box","text":"information that is also used to support decisions for other accounts. When BlackRock implements a portfolio","page_number":125,"box":{"x":70,"y":906,"width":785,"height":11}},{"id":"43c141ed-5f46-41af-b63d-0dfdc81b8cd4","block_type":"box","text":"II-89","page_number":125,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"462f4c27-126c-4359-b4f4-4166a185294b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":125,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ff27671d-997b-4cb5-b772-b04640184638","block_type":"box","text":"decision or strategy on behalf of another account ahead of, or contemporaneously with, similar decisions or","page_number":126,"box":{"x":69,"y":45,"width":767,"height":11}},{"id":"732801f0-d5c0-4c7c-8e0c-58e6d948ba47","block_type":"box","text":"strategies for a Fund, market impact, liquidity constraints, or other factors could result in the Fund receiving less","page_number":126,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"8c668019-22bf-4f12-a9ac-9f8691ba0d89","block_type":"box","text":"favorable trading results and the costs of implementing such decisions or strategies could be increased or the Fund","page_number":126,"box":{"x":68,"y":75,"width":827,"height":11}},{"id":"48681d79-7610-450d-a08d-b5a8f742c91f","block_type":"box","text":"could otherwise be disadvantaged. BlackRock may, in certain cases, elect to implement internal policies and","page_number":126,"box":{"x":69,"y":90,"width":776,"height":11}},{"id":"28a98f45-4d5e-474c-af1b-44cb26e5f603","block_type":"box","text":"procedures designed to limit such consequences, which may cause a Fund to be unable to engage in certain","page_number":126,"box":{"x":70,"y":105,"width":774,"height":11}},{"id":"66e16dec-8d41-4743-b0db-9c848677c2f6","block_type":"box","text":"activities, including purchasing or disposing of securities, when it might otherwise be desirable for it to do so.","page_number":126,"box":{"x":69,"y":120,"width":781,"height":12}},{"id":"fe85c86f-5b8d-4e6b-94ac-fe65278fc419","block_type":"box","text":"Conflicts may also arise because portfolio decisions regarding a Fund may benefit other accounts managed by","page_number":126,"box":{"x":69,"y":135,"width":787,"height":12}},{"id":"e0bde82e-7dd2-4ba6-a6fe-f274bce54c40","block_type":"box","text":"BlackRock. For example, the sale of a long position or establishment of a short position by a Fund may impair the","page_number":126,"box":{"x":70,"y":150,"width":809,"height":12}},{"id":"4e85b268-d03f-4534-be48-5404651f3f7f","block_type":"box","text":"price of the same security sold short by (and therefore benefit) BlackRock or its other accounts or funds, and the","page_number":126,"box":{"x":70,"y":166,"width":805,"height":11}},{"id":"b09f817e-ba82-4506-9273-61e3dc6c12d7","block_type":"box","text":"purchase of a security or covering of a short position in a security by a Fund may increase the price of the same","page_number":126,"box":{"x":70,"y":181,"width":797,"height":11}},{"id":"3d15d218-0801-4a44-90db-7aa5edce1b8f","block_type":"box","text":"security held by (and therefore benefit) BlackRock or its other accounts or funds.","page_number":126,"box":{"x":69,"y":196,"width":573,"height":11}},{"id":"425e07c3-1206-4074-aa0e-a3f6fa8f3004","block_type":"box","text":"BlackRock, on behalf of other client accounts, on the one hand, and a Fund, on the other hand, may invest in or","page_number":126,"box":{"x":102,"y":218,"width":797,"height":12}},{"id":"3c18efea-6964-4e2d-acf5-c281bd04f14a","block_type":"box","text":"extend credit to different parts of the capital structure of a single issuer. BlackRock may pursue rights, provide","page_number":126,"box":{"x":69,"y":234,"width":791,"height":11}},{"id":"711938a0-4022-44cd-97e4-b858396145c9","block_type":"box","text":"advice or engage in other activities, or refrain from pursuing rights, providing advice or engaging in other activities, on","page_number":126,"box":{"x":69,"y":249,"width":835,"height":11}},{"id":"5cc4f882-9365-4bec-b7f7-97b511dca8a3","block_type":"box","text":"behalf of other clients with respect to an issuer in which a Fund has invested, and such actions (or refraining from","page_number":126,"box":{"x":69,"y":264,"width":812,"height":11}},{"id":"1019770f-5358-47b2-96a9-77c153d38dae","block_type":"box","text":"action) may have a material adverse effect on the Fund. In situations in which clients of BlackRock (including the","page_number":126,"box":{"x":69,"y":279,"width":803,"height":11}},{"id":"63d25dbd-f31d-4318-a3cc-213925cbd7ee","block_type":"box","text":"Funds) hold positions in multiple parts of the capital structure of an issuer, BlackRock may not pursue certain","page_number":126,"box":{"x":70,"y":294,"width":783,"height":11}},{"id":"c09c2c46-ca5d-4ff5-9b7b-7a92fce474fb","block_type":"box","text":"actions or remedies that may be available to a Fund, as a result of legal and regulatory requirements or otherwise.","page_number":126,"box":{"x":69,"y":309,"width":818,"height":11}},{"id":"2ac277cd-e062-4d0e-abcc-48317b98ca4d","block_type":"box","text":"BlackRock addresses these and other potential conflicts of interest based on the facts and circumstances of","page_number":126,"box":{"x":70,"y":324,"width":777,"height":11}},{"id":"15265cbe-ef8e-499f-a641-2567acb43df7","block_type":"box","text":"particular situations. For example, BlackRock may determine to rely on information barriers between different","page_number":126,"box":{"x":70,"y":339,"width":780,"height":12}},{"id":"654154a1-24fd-405b-bf91-42b73bf07b70","block_type":"box","text":"business units or portfolio management teams. BlackRock may also determine to rely on the actions of similarly","page_number":126,"box":{"x":69,"y":355,"width":802,"height":11}},{"id":"38404a06-115f-41b2-8eb5-0cc9bb7128cb","block_type":"box","text":"situated holders of loans or securities rather than, or in connection with, taking such actions itself on behalf of the","page_number":126,"box":{"x":69,"y":370,"width":817,"height":11}},{"id":"0d00d6a6-c334-4220-8e4e-f12e8bd0f396","block_type":"box","text":"Funds.","page_number":126,"box":{"x":70,"y":385,"width":44,"height":9}},{"id":"b2285f14-3d24-4677-a5f9-8f2747cf2318","block_type":"box","text":"In addition, to the extent permitted by applicable law, certain Funds may invest their assets in other funds","page_number":126,"box":{"x":102,"y":407,"width":755,"height":12}},{"id":"282dcd9a-3629-4ef1-8c48-e765b9f726b1","block_type":"box","text":"advised by BlackRock, including funds that are managed by one or more of the same portfolio managers, which could","page_number":126,"box":{"x":69,"y":423,"width":836,"height":11}},{"id":"b4422d97-3d94-44f5-b96b-0faf560f37e6","block_type":"box","text":"result in conflicts of interest relating to asset allocation, timing of Fund purchases and redemptions, and increased","page_number":126,"box":{"x":69,"y":438,"width":821,"height":11}},{"id":"6c454ac6-8232-44f1-826b-223b1d4a1269","block_type":"box","text":"remuneration and profitability for BlackRock and/or its personnel, including portfolio managers.","page_number":126,"box":{"x":69,"y":453,"width":679,"height":11}},{"id":"b88b147a-5960-46fd-bec9-20f43c932b0d","block_type":"box","text":"Third parties, including service providers to BlackRock or the Fund, may sponsor events (including, but not","page_number":126,"box":{"x":101,"y":476,"width":760,"height":11}},{"id":"e6ac8354-ec62-4850-837e-4b660749238c","block_type":"box","text":"limited to, marketing and promotional activities and presentations, educational training programs and conferences)","page_number":126,"box":{"x":70,"y":491,"width":818,"height":11}},{"id":"2a0b5bb1-f108-478c-ad2c-1fc658d00f4b","block_type":"box","text":"for registered representatives, other professionals and individual investors. There is a potential conflict of interest as","page_number":126,"box":{"x":68,"y":506,"width":836,"height":11}},{"id":"eb961cfc-654e-45b1-9b03-5f59bb67cc43","block_type":"box","text":"such sponsorships may defray the costs of such activities to BlackRock, and may provide an incentive to BlackRock","page_number":126,"box":{"x":69,"y":521,"width":825,"height":11}},{"id":"88b23f7d-a28e-41bf-ab66-74753095fd51","block_type":"box","text":"to retain such third parties to provide services to the Fund.","page_number":126,"box":{"x":68,"y":536,"width":421,"height":11}},{"id":"62b4a27d-a534-4be3-81d1-91a906a9c2ae","block_type":"box","text":"In certain circumstances, BlackRock, on behalf of the Funds, may seek to buy from or sell securities to another","page_number":126,"box":{"x":102,"y":559,"width":794,"height":11}},{"id":"3ea29149-9f06-4fec-82e0-50270c9d8ab9","block_type":"box","text":"fund or account advised by BlackRock. BlackRock may (but is not required to) effect purchases and sales between","page_number":126,"box":{"x":68,"y":574,"width":817,"height":11}},{"id":"ec0c6871-ff52-42cd-a79f-09e8f30228d6","block_type":"box","text":"BlackRock clients (“cross trades”), including the Funds, if BlackRock believes such transactions are appropriate","page_number":126,"box":{"x":70,"y":589,"width":797,"height":11}},{"id":"0f689115-4be4-4f42-ada4-111732f2c4b0","block_type":"box","text":"based on each party’s investment objectives and guidelines, subject to applicable law and regulation. There may be","page_number":126,"box":{"x":69,"y":604,"width":826,"height":11}},{"id":"622ca601-7ab2-4686-bf00-77c875cc6322","block_type":"box","text":"potential conflicts of interest or regulatory issues relating to these transactions which could limit BlackRock’s","page_number":126,"box":{"x":70,"y":619,"width":780,"height":11}},{"id":"84b35442-bf3b-4f04-aacd-3f9a291c6e1a","block_type":"box","text":"decision to engage in these transactions for the Funds. BlackRock may have a potentially conflicting division of","page_number":126,"box":{"x":69,"y":634,"width":791,"height":12}},{"id":"7bccb23e-fc40-4afb-9635-f4fb0d12ef33","block_type":"box","text":"loyalties and responsibilities to the parties in such transactions.","page_number":126,"box":{"x":70,"y":650,"width":457,"height":11}},{"id":"d7848f7c-bdda-47fa-967d-88bd93a4b23f","block_type":"box","text":"BlackRock and its clients may pursue or enforce rights with respect to an issuer in which a Fund has invested,","page_number":126,"box":{"x":102,"y":672,"width":784,"height":11}},{"id":"d0fed264-41d6-4d69-9232-5d4da5737e32","block_type":"box","text":"and those activities may have an adverse effect on the Fund. As a result, prices, availability, liquidity and terms of the","page_number":126,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"c59e99ce-e8a4-4286-a865-b8ff0581de1f","block_type":"box","text":"Fund’s investments may be negatively impacted by the activities of BlackRock or its clients, and transactions for the","page_number":126,"box":{"x":70,"y":702,"width":827,"height":12}},{"id":"f2ee634a-b20e-446c-a36d-f8c8c6ca0f1d","block_type":"box","text":"Fund may be impaired or effected at prices or terms that may be less favorable than would otherwise have been the","page_number":126,"box":{"x":70,"y":717,"width":828,"height":12}},{"id":"7305f448-023c-4e68-9490-3c937072c529","block_type":"box","text":"case.","page_number":126,"box":{"x":69,"y":735,"width":37,"height":7}},{"id":"0861fdd1-dda8-431a-b2fc-a879d8b5d310","block_type":"box","text":"The results of a Fund’s investment activities may differ significantly from the results achieved by BlackRock for","page_number":126,"box":{"x":101,"y":755,"width":791,"height":11}},{"id":"c441b779-362d-41b0-af44-dcabb6e09673","block_type":"box","text":"its proprietary accounts or other accounts (including investment companies or collective investment vehicles) that it","page_number":126,"box":{"x":70,"y":771,"width":824,"height":11}},{"id":"b8829255-71ff-4f30-8d9b-24fd832c7fda","block_type":"box","text":"manages or advises. It is possible that one or more accounts managed or advised by BlackRock and such other","page_number":126,"box":{"x":69,"y":786,"width":798,"height":11}},{"id":"1f7777b6-c94b-43ae-aae5-a70955174758","block_type":"box","text":"accounts will achieve investment results that are substantially more or less favorable than the results achieved by a","page_number":126,"box":{"x":69,"y":801,"width":828,"height":11}},{"id":"f71a227b-f2bb-4e14-899b-8f3c71ef17b3","block_type":"box","text":"Fund. Moreover, it is possible that a Fund will sustain losses during periods in which one or more proprietary or other","page_number":126,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"3e0b9f6d-6326-415e-884d-00652688c9be","block_type":"box","text":"accounts managed or advised by BlackRock achieve significant profits. The opposite result is also possible.","page_number":126,"box":{"x":69,"y":831,"width":767,"height":11}},{"id":"e99eae85-5824-406a-8f6f-ef39f5ae4b85","block_type":"box","text":"From time to time, a Fund may be restricted from purchasing or selling securities, or from engaging in other","page_number":126,"box":{"x":102,"y":853,"width":766,"height":12}},{"id":"6355021a-98d7-4242-8fa9-8abb0d6fe59f","block_type":"box","text":"investment activities because of regulatory, legal or contractual requirements applicable to BlackRock or other","page_number":126,"box":{"x":70,"y":869,"width":786,"height":11}},{"id":"a0d9b3d7-853a-44fd-9dd5-d84ff14b2ee8","block_type":"box","text":"accounts managed or advised by BlackRock, and/or the internal policies of BlackRock designed to comply with such","page_number":126,"box":{"x":69,"y":884,"width":828,"height":11}},{"id":"ffd7d08f-7953-499a-baf8-1559da6447ad","block_type":"box","text":"requirements. As a result, there may be periods, for example, when BlackRock will not initiate or recommend certain","page_number":126,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"e07f0d72-9dc6-4684-93b3-a46ab528205d","block_type":"box","text":"II-90","page_number":126,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef2799dd-3e46-402b-8168-566a8df2c92d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":126,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"31a1e964-1d6b-437c-a89d-80dd56402314","block_type":"box","text":"types of transactions in certain securities or instruments with respect to which BlackRock is performing services or","page_number":127,"box":{"x":68,"y":45,"width":825,"height":11}},{"id":"203f862a-6a70-4484-b11d-a7cf562548e8","block_type":"box","text":"when position limits have been reached. For example, the investment activities of BlackRock for its proprietary","page_number":127,"box":{"x":68,"y":60,"width":790,"height":11}},{"id":"d61d19c4-0e1a-4e3b-afbf-448c9a37e77a","block_type":"box","text":"accounts and accounts under its management may limit the investment opportunities for a Fund in certain emerging","page_number":127,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"b63722a6-559a-4779-b490-b3820574c8fc","block_type":"box","text":"and other markets in which limitations are imposed upon the amount of investment, in the aggregate or in individual","page_number":127,"box":{"x":69,"y":90,"width":827,"height":11}},{"id":"196f479d-6356-469c-b01c-977f8270abb8","block_type":"box","text":"issuers, by affiliated foreign investors.","page_number":127,"box":{"x":70,"y":105,"width":271,"height":11}},{"id":"6d5314dd-7751-4bae-bdc6-5c429ae7428b","block_type":"box","text":"In connection with its management of a Fund, BlackRock may have access to certain fundamental analysis and","page_number":127,"box":{"x":102,"y":128,"width":792,"height":11}},{"id":"b5167943-6054-46b3-be41-c16cb759eaf1","block_type":"box","text":"proprietary technical models developed by BlackRock. BlackRock will not be under any obligation, however, to effect","page_number":127,"box":{"x":70,"y":143,"width":826,"height":11}},{"id":"1a3f3695-3b13-4c02-9c13-c1cbe5f7a464","block_type":"box","text":"transactions on behalf of a Fund in accordance with such analysis and models. In addition, BlackRock will not have","page_number":127,"box":{"x":68,"y":158,"width":821,"height":11}},{"id":"10c729d0-a6f4-429b-b819-b44f1aea3e4a","block_type":"box","text":"any obligation to make available any information regarding its proprietary activities or strategies, or the activities or","page_number":127,"box":{"x":69,"y":173,"width":821,"height":11}},{"id":"880087f5-a846-4a36-b325-9f16f34e7b8f","block_type":"box","text":"strategies used for other accounts managed by them, for the benefit of the management of a Fund and it is not","page_number":127,"box":{"x":69,"y":188,"width":793,"height":12}},{"id":"f4a8e5d7-9f2e-4fc3-8525-7de15a697533","block_type":"box","text":"anticipated that BlackRock will have access to such information for the purpose of managing the Fund. The","page_number":127,"box":{"x":69,"y":203,"width":762,"height":12}},{"id":"6700216d-cd0d-4bae-85c4-ad7a35b16148","block_type":"box","text":"proprietary activities or portfolio strategies of BlackRock, or the activities or strategies used for accounts managed by","page_number":127,"box":{"x":70,"y":218,"width":839,"height":12}},{"id":"787a5fa8-f254-4d57-91a6-1c7dd9e9f65f","block_type":"box","text":"BlackRock or other client accounts could conflict with the transactions and strategies employed by BlackRock in","page_number":127,"box":{"x":70,"y":234,"width":795,"height":11}},{"id":"338e5000-211d-4309-9695-f4f4e5b3c82e","block_type":"box","text":"managing a Fund.","page_number":127,"box":{"x":69,"y":249,"width":124,"height":11}},{"id":"4d34007a-b595-483f-82cc-3c17b35c1e86","block_type":"box","text":"The Funds may be included in investment models developed by BlackRock for use by clients and financial","page_number":127,"box":{"x":101,"y":271,"width":751,"height":12}},{"id":"21317b41-e358-489a-b7b2-789e7fa2b19c","block_type":"box","text":"advisors. To the extent clients invest in these investment models and increase the assets under management of the","page_number":127,"box":{"x":69,"y":286,"width":830,"height":12}},{"id":"446e4a39-31f8-4691-95c0-0b09706b63b8","block_type":"box","text":"Funds, the investment management fee amounts paid by the Funds to BlackRock may also increase. The net asset","page_number":127,"box":{"x":70,"y":302,"width":820,"height":11}},{"id":"0a4c90ad-c765-4ccd-82f1-289911b6d837","block_type":"box","text":"value and liquidity of a Fund may be impacted by purchases and sales of the Fund by model-driven investment","page_number":127,"box":{"x":68,"y":317,"width":785,"height":11}},{"id":"8b6cb6b5-606f-4835-97a8-9ba1ff96f27e","block_type":"box","text":"portfolios, as well as by BlackRock itself and by its advisory clients.","page_number":127,"box":{"x":70,"y":332,"width":481,"height":11}},{"id":"1f607b44-0b9c-45d9-b624-baeb966760a4","block_type":"box","text":"In addition, certain principals and certain employees of a Fund’s investment adviser are also principals or","page_number":127,"box":{"x":102,"y":355,"width":754,"height":11}},{"id":"b453ac56-880c-41b2-8d8e-ab890978800c","block_type":"box","text":"employees of other business units or entities within BlackRock. As a result, these principals and employees may","page_number":127,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"cf922fec-52bc-43c1-b159-c400a8a7e448","block_type":"box","text":"have obligations to such other business units or entities or their clients and such obligations to other business units","page_number":127,"box":{"x":69,"y":385,"width":831,"height":11}},{"id":"87e1525c-2a4c-44b9-9373-bed4618a420a","block_type":"box","text":"or entities or their clients may be a consideration of which investors in a Fund should be aware.","page_number":127,"box":{"x":69,"y":400,"width":680,"height":11}},{"id":"94caef65-164c-41e8-b8af-4941f12cd5bf","block_type":"box","text":"BlackRock may enter into transactions and invest in securities, instruments and currencies on behalf of a Fund","page_number":127,"box":{"x":102,"y":423,"width":791,"height":11}},{"id":"bfedce11-e03e-4707-bc21-5396841a37e0","block_type":"box","text":"in which clients of BlackRock, or, to the extent permitted by the Commission and applicable law, BlackRock, serves","page_number":127,"box":{"x":70,"y":438,"width":820,"height":11}},{"id":"49d11ea4-f6a8-4db2-8448-73bda90cc06c","block_type":"box","text":"as the counterparty, principal or issuer. In such cases, such party’s interests in the transaction will be adverse to the","page_number":127,"box":{"x":69,"y":453,"width":837,"height":11}},{"id":"caa16b99-4b8f-49d8-a096-339913b0c90a","block_type":"box","text":"interests of the Fund, and such party may have no incentive to assure that the Fund obtains the best possible prices","page_number":127,"box":{"x":70,"y":468,"width":832,"height":11}},{"id":"92545eac-9282-4733-94eb-bf97b34b4567","block_type":"box","text":"or terms in connection with the transactions. In addition, the purchase, holding and sale of such investments by a","page_number":127,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"46c0a1a1-012f-4515-9f82-0e17275199a9","block_type":"box","text":"Fund may enhance the profitability of BlackRock.","page_number":127,"box":{"x":70,"y":498,"width":344,"height":11}},{"id":"3f589ace-0e98-49bc-8b07-679a12ae2dff","block_type":"box","text":"BlackRock may also create, write or issue derivatives for clients, the underlying securities, currencies or","page_number":127,"box":{"x":102,"y":521,"width":741,"height":11}},{"id":"a4b5bf91-ca10-4689-ae35-a9c63b3b3d3d","block_type":"box","text":"instruments of which may be those in which a Fund invests or which may be based on the performance of the Fund.","page_number":127,"box":{"x":70,"y":536,"width":824,"height":11}},{"id":"37fdd3f7-5e37-4294-9e87-e1bf2aaa1fb4","block_type":"box","text":"Additionally, an affiliate of BlackRock will create, write or issue options, which may be based on the performance of","page_number":127,"box":{"x":68,"y":551,"width":825,"height":11}},{"id":"2731b85b-e8f0-42b9-8bff-96e84052f1c8","block_type":"box","text":"certain Funds. BlackRock has entered into an arrangement with Markit Indices Limited, the index provider for","page_number":127,"box":{"x":69,"y":566,"width":777,"height":11}},{"id":"7edb512b-8652-4af9-bc53-335bcf7e8efc","block_type":"box","text":"underlying fixed-income indexes used by certain iShares ETFs, related to derivative fixed-income products that are","page_number":127,"box":{"x":69,"y":581,"width":810,"height":12}},{"id":"baca97bb-0f25-4817-b686-873993e3c4a5","block_type":"box","text":"based on such iShares ETFs. Trading activity in these derivative products could also potentially lead to greater","page_number":127,"box":{"x":69,"y":597,"width":784,"height":11}},{"id":"e560bbdc-a209-4369-8e10-3a1c867abc11","block_type":"box","text":"liquidity for such products, increased purchase activity with respect to these iShares ETFs and increased assets","page_number":127,"box":{"x":70,"y":612,"width":798,"height":11}},{"id":"2124c391-f293-4553-b2ee-9ebe449995ad","block_type":"box","text":"under management for BlackRock.","page_number":127,"box":{"x":69,"y":627,"width":243,"height":11}},{"id":"e47b04d9-4591-47f3-b2e7-624bd815c77e","block_type":"box","text":"A Fund may, subject to applicable law, purchase investments that are the subject of an underwriting or other","page_number":127,"box":{"x":101,"y":649,"width":773,"height":12}},{"id":"d5c0bcb0-d58e-409e-bf0c-9546e21a4939","block_type":"box","text":"distribution by BlackRock and may also enter into transactions with other clients of BlackRock where such other","page_number":127,"box":{"x":69,"y":664,"width":797,"height":12}},{"id":"c4a8cd3b-578e-4264-b71c-088ce6633a1a","block_type":"box","text":"clients have interests adverse to those of the Fund. At times, these activities may cause business units or entities","page_number":127,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"eadd6b7f-4c72-4a78-ac29-9866197be85c","block_type":"box","text":"within BlackRock to give advice to clients that may cause these clients to take actions adverse to the interests of the","page_number":127,"box":{"x":68,"y":695,"width":837,"height":11}},{"id":"544067ab-bebe-44f0-b1c0-2e0d0fb552e4","block_type":"box","text":"Fund. To the extent such transactions are permitted, a Fund will deal with BlackRock on an arms-length basis.","page_number":127,"box":{"x":70,"y":710,"width":781,"height":11}},{"id":"2e34b38a-153f-44e8-8540-0cc648160c06","block_type":"box","text":"To the extent authorized by applicable law, BlackRock may act as broker, dealer, agent, lender or adviser or in","page_number":127,"box":{"x":101,"y":733,"width":779,"height":11}},{"id":"af68a77f-26d5-4cf0-b8ea-8ac1548e0143","block_type":"box","text":"other commercial capacities for a Fund. It is anticipated that the commissions, mark-ups, mark-downs, financial","page_number":127,"box":{"x":69,"y":748,"width":795,"height":11}},{"id":"72ce26fe-6cf6-4c4d-9e21-151588689ab5","block_type":"box","text":"advisory fees, underwriting and placement fees, sales fees, financing and commitment fees, brokerage fees, other","page_number":127,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"544a9a1a-6b48-493e-b5e4-4f8fd9e4e962","block_type":"box","text":"fees, compensation or profits, rates, terms and conditions charged by BlackRock will be in its view commercially","page_number":127,"box":{"x":68,"y":778,"width":802,"height":11}},{"id":"0f3525fa-1758-4f26-a8f1-a60e9fbf1fc3","block_type":"box","text":"reasonable, although BlackRock, including its sales personnel, will have an interest in obtaining fees and other","page_number":127,"box":{"x":69,"y":793,"width":792,"height":11}},{"id":"3b8e483e-9817-4951-82ec-52df7367c6d3","block_type":"box","text":"amounts that are favorable to BlackRock and such sales personnel, which may have an adverse effect on the Funds.","page_number":127,"box":{"x":69,"y":808,"width":832,"height":11}},{"id":"698b622c-a726-4b5b-951b-6e21e04e402e","block_type":"box","text":"Index based funds may use an index provider that is affiliated with another service provider of the Fund or BlackRock","page_number":127,"box":{"x":70,"y":823,"width":833,"height":11}},{"id":"5edbf56f-b50e-4daf-a463-570996470131","block_type":"box","text":"that acts as a broker, dealer, agent, lender or in other commercial capacities for a Fund or BlackRock.","page_number":127,"box":{"x":68,"y":838,"width":726,"height":12}},{"id":"9ee61d22-366d-47a6-801a-116e6844f2e9","block_type":"box","text":"Subject to applicable law, BlackRock (and its personnel and other distributors) will be entitled to retain fees and","page_number":127,"box":{"x":102,"y":861,"width":796,"height":11}},{"id":"e6aa578d-05f5-457a-b91d-5921be05b798","block_type":"box","text":"other amounts that they receive in connection with their service to the Funds as broker, dealer, agent, lender, adviser","page_number":127,"box":{"x":69,"y":876,"width":837,"height":11}},{"id":"420d3491-8c69-488f-a56d-f1b0e8283952","block_type":"box","text":"or in other commercial capacities. No accounting to the Funds or their shareholders will be required, and no fees or","page_number":127,"box":{"x":69,"y":891,"width":823,"height":12}},{"id":"d7ed1033-07d4-420b-a0cd-3275bb8c0c8e","block_type":"box","text":"II-91","page_number":127,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"e13d9726-a7fc-4797-923b-0bf95da35a44","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":127,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f8eb01f3-c909-4ec8-ad83-6ba20bd699f4","block_type":"box","text":"other compensation payable by the Funds or their shareholders will be reduced by reason of receipt by BlackRock of","page_number":128,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"25d64adb-99f1-4d41-b477-6bc41f9c2cb0","block_type":"box","text":"any such fees or other amounts.","page_number":128,"box":{"x":69,"y":60,"width":230,"height":11}},{"id":"a6ad8d1a-cbb8-4cdc-81f3-710f9ac0f68b","block_type":"box","text":"When BlackRock acts as broker, dealer, agent, adviser or in other commercial capacities in relation to the Funds,","page_number":128,"box":{"x":101,"y":83,"width":805,"height":11}},{"id":"6459dfad-c857-4a20-9c87-a53d43af992d","block_type":"box","text":"BlackRock may take commercial steps in its own interests, which may have an adverse effect on the Funds.","page_number":128,"box":{"x":70,"y":98,"width":768,"height":11}},{"id":"e7cddc9b-2210-4677-905f-ff20e7493927","block_type":"box","text":"A Fund will be required to establish business relationships with its counterparties based on the Fund’s own","page_number":128,"box":{"x":101,"y":120,"width":766,"height":11}},{"id":"604c4a5e-bc59-4de5-a264-7197874ed4d2","block_type":"box","text":"credit standing. BlackRock will not have any obligation to allow its credit to be used in connection with a Fund’s","page_number":128,"box":{"x":69,"y":136,"width":793,"height":11}},{"id":"29315b51-0dd8-491e-8930-fdc7b2b21a2d","block_type":"box","text":"establishment of its business relationships, nor is it expected that the Fund’s counterparties will rely on the credit of","page_number":128,"box":{"x":69,"y":150,"width":835,"height":12}},{"id":"93189bef-9515-4987-9a26-5c84c81b81b1","block_type":"box","text":"BlackRock in evaluating the Fund’s creditworthiness.","page_number":128,"box":{"x":70,"y":166,"width":374,"height":11}},{"id":"30ad3840-c8fb-49e2-9b9d-3fc6ee75714a","block_type":"box","text":"BlackRock Investment Management, LLC (“BIM”) or BlackRock Institutional Trust Company, N.A. (“BTC”), as","page_number":128,"box":{"x":102,"y":188,"width":768,"height":12}},{"id":"c85534b6-27df-4a79-98a4-1e0e7b8c3c6b","block_type":"box","text":"applicable, each an affiliate of BlackRock, pursuant to SEC exemptive relief, acts as securities lending agent to, and","page_number":128,"box":{"x":69,"y":203,"width":829,"height":12}},{"id":"4b1938ea-7cac-4540-a065-c8ab0fd6a164","block_type":"box","text":"receives a share of securities lending revenues from, the Funds. BlackRock will also receive compensation for","page_number":128,"box":{"x":69,"y":218,"width":785,"height":12}},{"id":"fb1b89f1-d10e-4882-ab3f-51ce09c14f7a","block_type":"box","text":"managing the reinvestment of the cash collateral from securities lending. There are potential conflicts of interests in","page_number":128,"box":{"x":69,"y":234,"width":829,"height":11}},{"id":"0b4b950c-df65-4a1c-995d-8a2917f14cd7","block_type":"box","text":"managing a securities lending program, including but not limited to: (i) BlackRock as securities lending agent may","page_number":128,"box":{"x":69,"y":249,"width":809,"height":11}},{"id":"380907a9-c917-4c02-a446-e48111af799b","block_type":"box","text":"have an incentive to, among other things, increase or decrease the amount of securities on loan or to lend particular","page_number":128,"box":{"x":69,"y":264,"width":833,"height":11}},{"id":"3d31b857-ccc4-4312-a2f6-ddd2c29884c6","block_type":"box","text":"securities in order to generate additional risk-adjusted revenue for BlackRock and its affiliates; and (ii) BlackRock as","page_number":128,"box":{"x":69,"y":279,"width":829,"height":11}},{"id":"46216373-045d-48eb-a21f-5452daa2c7ca","block_type":"box","text":"securities lending agent may have an incentive to allocate loans to clients that would provide more revenue to","page_number":128,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"d65823cb-3e7a-41c9-8bdf-377ee6496da0","block_type":"box","text":"BlackRock. As described further below, BlackRock seeks to mitigate this conflict by providing its securities lending","page_number":128,"box":{"x":70,"y":309,"width":814,"height":11}},{"id":"ea2d05ae-fd3d-480a-869c-02e86561f3d3","block_type":"box","text":"clients with equal lending opportunities over time in order to approximate pro rata allocation.","page_number":128,"box":{"x":69,"y":325,"width":660,"height":11}},{"id":"c31010cd-c0e9-44b9-9de6-2ae5e5a290ed","block_type":"box","text":"As part of its securities lending program, BlackRock indemnifies the Funds and certain other clients and/or","page_number":128,"box":{"x":101,"y":347,"width":767,"height":11}},{"id":"882fd831-30dd-43be-8b34-5a7c4bc61d34","block_type":"box","text":"funds against a shortfall in collateral in the event of borrower default. On a regular basis, BlackRock calculates the","page_number":128,"box":{"x":68,"y":362,"width":820,"height":11}},{"id":"ecd9bda1-4445-49eb-8a43-68655ad63f4f","block_type":"box","text":"potential dollar exposure of collateral shortfall resulting from a borrower default (“shortfall risk”) in the securities","page_number":128,"box":{"x":70,"y":377,"width":806,"height":12}},{"id":"fcdae293-b864-49fd-a785-8414d14875d0","block_type":"box","text":"lending program. BlackRock establishes program-wide borrower limits (“credit limits”) to actively manage borrower","page_number":128,"box":{"x":70,"y":393,"width":816,"height":11}},{"id":"81ec43bb-f64b-460d-b851-257f4ce3aa03","block_type":"box","text":"specific credit exposure. BlackRock oversees the risk model that calculates projected collateral shortfall values using","page_number":128,"box":{"x":69,"y":407,"width":838,"height":12}},{"id":"e4a03c31-03e7-41c0-b820-495a03efbb5c","block_type":"box","text":"loan-level factors such as loan and collateral type and market value as well as specific borrower credit","page_number":128,"box":{"x":70,"y":423,"width":727,"height":11}},{"id":"6bc520bc-6cc2-4117-a110-91d4cbf746f7","block_type":"box","text":"characteristics. When necessary, BlackRock may adjust securities lending program attributes by restricting eligible","page_number":128,"box":{"x":69,"y":438,"width":815,"height":11}},{"id":"f07ecd2b-75ca-4694-a0f9-b94b3d2ad32d","block_type":"box","text":"collateral or reducing borrower credit limits. As a result, the management of program-wide exposure as well as","page_number":128,"box":{"x":69,"y":453,"width":786,"height":11}},{"id":"9eb0a96e-7cf0-4f0f-88b1-702872cc73a1","block_type":"box","text":"BlackRock-specific indemnification exposure may affect the amount of securities lending activity BlackRock may","page_number":128,"box":{"x":70,"y":468,"width":796,"height":11}},{"id":"15cc46c3-9e57-4c71-aa2a-a93b37491605","block_type":"box","text":"conduct at any given point in time by reducing the volume of lending opportunities for certain loans (including by","page_number":128,"box":{"x":69,"y":483,"width":799,"height":11}},{"id":"8c6e7b2b-3109-40e4-b479-be3ffeac79b1","block_type":"box","text":"asset type, collateral type and/or revenue profile).","page_number":128,"box":{"x":69,"y":498,"width":356,"height":11}},{"id":"81cd215a-b40e-4732-97af-dbf1bd851e8b","block_type":"box","text":"BlackRock may decline to make a securities loan on behalf of a Fund, discontinue lending on behalf of a Fund or","page_number":128,"box":{"x":102,"y":521,"width":801,"height":11}},{"id":"57ff5c0e-7dfa-4c38-bffb-ddee4b251087","block_type":"box","text":"terminate a securities loan on behalf of a Fund for any reason, including but not limited to regulatory requirements","page_number":128,"box":{"x":68,"y":536,"width":817,"height":11}},{"id":"c75253f8-bfa6-416c-8166-867d2694bab0","block_type":"box","text":"and/or market rules, liquidity considerations, or credit considerations, which may impact Funds by reducing or","page_number":128,"box":{"x":69,"y":551,"width":784,"height":11}},{"id":"ec15f5f0-9405-4519-8c64-c31fac4e5b58","block_type":"box","text":"eliminating the volume of lending opportunities for certain types of loans, loans in particular markets, loans of","page_number":128,"box":{"x":69,"y":566,"width":789,"height":11}},{"id":"31120614-b76c-4250-bed0-609a47656386","block_type":"box","text":"particular securities or types of securities, or for loans overall. In addition, some borrowers may prefer certain","page_number":128,"box":{"x":70,"y":581,"width":783,"height":11}},{"id":"647027b8-713e-4ae6-9340-69d704481e7d","block_type":"box","text":"BlackRock lenders that provide additional protections against lender default that are favored by their prudential","page_number":128,"box":{"x":70,"y":596,"width":790,"height":12}},{"id":"a540fb72-71be-4afe-abe7-fda83b9510d6","block_type":"box","text":"regulation.","page_number":128,"box":{"x":69,"y":612,"width":73,"height":11}},{"id":"064c2032-16e0-42e0-a9a2-9e828a3e5ec7","block_type":"box","text":"BlackRock uses a predetermined systematic process in order to approximate pro rata allocation over time. In","page_number":128,"box":{"x":102,"y":634,"width":777,"height":11}},{"id":"32984ec2-d329-4afd-89e0-a033c5207b20","block_type":"box","text":"order to allocate a loan to a portfolio: (i) BlackRock as a whole must have sufficient lending capacity pursuant to the","page_number":128,"box":{"x":69,"y":649,"width":830,"height":12}},{"id":"8a9d0aee-269d-48dc-b983-dc099faaac75","block_type":"box","text":"various program limits (","page_number":128,"box":{"x":68,"y":665,"width":168,"height":11}},{"id":"0677175d-7b35-45da-9369-66d9f8912d7d","block_type":"box","text":"i.e.","page_number":128,"box":{"x":238,"y":665,"width":20,"height":8}},{"id":"24eacf0d-a0fe-46ef-b0a3-402caa98bf61","block_type":"box","text":"indemnification exposure limit and borrower credit limits); (ii) the lending portfolio must","page_number":128,"box":{"x":265,"y":664,"width":621,"height":12}},{"id":"50ff474b-6fda-46f4-8cbf-4c401c3b721e","block_type":"box","text":"hold the asset at the time a loan opportunity arrives; and (iii) the lending portfolio must also have enough inventory,","page_number":128,"box":{"x":69,"y":680,"width":827,"height":11}},{"id":"e68bb3c3-3feb-489d-8dd8-7de325bf46a5","block_type":"box","text":"either on its own or when aggregated with other portfolios into one single market delivery, to satisfy the loan request.","page_number":128,"box":{"x":69,"y":695,"width":836,"height":11}},{"id":"65a229ca-58ee-4378-8aee-ef4cae10239b","block_type":"box","text":"In doing so, BlackRock seeks to provide equal lending opportunities for all portfolios, independent of whether","page_number":128,"box":{"x":70,"y":710,"width":780,"height":11}},{"id":"d867ad16-c9cc-4bd3-8ef4-9fd7230cfa25","block_type":"box","text":"BlackRock indemnifies the portfolio. Equal opportunities for lending portfolios does not guarantee equal outcomes.","page_number":128,"box":{"x":70,"y":725,"width":820,"height":11}},{"id":"44cd07a4-3767-4e11-8e9b-04e255935e9f","block_type":"box","text":"Specifically, short and long-term outcomes for individual clients may vary due to asset mix, asset/liability spreads on","page_number":128,"box":{"x":69,"y":740,"width":834,"height":11}},{"id":"cb3d2e7d-f6b0-41f6-b294-56b217c33f66","block_type":"box","text":"different securities, and the overall limits imposed by the firm.","page_number":128,"box":{"x":69,"y":755,"width":444,"height":11}},{"id":"7e20507e-4b40-4a4a-be4c-c89b4bf16183","block_type":"box","text":"Purchases and sales of securities and other assets for a Fund may be aggregated with orders for other","page_number":128,"box":{"x":102,"y":778,"width":734,"height":11}},{"id":"b27149d2-18a4-4b54-9f80-18a5a3a428d2","block_type":"box","text":"BlackRock client accounts, including with accounts that pay different transaction costs solely due to the fact that they","page_number":128,"box":{"x":70,"y":793,"width":840,"height":11}},{"id":"f907df16-3d52-4399-9dc3-dfe4702c51c4","block_type":"box","text":"have different research payment arrangements. BlackRock, however, is not required to aggregate orders if portfolio","page_number":128,"box":{"x":69,"y":808,"width":822,"height":11}},{"id":"d1f863fc-4521-4a6e-822c-546688d6b601","block_type":"box","text":"management decisions for different accounts are made separately, or if they determine that aggregating is not","page_number":128,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"447c12fb-9fc7-4349-a490-bd51f8f1d959","block_type":"box","text":"practicable or required, or in cases involving client direction.","page_number":128,"box":{"x":70,"y":839,"width":426,"height":11}},{"id":"58ce4437-a003-477d-b38d-6134ef28ee59","block_type":"box","text":"Prevailing trading activity frequently may make impossible the receipt of the same price or execution on the","page_number":128,"box":{"x":102,"y":861,"width":763,"height":11}},{"id":"b8f6bac7-5952-4235-b1cc-06617671d63a","block_type":"box","text":"entire volume of securities purchased or sold. When this occurs, the various prices may be averaged, and the Funds","page_number":128,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"62735bc3-9908-42b6-9a7f-7d5d5c22bd3d","block_type":"box","text":"will be charged or credited with the average price. Thus, the effect of the aggregation may operate on some","page_number":128,"box":{"x":68,"y":891,"width":767,"height":12}},{"id":"5c745221-9535-4562-85ba-c9bcdf4f4f7c","block_type":"box","text":"II-92","page_number":128,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"ef0ff478-614a-4074-8005-fcca6ef4e336","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":128,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"033a924e-0f2c-4fa7-b357-f96ae5a1a10a","block_type":"box","text":"occasions to the disadvantage of the Funds. In addition, under certain circumstances, the Funds will not be charged","page_number":129,"box":{"x":69,"y":45,"width":828,"height":11}},{"id":"79030bdd-2b79-4e8f-868d-6652d87c98a8","block_type":"box","text":"the same commission or commission equivalent rates in connection with an aggregated order.","page_number":129,"box":{"x":68,"y":60,"width":672,"height":11}},{"id":"8ea12d5b-2a91-461f-9305-c1ce6c4155ef","block_type":"box","text":"As discussed in the section below entitled “Portfolio Transactions and Brokerage—Transactions in Portfolio","page_number":129,"box":{"x":101,"y":82,"width":767,"height":12}},{"id":"f205abf1-67c6-4faf-8561-d6beda34cf0b","block_type":"box","text":"Securities,” BlackRock, unless prohibited by applicable law, may cause a Fund or account to pay a broker or dealer a","page_number":129,"box":{"x":69,"y":98,"width":832,"height":11}},{"id":"31d594cd-43c8-4cc0-9bfc-42013378ccdf","block_type":"box","text":"commission for effecting a transaction that exceeds the amount another broker or dealer would have charged for","page_number":129,"box":{"x":69,"y":113,"width":805,"height":11}},{"id":"7cc44a99-7985-4a04-a6c9-1aa5900d7720","block_type":"box","text":"effecting the same transaction in recognition of the value of brokerage and research services provided by that broker","page_number":129,"box":{"x":69,"y":128,"width":836,"height":11}},{"id":"f86bc448-1025-4fb0-809d-2d1d45111807","block_type":"box","text":"or dealer. Under MiFID II, EU investment managers, including BlackRock International Limited (“BIL”) which acts as a","page_number":129,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"270923d1-b138-455d-bb8e-35dba204f28c","block_type":"box","text":"sub-adviser to certain Funds, pay for research from brokers and dealers directly out of their own resources, rather","page_number":129,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"612aa0ef-f083-4488-937e-bd4d6089796d","block_type":"box","text":"than through client commissions.","page_number":129,"box":{"x":68,"y":173,"width":237,"height":11}},{"id":"ac146cc3-c7d8-4e44-a99b-917c717cad85","block_type":"box","text":"Subject to applicable law, BlackRock may select brokers that furnish BlackRock, the Funds, other BlackRock","page_number":129,"box":{"x":102,"y":196,"width":770,"height":11}},{"id":"5c33042d-52c2-4689-b51b-5000c573939e","block_type":"box","text":"client accounts or personnel, directly or through correspondent relationships, with research or other appropriate","page_number":129,"box":{"x":69,"y":211,"width":797,"height":11}},{"id":"21dfda39-af49-4666-833b-636443ad6499","block_type":"box","text":"services which provide, in BlackRock’s view, appropriate assistance to BlackRock in the investment decision making","page_number":129,"box":{"x":69,"y":226,"width":830,"height":11}},{"id":"432b07bb-76f7-46f4-9602-2b7f0b0310bf","block_type":"box","text":"process (including with respect to futures, fixed-price offerings and OTC transactions). Such research or other","page_number":129,"box":{"x":70,"y":241,"width":780,"height":11}},{"id":"c01c67a2-dc86-4cc7-a014-b971b43cd59c","block_type":"box","text":"services may include, to the extent permitted by law, research reports on companies, industries and securities;","page_number":129,"box":{"x":69,"y":257,"width":795,"height":10}},{"id":"f6594c29-6a01-4b95-a2f9-e75346b6d448","block_type":"box","text":"economic and financial data; financial publications; proxy analysis; trade industry seminars; computer data bases;","page_number":129,"box":{"x":69,"y":271,"width":815,"height":12}},{"id":"dd4dfa0a-95e6-4eda-a32b-68216c640a64","block_type":"box","text":"research-oriented software and other services and products.","page_number":129,"box":{"x":69,"y":286,"width":430,"height":11}},{"id":"5cd8a735-7e20-4ba6-ba48-151f7d3a7ae4","block_type":"box","text":"Research or other services obtained in this manner may be used in servicing any or all of the Funds and other","page_number":129,"box":{"x":102,"y":309,"width":785,"height":11}},{"id":"edcc9357-6481-40be-a08a-a7e5eec619a7","block_type":"box","text":"BlackRock client accounts, including in connection with BlackRock client accounts other than those that pay","page_number":129,"box":{"x":70,"y":325,"width":768,"height":11}},{"id":"e334666d-c6dc-4422-9cdb-6682aab9469d","block_type":"box","text":"commissions to the broker relating to the research or other service arrangements. Such products and services may","page_number":129,"box":{"x":69,"y":340,"width":826,"height":11}},{"id":"c17d8e60-4897-4576-ac21-7323aa2f0cd9","block_type":"box","text":"disproportionately benefit other BlackRock client accounts relative to the Funds based on the amount of brokerage","page_number":129,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"4835de3f-6536-470f-8436-7cfa58136489","block_type":"box","text":"commissions paid by the Funds and such other BlackRock client accounts. For example, research or other services","page_number":129,"box":{"x":69,"y":370,"width":821,"height":11}},{"id":"fe228f76-bc8d-4a6c-8cba-e187f5deed55","block_type":"box","text":"that are paid for through one client’s commissions may not be used in managing that client’s account. In addition,","page_number":129,"box":{"x":68,"y":385,"width":815,"height":11}},{"id":"59c2c8ff-25b0-4d22-a76e-1ca33d58ae41","block_type":"box","text":"other BlackRock client accounts may receive the benefit, including disproportionate benefits, of economies of scale","page_number":129,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"17776216-fec2-4212-9868-a19ee9154b6f","block_type":"box","text":"or price discounts in connection with products and services that may be provided to the Funds and to such other","page_number":129,"box":{"x":69,"y":415,"width":804,"height":11}},{"id":"2b4cf645-2958-4ba2-b684-e65ef2d2732c","block_type":"box","text":"BlackRock client accounts. To the extent that BlackRock uses soft dollars, it will not have to pay for those products","page_number":129,"box":{"x":70,"y":430,"width":819,"height":11}},{"id":"4197239b-b133-44bf-96b2-818a49e5827d","block_type":"box","text":"and services itself.","page_number":129,"box":{"x":69,"y":445,"width":134,"height":9}},{"id":"4ea4d958-4045-4755-9858-83e10ae7a6b3","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may endeavor to execute trades through brokers who, pursuant","page_number":129,"box":{"x":102,"y":468,"width":793,"height":11}},{"id":"60724612-3983-472a-8f4b-51b39802aeb8","block_type":"box","text":"to such arrangements, provide research or other services in order to ensure the continued receipt of research or","page_number":129,"box":{"x":68,"y":483,"width":805,"height":11}},{"id":"3ff24461-1843-4e6a-b5f5-0f4dda26e753","block_type":"box","text":"other services BlackRock believes are useful in its investment decision-making process. BlackRock may from time to","page_number":129,"box":{"x":69,"y":498,"width":833,"height":11}},{"id":"ccb3b670-b96f-415c-b729-67550f060d6c","block_type":"box","text":"time choose not to engage in the above described arrangements to varying degrees. BlackRock, unless prohibited by","page_number":129,"box":{"x":68,"y":514,"width":836,"height":11}},{"id":"a37ecd66-e207-40f5-b042-7c7a15825f0e","block_type":"box","text":"applicable law, may also enter into commission sharing arrangements under which BlackRock may execute","page_number":129,"box":{"x":69,"y":529,"width":760,"height":11}},{"id":"bb9bc7cf-b7e0-40c1-8568-f28eef3c11d0","block_type":"box","text":"transactions through a broker-dealer and request that the broker-dealer allocate a portion of the commissions or","page_number":129,"box":{"x":68,"y":543,"width":803,"height":12}},{"id":"e16956ce-1fda-4215-a205-5d22355c40d5","block_type":"box","text":"commission credits to another firm that provides research to BlackRock. To the extent that BlackRock engages in","page_number":129,"box":{"x":69,"y":559,"width":807,"height":11}},{"id":"76a742f0-170a-4101-872e-30fb6aaeee51","block_type":"box","text":"commission sharing arrangements, many of the same conflicts related to traditional soft dollars may exist.","page_number":129,"box":{"x":69,"y":574,"width":760,"height":11}},{"id":"03f33a59-795d-471e-b4ee-8b774f404b5a","block_type":"box","text":"BlackRock may utilize certain electronic crossing networks (“ECNs”) (including, without limitation, ECNs in which","page_number":129,"box":{"x":102,"y":597,"width":799,"height":11}},{"id":"cd336648-f835-4fa4-bcb5-9656abde22db","block_type":"box","text":"BlackRock has an investment or other interest, to the extent permitted by applicable law) in executing client","page_number":129,"box":{"x":70,"y":612,"width":767,"height":11}},{"id":"2aaa3015-b31c-4f06-a93e-b285295e3c4e","block_type":"box","text":"securities transactions for certain types of securities. These ECNs may charge fees for their services, including","page_number":129,"box":{"x":69,"y":627,"width":794,"height":11}},{"id":"6c1e2182-ad17-4c7c-9ce4-8f1d38d43137","block_type":"box","text":"access fees and transaction fees. The transaction fees, which are similar to commissions or markups/ markdowns,","page_number":129,"box":{"x":69,"y":642,"width":825,"height":11}},{"id":"20df59a2-7ac3-48c3-ab3f-a3774fe02977","block_type":"box","text":"will generally be charged to clients and, like commissions and markups/markdowns, would generally be included in","page_number":129,"box":{"x":68,"y":657,"width":821,"height":11}},{"id":"cb31bffb-6c52-4282-be66-d1d85b0f0b73","block_type":"box","text":"the cost of the securities purchased. Access fees may be paid by BlackRock even though incurred in connection with","page_number":129,"box":{"x":68,"y":672,"width":833,"height":11}},{"id":"7c630ed0-6932-4a7b-972f-ef993d98ea4c","block_type":"box","text":"executing transactions on behalf of clients, including the Funds. In certain circumstances, ECNs may offer volume","page_number":129,"box":{"x":69,"y":687,"width":812,"height":11}},{"id":"12a73b9f-3a16-473f-b0e4-0843692bd45b","block_type":"box","text":"discounts that will reduce the access fees typically paid by BlackRock. BlackRock will only utilize ECNs consistent","page_number":129,"box":{"x":69,"y":702,"width":809,"height":11}},{"id":"94bf5bca-06b1-4a0a-ab41-2552f5e67195","block_type":"box","text":"with its obligation to seek to obtain best execution in client transactions.","page_number":129,"box":{"x":68,"y":718,"width":519,"height":11}},{"id":"7d408a64-0676-4d73-a5df-97f5a15fa11e","block_type":"box","text":"BlackRock owns a minority interest in, and is a member of, Members Exchange (“MEMX”), a newly created U.S.","page_number":129,"box":{"x":102,"y":740,"width":793,"height":11}},{"id":"b506f882-c95d-448f-9837-4ffd2081240d","block_type":"box","text":"stock exchange. Transactions for a Fund may be executed on MEMX if third party brokers select MEMX as the","page_number":129,"box":{"x":69,"y":755,"width":782,"height":11}},{"id":"93673a77-46dc-410a-8eb2-4c548ab396ef","block_type":"box","text":"appropriate venue for execution of orders placed by BlackRock traders on behalf of client portfolios.","page_number":129,"box":{"x":69,"y":770,"width":710,"height":11}},{"id":"ab20dc43-f5bf-45e1-971d-55bf0f9a48e0","block_type":"box","text":"BlackRock has adopted policies and procedures designed to prevent conflicts of interest from influencing proxy","page_number":129,"box":{"x":102,"y":793,"width":792,"height":11}},{"id":"9a9ecd40-6f5d-43db-91e1-1a198a9f523a","block_type":"box","text":"voting decisions that it makes on behalf of advisory clients, including the Funds, and to help ensure that such","page_number":129,"box":{"x":68,"y":808,"width":784,"height":11}},{"id":"036801a2-6881-48b9-8a21-a88309dff8cf","block_type":"box","text":"decisions are made in accordance with BlackRock’s fiduciary obligations to its clients. Nevertheless, notwithstanding","page_number":129,"box":{"x":69,"y":823,"width":837,"height":12}},{"id":"d78a8c61-8728-4d4c-bf02-ff8602e163fa","block_type":"box","text":"such proxy voting policies and procedures, actual proxy voting decisions of BlackRock may have the effect of favoring","page_number":129,"box":{"x":69,"y":838,"width":835,"height":12}},{"id":"334fc3b7-f4dd-498b-8a19-1074d375c603","block_type":"box","text":"the interests of other clients or businesses of other divisions or units of BlackRock, provided that BlackRock believes","page_number":129,"box":{"x":68,"y":853,"width":837,"height":11}},{"id":"2356464e-c7d4-40ff-a4f2-07a21e598b64","block_type":"box","text":"such voting decisions to be in accordance with its fiduciary obligations. For a more detailed discussion of these","page_number":129,"box":{"x":69,"y":869,"width":795,"height":11}},{"id":"5203aab7-ebf5-4ca1-b21a-ec68b59d490e","block_type":"box","text":"policies and procedures, see “Proxy Voting Policies and Procedures.”","page_number":129,"box":{"x":70,"y":884,"width":490,"height":11}},{"id":"a0ceaa02-1efd-4fd0-a4c8-2cf4ec248814","block_type":"box","text":"II-93","page_number":129,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c3cca29d-3a8d-4ebc-bff4-1679167011b0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":129,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9e03c064-b797-4b65-bb38-8ab61c3d514d","block_type":"box","text":"It is also possible that, from time to time, BlackRock and/or its advisory clients (including other funds and","page_number":130,"box":{"x":102,"y":45,"width":757,"height":11}},{"id":"99f2e56a-f015-4d07-a9ee-c625659dc7c7","block_type":"box","text":"separately managed accounts) may, subject to compliance with applicable law, purchase and hold shares of a Fund.","page_number":130,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"d06bc992-b8e5-417b-9cd1-ec3a2b3e84e7","block_type":"box","text":"Increasing a Fund’s assets may enhance investment flexibility and diversification and may contribute to economies of","page_number":130,"box":{"x":70,"y":75,"width":837,"height":11}},{"id":"23b0e080-eb92-4552-afe8-82019184b64d","block_type":"box","text":"scale that tend to reduce the Fund’s expense ratio. BlackRock reserves the right, subject to compliance with","page_number":130,"box":{"x":69,"y":90,"width":774,"height":11}},{"id":"d5dd95c4-214e-42b5-ace3-85dcee74989d","block_type":"box","text":"applicable law, to redeem at any time some or all of the shares of a Fund acquired for its own accounts. A large","page_number":130,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"be8a1ddd-ace8-4464-b1fc-6fc33b855f22","block_type":"box","text":"redemption of shares of a Fund by BlackRock could significantly reduce the asset size of the Fund, which might have","page_number":130,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"2367d57d-4385-4062-832c-2cc592dadc91","block_type":"box","text":"an adverse effect on the Fund’s investment flexibility, portfolio diversification and expense ratio. BlackRock seeks to","page_number":130,"box":{"x":69,"y":135,"width":831,"height":11}},{"id":"35caeff8-266c-40c4-ab7f-09736a72a559","block_type":"box","text":"consider the effect of redemptions on a Fund and other shareholders in deciding whether to redeem its shares but is","page_number":130,"box":{"x":69,"y":150,"width":834,"height":12}},{"id":"19191a37-d905-4e4f-8d09-b84db98bee34","block_type":"box","text":"not obligated to do so and may elect not to do so.","page_number":130,"box":{"x":69,"y":166,"width":355,"height":11}},{"id":"f2d74722-004a-43dc-9e61-3b505ae5803b","block_type":"box","text":"It is possible that a Fund may invest in securities of, or engage in transactions with, companies in which","page_number":130,"box":{"x":102,"y":188,"width":742,"height":12}},{"id":"e4053ea2-0754-4545-9382-6c6137560f9e","block_type":"box","text":"BlackRock has significant debt or equity investments or other interests. A Fund may also invest in issuances (such as","page_number":130,"box":{"x":70,"y":203,"width":838,"height":12}},{"id":"c4ec04f8-d622-4f8b-a4b7-9056d0d44740","block_type":"box","text":"structured notes) by entities for which BlackRock provides and is compensated for cash management services","page_number":130,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"c7bd4ac6-9954-404e-b559-08f1e6b00665","block_type":"box","text":"relating to the proceeds from the sale of such issuances. In making investment decisions for a Fund, BlackRock is","page_number":130,"box":{"x":69,"y":234,"width":816,"height":11}},{"id":"c904e715-a68c-4dde-bbc5-fa3afd4b0a3b","block_type":"box","text":"not permitted to obtain or use material non-public information acquired by any unit of BlackRock, in the course of","page_number":130,"box":{"x":69,"y":249,"width":806,"height":11}},{"id":"0a62600d-a222-4634-b5f1-8ab7a2917555","block_type":"box","text":"these activities. In addition, from time to time, the activities of BlackRock may limit a Fund’s flexibility in purchases","page_number":130,"box":{"x":68,"y":264,"width":822,"height":11}},{"id":"4a2f7330-182b-48d2-8d72-ccbb4e806fc8","block_type":"box","text":"and sales of securities. As indicated below, BlackRock may engage in transactions with companies in which","page_number":130,"box":{"x":69,"y":279,"width":766,"height":11}},{"id":"958611ba-db5e-4707-bdf1-bb5d986047fa","block_type":"box","text":"BlackRock-advised funds or other clients of BlackRock have an investment.","page_number":130,"box":{"x":70,"y":294,"width":533,"height":9}},{"id":"b1d02390-5411-49ec-b0f3-a7a6f3297913","block_type":"box","text":"BlackRock and its personnel and other financial service providers may have interests in promoting sales of the","page_number":130,"box":{"x":102,"y":317,"width":789,"height":11}},{"id":"ac02135f-f932-4c11-b52c-6181dba08883","block_type":"box","text":"Funds. With respect to BlackRock and its personnel, the remuneration and profitability relating to services to and","page_number":130,"box":{"x":70,"y":332,"width":805,"height":11}},{"id":"9427d430-d5e3-4598-9ae5-c7ce94c1d272","block_type":"box","text":"sales of the Funds or other products may be greater than remuneration and profitability relating to services to and","page_number":130,"box":{"x":69,"y":347,"width":813,"height":11}},{"id":"408952b3-53be-46ba-80cf-a0b4feef543f","block_type":"box","text":"sales of certain funds or other products that might be provided or offered. BlackRock and its sales personnel may","page_number":130,"box":{"x":69,"y":362,"width":814,"height":11}},{"id":"d4093b15-45fd-4136-b69e-e60e55c52132","block_type":"box","text":"directly or indirectly receive a portion of the fees and commissions charged to the Funds or their shareholders.","page_number":130,"box":{"x":69,"y":377,"width":788,"height":12}},{"id":"f83f09fc-4363-424c-abd1-d1d83fa36a84","block_type":"box","text":"BlackRock and its advisory or other personnel may also benefit from increased amounts of assets under","page_number":130,"box":{"x":70,"y":392,"width":745,"height":12}},{"id":"c9549fea-63b0-414b-88c1-fc3221f810c0","block_type":"box","text":"management. Fees and commissions may also be higher than for other products or services, and the remuneration","page_number":130,"box":{"x":69,"y":407,"width":822,"height":12}},{"id":"1d7461b7-3f03-4e9b-9014-7643a0e92fbb","block_type":"box","text":"and profitability to BlackRock and such personnel resulting from transactions on behalf of or management of the","page_number":130,"box":{"x":69,"y":423,"width":801,"height":11}},{"id":"73ef5698-da41-4f79-b7df-d2f928ae5c5f","block_type":"box","text":"Funds may be greater than the remuneration and profitability resulting from other funds or products.","page_number":130,"box":{"x":70,"y":438,"width":711,"height":11}},{"id":"1f928006-2466-486c-bc8a-54841440083e","block_type":"box","text":"BlackRock may provide valuation assistance to certain clients with respect to certain securities or other","page_number":130,"box":{"x":102,"y":461,"width":741,"height":11}},{"id":"b611707e-418d-43e7-aedc-34c0ac349bcf","block_type":"box","text":"investments and the valuation recommendations made for such clients’ accounts may differ from the valuations for","page_number":130,"box":{"x":70,"y":475,"width":823,"height":12}},{"id":"8d785db6-d279-45c1-be6b-b336127ad2a6","block_type":"box","text":"the same securities or investments assigned by a Fund’s pricing vendors, especially if such valuations are based on","page_number":130,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"f07aecc5-2f37-4372-ab6e-e67d51766b93","block_type":"box","text":"broker-dealer quotes or other data sources unavailable to the Fund’s pricing vendors. While BlackRock will generally","page_number":130,"box":{"x":69,"y":506,"width":825,"height":11}},{"id":"50aedf7d-1025-4c13-a3ef-926e40487091","block_type":"box","text":"communicate its valuation information or determinations to a Fund’s pricing vendors and/or fund accountants, there","page_number":130,"box":{"x":69,"y":521,"width":830,"height":11}},{"id":"642740cf-4b92-4fdd-81d2-2fb9b880699b","block_type":"box","text":"may be instances where the Fund’s pricing vendors or fund accountants assign a different valuation to a security or","page_number":130,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"568907c1-947d-4f97-a35b-9898ea98a3b1","block_type":"box","text":"other investment than the valuation for such security or investment determined or recommended by BlackRock.","page_number":130,"box":{"x":69,"y":551,"width":792,"height":11}},{"id":"577e6ba9-a438-43e2-94da-195ce8f277dc","block_type":"box","text":"As disclosed in more detail in “Pricing of Shares—Determination of Net Asset Value” in this SAI, when market","page_number":130,"box":{"x":101,"y":574,"width":784,"height":11}},{"id":"ae5e2c05-f415-4be7-ac92-6289ce42d52b","block_type":"box","text":"quotations are not readily available or are believed by BlackRock to be unreliable, a Fund’s investments are valued at","page_number":130,"box":{"x":69,"y":589,"width":837,"height":11}},{"id":"371409da-3dbe-4903-bbc0-47e8eef59823","block_type":"box","text":"fair value by BlackRock. BlackRock has been designated as the Fund’s valuation designee pursuant to Rule 2a-5","page_number":130,"box":{"x":68,"y":604,"width":803,"height":11}},{"id":"87de2206-bb43-4ef0-b068-e388de57e923","block_type":"box","text":"under the Investment Company Act and acts through BlackRock’s Rule 2a-5 Committee (the “2a-5 Committee”), with","page_number":130,"box":{"x":69,"y":619,"width":831,"height":11}},{"id":"4c3bd540-73f4-4ccb-ad84-65dbe01dcf0a","block_type":"box","text":"assistance from other BlackRock pricing committees and in accordance with BlackRock’s policies and procedures","page_number":130,"box":{"x":69,"y":634,"width":811,"height":12}},{"id":"b185e9b6-5ef9-474d-afde-abfc90463730","block_type":"box","text":"(the “Valuation Procedures”). When determining a “fair value price,” the 2a-5 Committee seeks to determine the","page_number":130,"box":{"x":69,"y":649,"width":802,"height":12}},{"id":"2e0890bf-5245-4b45-a264-13b135ab8057","block_type":"box","text":"price that a Fund might reasonably expect to receive from the current sale of that asset or liability in an arm’s-length","page_number":130,"box":{"x":70,"y":664,"width":829,"height":12}},{"id":"4c83a562-c2d1-457c-8ac0-3048560e6bce","block_type":"box","text":"transaction. The price generally may not be determined based on what a Fund might reasonably expect to receive for","page_number":130,"box":{"x":68,"y":680,"width":832,"height":11}},{"id":"c0ee0445-2b46-47ca-927d-8e19a9a90ab6","block_type":"box","text":"selling an asset or liability at a later time or if it holds the asset or liability to maturity. While fair value determinations","page_number":130,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"ebaebf66-ec48-4e51-9add-2fb99a9890d8","block_type":"box","text":"will be based upon all available factors that BlackRock deems relevant at the time of the determination, and may be","page_number":130,"box":{"x":68,"y":710,"width":829,"height":11}},{"id":"57c6bf5f-99ff-4f54-a7f2-766b2635cd22","block_type":"box","text":"based on analytical values determined by BlackRock using proprietary or third party valuation models, fair value","page_number":130,"box":{"x":69,"y":725,"width":796,"height":11}},{"id":"2f70c82f-b431-4745-ac72-b9190fd27d24","block_type":"box","text":"represents only a good faith approximation of the value of an asset or liability. The fair value of one or more assets or","page_number":130,"box":{"x":69,"y":740,"width":839,"height":11}},{"id":"f15b5de9-0015-4166-a9de-252a91d39524","block_type":"box","text":"liabilities may not, in retrospect, be the price at which those assets or liabilities could have been sold during the","page_number":130,"box":{"x":70,"y":755,"width":800,"height":11}},{"id":"3d286582-3247-4013-bbaa-d3ed9926f9c5","block_type":"box","text":"period in which the particular fair values were used in determining a Fund’s NAV. As a result, a Fund’s sale or","page_number":130,"box":{"x":70,"y":770,"width":779,"height":12}},{"id":"963ce360-e79d-4e03-9bff-5e7608c366cf","block_type":"box","text":"redemption of its shares at NAV, at a time when a holding or holdings are valued by the 2a-5 Committee at fair value,","page_number":130,"box":{"x":69,"y":785,"width":834,"height":12}},{"id":"3bd56815-8e0d-4d27-be94-d19546a9b944","block_type":"box","text":"may have the effect of diluting or increasing the economic interest of existing shareholders and may affect the","page_number":130,"box":{"x":69,"y":801,"width":788,"height":11}},{"id":"2bb0917d-8f37-4ac3-a8f6-4fe5741229e1","block_type":"box","text":"amount of revenue received by BlackRock with respect to services for which it receives an asset-based fee.","page_number":130,"box":{"x":69,"y":816,"width":765,"height":11}},{"id":"2fb4ad63-38f9-4330-98b9-06fefb61b713","block_type":"box","text":"To the extent permitted by applicable law, a Fund may invest all or some of its short term cash investments in","page_number":130,"box":{"x":101,"y":838,"width":784,"height":11}},{"id":"78469402-65f2-4256-a22d-bd645dd00470","block_type":"box","text":"any money market fund or similarly-managed private fund advised or managed by BlackRock. In connection with any","page_number":130,"box":{"x":69,"y":853,"width":823,"height":12}},{"id":"e7fb706f-c457-48fb-b3d4-43b06289092d","block_type":"box","text":"such investments, a Fund, to the extent permitted by the Investment Company Act, may pay its share of expenses of","page_number":130,"box":{"x":69,"y":869,"width":833,"height":11}},{"id":"58302489-830a-412a-a37d-bf95405c8f1f","block_type":"box","text":"a money market fund or other similarly-managed private fund in which it invests, which may result in a Fund bearing","page_number":130,"box":{"x":69,"y":884,"width":822,"height":11}},{"id":"06631bce-6015-46ab-a203-c9268fab411f","block_type":"box","text":"some additional expenses.","page_number":130,"box":{"x":69,"y":899,"width":190,"height":11}},{"id":"07c70411-1efa-43c7-919a-883288aa89fe","block_type":"box","text":"II-94","page_number":130,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"a50983d6-8791-4089-9c77-a81a547d512f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":130,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7ddc0d11-e411-4752-9dd0-5170f6a59fb7","block_type":"box","text":"BlackRock and its directors, officers and employees, may buy and sell securities or other investments for their","page_number":131,"box":{"x":102,"y":45,"width":787,"height":11}},{"id":"d2599648-78e7-4790-bce5-be646f6f4b4d","block_type":"box","text":"own accounts and may have conflicts of interest with respect to investments made on behalf of a Fund. As a result of","page_number":131,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"19c2c524-3e03-40fb-bb52-d7de11dce3ab","block_type":"box","text":"differing trading and investment strategies or constraints, positions may be taken by directors, officers and","page_number":131,"box":{"x":69,"y":75,"width":764,"height":11}},{"id":"106de651-3b49-455f-bc9d-7c093bf0c958","block_type":"box","text":"employees of BlackRock that are the same, different from or made at different times than positions taken for the","page_number":131,"box":{"x":69,"y":90,"width":809,"height":11}},{"id":"ca319252-3d87-43eb-bebe-eb79f0a3b0d0","block_type":"box","text":"Fund. To lessen the possibility that a Fund will be adversely affected by this personal trading, the Fund, BRIL and","page_number":131,"box":{"x":70,"y":105,"width":802,"height":11}},{"id":"7fac37ab-95a1-4c78-977d-01ce3f925d29","block_type":"box","text":"BlackRock each have adopted a Code of Ethics in compliance with Section 17(j) of the Investment Company Act that","page_number":131,"box":{"x":70,"y":120,"width":828,"height":11}},{"id":"51933f0d-99cd-40f1-98e4-abae35036dbd","block_type":"box","text":"restricts securities trading in the personal accounts of investment professionals and others who normally come into","page_number":131,"box":{"x":69,"y":135,"width":825,"height":12}},{"id":"1f15ee33-082d-4f04-8572-355a2c05499d","block_type":"box","text":"possession of information regarding the Fund’s portfolio transactions. Each Code of Ethics is also available on the","page_number":131,"box":{"x":70,"y":150,"width":816,"height":12}},{"id":"d113994f-5f52-4fd7-8572-26f08f16e26f","block_type":"box","text":"EDGAR Database on the Commission’s Internet site at http://www.sec.gov, and copies may be obtained, after paying","page_number":131,"box":{"x":70,"y":166,"width":836,"height":11}},{"id":"ca167a6f-114b-4dc7-8144-ffe488901745","block_type":"box","text":"a duplicating fee, by e-mail at publicinfo@sec.gov.","page_number":131,"box":{"x":69,"y":181,"width":352,"height":11}},{"id":"3c3ce02c-3c0b-4c28-b9b0-dc3c3ccbed95","block_type":"box","text":"BlackRock will not purchase securities or other property from, or sell securities or other property to, a Fund,","page_number":131,"box":{"x":102,"y":203,"width":768,"height":12}},{"id":"b09cedaf-ab02-4902-8548-202701e00c4f","block_type":"box","text":"except that the Fund may in accordance with rules or guidance adopted under the Investment Company Act engage in","page_number":131,"box":{"x":69,"y":219,"width":836,"height":11}},{"id":"f0f3993f-405f-44b6-83b2-e89b9a8c589f","block_type":"box","text":"transactions with another Fund or accounts that are affiliated with the Fund as a result of common officers, directors,","page_number":131,"box":{"x":68,"y":234,"width":839,"height":10}},{"id":"5b2d7d8c-c5c5-4517-a1fa-a1bcf206329f","block_type":"box","text":"or investment advisers or pursuant to exemptive orders granted to the Funds and/or BlackRock by the Commission.","page_number":131,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"327ae2e6-7116-4c92-b48d-90b1b656df46","block_type":"box","text":"These transactions would be effected in circumstances in which BlackRock determined that it would be appropriate","page_number":131,"box":{"x":68,"y":264,"width":824,"height":11}},{"id":"cba74297-a740-41ea-b429-405b3b47f201","block_type":"box","text":"for the Fund to purchase and another client of BlackRock to sell, or the Fund to sell and another client of BlackRock","page_number":131,"box":{"x":68,"y":279,"width":826,"height":11}},{"id":"38a3b65b-1a5b-4bed-a247-73264e93bb77","block_type":"box","text":"to purchase, the same security or instrument on the same day. From time to time, the activities of a Fund may be","page_number":131,"box":{"x":68,"y":294,"width":810,"height":11}},{"id":"d1a822bb-e0f9-4d19-9063-e0560be0b366","block_type":"box","text":"restricted because of regulatory requirements applicable to BlackRock and/or BlackRock’s internal policies designed","page_number":131,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"5b0f90fb-8940-4ac9-8e6f-7a297226fd76","block_type":"box","text":"to comply with, limit the applicability of, or that otherwise relate to such requirements. A client not advised by","page_number":131,"box":{"x":68,"y":324,"width":782,"height":11}},{"id":"215d589b-5cb2-4380-a624-1858ae3a1c71","block_type":"box","text":"BlackRock would not be subject to some of those considerations. There may be periods when BlackRock may not","page_number":131,"box":{"x":70,"y":339,"width":807,"height":12}},{"id":"2f820719-339e-45ef-a4f6-45cdc362a960","block_type":"box","text":"initiate or recommend certain types of transactions, or may otherwise restrict or limit its advice regarding certain","page_number":131,"box":{"x":70,"y":355,"width":804,"height":11}},{"id":"4127f3c9-5aac-4eef-ad8b-7c890f9fa39e","block_type":"box","text":"securities or instruments issued by or related to companies for which BlackRock is performing advisory or other","page_number":131,"box":{"x":69,"y":370,"width":799,"height":11}},{"id":"38d26a55-ce84-4e25-a4a8-9187b7815597","block_type":"box","text":"services or has proprietary positions. For example, when BlackRock is engaged to provide advisory or risk","page_number":131,"box":{"x":69,"y":385,"width":755,"height":11}},{"id":"1f9e07b3-f5de-4f3c-bb91-6b1c3ab93190","block_type":"box","text":"management services for a company, BlackRock may be prohibited from or limited in purchasing or selling securities","page_number":131,"box":{"x":69,"y":400,"width":831,"height":11}},{"id":"574e037f-8bd0-42e0-9edc-e0e937674fa1","block_type":"box","text":"of that company on behalf of a Fund, particularly where such services result in BlackRock obtaining material non","page_number":131,"box":{"x":69,"y":415,"width":806,"height":11}},{"id":"06ba8935-002c-4e9d-b0d1-b87845caeac1","block_type":"box","text":"public information about the company (","page_number":131,"box":{"x":70,"y":430,"width":276,"height":11}},{"id":"c7f1aadf-4c95-4335-9730-76d33779a8b6","block_type":"box","text":"e.g.","page_number":131,"box":{"x":348,"y":432,"width":25,"height":9}},{"id":"53501e56-03e4-4881-8367-1eb20388ba6a","block_type":"box","text":", in connection with participation in a creditors’ committee). Moreover,","page_number":131,"box":{"x":376,"y":430,"width":499,"height":11}},{"id":"166ccf2f-6a52-4431-b412-993affdff680","block_type":"box","text":"applicable provisions of the Investment Company Act or other regulatory considerations may restrict a Fund or","page_number":131,"box":{"x":69,"y":445,"width":784,"height":12}},{"id":"82c4666f-3f6f-4b7f-aeb4-2ecaf8432820","block_type":"box","text":"BlackRock from effecting certain portfolio transactions or taking other actions in respect of an investment on behalf","page_number":131,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"476089ea-697b-42aa-a8f9-a4c1f642e8f8","block_type":"box","text":"of a Fund, including where BlackRock and/or clients advised by BlackRock already have an interest in such issuer or","page_number":131,"box":{"x":69,"y":475,"width":830,"height":12}},{"id":"f8faa739-466f-4490-813b-712e1bb1a97b","block_type":"box","text":"the investment. Similar situations could arise if personnel of BlackRock serve as directors of companies the","page_number":131,"box":{"x":68,"y":491,"width":773,"height":11}},{"id":"8abfcd2a-2b50-4b5e-a8cd-62e07fc9a65c","block_type":"box","text":"securities of which the Funds wish to purchase or sell. However, if permitted by applicable law, and where consistent","page_number":131,"box":{"x":69,"y":506,"width":832,"height":11}},{"id":"a125adf3-3432-4117-ac4b-fd66a332a4a1","block_type":"box","text":"with BlackRock’s policies and procedures (including the necessary implementation of appropriate information","page_number":131,"box":{"x":68,"y":521,"width":781,"height":11}},{"id":"1d3615a0-b8f1-4b20-83aa-cd16be997ca3","block_type":"box","text":"barriers), the Funds may purchase securities or instruments that are issued by such companies, are the subject of","page_number":131,"box":{"x":69,"y":536,"width":819,"height":11}},{"id":"4c1d453e-24fc-4f4a-86a6-8d51cee4458b","block_type":"box","text":"an advisory or risk management assignment by BlackRock, or where personnel of BlackRock are directors or officers","page_number":131,"box":{"x":69,"y":551,"width":832,"height":11}},{"id":"907ac385-4d7b-4127-89b0-d954eac420e8","block_type":"box","text":"of the issuer.","page_number":131,"box":{"x":69,"y":566,"width":92,"height":9}},{"id":"4975bccd-2413-4da2-bf82-a8c270fe63d6","block_type":"box","text":"BlackRock has adopted and implemented policies and procedures that are designed to address potential","page_number":131,"box":{"x":102,"y":589,"width":748,"height":11}},{"id":"cbd20371-ab25-4b6e-a155-9947a1c45ade","block_type":"box","text":"conflicts that arise in connection with the advisory services BlackRock provides to Funds and other clients. Certain","page_number":131,"box":{"x":69,"y":604,"width":819,"height":11}},{"id":"52b71fdf-c38d-4400-92e0-928ccfd950b6","block_type":"box","text":"BlackRock advisory personnel may take views, and make decisions or recommendations, that are different than or","page_number":131,"box":{"x":70,"y":619,"width":817,"height":11}},{"id":"85a23889-fa5f-4481-ae92-9c5770c90db3","block_type":"box","text":"opposite those of other BlackRock advisory personnel. Certain portfolio management teams within BlackRock may","page_number":131,"box":{"x":69,"y":634,"width":818,"height":12}},{"id":"2edb2624-d499-47a3-a9e0-d3040e5e009c","block_type":"box","text":"make decisions or take (or refrain from taking) actions with respect to clients they advise in a manner different than","page_number":131,"box":{"x":69,"y":649,"width":827,"height":12}},{"id":"cbf97ac0-19eb-4e4c-9b5f-4f6e26e7095a","block_type":"box","text":"or adverse to the decisions made or the actions taken (or not taken) by the Funds’ portfolio management teams. The","page_number":131,"box":{"x":69,"y":664,"width":835,"height":12}},{"id":"ebf3761d-15b2-4e36-99ee-679313035cd0","block_type":"box","text":"various portfolio management teams may not share information with each other, including as a result of certain","page_number":131,"box":{"x":68,"y":680,"width":797,"height":11}},{"id":"b48c172c-9317-48ab-abb1-c1260c7ceaeb","block_type":"box","text":"information barriers and other policies, and will not have any obligation or other duty to do so.","page_number":131,"box":{"x":70,"y":695,"width":667,"height":11}},{"id":"7b13a481-39bc-43fc-aac8-1bbae3f5cda4","block_type":"box","text":"BlackRock has established certain information barriers and other policies to address the sharing of information","page_number":131,"box":{"x":102,"y":717,"width":794,"height":12}},{"id":"55714309-88e0-411a-a870-4e62d1bd7896","block_type":"box","text":"between different businesses within BlackRock, including with respect to personnel responsible with managing","page_number":131,"box":{"x":69,"y":732,"width":791,"height":12}},{"id":"4e3bba4a-ef3f-4fc4-bc2a-e8781cbff0cf","block_type":"box","text":"portfolios and voting proxies with respect to certain index equity portfolios versus those responsible for managing","page_number":131,"box":{"x":70,"y":748,"width":812,"height":11}},{"id":"12d079f9-6d35-4c66-84eb-4677671eac7c","block_type":"box","text":"portfolios and voting proxies with respect to all other portfolios. As a result of information barriers, certain units of","page_number":131,"box":{"x":70,"y":763,"width":818,"height":11}},{"id":"1b8d182a-b996-4c28-9b36-93a760d1c570","block_type":"box","text":"BlackRock generally will not have access, or will have limited access, to certain information and personnel, including","page_number":131,"box":{"x":70,"y":778,"width":830,"height":11}},{"id":"10c64522-491d-482f-a0f4-7fe006398bc7","block_type":"box","text":"senior personnel, in other units of BlackRock, and generally will not manage the Funds with the benefit of information","page_number":131,"box":{"x":69,"y":793,"width":835,"height":11}},{"id":"e06c773d-731e-4853-9719-bf26fa4aae00","block_type":"box","text":"possessed by such other units. Therefore, BlackRock may not be able to review potential investments for the Funds","page_number":131,"box":{"x":70,"y":808,"width":824,"height":11}},{"id":"0271fc8d-f3b3-4a83-bb53-b56670dd6bcd","block_type":"box","text":"with the benefit of information held by certain areas of BlackRock.","page_number":131,"box":{"x":68,"y":823,"width":472,"height":11}},{"id":"943ebea6-f97b-4667-8d8d-d91303c09dc3","block_type":"box","text":"BlackRock may determine to move certain personnel, businesses, or business units from one side of an","page_number":131,"box":{"x":102,"y":846,"width":744,"height":11}},{"id":"4b7a8335-adcf-4da8-9e1a-47b0bb8502f0","block_type":"box","text":"information barrier to the other side of the information barrier. In connection therewith, BlackRock personnel,","page_number":131,"box":{"x":70,"y":861,"width":775,"height":11}},{"id":"60e0fb57-ac1b-4b18-a92c-290f3178a23a","block_type":"box","text":"businesses, and business units that were moved will no longer have access to the information and personnel from","page_number":131,"box":{"x":69,"y":876,"width":818,"height":11}},{"id":"06dbf9c1-9a21-4239-9be2-0290551adedd","block_type":"box","text":"the side of the information barrier from which they were moved. Information obtained in connection with such","page_number":131,"box":{"x":68,"y":891,"width":779,"height":11}},{"id":"b58cda34-be0c-4e37-a18a-08ef4b39ef38","block_type":"box","text":"changes to information barriers may limit or restrict the ability of BlackRock to engage in or otherwise effect","page_number":131,"box":{"x":69,"y":906,"width":771,"height":12}},{"id":"820039b9-fb35-4996-84ba-1f8d1788a700","block_type":"box","text":"II-95","page_number":131,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"9cbdf2ab-39cc-4bb4-b3c0-cde75a2eebe0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":131,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9794fe5f-bb42-4c2a-81f1-19065980fb98","block_type":"box","text":"transactions on behalf of the Funds (including purchasing or selling securities that BlackRock may otherwise have","page_number":132,"box":{"x":68,"y":45,"width":812,"height":11}},{"id":"ab4c9bbd-ad99-40b0-b5c0-d97676c1d30c","block_type":"box","text":"purchased or sold for a client in the absence of a change to an information barrier). Information barriers may not","page_number":132,"box":{"x":70,"y":60,"width":803,"height":11}},{"id":"5ee2cd21-c250-4e01-9a88-578fbd1379a1","block_type":"box","text":"have their intended impact due to, for example, changes in applicable law or inadvertent crossings of the barriers,","page_number":132,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"d12da8fb-fdf6-465e-99af-e6625dab0fd2","block_type":"box","text":"and actions by personnel on one side of a barrier may impact the potential actions of personnel on the other side of","page_number":132,"box":{"x":69,"y":90,"width":829,"height":11}},{"id":"2c38e300-1ece-492e-b695-9c133e1d32f1","block_type":"box","text":"a barrier.","page_number":132,"box":{"x":69,"y":105,"width":62,"height":9}},{"id":"88c25309-1ede-4e14-ac4f-6b6ce47d6da4","block_type":"box","text":"Although the information barriers are intended to allow for independent portfolio management decision-making","page_number":132,"box":{"x":101,"y":128,"width":788,"height":11}},{"id":"7c12475b-e2ec-4de4-a037-9d5feaf09800","block_type":"box","text":"and proxy voting among certain BlackRock businesses, the investment activities of BlackRock for BlackRock clients,","page_number":132,"box":{"x":69,"y":143,"width":827,"height":11}},{"id":"090f8fc9-8370-458c-ae60-cd88c0396dc5","block_type":"box","text":"as well as BlackRock’s proprietary accounts, may nonetheless limit the investment strategies and rights of other","page_number":132,"box":{"x":69,"y":158,"width":805,"height":11}},{"id":"550d4888-4b60-4757-9a50-60e2629b0fe6","block_type":"box","text":"clients (including the Fund). As BlackRock’s assets under management increases, BlackRock clients may face greater","page_number":132,"box":{"x":69,"y":173,"width":840,"height":11}},{"id":"33d283fe-1d18-499c-800b-9df8852072d8","block_type":"box","text":"negative impacts due to ownership restrictions and limitations imposed by laws, regulations, rules, regulators, or","page_number":132,"box":{"x":69,"y":188,"width":806,"height":12}},{"id":"e858a266-4663-43c4-8262-b2f31918c131","block_type":"box","text":"issuers. For example, in certain circumstances where a BlackRock client invests in securities issued by companies","page_number":132,"box":{"x":70,"y":204,"width":818,"height":11}},{"id":"c048a2a9-f6c4-45a3-a694-3399a12c7909","block_type":"box","text":"that operate in certain industries (","page_number":132,"box":{"x":68,"y":219,"width":244,"height":11}},{"id":"4324d5fd-24c4-43b8-ad4c-a50402fff7c6","block_type":"box","text":"e.g.","page_number":132,"box":{"x":314,"y":220,"width":25,"height":10}},{"id":"4b366945-8e6b-4413-88ec-f2d1e8ce3a30","block_type":"box","text":", banking, insurance, and utilities) or in certain emerging or international","page_number":132,"box":{"x":342,"y":219,"width":515,"height":11}},{"id":"c0a78fca-1503-4c94-8029-6422b31b7a79","block_type":"box","text":"markets, or are subject to regulatory or corporate ownership restrictions (","page_number":132,"box":{"x":69,"y":234,"width":523,"height":11}},{"id":"cfa26e77-b194-4899-a2a9-ed15a3aff12e","block_type":"box","text":"e.g.","page_number":132,"box":{"x":594,"y":235,"width":25,"height":10}},{"id":"8d711d66-9ed2-4498-a7a5-07bbb9e67f24","block_type":"box","text":", with mechanisms such as poison pills","page_number":132,"box":{"x":621,"y":234,"width":280,"height":11}},{"id":"14f89187-d233-4f60-9a8b-953d86aec5af","block_type":"box","text":"in place to prevent takeovers), or where a BlackRock client invests in certain futures and derivatives, there may be","page_number":132,"box":{"x":70,"y":249,"width":816,"height":11}},{"id":"7312a8f3-080f-4104-b643-ec83cdf0bd32","block_type":"box","text":"limits on the aggregate amount invested by BlackRock for its clients and BlackRock’s proprietary accounts that may","page_number":132,"box":{"x":70,"y":264,"width":825,"height":11}},{"id":"759e7015-889d-4b62-b2c7-dc976fcb6883","block_type":"box","text":"not be exceeded without the grant of a license or other regulatory or corporate approval, order, consent, relief, waiver","page_number":132,"box":{"x":69,"y":279,"width":837,"height":11}},{"id":"e56a76ea-0ffc-4c33-8773-4d4d1bf7c05b","block_type":"box","text":"or non-disapproval or, if exceeded, may cause BlackRock or its clients to be subject to enforcement actions,","page_number":132,"box":{"x":69,"y":294,"width":769,"height":11}},{"id":"fac8dd8d-26b7-4982-ba7d-5e7a56e6c8e8","block_type":"box","text":"disgorgement of share ownership or profits, regulatory restrictions, complex compliance reporting, increased","page_number":132,"box":{"x":69,"y":309,"width":775,"height":11}},{"id":"feee5fdb-72b8-4419-b26f-b945f3d00d7c","block_type":"box","text":"compliance costs or suffer disadvantages or business restrictions. In light of certain restrictions, BlackRock may also","page_number":132,"box":{"x":69,"y":324,"width":839,"height":12}},{"id":"0a1ee563-fa79-4601-a598-97d47a51d355","block_type":"box","text":"seek to make indirect investments (","page_number":132,"box":{"x":69,"y":340,"width":255,"height":10}},{"id":"a36cbbeb-333e-444e-b685-2e4ee7cb7fd3","block_type":"box","text":"e.g.","page_number":132,"box":{"x":326,"y":341,"width":24,"height":10}},{"id":"97ef0220-368e-4d0c-b33f-4c03459ad464","block_type":"box","text":", using derivatives) on behalf of its clients to receive exposure to certain","page_number":132,"box":{"x":353,"y":339,"width":514,"height":12}},{"id":"e2fd15a1-a1a1-4f44-af00-e2158a9c14e3","block_type":"box","text":"securities in excess of the applicable ownership restrictions and limitations when legally permitted that will expose","page_number":132,"box":{"x":69,"y":355,"width":817,"height":11}},{"id":"599e0205-1884-4dcc-ac78-9984cb8202a7","block_type":"box","text":"such clients to additional costs and additional risks, including any risks associated with investing in derivatives.","page_number":132,"box":{"x":69,"y":370,"width":795,"height":11}},{"id":"86ff1540-533a-457c-981c-06ed9073d209","block_type":"box","text":"There may be limited availability of derivatives that provide indirect exposure to an impacted security. BlackRock","page_number":132,"box":{"x":68,"y":385,"width":799,"height":11}},{"id":"23888b01-9a55-45fd-a139-4b20e88e3cf3","block_type":"box","text":"clients can be subject to more than one ownership limitation depending on each client’s holdings, and each","page_number":132,"box":{"x":69,"y":400,"width":767,"height":11}},{"id":"7b53a7ed-99d0-498d-817e-962acecbb4b4","block_type":"box","text":"ownership limitation can impact multiple securities held by the client. Certain clients or shareholders may have their","page_number":132,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"7f15e2ef-fd34-4cbb-98d9-664cda1a71ff","block_type":"box","text":"own overlapping obligations to monitor their compliance with ownership limitations across their investments.","page_number":132,"box":{"x":69,"y":430,"width":772,"height":11}},{"id":"dc044a13-5433-4a56-a587-7618ab6a69cb","block_type":"box","text":"If certain aggregate ownership thresholds are reached either through the actions of BlackRock or a BlackRock","page_number":132,"box":{"x":102,"y":453,"width":783,"height":11}},{"id":"5c94dc84-9781-4362-9b20-c03eb0715369","block_type":"box","text":"client or as a result of corporate actions by the issuer, the ability of BlackRock on behalf of clients to purchase or","page_number":132,"box":{"x":69,"y":468,"width":808,"height":11}},{"id":"864cdd48-d125-4b7b-ade4-244c0d2be404","block_type":"box","text":"dispose of investments, or exercise rights (including voting) or undertake business transactions, may be restricted by","page_number":132,"box":{"x":69,"y":483,"width":837,"height":11}},{"id":"eadc2f65-7c80-4478-ad5f-1b9cda572fe4","block_type":"box","text":"law, regulation, rule, or organizational documents or otherwise impaired. For example, to meet the requirements of","page_number":132,"box":{"x":70,"y":498,"width":818,"height":11}},{"id":"c6740c77-d021-46b0-b242-549c7f5c8bed","block_type":"box","text":"an ownership limitation or restriction, a client may be unable to purchase or directly hold a security the client would","page_number":132,"box":{"x":69,"y":514,"width":821,"height":10}},{"id":"bfe30be9-b926-4e4e-9aa8-495d234b74c9","block_type":"box","text":"otherwise purchase or hold. The limitation or restriction may be based on the holdings of other BlackRock clients","page_number":132,"box":{"x":69,"y":528,"width":806,"height":12}},{"id":"2cbbb922-5ec3-44b4-a41c-8eb0016043b5","block_type":"box","text":"instead of the specific client being restricted. For index funds, this means a fund may not be able to track its index as","page_number":132,"box":{"x":70,"y":543,"width":839,"height":12}},{"id":"67422795-7210-4592-80e9-25dd44689ab3","block_type":"box","text":"closely as it would if it was not subject to an ownership limitation or restriction because the fund cannot acquire the","page_number":132,"box":{"x":69,"y":559,"width":826,"height":11}},{"id":"c6a45ffd-4b88-4f71-9c14-8eae7e47b818","block_type":"box","text":"amount of the impacted security included in its index. BlackRock on behalf of its clients may limit purchases, sell","page_number":132,"box":{"x":69,"y":574,"width":807,"height":11}},{"id":"0be04818-5beb-4db0-b7f8-1ce35222b5dc","block_type":"box","text":"existing investments, utilize indirect investments, utilize information barriers, or otherwise restrict, forgo, or limit the","page_number":132,"box":{"x":69,"y":589,"width":830,"height":11}},{"id":"4fc11b22-861e-4341-8a06-92788f8ffe5f","block_type":"box","text":"exercise of rights (including transferring, outsourcing, or limiting voting rights or forgoing the right to receive","page_number":132,"box":{"x":69,"y":604,"width":765,"height":11}},{"id":"f73f7db7-b61c-4590-b49f-fe0850ddc661","block_type":"box","text":"dividends) when BlackRock, in its sole discretion, deems it appropriate in light of potential regulatory or other","page_number":132,"box":{"x":69,"y":619,"width":781,"height":11}},{"id":"094bdefd-e236-493c-afe3-6b229939be78","block_type":"box","text":"restrictions on ownership or other consequences resulting from reaching investment thresholds. These types of","page_number":132,"box":{"x":69,"y":634,"width":796,"height":12}},{"id":"51406128-a8ec-4379-8c86-4b3dba3339b8","block_type":"box","text":"restrictions could negatively impact a client’s performance or ability to meet its investment objective.","page_number":132,"box":{"x":69,"y":649,"width":720,"height":12}},{"id":"46ae52c7-4d87-45fd-914e-6e6dec598c32","block_type":"box","text":"When BlackRock or a BlackRock client is subject to an ownership limitation, BlackRock may in its discretion seek","page_number":132,"box":{"x":101,"y":672,"width":807,"height":11}},{"id":"e53cb65b-8dcc-4c6b-956e-6cf60f014d21","block_type":"box","text":"permission from the applicable issuers or regulators to exceed the limitation. However, there is no guarantee that","page_number":132,"box":{"x":70,"y":687,"width":810,"height":11}},{"id":"3be1ce34-f8b0-4a52-80d9-ce0b7876e622","block_type":"box","text":"permission will be granted, or that, once granted, it will not be modified or revoked at a later date with minimal or no","page_number":132,"box":{"x":70,"y":702,"width":829,"height":12}},{"id":"5d474f54-00c5-45df-92a8-37b044af0293","block_type":"box","text":"notice. The issuer and/or regulator may also require that BlackRock on behalf of itself and its clients take or refrain","page_number":132,"box":{"x":69,"y":717,"width":824,"height":12}},{"id":"a348cd07-46cc-4101-a3c2-6fbccac7884a","block_type":"box","text":"from taking certain actions in connection with the approval, order, consent, relief or non-disapproval, which BlackRock","page_number":132,"box":{"x":68,"y":732,"width":841,"height":12}},{"id":"fd1a52ce-8ea6-483a-a63d-19cdc91d6615","block_type":"box","text":"may accept if it believes the benefits outweigh the costs and may limit BlackRock from taking actions that it","page_number":132,"box":{"x":69,"y":748,"width":770,"height":11}},{"id":"2265311c-e9f7-4d98-8dd5-65b717132107","block_type":"box","text":"otherwise would take. In those circumstances where ownership thresholds or limitations must be observed,","page_number":132,"box":{"x":69,"y":763,"width":769,"height":11}},{"id":"b2895e7e-9390-47f3-9507-0ca47006c4e5","block_type":"box","text":"BlackRock seeks to allocate limited investment opportunities equitably among clients, taking into consideration","page_number":132,"box":{"x":70,"y":778,"width":794,"height":11}},{"id":"4e70c066-0b12-4d3f-a9b6-546d41102dd2","block_type":"box","text":"benchmark weight and investment strategy. BlackRock may adopt certain controls designed to prevent the","page_number":132,"box":{"x":69,"y":793,"width":757,"height":11}},{"id":"b7719bb7-d8c0-473f-806a-fcfeaedcac2e","block_type":"box","text":"occurrence of a breach of any applicable ownership threshold or limits, including, for example, when ownership in","page_number":132,"box":{"x":69,"y":808,"width":807,"height":11}},{"id":"452f0a7c-c782-4b58-97b2-b1741fba45bb","block_type":"box","text":"certain securities nears an applicable threshold, BlackRock may limit additional purchases in such securities or, with","page_number":132,"box":{"x":69,"y":823,"width":833,"height":11}},{"id":"f95f4c31-bfeb-42ee-8451-741b6e5d781e","block_type":"box","text":"respect to ETFs, remove such securities from the list of Deposit Securities to be delivered to the Fund in connection","page_number":132,"box":{"x":69,"y":838,"width":827,"height":11}},{"id":"57c84fc8-8ef6-4ed6-8c06-1c8466dcf95a","block_type":"box","text":"with purchases of Creation Units of such Fund. If client holdings of an issuer exceed an applicable threshold and","page_number":132,"box":{"x":68,"y":853,"width":803,"height":12}},{"id":"80907520-2e30-4a79-81f0-d4862acbf13f","block_type":"box","text":"BlackRock is unable to obtain relief to enable the continued holding of such investments, it may be necessary to","page_number":132,"box":{"x":70,"y":869,"width":802,"height":11}},{"id":"39ac75e5-6a93-42e4-8b7e-1992b9d69ff3","block_type":"box","text":"reduce these positions to meet the applicable limitations and BlackRock or such client may be subject to regulatory","page_number":132,"box":{"x":69,"y":884,"width":826,"height":11}},{"id":"e1e501d2-7a54-484f-9093-936320237256","block_type":"box","text":"actions. In these cases, the investments will be sold in a manner that BlackRock deems fair and equitable over time.","page_number":132,"box":{"x":69,"y":899,"width":834,"height":11}},{"id":"ae3886de-47fc-4ed8-ae85-64a4bb95484d","block_type":"box","text":"II-96","page_number":132,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c4ef6419-30ef-44b8-89ae-37329cc97665","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":132,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"11b8ef7d-936e-4d0c-b9d8-9475abc0a8b5","block_type":"box","text":"Ownership limitations are highly complex. It is possible that, despite BlackRock’s intent to either comply with or","page_number":133,"box":{"x":102,"y":45,"width":795,"height":11}},{"id":"db107958-d11e-4bd5-afa0-630e4fb15679","block_type":"box","text":"be granted permission to exceed ownership limitations, it may inadvertently breach a limit or violate the corporate or","page_number":133,"box":{"x":69,"y":60,"width":831,"height":11}},{"id":"a44bc95b-ef4d-418b-bcf8-d426a3c14eeb","block_type":"box","text":"regulatory approval, order, consent, relief or non-disapproval that was obtained.","page_number":133,"box":{"x":69,"y":75,"width":566,"height":11}},{"id":"0ac9f05a-bc85-43d8-b92f-124b5489e098","block_type":"box","text":"In addition to the foregoing, other ownership thresholds may trigger reporting requirements to governmental and","page_number":133,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"ebfcf860-8344-4397-960b-048067d3cdef","block_type":"box","text":"regulatory authorities, and such reports may entail the disclosure of the identity of a client or BlackRock’s intended","page_number":133,"box":{"x":69,"y":113,"width":823,"height":11}},{"id":"4d734b56-0faa-487f-870f-4133277ddbab","block_type":"box","text":"strategy with respect to such security or asset.","page_number":133,"box":{"x":69,"y":128,"width":333,"height":11}},{"id":"72dfc9f7-4a3e-4c43-a3eb-da6d97df2ee9","block_type":"box","text":"BlackRock may maintain securities indices. To the extent permitted by applicable laws, the Funds may seek to","page_number":133,"box":{"x":102,"y":151,"width":785,"height":11}},{"id":"2daba86d-d5f1-484e-be00-479ce4130c23","block_type":"box","text":"license and use such indices as part of their investment strategy. Index based funds that seek to track the","page_number":133,"box":{"x":70,"y":166,"width":760,"height":11}},{"id":"c5a28c60-0dfe-404a-a8f8-921eac907abf","block_type":"box","text":"performance of securities indices also may use the name of the index or index provider in the fund name. Index","page_number":133,"box":{"x":70,"y":181,"width":796,"height":11}},{"id":"a2b34599-3c24-4cfd-bca2-2ec1aa0d1775","block_type":"box","text":"providers, including BlackRock (to the extent permitted by applicable law), may be paid licensing fees for use of their","page_number":133,"box":{"x":70,"y":196,"width":830,"height":11}},{"id":"279a517a-6f06-490a-8184-7fd49d4ca91d","block_type":"box","text":"index or index name. In instances where BlackRock charges a unitary management fee, BlackRock may have a","page_number":133,"box":{"x":70,"y":211,"width":788,"height":11}},{"id":"440abbd9-3971-4233-b2d2-729381bd16f4","block_type":"box","text":"financial incentive to use a BlackRock index that is less costly to BlackRock than a third party index. BlackRock may","page_number":133,"box":{"x":68,"y":226,"width":829,"height":11}},{"id":"a4093d93-9c33-4bb7-a40e-72af4a2ddd36","block_type":"box","text":"benefit from the Funds using BlackRock indices by creating increasing acceptance in the marketplace for such","page_number":133,"box":{"x":69,"y":241,"width":784,"height":11}},{"id":"5776fae0-8ec8-42a3-a3fe-2a00b0e537cc","block_type":"box","text":"indices. BlackRock is not obligated to license its indices to a Fund and the Funds are under no obligation to use","page_number":133,"box":{"x":70,"y":257,"width":797,"height":11}},{"id":"03fc9749-b181-48fe-9452-d683cd95b0c8","block_type":"box","text":"BlackRock indices. Any Fund that enters into a license for a BlackRock index cannot be assured that the terms of any","page_number":133,"box":{"x":70,"y":271,"width":837,"height":12}},{"id":"a8390aa7-6b42-4faf-aacf-3804fa40210f","block_type":"box","text":"index licensing agreement with BlackRock will be as favorable as those terms offered to other licensees.","page_number":133,"box":{"x":70,"y":286,"width":746,"height":12}},{"id":"4459aa65-7a6d-4d62-92c5-ffc64a471630","block_type":"box","text":"BlackRock may enter into contractual arrangements with third-party service providers to a Fund (","page_number":133,"box":{"x":102,"y":309,"width":686,"height":11}},{"id":"e7a5001a-61c7-4d26-9dc2-18539c0df7cf","block_type":"box","text":"e.g.","page_number":133,"box":{"x":790,"y":311,"width":25,"height":9}},{"id":"c086fc86-0905-4a8f-9678-34590ce01536","block_type":"box","text":", custodians,","page_number":133,"box":{"x":817,"y":309,"width":90,"height":11}},{"id":"6a68ad52-8ad2-421d-b2ac-b3838aa754a1","block_type":"box","text":"administrators and index providers) pursuant to which BlackRock receives fee discounts or concessions in","page_number":133,"box":{"x":69,"y":324,"width":756,"height":11}},{"id":"c866ed99-8e71-4f90-978d-7cd538621e7e","block_type":"box","text":"recognition of BlackRock’s overall relationship with such service providers. BlackRock may also enter into contractual","page_number":133,"box":{"x":69,"y":339,"width":836,"height":12}},{"id":"21508ecd-e14b-46d2-8ca0-c1d303dbc892","block_type":"box","text":"arrangements with such service providers pursuant to which BlackRock incurs additional costs if the service","page_number":133,"box":{"x":69,"y":355,"width":772,"height":11}},{"id":"b3b2380c-6724-47f0-92c1-b720da3ff772","block_type":"box","text":"provider’s services are terminated with respect to a Fund. To the extent that BlackRock is responsible for paying","page_number":133,"box":{"x":70,"y":370,"width":800,"height":11}},{"id":"1e810c91-4c0a-4f51-93bf-1b2718db98c0","block_type":"box","text":"service providers out of its fees that it receives from the Funds, the benefits of lower fees, including any fee","page_number":133,"box":{"x":69,"y":385,"width":771,"height":11}},{"id":"b6a0dbd4-d6b2-4a5b-8ae5-e0f903878651","block_type":"box","text":"discounts or concessions, or any additional savings, may accrue, in whole or in part, to BlackRock, which could result","page_number":133,"box":{"x":69,"y":400,"width":839,"height":11}},{"id":"ebfb9d88-4ed6-4cf5-a30e-e199178f0ae2","block_type":"box","text":"in conflicts of interest relating to the use or termination of service providers to a Fund. In addition, conflicts of","page_number":133,"box":{"x":70,"y":415,"width":785,"height":11}},{"id":"67467020-b63c-42b4-b525-157d16f3cb19","block_type":"box","text":"interest may arise with respect to contractual arrangements with third-party service providers to a Fund, or the","page_number":133,"box":{"x":70,"y":430,"width":786,"height":11}},{"id":"731bd7e9-b7bc-4851-8f38-d05272ac2302","block_type":"box","text":"selection of such providers, particularly in circumstances where BlackRock is negotiating on behalf of both funds that","page_number":133,"box":{"x":69,"y":445,"width":837,"height":12}},{"id":"5a07ff6b-77f4-4e54-9574-0783202c505d","block_type":"box","text":"have a unitary management fee and those that do not or different service providers have different fee structures.","page_number":133,"box":{"x":69,"y":460,"width":809,"height":12}},{"id":"33c52589-7add-40e3-a38d-d3ae3f0eb754","block_type":"box","text":"Conflicts of interest may arise as a result of simultaneous investment management of multiple client accounts","page_number":133,"box":{"x":102,"y":483,"width":788,"height":11}},{"id":"f93969b7-f1ed-4d72-9aab-d5232d07afa5","block_type":"box","text":"by BlackRock’s investment professionals. For example, differences in the advisory fee structure may create the","page_number":133,"box":{"x":69,"y":498,"width":795,"height":11}},{"id":"24e7888e-b562-4697-b5a9-36bf3d9f5c63","block_type":"box","text":"appearance of actual or potential conflicts of interest because such differences could create pecuniary incentives for","page_number":133,"box":{"x":69,"y":513,"width":835,"height":11}},{"id":"9e48c916-518d-4054-8d16-f7040a048e70","block_type":"box","text":"BlackRock to favor one client account over another.","page_number":133,"box":{"x":70,"y":528,"width":363,"height":9}},{"id":"16203b42-d46d-4809-94df-6cc544b3707d","block_type":"box","text":"BlackRock owns or has an ownership interest in certain trading, portfolio management, operations and/or","page_number":133,"box":{"x":102,"y":551,"width":757,"height":11}},{"id":"a0cbf04f-db71-4762-8aeb-8bfb0ea34f0f","block_type":"box","text":"information systems used by Fund service providers. These systems are, or will be, used by a Fund service provider","page_number":133,"box":{"x":70,"y":566,"width":826,"height":11}},{"id":"33ba9707-fbf4-4821-8278-8edc274b6140","block_type":"box","text":"in connection with the provision of services to accounts managed by BlackRock and funds managed and sponsored","page_number":133,"box":{"x":70,"y":581,"width":822,"height":12}},{"id":"3ccae5d0-4a57-4ffe-8b5f-7752547cb153","block_type":"box","text":"by BlackRock, including the Funds, that engage the service provider (typically the custodian). A Fund’s service","page_number":133,"box":{"x":69,"y":597,"width":782,"height":11}},{"id":"9eac301f-cf55-4161-8d2c-e593b1c175d7","block_type":"box","text":"provider remunerates BlackRock for the use of the systems. A Fund service provider’s payments to BlackRock for the","page_number":133,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"27cb9aa1-5869-43b2-95c7-989bfc5c29f4","block_type":"box","text":"use of these systems may enhance the profitability of BlackRock.","page_number":133,"box":{"x":69,"y":627,"width":465,"height":11}},{"id":"1e42e909-2c10-4e2d-ba59-795d86735699","block_type":"box","text":"BlackRock’s receipt of fees from a service provider in connection with the use of systems provided by BlackRock","page_number":133,"box":{"x":102,"y":649,"width":804,"height":12}},{"id":"fa1f0c67-3a86-4ea6-a172-e7d81407b4d5","block_type":"box","text":"may create an incentive for BlackRock to recommend that a Fund enter into or renew an arrangement with the service","page_number":133,"box":{"x":69,"y":664,"width":840,"height":12}},{"id":"b659ceac-9ecc-43ab-8430-cf264ca70901","block_type":"box","text":"provider.","page_number":133,"box":{"x":70,"y":680,"width":58,"height":11}},{"id":"29e4f0e4-2a3d-45f6-a7eb-41c127d5914c","block_type":"box","text":"In recognition of a BlackRock client’s overall relationship with BlackRock, BlackRock may offer special pricing","page_number":133,"box":{"x":102,"y":702,"width":778,"height":12}},{"id":"5384fd45-4fdf-4eda-bbd6-cc316287ad7e","block_type":"box","text":"arrangements for certain services provided by BlackRock. Any such special pricing arrangements will not affect Fund","page_number":133,"box":{"x":69,"y":717,"width":831,"height":12}},{"id":"19df9e63-728c-4ee7-b6af-fe45893b3ef2","block_type":"box","text":"fees and expenses applicable to such client’s investment in a Fund.","page_number":133,"box":{"x":68,"y":732,"width":485,"height":11}},{"id":"bf447c57-209c-49e1-b09e-b6d757d7ffd6","block_type":"box","text":"Present and future activities of BlackRock and its directors, officers and employees, in addition to those","page_number":133,"box":{"x":102,"y":755,"width":742,"height":11}},{"id":"d34b92a6-30f3-4f48-b4d2-13edfcb38d5f","block_type":"box","text":"described in this section, may give rise to additional conflicts of interest.","page_number":133,"box":{"x":69,"y":770,"width":517,"height":12}},{"id":"12329427-1261-4bee-916d-83b666847d99","block_type":"box","text":"PURCHASE OF SHARES","page_number":133,"box":{"x":395,"y":800,"width":188,"height":10}},{"id":"0782ca1d-c858-4ae1-8a35-78c8c2794bc9","block_type":"box","text":"Most BlackRock-advised open-end funds offer multiple classes of shares under a plan adopted under Rule 18f-3","page_number":133,"box":{"x":102,"y":823,"width":800,"height":11}},{"id":"1a9bbfb5-2d27-4e89-8ecb-4613e56ba72f","block_type":"box","text":"under the Investment Company Act. Investor A Shares are sold to investors choosing the initial sales charge","page_number":133,"box":{"x":69,"y":838,"width":771,"height":11}},{"id":"8bea7884-cceb-4dfe-af0c-bdbf4866b3f7","block_type":"box","text":"alternative, except that Investor A Shares of Index Funds (defined below) and BlackRock Short Obligations Fund are","page_number":133,"box":{"x":69,"y":853,"width":822,"height":11}},{"id":"99a48e0b-c23b-48b0-9a9c-ad6e3d6b6694","block_type":"box","text":"generally not subject to an initial sales charge, and Investor C Shares are sold to investors choosing the deferred","page_number":133,"box":{"x":68,"y":868,"width":809,"height":11}},{"id":"b49377d4-3aa4-46b2-aafe-ce00b4fc8955","block_type":"box","text":"sales charge alternative. Investor P Shares are available only to certain investors purchasing shares of Funds","page_number":133,"box":{"x":69,"y":883,"width":781,"height":11}},{"id":"84b1200c-873b-417f-b505-791dbac10771","block_type":"box","text":"through registered representatives of an insurance company’s broker-dealer that has entered into an agreement with","page_number":133,"box":{"x":68,"y":898,"width":833,"height":11}},{"id":"8356aaf0-31d4-45ec-b1b1-492e91a2336a","block_type":"box","text":"II-97","page_number":133,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"74b3c612-7590-4e61-a53f-b1c0622e4698","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":133,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"14130bc7-7b60-4016-9f4f-e20f705917c1","block_type":"box","text":"the Distributor to offer such shares. Institutional Shares are sold to certain eligible investors without a sales charge.","page_number":134,"box":{"x":68,"y":45,"width":833,"height":11}},{"id":"0916d8f4-e6a3-484b-89c3-6470d2174d23","block_type":"box","text":"Certain Funds offer Class R Shares, which are available only to certain employer-sponsored retirement plans and are","page_number":134,"box":{"x":69,"y":60,"width":835,"height":11}},{"id":"ea50f4a9-1018-41e8-8253-8f7fc68e7968","block_type":"box","text":"sold without a sales charge. Certain Funds offer Class G Shares, which are available only to investors on eligible","page_number":134,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"11c1a71a-832a-4391-b3e6-53249944e02d","block_type":"box","text":"platforms, which are platforms where clients invest in the Fund through a single omnibus account in the name of a","page_number":134,"box":{"x":70,"y":90,"width":816,"height":11}},{"id":"e136399f-2e6f-421d-8be9-6eee7cb3f47a","block_type":"box","text":"financial intermediary that meets an initial investment minimum of $2 billion. In addition, certain Funds offer Service","page_number":134,"box":{"x":68,"y":104,"width":835,"height":12}},{"id":"7ac50dd5-5320-477e-8540-ef557c82edb6","block_type":"box","text":"Shares, BlackRock Shares and/or Class K Shares that are available only to certain eligible investors. Please see the","page_number":134,"box":{"x":69,"y":120,"width":834,"height":12}},{"id":"320f419c-c37c-4c6c-8fac-61ce8f13ca5a","block_type":"box","text":"appropriate Prospectus for your Fund to determine which classes are offered by your Fund and under what","page_number":134,"box":{"x":69,"y":135,"width":757,"height":11}},{"id":"8a385f9e-98e9-4a0c-b180-be8966bcc635","block_type":"box","text":"circumstances. Each class has different exchange privileges. See “Shareholder Services — Exchange Privilege.”","page_number":134,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"34a56adf-fbad-4ce5-ae1f-93edbf132034","block_type":"box","text":"The applicable offering price for purchase orders is based on the NAV of a Fund next determined after receipt of","page_number":134,"box":{"x":101,"y":173,"width":799,"height":11}},{"id":"8bff64ac-2bca-4c5e-9a19-9e444e4c9754","block_type":"box","text":"the purchase order by a dealer or other financial intermediary (“Selling Dealer”) that has been authorized by the","page_number":134,"box":{"x":68,"y":188,"width":798,"height":12}},{"id":"09f21c05-24a5-46b9-b85c-fd2f902f5933","block_type":"box","text":"Distributor by contract to accept such orders. In addition, with respect to the affiliated underlying funds in which","page_number":134,"box":{"x":70,"y":203,"width":795,"height":12}},{"id":"e6dd7319-f163-437c-8ccc-282c2c07d43e","block_type":"box","text":"target date funds advised by BlackRock or its affiliates (“BlackRock Target Date Funds”) invest, the applicable","page_number":134,"box":{"x":68,"y":218,"width":786,"height":12}},{"id":"1fae7513-9e8f-4447-9c1c-f09cc11dc36e","block_type":"box","text":"offering price of each affiliated underlying fund is based on the NAV of such affiliated underlying fund next determined","page_number":134,"box":{"x":69,"y":234,"width":839,"height":11}},{"id":"ecc9fa93-71b5-4d7f-b4ae-8f52110822dc","block_type":"box","text":"after a purchase order is received, or deemed to be received upon receipt by a Selling Dealer, by the BlackRock","page_number":134,"box":{"x":69,"y":249,"width":795,"height":11}},{"id":"98d1fdbf-7c40-4cb1-83f3-19c560a8d0a1","block_type":"box","text":"Target Date Funds that allocate a portion of such purchase order to such affiliated underlying fund. As to purchase","page_number":134,"box":{"x":68,"y":264,"width":819,"height":11}},{"id":"51478612-72b3-4c8f-8868-6777e0121174","block_type":"box","text":"orders received by Selling Dealers or BlackRock Target Date Funds prior to the close of business on the New York","page_number":134,"box":{"x":69,"y":279,"width":808,"height":11}},{"id":"fe1ac6a6-18e7-4fcb-83f6-943c7523481f","block_type":"box","text":"Stock Exchange (“NYSE”) (generally, the NYSE closes at 4:00 p.m. Eastern time), on the day the order is placed,","page_number":134,"box":{"x":69,"y":294,"width":803,"height":11}},{"id":"c6674642-3e66-4a1a-9183-063ca23ad822","block_type":"box","text":"including orders received after the close of business on the previous day, the applicable offering price is based on","page_number":134,"box":{"x":70,"y":309,"width":812,"height":11}},{"id":"7a4476c0-df31-4bf7-930b-fa3dcdee9bf6","block_type":"box","text":"the NAV determined as of the close of business on the NYSE on that day. If the purchase orders are not received by","page_number":134,"box":{"x":68,"y":324,"width":828,"height":11}},{"id":"2318730d-fb40-428f-806e-2f261abe2cc7","block_type":"box","text":"the Selling Dealer or a BlackRock Target Date Fund before the close of business on the NYSE, such orders are","page_number":134,"box":{"x":68,"y":339,"width":788,"height":12}},{"id":"34db1320-e08d-4ec5-ad0b-5895525ce591","block_type":"box","text":"deemed received on the next business day. It is the responsibility of brokers to transmit purchase orders and","page_number":134,"box":{"x":69,"y":355,"width":779,"height":11}},{"id":"a7b88e90-7aaa-400d-b639-25a26a885fd3","block_type":"box","text":"payment on a timely basis. Generally, if payment is not received within the period described in the Prospectuses, the","page_number":134,"box":{"x":70,"y":370,"width":830,"height":11}},{"id":"80975970-b5be-458b-b630-47f8d43bbbf7","block_type":"box","text":"order will be canceled, notice thereof will be given, and the broker and its customers will be responsible for any loss","page_number":134,"box":{"x":69,"y":385,"width":828,"height":11}},{"id":"6f0377d7-3833-49d9-8024-f08c531b8a8c","block_type":"box","text":"to the Fund or its shareholders. Orders of less than $500 may be mailed by a broker to the Transfer Agent.","page_number":134,"box":{"x":68,"y":399,"width":762,"height":12}},{"id":"c9d4bdde-89a6-4be9-8db1-7499e9bd355c","block_type":"box","text":"The minimum investment for the initial purchase of shares is set forth in the Prospectus for each Fund. The","page_number":134,"box":{"x":101,"y":423,"width":768,"height":11}},{"id":"01a243a7-3cdc-4ecb-9225-333c22072856","block_type":"box","text":"minimum initial investment for employees of a Fund, a Fund’s Manager, Sub-Advisers or BRIL or employees of their","page_number":134,"box":{"x":69,"y":438,"width":819,"height":11}},{"id":"1659f262-c6ad-42d0-9d6e-66a71e19dffc","block_type":"box","text":"affiliates is $100, unless payment is made through a payroll deduction program in which case the minimum","page_number":134,"box":{"x":69,"y":452,"width":769,"height":12}},{"id":"92b9bd9e-ef78-4e3d-92a2-fbb5116dbb64","block_type":"box","text":"investment is $25.","page_number":134,"box":{"x":70,"y":467,"width":132,"height":11}},{"id":"91d92543-3fb1-46e3-a81a-769d8ede597a","block_type":"box","text":"Each Fund has lower investment minimums for other categories of shareholders eligible to purchase Institutional","page_number":134,"box":{"x":102,"y":491,"width":802,"height":11}},{"id":"a2756ddf-d741-414b-8339-b7129625718a","block_type":"box","text":"Shares, including selected fee-based programs. Each Fund may permit a lower initial investment for certain investors","page_number":134,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"4e6730bc-eeff-4df2-b94d-25d4f978a68d","block_type":"box","text":"if their purchase, combined with purchases by other investors received together by the Fund, meets the minimum","page_number":134,"box":{"x":70,"y":521,"width":806,"height":11}},{"id":"86a52c16-7bd0-427c-bb23-6fb08aeff3d9","block_type":"box","text":"investment requirement. Each Fund may reject any purchase order, modify or waive the minimum initial or","page_number":134,"box":{"x":70,"y":536,"width":751,"height":11}},{"id":"75f0de11-0262-45ec-9ad5-bdc690e2e99c","block_type":"box","text":"subsequent investment requirements and suspend and resume the sale of any share class of any Fund at any time.","page_number":134,"box":{"x":69,"y":551,"width":826,"height":11}},{"id":"390854ad-f639-44b4-b331-52d8df4fec96","block_type":"box","text":"Financial intermediaries may, in connection with a change in account type or otherwise in accordance with a","page_number":134,"box":{"x":102,"y":574,"width":768,"height":11}},{"id":"b733aa72-08d8-46ff-9298-f0037d49e37e","block_type":"box","text":"financial intermediary’s policies and procedures, exchange shares of a Fund from one class of shares to another","page_number":134,"box":{"x":68,"y":589,"width":807,"height":11}},{"id":"b1548dec-bf60-40cb-b9f3-fd55df1c94f7","block_type":"box","text":"class of shares of the same Fund, provided that the exchanged shares are not subject to a contingent deferred sales","page_number":134,"box":{"x":69,"y":604,"width":836,"height":11}},{"id":"ea3c4a42-bd82-42f7-8627-d4486157f47e","block_type":"box","text":"charge (“CDSC”) and that shareholders meet eligibility requirements of the new share class. Please speak to your","page_number":134,"box":{"x":69,"y":619,"width":814,"height":11}},{"id":"4bce68a6-5fc9-4aa9-b234-bd624f39fefd","block_type":"box","text":"financial intermediary for information about specific policies and procedures applicable to your account.","page_number":134,"box":{"x":68,"y":634,"width":740,"height":11}},{"id":"4b30690f-8e71-41c6-ae01-b2b980a1dc1c","block_type":"box","text":"Each Fund or the Distributor may suspend the continuous offering of the Fund’s shares of any class at any time","page_number":134,"box":{"x":102,"y":657,"width":795,"height":11}},{"id":"3283a222-eace-4d80-ac52-0ec40a3d9ab9","block_type":"box","text":"in response to conditions in the securities markets or otherwise and may resume offering the shares from time to","page_number":134,"box":{"x":70,"y":672,"width":813,"height":11}},{"id":"26a4f183-3d47-4542-af0e-cb724cb1dd71","block_type":"box","text":"time. Any order may be rejected by a Fund or the Distributor. Neither the Distributor, the securities dealers nor other","page_number":134,"box":{"x":68,"y":687,"width":827,"height":11}},{"id":"f1677b14-bb16-4a83-9ea4-b446e5ce668b","block_type":"box","text":"financial intermediaries are permitted to withhold placing orders to benefit themselves by a price change.","page_number":134,"box":{"x":68,"y":702,"width":750,"height":12}},{"id":"3036c3aa-25ef-40a2-9cf9-21dc2f557473","block_type":"box","text":"The term “purchase,” as used in the Prospectus and this SAI, refers to (i) a single purchase by an individual,","page_number":134,"box":{"x":101,"y":725,"width":776,"height":11}},{"id":"43b9cc12-c4b1-4fc2-9921-2604b7864f6e","block_type":"box","text":"(ii) concurrent purchases by an individual, his or her spouse and their children purchasing shares for his, her or their","page_number":134,"box":{"x":69,"y":740,"width":831,"height":11}},{"id":"c47ca045-3e26-402d-b3e0-8dcd5001378f","block_type":"box","text":"own account, and (iii) single purchases by a trustee or other fiduciary purchasing shares for a single trust estate or","page_number":134,"box":{"x":69,"y":755,"width":822,"height":11}},{"id":"3215b287-cdbe-4ed8-9454-fa103ab789ad","block_type":"box","text":"single fiduciary account although more than one beneficiary may be involved. The term “purchase” also includes","page_number":134,"box":{"x":69,"y":770,"width":802,"height":12}},{"id":"4423292b-22cc-4813-84f3-0a3aa67eed70","block_type":"box","text":"purchases by any “company,” as that term is defined in the Investment Company Act, but does not include purchases","page_number":134,"box":{"x":70,"y":785,"width":839,"height":12}},{"id":"bf44ed8d-e08e-4f8c-8256-c5c94276cc6e","block_type":"box","text":"by (i) any company that has not been in existence for at least six months, (ii) a company that has no purpose other","page_number":134,"box":{"x":69,"y":801,"width":819,"height":11}},{"id":"cc33c28e-5798-46d2-98ff-e63687185b94","block_type":"box","text":"than the purchase of shares of a Fund or shares of other registered investment companies at a discount, or (iii) any","page_number":134,"box":{"x":68,"y":816,"width":827,"height":11}},{"id":"fdbb7629-3404-4030-a6ad-aaa591d54737","block_type":"box","text":"group of individuals whose sole organizational nexus is that its participants are credit cardholders of a company,","page_number":134,"box":{"x":68,"y":831,"width":803,"height":11}},{"id":"6cdcdbd5-6968-4a45-94f2-4a1651e0de2a","block_type":"box","text":"policyholders of an insurance company, customers of either a bank or broker-dealer or clients of an investment","page_number":134,"box":{"x":70,"y":846,"width":788,"height":11}},{"id":"740ce4e1-c505-4849-83e3-05d32a500821","block_type":"box","text":"adviser.","page_number":134,"box":{"x":69,"y":861,"width":53,"height":9}},{"id":"5680a129-fb19-4a3e-83b4-5a3518b5bf7e","block_type":"box","text":"With certain limited exceptions, the Funds are generally available only to investors residing in the United States","page_number":134,"box":{"x":101,"y":884,"width":795,"height":11}},{"id":"1795381a-da70-4e6d-b65e-ccfc0016404d","block_type":"box","text":"and may not be distributed by a foreign financial intermediary. Under this policy, in order to accept new accounts or","page_number":134,"box":{"x":69,"y":899,"width":821,"height":11}},{"id":"41e3c4a9-3658-4559-87d5-6b9c680b4884","block_type":"box","text":"II-98","page_number":134,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"bade95c8-f436-4896-be4f-33629b29da56","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":134,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a380e3fa-8ca5-4c6b-bff9-f067a7483335","block_type":"box","text":"additional investments (including by way of exchange from another Fund) into existing accounts, a Fund generally","page_number":135,"box":{"x":69,"y":45,"width":803,"height":11}},{"id":"5fe4549a-e3dc-4e72-b377-ffbd858270d5","block_type":"box","text":"requires that (i) a shareholder that is a natural person be a U.S. citizen or resident alien, in each case residing within","page_number":135,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"6cc8fc7f-3f52-4c78-af5b-43525a437681","block_type":"box","text":"the United States or a U.S. territory (including APO/FPO/DPO addresses), and have a valid U.S. taxpayer","page_number":135,"box":{"x":68,"y":75,"width":747,"height":11}},{"id":"9f954f97-b8fc-4a40-90cf-595bb2804b6c","block_type":"box","text":"identification number, and (ii) a financial intermediary or a shareholder that is an entity be domiciled in the United","page_number":135,"box":{"x":70,"y":90,"width":809,"height":11}},{"id":"29ff1baf-7448-4a0a-b4a3-6f169232768e","block_type":"box","text":"States and have a valid U.S. taxpayer identification number or be domiciled in a U.S. territory and have a valid U.S.","page_number":135,"box":{"x":69,"y":105,"width":819,"height":11}},{"id":"d4075ead-5aba-4de7-a17a-a4308871ee49","block_type":"box","text":"taxpayer identification number or IRS Form W-8. Any existing account that is updated to reflect a non-U.S. address will","page_number":135,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"7ef92e77-1136-4e8d-a048-d15f19ef2862","block_type":"box","text":"also be restricted from making additional investments.","page_number":135,"box":{"x":69,"y":135,"width":388,"height":12}},{"id":"37e06c54-d62c-4b90-8a1d-e6741824a196","block_type":"box","text":"In-Kind Purchases","page_number":135,"box":{"x":102,"y":158,"width":127,"height":9}},{"id":"3aeb21ba-f706-434e-8e91-35f407262cfe","block_type":"box","text":". Payment for shares of a Fund may, at the discretion of BlackRock, be made in the form of","page_number":135,"box":{"x":230,"y":158,"width":649,"height":11}},{"id":"6f26b70f-931b-408b-87f4-7719064461e3","block_type":"box","text":"securities that are permissible investments for the Fund and that meet the investment objective, policies and","page_number":135,"box":{"x":69,"y":173,"width":779,"height":11}},{"id":"79e1dd3f-34e4-4296-a326-55097a1f66aa","block_type":"box","text":"limitations of the Fund as described herein. In connection with an in-kind securities payment, the Fund may require,","page_number":135,"box":{"x":70,"y":188,"width":820,"height":11}},{"id":"d4337066-e595-4c0e-958f-ef08de47b19d","block_type":"box","text":"among other things, that the securities: (i) be valued on the day of purchase in accordance with the pricing methods","page_number":135,"box":{"x":69,"y":203,"width":827,"height":12}},{"id":"39564de6-e0c0-4668-9882-8de2cb778d25","block_type":"box","text":"used by the Fund; (ii) be accompanied by satisfactory assurance that the Fund will have good and marketable title to","page_number":135,"box":{"x":69,"y":218,"width":831,"height":12}},{"id":"0b8ba85b-36e8-432b-b734-8a9ad7a29ddb","block_type":"box","text":"such securities; (iii) not be subject to any restrictions upon resale by the Fund; (iv) be in proper form for transfer to","page_number":135,"box":{"x":69,"y":234,"width":817,"height":11}},{"id":"105fccf5-aeec-4ba3-816a-3b8e4232873c","block_type":"box","text":"the Fund; and (v) be accompanied by adequate information concerning the basis and other tax matters relating to the","page_number":135,"box":{"x":68,"y":249,"width":837,"height":11}},{"id":"d09b4563-980d-4c3b-8fe0-a5afcb9086b2","block_type":"box","text":"securities. All dividends, interest, subscription or other rights pertaining to such securities shall become the property","page_number":135,"box":{"x":69,"y":264,"width":835,"height":11}},{"id":"894a19a4-e2ae-4859-b749-9186095ba0d5","block_type":"box","text":"of the Fund engaged in the in-kind purchase transaction and must be delivered to the Fund by the investor upon","page_number":135,"box":{"x":69,"y":279,"width":795,"height":11}},{"id":"5f6e087e-f16a-4ccc-a17c-ddfc937f5099","block_type":"box","text":"receipt from the issuer. Shares purchased in exchange for securities generally cannot be redeemed until the transfer","page_number":135,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"dd6d5d3f-8bb8-4fd8-b714-1565d7205456","block_type":"box","text":"has settled.","page_number":135,"box":{"x":69,"y":309,"width":83,"height":9}},{"id":"9edf359c-a641-4c73-975f-740027878d30","block_type":"box","text":"Institutional Shares","page_number":135,"box":{"x":69,"y":340,"width":142,"height":8}},{"id":"ec20f429-1de9-461b-be4e-67abc55f9aa2","block_type":"box","text":"Institutional Shares may be purchased at NAV without a sales charge. Only certain investors are eligible to","page_number":135,"box":{"x":102,"y":362,"width":759,"height":11}},{"id":"31f715fc-de12-4223-b936-f4e8fa1c3d2f","block_type":"box","text":"purchase Institutional Shares. Investors who are eligible to purchase Institutional Shares should purchase","page_number":135,"box":{"x":70,"y":377,"width":756,"height":12}},{"id":"8e92a8b1-060c-46c1-99e6-fac75df5d196","block_type":"box","text":"Institutional Shares because they are not subject to any sales charge and have lower ongoing expenses than","page_number":135,"box":{"x":70,"y":392,"width":775,"height":12}},{"id":"d4ae7200-8223-4254-8fcf-23f125ab1646","block_type":"box","text":"Investor A, Investor A1, Investor C, Investor P, Class R or Service Shares. A Fund may in its discretion waive or modify","page_number":135,"box":{"x":70,"y":407,"width":839,"height":12}},{"id":"8ff409c1-2217-4b6b-8715-130293daf57b","block_type":"box","text":"any minimum investment amount, may reject any order for any class of shares and may suspend and resume the","page_number":135,"box":{"x":69,"y":423,"width":807,"height":11}},{"id":"8f712fe2-96e6-46ab-83db-b4375e8b65c9","block_type":"box","text":"sale of shares of any Fund at any time.","page_number":135,"box":{"x":69,"y":438,"width":276,"height":11}},{"id":"3043a8ee-3b9f-4552-933f-33e9e587c513","block_type":"box","text":"Eligible Institutional Share Investors.","page_number":135,"box":{"x":102,"y":460,"width":259,"height":12}},{"id":"a53cbd24-5f4b-4432-a477-ff9f16d85120","block_type":"box","text":"Institutional Shares of the Funds may be purchased by customers of broker","page_number":135,"box":{"x":369,"y":460,"width":540,"height":12}},{"id":"f40b1486-9671-4850-be7c-34ab0e28b996","block_type":"box","text":"dealers and agents that have established a servicing relationship with the Fund on behalf of their customers. These","page_number":135,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"9bc0bf18-27b5-4bbb-bf36-1d327cac37d8","block_type":"box","text":"broker-dealers and agents may impose additional or different conditions on the purchase or redemption of Fund","page_number":135,"box":{"x":69,"y":491,"width":796,"height":11}},{"id":"eb2f5638-cd76-49c1-802c-d80f01dcf9ed","block_type":"box","text":"shares by their customers and may charge their customers transaction, account or other fees on the purchase and","page_number":135,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"c5218c35-59ee-40e6-a093-b739ac3e3343","block_type":"box","text":"redemption of Fund shares. Each broker-dealer or agent is responsible for transmitting to its customers a schedule of","page_number":135,"box":{"x":69,"y":521,"width":840,"height":11}},{"id":"b3330709-5825-414d-9e89-2e55b2685494","block_type":"box","text":"any such fees and information regarding any additional or different conditions regarding purchases and redemptions.","page_number":135,"box":{"x":69,"y":536,"width":833,"height":11}},{"id":"3a03231d-f38a-4663-9d7a-042d2bfa6ca6","block_type":"box","text":"Shareholders who are customers of such broker-dealers or agents should consult them for information regarding","page_number":135,"box":{"x":69,"y":551,"width":802,"height":11}},{"id":"186fc0e9-53ee-4acb-9376-c21a8a5b9184","block_type":"box","text":"these fees and conditions.","page_number":135,"box":{"x":68,"y":566,"width":189,"height":9}},{"id":"14678625-8ff6-408c-aef8-d11f7e91ee1b","block_type":"box","text":"Payment for Institutional Shares must normally be made in Federal funds or other funds immediately available by","page_number":135,"box":{"x":102,"y":589,"width":805,"height":11}},{"id":"bf5c7ba6-63a3-4048-bd29-f73e2b30d683","block_type":"box","text":"4 p.m. (Eastern time) on the first business day following receipt of the order. Payment may also, in the discretion of","page_number":135,"box":{"x":69,"y":604,"width":825,"height":11}},{"id":"c1955b73-b0c2-45ff-8019-d4448605e6d0","block_type":"box","text":"certain Funds, be made in the form of securities that are permissible investments for such Funds. If payment for a","page_number":135,"box":{"x":69,"y":619,"width":817,"height":11}},{"id":"50fe7e12-d2da-4743-9b24-f773be8f15a9","block_type":"box","text":"purchase order is not received by the prescribed time, an investor may be liable for any resulting losses or expenses","page_number":135,"box":{"x":70,"y":634,"width":831,"height":12}},{"id":"f2ff207a-9769-4522-91ae-fb0313e5318f","block_type":"box","text":"incurred by the Fund.","page_number":135,"box":{"x":70,"y":650,"width":147,"height":11}},{"id":"3631491c-6681-4129-859c-cc4793b126e5","block_type":"box","text":"Certain of the Funds offer Institutional Shares as described in each such Fund’s Prospectus. In addition, the","page_number":135,"box":{"x":102,"y":672,"width":774,"height":11}},{"id":"6abbce2e-cae8-4081-b00f-f1c94ca043b1","block_type":"box","text":"following investors may purchase Institutional Shares: employees, officers and directors/trustees of BlackRock, Inc.,","page_number":135,"box":{"x":68,"y":687,"width":834,"height":11}},{"id":"d63a2d77-b9fa-4ac9-8869-a5743eefa402","block_type":"box","text":"BlackRock Funds, Bank of America Corporation (“BofA Corp.”), Barclays PLC or their respective affiliates and","page_number":135,"box":{"x":70,"y":702,"width":773,"height":11}},{"id":"2a9325c3-61fc-4f11-a558-099240bf1114","block_type":"box","text":"immediate family members of such persons, individuals and “Institutional Investors” with a minimum initial","page_number":135,"box":{"x":70,"y":717,"width":762,"height":12}},{"id":"f48d0c10-d65e-4fc2-892e-745a75bafc2d","block_type":"box","text":"investment of $2 million who may purchase shares of a Fund through a financial intermediary that has entered into","page_number":135,"box":{"x":70,"y":732,"width":821,"height":12}},{"id":"c1145b74-b99a-443c-a69e-1c07f2f85d58","block_type":"box","text":"an agreement with the Distributor to purchase such shares (“Institutional Investors” include, but are not limited to,","page_number":135,"box":{"x":69,"y":748,"width":819,"height":11}},{"id":"ce2053bc-027f-45dd-9f13-fa1891b638c3","block_type":"box","text":"endowments, foundations, family offices, local, city, and state governmental institutions, corporations, and insurance","page_number":135,"box":{"x":69,"y":763,"width":836,"height":11}},{"id":"8e22a87f-6258-4ff9-b24d-2e32b9d14acf","block_type":"box","text":"company separate accounts); employer-sponsored retirement plans (which, for this purpose, do not include SEP IRAs,","page_number":135,"box":{"x":69,"y":778,"width":837,"height":11}},{"id":"aea81054-fc0f-454a-ac4f-8b39716630ec","block_type":"box","text":"SIMPLE IRAs or SARSEPs), state sponsored 529 college savings plans, collective trust funds, investment companies","page_number":135,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"f9e4d42c-108f-44d1-baee-652cf93d1768","block_type":"box","text":"or other pooled investment vehicles, unaffiliated thrifts and unaffiliated banks and trust companies, each of which","page_number":135,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"bc84f3ec-8c46-433d-844a-23a8ec92e704","block_type":"box","text":"may purchase shares of the Fund through a financial intermediary that has entered into an agreement with the","page_number":135,"box":{"x":69,"y":823,"width":789,"height":12}},{"id":"226f4fdf-9494-477a-908c-b4ebce0b8abf","block_type":"box","text":"Distributor to purchase such shares; clients investing through a self-directed IRA brokerage account program","page_number":135,"box":{"x":70,"y":838,"width":772,"height":12}},{"id":"228a1299-394d-4ae6-b5ff-e8a029ca03fd","block_type":"box","text":"sponsored by a retirement plan record-keeper, provided that such program offers only mutual fund options and that","page_number":135,"box":{"x":69,"y":853,"width":822,"height":12}},{"id":"63e667da-e862-4b71-b4af-7d13ac60bf60","block_type":"box","text":"the program maintains an account with the Fund on an omnibus basis; clients of financial intermediaries that:","page_number":135,"box":{"x":68,"y":869,"width":783,"height":11}},{"id":"927c0028-0be6-4e4c-8c81-56113dfe2196","block_type":"box","text":"(i) charge such clients a fee for advisory, investment consulting, or similar services or (ii) have entered into an","page_number":135,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"8605df60-92f8-4514-a368-69d22b714c35","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares through a no-load program or investment platform, in each","page_number":135,"box":{"x":69,"y":899,"width":838,"height":11}},{"id":"89694c29-58c7-4300-af2a-d87862e98db7","block_type":"box","text":"II-99","page_number":135,"box":{"x":473,"y":943,"width":32,"height":9}},{"id":"c9b341c9-7fa8-49e1-8857-e9356b86056c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":135,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"272953f5-1871-4866-a560-e51532e6f94f","block_type":"box","text":"case, with no minimum initial investment; clients investing through financial intermediaries that have entered into an","page_number":136,"box":{"x":69,"y":45,"width":831,"height":11}},{"id":"244285d7-407c-45c7-9095-b94bd616a426","block_type":"box","text":"agreement with the Distributor to offer such shares on a platform that charges a transaction based sales","page_number":136,"box":{"x":69,"y":60,"width":751,"height":11}},{"id":"0758a170-1e53-4946-8e8c-abdb96c08956","block_type":"box","text":"commission outside of the Fund, with a minimum initial investment of $1,000; tax-qualified accounts for insurance","page_number":136,"box":{"x":69,"y":74,"width":817,"height":12}},{"id":"a1050523-d1c0-4995-9ae6-dc657164d976","block_type":"box","text":"agents that are registered representatives of an insurance company’s broker-dealer that has entered into an","page_number":136,"box":{"x":69,"y":90,"width":773,"height":11}},{"id":"dabac604-b985-4ef6-a038-c296c54e2055","block_type":"box","text":"agreement with the Distributor to offer Institutional Shares, and the family members of such persons, with a","page_number":136,"box":{"x":69,"y":105,"width":771,"height":11}},{"id":"930d09f7-7d62-4763-89a0-bc0905b6fa12","block_type":"box","text":"minimum initial investment of $1,000; trust department clients of Bank of America, N.A. and its affiliates for whom","page_number":136,"box":{"x":69,"y":120,"width":822,"height":11}},{"id":"e24aefcf-0414-4987-950f-7fb840f2db70","block_type":"box","text":"they (i) act in a fiduciary capacity (excluding participant directed employee benefit plans), (ii) otherwise have","page_number":136,"box":{"x":68,"y":135,"width":771,"height":12}},{"id":"fcc4e883-d0d8-4c1f-8940-148d79cb5c9c","block_type":"box","text":"investment discretion, or (iii) act as custodian for at least $2 million in assets; and holders of certain BofA Corp.","page_number":136,"box":{"x":70,"y":150,"width":801,"height":11}},{"id":"adde652a-5a30-4a68-9a92-dbcae4712d44","block_type":"box","text":"sponsored unit investment trusts (UITs) who reinvest dividends received from such UITs in shares of a Fund.","page_number":136,"box":{"x":69,"y":166,"width":770,"height":11}},{"id":"6ac86468-f8ad-4b72-b36b-b044d07ae924","block_type":"box","text":"Purchase Privileges of Cer tain Persons.","page_number":136,"box":{"x":102,"y":188,"width":280,"height":12}},{"id":"0c3bd42b-f1b2-471d-967b-88ba8e3df594","block_type":"box","text":"Employees, officers, directors/trustees of BlackRock, Inc., BlackRock","page_number":136,"box":{"x":389,"y":188,"width":496,"height":11}},{"id":"a5503895-f1da-4a40-b41c-c47964d18837","block_type":"box","text":"Funds, BofA Corp. or their respective affiliates; and any trust, pension, profit-sharing or other benefit plan for such","page_number":136,"box":{"x":70,"y":203,"width":812,"height":12}},{"id":"70188432-fa39-43ba-bac8-6568305cd0d4","block_type":"box","text":"persons may purchase Institutional Shares at lower investment minimums than stated in each Fund’s Prospectus. A","page_number":136,"box":{"x":70,"y":219,"width":828,"height":11}},{"id":"e3a2b409-69c1-45f1-8c77-fc3dbe87b7df","block_type":"box","text":"Fund realizes economies of scale and reduction of sales-related expenses by virtue of the familiarity of these persons","page_number":136,"box":{"x":70,"y":234,"width":838,"height":11}},{"id":"8b352a95-2136-46c1-b8b6-9f81d74c9842","block_type":"box","text":"with the Fund. Employees, directors, and board members of other funds wishing to purchase shares of a Fund must","page_number":136,"box":{"x":68,"y":249,"width":826,"height":11}},{"id":"cdf4b689-f110-45f6-bc84-5093a7e3f0aa","block_type":"box","text":"satisfy the Fund’s suitability standards.","page_number":136,"box":{"x":69,"y":264,"width":279,"height":11}},{"id":"da45d9a0-ee62-48db-a52a-fc8d8e690755","block_type":"box","text":"Initial Sales Charge Alternative — Investor A Shares","page_number":136,"box":{"x":69,"y":294,"width":382,"height":11}},{"id":"e2d54ac2-065c-4e7f-bb76-1f3efaf9e3e7","block_type":"box","text":"Investors who prefer an initial sales charge alternative may elect to purchase Investor A Shares. Investor A1","page_number":136,"box":{"x":102,"y":317,"width":770,"height":11}},{"id":"8528621f-4db8-48aa-a508-bfb12af5f82d","block_type":"box","text":"Shares are offered only (i) for purchase by certain employer-sponsored retirement plans and fee-based programs that","page_number":136,"box":{"x":69,"y":332,"width":837,"height":11}},{"id":"c5eb5e39-4729-4803-81a5-330aeb01f2b6","block_type":"box","text":"have been previously approved by certain Funds, and (ii) to certain investors who currently hold Investor A1 Shares","page_number":136,"box":{"x":69,"y":347,"width":819,"height":11}},{"id":"6195ce5c-d03a-4453-ba94-08ed918c3294","block_type":"box","text":"for dividend and capital gain reinvestment only. The Investor A1 initial sales charge does not apply to the transactions","page_number":136,"box":{"x":68,"y":362,"width":840,"height":11}},{"id":"46126053-0387-4805-ba81-3b381d801ed5","block_type":"box","text":"described in (i) and (ii). For ease of reference, Investor A, Investor A1 and Investor P (discussed below) Shares are","page_number":136,"box":{"x":69,"y":377,"width":815,"height":11}},{"id":"842f77ce-6e53-4af2-ba27-479f5a798367","block_type":"box","text":"sometimes referred to herein as “front-end load shares.” Investor A Shares of Index Funds (defined below) and","page_number":136,"box":{"x":69,"y":392,"width":791,"height":11}},{"id":"34e09003-9424-4f3f-b2d9-3bf51ae99926","block_type":"box","text":"BlackRock Short Obligations Fund generally are not subject to an initial sales charge or front-end load.","page_number":136,"box":{"x":70,"y":407,"width":727,"height":12}},{"id":"88867428-6f5c-4bdd-b98c-8acbb34e4a0c","block_type":"box","text":"Investors qualifying for significantly reduced initial sales charges may find the initial sales charge alternative","page_number":136,"box":{"x":102,"y":430,"width":770,"height":11}},{"id":"27fff780-d590-47ca-bc76-09a81ca88224","block_type":"box","text":"particularly attractive because similar sales charge reductions are not available with respect to the deferred sales","page_number":136,"box":{"x":70,"y":445,"width":812,"height":12}},{"id":"22c553dc-4e0e-4ecc-89a6-83e3a37c3d41","block_type":"box","text":"charges imposed in connection with investments in Investor C Shares (sometimes referred to herein as “CDSC","page_number":136,"box":{"x":69,"y":460,"width":791,"height":12}},{"id":"cc0571d7-ef17-446a-b1b5-0e569d279c8a","block_type":"box","text":"shares”). Investors who do not qualify for reduced initial sales charges and who expect to maintain their investment","page_number":136,"box":{"x":69,"y":475,"width":826,"height":12}},{"id":"6e014c40-004b-4819-974f-edf9f2bb2d07","block_type":"box","text":"for an extended period of time also may elect to purchase Investor A Shares, because over time the accumulated","page_number":136,"box":{"x":68,"y":491,"width":808,"height":11}},{"id":"537730c9-ac5b-416e-a65e-f582bd9d9c15","block_type":"box","text":"ongoing service and distribution fees on CDSC shares may exceed the front-end load shares’ initial sales charge and","page_number":136,"box":{"x":69,"y":506,"width":834,"height":11}},{"id":"1caf6382-c572-4d64-85fa-02c6035182e8","block_type":"box","text":"service fee. Although some investors who previously purchased Institutional Shares may no longer be eligible to","page_number":136,"box":{"x":69,"y":521,"width":798,"height":11}},{"id":"3fefd854-c955-4254-872b-256a9de4f70d","block_type":"box","text":"purchase Institutional Shares of other Funds, those previously purchased Institutional Shares, together with all","page_number":136,"box":{"x":70,"y":536,"width":789,"height":11}},{"id":"6af469f3-d09c-42ba-86b5-fd183247b9d1","block_type":"box","text":"BlackRock front-end load and CDSC share holdings, will count toward a right of accumulation that may qualify the","page_number":136,"box":{"x":70,"y":551,"width":805,"height":11}},{"id":"6f8d0e21-b311-42cd-bb2c-0545a61eaffc","block_type":"box","text":"investor for a reduced initial sales charge on new initial sales charge purchases. In addition, the ongoing CDSC","page_number":136,"box":{"x":70,"y":566,"width":792,"height":11}},{"id":"ea5646e2-c991-4900-bd9a-19d3415572ba","block_type":"box","text":"shares service and distribution fees will cause CDSC shares to have higher expense ratios, pay lower dividends and","page_number":136,"box":{"x":69,"y":581,"width":826,"height":12}},{"id":"b53f7692-e046-4263-a844-9f88246d2a33","block_type":"box","text":"have lower total returns than the initial sales charge shares. The ongoing front-end load shares’ service fees will","page_number":136,"box":{"x":69,"y":596,"width":802,"height":12}},{"id":"964d637a-efb0-41a9-9caf-e2bf8731112a","block_type":"box","text":"cause Investor A, Investor A1, Investor P and Service Shares to have a higher expense ratio, pay lower dividends and","page_number":136,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"52d122bd-3018-48d5-bdbe-a836c8879df6","block_type":"box","text":"have a lower total return than Institutional Shares.","page_number":136,"box":{"x":69,"y":627,"width":358,"height":9}},{"id":"0b612204-919a-4118-a4e6-196542772e24","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":136,"box":{"x":102,"y":649,"width":734,"height":12}},{"id":"dc9e5042-d0ee-4736-bdfa-2d8cf0cfd5db","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor A and Investor A1 Shares for the","page_number":136,"box":{"x":70,"y":664,"width":785,"height":11}},{"id":"7f3fd7fe-fc9d-43eb-a9e8-9f4d9d778fbc","block_type":"box","text":"periods indicated.","page_number":136,"box":{"x":70,"y":680,"width":124,"height":11}},{"id":"5371997d-ce5e-498a-9272-caa8000446de","block_type":"box","text":"The Distributor may reallow discounts to selected securities dealers and other financial intermediaries and retain","page_number":136,"box":{"x":101,"y":702,"width":806,"height":11}},{"id":"a8570800-62a3-4cec-ab8e-2e0cd022e595","block_type":"box","text":"the balance over such discounts. At times the Distributor may reallow the entire sales charge to such dealers. Since","page_number":136,"box":{"x":68,"y":718,"width":830,"height":11}},{"id":"b1c2ec59-6d65-41de-ad5b-6bf20ab3197e","block_type":"box","text":"securities dealers and other financial intermediaries selling front-end load shares of a Fund will receive a concession","page_number":136,"box":{"x":69,"y":732,"width":832,"height":12}},{"id":"c92839d3-3955-45d9-8929-73163b5db67a","block_type":"box","text":"equal to most of the sales charge, they may be deemed to be underwriters under the Securities Act.","page_number":136,"box":{"x":69,"y":748,"width":714,"height":11}},{"id":"fadb0a73-e759-4125-b91d-0ed48efcd5c9","block_type":"box","text":"Initial Sales Charge — Investor P Shares","page_number":136,"box":{"x":69,"y":778,"width":297,"height":11}},{"id":"9b661225-f6cf-4214-a4ff-1484f4353547","block_type":"box","text":"Certain Funds offer Investor P Shares as described in each such Fund’s Prospectus, Investor P Shares are","page_number":136,"box":{"x":102,"y":801,"width":761,"height":11}},{"id":"0ae72991-da26-4ef7-8328-25a06addd6a8","block_type":"box","text":"available for purchase only through registered representatives of an insurance company’s broker-dealer that has","page_number":136,"box":{"x":69,"y":816,"width":800,"height":11}},{"id":"a9847c54-e842-4592-8b00-277b09d9b701","block_type":"box","text":"entered into an agreement with the Distributor to offer such shares and are subject to an initial sales charge. The","page_number":136,"box":{"x":69,"y":831,"width":812,"height":11}},{"id":"a8ce9782-cc2f-44aa-9fc0-50d8c1f9b250","block_type":"box","text":"ongoing front-end load shares’ service fees will cause Investor P Shares to have a higher expense ratio, pay lower","page_number":136,"box":{"x":69,"y":846,"width":813,"height":11}},{"id":"f169f004-eb22-48bd-b87b-f039d6fd4f8c","block_type":"box","text":"dividends and have a lower total return than Investor A Shares of the same Fund.","page_number":136,"box":{"x":69,"y":861,"width":578,"height":9}},{"id":"d621e219-bc5b-49a7-beb6-74fc01c32697","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":136,"box":{"x":102,"y":884,"width":734,"height":11}},{"id":"187b2a88-b04f-45ae-9723-6730ed1cf1f9","block_type":"box","text":"information about amounts paid to the Distributor in connection with Investor P Shares for the periods indicated.","page_number":136,"box":{"x":70,"y":899,"width":800,"height":11}},{"id":"864fec1b-045b-4b85-87c9-55146c0a015c","block_type":"box","text":"II-100","page_number":136,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"45c50338-3251-408b-af8b-bb80f3784040","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":136,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"19a973af-7678-4986-9f75-0255c5ca01da","block_type":"box","text":"The Distributor may reallow discounts to selected securities dealers and other financial intermediaries and retain","page_number":137,"box":{"x":101,"y":45,"width":806,"height":11}},{"id":"d620d3f2-5c8f-4939-9cee-3920a6ecdb92","block_type":"box","text":"the balance over such discounts. At times the Distributor may reallow the entire sales charge to such dealers. Since","page_number":137,"box":{"x":68,"y":60,"width":830,"height":11}},{"id":"20d15df2-a015-4ad1-9e4e-8c2c1e3bd552","block_type":"box","text":"securities dealers and other financial intermediaries selling front-end load shares of a Fund will receive a concession","page_number":137,"box":{"x":69,"y":75,"width":832,"height":11}},{"id":"ac2476b9-3ab3-4b70-b41e-dd014f763cce","block_type":"box","text":"equal to most of the sales charge, they may be deemed to be underwriters under the Securities Act.","page_number":137,"box":{"x":69,"y":90,"width":714,"height":11}},{"id":"b9dc02b3-f8c1-4ee2-8474-ee3282435204","block_type":"box","text":"Reduced Initial Sales Charges","page_number":137,"box":{"x":69,"y":120,"width":219,"height":11}},{"id":"76ddeeb9-8340-467e-8d3a-2fc25bed7e22","block_type":"box","text":"Certain investors may be eligible for a reduction in or waiver of a sales load due to the nature of the investors","page_number":137,"box":{"x":102,"y":143,"width":782,"height":11}},{"id":"03298ed8-fe9a-4a53-b3b9-a5738f80e3b0","block_type":"box","text":"and/or the reduced sales efforts necessary to obtain their investments. Financial intermediaries may, in connection","page_number":137,"box":{"x":69,"y":158,"width":827,"height":11}},{"id":"a2f841ef-e3cf-47df-af50-f5c91ca687cf","block_type":"box","text":"with a change in account type or otherwise in accordance with a financial intermediary’s policies and procedures,","page_number":137,"box":{"x":68,"y":173,"width":809,"height":11}},{"id":"54160b5b-1707-417c-9669-40030821a2cb","block_type":"box","text":"exchange shares of a Fund from one class of shares to another class of shares of the same Fund provided that the","page_number":137,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"a52c7423-c3c0-42db-8260-e64eb71d56fb","block_type":"box","text":"exchanged shares are not subject to a contingent deferred sales charge and that shareholders meet the eligibility","page_number":137,"box":{"x":69,"y":203,"width":812,"height":12}},{"id":"389a7f3d-689b-4167-a8a9-d942a7a3f4bd","block_type":"box","text":"requirements of the new share class. Certain sales load reductions and waivers may be available to customers of","page_number":137,"box":{"x":69,"y":218,"width":813,"height":12}},{"id":"f9c0f778-1c31-463d-9c39-bf988a8115de","block_type":"box","text":"certain financial intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the","page_number":137,"box":{"x":69,"y":234,"width":793,"height":11}},{"id":"446e0e9d-2e0d-4f62-9f8a-b098eb749e43","block_type":"box","text":"Fund’s Prospectus. Please speak to your financial intermediary for more information.","page_number":137,"box":{"x":70,"y":249,"width":603,"height":11}},{"id":"1dac144c-7804-4074-883c-c1dabe25b6eb","block_type":"box","text":"Reinvested Dividends.","page_number":137,"box":{"x":102,"y":272,"width":156,"height":8}},{"id":"0cfd60f8-111d-4b12-b3c9-b2b9392b3472","block_type":"box","text":"No sales charges are imposed upon shares issued as a result of the automatic","page_number":137,"box":{"x":265,"y":271,"width":566,"height":12}},{"id":"9156f155-d897-4e0e-839d-f25920ff4e1f","block_type":"box","text":"reinvestment of dividends.","page_number":137,"box":{"x":69,"y":286,"width":186,"height":10}},{"id":"5ee5a6cb-113f-459b-948b-1c79dd52e39c","block_type":"box","text":"Right of Accumulation.","page_number":137,"box":{"x":102,"y":309,"width":158,"height":11}},{"id":"88d712a2-40f7-4a9c-972a-2464e549e29f","block_type":"box","text":"Investors have a “right of accumulation” under which any of the following may be","page_number":137,"box":{"x":267,"y":309,"width":574,"height":11}},{"id":"9748b279-1ed5-403c-84b6-d23fbe6506b5","block_type":"box","text":"combined with the amount of the current purchase in determining whether an investor qualifies for a breakpoint and","page_number":137,"box":{"x":69,"y":324,"width":826,"height":12}},{"id":"7602430b-1f39-4350-b3d9-c10a41cdbdf3","block_type":"box","text":"a reduced front-end sales charge: (i) the current value of an investor’s existing Investor A, Investor A1, Investor C,","page_number":137,"box":{"x":69,"y":339,"width":810,"height":12}},{"id":"9ad28611-cc73-4681-bbf2-3e744f5e24ef","block_type":"box","text":"Investor P, Institutional, Class K and Premier Shares in most BlackRock Funds, (ii) the current value of an investor’s","page_number":137,"box":{"x":70,"y":355,"width":825,"height":11}},{"id":"fe14f3e1-00ae-480d-bd3a-578912fa0a3e","block_type":"box","text":"existing shares of certain unlisted closed-end management investment companies sponsored and advised by","page_number":137,"box":{"x":69,"y":370,"width":780,"height":11}},{"id":"2ef223d0-aba6-45e7-8850-30d65f41f56b","block_type":"box","text":"BlackRock or its affiliates (“Eligible Unlisted BlackRock Closed-End Funds”) and (iii) the investment in the BlackRock","page_number":137,"box":{"x":70,"y":385,"width":828,"height":11}},{"id":"9cc2911b-85a1-486a-ae0e-610394746c24","block_type":"box","text":"CollegeAdvantage 529 Program by the investor or by or on behalf of the investor’s spouse and children. Financial","page_number":137,"box":{"x":69,"y":400,"width":804,"height":11}},{"id":"5a048e3f-a211-42e3-92e9-731a6ba684b2","block_type":"box","text":"intermediaries may value current holdings of their customers differently for purposes of determining whether an","page_number":137,"box":{"x":70,"y":415,"width":794,"height":11}},{"id":"546db0d8-f4cb-46d7-80ec-ba5fb8d74e14","block_type":"box","text":"investor qualifies for a breakpoint and a reduced front-end sales charge, although customers of the same financial","page_number":137,"box":{"x":70,"y":430,"width":814,"height":11}},{"id":"4a154a46-3318-462a-8fe2-1bca9eac90cf","block_type":"box","text":"intermediary will be treated similarly. In order to use this right, the investor must alert BlackRock to the existence of","page_number":137,"box":{"x":70,"y":445,"width":828,"height":12}},{"id":"2ba78c4d-d9fb-485c-8065-8d13959ae122","block_type":"box","text":"any previously purchased shares. Certain funds employ a “passive” management approach and attempt to match the","page_number":137,"box":{"x":69,"y":460,"width":838,"height":12}},{"id":"781c68bf-d113-4461-8e58-197523a22242","block_type":"box","text":"performance of a target index as closely as possible before the deduction of Fund expenses (“Index Funds”).","page_number":137,"box":{"x":70,"y":475,"width":776,"height":12}},{"id":"f04ef01a-1b99-4a38-9dcc-9acc456dc28c","block_type":"box","text":"Although Investor A Shares of Index Funds and BlackRock Short Obligations Fund generally are not subject to a sales","page_number":137,"box":{"x":68,"y":491,"width":835,"height":11}},{"id":"6424603d-c61d-4641-bdfc-8da327d6da55","block_type":"box","text":"charge, an investor’s existing Investor A, Investor A1, Investor C, Investor P, Institutional, Class K and Premier Shares","page_number":137,"box":{"x":69,"y":506,"width":839,"height":11}},{"id":"07eee786-1334-489f-b7fd-d64d2333f10e","block_type":"box","text":"in the Index Funds and BlackRock Short Obligations Fund may be combined with the amount of an investor’s current","page_number":137,"box":{"x":70,"y":521,"width":829,"height":11}},{"id":"1408d06c-8016-47cf-8038-70cef76fa98d","block_type":"box","text":"purchase in determining whether an investor qualifies for a breakpoint and a reduced front-end sales charge.","page_number":137,"box":{"x":70,"y":536,"width":774,"height":11}},{"id":"98ace052-6aa9-4b84-9e38-b8a8be7a3574","block_type":"box","text":"Letter of Intent.","page_number":137,"box":{"x":102,"y":559,"width":109,"height":9}},{"id":"626b54b4-1348-4aad-825a-172df4fc88e7","block_type":"box","text":"An investor may qualify for a reduced front-end sales charge immediately by signing a “Letter of","page_number":137,"box":{"x":217,"y":559,"width":681,"height":11}},{"id":"b3a54fe9-c962-40a2-8fbf-de0c207e6a2f","block_type":"box","text":"Intent” stating the investor’s intention to make one or more of the following investments within the next 13 months","page_number":137,"box":{"x":70,"y":574,"width":820,"height":11}},{"id":"20ed42f2-7118-4c89-bffd-27489096c968","block_type":"box","text":"which would, if bought all at once, qualify the investor for a reduced sales charge: (i) buy a specified amount of","page_number":137,"box":{"x":68,"y":589,"width":792,"height":11}},{"id":"cedee5fb-0024-4cd4-80b8-6ac9a8bb76d3","block_type":"box","text":"Investor A, Investor C, Investor P, Institutional, Class K and/or Premier Shares, (ii) make an investment in one or","page_number":137,"box":{"x":70,"y":604,"width":802,"height":11}},{"id":"53b1c5e9-bd71-4eb4-a500-79b913605816","block_type":"box","text":"more Eligible Unlisted BlackRock Closed-End Funds and/or (iii) make an investment through the BlackRock","page_number":137,"box":{"x":69,"y":619,"width":760,"height":11}},{"id":"e38dad63-8dec-4f9f-960e-6b105037088b","block_type":"box","text":"CollegeAdvantage 529 Program in one or more BlackRock Funds. The initial investment must meet the minimum","page_number":137,"box":{"x":69,"y":634,"width":800,"height":12}},{"id":"eec5edb0-9cb0-45af-b649-d0471832635a","block_type":"box","text":"initial purchase requirement. The 13-month Letter of Intent period commences on the day that the Letter of Intent is","page_number":137,"box":{"x":70,"y":649,"width":826,"height":12}},{"id":"02601116-3eb2-4691-b2e3-e7747e2e7769","block_type":"box","text":"received by the Fund. The market value of current holdings in the BlackRock Funds (including Investor A, Investor C,","page_number":137,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"9612b7bd-f1ce-401f-a386-5c4177bcb9f3","block_type":"box","text":"Investor P, Institutional, Class K and Premier Shares, Eligible Unlisted BlackRock Closed-End Funds and the","page_number":137,"box":{"x":70,"y":680,"width":764,"height":11}},{"id":"72caa6fd-0428-4b46-ae86-0c292a0577f7","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program Class A and Class C Units) as of the date of commencement that are","page_number":137,"box":{"x":70,"y":695,"width":800,"height":11}},{"id":"c4f470a3-f03b-4872-b5a7-6473f8ecdc6b","block_type":"box","text":"eligible under the Right of Accumulation may be counted towards the sales charge reduction. The investor must notify","page_number":137,"box":{"x":69,"y":710,"width":838,"height":11}},{"id":"d7ccacb6-c29d-4e17-a355-adb56b99ddda","block_type":"box","text":"the Fund of (i) any current holdings in the BlackRock Funds, Eligible Unlisted BlackRock Closed-End Funds and/or the","page_number":137,"box":{"x":68,"y":725,"width":835,"height":11}},{"id":"dce44070-f1a6-4d7a-9c20-0bcc6de23b5f","block_type":"box","text":"BlackRock CollegeAdvantage 529 Program that should be counted towards the sales charge reduction and (ii) any","page_number":137,"box":{"x":70,"y":740,"width":811,"height":11}},{"id":"40af51a6-e272-4e3c-ae98-13ff01ee229e","block_type":"box","text":"subsequent purchases that should be counted towards the Letter of Intent. During the term of the Letter of Intent,","page_number":137,"box":{"x":69,"y":755,"width":814,"height":11}},{"id":"e4507e5a-44df-419f-b84e-eb0cfbd3d444","block_type":"box","text":"the Fund will hold Investor A Shares and/or Investor P Shares, as applicable, representing up to 5% of the indicated","page_number":137,"box":{"x":68,"y":770,"width":827,"height":12}},{"id":"91126fb0-7a87-4c16-8015-ce03f8e14a4f","block_type":"box","text":"amount in an escrow account for payment of a higher sales load if the full amount indicated in the Letter of Intent is","page_number":137,"box":{"x":69,"y":785,"width":827,"height":12}},{"id":"384da135-cd94-4e3d-b80c-4e479c8cd698","block_type":"box","text":"not purchased. If the full amount indicated is not purchased within the 13-month period, and the investor does not","page_number":137,"box":{"x":69,"y":801,"width":817,"height":11}},{"id":"ddd5c034-3a29-4f52-9e22-6c6bbb087b2d","block_type":"box","text":"pay the higher sales load within 20 days, the Fund will redeem enough of the Investor A Shares and/or Investor P","page_number":137,"box":{"x":70,"y":816,"width":807,"height":11}},{"id":"2236d2bc-2ae8-4809-bdff-d6281b703334","block_type":"box","text":"Shares, as applicable, held in escrow to pay the difference.","page_number":137,"box":{"x":69,"y":831,"width":423,"height":11}},{"id":"867e1a1b-57db-4942-a64c-fc357ef2d801","block_type":"box","text":"Placement Fees.","page_number":137,"box":{"x":102,"y":854,"width":116,"height":8}},{"id":"0310fea5-6184-4bf5-9371-9bf59893520f","block_type":"box","text":"BlackRock may pay placement fees to dealers on purchases of Investor A and Investor P Shares of all Funds,","page_number":137,"box":{"x":102,"y":876,"width":777,"height":11}},{"id":"3c8071d7-e8b3-433c-ac34-56f11448c797","block_type":"box","text":"which may depend on the policies, procedures and trading platforms of your financial intermediary.","page_number":137,"box":{"x":68,"y":891,"width":704,"height":12}},{"id":"122bacd6-d71d-4d0c-bdbe-f249316dd342","block_type":"box","text":"II-101","page_number":137,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"8eb69520-4fe0-4df3-abd9-e5ca2e0058f6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":137,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"57f0c74d-eb88-4d19-9d65-bb2de8781b04","block_type":"box","text":"Except as noted below, these placement fees may be up to the following amounts for Investor A Shares:","page_number":138,"box":{"x":102,"y":45,"width":741,"height":11}},{"id":"d0212b07-8ad5-43c0-b60d-57c92c721959","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":72,"width":361,"height":10}},{"id":"17b4eab3-81bc-4c70-92fe-7d192202e824","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":138,"box":{"x":535,"y":72,"width":288,"height":9}},{"id":"30e9f763-14d7-422a-a8bb-727a107b8357","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":87,"width":361,"height":10}},{"id":"cc4c1597-eb04-46d4-afc0-ab44489e3429","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":535,"y":88,"width":288,"height":8}},{"id":"b0513408-3b4b-43b6-a6de-a2a299609614","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":102,"width":345,"height":10}},{"id":"e306ca60-f8d7-4ebe-b3d4-afc7c6afd8cd","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":518,"y":103,"width":305,"height":9}},{"id":"13ca64b2-63fc-43e0-9a97-60a55ebba9ce","block_type":"box","text":"With respect to Investor A Shares of BlackRock Global Allocation Fund, Inc., BlackRock Dynamic High Income","page_number":138,"box":{"x":101,"y":126,"width":776,"height":12}},{"id":"ebd2e7e9-4f4b-4094-a51f-77a43541e167","block_type":"box","text":"Portfolio (for shares purchased prior to July 1, 2020) and BlackRock Multi-Asset Income Portfolio (for shares","page_number":138,"box":{"x":69,"y":142,"width":774,"height":11}},{"id":"1999bdb2-3e0e-4707-823e-2762a6b876b2","block_type":"box","text":"purchased prior to July 1, 2020) of BlackRock Funds II, BlackRock Credit Relative Value Fund of BlackRock Funds IV","page_number":138,"box":{"x":70,"y":157,"width":824,"height":11}},{"id":"5321983d-d256-4ea9-a95b-3f556db5a579","block_type":"box","text":"and BlackRock Event Driven Equity Fund, the placement fees may be up to the following amounts:","page_number":138,"box":{"x":69,"y":172,"width":695,"height":11}},{"id":"77938220-5c7f-4860-a340-59f58efd9192","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":199,"width":410,"height":11}},{"id":"9a22c549-7817-4521-bef6-4569bf204afd","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":138,"box":{"x":583,"y":200,"width":240,"height":9}},{"id":"c84569dc-798b-42e3-b6b2-70199a8f4a89","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":214,"width":361,"height":11}},{"id":"a08ed326-4eb1-4e7e-9fa2-625c188ba6c2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":535,"y":215,"width":288,"height":9}},{"id":"68bf0efc-2634-4720-9c2a-d6d7ae1a2711","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":229,"width":345,"height":11}},{"id":"2d84aadd-0e30-4172-ac65-60fd9ff49914","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":518,"y":230,"width":305,"height":9}},{"id":"37d86fff-be87-4be0-97e2-4ed3961c9ab9","block_type":"box","text":"With respect to Investor A Shares of BlackRock Systematic Multi-Strategy Fund of BlackRock Funds IV, BlackRock","page_number":138,"box":{"x":101,"y":254,"width":806,"height":11}},{"id":"a4ea2017-6afb-4101-9577-6bb02b5d7e1e","block_type":"box","text":"Advantage CoreAlpha Bond Fund of BlackRock Funds VI, BlackRock Tactical Opportunities Fund of BlackRock Funds","page_number":138,"box":{"x":68,"y":269,"width":821,"height":11}},{"id":"c2bb7c2b-28e2-4dd9-9ae0-ab66069bfcdc","block_type":"box","text":"SM","page_number":138,"box":{"x":890,"y":269,"width":11,"height":5}},{"id":"3f1e3b6b-0ea8-4ff6-baf9-9b6d71222ce2","block_type":"box","text":",","page_number":138,"box":{"x":903,"y":276,"width":2,"height":3}},{"id":"5472a4a9-3035-4584-8c25-18b353e513cd","block_type":"box","text":"BlackRock High Yield Portfolio, BlackRock Core Bond Portfolio and BlackRock Sustainable High Yield Bond Fund of","page_number":138,"box":{"x":70,"y":284,"width":816,"height":11}},{"id":"04eb3af9-a088-478d-bab7-74deb18c05b7","block_type":"box","text":"BlackRock Funds V, BlackRock Securitized Income Fund of Managed Account Series II and BlackRock Strategic Global","page_number":138,"box":{"x":70,"y":299,"width":835,"height":11}},{"id":"e02e23b4-26fd-4f21-ad15-c61bd8b2d9e9","block_type":"box","text":"Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":138,"box":{"x":70,"y":314,"width":520,"height":12}},{"id":"7a6c0ddb-ba79-4e13-b6b4-42716c740bde","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":341,"width":361,"height":11}},{"id":"5bc6ce17-09eb-4aea-8401-a7d457b60ddc","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":138,"box":{"x":535,"y":342,"width":288,"height":9}},{"id":"c8cd8f55-6e9d-4b09-b821-c51e6e03b15e","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":356,"width":361,"height":11}},{"id":"1ef5c906-11c4-4b11-a768-a69799f7e212","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":535,"y":357,"width":288,"height":9}},{"id":"6e80cdb6-55a2-42a9-b391-e3724f31f726","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":372,"width":345,"height":10}},{"id":"53701264-e252-453e-bfee-f705f7feaaad","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":518,"y":372,"width":305,"height":9}},{"id":"6f00ad23-6d3e-4c56-bbe7-21e5a3bf9a4e","block_type":"box","text":"With respect to Investor A Shares of BlackRock Mortgage-Backed Securities Fund and BlackRock Impact","page_number":138,"box":{"x":101,"y":396,"width":743,"height":11}},{"id":"67c6abf9-d847-4b8d-8994-82b992488f76","block_type":"box","text":"Mortgage Fund of BlackRock Funds V, the placement fees may be up to the following amounts:","page_number":138,"box":{"x":70,"y":411,"width":674,"height":12}},{"id":"bc0735f3-7815-469e-bf96-7b2494a7b920","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":438,"width":361,"height":11}},{"id":"1f80579b-6164-4bba-a577-b948c0ff3940","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":535,"y":439,"width":288,"height":9}},{"id":"ebb99821-f802-4498-a9a1-543cd6c2dcd3","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":453,"width":361,"height":11}},{"id":"a8d0adad-aeae-40ba-9522-18240e38c257","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":535,"y":454,"width":288,"height":9}},{"id":"31844f34-6f1c-4d41-b1e7-d051de5224db","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":469,"width":345,"height":10}},{"id":"0ef73980-bca6-41a6-8571-83ea45272e80","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":138,"box":{"x":518,"y":469,"width":305,"height":9}},{"id":"70d577d3-bfd1-4ab6-b418-5652e574c2b3","block_type":"box","text":"With respect to Investor A Shares of BlackRock Managed Income Fund of BlackRock Funds II, the placement fees","page_number":138,"box":{"x":101,"y":493,"width":808,"height":11}},{"id":"da018d15-eaa3-43e8-93f7-9f5d40b940ef","block_type":"box","text":"may be up to the following amounts:","page_number":138,"box":{"x":69,"y":508,"width":257,"height":12}},{"id":"0e48a624-4cc9-4705-9013-7468255a5fe0","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":535,"width":410,"height":11}},{"id":"7eae8642-4cb1-481b-be2c-ad4e838df6ac","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":583,"y":536,"width":240,"height":9}},{"id":"4352e0cf-f280-48f0-ae4b-b3a06769d2d4","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":550,"width":361,"height":11}},{"id":"61ddd516-630f-4ebd-9d2a-c2c4c7a9a09f","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":535,"y":551,"width":288,"height":9}},{"id":"c3bb7598-7ac4-4043-a7bf-8b81303571d1","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":566,"width":345,"height":10}},{"id":"084e2c33-eb55-4040-98d5-ae850280e5cf","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":138,"box":{"x":518,"y":566,"width":305,"height":9}},{"id":"516d8fb5-2016-4563-9a32-7665491148a8","block_type":"box","text":"With respect to Investor A Shares of BlackRock Inflation Protected Bond Portfolio of BlackRock Funds V, the","page_number":138,"box":{"x":101,"y":590,"width":768,"height":11}},{"id":"70b8456c-cda4-4d3f-b9c0-a12392a8a930","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":138,"box":{"x":70,"y":605,"width":371,"height":12}},{"id":"45ee0a85-3396-462d-89f4-09010f878865","block_type":"box","text":"$1 million but less than $3 million . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":632,"width":361,"height":11}},{"id":"ddc4da30-257b-4d2c-8038-7a41c4e0272c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":138,"box":{"x":535,"y":633,"width":288,"height":9}},{"id":"babf75de-2f49-4a6d-aa73-3c2e5c71e081","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":647,"width":361,"height":11}},{"id":"68d87c82-3df9-4832-a999-87f832b99597","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":138,"box":{"x":535,"y":648,"width":288,"height":9}},{"id":"6e3160d1-9b34-4b54-8cdd-d6f64878a469","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":663,"width":345,"height":10}},{"id":"c96e5340-f81d-490e-8891-ef54c8b53963","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.05%","page_number":138,"box":{"x":518,"y":663,"width":305,"height":9}},{"id":"f083cb76-074e-4315-b7b6-1fb0f30c6fba","block_type":"box","text":"With respect to Investor A Shares of BlackRock Low Duration Bond Portfolio, BlackRock Floating Rate Income","page_number":138,"box":{"x":101,"y":687,"width":778,"height":11}},{"id":"f183d81e-0bac-4353-8ca6-ceef41973348","block_type":"box","text":"Portfolio, BlackRock Income Fund and BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V, the","page_number":138,"box":{"x":69,"y":702,"width":830,"height":12}},{"id":"9da10886-c1d0-4d87-a776-96f45c74c6e6","block_type":"box","text":"placement fees may be up to the following amounts:","page_number":138,"box":{"x":70,"y":717,"width":371,"height":12}},{"id":"35927cbe-2f28-4041-8d4e-d75b645011cd","block_type":"box","text":"$500,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":744,"width":410,"height":12}},{"id":"f56f3bf7-ecd0-4b2e-a4bb-98a4ec5f8460","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":138,"box":{"x":583,"y":745,"width":240,"height":9}},{"id":"f2ed78f4-bd3b-41db-bf23-de6e1a68eb20","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":760,"width":361,"height":10}},{"id":"96b2d4ed-c35d-4755-b0d9-a389e61821dc","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":535,"y":760,"width":288,"height":9}},{"id":"08dca289-c649-4117-9b8c-134a363162ee","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":138,"box":{"x":167,"y":775,"width":345,"height":10}},{"id":"c094bde6-e1be-4644-bcb3-d9805262767d","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":138,"box":{"x":518,"y":775,"width":305,"height":9}},{"id":"182de842-ccba-46d9-bc8f-1c25e593f7cc","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":138,"box":{"x":101,"y":799,"width":779,"height":11}},{"id":"7f1aa6ae-6842-4b6a-bcd1-4db78ec4e3f2","block_type":"box","text":"Inc. (for shares purchased prior to March 18, 2019), the placement fees may be up to the following amounts:","page_number":138,"box":{"x":70,"y":814,"width":780,"height":12}},{"id":"d0ff59cd-897f-400e-ac0f-7a2be3412bab","block_type":"box","text":"$250,000 and above . . . .","page_number":138,"box":{"x":167,"y":841,"width":182,"height":12}},{"id":"4735627a-1602-4f72-8cc2-cf77756d43e1","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":138,"box":{"x":355,"y":842,"width":468,"height":9}},{"id":"eae92b29-43e6-4034-96cd-b9534afb40f3","block_type":"box","text":"II-102","page_number":138,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"425fa19d-826f-42dd-8a75-f9a25f17d8e9","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":138,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"617d8820-7a0a-4d14-9e0c-85254add1366","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":139,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"1aba2f33-cd3e-4974-93ba-1c0ff3714c04","block_type":"box","text":"Inc. (for shares purchased on or after March 18, 2019 and prior to July 1, 2020), the placement fees may be up to","page_number":139,"box":{"x":70,"y":60,"width":819,"height":11}},{"id":"09413ed8-557c-4ebf-9098-e549018d753d","block_type":"box","text":"the following amounts:","page_number":139,"box":{"x":68,"y":75,"width":161,"height":11}},{"id":"88434c46-81c8-43bb-a807-f9e920735c42","block_type":"box","text":"$100,000 and above . . . .","page_number":139,"box":{"x":167,"y":102,"width":182,"height":11}},{"id":"6ce58a4b-cea8-4bbf-a5ea-b05f469dba8e","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":355,"y":103,"width":468,"height":9}},{"id":"1f611069-d888-410c-b403-24dcaed68b3d","block_type":"box","text":"With respect to Investor A Shares of BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund,","page_number":139,"box":{"x":101,"y":126,"width":779,"height":11}},{"id":"44be5fc0-15e9-426a-a985-d6d9b0502407","block_type":"box","text":"Inc. (for shares purchased on or after July 1, 2020), the placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":142,"width":775,"height":11}},{"id":"b6555af4-256d-4fa2-a542-6d0873939795","block_type":"box","text":"$250,000 and above . . . .","page_number":139,"box":{"x":167,"y":169,"width":182,"height":11}},{"id":"3f224b80-218b-480d-9a1f-43bc16e0111a","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":355,"y":169,"width":468,"height":9}},{"id":"e8d4e4d8-18a5-45fc-add9-960018f03fcf","block_type":"box","text":"With respect to Investor A Shares of BlackRock Strategic Municipal Opportunities Fund of BlackRock Municipal","page_number":139,"box":{"x":101,"y":193,"width":788,"height":12}},{"id":"7e91b6be-07fe-4668-8778-958c748fbc5f","block_type":"box","text":"Series Trust, BlackRock California Municipal Opportunities Fund of BlackRock California Municipal Series Trust,","page_number":139,"box":{"x":69,"y":208,"width":792,"height":11}},{"id":"ec643ad5-57a7-4a0c-b29c-7c4aed637814","block_type":"box","text":"BlackRock New York Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":139,"box":{"x":70,"y":224,"width":787,"height":11}},{"id":"2c5e0ed0-9087-4faa-99c2-3933d3867d38","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust and BlackRock National Municipal","page_number":139,"box":{"x":69,"y":239,"width":834,"height":11}},{"id":"70ec8cb8-8d2b-438a-ab45-0721728a438a","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., the placement fees may be up to the following amounts:","page_number":139,"box":{"x":70,"y":254,"width":729,"height":11}},{"id":"652cc0cf-0abf-47b4-ac6c-aa1779cd7075","block_type":"box","text":"$250,000 but less than $4 million . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":281,"width":410,"height":11}},{"id":"b88a72e8-8e68-4b75-ae97-dc763b8ce5aa","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 1.00%","page_number":139,"box":{"x":583,"y":282,"width":240,"height":8}},{"id":"d240df77-5555-4aa2-8102-314c25f052a3","block_type":"box","text":"$4 million but less than $10 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":296,"width":361,"height":10}},{"id":"9fb0eb9e-ff4d-48b5-9927-0670247d4b25","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":297,"width":288,"height":9}},{"id":"f7716211-3969-4b8e-9322-34318f40607d","block_type":"box","text":"$10 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":311,"width":345,"height":11}},{"id":"f6449a1a-e6ab-4518-929e-144985f70a43","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":312,"width":305,"height":9}},{"id":"7fba65a3-8c19-4c39-98fe-8754b21267ff","block_type":"box","text":"With respect to Investor A Shares of BlackRock Dynamic High Income Portfolio (for shares purchased on or after","page_number":139,"box":{"x":101,"y":336,"width":801,"height":11}},{"id":"307af2dd-ee39-4583-91a8-17b958810a7f","block_type":"box","text":"July 1, 2020) and BlackRock Multi-Asset Income Portfolio (for shares purchased on or after July 1, 2020) of","page_number":139,"box":{"x":69,"y":351,"width":769,"height":11}},{"id":"8153f66d-7f71-4677-b4f7-a410f5ed451f","block_type":"box","text":"BlackRock Funds II, BlackRock Total Return Fund of BlackRock Bond Fund, Inc. and BlackRock Balanced Fund, Inc.,","page_number":139,"box":{"x":70,"y":366,"width":818,"height":10}},{"id":"4cc554d3-fc76-4bf9-8a68-d8beea049869","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":139,"box":{"x":68,"y":381,"width":401,"height":11}},{"id":"b86d8727-caba-445a-9e1d-c8a4f2297c8e","block_type":"box","text":"$250,000 but less than $3 million . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":408,"width":410,"height":11}},{"id":"37909b49-a6d6-46c6-817b-9645912161eb","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . 0.75%","page_number":139,"box":{"x":583,"y":409,"width":240,"height":9}},{"id":"d050203b-b925-4756-9d3c-be9868f598ac","block_type":"box","text":"$3 million but less than $15 million . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":423,"width":361,"height":11}},{"id":"1c93d021-24f0-4f3b-9eb8-b94e97358c42","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.50%","page_number":139,"box":{"x":535,"y":424,"width":288,"height":9}},{"id":"4a6eb7c0-17ae-459d-b782-c16eaba321f7","block_type":"box","text":"$15 million and above . . . . . . . . . . . . . . . . . . . . . . .","page_number":139,"box":{"x":167,"y":438,"width":345,"height":11}},{"id":"1ba146b0-c6f5-4431-a7d7-f30cbd679c22","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.25%","page_number":139,"box":{"x":518,"y":439,"width":305,"height":9}},{"id":"d3214c38-65c1-4910-b121-b94679a4ae6e","block_type":"box","text":"With respect to Investor P Shares of BlackRock LifePath","page_number":139,"box":{"x":101,"y":463,"width":398,"height":11}},{"id":"24c0ded1-9f4e-4357-887f-5068f353a83a","block_type":"box","text":"®","page_number":139,"box":{"x":500,"y":463,"width":6,"height":5}},{"id":"5da78c50-0396-4ff1-a585-1260d135d56f","block_type":"box","text":"Index 2030 Fund, BlackRock LifePath","page_number":139,"box":{"x":513,"y":463,"width":264,"height":10}},{"id":"5fc2e24f-284e-48a7-9178-979738e1ad69","block_type":"box","text":"®","page_number":139,"box":{"x":778,"y":463,"width":6,"height":5}},{"id":"be39d48d-8e9b-44b2-a48d-af24f930b2f8","block_type":"box","text":"Index 2035","page_number":139,"box":{"x":791,"y":463,"width":79,"height":9}},{"id":"5e6a0024-aeea-42b8-bec0-332e8e0b3d8b","block_type":"box","text":"Fund, BlackRock LifePath","page_number":139,"box":{"x":70,"y":478,"width":177,"height":11}},{"id":"2eac82d0-6654-4f1f-8ed0-b825eae519c7","block_type":"box","text":"®","page_number":139,"box":{"x":249,"y":478,"width":6,"height":5}},{"id":"9fbcfdc3-2db1-402c-803b-47516cceff39","block_type":"box","text":"Index 2040 Fund, BlackRock LifePath","page_number":139,"box":{"x":261,"y":478,"width":265,"height":11}},{"id":"a302bb98-b287-4f08-b512-bc853be2f5b6","block_type":"box","text":"®","page_number":139,"box":{"x":527,"y":478,"width":6,"height":5}},{"id":"d664307e-d161-4de1-8d37-9efa64266f46","block_type":"box","text":"Index 2045 Fund, BlackRock LifePath","page_number":139,"box":{"x":539,"y":478,"width":265,"height":11}},{"id":"f22d30da-dded-4bc3-905c-954ce00c41e5","block_type":"box","text":"®","page_number":139,"box":{"x":805,"y":478,"width":6,"height":5}},{"id":"545f75eb-e42c-43bf-8c11-8cd107371b33","block_type":"box","text":"Index 2050","page_number":139,"box":{"x":817,"y":478,"width":80,"height":9}},{"id":"967f8708-25c7-4faf-a67b-4af04d9707be","block_type":"box","text":"Fund, BlackRock LifePath","page_number":139,"box":{"x":70,"y":493,"width":177,"height":11}},{"id":"1d866aab-3a24-452f-8664-e813a33d5a4a","block_type":"box","text":"®","page_number":139,"box":{"x":248,"y":494,"width":6,"height":4}},{"id":"8340b6ae-f8c2-4713-a685-fe29eefdd239","block_type":"box","text":"Index 2055 Fund, BlackRock LifePath","page_number":139,"box":{"x":261,"y":493,"width":263,"height":11}},{"id":"45c9968e-6f2a-4f57-92ed-327107082e4a","block_type":"box","text":"®","page_number":139,"box":{"x":526,"y":494,"width":6,"height":4}},{"id":"22043c38-85e1-497f-8634-84ff863db92f","block_type":"box","text":"Index 2060 Fund, BlackRock LifePath","page_number":139,"box":{"x":538,"y":493,"width":264,"height":11}},{"id":"046ae776-97fa-4fe6-b1e6-08f15623c4d8","block_type":"box","text":"®","page_number":139,"box":{"x":803,"y":494,"width":6,"height":4}},{"id":"f4201047-6d0c-4984-9fb3-e92da4efd687","block_type":"box","text":"Index 2065","page_number":139,"box":{"x":815,"y":493,"width":80,"height":9}},{"id":"cf403474-f078-404a-a4d2-f10eb1bb5dae","block_type":"box","text":"Fund, BlackRock LifePath","page_number":139,"box":{"x":70,"y":508,"width":177,"height":11}},{"id":"fd095645-0a29-4e61-8999-ea254cd2630d","block_type":"box","text":"®","page_number":139,"box":{"x":248,"y":509,"width":6,"height":4}},{"id":"ab2d7e96-3c9d-4c5f-ad80-8aab157f6601","block_type":"box","text":"Index 2070 Fund and BlackRock LifePath","page_number":139,"box":{"x":261,"y":508,"width":290,"height":9}},{"id":"2abec12c-af48-439f-9702-04fb4c148547","block_type":"box","text":"®","page_number":139,"box":{"x":552,"y":509,"width":6,"height":4}},{"id":"80c8ba87-5c7e-4ef4-b2d5-766140858f19","block_type":"box","text":"Index Retirement Fund of BlackRock Funds III,","page_number":139,"box":{"x":564,"y":508,"width":324,"height":11}},{"id":"c5a821e2-a71a-4341-a5e4-011dd9e99b7b","block_type":"box","text":"the placement fees may be up to the following amounts:","page_number":139,"box":{"x":68,"y":523,"width":401,"height":12}},{"id":"40df9833-4b49-44c7-9f3b-90a6bf73a65b","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":139,"box":{"x":167,"y":550,"width":206,"height":12}},{"id":"69087cec-ceae-44c7-b21e-43472b6d34ba","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.10%","page_number":139,"box":{"x":380,"y":551,"width":443,"height":9}},{"id":"6d9060ad-83f5-4348-bbce-8f44d0fd25d0","block_type":"box","text":"With respect to Investor P Shares of iShares Municipal Bond Index Fund of BlackRock Funds","page_number":139,"box":{"x":101,"y":575,"width":657,"height":11}},{"id":"b2dd5bab-4f96-4f7e-98a4-a7f97659907a","block_type":"box","text":"SM","page_number":139,"box":{"x":760,"y":575,"width":10,"height":5}},{"id":"fb629019-4d8f-4695-9479-7195d2210d3d","block_type":"box","text":", the placement","page_number":139,"box":{"x":773,"y":575,"width":110,"height":11}},{"id":"884b33fe-a693-424f-bd55-2035722225ee","block_type":"box","text":"fees may be up to the following amounts:","page_number":139,"box":{"x":68,"y":590,"width":294,"height":11}},{"id":"6892ab1e-c402-4d1f-a152-e4448b8149a3","block_type":"box","text":"$1,000,000 and above . . . . .","page_number":139,"box":{"x":167,"y":617,"width":206,"height":11}},{"id":"8d62d249-f39d-4a63-b113-69b7fcd6bbae","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 0.15%","page_number":139,"box":{"x":380,"y":618,"width":443,"height":9}},{"id":"1f0d5996-e7cc-40a3-8f83-a3f751e93307","block_type":"box","text":"There are no placement fees for Investor P Shares of iShares MSCI EAFE International Index Fund and iShares","page_number":139,"box":{"x":101,"y":642,"width":787,"height":11}},{"id":"c282ee84-0b5b-41c4-a1ab-69e01dacfd48","block_type":"box","text":"Russell 2000 Small-Cap Index Fund of BlackRock Index Funds, Inc. and iShares S&P 500 Index Fund and iShares","page_number":139,"box":{"x":70,"y":657,"width":808,"height":11}},{"id":"b38cd565-f723-4c38-a1f2-822714fd1fce","block_type":"box","text":"U.S. Aggregate Bond Index Fund of BlackRock Funds III.","page_number":139,"box":{"x":70,"y":672,"width":393,"height":11}},{"id":"33cb2d26-55d4-4e92-8a3c-bf78f6a5ac99","block_type":"box","text":"For the tables above, the placement fees indicated will apply up to the indicated breakpoint (so that, for","page_number":139,"box":{"x":102,"y":695,"width":740,"height":11}},{"id":"0d58e96c-9df0-4860-876f-9b3f44b2e261","block_type":"box","text":"example, a sale of $4 million worth of Investor A Shares of BlackRock Impact Mortgage Fund of BlackRock Funds V","page_number":139,"box":{"x":69,"y":709,"width":823,"height":12}},{"id":"b8751504-a556-4f39-8609-898bfd8a4393","block_type":"box","text":"will result in a placement fee of up to 0.50% on the first $3 million and a placement fee of 0.25% on the final","page_number":139,"box":{"x":68,"y":724,"width":780,"height":12}},{"id":"9706615f-58a3-40a0-97c6-9c2435ab418c","block_type":"box","text":"$1 million).","page_number":139,"box":{"x":69,"y":739,"width":79,"height":12}},{"id":"cda31810-de7f-489c-8b0f-30607d8799a0","block_type":"box","text":"Other.","page_number":139,"box":{"x":102,"y":763,"width":41,"height":9}},{"id":"4f3744f0-efe5-469d-a595-5f8fb6fdd6b0","block_type":"box","text":"The following persons may also buy Investor A or Investor P Shares without paying a sales charge:","page_number":139,"box":{"x":149,"y":763,"width":698,"height":11}},{"id":"84686322-c3e7-4ada-a4d3-11c9c6e8834a","block_type":"box","text":"(a) certain employer-sponsored retirement plans (for purposes of this waiver, employer-sponsored retirement plans do","page_number":139,"box":{"x":69,"y":778,"width":839,"height":11}},{"id":"07417910-1336-485c-a0c2-56793e51ba88","block_type":"box","text":"not include SEP IRAs, SIMPLE IRAs or SARSEPs); (b) rollovers of current investments through certain employer","page_number":139,"box":{"x":69,"y":793,"width":790,"height":11}},{"id":"0acbb3ca-8be1-42eb-954b-52704aab883e","block_type":"box","text":"sponsored retirement plans provided the shares are transferred to Investor A or Investor P, as applicable, shares of","page_number":139,"box":{"x":69,"y":808,"width":825,"height":11}},{"id":"b998f06e-ebdb-4cfa-b96b-fd2a392fd4af","block_type":"box","text":"the same or another BlackRock Fund as either a direct rollover, or subsequent to distribution, the rolled-over","page_number":139,"box":{"x":68,"y":823,"width":773,"height":11}},{"id":"5a9984c8-dbe6-44ba-876d-ebb7d4ab2bbd","block_type":"box","text":"proceeds are contributed to a BlackRock IRA through an account directly with the Fund; or purchases by IRA programs","page_number":139,"box":{"x":70,"y":839,"width":838,"height":11}},{"id":"c6088538-cd43-403e-8fc9-f8a888a413a5","block_type":"box","text":"that are sponsored by financial intermediary firms provided the financial intermediary firm has entered into a Class A","page_number":139,"box":{"x":68,"y":853,"width":837,"height":12}},{"id":"78dbedb4-cca6-4fd5-b1df-0d784ffdacfd","block_type":"box","text":"or Investor P NAV agreement, as applicable, with respect to such program with the Distributor; (c) insurance company","page_number":139,"box":{"x":69,"y":869,"width":836,"height":11}},{"id":"c51b0bf8-04b8-4daa-b9cc-19c06ee2bca5","block_type":"box","text":"separate accounts; (d) registered investment advisers, trust companies and bank trust departments exercising","page_number":139,"box":{"x":69,"y":884,"width":793,"height":11}},{"id":"b19a5a50-c3d4-4189-9967-9a288bf9fc7a","block_type":"box","text":"discretionary investment authority with respect to amounts to be invested in a Fund; (e) persons participating in a","page_number":139,"box":{"x":69,"y":899,"width":811,"height":11}},{"id":"2f987d06-a7c1-4bcd-893d-bf39545ad117","block_type":"box","text":"II-103","page_number":139,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"dc8ef7cc-8f34-4116-9140-a75019ac6197","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":139,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"447dcf00-7e8e-4a36-a1f7-a5634c078bf1","block_type":"box","text":"fee-based program (such as a wrap account) under which they pay advisory fees to a broker-dealer or other financial","page_number":140,"box":{"x":68,"y":45,"width":827,"height":11}},{"id":"91c1e9e2-2ddc-4456-817a-81b72ad6e60a","block_type":"box","text":"institution; (f) financial intermediaries who have entered into an agreement with the Distributor and have been","page_number":140,"box":{"x":70,"y":60,"width":782,"height":11}},{"id":"8f28c349-77ea-4bf9-a589-55efa9e68550","block_type":"box","text":"approved by the Distributor to offer Fund shares to self-directed investment brokerage accounts that may or may not","page_number":140,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"ebe812d9-8367-46cf-a750-634942485ec2","block_type":"box","text":"charge a transaction fee; (g) state sponsored 529 college savings plans and rollovers of such 529 plans into Roth","page_number":140,"box":{"x":69,"y":90,"width":815,"height":11}},{"id":"df7f97a9-2032-4f9c-b82c-49f3d4c40893","block_type":"box","text":"IRAs as permitted under the Internal Revenue Code; (h) with respect to Investor A Shares only, accounts opened","page_number":140,"box":{"x":70,"y":105,"width":799,"height":11}},{"id":"71316fc9-4d27-487c-ad73-b5b12bba2d18","block_type":"box","text":"directly with a Fund that do not have a financial intermediary associated with the account; and (i) persons","page_number":140,"box":{"x":69,"y":120,"width":752,"height":11}},{"id":"79617e36-9a63-43f0-8ca7-0c7c1960a4b4","block_type":"box","text":"involuntarily liquidated from a Fund, who within 60 days of liquidation buy new shares of another BlackRock Fund (but","page_number":140,"box":{"x":70,"y":135,"width":836,"height":11}},{"id":"0c39323d-d781-4319-87c4-61794924ac10","block_type":"box","text":"only up to the amount that was liquidated). The following persons associated with the Funds, the Fund’s Manager,","page_number":140,"box":{"x":69,"y":150,"width":812,"height":12}},{"id":"0e40ce7c-610e-4973-a82c-4d1f71589bab","block_type":"box","text":"Sub-Advisers, Transfer Agent, Distributor, fund accounting agents, Barclays PLC and their affiliates may buy Investor A","page_number":140,"box":{"x":69,"y":166,"width":840,"height":11}},{"id":"d7f18085-c166-4da2-8889-878344e1a475","block_type":"box","text":"or Investor P Shares of each of the Funds without paying a sales charge to the extent permitted by these firms","page_number":140,"box":{"x":69,"y":181,"width":788,"height":11}},{"id":"f567170d-689e-42df-87f0-889f8b83a577","block_type":"box","text":"including: (a) officers, directors and partners; (b) employees and retirees; (c) employees or registered representatives","page_number":140,"box":{"x":70,"y":196,"width":838,"height":11}},{"id":"ae46f112-424e-40d5-a502-7611efd919a4","block_type":"box","text":"of firms who have entered into selling agreements to distribute shares of BlackRock-advised funds; (d) immediate","page_number":140,"box":{"x":69,"y":211,"width":810,"height":11}},{"id":"7bee0d86-2a9d-4c87-b4f7-01ffd267a748","block_type":"box","text":"family members of such persons (“immediate family members” shall be defined as the investor, the investor’s","page_number":140,"box":{"x":68,"y":226,"width":787,"height":11}},{"id":"72cde3a3-2d69-428d-adcc-1ef745eb7586","block_type":"box","text":"spouse or domestic partner, children, parents and siblings); and (e) any trust, pension, profit-sharing or other benefit","page_number":140,"box":{"x":69,"y":241,"width":834,"height":11}},{"id":"4aedbc32-7b37-4860-968f-1ba708cb6e32","block_type":"box","text":"plan for any of the persons set forth in (a) through (d). Investors who qualify for any of these exemptions from the","page_number":140,"box":{"x":70,"y":256,"width":808,"height":12}},{"id":"3f934654-f724-4d7c-8edf-d7b2d3d777b5","block_type":"box","text":"sales charge should purchase Investor A or Investor P Shares. In addition, a sales charge waiver may be available for","page_number":140,"box":{"x":69,"y":271,"width":837,"height":12}},{"id":"0bd2f5bc-21ec-4d4e-ac5d-bac1c6c14bbb","block_type":"box","text":"investors exchanging Investor A Shares of one BlackRock Fund for Investor P Shares of another BlackRock Fund, or","page_number":140,"box":{"x":70,"y":286,"width":820,"height":12}},{"id":"6b0b8fae-4e4c-4e75-8871-d463ceb1f50d","block_type":"box","text":"exchanging Investor P Shares of one BlackRock Fund for Investor A Shares of another BlackRock Fund, through an","page_number":140,"box":{"x":69,"y":302,"width":813,"height":11}},{"id":"a70933a7-70f8-4003-8c76-71067fce2a62","block_type":"box","text":"intermediary-processed exchange, provided that the investor had previously paid a sales charge with respect to such","page_number":140,"box":{"x":70,"y":317,"width":831,"height":11}},{"id":"0d3f0ba7-da9c-493e-ad9a-d6ca2e677fe4","block_type":"box","text":"shares. The availability of Investor A or Investor P Shares sales charge waivers may depend upon the policies,","page_number":140,"box":{"x":69,"y":332,"width":783,"height":11}},{"id":"3b4ae60e-063c-4afc-aa2d-d6336af608aa","block_type":"box","text":"procedures and trading platforms of your financial intermediary; consult your financial adviser.","page_number":140,"box":{"x":70,"y":347,"width":668,"height":11}},{"id":"2bcdda42-11cf-4d41-8290-2d3e07245295","block_type":"box","text":"If you invest $1,000,000 ($250,000 for BlackRock Dynamic High Income Portfolio, BlackRock Multi-Asset","page_number":140,"box":{"x":102,"y":369,"width":754,"height":12}},{"id":"27bfdcbc-1f84-4bcd-acbc-4cb99d63d28b","block_type":"box","text":"Income Portfolio and BlackRock Managed Income Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund","page_number":140,"box":{"x":70,"y":385,"width":823,"height":11}},{"id":"75ce345d-565f-4989-848e-0de743460a6e","block_type":"box","text":"of BlackRock Funds IV, BlackRock Total Return Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund,","page_number":140,"box":{"x":69,"y":400,"width":833,"height":10}},{"id":"af4ac50a-0979-4b98-9325-09367dcb56f6","block_type":"box","text":"Inc., BlackRock National Municipal Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Short Duration Muni","page_number":140,"box":{"x":70,"y":415,"width":802,"height":11}},{"id":"817bcd16-0ea5-4f84-ab71-9b466c5ff10f","block_type":"box","text":"Fund of BlackRock Municipal Bond Fund, Inc., BlackRock Strategic Municipal Opportunities Fund of BlackRock","page_number":140,"box":{"x":70,"y":430,"width":781,"height":11}},{"id":"33b6d120-95c0-46f3-85c8-6db2ae901457","block_type":"box","text":"Municipal Series Trust, BlackRock California Municipal Opportunities Fund of BlackRock California Municipal Series","page_number":140,"box":{"x":70,"y":445,"width":819,"height":11}},{"id":"b48ef29d-82ce-4e66-82ac-7e70663b73c2","block_type":"box","text":"Trust, BlackRock New York Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock","page_number":140,"box":{"x":68,"y":460,"width":835,"height":12}},{"id":"60d7ebe8-4fda-4766-a6f1-e570ad129a48","block_type":"box","text":"Pennsylvania Municipal Bond Fund of BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity","page_number":140,"box":{"x":69,"y":475,"width":813,"height":12}},{"id":"58ca8c38-ab9a-46cf-99d3-f409e73e9ab3","block_type":"box","text":"Fund and BlackRock Balanced Fund, Inc., and $500,000 for BlackRock Low Duration Bond Portfolio, BlackRock","page_number":140,"box":{"x":70,"y":490,"width":792,"height":11}},{"id":"0b40a279-d49b-4729-9055-788759b9e6ba","block_type":"box","text":"Floating Rate Income Portfolio, BlackRock Income Fund and BlackRock Strategic Income Opportunities Portfolio of","page_number":140,"box":{"x":70,"y":506,"width":813,"height":11}},{"id":"229389cd-30a4-43ff-9128-74cfb052da40","block_type":"box","text":"BlackRock Funds V) or more in Investor A or Investor P Shares, as applicable, you may not pay an initial sales charge.","page_number":140,"box":{"x":70,"y":521,"width":837,"height":11}},{"id":"9988b766-4ae1-43f4-bca1-e96b0e7e41bc","block_type":"box","text":"However, if you redeem your Investor A or Investor P Shares, as applicable, within 18 months after purchase (a","page_number":140,"box":{"x":70,"y":536,"width":790,"height":11}},{"id":"e95a77d4-52ea-4dc0-ae1a-276d7e44339f","block_type":"box","text":"shorter holding period may apply depending on the Fund), you may be charged a deferred sales charge.","page_number":140,"box":{"x":69,"y":551,"width":736,"height":11}},{"id":"d4d05431-27de-4019-a111-8be926b6796d","block_type":"box","text":"A deferred sales charge of up to 1.00% may apply to certain redemptions of Investor A Shares of the Index","page_number":140,"box":{"x":101,"y":574,"width":763,"height":11}},{"id":"b0b93e54-d151-4520-86ee-7f1d2e1aebd2","block_type":"box","text":"Funds and BlackRock Short Obligations Fund purchased in an exchange transaction for Investor A Shares of a","page_number":140,"box":{"x":70,"y":589,"width":782,"height":11}},{"id":"391b791e-73c8-4b3e-a522-0fe967b4fe7a","block_type":"box","text":"portfolio advised by BlackRock or its affiliates where no initial sales charge was paid at the time of purchase of such","page_number":140,"box":{"x":70,"y":604,"width":832,"height":11}},{"id":"8dfa8b39-b239-4651-93c6-72ced77c9300","block_type":"box","text":"fund (an “Investor A Load-Waived BlackRock Portfolio”) as part of an investment of $1,000,000 (lesser amounts may","page_number":140,"box":{"x":68,"y":618,"width":839,"height":12}},{"id":"ba50f5c7-8c43-4ea7-bc65-bf920392cfb4","block_type":"box","text":"apply depending on the Investor A Load-Waived BlackRock Portfolio) or more. The Investor A Shares deferred sales","page_number":140,"box":{"x":69,"y":634,"width":817,"height":12}},{"id":"093a46ab-a01b-468a-b4e5-6df17e79f942","block_type":"box","text":"charge is only charged upon redemptions of Investor A Shares within 18 months after you originally acquired such","page_number":140,"box":{"x":69,"y":649,"width":811,"height":12}},{"id":"72f6b224-383e-4a7e-b4d8-7ff9f8012d3d","block_type":"box","text":"Investor A Shares of the Investor A Load-Waived BlackRock Portfolio (a shorter holding period may apply depending","page_number":140,"box":{"x":70,"y":664,"width":818,"height":12}},{"id":"e1e1142e-ab73-4c8f-aa93-cedcebf1edd9","block_type":"box","text":"on the Investor A Load-Waived BlackRock Portfolio), unless you qualify for a waiver. There is no deferred sales charge","page_number":140,"box":{"x":69,"y":680,"width":836,"height":11}},{"id":"bfe925c2-08d8-4363-a051-4f46f25b3f52","block_type":"box","text":"charged on redemptions if you have owned your Investor A Shares for more than 18 months (or for a shorter holding","page_number":140,"box":{"x":69,"y":695,"width":830,"height":11}},{"id":"3ca0662a-8960-493c-9433-5289d8e8bd7f","block_type":"box","text":"period, as applicable) (as measured from your original purchase of Investor A Shares that you exchanged into","page_number":140,"box":{"x":70,"y":710,"width":778,"height":11}},{"id":"1feaf513-f9db-4612-88f2-75f6b513aef3","block_type":"box","text":"Investor A Shares of the Index Fund or BlackRock Short Obligations Fund).","page_number":140,"box":{"x":70,"y":725,"width":526,"height":11}},{"id":"23f9fed6-205a-4f6e-aaa5-c214ce8f6090","block_type":"box","text":"The deferred sales charge on Investor A or Investor P Shares, as applicable, is not charged in connection with:","page_number":140,"box":{"x":101,"y":748,"width":788,"height":11}},{"id":"bd85a814-1e61-46a6-b7be-c9dbee4129f8","block_type":"box","text":"(a) redemptions of Investor A or Investor P Shares purchased through certain employer-sponsored retirement plans","page_number":140,"box":{"x":69,"y":763,"width":819,"height":11}},{"id":"a120dbcc-627a-47e5-843d-b42bf8e89787","block_type":"box","text":"and rollovers of current investments in a Fund through such plans; (b) exchanges described in “Exchange Privilege”","page_number":140,"box":{"x":69,"y":778,"width":820,"height":11}},{"id":"b46706e2-a5a4-4c1e-aed7-b4f7f97da40a","block_type":"box","text":"below; (c) redemptions made in connection with minimum required distributions from IRA and 403(b)(7) accounts due","page_number":140,"box":{"x":69,"y":793,"width":837,"height":11}},{"id":"049fb69e-31e4-4388-98b8-496ddc41642c","block_type":"box","text":"to the shareholder reaching the applicable age triggering such distributions; (d) redemptions made with respect to","page_number":140,"box":{"x":68,"y":808,"width":812,"height":11}},{"id":"ec09948f-a28a-4323-93d3-0a404867503c","block_type":"box","text":"certain retirement plans sponsored by a Fund, BlackRock or its affiliates; (e) redemptions (i) within one year of a","page_number":140,"box":{"x":69,"y":823,"width":803,"height":11}},{"id":"a8da217a-9b0b-4cb3-ba20-53beb009610e","block_type":"box","text":"shareholder’s death or, if later, the receipt of a certified probate settlement (including in connection with the","page_number":140,"box":{"x":69,"y":838,"width":772,"height":12}},{"id":"b5587b36-65d7-4988-b64c-d89b04e9d52a","block_type":"box","text":"distribution of account assets to a beneficiary of the decedent) or (ii) in connection with a shareholder’s disability (as","page_number":140,"box":{"x":69,"y":853,"width":835,"height":12}},{"id":"4987977f-6076-4a22-b819-6a2d66ac9874","block_type":"box","text":"defined in the Code) subsequent to the purchase of Investor A or Investor P Shares; (f) involuntary redemptions of","page_number":140,"box":{"x":69,"y":869,"width":814,"height":11}},{"id":"97f9deff-5f2d-41d3-87a3-d4675b034a22","block_type":"box","text":"Investor A or Investor P Shares in accounts with low balances; (g) certain redemptions made pursuant to the","page_number":140,"box":{"x":70,"y":884,"width":772,"height":11}},{"id":"d089c5b3-7df3-40b7-bd4c-46062727f801","block_type":"box","text":"Systematic Withdrawal Plan (described below); (h) redemptions related to the payment of BNY Mellon Investment","page_number":140,"box":{"x":69,"y":899,"width":805,"height":11}},{"id":"cbcf6358-d289-4f24-a755-4d2484e37b73","block_type":"box","text":"II-104","page_number":140,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"fa977b67-2cec-4924-8151-b73ab24f3de4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":140,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bf1dc4fc-d7d7-459c-9789-9442288418fb","block_type":"box","text":"Servicing Trust Company custodial IRA fees; and (i) redemptions when a shareholder can demonstrate hardship, in","page_number":141,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"716b7bde-0f5b-433f-9a5f-fb4b2803e879","block_type":"box","text":"the absolute discretion of a Fund.","page_number":141,"box":{"x":68,"y":60,"width":239,"height":9}},{"id":"8b7910dc-140c-4b0a-b83a-aac7f145ea00","block_type":"box","text":"With respect to certain employer-sponsored retirement plans, if a dealer waives its right to receive a placement","page_number":141,"box":{"x":101,"y":82,"width":794,"height":12}},{"id":"af232316-536d-4fcb-ba04-d2983ab0c486","block_type":"box","text":"fee, the Fund may, at its own discretion, waive the CDSC related to purchases of $1,000,000 ($250,000 for","page_number":141,"box":{"x":68,"y":97,"width":776,"height":12}},{"id":"d00540e2-0b7b-402c-88f5-f4e449ae88b4","block_type":"box","text":"BlackRock Dynamic High Income Portfolio, BlackRock Multi-Asset Income Portfolio and BlackRock Managed Income","page_number":141,"box":{"x":70,"y":113,"width":821,"height":11}},{"id":"2c923711-f56c-4123-9c0f-715e8ba81a8e","block_type":"box","text":"Fund of BlackRock Funds II, BlackRock Credit Relative Value Fund of BlackRock Funds IV, BlackRock Total Return","page_number":141,"box":{"x":70,"y":128,"width":800,"height":10}},{"id":"7f00a7fd-324e-4025-b414-0459bb856175","block_type":"box","text":"Fund of BlackRock Bond Fund, Inc., BlackRock Global Allocation Fund, Inc., BlackRock National Municipal Fund of","page_number":141,"box":{"x":70,"y":143,"width":806,"height":11}},{"id":"3193a2ce-cf25-4ce2-bd70-3daf67f8ee6c","block_type":"box","text":"BlackRock Municipal Bond Fund, Inc., BlackRock Short Duration Muni Fund of BlackRock Municipal Bond Fund, Inc.,","page_number":141,"box":{"x":70,"y":158,"width":823,"height":11}},{"id":"b8bbb397-8da1-44bf-8243-c212fad6c8a7","block_type":"box","text":"BlackRock Strategic Municipal Opportunities Fund of BlackRock Municipal Series Trust, BlackRock California","page_number":141,"box":{"x":70,"y":173,"width":770,"height":11}},{"id":"605bfee4-5d13-40aa-858e-93875dcc7ee8","block_type":"box","text":"Municipal Opportunities Fund of BlackRock California Municipal Series Trust, BlackRock New York Municipal","page_number":141,"box":{"x":70,"y":188,"width":766,"height":11}},{"id":"e681fc0f-9f33-4d07-b605-43de1e609845","block_type":"box","text":"Opportunities Fund, BlackRock New Jersey Municipal Bond Fund and BlackRock Pennsylvania Municipal Bond Fund of","page_number":141,"box":{"x":69,"y":203,"width":837,"height":12}},{"id":"819e2d72-a52b-4f26-8c27-5afdbc76ea3f","block_type":"box","text":"BlackRock Multi-State Municipal Series Trust, BlackRock Event Driven Equity Fund and BlackRock Balanced Fund,","page_number":141,"box":{"x":70,"y":219,"width":805,"height":11}},{"id":"ea9b8ddd-e853-4829-8263-d09bf8ebbcd1","block_type":"box","text":"Inc., and $500,000 for BlackRock Low Duration Bond Portfolio, BlackRock Floating Rate Income Portfolio, BlackRock","page_number":141,"box":{"x":70,"y":233,"width":832,"height":12}},{"id":"f229bd9b-3b8c-40f0-84b6-e73fd77299ab","block_type":"box","text":"Income Fund and BlackRock Strategic Income Opportunities Portfolio of BlackRock Funds V) or more of Investor A or","page_number":141,"box":{"x":70,"y":249,"width":828,"height":11}},{"id":"529e76e1-c098-438d-9123-9c7716a65f4f","block_type":"box","text":"Investor P Shares. This may depend upon the policies, procedures and trading platforms of your financial","page_number":141,"box":{"x":70,"y":264,"width":746,"height":11}},{"id":"705ec573-45f1-4df9-8818-c413bc819b70","block_type":"box","text":"intermediary; consult your financial adviser.","page_number":141,"box":{"x":70,"y":279,"width":307,"height":11}},{"id":"8297ad33-4d0a-419b-9952-c6e8f7c4b88b","block_type":"box","text":"Investor A and Investor P Shares are also available at NAV to investors that, for regulatory reasons, are required","page_number":141,"box":{"x":102,"y":302,"width":799,"height":11}},{"id":"b415dd54-1a9f-4ea8-a580-f4d708949fa3","block_type":"box","text":"to transfer investment positions from a foreign registered investment company advised by BlackRock or its affiliates","page_number":141,"box":{"x":68,"y":317,"width":829,"height":11}},{"id":"3091e441-fd79-44a9-841a-d366f5610de4","block_type":"box","text":"to a U.S. registered BlackRock-advised fund.","page_number":141,"box":{"x":68,"y":332,"width":317,"height":11}},{"id":"123aa8e3-3013-4d46-bf75-daf8c82a8bf3","block_type":"box","text":"Acquisition of Cer tain Investment Companies.","page_number":141,"box":{"x":101,"y":355,"width":326,"height":11}},{"id":"a333e8fa-6028-46a1-a46d-b6c4f48c0e40","block_type":"box","text":"Investor A and Investor P Shares may be offered at NAV in","page_number":141,"box":{"x":434,"y":355,"width":413,"height":11}},{"id":"538711a6-c6f9-4e42-83dd-358d00f6c27f","block_type":"box","text":"connection with the acquisition of the assets of, or merger or consolidation with, a personal holding company or a","page_number":141,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"0db9ca11-8794-4f96-b552-be92df86a8c4","block_type":"box","text":"public or private investment company.","page_number":141,"box":{"x":70,"y":385,"width":266,"height":11}},{"id":"a065a865-30f3-458f-a57a-98068b391a14","block_type":"box","text":"Purchases Through Cer tain Financial Intermediaries.","page_number":141,"box":{"x":102,"y":408,"width":372,"height":11}},{"id":"da502f83-5957-4bcf-9ac3-8a2e623bc32c","block_type":"box","text":"Reduced sales charges may be applicable for purchases of","page_number":141,"box":{"x":481,"y":407,"width":421,"height":12}},{"id":"cc369a31-bc90-4261-9fb0-e6ab914f0013","block_type":"box","text":"Investor A, Investor A1 or Investor P Shares of a Fund through certain financial advisers, selected securities dealers","page_number":141,"box":{"x":70,"y":423,"width":825,"height":11}},{"id":"51cd5eb2-736b-4acb-afc0-50d3368eecca","block_type":"box","text":"and other financial intermediaries that meet and adhere to standards established by the Manager from time to time.","page_number":141,"box":{"x":69,"y":438,"width":830,"height":11}},{"id":"c147c56a-23c4-4967-aa42-9f95761d351a","block_type":"box","text":"Deferred Sales Charge Alternative — Investor C Shares","page_number":141,"box":{"x":69,"y":468,"width":405,"height":11}},{"id":"6ebf8bcf-2a18-45b8-8170-0d915807efaa","block_type":"box","text":"Investors choosing the deferred sales charge alternative should consider Investor C Shares if they are uncertain","page_number":141,"box":{"x":102,"y":491,"width":799,"height":11}},{"id":"72ead2d1-d2f6-4fd2-bbcd-a53d2a0c86d6","block_type":"box","text":"as to the length of time they intend to hold their assets in a Fund. If you select Investor C Shares, you do not pay an","page_number":141,"box":{"x":69,"y":506,"width":828,"height":11}},{"id":"28542fa0-74cc-429b-a916-c93e3ce54829","block_type":"box","text":"initial sales charge at the time of purchase. A Fund will not accept a purchase order of $500,000 or more for","page_number":141,"box":{"x":70,"y":520,"width":778,"height":12}},{"id":"f2f59728-08e8-42ae-b910-3e6d9876b09a","block_type":"box","text":"Investor C Shares (may be lower on funds that have set a lower breakpoint for NAV). Your financial intermediary may","page_number":141,"box":{"x":70,"y":536,"width":826,"height":11}},{"id":"c32200fb-6763-4bca-9801-f2934cf84ec1","block_type":"box","text":"set a lower maximum for Investor C Shares.","page_number":141,"box":{"x":69,"y":551,"width":311,"height":9}},{"id":"d436a310-5a3c-450f-b412-48a9641c02a3","block_type":"box","text":"Investor C Shares are not available in accounts opened or held directly with a Fund that do not have a financial","page_number":141,"box":{"x":102,"y":574,"width":789,"height":11}},{"id":"9146d1be-0994-4ceb-91e4-a117716f140a","block_type":"box","text":"intermediary associated with the account.","page_number":141,"box":{"x":70,"y":589,"width":297,"height":11}},{"id":"443ef2e8-87c5-4431-ad4a-e6118599f244","block_type":"box","text":"If you select Investor C Shares, you do not pay an initial sales charge at the time of purchase.","page_number":141,"box":{"x":102,"y":612,"width":669,"height":11}},{"id":"8149276f-b947-4600-a1a0-79509c51ecea","block_type":"box","text":"The deferred sales charge alternatives may be particularly appealing to investors who do not qualify for the","page_number":141,"box":{"x":101,"y":634,"width":763,"height":12}},{"id":"3bf38dbe-b9b2-42e5-bd54-0c44cce06238","block_type":"box","text":"reduction in initial sales charges. CDSC shares are subject to ongoing service fees and distribution fees; however,","page_number":141,"box":{"x":69,"y":649,"width":815,"height":12}},{"id":"22a6bd6c-9bfd-4151-b9c2-3b6df98e647f","block_type":"box","text":"these fees potentially may be offset to the extent any return is realized on the additional funds initially invested in","page_number":141,"box":{"x":68,"y":664,"width":813,"height":12}},{"id":"38b55cd9-d791-41ae-bce0-40500710efce","block_type":"box","text":"CDSC shares.","page_number":141,"box":{"x":69,"y":680,"width":97,"height":9}},{"id":"ef2005bf-0b85-40a5-aa56-9c9facfa8f25","block_type":"box","text":"BlackRock compensates financial advisers and other financial intermediaries for selling CDSC shares at the time","page_number":141,"box":{"x":102,"y":702,"width":804,"height":12}},{"id":"eea3670f-b55c-42cc-b727-de3d094db48f","block_type":"box","text":"of purchase from its own funds. Proceeds from the CDSC and the distribution fee are paid to the Distributor and are","page_number":141,"box":{"x":69,"y":717,"width":827,"height":11}},{"id":"1ea69144-3db5-48d6-9391-a5a29dc490c9","block_type":"box","text":"used by the Distributor to defray the expenses of securities dealers or other financial intermediaries related to","page_number":141,"box":{"x":69,"y":732,"width":786,"height":12}},{"id":"2d27e195-45af-4c18-8990-0cd3eecc79a6","block_type":"box","text":"providing distribution-related services to each Fund in connection with the sale of the CDSC shares. The combination","page_number":141,"box":{"x":70,"y":748,"width":831,"height":11}},{"id":"8e206870-9af7-4b62-b9bd-4c36d2a11527","block_type":"box","text":"of the CDSC and the ongoing distribution fee facilitates the ability of each Fund to sell the CDSC shares without a","page_number":141,"box":{"x":69,"y":763,"width":809,"height":11}},{"id":"ba6ac0e4-f0d1-4bf9-afbb-cf319fe07edf","block_type":"box","text":"sales charge being deducted at the time of purchase. See “Distribution and/or Shareholder Servicing Plans” below.","page_number":141,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"874d1912-2f06-4551-8e61-a5af1f8ff216","block_type":"box","text":"Imposition of the CDSC and the distribution fee on CDSC shares is limited by FINRA (as defined below) asset-based","page_number":141,"box":{"x":70,"y":793,"width":822,"height":11}},{"id":"621850cb-465e-4b45-b13c-d899318fb66d","block_type":"box","text":"sales charge rule. See “Limitations on the Payment of Deferred Sales Charges” below.","page_number":141,"box":{"x":69,"y":808,"width":618,"height":11}},{"id":"37eae846-d379-47fe-84aa-cfc93fd92018","block_type":"box","text":"Dealers will generally immediately receive commissions equal to 1.00% of the Investor C Shares sold by them","page_number":141,"box":{"x":102,"y":831,"width":782,"height":11}},{"id":"b861b3e5-fef3-4ba6-8ec5-cb2438fc6653","block_type":"box","text":"plus ongoing fees under the Fund’s Distribution and Service Plan. Dealers may not receive a commission in","page_number":141,"box":{"x":70,"y":846,"width":764,"height":11}},{"id":"590ce2c6-5646-4f03-83cd-b436819a9aff","block_type":"box","text":"connection with sales of Investor C Shares to certain employer-sponsored retirement plans sponsored by the Fund,","page_number":141,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"75b7262b-a57b-4cdd-88ba-9ec6aa009b34","block_type":"box","text":"BlackRock or its affiliates, but may receive fees under the Distribution and Service Plan. These commissions and","page_number":141,"box":{"x":70,"y":876,"width":806,"height":11}},{"id":"fdb34869-489f-4356-b4d4-d362498eac9f","block_type":"box","text":"payments may be different than the reallowances, placement fees and commissions paid to dealers in connection","page_number":141,"box":{"x":70,"y":891,"width":813,"height":11}},{"id":"06d450e8-2597-435c-953e-05f97bcd1b5d","block_type":"box","text":"II-105","page_number":141,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9a8fcae3-6d31-4a28-bb09-3ea0efcca928","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":141,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9fcc97a4-d5c3-418d-880b-23ff6fe1f8af","block_type":"box","text":"with sales of Investor A, Investor A1 and Investor P Shares. These may depend upon the policies, procedures and","page_number":142,"box":{"x":68,"y":45,"width":811,"height":11}},{"id":"7a59eacd-0aca-4ecd-8e28-673b5fd5c74f","block_type":"box","text":"trading platforms of your financial intermediary; consult your financial adviser.","page_number":142,"box":{"x":68,"y":60,"width":554,"height":11}},{"id":"767c8ede-b599-481a-bfd6-e91922e42230","block_type":"box","text":"Each Fund has adopted an automatic conversion feature for Investor C Shares. Effective November 23, 2020,","page_number":142,"box":{"x":102,"y":82,"width":783,"height":11}},{"id":"89eb9046-a429-4a69-8e7d-20d474228424","block_type":"box","text":"Investor C Shares held for approximately eight years will be converted into Investor A Shares, as set forth in each","page_number":142,"box":{"x":70,"y":98,"width":808,"height":11}},{"id":"9f6640da-3fc6-4d2e-a0d6-ecc8c72d1d93","block_type":"box","text":"Fund’s Prospectus. In addition, accounts that do not have a financial intermediary associated with them are not","page_number":142,"box":{"x":70,"y":113,"width":797,"height":11}},{"id":"0261ea5a-2e8d-493e-a19f-a5599acc11be","block_type":"box","text":"eligible to hold Investor C Shares, and any Investor C Shares held in such accounts will be automatically converted to","page_number":142,"box":{"x":69,"y":128,"width":837,"height":11}},{"id":"7fa38c95-c9b6-4efa-bccc-c3e3e4bcb3e1","block_type":"box","text":"Investor A Shares.","page_number":142,"box":{"x":70,"y":143,"width":128,"height":9}},{"id":"cb3db8da-bee5-4674-a336-804b6ebbfbca","block_type":"box","text":"Conversion of Investor C Shares to Investor A Shares","page_number":142,"box":{"x":102,"y":166,"width":378,"height":9}},{"id":"88a88863-4999-4d07-a65d-cb9abf0726c2","block_type":"box","text":"Effective November 23, 2020 (the “Effective Date”), approximately eight years after purchase, Investor C Shares","page_number":142,"box":{"x":102,"y":188,"width":804,"height":12}},{"id":"0a60eaf7-adc0-41ab-9c0f-886a712bf099","block_type":"box","text":"of each Fund will convert automatically into Investor A Shares of that Fund (the “Investor C 8-Year Conversion”).","page_number":142,"box":{"x":69,"y":203,"width":794,"height":12}},{"id":"0b5090dc-50e9-4ab6-9f09-8145ef5c3967","block_type":"box","text":"Certain funds (the “Predecessor Funds”) were reorganized into new Funds (the “Successor Funds”) pursuant to","page_number":142,"box":{"x":69,"y":218,"width":794,"height":12}},{"id":"68395371-61a0-42aa-993f-4da4b94d7491","block_type":"box","text":"reorganizations which occurred in September 2018. The holding period for Investor C Shares of Successor Funds","page_number":142,"box":{"x":69,"y":234,"width":806,"height":11}},{"id":"28b249bc-2292-48de-834b-f124bc2c2f37","block_type":"box","text":"includes the period such shares were held in the respective Predecessor Fund. It is the financial intermediary’s","page_number":142,"box":{"x":70,"y":249,"width":793,"height":11}},{"id":"bca35a3b-b250-4015-96b3-57fcfc371b23","block_type":"box","text":"responsibility to ensure that the shareholder is credited with the proper holding period. As of the Effective Date,","page_number":142,"box":{"x":69,"y":264,"width":796,"height":11}},{"id":"432b9a53-ff4b-4df4-89d0-c3d41f8404c6","block_type":"box","text":"certain financial intermediaries, including group retirement recordkeeping platforms, may not have been tracking","page_number":142,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"ce255c13-e486-47b3-a849-492662ec3525","block_type":"box","text":"such holding periods and therefore may not be able to process such conversions. In such instances, Investor C","page_number":142,"box":{"x":69,"y":294,"width":793,"height":11}},{"id":"e72ddb91-75ea-4122-9588-1962a657eef7","block_type":"box","text":"Shares held as of the Effective Date will automatically convert to Investor A Shares approximately eight years after","page_number":142,"box":{"x":69,"y":309,"width":817,"height":11}},{"id":"61dfe811-d847-4894-b6b0-1e7f44db540e","block_type":"box","text":"the Effective Date. If, as of November 23, 2028 (eight years after the Effective Date), a financial intermediary has","page_number":142,"box":{"x":68,"y":324,"width":814,"height":12}},{"id":"9300b340-c97e-4131-932d-1dd2a601a600","block_type":"box","text":"not implemented systems or procedures to track holding periods commencing from the Effective Date, shareholders","page_number":142,"box":{"x":69,"y":339,"width":828,"height":12}},{"id":"655e54ac-d3b3-405c-bd7d-d59ad529a8b8","block_type":"box","text":"holding Investor C Shares through such financial intermediary will no longer be eligible to hold Investor C Shares and","page_number":142,"box":{"x":69,"y":355,"width":832,"height":11}},{"id":"21d6d461-6165-4129-afc7-308f9c5e7be1","block_type":"box","text":"any such shares will convert to Investor A Shares as soon as reasonably practicable after such date.","page_number":142,"box":{"x":69,"y":370,"width":718,"height":11}},{"id":"7aead66d-40ba-4fbb-b0bf-6db6fa22059a","block_type":"box","text":"In addition, accounts that do not have a financial intermediary associated with them are not eligible to hold","page_number":142,"box":{"x":102,"y":392,"width":764,"height":12}},{"id":"5a484a6b-87fd-492c-813e-584899dfc191","block_type":"box","text":"Investor C Shares, and any Investor C Shares held in such accounts will be automatically converted into Investor A","page_number":142,"box":{"x":70,"y":408,"width":816,"height":11}},{"id":"bbc5d0b7-67c8-4479-8405-9b07d9dca0d8","block_type":"box","text":"Shares (the “Investor C Direct Accounts Conversion” and together with the Investor C 8-Year Conversion, the","page_number":142,"box":{"x":69,"y":423,"width":772,"height":11}},{"id":"e3919ef0-b83d-4538-b159-b1e3ce78f430","block_type":"box","text":"“Investor C Conversions”).","page_number":142,"box":{"x":70,"y":438,"width":186,"height":11}},{"id":"3e2081e7-83a0-42c2-a76f-a0692823e0bf","block_type":"box","text":"The Investor C Conversions will occur at least once each month (on the “Investor C Conversion Date”) on the","page_number":142,"box":{"x":101,"y":460,"width":776,"height":11}},{"id":"59920c1b-8cca-4652-979c-e2a340ba9e34","block_type":"box","text":"basis of the relative NAV of the shares of the two applicable classes on the Investor C Conversion Date, without the","page_number":142,"box":{"x":69,"y":475,"width":824,"height":11}},{"id":"28f40198-e1d8-43ed-9812-2a3b863f8cd3","block_type":"box","text":"imposition of any sales load, fee or other charge. The Investor C Conversions will not be deemed a purchase or sale","page_number":142,"box":{"x":70,"y":491,"width":827,"height":11}},{"id":"d3f57568-a3d1-4aa5-b37b-4176385f64b2","block_type":"box","text":"of the shares for U.S. federal income tax purposes. Shares acquired through reinvestment of dividends on Investor C","page_number":142,"box":{"x":69,"y":506,"width":833,"height":11}},{"id":"ab4944d3-cda7-4290-8d87-1829b42d7510","block_type":"box","text":"Shares will also convert automatically to Investor A Shares, as set forth in each Fund’s Prospectus. The Investor C","page_number":142,"box":{"x":69,"y":521,"width":818,"height":11}},{"id":"d64a2517-480e-4d01-9734-c20a332e4c25","block_type":"box","text":"Conversion Date for dividend reinvestment shares will be calculated taking into account the length of time the shares","page_number":142,"box":{"x":69,"y":536,"width":836,"height":11}},{"id":"775ac3b6-7f1f-442d-b963-7f8ce1dfb4c4","block_type":"box","text":"underlying the dividend reinvestment shares were outstanding.","page_number":142,"box":{"x":69,"y":551,"width":445,"height":11}},{"id":"4673b140-8404-46f4-8961-b9432a031d99","block_type":"box","text":"Contingent Deferred Sales Charge — Investor C Shares","page_number":142,"box":{"x":102,"y":574,"width":396,"height":11}},{"id":"6f8bb50c-4929-4654-a499-2a1e233b98a1","block_type":"box","text":"Investor C Shares that are redeemed within one year of purchase may be subject to a 1.00% CDSC charged as a","page_number":142,"box":{"x":102,"y":596,"width":804,"height":12}},{"id":"33ab55c3-c2b2-40eb-97e4-c2363908b721","block_type":"box","text":"percentage of the dollar amount subject thereto. In determining whether an Investor C Shares CDSC is applicable to","page_number":142,"box":{"x":70,"y":612,"width":826,"height":11}},{"id":"7d3ac78b-ab33-47e8-ab32-b1adfb78fd8d","block_type":"box","text":"a redemption, the calculation will be determined in the manner that results in the lowest possible rate being charged.","page_number":142,"box":{"x":69,"y":627,"width":837,"height":11}},{"id":"5124845e-8914-4d0d-aeec-42aacea64814","block_type":"box","text":"The charge will be assessed on an amount equal to the lesser of the proceeds of redemption or the cost of the","page_number":142,"box":{"x":68,"y":642,"width":795,"height":11}},{"id":"1f4ae3db-5944-4885-869f-96859d72bb8e","block_type":"box","text":"shares being redeemed. Accordingly, no CDSC will be imposed on increases in NAV above the initial purchase price of","page_number":142,"box":{"x":69,"y":657,"width":840,"height":11}},{"id":"6c929004-17b6-4c61-8b53-99c6129df3ba","block_type":"box","text":"Investor C Shares. In addition, no CDSC will be assessed on Investor C Shares acquired through reinvestment of","page_number":142,"box":{"x":70,"y":672,"width":804,"height":11}},{"id":"f91e0ba2-b5d8-403e-8f4b-bf5f7c371784","block_type":"box","text":"dividends. It will be assumed that the redemption is first of shares held for over one year or shares acquired","page_number":142,"box":{"x":69,"y":687,"width":772,"height":11}},{"id":"5abf7316-b9ba-45ad-bace-a85d91b9e0d6","block_type":"box","text":"pursuant to reinvestment of dividends and then of shares held longest during the one-year period. A transfer of","page_number":142,"box":{"x":70,"y":702,"width":790,"height":12}},{"id":"bbad3a60-1abf-43c1-9c3c-d72e58cb7636","block_type":"box","text":"shares from a shareholder’s account to another account will be assumed to be made in the same order as a","page_number":142,"box":{"x":69,"y":717,"width":776,"height":9}},{"id":"bafd4d27-4303-4b1d-b062-931900766b4e","block_type":"box","text":"redemption.","page_number":142,"box":{"x":69,"y":733,"width":83,"height":10}},{"id":"f2fa8c21-6b0e-4c30-b776-b1500cabb643","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":142,"box":{"x":102,"y":755,"width":734,"height":11}},{"id":"20d70c71-6a1e-4e93-8014-67b0ad9c413a","block_type":"box","text":"information about amounts paid to the Distributor in connection with CDSC shares for the periods indicated.","page_number":142,"box":{"x":70,"y":770,"width":769,"height":11}},{"id":"9eb2bd46-b83c-4d29-9ed8-53a4be70d9ef","block_type":"box","text":"Investor C Shares — Contingent Deferred Sales Charge Waivers and Reductions","page_number":142,"box":{"x":102,"y":793,"width":572,"height":11}},{"id":"61d12fcb-59e8-4520-877d-300864e253eb","block_type":"box","text":"The CDSC on Investor C Shares is not charged in connection with: (1) redemptions of Investor C Shares","page_number":142,"box":{"x":101,"y":816,"width":740,"height":11}},{"id":"3a138755-35dc-45de-b73d-bc15fd6b281d","block_type":"box","text":"purchased through certain employer-sponsored retirement plans and fee-based programs previously approved by","page_number":142,"box":{"x":70,"y":831,"width":802,"height":11}},{"id":"bffe3920-bc96-4b47-802b-e8bd6b725afa","block_type":"box","text":"certain Funds and rollovers of current investments in the Fund through such plans; (2) exchanges described in","page_number":142,"box":{"x":69,"y":846,"width":786,"height":11}},{"id":"e092f136-00ca-4c79-951b-3dcfe543e53f","block_type":"box","text":"“Exchange Privilege” below; (3) redemptions made in connection with minimum required distributions due to the","page_number":142,"box":{"x":70,"y":861,"width":797,"height":11}},{"id":"021663de-9f14-422f-9e1c-f8dead856248","block_type":"box","text":"shareholder reaching age 72 from IRA and 403(b)(7) accounts; (4) redemptions made with respect to certain","page_number":142,"box":{"x":69,"y":876,"width":776,"height":11}},{"id":"41d4d9b1-f645-414a-b74d-71cafdde3ffd","block_type":"box","text":"retirement plans sponsored by the Fund, BlackRock or its affiliates; (5) redemptions in connection with a","page_number":142,"box":{"x":69,"y":891,"width":747,"height":11}},{"id":"cd1a543e-87be-4315-9fb7-f0298edfd449","block_type":"box","text":"shareholder’s death as long as the waiver request is made within one year of death or, if later, reasonably promptly","page_number":142,"box":{"x":69,"y":906,"width":822,"height":12}},{"id":"48534400-81a0-4343-8021-315988723926","block_type":"box","text":"II-106","page_number":142,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"2d2fd307-cc68-49a5-a065-bb8c854abb43","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":142,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a262d0b5-802b-4148-80fd-87964d46c1d2","block_type":"box","text":"following completion of probate (including in connection with the distribution of account assets to a beneficiary of the","page_number":143,"box":{"x":68,"y":45,"width":836,"height":11}},{"id":"4985ce45-c134-4515-a1aa-7798566d4022","block_type":"box","text":"decedent) or disability (as defined in the Code) subsequent to the purchase of Investor C Shares; (6) withdrawals","page_number":143,"box":{"x":69,"y":60,"width":806,"height":11}},{"id":"f9bdf854-92be-46e6-89dd-97bd0066a0d3","block_type":"box","text":"resulting from shareholder disability (as defined in the Code) as long as the disability arose subsequent to the","page_number":143,"box":{"x":69,"y":75,"width":786,"height":11}},{"id":"cd7f240c-a8a6-4930-93ff-43727def1951","block_type":"box","text":"purchase of the shares; (7) involuntary redemptions of Investor C Shares in accounts with low balances as described","page_number":143,"box":{"x":70,"y":90,"width":834,"height":11}},{"id":"1f412e77-7c9d-419b-b517-469bb35e5832","block_type":"box","text":"in “Redemption of Shares” below; (8) redemptions made pursuant to a systematic withdrawal plan, subject to the","page_number":143,"box":{"x":70,"y":105,"width":809,"height":11}},{"id":"17fbd739-d3f4-4e15-9bac-a6ec6848e53a","block_type":"box","text":"limitations set forth under “Systematic Withdrawal Plan” below; (9) redemptions related to the payment of BNY","page_number":143,"box":{"x":70,"y":120,"width":791,"height":11}},{"id":"15248dcf-b95a-4ea0-9737-b137e2544da0","block_type":"box","text":"Mellon Investment Servicing Trust Company custodial IRA fees; and (10) redemptions when a shareholder can","page_number":143,"box":{"x":70,"y":135,"width":784,"height":12}},{"id":"8e3e8c23-b611-493d-a27c-2dc2257bf8ee","block_type":"box","text":"demonstrate hardship, in the absolute discretion of the Fund. In addition, no CDSC is charged on Investor C Shares","page_number":143,"box":{"x":69,"y":150,"width":824,"height":12}},{"id":"1b77b665-a1e6-404b-a593-bbccfc02597c","block_type":"box","text":"acquired through the reinvestment of dividends or distributions.","page_number":143,"box":{"x":69,"y":166,"width":451,"height":11}},{"id":"91108998-2689-444a-869e-a658aa531f15","block_type":"box","text":"Certain CDSC waivers and reductions on Investor C Shares may be available to customers of certain financial","page_number":143,"box":{"x":102,"y":188,"width":781,"height":11}},{"id":"3f54ac44-297c-4869-af58-d6279b039f2c","block_type":"box","text":"intermediaries, as described under “Intermediary-Defined Sales Charge Waiver Policies” in the Fund’s Prospectus.","page_number":143,"box":{"x":70,"y":203,"width":813,"height":12}},{"id":"17eab7da-7cc5-46e4-b65c-1307b332a8ea","block_type":"box","text":"Please speak to your financial intermediary for more information.","page_number":143,"box":{"x":69,"y":218,"width":462,"height":12}},{"id":"d737b8e1-8e6e-4627-9902-c2aca54bb490","block_type":"box","text":"Class R Shares","page_number":143,"box":{"x":69,"y":249,"width":110,"height":9}},{"id":"14042559-d3d9-43f4-9aa9-95a92fd5f7bf","block_type":"box","text":"Certain of the Funds offer Class R Shares as described in each such Fund’s Prospectus. Class R Shares are","page_number":143,"box":{"x":102,"y":271,"width":775,"height":11}},{"id":"57d3d447-2f4b-4dbe-b274-da6c4e9eecbf","block_type":"box","text":"available only to certain employer-sponsored retirement plans. Class R Shares are not subject to an initial sales","page_number":143,"box":{"x":69,"y":287,"width":799,"height":11}},{"id":"12795c28-3126-4a1e-a3d5-afb6e09ed055","block_type":"box","text":"charge or a CDSC but are subject to an ongoing distribution fee of 0.25% per year and an ongoing service fee of","page_number":143,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"49e805ee-931a-47e4-b088-63af1749ee68","block_type":"box","text":"0.25% per year. Distribution fees are used to support the Fund’s marketing and distribution efforts, such as","page_number":143,"box":{"x":69,"y":317,"width":772,"height":11}},{"id":"33e89478-8377-4f64-b8d5-74786e0afaa6","block_type":"box","text":"compensating financial advisers and other financial intermediaries, advertising and promotion. Service fees are used","page_number":143,"box":{"x":69,"y":332,"width":836,"height":11}},{"id":"f97ff6d6-b170-4f4f-bf03-c25f4e9a8b57","block_type":"box","text":"to compensate securities dealers and other financial intermediaries for service activities.","page_number":143,"box":{"x":68,"y":347,"width":636,"height":11}},{"id":"925168ff-d71f-4c3a-9dae-62397727cc26","block_type":"box","text":"If Class R Shares are held over time, these fees may exceed the maximum sales charge that an investor would","page_number":143,"box":{"x":102,"y":370,"width":791,"height":11}},{"id":"7299b53e-3333-47f9-9cde-c6a478ef6dce","block_type":"box","text":"have paid as a shareholder of one of the other share classes.","page_number":143,"box":{"x":69,"y":385,"width":440,"height":11}},{"id":"55752dbd-563f-485c-a0a5-834bc7cc9a36","block_type":"box","text":"Class K Shares","page_number":143,"box":{"x":69,"y":415,"width":109,"height":9}},{"id":"353f6f4d-3032-4174-a2a9-d656af61e82d","block_type":"box","text":"Certain Funds offer Class K Shares as described in each such Fund’s Prospectus. Class K Shares are available","page_number":143,"box":{"x":102,"y":438,"width":797,"height":11}},{"id":"20c899ff-0bc0-4552-9e27-ee68b0299034","block_type":"box","text":"only to (i) certain employee benefit plans, such as health savings accounts, and certain employer-sponsored","page_number":143,"box":{"x":69,"y":453,"width":772,"height":11}},{"id":"9d6e83b2-75cf-459e-8909-4b707643dd89","block_type":"box","text":"retirement plans (not including SEP IRAs, SIMPLE IRAs and SARSEPs) (collectively, “Employer-Sponsored Retirement","page_number":143,"box":{"x":69,"y":468,"width":827,"height":11}},{"id":"f42fbd61-17e0-4a12-a4b1-9c9bfd89569f","block_type":"box","text":"Plans”), (ii) collective trust funds, investment companies and other pooled investment vehicles, each of which may","page_number":143,"box":{"x":69,"y":483,"width":817,"height":11}},{"id":"70af9dc0-cb0e-4e30-8134-b8173c0acef1","block_type":"box","text":"purchase shares of the Fund through a financial intermediary that has entered into an agreement with the Distributor","page_number":143,"box":{"x":70,"y":498,"width":834,"height":11}},{"id":"a98a88bb-efad-4a5c-b446-69a1b08a9b88","block_type":"box","text":"to purchase such shares, (iii) “Institutional Investors,” which include but are not limited to, endowments,","page_number":143,"box":{"x":68,"y":514,"width":748,"height":10}},{"id":"3343605c-7d28-4747-8fe8-e7d1e089bc2f","block_type":"box","text":"foundations, family offices, banks and bank trusts, local, city, and state governmental institutions, corporations and","page_number":143,"box":{"x":68,"y":528,"width":828,"height":12}},{"id":"46f73329-d016-478a-9832-16d643f97af9","block_type":"box","text":"insurance company separate accounts, each of which may purchase shares of the Fund through a financial","page_number":143,"box":{"x":70,"y":543,"width":760,"height":12}},{"id":"2b297632-7f75-47c8-9816-f061a495c284","block_type":"box","text":"intermediary that has entered into an agreement with the Distributor to purchase such shares, (iv) clients of private","page_number":143,"box":{"x":70,"y":559,"width":823,"height":11}},{"id":"3533261d-2a88-4fda-ae11-8386c28236f6","block_type":"box","text":"banks that purchase shares of the Fund through a financial intermediary that has entered into an agreement with the","page_number":143,"box":{"x":69,"y":574,"width":836,"height":11}},{"id":"6d10a124-a458-4e44-9ff9-11ec8450b868","block_type":"box","text":"Distributor to sell such shares; (v) fee-based advisory platforms of a financial intermediary that (a) has specifically","page_number":143,"box":{"x":70,"y":589,"width":814,"height":11}},{"id":"e11dd3ce-4cc3-4742-95b9-320b98ee574a","block_type":"box","text":"acknowledged in a written agreement with the Distributor and/or its affiliate(s) that the financial intermediary shall","page_number":143,"box":{"x":69,"y":604,"width":817,"height":11}},{"id":"5485e06e-34f4-4ddf-b8c9-06c9131058f4","block_type":"box","text":"offer such shares to fee-based advisory clients through an omnibus account held at the Fund or (b) transacts in the","page_number":143,"box":{"x":69,"y":619,"width":823,"height":11}},{"id":"22210941-8f6e-4148-a16b-609a4a2330ed","block_type":"box","text":"Fund’s shares through another intermediary that has executed such an agreement and (vi) any other investors who","page_number":143,"box":{"x":70,"y":634,"width":818,"height":12}},{"id":"37381458-2422-460b-9019-aad669a08766","block_type":"box","text":"met the eligibility criteria for BlackRock Shares or Class K Shares prior to August 15, 2016 and have continually held","page_number":143,"box":{"x":69,"y":649,"width":833,"height":12}},{"id":"27bcc57d-5ff5-423b-9e4d-254e585c04c1","block_type":"box","text":"Class K Shares of the Fund or the respective Predecessor Fund in the same account since August 15, 2016. The","page_number":143,"box":{"x":69,"y":664,"width":807,"height":12}},{"id":"7a900f46-cbe0-49f9-8a8f-99a2d68f4e7e","block_type":"box","text":"agreement referenced in (iv) above shall appear in a supplemental agreement to any selling, sub-transfer agent, or","page_number":143,"box":{"x":69,"y":680,"width":817,"height":11}},{"id":"2637f066-1f0d-429a-b6a0-a71bfc2bc478","block_type":"box","text":"distribution and marketing agreement.","page_number":143,"box":{"x":69,"y":695,"width":270,"height":11}},{"id":"06d60d51-ab00-4485-860d-0900a2257334","block_type":"box","text":"Class K Shares are also available to employees, officers and directors/trustees of BlackRock, Inc. and","page_number":143,"box":{"x":102,"y":717,"width":734,"height":12}},{"id":"a6ad1f09-5f50-4975-9b91-ee42bb556975","block_type":"box","text":"BlackRock Funds and immediate family members of such persons, if they open an account directly with BlackRock.","page_number":143,"box":{"x":70,"y":732,"width":817,"height":12}},{"id":"d5ed6ade-bbb3-4fb5-b295-cc930366c8ba","block_type":"box","text":"Eligible individuals who would like to convert existing holdings to Class K Shares must contact BlackRock.","page_number":143,"box":{"x":70,"y":748,"width":753,"height":11}},{"id":"52e7ca4b-89d4-4716-9d38-e0671af27958","block_type":"box","text":"Class G Shares","page_number":143,"box":{"x":69,"y":778,"width":110,"height":9}},{"id":"f80a9078-6e0e-4771-975b-ae1dac2c3569","block_type":"box","text":"Certain Funds offer Class G Shares, which are available only to investors on eligible platforms. Eligible platforms","page_number":143,"box":{"x":102,"y":801,"width":804,"height":11}},{"id":"232290f7-8e1c-4047-b0d5-6767f9cb5193","block_type":"box","text":"are those where clients invest in the Fund through a single omnibus account in the name of a financial intermediary","page_number":143,"box":{"x":69,"y":816,"width":826,"height":11}},{"id":"c3a002e2-f716-41ea-9235-ddd030ef60cd","block_type":"box","text":"that meets an initial investment minimum of $2 billion. For clients investing through such eligible platforms, the Fund","page_number":143,"box":{"x":68,"y":830,"width":836,"height":12}},{"id":"7b2c7703-e92e-452b-bd22-25169778b7c9","block_type":"box","text":"does not impose investment minimums on any individual investor. Financial intermediaries may impose separate","page_number":143,"box":{"x":69,"y":846,"width":803,"height":11}},{"id":"ec1f4adf-6da0-4079-8c32-b2385f1f3606","block_type":"box","text":"eligibility requirements.","page_number":143,"box":{"x":69,"y":861,"width":164,"height":11}},{"id":"b5a3636f-0fb6-4cbf-a092-18a16f7adf38","block_type":"box","text":"II-107","page_number":143,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"943096ff-933d-4a7e-b63c-b6b9ae95de34","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":143,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"81c0c46d-29a2-4356-9016-c1f2f408ddae","block_type":"box","text":"Service Shares","page_number":144,"box":{"x":68,"y":45,"width":109,"height":9}},{"id":"601370f9-483e-409e-8d93-b6b266498b3c","block_type":"box","text":"Certain Funds offer Service Shares, which are available only to certain investors, including: (i) certain financial","page_number":144,"box":{"x":102,"y":67,"width":788,"height":12}},{"id":"6ff3a3b8-3fad-49b5-a366-47c4815c197d","block_type":"box","text":"institutions, such as banks and brokerage firms, acting on behalf of their customers; (ii) certain persons who were","page_number":144,"box":{"x":70,"y":82,"width":815,"height":12}},{"id":"0c3d709d-610a-44da-97e9-666e9780408e","block_type":"box","text":"shareholders of the Compass Capital Group of Funds at the time of its combination with The PNC","page_number":144,"box":{"x":69,"y":98,"width":693,"height":11}},{"id":"c218861e-27ae-4069-8fb2-5bbf64c61306","block_type":"box","text":"®","page_number":144,"box":{"x":763,"y":98,"width":6,"height":4}},{"id":"ef0ad668-5d0a-44f3-86c8-f986beb94e26","block_type":"box","text":"Fund in 1996; and","page_number":144,"box":{"x":775,"y":98,"width":130,"height":10}},{"id":"674b030d-f289-4d71-ac13-91c71cdd139a","block_type":"box","text":"(iii) participants in the Capital Directions","page_number":144,"box":{"x":69,"y":113,"width":287,"height":11}},{"id":"ef5a0dc1-5f71-481a-9325-0beba584e9ae","block_type":"box","text":"SM","page_number":144,"box":{"x":357,"y":113,"width":11,"height":5}},{"id":"e18dfe90-ec80-48e9-afe1-4aad1a207d68","block_type":"box","text":"asset allocation program. Service Shares are not subject to an initial sales","page_number":144,"box":{"x":374,"y":113,"width":534,"height":11}},{"id":"31f51a98-5064-499c-86e9-1add2963c96c","block_type":"box","text":"charge or a CDSC but are subject to an ongoing service fee as set forth in the applicable Fund’s Prospectus.","page_number":144,"box":{"x":69,"y":128,"width":776,"height":11}},{"id":"45ec888a-9466-45dd-b760-75eb0409c9f8","block_type":"box","text":"BlackRock Shares","page_number":144,"box":{"x":69,"y":158,"width":133,"height":9}},{"id":"83c8a042-97bc-4d5f-92fa-7cb1edb7899c","block_type":"box","text":"Certain Funds offer BlackRock Shares, which are available only to certain investors. BlackRock Shares are","page_number":144,"box":{"x":102,"y":181,"width":760,"height":11}},{"id":"d0d3b3fb-e1da-4f94-be34-ab0166bfc33b","block_type":"box","text":"offered without a sales charge to institutional and individual investors, registered investment advisers and certain","page_number":144,"box":{"x":69,"y":196,"width":813,"height":11}},{"id":"2a5f6517-f24d-4531-9e69-8888fdbae6d5","block_type":"box","text":"fee-based programs.","page_number":144,"box":{"x":68,"y":211,"width":145,"height":11}},{"id":"b94e8e50-45c5-431a-b16b-a29d963c8404","block_type":"box","text":"Distribution and/or Shareholder Servicing Plans","page_number":144,"box":{"x":69,"y":241,"width":348,"height":11}},{"id":"3eb8c3f1-81de-4c37-8ea8-2ca573a96b25","block_type":"box","text":"Each Fund has adopted a plan (each, a “Plan”) pursuant to Rule 12b-1 under the Investment Company Act with","page_number":144,"box":{"x":102,"y":264,"width":790,"height":11}},{"id":"afe370b7-6d3f-48db-a620-c1c1159203a3","block_type":"box","text":"respect to certain share classes that allows the Fund to pay distribution fees for the sale of its shares and","page_number":144,"box":{"x":69,"y":279,"width":761,"height":11}},{"id":"bb2b4727-8fe0-4815-a3fc-07c9220b7415","block_type":"box","text":"shareholder servicing fees for certain services provided to its shareholders.","page_number":144,"box":{"x":69,"y":294,"width":541,"height":11}},{"id":"e51a2edb-f879-414b-a79a-9166cfb700c9","block_type":"box","text":"Pursuant to the Plans, a Fund may pay BRIL and/or BlackRock, or any other affiliate or significant shareholder of","page_number":144,"box":{"x":102,"y":317,"width":803,"height":11}},{"id":"278eda4f-5743-430c-a52a-ad0e05240e00","block_type":"box","text":"BlackRock, fees for distribution and sales support services with respect to Investor A, Investor A1, Investor C,","page_number":144,"box":{"x":70,"y":332,"width":783,"height":11}},{"id":"618c0061-39ff-489c-aa6c-bdfdefdef6b4","block_type":"box","text":"Investor P, Service and Class R Shares. Currently, as described further below, only Investor C and Class R Shares","page_number":144,"box":{"x":70,"y":347,"width":809,"height":11}},{"id":"60eb4a19-1a8c-48b1-a798-294d90e491b6","block_type":"box","text":"bear the expense of distribution fees under a Plan.","page_number":144,"box":{"x":69,"y":362,"width":360,"height":11}},{"id":"e5558746-83c2-4a32-bbbd-2dc56fc00f14","block_type":"box","text":"Each Fund has entered into a distribution agreement with BRIL under which BRIL, as agent, offers shares of","page_number":144,"box":{"x":102,"y":385,"width":770,"height":11}},{"id":"dfdefe94-557e-46d4-b77f-06bb25bc4ff3","block_type":"box","text":"each Fund on a continuous basis. BRIL has agreed to use appropriate efforts to effect sales of the shares, but it is","page_number":144,"box":{"x":69,"y":400,"width":824,"height":11}},{"id":"61e7799f-a3eb-43b1-a1a7-1d5d097f4d13","block_type":"box","text":"not obligated to sell any particular amount of shares. BRIL’s principal business address is 50 Hudson Yards, New","page_number":144,"box":{"x":69,"y":415,"width":812,"height":11}},{"id":"c1a15e65-ead1-4f9f-8f74-089c6ed0779c","block_type":"box","text":"York, NY 10001. BRIL is an affiliate of BlackRock.","page_number":144,"box":{"x":68,"y":430,"width":355,"height":11}},{"id":"94a7efa3-75c7-4d81-856c-a7436c642a44","block_type":"box","text":"Pursuant to the Plans, each Fund may also pay shareholder servicing fees (also referred to as general","page_number":144,"box":{"x":102,"y":453,"width":727,"height":11}},{"id":"3c21ddcc-bc06-4f20-9b24-4b0ab7837e1c","block_type":"box","text":"shareholder liaison services fees) to affiliated and unaffiliated brokers, dealers, financial institutions, insurance","page_number":144,"box":{"x":69,"y":468,"width":799,"height":11}},{"id":"131c6f44-dfaf-4986-951b-947601b402ff","block_type":"box","text":"companies, retirement plan record-keepers and other financial intermediaries (including BlackRock, BRIL and their","page_number":144,"box":{"x":69,"y":483,"width":813,"height":11}},{"id":"34810117-fe67-4c7a-ac5b-f364cf9cacdf","block_type":"box","text":"affiliates) (collectively, “Service Organizations”) for certain support services rendered by Service Organizations to","page_number":144,"box":{"x":69,"y":498,"width":809,"height":11}},{"id":"ae4a74cc-43cb-4280-aaf5-f154b35eb897","block_type":"box","text":"their customers (“Customers”) who are the beneficial owners of Investor A, Investor A1, Investor C, Investor P,","page_number":144,"box":{"x":68,"y":513,"width":786,"height":11}},{"id":"7280d0aa-90cc-4c60-a84e-61f87347b06b","block_type":"box","text":"Service and Class R Shares of a Fund. Such services are intended to supplement the services provided by the","page_number":144,"box":{"x":69,"y":528,"width":789,"height":12}},{"id":"675b0c08-c689-44fd-a37a-e3b2640c97e1","block_type":"box","text":"Fund’s Administrators and Transfer Agent to the Fund’s shareholders of record.","page_number":144,"box":{"x":70,"y":543,"width":562,"height":12}},{"id":"9a014ab8-73cb-4888-94f7-8c102c7e15ef","block_type":"box","text":"The support services provided by Service Organizations are general shareholder liaison services, which include,","page_number":144,"box":{"x":101,"y":566,"width":798,"height":11}},{"id":"2b846d73-e15f-43c0-9d32-945ee1f7b80b","block_type":"box","text":"but are not limited to: (i) answering Customer inquiries regarding account status and history, the manner in which","page_number":144,"box":{"x":69,"y":581,"width":808,"height":12}},{"id":"88e5920b-b247-42b3-a2b4-8940a8d0a8f7","block_type":"box","text":"purchases, exchanges and redemptions or repurchases of shares may be effected and certain other matters","page_number":144,"box":{"x":70,"y":596,"width":776,"height":12}},{"id":"20166fb0-6645-4bea-8c36-a760611bfed6","block_type":"box","text":"pertaining to the Customers’ investments; and (ii) assisting Customers in designating and changing dividend options,","page_number":144,"box":{"x":70,"y":612,"width":835,"height":11}},{"id":"363b04bd-a9f2-4648-9336-d992e8d0e544","block_type":"box","text":"account designations and addresses. The shareholder servicing fees payable pursuant to the Plans are paid to","page_number":144,"box":{"x":69,"y":627,"width":791,"height":11}},{"id":"61cc6e0e-efbf-4c72-b809-0779b1660982","block_type":"box","text":"compensate Service Organizations for the administration and servicing of shareholder accounts and are not costs","page_number":144,"box":{"x":69,"y":642,"width":813,"height":11}},{"id":"6219a72d-a078-4f00-b627-d9fece4586ec","block_type":"box","text":"which are primarily intended to result in the sale of the Fund’s shares.","page_number":144,"box":{"x":68,"y":657,"width":501,"height":11}},{"id":"47c9bc2e-cb21-4680-9c1e-8f89999d336c","block_type":"box","text":"Payments under the Plans are based on a percentage of average daily net assets attributable to the shares in","page_number":144,"box":{"x":102,"y":680,"width":783,"height":11}},{"id":"d120d23c-bd2b-45b8-ad44-1fbf807b5f66","block_type":"box","text":"the applicable share class regardless of the amount of expenses incurred. As a result, payments under the Plans","page_number":144,"box":{"x":68,"y":695,"width":810,"height":11}},{"id":"132f9588-6bd8-443b-8d08-cce0dc4e049b","block_type":"box","text":"may be more or less than expenses incurred in connection with providing distribution and/or shareholder services","page_number":144,"box":{"x":69,"y":710,"width":813,"height":11}},{"id":"aab54f49-ca7f-4f6a-b0cd-d7bcacb06c00","block_type":"box","text":"with respect to the related class. Information with respect to the payments under the Plans and expenses incurred in","page_number":144,"box":{"x":68,"y":725,"width":836,"height":11}},{"id":"25a9829d-d864-4857-87d0-bbe1abf22f6a","block_type":"box","text":"providing services with respect to the related class is presented to the Directors for their consideration quarterly.","page_number":144,"box":{"x":70,"y":740,"width":805,"height":11}},{"id":"a652bbaa-1d3b-4ea2-bc5a-ff9687d034f4","block_type":"box","text":"Payments under the Plans consist of the shareholder servicing fees and the distribution fees. Expenses with respect","page_number":144,"box":{"x":69,"y":755,"width":832,"height":11}},{"id":"1c6a9f4f-87ea-4d30-bbda-7ee4d0bd3cc1","block_type":"box","text":"to providing distribution and/or shareholder services with respect to a class may consist of Service Organization","page_number":144,"box":{"x":68,"y":770,"width":803,"height":12}},{"id":"c008edc3-3cdf-4aec-b9ba-ada7dce63fd5","block_type":"box","text":"financial adviser compensation, branch office and regional operation center selling and transaction processing","page_number":144,"box":{"x":68,"y":785,"width":788,"height":12}},{"id":"616c5343-086f-4692-a134-ad1e264d937a","block_type":"box","text":"expenses, advertising, sales promotion and marketing expenses. Payments under the Plans with respect to one","page_number":144,"box":{"x":69,"y":801,"width":798,"height":11}},{"id":"78f4dff1-f46a-495f-9e37-420ed18b9291","block_type":"box","text":"class will not be used to finance the expenditures of another class. Sales personnel may receive different","page_number":144,"box":{"x":69,"y":816,"width":755,"height":11}},{"id":"6ed25577-8fd1-4d09-9f33-052c8fe3b791","block_type":"box","text":"compensation for selling different classes of shares.","page_number":144,"box":{"x":69,"y":831,"width":375,"height":11}},{"id":"abd3b6ea-d02b-427d-9336-cfc138a47b42","block_type":"box","text":"Each Plan is subject to the provisions of Rule 12b-1 under the Investment Company Act. In their consideration of","page_number":144,"box":{"x":102,"y":853,"width":803,"height":12}},{"id":"a41af52e-0b76-4c27-808e-4954cb1d88f3","block_type":"box","text":"a Plan, the Directors must consider all factors they deem relevant, including information as to the benefits of the Plan","page_number":144,"box":{"x":69,"y":869,"width":839,"height":11}},{"id":"be3d8a1c-9ba0-413f-9636-1f8d77099b5c","block_type":"box","text":"to the Fund and the related class of shareholders. In approving a Plan in accordance with Rule 12b-1, the non","page_number":144,"box":{"x":68,"y":884,"width":788,"height":11}},{"id":"902e2fcd-df54-4ff0-b567-78d1ff51cb2c","block_type":"box","text":"interested Directors concluded that there is reasonable likelihood that the Plan will benefit the Fund and its related","page_number":144,"box":{"x":70,"y":899,"width":818,"height":9}},{"id":"22583fcd-97bf-446e-934c-d31b13ea9991","block_type":"box","text":"II-108","page_number":144,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"16db1117-728c-48dd-8ab9-2730b31ea169","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":144,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"864c6622-cc85-43e4-85bb-9830be3cf278","block_type":"box","text":"class of shareholders. The Plan provides, among other things, that: (i) the Board of Directors shall receive quarterly","page_number":145,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"3a534060-4e6e-4404-9b93-79f20d57f4c8","block_type":"box","text":"reports regarding the amounts expended under the Plan and the purposes for which such expenditures were made;","page_number":145,"box":{"x":69,"y":60,"width":821,"height":11}},{"id":"98f1cc24-1797-4d42-b5f7-b299a8b2bb8d","block_type":"box","text":"(ii) the Plan will continue in effect for so long as its continuance is approved at least annually by the Board of","page_number":145,"box":{"x":69,"y":75,"width":778,"height":11}},{"id":"28517200-226d-48e5-ac1e-10b4cde72e59","block_type":"box","text":"Directors, including the directors who are not “interested persons” of the Fund (as defined in the Investment","page_number":145,"box":{"x":70,"y":90,"width":773,"height":11}},{"id":"b8880844-6d77-4af7-916a-efb9811c678e","block_type":"box","text":"Company Act) and who have no direct or indirect financial interest in the operation of the Plan or any agreement","page_number":145,"box":{"x":69,"y":105,"width":796,"height":11}},{"id":"e6b350fe-ce29-40cd-a2c9-f0282a55ddb7","block_type":"box","text":"entered into in connection with the Plan (the “12b-1 Directors”), acting in person at a meeting called for said purpose","page_number":145,"box":{"x":69,"y":120,"width":837,"height":12}},{"id":"df3e4ac8-d566-41bd-b39a-4e624d91ad90","block_type":"box","text":"in accordance with Rule 12b-1 under the Investment Company Act; (iii) any material amendment thereto must be","page_number":145,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"08c8bc98-3529-4e88-9df7-11de22a33219","block_type":"box","text":"approved by the Board of Directors, including the 12b-1 Directors, acting in person at a meeting called for said","page_number":145,"box":{"x":69,"y":150,"width":787,"height":12}},{"id":"4460a809-5e9a-4f2e-93af-e4cbf5f43090","block_type":"box","text":"purpose; (iv) any amendment to increase materially the costs which any class of shares may bear for distribution","page_number":145,"box":{"x":70,"y":166,"width":802,"height":11}},{"id":"a200ca04-8da4-43fe-9766-f7adb3fdef65","block_type":"box","text":"services pursuant to the Plan shall be effective only upon approval by a vote of a majority of the outstanding shares","page_number":145,"box":{"x":69,"y":181,"width":826,"height":11}},{"id":"316026d9-f52d-4fd8-a285-e75d0a15f063","block_type":"box","text":"of such class and by a majority of the Board of Directors, including the 12b-1 Directors, acting in person at a meeting","page_number":145,"box":{"x":69,"y":196,"width":836,"height":11}},{"id":"7f260931-5096-4b47-b93f-34add952117b","block_type":"box","text":"called for said purpose; and (v) while the Plan remains in effect, the selection and nomination of the Fund’s Directors","page_number":145,"box":{"x":69,"y":211,"width":836,"height":11}},{"id":"e6e726e5-0e60-4a25-ae65-46c6f39edee8","block_type":"box","text":"who are not “interested persons” of the Fund shall be committed to the discretion of the Fund’s non-interested","page_number":145,"box":{"x":68,"y":226,"width":792,"height":11}},{"id":"02f8d789-fe5f-4686-855f-7b171ca2d30c","block_type":"box","text":"Directors. Rule 12b-1 further requires that each Fund preserve copies of each Plan and any report made pursuant to","page_number":145,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"3f8fa269-ccf3-406d-bb70-10be183bfa27","block_type":"box","text":"such Plan for a period of not less than six years from the date of the Plan or such report, the first two years in an","page_number":145,"box":{"x":69,"y":256,"width":807,"height":11}},{"id":"99fd337a-4c1e-4d00-89d8-8b5ab9da203e","block_type":"box","text":"easily accessible place.","page_number":145,"box":{"x":69,"y":272,"width":167,"height":11}},{"id":"85dd4163-6c79-4bda-bb6c-c02c5da0e615","block_type":"box","text":"Each Plan is terminable as to any class of shares without penalty at any time by a vote of a majority of the 12b-1","page_number":145,"box":{"x":102,"y":294,"width":804,"height":11}},{"id":"a8b1147c-a853-4400-87e8-848f83be9a5e","block_type":"box","text":"Directors, or by vote of the holders of a majority of the shares of such class.","page_number":145,"box":{"x":70,"y":309,"width":542,"height":11}},{"id":"200ca01c-2ae8-4b61-90b8-7539582812df","block_type":"box","text":"See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI for","page_number":145,"box":{"x":102,"y":332,"width":734,"height":11}},{"id":"459c035f-5f44-4531-9e17-71e277894392","block_type":"box","text":"information relating to the fees paid by your Fund to the Distributor under each Plan during the Fund’s most recent","page_number":145,"box":{"x":70,"y":347,"width":814,"height":11}},{"id":"702260a9-5af6-4fbf-a24f-904500f35c11","block_type":"box","text":"fiscal year.","page_number":145,"box":{"x":68,"y":362,"width":75,"height":11}},{"id":"5bf72da6-f291-4832-a51f-01875e8e088c","block_type":"box","text":"Limitations on the Payment of Deferred Sales Charges","page_number":145,"box":{"x":69,"y":392,"width":396,"height":11}},{"id":"b4f0c2e8-2365-4303-98ed-6032a69b92b2","block_type":"box","text":"The maximum sales charge rule in the Conduct Rules of the Financial Industry Regulatory Authority (“FINRA”)","page_number":145,"box":{"x":101,"y":415,"width":777,"height":11}},{"id":"20934ada-d5e2-4c00-9312-2ee937a5e016","block_type":"box","text":"imposes a limitation on certain asset-based sales charges such as the distribution fee borne by Class R Shares, and","page_number":145,"box":{"x":70,"y":430,"width":835,"height":11}},{"id":"839d9163-2a66-45cb-b4fe-640de25d93dd","block_type":"box","text":"the distribution fee and the CDSC borne by the Investor C Shares. This limitation does not apply to the shareholder","page_number":145,"box":{"x":68,"y":445,"width":822,"height":11}},{"id":"69a09b32-15c5-49af-aaea-6a9ae453296e","block_type":"box","text":"servicing fee. The maximum sales charge rule is applied separately to each class and limits the aggregate of","page_number":145,"box":{"x":69,"y":460,"width":778,"height":12}},{"id":"652e7eeb-d3a9-4d9a-bc20-bf1460af5bf1","block_type":"box","text":"distribution fee payments and CDSCs payable by a Fund to (1) 6.25% of eligible gross sales of Investor C and Class R","page_number":145,"box":{"x":69,"y":475,"width":840,"height":12}},{"id":"513394b3-ddcf-44ed-a036-dc6a5b131e04","block_type":"box","text":"Shares, computed separately (excluding shares issued pursuant to dividend reinvestments and exchanges), plus","page_number":145,"box":{"x":69,"y":491,"width":803,"height":11}},{"id":"ff576ffd-64e1-4f48-ad74-07b46d17c713","block_type":"box","text":"(2) interest on the unpaid balance for the respective class, computed separately, at the prime rate plus 1% (the","page_number":145,"box":{"x":69,"y":506,"width":794,"height":11}},{"id":"4d2c8617-612f-4555-b32d-2442d308f1eb","block_type":"box","text":"unpaid balance being the maximum amount payable minus amounts received from the payment of the distribution fee","page_number":145,"box":{"x":69,"y":521,"width":839,"height":11}},{"id":"d1b83262-6b00-4412-a580-7f33fe538211","block_type":"box","text":"and the CDSC). See “Information on Sales Charges and Distribution Related Expenses” in Part I of each Fund’s SAI","page_number":145,"box":{"x":69,"y":536,"width":824,"height":11}},{"id":"5e7e7b72-9a2f-4de8-92fb-b0549e9a7cff","block_type":"box","text":"for comparative information as of your Fund’s most recent fiscal year end with respect to, if applicable, the Investor C","page_number":145,"box":{"x":68,"y":551,"width":839,"height":11}},{"id":"8334ef05-d46d-41b7-a764-179577c5eda7","block_type":"box","text":"and Class R Shares of your Fund.","page_number":145,"box":{"x":69,"y":566,"width":236,"height":11}},{"id":"bc38c33b-b263-4bcf-b8d9-4faaa641cc38","block_type":"box","text":"Other Payments by the Fund","page_number":145,"box":{"x":69,"y":597,"width":206,"height":11}},{"id":"976a9d2c-007a-40c9-83d5-849c55bfe5b3","block_type":"box","text":"In addition to shareholder servicing fees that a Fund may pay to a Service Organization pursuant to the Plan and","page_number":145,"box":{"x":102,"y":619,"width":800,"height":11}},{"id":"293e35b3-92b3-4bf4-91b9-072430954aeb","block_type":"box","text":"fees the Fund pays to its Transfer Agent, BlackRock, on behalf of a Fund, may enter into non-Plan agreements with","page_number":145,"box":{"x":68,"y":634,"width":816,"height":12}},{"id":"0a0b8b9a-15ba-4536-aa1c-111b9065a11d","block_type":"box","text":"Service Organizations pursuant to which the Fund will pay a Service Organization for administrative, networking,","page_number":145,"box":{"x":69,"y":649,"width":794,"height":12}},{"id":"c184e59f-f67f-4b42-9926-6516d5064965","block_type":"box","text":"recordkeeping, sub-transfer agency, sub-accounting and/or shareholder services. These non-Plan payments are","page_number":145,"box":{"x":69,"y":664,"width":792,"height":12}},{"id":"a0d5edeb-51df-438f-8782-e441574200c6","block_type":"box","text":"generally based on either (1) a percentage of the average daily net assets of Fund shareholders serviced by a Service","page_number":145,"box":{"x":68,"y":680,"width":841,"height":11}},{"id":"56eb331e-0afe-44e8-bca4-5c7990663707","block_type":"box","text":"Organization or (2) a fixed dollar amount for each account serviced by a Service Organization. The aggregate amount","page_number":145,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"5ae5b10d-b20c-4d17-b8ea-8098086b73c1","block_type":"box","text":"of these payments may be substantial.","page_number":145,"box":{"x":69,"y":710,"width":276,"height":11}},{"id":"250e63ab-d8b7-4218-bd79-21dae9c4ceff","block_type":"box","text":"Additional Payments by BlackRock","page_number":145,"box":{"x":68,"y":740,"width":256,"height":11}},{"id":"d960b6e7-7d3b-4b6c-aaf2-0b0ab775bdf4","block_type":"box","text":"From time to time, BlackRock, BRIL and/or their affiliates (referred to in this section collectively as “BlackRock”)","page_number":145,"box":{"x":102,"y":763,"width":803,"height":11}},{"id":"94ae1c12-16f5-4813-ad2f-6a7b0860cb45","block_type":"box","text":"may compensate Service Organizations for the sale and distribution of shares of a Fund, for services to a Fund and","page_number":145,"box":{"x":69,"y":778,"width":823,"height":11}},{"id":"01bcd1fd-a9c6-4e9d-9454-e009061e6ab9","block_type":"box","text":"its shareholders and/or for data provision or technology support. A Service Organization may perform these","page_number":145,"box":{"x":70,"y":793,"width":768,"height":11}},{"id":"11623c64-fc2b-42e0-898d-94c855874b64","block_type":"box","text":"obligations itself or may arrange for a third party to perform them. These payments, which are not made pursuant to","page_number":145,"box":{"x":69,"y":808,"width":830,"height":11}},{"id":"f7669cdf-5928-445d-b370-fcc21209e874","block_type":"box","text":"a Plan or otherwise paid by a Fund, are referred to as “Additional Payments” herein.","page_number":145,"box":{"x":69,"y":823,"width":599,"height":11}},{"id":"4d438cd3-08f8-4e69-8d07-4b396b2e72ae","block_type":"box","text":"Additional Payments are made from BlackRock’s own assets (which may come directly or indirectly from fees","page_number":145,"box":{"x":101,"y":846,"width":776,"height":11}},{"id":"0e2ea1b6-ec2c-4937-bc2d-9bf74dd48240","block_type":"box","text":"paid by a Fund to BlackRock for various services, such as investment advisory services). These payments are not an","page_number":145,"box":{"x":70,"y":861,"width":832,"height":11}},{"id":"9e8da3ca-428c-4d04-ae89-0fc0e9f5a1ef","block_type":"box","text":"additional charge to a Fund or its shareholders and do not change the price paid by shareholders for the purchase of","page_number":145,"box":{"x":69,"y":876,"width":833,"height":11}},{"id":"2401a0fa-719c-4f1f-96e9-28283da37682","block_type":"box","text":"a Fund’s shares or the amount a Fund receives as proceeds from such purchases. Additional Payments made to","page_number":145,"box":{"x":69,"y":891,"width":802,"height":11}},{"id":"bf17fd84-eed2-45c6-96c7-55ef944c0a4e","block_type":"box","text":"Service Organizations are in addition to any distribution or shareholder servicing fees paid under any Plan of any","page_number":145,"box":{"x":69,"y":906,"width":802,"height":12}},{"id":"015162c3-d39e-46e2-9ffc-6cba9783c4e9","block_type":"box","text":"II-109","page_number":145,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e0e417fe-a14b-4344-9cec-c8bc7cf72c05","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":145,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3c9a7a4d-5848-4a3d-9dcc-32bddc26e954","block_type":"box","text":"Fund, any sales charges, commissions or other concessions described in the Prospectuses or this SAI, and any","page_number":146,"box":{"x":70,"y":45,"width":796,"height":11}},{"id":"0783598c-ad8f-46ba-a866-4d3740066430","block_type":"box","text":"administrative, networking, recordkeeping, sub-transfer agency or sub-accounting fees payable by a Fund. Pursuant to","page_number":146,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"bae0fd3e-409e-4306-8aad-f6365bdfbcbb","block_type":"box","text":"applicable FINRA regulations, the details of certain of these payments, including the Service Organizations receiving","page_number":146,"box":{"x":69,"y":75,"width":828,"height":11}},{"id":"5258f376-7024-4dcf-891c-a0b0545efde7","block_type":"box","text":"such payments in connection with the sale and distribution of Fund shares, are required to be disclosed. While FINRA","page_number":146,"box":{"x":69,"y":90,"width":837,"height":11}},{"id":"3a95c7f9-80a6-476b-a0b6-67a87b2bca6b","block_type":"box","text":"regulations limit the sales charges that shareholders may bear, there are no limits with regard to the amounts that","page_number":146,"box":{"x":69,"y":105,"width":818,"height":11}},{"id":"5cde0936-1d5c-496e-98f6-a127a0d56d0e","block_type":"box","text":"BlackRock may pay out of its own assets.","page_number":146,"box":{"x":70,"y":120,"width":294,"height":11}},{"id":"00e3034b-96e4-4aed-b6cd-ec53882cb989","block_type":"box","text":"Additional Payments may be made as a fixed dollar amount, may be based on the number of Customer accounts","page_number":146,"box":{"x":101,"y":143,"width":803,"height":11}},{"id":"4f35ff7b-a54b-4e36-8ce7-1663730bd1ec","block_type":"box","text":"maintained by a Service Organization, may be based on a percentage of the value of shares sold to, or held by,","page_number":146,"box":{"x":69,"y":158,"width":792,"height":11}},{"id":"73814b84-413e-438e-b1c1-b51f3401c572","block_type":"box","text":"Customers of the Service Organization involved, or may be calculated on another basis.","page_number":146,"box":{"x":69,"y":173,"width":623,"height":11}},{"id":"73cb18c3-2c3a-4ebc-94c8-593ccd0b5ef6","block_type":"box","text":"BlackRock negotiates Additional Payments with each Service Organization on an individual basis. Additional","page_number":146,"box":{"x":102,"y":196,"width":765,"height":11}},{"id":"4f7c215b-ce2a-45d9-a8c6-7dad08ff1972","block_type":"box","text":"Payments may be different for different Service Organizations, and some Service Organizations may be paid pursuant","page_number":146,"box":{"x":69,"y":211,"width":841,"height":11}},{"id":"8d4aa63e-d58e-4d3b-bf19-49e92f00fe02","block_type":"box","text":"to more than one of the calculations described above. Not all Service Organizations receive Additional Payments.","page_number":146,"box":{"x":68,"y":226,"width":806,"height":11}},{"id":"d6b3bead-b7c7-4b27-a021-b13b77a95be7","block_type":"box","text":"Sales-based payments primarily create incentives to make new sales of shares of the Fund, and asset-based","page_number":146,"box":{"x":69,"y":241,"width":776,"height":11}},{"id":"1f510716-4a03-41e2-bb58-6e8a724ea9f2","block_type":"box","text":"payments primarily create incentives to retain previously sold shares of the Fund. The level of payments made to","page_number":146,"box":{"x":70,"y":256,"width":802,"height":11}},{"id":"8610f65b-46d0-48db-9e84-343708fdcedc","block_type":"box","text":"these Service Organizations in any year will vary and may be limited to specific Funds or share classes. In certain","page_number":146,"box":{"x":68,"y":271,"width":811,"height":12}},{"id":"5378ddd2-dbe4-4f2d-bfcc-1847ed2477d4","block_type":"box","text":"cases, these payments may be subject to certain minimum payment levels.","page_number":146,"box":{"x":69,"y":287,"width":538,"height":11}},{"id":"ebb294b0-20bf-402b-849a-e01706dbc032","block_type":"box","text":"The aggregate amount of Additional Payments made by BlackRock may be substantial and may be significant to","page_number":146,"box":{"x":101,"y":309,"width":795,"height":11}},{"id":"d27c8636-dcb0-4f26-8f0a-f82c40b46487","block_type":"box","text":"certain Service Organizations. The categories of Additional Payments listed below are not mutually exclusive. The","page_number":146,"box":{"x":69,"y":324,"width":807,"height":12}},{"id":"d180b3c4-80e0-48bd-b2dd-898364574b90","block_type":"box","text":"same Service Organization, or one or more of its affiliates, may receive payments under more than one category of","page_number":146,"box":{"x":69,"y":339,"width":823,"height":12}},{"id":"53948bbc-6604-4030-9869-3d5c18762f5c","block_type":"box","text":"Additional Payments. Such payments may be different for different Service Organizations and for different types of","page_number":146,"box":{"x":68,"y":355,"width":819,"height":11}},{"id":"342decb6-b8df-4abe-9e9d-6f1edf4c29b6","block_type":"box","text":"Funds.","page_number":146,"box":{"x":70,"y":370,"width":44,"height":9}},{"id":"4b9efdd5-9ef6-4fcd-8ffb-be23fcbfbf36","block_type":"box","text":"A. Distribution and Marketing Suppor t","page_number":146,"box":{"x":101,"y":392,"width":270,"height":12}},{"id":"f705569f-5161-4602-95ae-f21c9e2ac543","block_type":"box","text":"Additional Payments may be made by BlackRock for distribution and marketing support activities. These","page_number":146,"box":{"x":101,"y":415,"width":740,"height":11}},{"id":"c8698930-db01-4b24-8907-03678cfe6618","block_type":"box","text":"payments may take the form of, among other things, “due diligence” payments for a Service Organization’s","page_number":146,"box":{"x":70,"y":430,"width":764,"height":11}},{"id":"c85f7325-2467-453b-8018-5731f36b6ca7","block_type":"box","text":"examination of a Fund; payments for providing extra employee training and information relating to a Fund; fees for","page_number":146,"box":{"x":69,"y":445,"width":811,"height":12}},{"id":"6b72fa47-e592-4399-bc00-e36613bbb72b","block_type":"box","text":"access (in some cases on a preferential basis) to the Service Organization’s registered representatives,","page_number":146,"box":{"x":69,"y":460,"width":742,"height":12}},{"id":"abc20b6c-9b0e-41ed-baf0-1d1efa392a34","block_type":"box","text":"salespersons or other personnel, including at sales meetings and conferences; “shelf space” payments for placing","page_number":146,"box":{"x":69,"y":475,"width":820,"height":12}},{"id":"ac3b3ee0-935a-47e8-9581-d2107b875588","block_type":"box","text":"the Fund on the Service Organization’s platform(s); “listing” fees for the placing of the Fund on a dealer’s list (which","page_number":146,"box":{"x":68,"y":491,"width":829,"height":11}},{"id":"03a7548a-0fca-408d-afbf-08c7a4c37dfb","block_type":"box","text":"may be a preferred or recommended list) of mutual funds available for purchase by its Customers or in certain sales","page_number":146,"box":{"x":69,"y":506,"width":830,"height":11}},{"id":"4dcac124-3ff9-4e85-8eb5-95d7279ccdb9","block_type":"box","text":"programs from time to time; fees for providing assistance in promoting the sale of the Fund’s shares (which may","page_number":146,"box":{"x":70,"y":521,"width":803,"height":11}},{"id":"caea3362-8ecb-49bc-adf3-d105164a7e4c","block_type":"box","text":"include promotions in communications with the Service Organization’s Customers, registered representatives,","page_number":146,"box":{"x":70,"y":536,"width":783,"height":11}},{"id":"691bc80d-f20e-44d3-9ded-a4b118a64c08","block_type":"box","text":"salespersons and/or other personnel); payments for the sale of shares and/or the maintenance of share balances;","page_number":146,"box":{"x":69,"y":551,"width":823,"height":11}},{"id":"de811460-f99c-43b8-9136-24b00026f3b9","block_type":"box","text":"transaction fees (also referred to as “ticket charges”); and payments for infrastructure support. These payments","page_number":146,"box":{"x":68,"y":566,"width":805,"height":11}},{"id":"8771dcc7-6721-43f4-9827-4fba631f1ad2","block_type":"box","text":"normally will not exceed the sum of (a) 0.25% of such year’s Fund sales by that Service Organization, and (b) 0.21%","page_number":146,"box":{"x":69,"y":581,"width":828,"height":12}},{"id":"dcbee339-de94-4959-9e97-5a779a6aeb33","block_type":"box","text":"of the assets attributable to that Service Organization invested in a Fund.","page_number":146,"box":{"x":69,"y":596,"width":523,"height":12}},{"id":"1c6ce799-3161-4298-a347-2de6c48d06c0","block_type":"box","text":"B. Shareholder Services","page_number":146,"box":{"x":102,"y":619,"width":172,"height":9}},{"id":"bb748206-5ce0-499a-a2f6-4ed8fab60bbd","block_type":"box","text":"Many Fund shares are owned or held by Service Organizations for the benefit of their Customers. In these","page_number":146,"box":{"x":102,"y":642,"width":754,"height":11}},{"id":"13c4a8fa-3c57-46cc-ac3e-d8de22dd0752","block_type":"box","text":"situations, a Fund may not maintain accounts in the name of the Customers and Service Organizations may perform","page_number":146,"box":{"x":69,"y":657,"width":830,"height":11}},{"id":"724f78f9-b6dd-484c-b75a-d6c51b93c59b","block_type":"box","text":"some of the functions for these Customers’ accounts that the Transfer Agent would have performed if the accounts","page_number":146,"box":{"x":69,"y":672,"width":823,"height":11}},{"id":"d3b43439-5f05-4499-8b04-d6407f202a73","block_type":"box","text":"had been in the Customers’ names on the Fund’s books. Such services include sub-accounting services, shareholder","page_number":146,"box":{"x":69,"y":687,"width":839,"height":11}},{"id":"51067450-fc3b-40e9-9c32-11a71367ef16","block_type":"box","text":"servicing and transaction processing services and are sometimes referred to as “recordkeeping,” “sub-transfer","page_number":146,"box":{"x":69,"y":702,"width":796,"height":12}},{"id":"66e85fb6-3da5-41e2-98a5-61df90dffb8a","block_type":"box","text":"agency,” “sub-accounting,” “networking” and/or “administrative” services. Additional Payments may exceed amounts","page_number":146,"box":{"x":69,"y":718,"width":837,"height":11}},{"id":"6ffc2d70-d3b3-4f7b-a8ce-15b244df0631","block_type":"box","text":"that would be earned on these assets by the Transfer Agent for the performance of these or similar services. These","page_number":146,"box":{"x":68,"y":732,"width":828,"height":12}},{"id":"e86a08a4-6129-45c0-b827-24d064853754","block_type":"box","text":"Additional Payments made by BlackRock are in addition to any transfer agent, shareholder servicing and transaction","page_number":146,"box":{"x":68,"y":748,"width":827,"height":11}},{"id":"8294775b-fbd5-42d2-bc2e-f33f92b63dbc","block_type":"box","text":"processing fees paid by a Fund, as applicable.","page_number":146,"box":{"x":70,"y":763,"width":328,"height":11}},{"id":"f5babf5b-e80b-4c1f-a2e0-ecb4faf12791","block_type":"box","text":"C. Data Provision and Technology Suppor t","page_number":146,"box":{"x":102,"y":786,"width":299,"height":11}},{"id":"ce9eaa81-985c-4d8d-bbc8-655487da8bd6","block_type":"box","text":"BlackRock may make Additional Payments to Service Organizations for the provision of certain analytical or other","page_number":146,"box":{"x":102,"y":808,"width":805,"height":11}},{"id":"095d5060-c69f-402b-a163-77801dc26be6","block_type":"box","text":"data services relating to the Funds, such as statistical information regarding sales of the Funds, or technology","page_number":146,"box":{"x":69,"y":823,"width":788,"height":12}},{"id":"8d87d467-139e-40ef-bc43-56d21483017a","block_type":"box","text":"support. Such Additional Payments are generally made as a fixed dollar amount, and not based on assets or sales.","page_number":146,"box":{"x":69,"y":838,"width":821,"height":12}},{"id":"3d2616d2-2d90-4e2c-9b38-2f4d44b4b641","block_type":"box","text":"D. Service Organizations Receiving Additional Payments","page_number":146,"box":{"x":102,"y":861,"width":397,"height":11}},{"id":"27eb4d89-ffcc-42c5-943f-1dd3d682effc","block_type":"box","text":"As of the date of this SAI, the Service Organizations listed below, and, in some cases, certain of the Service","page_number":146,"box":{"x":101,"y":884,"width":774,"height":11}},{"id":"8aa940be-f0c6-4b79-818c-d738c1b62deb","block_type":"box","text":"Organization’s affiliates, may be receiving one or more types of Additional Payments. This list may change over time,","page_number":146,"box":{"x":69,"y":899,"width":831,"height":11}},{"id":"0a7a82c1-cf21-46bc-a5ff-02b614fb6e5c","block_type":"box","text":"II-110","page_number":146,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"fe61cea1-aad3-44cc-8d90-6cf26817b6e7","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":146,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"09122142-3351-46ff-ad39-7751e96cd69d","block_type":"box","text":"and BlackRock may pay Service Organizations or their affiliates additional types of Additional Payments in the future.","page_number":147,"box":{"x":69,"y":45,"width":832,"height":11}},{"id":"3bf2f033-37c8-4d7f-92b0-d89a607bce4a","block_type":"box","text":"Please contact your Service Organization to determine whether it or its affiliate currently may be receiving such","page_number":147,"box":{"x":69,"y":60,"width":791,"height":11}},{"id":"956102bb-2203-43c5-aed7-8573ced38da7","block_type":"box","text":"payments and to obtain further information regarding any such payments.","page_number":147,"box":{"x":70,"y":75,"width":523,"height":11}},{"id":"397c754c-c8b2-4ed0-a92d-49551b9f43f6","block_type":"box","text":"&Partners","page_number":147,"box":{"x":69,"y":106,"width":71,"height":9}},{"id":"b2301769-3c04-447c-b264-c2336f71cb0e","block_type":"box","text":"AccuTech Systems Corporation","page_number":147,"box":{"x":68,"y":127,"width":219,"height":11}},{"id":"dfe8549d-6d15-4eff-b9af-09770befae7f","block_type":"box","text":"ADP Broker-Dealer, Inc.","page_number":147,"box":{"x":68,"y":147,"width":164,"height":10}},{"id":"7008d4b4-2a65-46a7-8663-cb0a25eed875","block_type":"box","text":"Advisor Credit Exchange, LLC","page_number":147,"box":{"x":68,"y":167,"width":207,"height":11}},{"id":"7e61dfd2-5db0-4b39-8bde-6cfcf9f95bb2","block_type":"box","text":"Advisor Group, Inc.","page_number":147,"box":{"x":68,"y":187,"width":133,"height":11}},{"id":"b10b9eb2-a77a-4881-a881-24d38c595bfb","block_type":"box","text":"AE Wealth Management, LLC","page_number":147,"box":{"x":68,"y":207,"width":205,"height":11}},{"id":"8401ec88-583e-4083-80c7-df6cb301230c","block_type":"box","text":"Alight Solutions LLC","page_number":147,"box":{"x":68,"y":227,"width":142,"height":12}},{"id":"cc94b97c-561e-418a-86ea-030340b1f049","block_type":"box","text":"Allianz Life Financial Services, LLC","page_number":147,"box":{"x":68,"y":247,"width":246,"height":11}},{"id":"4317f10f-e78c-464e-9eec-2e14cf748aef","block_type":"box","text":"Allianz Life Insurance Company of New York","page_number":147,"box":{"x":68,"y":268,"width":310,"height":11}},{"id":"4359d31f-b776-43e1-8f11-aa1b64de0603","block_type":"box","text":"Allianz Life Insurance Company of North America","page_number":147,"box":{"x":68,"y":288,"width":346,"height":11}},{"id":"1dfa9a79-327c-42e9-880b-f4be9823619e","block_type":"box","text":"Altruist Financial LLC","page_number":147,"box":{"x":68,"y":308,"width":149,"height":9}},{"id":"41377e0b-264f-42a2-9160-22da94b033e6","block_type":"box","text":"American Enterprise Investment Services, Inc.","page_number":147,"box":{"x":68,"y":328,"width":328,"height":11}},{"id":"b8f27efb-9ff1-441c-b31e-0db540fbab4b","block_type":"box","text":"American General Life Insurance Company","page_number":147,"box":{"x":68,"y":348,"width":302,"height":11}},{"id":"8402c7c9-0708-4780-9058-d78dee87a58a","block_type":"box","text":"American United Life Insurance Company","page_number":147,"box":{"x":68,"y":368,"width":293,"height":12}},{"id":"074ec83c-de21-4d43-a87b-deb021671345","block_type":"box","text":"Annuity Investors Life Insurance Company","page_number":147,"box":{"x":68,"y":389,"width":298,"height":11}},{"id":"6916fb90-daee-481a-8014-86d4c5082579","block_type":"box","text":"Anthem Securities LLC","page_number":147,"box":{"x":68,"y":409,"width":161,"height":9}},{"id":"f85a971a-6173-40ac-9f4c-f1928f118f93","block_type":"box","text":"Argent Institutional Trust Company","page_number":147,"box":{"x":68,"y":429,"width":246,"height":11}},{"id":"93de9209-42ef-48b8-b3fc-c4f0c4d08ef3","block_type":"box","text":"Ascensus Broker Dealer Services, Inc.","page_number":147,"box":{"x":68,"y":449,"width":272,"height":11}},{"id":"c87ce6c7-a4db-4998-a246-f4688c392121","block_type":"box","text":"Ascensus, Inc.","page_number":147,"box":{"x":68,"y":469,"width":103,"height":11}},{"id":"aad7a056-6e2a-4e39-8d4c-f1a08e1757d0","block_type":"box","text":"Atomic Brokerage LLC","page_number":147,"box":{"x":68,"y":489,"width":156,"height":12}},{"id":"bde9c2ff-226c-4994-98bc-fe1039a9635c","block_type":"box","text":"Avantax Investment Services, LLC","page_number":147,"box":{"x":68,"y":510,"width":241,"height":10}},{"id":"7019aaf2-0b7a-4f86-bbbe-2e7a514fbae8","block_type":"box","text":"Bancroft Capital LLC","page_number":147,"box":{"x":70,"y":530,"width":143,"height":11}},{"id":"c363ebac-0e7e-4db4-bbaf-a8aab7e23c6a","block_type":"box","text":"Bank of America, N.A.","page_number":147,"box":{"x":70,"y":550,"width":153,"height":10}},{"id":"7a852d1f-10e4-4699-bcb8-35334295fe55","block_type":"box","text":"Bank of New York Mellon","page_number":147,"box":{"x":70,"y":570,"width":174,"height":9}},{"id":"a526947f-fb9d-4026-9685-7858ee3c054b","block_type":"box","text":"Barclays Capital Inc.","page_number":147,"box":{"x":70,"y":590,"width":142,"height":11}},{"id":"d452d49f-ec44-4a97-a49e-52758a78b62c","block_type":"box","text":"Benefit Plans Administrative Services, Inc.","page_number":147,"box":{"x":70,"y":610,"width":299,"height":11}},{"id":"97ab52c2-eecb-405e-b365-08702ad4ce6e","block_type":"box","text":"Benefit Trust Company","page_number":147,"box":{"x":70,"y":630,"width":160,"height":12}},{"id":"310a9c58-e43b-4127-9816-aa2cade436ad","block_type":"box","text":"Beta Capital Securities LLC","page_number":147,"box":{"x":70,"y":651,"width":192,"height":11}},{"id":"bb04d2c9-084e-4c82-bdff-b1342ba448d2","block_type":"box","text":"bfinance US Ltd.","page_number":147,"box":{"x":69,"y":671,"width":116,"height":9}},{"id":"ad191098-e317-4fb0-a096-45f72a1ef3d0","block_type":"box","text":"BlackRock Advisors, LLC","page_number":147,"box":{"x":70,"y":691,"width":172,"height":10}},{"id":"3b6c32d5-ac26-4d96-a27f-3da1323d92ac","block_type":"box","text":"BMO Capital Markets Corp.","page_number":147,"box":{"x":70,"y":711,"width":191,"height":11}},{"id":"580bc72b-10e1-4bbc-bdb5-c4716017ea99","block_type":"box","text":"BNP Paribas","page_number":147,"box":{"x":70,"y":731,"width":86,"height":9}},{"id":"2c31d1b7-c319-42ba-8fe6-858edcf4e622","block_type":"box","text":"BNP Paribas Investment Partners UK Limited","page_number":147,"box":{"x":70,"y":752,"width":318,"height":8}},{"id":"185f344b-86a1-465a-bd92-f97c7351b754","block_type":"box","text":"BNY Mellon, N.A.","page_number":147,"box":{"x":70,"y":772,"width":119,"height":10}},{"id":"3177d7e4-cbcc-498a-b514-639047a6c469","block_type":"box","text":"BofA Securities, Inc.","page_number":147,"box":{"x":70,"y":792,"width":141,"height":10}},{"id":"b77e5a01-950f-4fac-8f77-1a4d67611595","block_type":"box","text":"BOKF, N.A.","page_number":147,"box":{"x":70,"y":812,"width":74,"height":10}},{"id":"b59f5854-9923-40ea-af82-7f3af1501c8a","block_type":"box","text":"Brighthouse Life Insurance Company","page_number":147,"box":{"x":70,"y":832,"width":259,"height":11}},{"id":"21484d97-8d13-45c6-89a1-f55328fb83ab","block_type":"box","text":"Brighthouse Life Insurance Company of NY","page_number":147,"box":{"x":70,"y":852,"width":302,"height":11}},{"id":"0d3e4b80-a7ac-46aa-89bf-dc2af1458372","block_type":"box","text":"Broadridge Business Process Outsourcing, LLC","page_number":147,"box":{"x":70,"y":872,"width":333,"height":12}},{"id":"35cc81ba-5233-46a2-b476-26d344ec0359","block_type":"box","text":"Brown Brothers Harriman & Co.","page_number":147,"box":{"x":70,"y":893,"width":222,"height":9}},{"id":"7a100e57-f61c-4728-bfb0-8b32d1d5f2e8","block_type":"box","text":"Cabrera Capital Markets, LLC","page_number":147,"box":{"x":69,"y":913,"width":208,"height":11}},{"id":"4f18accc-58a9-4338-904f-cc32f09bd374","block_type":"box","text":"Capital One, N.A.","page_number":147,"box":{"x":509,"y":106,"width":120,"height":11}},{"id":"5a60f1ad-5557-4f5d-a6e5-fa49e52f7985","block_type":"box","text":"Cetera Advisor Networks LLC","page_number":147,"box":{"x":509,"y":127,"width":204,"height":9}},{"id":"3abbbb0c-29f6-4068-a010-9b35b8be5bfd","block_type":"box","text":"Cetera Advisors LLC","page_number":147,"box":{"x":509,"y":147,"width":142,"height":9}},{"id":"dc17fdfc-f1f1-4b9f-8a95-155446c74097","block_type":"box","text":"Cetera Financial Group","page_number":147,"box":{"x":509,"y":167,"width":161,"height":11}},{"id":"9042c645-a514-48b7-9d18-a8b217df4e70","block_type":"box","text":"Cetera Financial Specialists LLC","page_number":147,"box":{"x":509,"y":187,"width":228,"height":11}},{"id":"a1e60c91-c0c1-4a1c-bb74-c096d54ee357","block_type":"box","text":"Cetera Investment Services LLC","page_number":147,"box":{"x":509,"y":207,"width":227,"height":9}},{"id":"b317e05a-f451-4859-be9b-31e24cb45ad5","block_type":"box","text":"CF Secured, LLC","page_number":147,"box":{"x":509,"y":227,"width":116,"height":11}},{"id":"3593b533-4b15-426f-b66c-5d60c3ab94bf","block_type":"box","text":"Charles Schwab & Co., Inc.","page_number":147,"box":{"x":509,"y":248,"width":192,"height":10}},{"id":"d5e7a93e-1ce5-4e4e-85fa-1e81508bbfb1","block_type":"box","text":"Charles Schwab Trust Bank","page_number":147,"box":{"x":509,"y":268,"width":195,"height":9}},{"id":"8b101fd9-b7aa-44f3-9d1e-fb1b24b5ae68","block_type":"box","text":"Chicago Mercantile Exchange Inc.","page_number":147,"box":{"x":509,"y":288,"width":237,"height":11}},{"id":"56c424fb-1dcb-4caa-8915-c7fe13e9c72f","block_type":"box","text":"CIM Investment Management, Inc.","page_number":147,"box":{"x":509,"y":308,"width":243,"height":11}},{"id":"001d10d2-337a-489e-855d-c519a0199f5e","block_type":"box","text":"Citco Securities, LLC","page_number":147,"box":{"x":509,"y":328,"width":147,"height":11}},{"id":"e4d44986-44c4-490d-b73d-f85e2ca60a1b","block_type":"box","text":"CitiBank, National Association","page_number":147,"box":{"x":509,"y":348,"width":213,"height":11}},{"id":"60812ac9-2be5-4e0a-8828-98f1c713cf24","block_type":"box","text":"Citigroup Global Markets, Inc.","page_number":147,"box":{"x":509,"y":369,"width":210,"height":11}},{"id":"74a8fc64-3a6f-4957-8fb8-3e7e90b0c92a","block_type":"box","text":"Citizens Bank","page_number":147,"box":{"x":509,"y":389,"width":96,"height":9}},{"id":"b946d131-338f-4a22-a05c-90d0198163fe","block_type":"box","text":"Citizens Business Bank","page_number":147,"box":{"x":509,"y":409,"width":167,"height":9}},{"id":"a8f67ac2-d1f9-4cdd-ac3d-ef2bee6c1d55","block_type":"box","text":"CME Shareholder Servicing LLC","page_number":147,"box":{"x":509,"y":429,"width":224,"height":11}},{"id":"1a4db222-1554-4b2f-9a05-0ef03141b776","block_type":"box","text":"CMFG Life Insurance Company","page_number":147,"box":{"x":509,"y":449,"width":217,"height":11}},{"id":"1fb5f971-f20a-413f-b584-11e392d7e6dd","block_type":"box","text":"Comerica Bank","page_number":147,"box":{"x":509,"y":469,"width":107,"height":9}},{"id":"d19a656c-1d10-4e7b-9534-1d7e3a5c72dc","block_type":"box","text":"Commonwealth Financial Network","page_number":147,"box":{"x":509,"y":489,"width":239,"height":9}},{"id":"5352848b-f3a4-4a78-a56d-b93b71db253c","block_type":"box","text":"Computershare Trust Company","page_number":147,"box":{"x":509,"y":510,"width":220,"height":11}},{"id":"7fa06f9e-1bd0-4ff6-b0db-8b62fdc32a75","block_type":"box","text":"Conduent HR Services, LLC","page_number":147,"box":{"x":509,"y":530,"width":196,"height":10}},{"id":"4ca004c3-9498-4ae0-9666-507b890cb2e8","block_type":"box","text":"Delaware Life Insurance Company","page_number":147,"box":{"x":510,"y":550,"width":240,"height":11}},{"id":"78d1acda-f79b-48ec-87e7-050f45b445c5","block_type":"box","text":"Delaware Trust Company","page_number":147,"box":{"x":510,"y":570,"width":176,"height":11}},{"id":"3c9de7bd-c2ca-45d0-9d4f-67386f94feab","block_type":"box","text":"Deutsche Bank AG","page_number":147,"box":{"x":510,"y":590,"width":131,"height":9}},{"id":"16317b07-2128-4d86-a24e-6e5ff97294a8","block_type":"box","text":"Deutsche Bank Trust Company Americas","page_number":147,"box":{"x":510,"y":610,"width":288,"height":11}},{"id":"144cd253-05d8-400b-8717-19585693dd49","block_type":"box","text":"Digital Retirement Solutions, Inc.","page_number":147,"box":{"x":510,"y":631,"width":232,"height":11}},{"id":"687e3391-9afe-401f-b4da-434e016d942d","block_type":"box","text":"Dunham & Associates Investment Counsel, Inc.","page_number":147,"box":{"x":510,"y":651,"width":337,"height":10}},{"id":"45dcb626-908e-4f26-ac7b-2ede5fe4aaa0","block_type":"box","text":"Dynasty Financial Partners LLC","page_number":147,"box":{"x":510,"y":671,"width":218,"height":11}},{"id":"d232b5c7-ade1-4d93-9594-8ddecf58c087","block_type":"box","text":"Edward D. Jones & Co., L.P.","page_number":147,"box":{"x":510,"y":691,"width":196,"height":10}},{"id":"e0bd671b-ff7a-48a8-9a18-f40d4ca6213b","block_type":"box","text":"Empire Fidelity Investments Life Insurance Company","page_number":147,"box":{"x":510,"y":711,"width":370,"height":11}},{"id":"6b63426b-6c41-4763-b326-ef5cab034b17","block_type":"box","text":"Empower Annuity Insurance Company of America","page_number":147,"box":{"x":510,"y":731,"width":345,"height":11}},{"id":"5fcb8404-4e74-4a96-b3e9-35e51b099df7","block_type":"box","text":"Empower Financial Services, Inc.","page_number":147,"box":{"x":510,"y":752,"width":232,"height":10}},{"id":"f292f1dc-8336-48a5-8ebb-0b3ada55ddc6","block_type":"box","text":"Empower Life & Annuity Insurance Company of New","page_number":147,"box":{"x":510,"y":772,"width":365,"height":11}},{"id":"fd537889-0d9d-41f2-bbd7-075ef8ad5be5","block_type":"box","text":"York","page_number":147,"box":{"x":509,"y":787,"width":29,"height":9}},{"id":"da59759c-25d0-491b-802b-63207a078c3f","block_type":"box","text":"Empower Plan Services, LLC","page_number":147,"box":{"x":510,"y":807,"width":201,"height":11}},{"id":"f0a23620-c42b-4ef8-8ee5-28e57873e416","block_type":"box","text":"Envestnet Asset Management, Inc.","page_number":147,"box":{"x":510,"y":827,"width":246,"height":11}},{"id":"d6154bbc-0c83-4567-93ec-065f3a9f9705","block_type":"box","text":"Equitable Advisors, LLC","page_number":147,"box":{"x":510,"y":847,"width":165,"height":11}},{"id":"a3a74ded-5d0b-4871-a8c9-6ca808432077","block_type":"box","text":"Equitable Life Insurance Company","page_number":147,"box":{"x":510,"y":867,"width":240,"height":11}},{"id":"48515dbd-a40b-41dc-a51b-95479b415ec4","block_type":"box","text":"E*trade Savings Bank","page_number":147,"box":{"x":510,"y":888,"width":155,"height":11}},{"id":"59a97022-30ab-4218-8db9-cc97210520d4","block_type":"box","text":"Federal Deposit Insurance Corporation","page_number":147,"box":{"x":510,"y":908,"width":271,"height":11}},{"id":"770ba945-1483-4a20-8bd1-5b2bd30ccea4","block_type":"box","text":"II-111","page_number":147,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"12ed005c-59c5-43a1-aa87-1c62b1b6c422","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":147,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4f3e586b-f177-4ab9-9c4f-6d849885cb18","block_type":"box","text":"Fidelity Brokerage Services LLC","page_number":148,"box":{"x":70,"y":45,"width":222,"height":11}},{"id":"f5d04c1e-7a1c-4fb9-8bc0-66aef8ab509f","block_type":"box","text":"Fidelity Investments Institutional Operations Company,","page_number":148,"box":{"x":70,"y":65,"width":384,"height":11}},{"id":"a8e4f147-1640-4723-89e3-65cd38f38b16","block_type":"box","text":"Inc.","page_number":148,"box":{"x":70,"y":80,"width":23,"height":9}},{"id":"558b14cd-d352-4e3f-837b-1618492c7e34","block_type":"box","text":"Fidelity Investments Life Insurance Company","page_number":148,"box":{"x":70,"y":100,"width":316,"height":11}},{"id":"6b590b1d-bece-41b2-b6fe-13f07bb69296","block_type":"box","text":"Fifth Third Securities, Inc.","page_number":148,"box":{"x":70,"y":120,"width":179,"height":11}},{"id":"4ad673fe-43b0-45cc-9c2a-386d27c37486","block_type":"box","text":"First Allied Securities, Inc.","page_number":148,"box":{"x":70,"y":140,"width":182,"height":11}},{"id":"682b53c0-c882-4712-9332-1dbf4505124d","block_type":"box","text":"First Command Financial Planning, Inc.","page_number":148,"box":{"x":70,"y":161,"width":273,"height":11}},{"id":"9c427343-0d0f-46fb-b894-6499f5b91f69","block_type":"box","text":"First Hawaiian Bank","page_number":148,"box":{"x":70,"y":181,"width":139,"height":9}},{"id":"98937fd7-f0f5-44d4-9841-398f6ff4fcd1","block_type":"box","text":"First Republic Bank","page_number":148,"box":{"x":70,"y":201,"width":135,"height":11}},{"id":"7b9fcf08-4101-4a7d-828a-a4e7e103b1ad","block_type":"box","text":"First Security Benefit Life Insurance and Annuity","page_number":148,"box":{"x":70,"y":221,"width":339,"height":11}},{"id":"7a44ab2e-942a-4d26-b6ba-ccdeb95ffd3f","block_type":"box","text":"Company of New York","page_number":148,"box":{"x":69,"y":236,"width":153,"height":11}},{"id":"25a25efc-2bde-4d29-9abe-1dec50076b17","block_type":"box","text":"First Symetra National Life Insurance Company of New","page_number":148,"box":{"x":70,"y":256,"width":385,"height":11}},{"id":"114963c6-5e7e-4118-aca1-3daebfc20927","block_type":"box","text":"York","page_number":148,"box":{"x":68,"y":272,"width":30,"height":8}},{"id":"2b656153-e015-42e9-ac5a-a3e75412da09","block_type":"box","text":"First-Citizens Bank & Trust Company","page_number":148,"box":{"x":70,"y":292,"width":257,"height":11}},{"id":"f62a2f10-5ec1-4266-8f2d-f310f1dbf9db","block_type":"box","text":"FIS Brokerage & Securities Services LLC","page_number":148,"box":{"x":70,"y":312,"width":287,"height":11}},{"id":"166497a8-ed23-4690-84c8-559a5abbce06","block_type":"box","text":"FNEX Capital, LLC","page_number":148,"box":{"x":70,"y":332,"width":125,"height":11}},{"id":"d4321beb-7cca-443d-a7df-b44f4032f102","block_type":"box","text":"Forethought Life Insurance Company","page_number":148,"box":{"x":70,"y":352,"width":259,"height":11}},{"id":"420a8779-68f4-4f65-83ab-2eff778c3d1a","block_type":"box","text":"FSC Securities Corporation","page_number":148,"box":{"x":70,"y":372,"width":189,"height":11}},{"id":"b29d81a0-8da1-47d5-a527-cb24bfdbcae8","block_type":"box","text":"Genworth Life and Annuity Insurance Company","page_number":148,"box":{"x":69,"y":392,"width":331,"height":12}},{"id":"b8b0ce88-7814-4b4b-bfe3-4e9ca1145fd5","block_type":"box","text":"Genworth Life Insurance Company of New York","page_number":148,"box":{"x":69,"y":412,"width":332,"height":12}},{"id":"504a4735-39e5-427a-9ee3-e872410b6fbf","block_type":"box","text":"Global Atlantic Distributors, LLC","page_number":148,"box":{"x":69,"y":433,"width":225,"height":10}},{"id":"b3d26811-3eff-4963-97c4-82a5ecf8014e","block_type":"box","text":"Goldman Sachs & Co.","page_number":148,"box":{"x":69,"y":453,"width":155,"height":9}},{"id":"0e98fbfe-59dd-4390-85a9-0436ca5d4bb8","block_type":"box","text":"Great Pacific Securities, LLC","page_number":148,"box":{"x":69,"y":473,"width":201,"height":10}},{"id":"c347e079-d139-4cd3-bebc-1ef330103381","block_type":"box","text":"Guardian Insurance & Annuity Co., Inc.","page_number":148,"box":{"x":69,"y":493,"width":273,"height":11}},{"id":"c548391c-8a76-4fe2-93d6-28074d6bec30","block_type":"box","text":"Hancock Whitney Bank","page_number":148,"box":{"x":70,"y":514,"width":161,"height":10}},{"id":"50ec5424-7ebf-477d-a3d0-e64d47392b54","block_type":"box","text":"Hartford Funds Management Company","page_number":148,"box":{"x":70,"y":533,"width":274,"height":12}},{"id":"8c88fa9c-b031-4640-9e5c-0e6f7644a30e","block_type":"box","text":"Hartford Securities Distribution Company, Inc.","page_number":148,"box":{"x":70,"y":554,"width":324,"height":11}},{"id":"08cadde4-2fd9-4eb8-92b8-856a9ac6c45c","block_type":"box","text":"Hazeltree Fund Services, Inc.","page_number":148,"box":{"x":70,"y":574,"width":206,"height":10}},{"id":"08a55a87-e2a9-47ef-8948-95b14519bf79","block_type":"box","text":"Hightower Securities, Inc.","page_number":148,"box":{"x":70,"y":594,"width":179,"height":11}},{"id":"080db762-2842-477a-868b-71fae0ecfe91","block_type":"box","text":"Hilltop Securities Inc.","page_number":148,"box":{"x":70,"y":614,"width":149,"height":11}},{"id":"a8d2b624-e12f-49f6-a2a2-d07eb5fa2074","block_type":"box","text":"HSBC Bank USA, N.A.","page_number":148,"box":{"x":70,"y":634,"width":153,"height":11}},{"id":"9c248617-4fd3-4ff1-83b7-8ef94ff3d8d6","block_type":"box","text":"Huntington Securities, Inc.","page_number":148,"box":{"x":70,"y":655,"width":186,"height":11}},{"id":"d67fbaab-191b-4164-8715-b07302d0aa07","block_type":"box","text":"Institutional Cash Distributors, LLC","page_number":148,"box":{"x":70,"y":675,"width":247,"height":10}},{"id":"d62f681f-54d1-4c9a-abcd-752c2717902a","block_type":"box","text":"Integrity Life Insurance Company","page_number":148,"box":{"x":70,"y":695,"width":230,"height":11}},{"id":"aebef22d-5560-47f9-b4ec-9e76efe84c43","block_type":"box","text":"Interactive Brokers, LLC","page_number":148,"box":{"x":70,"y":715,"width":168,"height":10}},{"id":"f2d9eb40-1009-4d5f-8938-f26ed3ba2169","block_type":"box","text":"Investment Trust of California","page_number":148,"box":{"x":70,"y":735,"width":208,"height":9}},{"id":"ac4f8f11-a760-496c-be96-df9b86e00752","block_type":"box","text":"J.P. Morgan Institutional Investments Inc.","page_number":148,"box":{"x":69,"y":755,"width":292,"height":11}},{"id":"1dfea224-04a4-44fa-a1e7-97ea5247f627","block_type":"box","text":"J.P. Morgan Securities LLC","page_number":148,"box":{"x":69,"y":775,"width":188,"height":12}},{"id":"3930a7cb-2d08-4f6e-bb2a-ef1f007bbe7b","block_type":"box","text":"Jefferies LLC","page_number":148,"box":{"x":69,"y":795,"width":91,"height":9}},{"id":"ecbeb201-613c-48b9-9d87-72ad33a26f87","block_type":"box","text":"Jefferson National Life Insurance Company","page_number":148,"box":{"x":69,"y":816,"width":305,"height":11}},{"id":"b68f2248-f6d7-48d1-bcb6-a502e42592dc","block_type":"box","text":"Jefferson National Life Insurance Company of New York","page_number":148,"box":{"x":69,"y":836,"width":394,"height":11}},{"id":"adc19f5f-8099-4efb-95c2-636b81daaeaf","block_type":"box","text":"John Hancock Life Insurance Company (U.S.A.)","page_number":148,"box":{"x":69,"y":856,"width":332,"height":11}},{"id":"4d59c965-9e49-4874-adf4-d7d1c5e6ae1b","block_type":"box","text":"John Hancock Life Insurance Company of New York","page_number":148,"box":{"x":69,"y":876,"width":362,"height":11}},{"id":"bde480f3-d528-4dea-8a86-50ed6caaa9c9","block_type":"box","text":"John Hancock Trust Company","page_number":148,"box":{"x":69,"y":896,"width":209,"height":11}},{"id":"9289e804-09f1-4557-abf1-727882d24c9d","block_type":"box","text":"JPMorgan Chase Bank, N.A.","page_number":148,"box":{"x":509,"y":45,"width":197,"height":11}},{"id":"3f2b1b1d-e61a-469e-9255-345f8a41790e","block_type":"box","text":"Kestra Investment Services, LLC","page_number":148,"box":{"x":510,"y":65,"width":231,"height":10}},{"id":"e5e8a61f-d6c0-492e-88c8-bb7b4b1a83f4","block_type":"box","text":"Lincoln Financial Advisors Corporation","page_number":148,"box":{"x":510,"y":85,"width":267,"height":11}},{"id":"e8dcc999-7345-4535-9467-c7aa3f7df436","block_type":"box","text":"Lincoln Financial Securities Corporation","page_number":148,"box":{"x":510,"y":105,"width":278,"height":11}},{"id":"51567a52-8390-4f6e-8f02-da0f93e7822a","block_type":"box","text":"Lincoln Life & Annuity Company of New York","page_number":148,"box":{"x":510,"y":125,"width":310,"height":11}},{"id":"77c0d958-adf0-4626-b75d-8bba0ef92fcb","block_type":"box","text":"Lincoln National Life Insurance Company","page_number":148,"box":{"x":510,"y":145,"width":288,"height":12}},{"id":"9f920f2e-1d7f-498c-8a61-9f6e5f589864","block_type":"box","text":"Lincoln Retirement Services LLC","page_number":148,"box":{"x":510,"y":166,"width":229,"height":9}},{"id":"19209758-2600-4617-a4d6-16877a8e31f2","block_type":"box","text":"Lombard International Life Assurance Company","page_number":148,"box":{"x":510,"y":186,"width":336,"height":11}},{"id":"319d76b4-8241-44e2-bdf6-46f3f78b8fb5","block_type":"box","text":"LPL Financial LLC","page_number":148,"box":{"x":510,"y":206,"width":122,"height":9}},{"id":"723fad62-3451-43c5-b424-3685c58ec723","block_type":"box","text":"M&T Securities Inc.","page_number":148,"box":{"x":510,"y":226,"width":136,"height":9}},{"id":"42d5b2f2-927e-4901-974a-82c4667a45f7","block_type":"box","text":"Manufacturers and Traders Trust Company","page_number":148,"box":{"x":510,"y":246,"width":302,"height":11}},{"id":"a75c852d-8474-43b3-82d2-33c7db639374","block_type":"box","text":"Massachusetts Mutual Life Insurance Company","page_number":148,"box":{"x":510,"y":266,"width":338,"height":12}},{"id":"e0119530-34a6-4a0b-a4a7-701ee32b0461","block_type":"box","text":"Members Life Insurance Company","page_number":148,"box":{"x":510,"y":286,"width":241,"height":12}},{"id":"92bc8f78-d97c-4c5b-83cf-fa79eb06f477","block_type":"box","text":"Merrill Lynch, Pierce, Fenner & Smith Incorporated","page_number":148,"box":{"x":510,"y":307,"width":356,"height":11}},{"id":"8bdfc3f3-76c7-4d2c-8918-d967b2627aee","block_type":"box","text":"Metavante Corporation","page_number":148,"box":{"x":510,"y":327,"width":160,"height":11}},{"id":"ac190a90-3022-4c22-a0ef-a0934463a5d3","block_type":"box","text":"Metropolitan Life Insurance Company","page_number":148,"box":{"x":510,"y":347,"width":264,"height":11}},{"id":"c5f8aa57-848a-4456-9d0c-e1387b00ee6b","block_type":"box","text":"Mid Atlantic Clearing & Settlement Corporation","page_number":148,"box":{"x":510,"y":367,"width":330,"height":11}},{"id":"560effff-8c9a-428d-a3a4-73a6afd048ec","block_type":"box","text":"Midland Life Insurance Company","page_number":148,"box":{"x":510,"y":387,"width":231,"height":11}},{"id":"363fc534-3d4c-4aa3-8274-a35a632a6c3e","block_type":"box","text":"Minnesota Life Insurance Company","page_number":148,"box":{"x":510,"y":407,"width":249,"height":12}},{"id":"5dfeebc6-35b2-4b80-aa8d-e4b7a703368c","block_type":"box","text":"Mischler Financial Group","page_number":148,"box":{"x":510,"y":428,"width":173,"height":11}},{"id":"1beacf5c-104c-4e29-a302-bd23fb2bbd1a","block_type":"box","text":"Mizuho Securities USA Inc.","page_number":148,"box":{"x":510,"y":448,"width":189,"height":9}},{"id":"28e3f379-6a2c-44c7-9824-ebc2ea688ad1","block_type":"box","text":"MML Distributors, LLC","page_number":148,"box":{"x":510,"y":468,"width":157,"height":10}},{"id":"6fd24e06-0a7b-41ec-a135-29860142353d","block_type":"box","text":"MML Investors Services, LLC","page_number":148,"box":{"x":510,"y":488,"width":206,"height":11}},{"id":"27a44e43-523c-48e0-8d84-194aa9b5cecd","block_type":"box","text":"Morgan Stanley & Co. LLC","page_number":148,"box":{"x":510,"y":508,"width":185,"height":12}},{"id":"5f75a6e9-f768-4ee9-8fed-c253bfd016f7","block_type":"box","text":"Morgan Stanley Distribution, Inc.","page_number":148,"box":{"x":510,"y":529,"width":230,"height":11}},{"id":"d7e17d9d-2a34-4ce9-b338-db8d6aee0aa6","block_type":"box","text":"Morgan Stanley Smith Barney LLC","page_number":148,"box":{"x":510,"y":549,"width":240,"height":11}},{"id":"8f0994d3-292b-4b83-8fcf-04137ab24e74","block_type":"box","text":"MUFG Union Bank, National Association","page_number":148,"box":{"x":510,"y":569,"width":282,"height":10}},{"id":"555419cb-9bb5-4481-ae64-353337779820","block_type":"box","text":"Nassau Life Insurance Company","page_number":148,"box":{"x":510,"y":589,"width":228,"height":11}},{"id":"691d0fed-15cf-4621-a0b5-eb8d81a0d099","block_type":"box","text":"National Financial Services LLC","page_number":148,"box":{"x":510,"y":609,"width":222,"height":9}},{"id":"c7646f44-f4c3-429d-abad-f690f4936234","block_type":"box","text":"National Integrity Life Insurance Company","page_number":148,"box":{"x":510,"y":629,"width":295,"height":11}},{"id":"223c6610-881b-48ef-baf5-8bd3f704ea37","block_type":"box","text":"National Life Insurance Company","page_number":148,"box":{"x":510,"y":649,"width":233,"height":12}},{"id":"cabee109-e8cc-4671-8ca7-5cf313cde1b4","block_type":"box","text":"Nationwide Financial Services, Inc.","page_number":148,"box":{"x":510,"y":670,"width":245,"height":10}},{"id":"e62665be-105a-456e-8dd7-4c46366256db","block_type":"box","text":"Nationwide Fund Distributors LLC","page_number":148,"box":{"x":510,"y":690,"width":234,"height":9}},{"id":"0293166a-b576-47e4-bc42-d81dcf093ce0","block_type":"box","text":"Nationwide Retirement Solutions","page_number":148,"box":{"x":510,"y":710,"width":231,"height":9}},{"id":"ff77bb5c-1f89-43aa-9b2a-c0388bf1bd72","block_type":"box","text":"NCB Federal Savings Bank","page_number":148,"box":{"x":510,"y":730,"width":187,"height":11}},{"id":"dffc38a2-a81d-4fff-8dbe-7e972823eb24","block_type":"box","text":"New England Pension Plan Systems, LLC","page_number":148,"box":{"x":510,"y":750,"width":289,"height":11}},{"id":"df275c54-dd3f-4b04-8db3-6ecfcb60cd93","block_type":"box","text":"New York Life Insurance and Annuity Corporation","page_number":148,"box":{"x":510,"y":770,"width":343,"height":11}},{"id":"500b898f-1f50-4831-af5b-2226372fa439","block_type":"box","text":"Newport Retirement Services, Inc.","page_number":148,"box":{"x":510,"y":791,"width":242,"height":10}},{"id":"f7fcfb14-3a9e-4b6c-9dfc-c43b20132a78","block_type":"box","text":"Northbrook Bank & Trust Company","page_number":148,"box":{"x":510,"y":811,"width":247,"height":11}},{"id":"b3764529-1d4c-4a17-bd8e-49c488f40bc9","block_type":"box","text":"Northern Trust Company","page_number":148,"box":{"x":510,"y":831,"width":173,"height":11}},{"id":"c694c9d2-0414-473b-9f0d-9c5ae12aac2f","block_type":"box","text":"Northwestern Mutual Investment Services, LLC","page_number":148,"box":{"x":510,"y":851,"width":335,"height":10}},{"id":"5a6123e1-6fe3-4c41-8f8a-f56d54f7162c","block_type":"box","text":"Northwestern Mutual Life Insurance Company","page_number":148,"box":{"x":510,"y":871,"width":325,"height":11}},{"id":"b0463051-aef1-440f-a268-09d89787de3b","block_type":"box","text":"NYLife Distributors LLC","page_number":148,"box":{"x":510,"y":891,"width":162,"height":9}},{"id":"263880a4-440f-4b5f-8a0d-7dc255dfa2ef","block_type":"box","text":"Oppenheimer & Co., Inc.","page_number":148,"box":{"x":509,"y":912,"width":173,"height":10}},{"id":"bff5ebd7-e6e3-4d0f-9e43-940165c8cf99","block_type":"box","text":"II-112","page_number":148,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9658fd50-1bc4-41e7-8aca-7957bf947590","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":148,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bb2d1551-4886-4efc-9313-709aa66adba3","block_type":"box","text":"Orion Advisor Services, LLC","page_number":149,"box":{"x":69,"y":45,"width":195,"height":10}},{"id":"ba087729-f1c2-4ecc-92c6-708b24187e58","block_type":"box","text":"Osaic Wealth, Inc.","page_number":149,"box":{"x":69,"y":65,"width":127,"height":10}},{"id":"1c50614f-e3d1-47ec-b8f0-252a59644f03","block_type":"box","text":"Pacific Life & Annuity Company","page_number":149,"box":{"x":69,"y":85,"width":219,"height":11}},{"id":"b026ee3a-42f2-4b69-862c-0c294e551a35","block_type":"box","text":"Pacific Life Insurance Company","page_number":149,"box":{"x":69,"y":105,"width":221,"height":11}},{"id":"26c92ab9-15f4-41c1-a561-298934f7c76c","block_type":"box","text":"Pacific Select Distributors, LLC","page_number":149,"box":{"x":69,"y":125,"width":218,"height":11}},{"id":"1bf6306c-733f-4ebd-8bf7-d4ac200ccd2a","block_type":"box","text":"Park Avenue Securities LLC","page_number":149,"box":{"x":69,"y":146,"width":193,"height":8}},{"id":"d7bf2574-6958-4f65-a615-44b6c4d474ca","block_type":"box","text":"Penserra Securities LLC","page_number":149,"box":{"x":69,"y":166,"width":170,"height":9}},{"id":"7af6e77c-9840-4a85-a87a-9f176c59d7c6","block_type":"box","text":"Pershing LLC","page_number":149,"box":{"x":69,"y":186,"width":91,"height":11}},{"id":"407909be-a120-42eb-ac52-996de4f6a842","block_type":"box","text":"PFPC Inc.","page_number":149,"box":{"x":69,"y":206,"width":65,"height":9}},{"id":"fb42d413-c3ad-4666-80cc-08aca0f3d4d6","block_type":"box","text":"Piper Jaffray & Co.","page_number":149,"box":{"x":69,"y":226,"width":130,"height":11}},{"id":"148541c9-2d4b-4c7b-9d09-51e70b04b381","block_type":"box","text":"PNC Bank, National Association","page_number":149,"box":{"x":69,"y":246,"width":225,"height":11}},{"id":"a48d7761-9a07-4ac2-8682-62c7427a031c","block_type":"box","text":"PNC Capital Markets LLC","page_number":149,"box":{"x":69,"y":266,"width":177,"height":11}},{"id":"ff0e2300-ce35-4638-839b-fcb9bb722423","block_type":"box","text":"PNC Investments LLC","page_number":149,"box":{"x":69,"y":287,"width":152,"height":9}},{"id":"c4c74f2a-f01f-4b1b-937e-8d0d6934fc1e","block_type":"box","text":"Principal Bank","page_number":149,"box":{"x":69,"y":307,"width":100,"height":11}},{"id":"c842cc1f-6aa9-4557-95c4-22ca17793856","block_type":"box","text":"Principal Life Insurance Company","page_number":149,"box":{"x":69,"y":327,"width":235,"height":11}},{"id":"ae64a3a7-454b-467e-b7a5-5296bbc5324b","block_type":"box","text":"Protective Life and Annuity Insurance Company","page_number":149,"box":{"x":69,"y":347,"width":333,"height":11}},{"id":"838e2e35-23fe-4a60-8be6-6dc8e26ed1bb","block_type":"box","text":"Protective Life Insurance Company","page_number":149,"box":{"x":69,"y":367,"width":245,"height":11}},{"id":"09ae43ca-a597-4625-b8b7-77cf9d19475e","block_type":"box","text":"Pruco Life Insurance Company","page_number":149,"box":{"x":69,"y":387,"width":215,"height":11}},{"id":"ae690bb2-ce60-473b-b109-71f294bde3b1","block_type":"box","text":"Pruco Life Insurance Company of New Jersey","page_number":149,"box":{"x":69,"y":407,"width":319,"height":12}},{"id":"5131914d-3877-4b37-a75a-bec136de5fde","block_type":"box","text":"Prudential Annuities Distributors, Inc.","page_number":149,"box":{"x":69,"y":428,"width":264,"height":10}},{"id":"38efe7bd-2071-40f4-a526-ea7d555b1472","block_type":"box","text":"Prudential Insurance Company of America","page_number":149,"box":{"x":69,"y":448,"width":296,"height":11}},{"id":"c1ccee15-860c-4c2b-960c-e9e8d4055892","block_type":"box","text":"Raymond James & Associates, Inc.","page_number":149,"box":{"x":70,"y":468,"width":248,"height":11}},{"id":"3a9dadbb-a7af-4166-82ab-cc2bb7fc80a6","block_type":"box","text":"Raymond James Financial Services, Inc.","page_number":149,"box":{"x":70,"y":488,"width":283,"height":11}},{"id":"52dde528-7168-4e96-ae0b-3fc45619d663","block_type":"box","text":"RBC Capital Markets, LLC","page_number":149,"box":{"x":70,"y":508,"width":181,"height":11}},{"id":"a7ddcc4f-d230-4025-a9fc-63c8fb11afcf","block_type":"box","text":"Regions Bank","page_number":149,"box":{"x":70,"y":529,"width":96,"height":11}},{"id":"f3dd3b89-eba9-41ef-aa2b-24ed235e0ca4","block_type":"box","text":"Reliance Trust Company","page_number":149,"box":{"x":70,"y":549,"width":170,"height":11}},{"id":"b200524d-c860-4c11-be4f-848bbce68210","block_type":"box","text":"Reliastar Life Insurance Company","page_number":149,"box":{"x":70,"y":569,"width":237,"height":11}},{"id":"9e0f5f72-560a-4c4e-8193-a61186360eb6","block_type":"box","text":"Reliastar Life Insurance Company of New York","page_number":149,"box":{"x":70,"y":589,"width":325,"height":11}},{"id":"c2d75300-6c8a-4d78-b75d-d25886ee3c32","block_type":"box","text":"RiverSource Distributors, Inc.","page_number":149,"box":{"x":70,"y":609,"width":205,"height":11}},{"id":"c798e73d-71ca-49ef-961c-3a367ad191e7","block_type":"box","text":"RiverSource Life Insurance Co. of New York","page_number":149,"box":{"x":70,"y":629,"width":306,"height":9}},{"id":"cb6ff8b5-f54f-419b-b185-a207ea96743d","block_type":"box","text":"RiverSource Life Insurance Company","page_number":149,"box":{"x":70,"y":649,"width":259,"height":12}},{"id":"9d45efb8-a7b1-46da-b19a-c16122ce6553","block_type":"box","text":"SagePoint Financial, Inc.","page_number":149,"box":{"x":69,"y":670,"width":173,"height":11}},{"id":"16fa4bd4-71be-4854-898f-bc553edb4f3b","block_type":"box","text":"Sammons Retirement Solutions, Inc.","page_number":149,"box":{"x":69,"y":690,"width":260,"height":10}},{"id":"46f6e5fc-0d7f-49d0-9472-2eacf71189a7","block_type":"box","text":"Sanctuary Wealth Group, LLC","page_number":149,"box":{"x":69,"y":710,"width":208,"height":11}},{"id":"d1cd4e76-7606-446b-ab35-a5add494e732","block_type":"box","text":"Santander Bank, N.A.","page_number":149,"box":{"x":69,"y":730,"width":151,"height":10}},{"id":"ea3374d6-2e0d-445f-9c0a-2e818749bdb9","block_type":"box","text":"Saturna Trust Company","page_number":149,"box":{"x":69,"y":750,"width":167,"height":11}},{"id":"57b98b9a-d705-4442-a38d-d1f6f47251d7","block_type":"box","text":"Securities America, Inc.","page_number":149,"box":{"x":69,"y":770,"width":166,"height":11}},{"id":"3c438aae-d997-451f-afcd-2fa27cde6296","block_type":"box","text":"Securities Finance Trust Company","page_number":149,"box":{"x":69,"y":791,"width":241,"height":11}},{"id":"6bdfef6a-4390-48cf-b038-e3e12cd5e6af","block_type":"box","text":"Security Benefit Life Insurance Company","page_number":149,"box":{"x":69,"y":811,"width":287,"height":11}},{"id":"eaef9b49-b938-44a7-bf34-95d7bab67474","block_type":"box","text":"Security Financial Resources, Inc.","page_number":149,"box":{"x":69,"y":831,"width":238,"height":11}},{"id":"7f15ec0c-42fa-48d4-95fa-ef35814f9cf0","block_type":"box","text":"Security Life of Denver Insurance Company","page_number":149,"box":{"x":69,"y":851,"width":305,"height":11}},{"id":"6b51b9d7-ccb8-4579-b305-7ef87f45db99","block_type":"box","text":"SEI Private Trust Company","page_number":149,"box":{"x":69,"y":871,"width":187,"height":11}},{"id":"271c9883-e30b-4d3f-b21d-1d740ec5fbed","block_type":"box","text":"SG Americas Securities, LLC","page_number":149,"box":{"x":69,"y":891,"width":202,"height":11}},{"id":"3e83d28b-519b-45c2-b4ce-3b860a64fd4b","block_type":"box","text":"Silicon Valley Bank","page_number":149,"box":{"x":69,"y":912,"width":132,"height":11}},{"id":"dca0aa21-88cf-4802-b6e4-f4bdc7b135ca","block_type":"box","text":"Standard Insurance Company","page_number":149,"box":{"x":509,"y":45,"width":209,"height":11}},{"id":"04de6d9b-af74-4c85-a75d-0210ff78b5c2","block_type":"box","text":"State Farm Life and Accident Assurance Company","page_number":149,"box":{"x":509,"y":65,"width":355,"height":11}},{"id":"874c8a27-1540-4636-a68c-e6288bc8fb08","block_type":"box","text":"State Farm Life Insurance Company","page_number":149,"box":{"x":509,"y":85,"width":254,"height":11}},{"id":"072b654d-f5a9-4b59-9c44-adde280d855e","block_type":"box","text":"State Farm VP Management Corp.","page_number":149,"box":{"x":509,"y":105,"width":240,"height":11}},{"id":"e161a5a7-4c48-4f48-9b67-850727226cce","block_type":"box","text":"State Street Bank and Trust Company","page_number":149,"box":{"x":509,"y":125,"width":269,"height":11}},{"id":"c241b877-d979-4f63-9b0b-b5032a075ef9","block_type":"box","text":"State Street Global Markets, LLC","page_number":149,"box":{"x":509,"y":146,"width":234,"height":10}},{"id":"5ef89bb0-3b33-4847-83aa-06f6ea0e9c6d","block_type":"box","text":"Stern Brothers & Co.","page_number":149,"box":{"x":509,"y":166,"width":147,"height":9}},{"id":"6206a377-7a03-4aa4-90da-5cd71ec49df2","block_type":"box","text":"Stifel, Nicolaus & Company, Incorporated","page_number":149,"box":{"x":509,"y":186,"width":291,"height":11}},{"id":"236dbd70-6288-442a-a1a9-1912a9cc5baa","block_type":"box","text":"Summit Brokerage Services, Inc.","page_number":149,"box":{"x":509,"y":206,"width":232,"height":11}},{"id":"d59a562b-cef7-43ba-91fb-0b79fca25f48","block_type":"box","text":"SVB Asset Management","page_number":149,"box":{"x":509,"y":226,"width":171,"height":11}},{"id":"9087271a-91dd-4454-a3b2-d5d28b97b03a","block_type":"box","text":"Symetra Life Insurance Company","page_number":149,"box":{"x":509,"y":246,"width":234,"height":11}},{"id":"4a548082-233a-44bb-a1e6-ac130c8f5c88","block_type":"box","text":"Syntal Capital Partners, LLC","page_number":149,"box":{"x":509,"y":266,"width":199,"height":12}},{"id":"e4b49c05-6979-47bb-955e-cb716ecb91aa","block_type":"box","text":"T. Rowe Price Retirement Plan Services, Inc.","page_number":149,"box":{"x":509,"y":287,"width":314,"height":10}},{"id":"58cb9133-4ba8-4a8f-9d13-1ab9a22e98bd","block_type":"box","text":"Talcott Resolution Life and Annuity Insurance Company","page_number":149,"box":{"x":509,"y":307,"width":390,"height":11}},{"id":"9d660235-127a-4597-ac10-6a039caeea11","block_type":"box","text":"Talcott Resolution Life Insurance Company","page_number":149,"box":{"x":509,"y":327,"width":302,"height":11}},{"id":"b960bceb-9598-446a-8819-fdda93b8ce28","block_type":"box","text":"TD Ameritrade Clearing, Inc.","page_number":149,"box":{"x":509,"y":347,"width":197,"height":11}},{"id":"34408a9f-7533-4c20-a249-8d9d7bd7cd44","block_type":"box","text":"TD Ameritrade, Inc.","page_number":149,"box":{"x":509,"y":367,"width":135,"height":11}},{"id":"7b77612c-3385-423c-9752-a7989ba9a682","block_type":"box","text":"TD Prime Services (US) LLC","page_number":149,"box":{"x":509,"y":387,"width":196,"height":11}},{"id":"3bae530e-e9cd-4a40-b5da-aa7838448618","block_type":"box","text":"Teachers Insurance and Annuity Association of America","page_number":149,"box":{"x":509,"y":407,"width":392,"height":12}},{"id":"359866e0-e23b-422a-9162-e60172e2a7c1","block_type":"box","text":"Tigress Financial Partners, LLC","page_number":149,"box":{"x":509,"y":428,"width":220,"height":11}},{"id":"ced880ff-60c8-40eb-8451-3c4f3daf4693","block_type":"box","text":"Transamerica Financial Life Insurance Company","page_number":149,"box":{"x":509,"y":448,"width":338,"height":11}},{"id":"19441a7e-95c4-497d-9f7e-8b1a616cac9f","block_type":"box","text":"Transamerica Life Insurance Company","page_number":149,"box":{"x":509,"y":468,"width":271,"height":11}},{"id":"b7e34a92-05c7-4148-811e-ebcd0e531db6","block_type":"box","text":"Treasury Brokerage","page_number":149,"box":{"x":509,"y":488,"width":137,"height":11}},{"id":"807b50e4-d1bd-4ffe-8108-7efa9671150f","block_type":"box","text":"Triad Advisors, LLC","page_number":149,"box":{"x":509,"y":508,"width":134,"height":11}},{"id":"8c73cbdb-31cf-481c-b36f-a5498e5b67ea","block_type":"box","text":"Truist Bank","page_number":149,"box":{"x":509,"y":529,"width":80,"height":8}},{"id":"0103575c-c09f-410f-ad25-408e190252f0","block_type":"box","text":"U.S. Bancorp Investments, Inc.","page_number":149,"box":{"x":510,"y":549,"width":218,"height":11}},{"id":"67f3b2e3-9873-4e96-8a7e-31ffc67b9837","block_type":"box","text":"U.S. Bank, National Association","page_number":149,"box":{"x":510,"y":569,"width":224,"height":10}},{"id":"7408d2e4-0de3-4ca1-a20e-18578388f10b","block_type":"box","text":"UBATCO & Co.","page_number":149,"box":{"x":510,"y":589,"width":99,"height":9}},{"id":"4e1ce9eb-f0c1-473e-935e-1293e35f1751","block_type":"box","text":"UBS Financial Services, Inc.","page_number":149,"box":{"x":510,"y":609,"width":197,"height":11}},{"id":"a5411578-9517-4296-b806-8e6fc6245a82","block_type":"box","text":"UBS Securities LLC","page_number":149,"box":{"x":510,"y":629,"width":136,"height":9}},{"id":"b4a0a1c4-059b-4e46-a56d-734f63fa9dbd","block_type":"box","text":"Ultimus Fund Solutions, LLC","page_number":149,"box":{"x":510,"y":649,"width":199,"height":11}},{"id":"2af81b3f-3994-4b26-bff8-d35543f3e3a6","block_type":"box","text":"UMB Bank, National Association","page_number":149,"box":{"x":510,"y":670,"width":228,"height":10}},{"id":"92be7e42-509d-4bad-882f-723e2e618af9","block_type":"box","text":"United States Life Insurance Company in the City of","page_number":149,"box":{"x":510,"y":690,"width":367,"height":11}},{"id":"1c95d8f2-54ed-4add-820a-4c0e61c8d6b1","block_type":"box","text":"New York","page_number":149,"box":{"x":510,"y":705,"width":63,"height":9}},{"id":"e0346c02-6de3-4ed4-a9b9-029d1dac3626","block_type":"box","text":"VALIC Retirement Services Company","page_number":149,"box":{"x":509,"y":725,"width":260,"height":11}},{"id":"b0e2fb61-3ac6-473a-a567-6980e763b053","block_type":"box","text":"Vanguard Group, Inc.","page_number":149,"box":{"x":509,"y":745,"width":147,"height":11}},{"id":"134a4bff-4402-4e4e-ab22-fb725eefd583","block_type":"box","text":"Vanguard Marketing Corporation","page_number":149,"box":{"x":509,"y":765,"width":227,"height":12}},{"id":"a56b702e-b75f-469d-ade1-f1b4a27f39e2","block_type":"box","text":"Voya Financial Advisors, Inc.","page_number":149,"box":{"x":509,"y":786,"width":198,"height":11}},{"id":"9953ca22-3b75-4b23-b833-6f3d0c025b1e","block_type":"box","text":"Voya Financial Partners, LLC","page_number":149,"box":{"x":509,"y":806,"width":201,"height":11}},{"id":"2e6f72f6-7be1-4562-bd2e-5958a7091aa2","block_type":"box","text":"Voya Institutional Plan Services, LLC","page_number":149,"box":{"x":509,"y":826,"width":259,"height":11}},{"id":"368d6fd5-6804-4e2a-9b37-15bc70f1715c","block_type":"box","text":"Voya Insurance and Annuity Company","page_number":149,"box":{"x":509,"y":846,"width":265,"height":11}},{"id":"45ca94ca-3eca-4235-8298-95e389bb8765","block_type":"box","text":"Voya Investments Distributor, LLC","page_number":149,"box":{"x":509,"y":866,"width":238,"height":11}},{"id":"8d25c7bf-bab6-4c01-8185-1e0e9c229593","block_type":"box","text":"Voya Retirement Insurance and Annuity Company","page_number":149,"box":{"x":509,"y":886,"width":348,"height":11}},{"id":"197ae696-94be-4eeb-872e-8a0855ce38ab","block_type":"box","text":"Waddell & Reed, Inc.","page_number":149,"box":{"x":509,"y":906,"width":147,"height":11}},{"id":"7a5b8737-add1-4964-86ba-173c0c2bd4fd","block_type":"box","text":"II-113","page_number":149,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"7a209587-f8db-46fb-a621-14808307134c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":149,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"7f550526-8ade-4c21-9691-ce1da2bba130","block_type":"box","text":"Wells Fargo Advisors, LLC","page_number":150,"box":{"x":68,"y":45,"width":183,"height":11}},{"id":"647367af-86c9-4d7e-a2ba-a7107692027c","block_type":"box","text":"Wells Fargo Advisors Financial Network, LLC","page_number":150,"box":{"x":68,"y":65,"width":313,"height":11}},{"id":"1225ed89-9e2d-4763-aa2b-0e5a76eb99ab","block_type":"box","text":"Wells Fargo Bank, N.A.","page_number":150,"box":{"x":68,"y":85,"width":161,"height":11}},{"id":"1185471c-5e35-4824-ae87-56f17a4d4bde","block_type":"box","text":"Wells Fargo Clearing Services, LLC","page_number":150,"box":{"x":68,"y":105,"width":247,"height":11}},{"id":"fad29072-7787-498b-a971-4d976406da88","block_type":"box","text":"Wells Fargo Investments, LLC","page_number":150,"box":{"x":68,"y":125,"width":210,"height":12}},{"id":"07f8f55e-7fdd-4881-9084-930a448a81b3","block_type":"box","text":"Wells Fargo Securities, LLC","page_number":150,"box":{"x":509,"y":45,"width":193,"height":11}},{"id":"ebc8a6a4-476c-485e-9bca-10b47f739d37","block_type":"box","text":"Wilmington Trust, National Association","page_number":150,"box":{"x":509,"y":65,"width":273,"height":11}},{"id":"f7248df7-dc45-46ef-9165-a3454c37c8b3","block_type":"box","text":"Woodbury Financial Services, Inc.","page_number":150,"box":{"x":509,"y":85,"width":238,"height":11}},{"id":"f6c58fdb-c1a4-4042-aa0f-b53bcad8c3bc","block_type":"box","text":"ZB, National Association","page_number":150,"box":{"x":509,"y":105,"width":173,"height":11}},{"id":"6bc9a38c-1bac-4bd4-8a1d-b1fc84cdcf91","block_type":"box","text":"E. Sponsorship and Other Incentive Payments and Services","page_number":150,"box":{"x":102,"y":164,"width":423,"height":11}},{"id":"1ea4a4df-6229-438c-9d2a-c576634f3568","block_type":"box","text":"In addition to the Additional Payments described above, BlackRock may contribute to various other incentive","page_number":150,"box":{"x":102,"y":187,"width":769,"height":11}},{"id":"d1a25cf4-efba-45e0-a7fc-c903dcf406bb","block_type":"box","text":"arrangements to promote the sale of shares, including hosting proprietary and financially sponsoring Service","page_number":150,"box":{"x":69,"y":202,"width":776,"height":11}},{"id":"45da7d27-5c2e-4979-8a28-b71d4026631c","block_type":"box","text":"Organizations’ training and educational seminars, conferences, meetings or events. BlackRock may also pay for the","page_number":150,"box":{"x":69,"y":217,"width":824,"height":12}},{"id":"d8f39c72-0379-4f16-8c67-4692d8d213b5","block_type":"box","text":"travel, meal, lodging and other expenses of Service Organizations and their salespersons or other personnel in","page_number":150,"box":{"x":68,"y":232,"width":791,"height":12}},{"id":"db1d30d8-5e9c-4d56-aa13-0f5e00572270","block_type":"box","text":"connection with educational and sales promotional programs. This compensation is not included in, and is made in","page_number":150,"box":{"x":69,"y":248,"width":820,"height":11}},{"id":"51f551ea-cca9-453e-8998-8b824114a171","block_type":"box","text":"addition to, the Additional Payments described above. These payments may be made directly to the Service","page_number":150,"box":{"x":69,"y":263,"width":767,"height":11}},{"id":"9abce21e-7218-4bbe-ab68-e1556383ed8d","block_type":"box","text":"Organizations or their affiliates, or to a third party vendor, and may vary depending upon the nature of the event or","page_number":150,"box":{"x":69,"y":278,"width":817,"height":11}},{"id":"5a095e74-c220-4866-8d27-582e0f367b1b","block_type":"box","text":"the relationship and are subject to applicable laws and regulations, including the rules of applicable self-regulatory","page_number":150,"box":{"x":68,"y":293,"width":819,"height":11}},{"id":"16d356a7-a039-41fb-af18-f4636d43077a","block_type":"box","text":"organizations, such as FINRA. BlackRock may pay Service Organizations additional types of incentive compensation","page_number":150,"box":{"x":69,"y":308,"width":823,"height":11}},{"id":"410b8805-820c-4b91-9974-84b672cd6987","block_type":"box","text":"in the future to the extent not prohibited by applicable laws or regulations.","page_number":150,"box":{"x":70,"y":323,"width":526,"height":11}},{"id":"87b87c06-7484-4284-8e5b-4d6bf6d37bf5","block_type":"box","text":"Separately, BlackRock has developed proprietary tools, calculators and related interactive or digital content that","page_number":150,"box":{"x":102,"y":346,"width":797,"height":11}},{"id":"d246090f-69f4-4cd8-a055-b4eac75041b8","block_type":"box","text":"is made available through the www.BlackRock.com website at no additional cost to Service Organizations. BlackRock","page_number":150,"box":{"x":70,"y":361,"width":833,"height":11}},{"id":"405d8ffd-009b-4ec6-8c0b-bda1a9bbc565","block_type":"box","text":"configures these tools and calculators and localizes the content for Service Organizations as part of its customary","page_number":150,"box":{"x":69,"y":376,"width":817,"height":11}},{"id":"95796c23-df66-41ff-bc70-7825646b9a6c","block_type":"box","text":"digital marketing support and promotion of the Funds or other BlackRock funds, iShares ETFs and other exchange","page_number":150,"box":{"x":69,"y":391,"width":815,"height":11}},{"id":"814bd551-e93c-4144-89e2-5c93ec759278","block_type":"box","text":"traded products.","page_number":150,"box":{"x":68,"y":406,"width":116,"height":11}},{"id":"f4697094-91ac-42b3-ae24-93cb9f1bbe0c","block_type":"box","text":"F. Conflicts","page_number":150,"box":{"x":102,"y":429,"width":78,"height":9}},{"id":"73831c94-74e5-4c21-8382-7ea241637410","block_type":"box","text":"Additional Payments made by BlackRock to a Service Organization or its affiliates or other incentive","page_number":150,"box":{"x":101,"y":452,"width":710,"height":11}},{"id":"d74ab05d-780f-4dc8-ae99-6df178f86e52","block_type":"box","text":"arrangements may be an important factor in the Service Organization’s willingness to support the sale of a Fund","page_number":150,"box":{"x":69,"y":467,"width":803,"height":11}},{"id":"4e1c5893-1193-4782-9b10-b0bd72e535f9","block_type":"box","text":"and/or particular share class through its distribution system or to perform services with respect to such Fund.","page_number":150,"box":{"x":69,"y":482,"width":788,"height":11}},{"id":"c712bb32-8402-4448-b77c-143d2d1bac08","block_type":"box","text":"Additional Payments and other incentive arrangements may also be important factors in the Service Organization’s","page_number":150,"box":{"x":68,"y":497,"width":819,"height":11}},{"id":"b79d5b02-977f-409d-8a32-9b3e0988d26c","block_type":"box","text":"willingness to recommend the BlackRock Fund complex in general.","page_number":150,"box":{"x":68,"y":512,"width":473,"height":11}},{"id":"d59f593e-d2a8-4d04-9978-ccf816b9d658","block_type":"box","text":"BlackRock may be motivated to pay Additional Payments and other incentive compensation to promote the sale","page_number":150,"box":{"x":102,"y":535,"width":793,"height":11}},{"id":"0e4f924a-b0f8-4667-a592-d5fd230a3eee","block_type":"box","text":"of Fund shares to Customers of Service Organizations and the retention of those investments by such Customers. To","page_number":150,"box":{"x":69,"y":550,"width":835,"height":11}},{"id":"b87ea312-38ad-4bbf-9896-f3836ac90be2","block_type":"box","text":"the extent Service Organizations sell more shares of a Fund or retain shares of a Fund in their Customers’ accounts,","page_number":150,"box":{"x":68,"y":565,"width":833,"height":11}},{"id":"6f769473-5685-4ff1-8581-ace0a870eaac","block_type":"box","text":"BlackRock benefits from the incremental management and other fees paid by the Fund with respect to those assets.","page_number":150,"box":{"x":70,"y":580,"width":830,"height":11}},{"id":"89c9fc4d-c28e-4970-8c0f-dd530f7b2093","block_type":"box","text":"Service Organizations may have financial incentives for recommending a particular Fund, share class or fund","page_number":150,"box":{"x":102,"y":603,"width":774,"height":11}},{"id":"241e9b7f-035b-429d-94bc-15516c48f5a6","block_type":"box","text":"complex over another. Service Organizations may charge their Customers additional fees in connection with the","page_number":150,"box":{"x":69,"y":618,"width":794,"height":11}},{"id":"f2c5a21a-d807-4725-b4ac-701681360444","block_type":"box","text":"purchase or redemption of Fund shares or for account-related services which are in addition to the sales and other","page_number":150,"box":{"x":70,"y":633,"width":818,"height":11}},{"id":"06fc695c-1250-4ba4-96ee-aa36d240e927","block_type":"box","text":"charges described in the Fund’s Prospectus and this SAI. Such charges may vary among Service Organizations but in","page_number":150,"box":{"x":69,"y":648,"width":836,"height":11}},{"id":"b6d560fa-a368-44c6-985e-c50d1f44d7d4","block_type":"box","text":"all cases will be retained by the Service Organization and will not be remitted to a Fund or BlackRock.","page_number":150,"box":{"x":69,"y":663,"width":723,"height":12}},{"id":"d89f863a-2733-4184-be54-f8fab8bdccd2","block_type":"box","text":"Shareholders should consider whether such incentives exist when evaluating any recommendations from a","page_number":150,"box":{"x":102,"y":686,"width":759,"height":11}},{"id":"02e5eeb4-1fbf-4406-8df3-33de8f9a6533","block_type":"box","text":"Service Organization to purchase or sell shares of a Fund and when considering which share class is most","page_number":150,"box":{"x":69,"y":701,"width":760,"height":11}},{"id":"c90144d9-eec9-41c5-9389-a751ff5b6421","block_type":"box","text":"appropriate.","page_number":150,"box":{"x":69,"y":716,"width":84,"height":11}},{"id":"e5cbfc3f-7e99-4ea5-8285-0a33255b9271","block_type":"box","text":"You should consult with your Service Organization, and review carefully any disclosure by the Service","page_number":150,"box":{"x":160,"y":716,"width":738,"height":11}},{"id":"0db46b99-207a-44e6-ae54-5118ccf95118","block_type":"box","text":"Organization, as to compensation received by it or its affiliates and for more information about the payments","page_number":150,"box":{"x":69,"y":731,"width":795,"height":11}},{"id":"5bd60fb5-a751-4eef-9144-cde86a24bc08","block_type":"box","text":"described above.","page_number":150,"box":{"x":69,"y":746,"width":122,"height":9}},{"id":"2e239702-64d3-42a5-8cfc-8f2c2ddc9a49","block_type":"box","text":"REDEMPTION OF SHARES","page_number":150,"box":{"x":385,"y":776,"width":208,"height":10}},{"id":"c16ef654-e104-4955-aaab-c15f08037805","block_type":"box","text":"Shares normally will be redeemed for cash upon receipt of a request in proper form, although each Fund retains","page_number":150,"box":{"x":102,"y":799,"width":798,"height":11}},{"id":"18d2f980-c6e3-49eb-ad60-e55d3316babd","block_type":"box","text":"the right to redeem some or all of its shares in kind (valued in the same way as they would be valued for purposes of","page_number":150,"box":{"x":68,"y":814,"width":836,"height":11}},{"id":"227ee8b8-18b4-42fe-8345-669710c50fe0","block_type":"box","text":"computing a Fund’s NAV), by delivery of securities and other assets selected from the Fund’s portfolio holdings at the","page_number":150,"box":{"x":69,"y":829,"width":840,"height":11}},{"id":"f4637710-d69c-4249-956f-4e902a7f5275","block_type":"box","text":"Manager’s discretion. In kind payment means payment will be made in portfolio securities and other assets rather","page_number":150,"box":{"x":70,"y":844,"width":814,"height":11}},{"id":"5e679247-3a9f-49e9-be5e-d51e8cd31237","block_type":"box","text":"than cash. Redemptions in kind may be used in applicable circumstances, generally if the relevant shareholder is","page_number":150,"box":{"x":68,"y":859,"width":809,"height":11}},{"id":"32ae7b6d-2507-48e5-9c46-e4f1830949cb","block_type":"box","text":"able to accept securities in kind, and may also be used in stressed market conditions. If this occurs, the redeeming","page_number":150,"box":{"x":69,"y":874,"width":827,"height":12}},{"id":"cf596a5a-c57c-4f78-b293-a5a6942372b4","block_type":"box","text":"shareholder might incur brokerage or other transaction costs to convert the securities and other assets to cash. Each","page_number":150,"box":{"x":69,"y":890,"width":839,"height":11}},{"id":"87537eee-5fa1-4f89-8fb9-63a1faef59b8","block_type":"box","text":"Fund has elected, however, to be governed by Rule 18f-1 under the Investment Company Act so that the Fund is","page_number":150,"box":{"x":70,"y":904,"width":797,"height":12}},{"id":"0b0aafaf-409b-4171-b31d-29dc441b2c82","block_type":"box","text":"II-114","page_number":150,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"dacdd8fe-18fd-4501-918f-2576c3573c83","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":150,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a4c97d79-0340-4512-a72d-49024aa433e4","block_type":"box","text":"obligated to redeem its shares solely in cash up to the lesser of $250,000 or 1% of its NAV during any 90-day period","page_number":151,"box":{"x":69,"y":44,"width":833,"height":12}},{"id":"eb93b8b1-f0b9-4fe0-9794-d1a9380ca9b5","block_type":"box","text":"for any shareholder of the Fund.","page_number":151,"box":{"x":68,"y":60,"width":227,"height":11}},{"id":"f1aa8ed9-f88e-4375-ae5e-132ab335f780","block_type":"box","text":"The redemption price is the NAV per share next determined after the initial receipt of proper notice of","page_number":151,"box":{"x":101,"y":82,"width":722,"height":11}},{"id":"fa7a073f-1f31-47d4-a1d2-fd5b10760f65","block_type":"box","text":"redemption. The value of shares of each Fund at the time of redemption may be more or less than your cost at the","page_number":151,"box":{"x":69,"y":98,"width":818,"height":11}},{"id":"e4762f62-4e6c-4e1f-823b-038e65bb2440","block_type":"box","text":"time of purchase, depending in part on the market value of the securities held by the Fund at such time. Except for","page_number":151,"box":{"x":68,"y":113,"width":821,"height":11}},{"id":"f45468f8-a62e-4af8-a3de-b86b1f2c7a7b","block_type":"box","text":"any CDSC that may be applicable, there will be no redemption charge if your redemption request is sent directly to","page_number":151,"box":{"x":69,"y":128,"width":815,"height":11}},{"id":"596247d4-6e50-4438-9dc1-83a4aa3da71e","block_type":"box","text":"the Transfer Agent. If you are liquidating your holdings you will receive all dividends reinvested through the date of","page_number":151,"box":{"x":68,"y":143,"width":812,"height":11}},{"id":"48c824c3-92f1-4a4c-ac43-846942eee4b1","block_type":"box","text":"redemption.","page_number":151,"box":{"x":69,"y":158,"width":83,"height":11}},{"id":"a10ec778-80d0-4e4d-8b34-74a49e4045f7","block_type":"box","text":"The right to redeem shares may be suspended or payment upon redemption may be delayed for more than seven","page_number":151,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"6fbacdc8-2fc3-4e41-9d46-9107ffe877fb","block_type":"box","text":"days only (i) for any period during which trading on the NYSE is restricted as determined by the Commission or during","page_number":151,"box":{"x":69,"y":196,"width":835,"height":11}},{"id":"85bd305c-26fe-4e0e-ae72-c6e16ac22208","block_type":"box","text":"which the NYSE is closed (other than customary weekend and holiday closings), (ii) for any period during which an","page_number":151,"box":{"x":68,"y":211,"width":811,"height":11}},{"id":"535c8654-c57a-4324-b74c-3d459fae6cee","block_type":"box","text":"emergency exists, as defined by the Commission, as a result of which disposal of portfolio securities or","page_number":151,"box":{"x":69,"y":226,"width":741,"height":11}},{"id":"6fd960d4-c14b-4d9d-9f55-24e3bfcd6e02","block_type":"box","text":"determination of the NAV of a Fund is not reasonably practicable, or (iii) for such other periods as the Commission","page_number":151,"box":{"x":69,"y":241,"width":813,"height":11}},{"id":"b42a8b42-4c65-4528-a09c-61282f1253d9","block_type":"box","text":"may by order permit for the protection of shareholders of the Fund. (A Fund may also suspend or postpone the","page_number":151,"box":{"x":69,"y":256,"width":787,"height":11}},{"id":"93b3f276-ec46-42bf-8022-2a79c1bf91b4","block_type":"box","text":"recordation of the transfer of its shares upon the occurrence of any of the foregoing conditions.)","page_number":151,"box":{"x":69,"y":271,"width":685,"height":12}},{"id":"b299284e-a64e-42d6-895d-a992e40157e8","block_type":"box","text":"Each Fund, with other investment companies advised by the Manager, has entered into a joint committed line of","page_number":151,"box":{"x":102,"y":294,"width":798,"height":11}},{"id":"1783ab76-c68f-442b-b812-0e7ac81c27dc","block_type":"box","text":"credit with a syndicate of banks that is intended to provide the Fund with a temporary source of cash to be used to","page_number":151,"box":{"x":69,"y":309,"width":820,"height":11}},{"id":"22d5b159-d253-458f-b9c8-e7ac5849cab2","block_type":"box","text":"meet redemption requests from shareholders in extraordinary or emergency circumstances.","page_number":151,"box":{"x":69,"y":324,"width":653,"height":12}},{"id":"e9535555-f41b-4890-afed-5eee9ea997c2","block_type":"box","text":"Each Fund may redeem shares involuntarily to reimburse the Fund for any loss sustained by reason of the failure","page_number":151,"box":{"x":102,"y":347,"width":803,"height":11}},{"id":"eeb41465-cb7c-4366-b0ce-c6a87f86f022","block_type":"box","text":"of a shareholder to make full payment for shares purchased by the shareholder or to collect any charge relating to a","page_number":151,"box":{"x":69,"y":362,"width":827,"height":11}},{"id":"52f1a8d9-ff6c-4fc3-be3d-2d0f92e1853b","block_type":"box","text":"transaction effected for the benefit of a shareholder. Each Fund reserves the express right to redeem shares of the","page_number":151,"box":{"x":68,"y":377,"width":824,"height":12}},{"id":"18f97cae-f9ef-488c-9d5d-30ec94be1479","block_type":"box","text":"Fund involuntarily at any time if the Fund’s Board of Directors determines, in its sole discretion, that failure to do so","page_number":151,"box":{"x":70,"y":392,"width":825,"height":12}},{"id":"c0ba2711-7253-4cef-ac64-17a2224726c1","block_type":"box","text":"may have adverse consequences to the holders of shares in the Fund. Upon such redemption the holders of shares","page_number":151,"box":{"x":69,"y":407,"width":825,"height":12}},{"id":"c05c9826-1505-46fb-a6dd-72d0cec9ef9a","block_type":"box","text":"so redeemed shall have no further right with respect thereto other than to receive payment of the redemption price.","page_number":151,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"ef5cd442-39f9-4904-b54f-795b73c4d2e0","block_type":"box","text":"Redemption","page_number":151,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"24f5f84b-b9a5-4cf9-a524-3dd0ae99b065","block_type":"box","text":"Investor A, Investor A1, Investor C, Institutional and Class R Shares","page_number":151,"box":{"x":70,"y":476,"width":481,"height":10}},{"id":"d16fb55f-cc8e-437d-846c-96a2677d4e9b","block_type":"box","text":"Redeem by Telephone:","page_number":151,"box":{"x":102,"y":498,"width":162,"height":11}},{"id":"106fd2a1-9ab8-4942-a9b8-dcda4f27d67c","block_type":"box","text":"You may sell Investor Shares, excluding Investor P Shares, held at BlackRock by","page_number":151,"box":{"x":270,"y":498,"width":571,"height":11}},{"id":"344c77cc-130d-4a72-9a9b-ce7a54cb51fc","block_type":"box","text":"telephone request if certain conditions are met and if the amount being sold is less than (i) $100,000 for payments","page_number":151,"box":{"x":68,"y":513,"width":829,"height":12}},{"id":"a09373b3-0c9f-430c-adb6-aea6786fe8c5","block_type":"box","text":"by check or (ii) $250,000 for payments through the Automated Clearing House Network (“ACH”) or wire transfer.","page_number":151,"box":{"x":69,"y":528,"width":798,"height":12}},{"id":"8a9c5ed0-5632-4550-85e5-5a81dcebcd10","block_type":"box","text":"Certain redemption requests, such as those in excess of these amounts, and those where (i) the Fund does not have","page_number":151,"box":{"x":69,"y":543,"width":838,"height":12}},{"id":"a803b6d1-c149-471c-8ba5-42938d3ad2bd","block_type":"box","text":"verified banking information on file; or (ii) the proceeds are not paid to the record owner at the record address, must","page_number":151,"box":{"x":68,"y":559,"width":831,"height":11}},{"id":"455a7868-b075-4cec-8792-14df7eff88bf","block_type":"box","text":"be in writing with a medallion signature guarantee provided by any “eligible guarantor institution” as defined in Rule","page_number":151,"box":{"x":69,"y":574,"width":822,"height":11}},{"id":"2897e591-eead-4f1e-864d-bde872a7896f","block_type":"box","text":"17Ad-15 under the Securities Exchange Act of 1934 (the “Exchange Act”), whose existence and validity may be","page_number":151,"box":{"x":70,"y":589,"width":791,"height":11}},{"id":"aa0882ef-4945-4e24-90bb-0559f4fc6ff7","block_type":"box","text":"verified by the Transfer Agent through the use of industry publications. For Institutional Shares, certain redemption","page_number":151,"box":{"x":68,"y":604,"width":818,"height":11}},{"id":"4f488ee9-1da7-4841-b948-d2f4f5eafa29","block_type":"box","text":"requests may require written instructions with a medallion signature guarantee. Call (800) 441-7762 for details. You","page_number":151,"box":{"x":69,"y":619,"width":829,"height":11}},{"id":"8ac4021b-74b8-45dd-8703-8b591d6be351","block_type":"box","text":"can obtain a medallion signature guarantee stamp from a bank, securities dealer, securities broker, credit union,","page_number":151,"box":{"x":69,"y":634,"width":803,"height":12}},{"id":"f53979a6-48c3-4fba-a3b4-b9fe710c3a22","block_type":"box","text":"savings and loan association, national securities exchange or registered securities association. The three recognized","page_number":151,"box":{"x":69,"y":650,"width":834,"height":11}},{"id":"095cc71f-69f7-498d-8177-df8d9d498898","block_type":"box","text":"medallion programs are Securities Transfer Agent Medallion Program, Stock Exchanges Medallion Program and New","page_number":151,"box":{"x":69,"y":664,"width":825,"height":12}},{"id":"bda87c2f-926e-4d85-9b4c-3602b69b9fa6","block_type":"box","text":"York Stock Exchange, Inc. Medallion Signature Program. Signature guarantees which are not a part of these programs","page_number":151,"box":{"x":68,"y":680,"width":840,"height":11}},{"id":"8d49e182-266b-411d-88ee-3da9dc41f4f9","block_type":"box","text":"will not be accepted. A notary public seal will not be acceptable. Generally, a properly signed written request with any","page_number":151,"box":{"x":68,"y":695,"width":835,"height":11}},{"id":"464e7209-fe7a-4102-b148-ad137240cc1f","block_type":"box","text":"required signature guarantee is all that is required for a redemption. In some cases, however, other documents may","page_number":151,"box":{"x":69,"y":710,"width":828,"height":11}},{"id":"d74d4e60-4155-4543-8d19-2328e3ff0b0b","block_type":"box","text":"be necessary. Additional documentary evidence of authority is required by the Transfer Agent in the event redemption","page_number":151,"box":{"x":69,"y":725,"width":835,"height":11}},{"id":"b9892f75-787f-45a4-adf0-ab60651c5dca","block_type":"box","text":"is requested by a corporation, partnership, trust, fiduciary, executor or administrator.","page_number":151,"box":{"x":70,"y":740,"width":603,"height":11}},{"id":"45266d2f-d911-49b4-a865-cf2313d125bb","block_type":"box","text":"If you make a redemption request before a Fund has collected payment for the purchase of shares, the Fund","page_number":151,"box":{"x":102,"y":763,"width":774,"height":11}},{"id":"384f8ed4-997f-49e8-93c5-63ac41431874","block_type":"box","text":"may delay mailing your proceeds. This delay will usually not exceed ten days. A Fund, its Administrators and the","page_number":151,"box":{"x":69,"y":778,"width":795,"height":11}},{"id":"0d9e6e3d-b31a-499f-ac96-8f5b694e52c3","block_type":"box","text":"Distributor will employ reasonable procedures to confirm that instructions communicated by telephone are genuine.","page_number":151,"box":{"x":70,"y":793,"width":821,"height":11}},{"id":"2affbcac-d55c-4660-821d-69b1659e831c","block_type":"box","text":"Telephone redemption requests will not be honored if: (i) the accountholder is deceased, (ii) the proceeds are to be","page_number":151,"box":{"x":68,"y":808,"width":823,"height":11}},{"id":"1049e0f6-8322-4c26-9d9b-c62a763ef3eb","block_type":"box","text":"sent to someone other than the shareholder of record, (iii) a Fund does not have verified information on file, (iv) the","page_number":151,"box":{"x":69,"y":823,"width":823,"height":11}},{"id":"d6604f94-7e57-4557-a9ef-5a0fa29a3890","block_type":"box","text":"request is by an individual other than the accountholder of record, (v) the account is held by joint tenants who are","page_number":151,"box":{"x":69,"y":838,"width":809,"height":11}},{"id":"c7907184-7a2a-4168-a6c3-c9986a028ce7","block_type":"box","text":"divorced, (vi) the address on the account has changed within the last 30 days or share certificates have been issued","page_number":151,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"0c46bc69-78a6-40dc-b558-907c818c66df","block_type":"box","text":"on the account, or (vii) to protect against fraud, if the caller is unable to provide the account number, the name and","page_number":151,"box":{"x":69,"y":869,"width":821,"height":11}},{"id":"1378ce08-53cb-43dc-a3ac-c2a69f59cfb4","block_type":"box","text":"address registered on the account and the social security number registered on the account. The Fund and its","page_number":151,"box":{"x":69,"y":884,"width":785,"height":11}},{"id":"78645204-0be8-4158-aa2d-0a837d296278","block_type":"box","text":"service providers will not be liable for any loss, liability, cost or expense for acting upon telephone instructions that","page_number":151,"box":{"x":69,"y":899,"width":820,"height":11}},{"id":"480bd71a-18a1-4810-b0c1-e7ad0ec664ba","block_type":"box","text":"II-115","page_number":151,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"c040d80b-5f68-4e7f-aef7-36c16d09dbeb","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":151,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"30d4b45d-4a5b-45ea-ab04-0b507979487f","block_type":"box","text":"are reasonably believed to be genuine in accordance with such procedures. Before telephone requests will be","page_number":152,"box":{"x":69,"y":45,"width":782,"height":11}},{"id":"8b648415-69c5-4974-9bc8-626cb8b62047","block_type":"box","text":"honored, signature approval from all shareholders of record on the account must be obtained. The Fund may refuse a","page_number":152,"box":{"x":69,"y":60,"width":838,"height":11}},{"id":"4b4e654b-2e83-4ec9-a0bf-3eb25765779b","block_type":"box","text":"telephone redemption request if it believes it is advisable to do so. During periods of substantial economic or market","page_number":152,"box":{"x":68,"y":75,"width":837,"height":11}},{"id":"aa371ebe-622f-4c2b-9f4f-5b52a67e210e","block_type":"box","text":"change, telephone redemptions may be difficult to complete. Please find below alternative redemption methods.","page_number":152,"box":{"x":69,"y":90,"width":800,"height":11}},{"id":"36032207-3ac8-47dd-8d7f-fec1f4413e9b","block_type":"box","text":"Redemption orders for Institutional Shares placed prior to 4:00 p.m. (Eastern time) on a business day will be","page_number":152,"box":{"x":102,"y":113,"width":776,"height":11}},{"id":"7e687e28-9c8a-4cbc-bd23-395a27da2572","block_type":"box","text":"priced at the NAV determined that day. If redemption orders are received by 4:00 p.m. (Eastern time) on a business","page_number":152,"box":{"x":70,"y":128,"width":823,"height":11}},{"id":"b45ba57b-5821-4fdb-9535-8090c4d79d32","block_type":"box","text":"day, payment for redeemed Institutional Shares will normally be wired in Federal Funds on the next business day. If","page_number":152,"box":{"x":69,"y":143,"width":820,"height":11}},{"id":"41b204d2-e67c-48d3-9763-99d134fa7ff1","block_type":"box","text":"the Federal Reserve Bank of Philadelphia is not open on the business day following receipt of the redemption order,","page_number":152,"box":{"x":68,"y":158,"width":826,"height":11}},{"id":"8cf03be9-5b52-4327-8475-f97eea3d87aa","block_type":"box","text":"the redemption order will be accepted and processed the next succeeding business day when the Federal Reserve","page_number":152,"box":{"x":68,"y":173,"width":817,"height":11}},{"id":"f34eb351-4c41-4738-99d2-5eaa14eef601","block_type":"box","text":"Bank of Philadelphia is open, provided that the Fund’s custodian is also open for business.","page_number":152,"box":{"x":70,"y":188,"width":648,"height":11}},{"id":"be518f99-fe80-4bf9-8d81-2d21c3c16ad1","block_type":"box","text":"Redeem by VRU:","page_number":152,"box":{"x":102,"y":211,"width":120,"height":11}},{"id":"7d317e90-6ec1-43e9-8638-062b7afdd6a0","block_type":"box","text":"Investor class shares, excluding Investor P Shares, may also be redeemed by use of a Fund’s","page_number":152,"box":{"x":229,"y":211,"width":667,"height":11}},{"id":"132f66a0-c915-4ba7-89d5-0119f588fc75","block_type":"box","text":"automated voice response unit service (“VRU”). Payment for Investor class shares redeemed by VRU may be made","page_number":152,"box":{"x":69,"y":226,"width":820,"height":11}},{"id":"215c8962-5e1c-485c-9b8d-6a9024f19695","block_type":"box","text":"for non-retirement accounts in amounts up to $25,000, either through check, ACH or wire.","page_number":152,"box":{"x":68,"y":241,"width":644,"height":11}},{"id":"9fbeca9c-c3ed-4130-be85-802e52655433","block_type":"box","text":"Redeem by Internet:","page_number":152,"box":{"x":102,"y":264,"width":147,"height":11}},{"id":"21d2c93c-c1de-4d9e-a31d-115426c3bed4","block_type":"box","text":"Certain Investor and Institutional class shares may also be redeemed by logging onto the","page_number":152,"box":{"x":255,"y":264,"width":637,"height":11}},{"id":"193b05f4-9894-49a4-b05c-16ff91816633","block_type":"box","text":"BlackRock website at www.blackrock.com. Proceeds from Internet redemptions may be sent via check, ACH or wire to","page_number":152,"box":{"x":70,"y":279,"width":836,"height":11}},{"id":"cd749064-b88d-4b45-8c1a-5fb26c9c8944","block_type":"box","text":"the bank account of record. Payment for shares redeemed by Internet may be made for non-retirement accounts up","page_number":152,"box":{"x":68,"y":294,"width":823,"height":11}},{"id":"a75e067e-617d-4342-be72-a148c9972fd8","block_type":"box","text":"to $100,000 per account per day, either through check, ACH or wire. Different maximums may apply to certain","page_number":152,"box":{"x":68,"y":309,"width":789,"height":11}},{"id":"c623f783-b688-47f8-8678-a66ea8298087","block_type":"box","text":"institutional investors.","page_number":152,"box":{"x":70,"y":325,"width":155,"height":8}},{"id":"c586bb5b-f7e2-4042-a7af-99d8002b13a6","block_type":"box","text":"Redeem in Writing:","page_number":152,"box":{"x":102,"y":347,"width":137,"height":11}},{"id":"74f027b9-88aa-4cf6-81f7-df045dfc8c99","block_type":"box","text":"If you hold shares with the Transfer Agent you may redeem such shares without charge by","page_number":152,"box":{"x":247,"y":347,"width":639,"height":11}},{"id":"be78df50-1bee-4fc7-992f-450d88388f0c","block_type":"box","text":"writing to BlackRock, P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Redemption requests delivered other","page_number":152,"box":{"x":68,"y":362,"width":831,"height":11}},{"id":"398ce3d1-0b3b-4339-9183-8cf040233233","block_type":"box","text":"than by mail should be sent to BlackRock, Attention: 534429, 1350 Penn Avenue Suite 102, Pittsburgh,","page_number":152,"box":{"x":68,"y":377,"width":745,"height":12}},{"id":"63092171-1218-4fa2-be00-abc6d98d458e","block_type":"box","text":"Pennsylvania 15222. If you hold share certificates issued by your Fund, the letter must be accompanied by","page_number":152,"box":{"x":69,"y":392,"width":764,"height":12}},{"id":"61e7df09-c691-4c6d-957c-410e3f41812a","block_type":"box","text":"certificates for the shares. All shareholders on the account must sign the letter. A medallion signature guarantee will","page_number":152,"box":{"x":69,"y":407,"width":831,"height":12}},{"id":"36e8a50a-dbc6-4e3f-99be-8afac112e412","block_type":"box","text":"generally be required but may be waived in certain limited circumstances. You can obtain a medallion signature","page_number":152,"box":{"x":68,"y":423,"width":794,"height":11}},{"id":"f61d5190-0145-4251-8dd1-c4430feadb43","block_type":"box","text":"guarantee stamp from a bank, securities dealer, securities broker, credit union, savings and loan association,","page_number":152,"box":{"x":68,"y":438,"width":782,"height":11}},{"id":"7ea811eb-b551-42bb-993c-c7b0b2055fdf","block_type":"box","text":"national securities exchange or registered securities association. A notary public seal will not be acceptable. If you","page_number":152,"box":{"x":69,"y":453,"width":817,"height":11}},{"id":"8d7ff4d9-fa48-4f28-92c9-a056a1a6bd2c","block_type":"box","text":"hold stock certificates, return the certificates with the letter. Proceeds from redemptions may be sent via check, ACH","page_number":152,"box":{"x":69,"y":468,"width":836,"height":11}},{"id":"0a8e8c45-84c4-45cf-9143-0239b3291e0f","block_type":"box","text":"or wire to the bank account of record.","page_number":152,"box":{"x":69,"y":483,"width":266,"height":9}},{"id":"5c647db9-9a4d-4b95-aef7-cde26c22584a","block_type":"box","text":"Redemptions of Investor P Shares, Service Shares, Class G Shares, Class K Shares and BlackRock Shares may","page_number":152,"box":{"x":102,"y":506,"width":802,"height":11}},{"id":"c302f7d1-2886-459d-be07-bba6fbd62509","block_type":"box","text":"be made in the manner and amounts described in the Prospectuses.","page_number":152,"box":{"x":69,"y":521,"width":489,"height":11}},{"id":"d6f2e99a-52d0-4f65-8f8c-2e3a31800b44","block_type":"box","text":"The Funds or the Transfer Agent may temporarily suspend telephone transactions at any time.","page_number":152,"box":{"x":101,"y":543,"width":668,"height":12}},{"id":"c2fb501a-c4e1-4d5f-8637-363dabfed3c7","block_type":"box","text":"If you redeem shares directly with the Transfer Agent, payments will generally be mailed within one business day","page_number":152,"box":{"x":102,"y":566,"width":800,"height":11}},{"id":"2a0f8b3e-9f00-477b-beee-4820024a8a0f","block_type":"box","text":"of receipt of the proper notice of redemption. A Fund may delay the mailing of a redemption check until good payment","page_number":152,"box":{"x":69,"y":581,"width":838,"height":12}},{"id":"f3443e93-1328-4428-96a6-709d10e8b5a5","block_type":"box","text":"(that is, cash, Federal funds or certified check drawn on a U.S. bank) has been collected for the purchase of Fund","page_number":152,"box":{"x":69,"y":596,"width":811,"height":11}},{"id":"f706e857-d809-4171-9ecb-6135dd005ed3","block_type":"box","text":"shares, which delay will usually not exceed 10 days. If your account is held directly with the Transfer Agent and","page_number":152,"box":{"x":69,"y":612,"width":789,"height":11}},{"id":"34cf0dd7-0ef4-4325-998b-4f8c12d55d46","block_type":"box","text":"contains a fractional share balance following a redemption, the fractional share balance will be automatically","page_number":152,"box":{"x":69,"y":627,"width":775,"height":11}},{"id":"4372ff47-14c7-4422-9c0e-9788c0b8c822","block_type":"box","text":"redeemed by the Fund.","page_number":152,"box":{"x":69,"y":642,"width":162,"height":11}},{"id":"565bacad-0d2e-4582-9fab-ab6682b1b69d","block_type":"box","text":"Note on Low Balance Accounts.","page_number":152,"box":{"x":102,"y":665,"width":223,"height":8}},{"id":"4d61c68c-35e9-4942-910c-de2802b907d4","block_type":"box","text":"Because of the high cost of maintaining smaller shareholder accounts,","page_number":152,"box":{"x":332,"y":664,"width":503,"height":12}},{"id":"58bd27e8-f4d2-4314-a17e-fa87a2fc62ba","block_type":"box","text":"BlackRock has set a minimum balance of $500 in each Fund position you hold within your account (“Fund","page_number":152,"box":{"x":70,"y":679,"width":752,"height":12}},{"id":"4c6d08c5-28f9-4b5d-b7a2-87d4c54be738","block_type":"box","text":"Minimum”), and may redeem the shares in your account if the NAV of those shares in your account falls below $500","page_number":152,"box":{"x":70,"y":694,"width":829,"height":12}},{"id":"12ef3ebd-3110-477b-9d58-3bf3d9aea900","block_type":"box","text":"for any reason, including market fluctuation.","page_number":152,"box":{"x":68,"y":710,"width":313,"height":11}},{"id":"7225a4c5-8ecf-44af-b4ef-9dba5059e87a","block_type":"box","text":"You will be notified that the value of your account is less than the Fund Minimum before the Fund makes any","page_number":152,"box":{"x":101,"y":732,"width":775,"height":12}},{"id":"d8764674-a5e6-4308-849f-3c223343ba05","block_type":"box","text":"involuntary redemption. This notification will provide you with a 90 calendar day period to make an additional","page_number":152,"box":{"x":70,"y":748,"width":773,"height":11}},{"id":"8a5c490b-462d-4582-8825-66bc6bd7974a","block_type":"box","text":"investment in order to bring the value of your account to at least $500 before the Fund makes an involuntary","page_number":152,"box":{"x":70,"y":762,"width":776,"height":12}},{"id":"5c98d980-e3d4-48f6-adab-4da0fa76fa46","block_type":"box","text":"redemption. This involuntary redemption will not charge any deferred sales charge, and may not apply to accounts of","page_number":152,"box":{"x":69,"y":778,"width":834,"height":11}},{"id":"9cbd4a7b-8bd2-475b-a907-372a286da193","block_type":"box","text":"certain employer-sponsored retirement plans (not including IRAs), qualified state tuition plan (529 Plan) accounts,","page_number":152,"box":{"x":69,"y":793,"width":811,"height":11}},{"id":"f03bb3f2-6f81-478b-9fdc-69796e6b51a0","block_type":"box","text":"and select fee-based programs at your financial intermediary.","page_number":152,"box":{"x":69,"y":808,"width":435,"height":11}},{"id":"742ab1c1-1fef-4d85-87c2-7f319f250033","block_type":"box","text":"Redemptions in Kind:","page_number":152,"box":{"x":102,"y":831,"width":153,"height":11}},{"id":"29bf98e4-717c-449c-8c8a-9783afe8bdf7","block_type":"box","text":"Each Fund reserves the right to honor any request for redemption by making payment in","page_number":152,"box":{"x":263,"y":831,"width":624,"height":11}},{"id":"de051548-fe00-4eda-9172-9dec16b7306c","block_type":"box","text":"whole or in part by delivering securities valued in the same way as they would be valued for purposes of computing a","page_number":152,"box":{"x":68,"y":846,"width":833,"height":11}},{"id":"30cd97f4-22a3-4563-9dd8-139ad3e11957","block_type":"box","text":"Fund’s NAV, except that each Fund is obligated to redeem shares solely in cash up to the lesser of $250,000 or 1%","page_number":152,"box":{"x":70,"y":860,"width":825,"height":12}},{"id":"5da55eea-b650-4c94-adce-7e51eb7d59b8","block_type":"box","text":"of the Fund’s NAV during any 90-day period for any one shareholder. Redemptions in excess of those amounts will","page_number":152,"box":{"x":69,"y":876,"width":811,"height":11}},{"id":"9dfbd7bd-bdb1-4ee3-9de6-21ba66c9126e","block_type":"box","text":"normally be paid in cash but may be paid wholly or partly by a distribution in kind of securities.","page_number":152,"box":{"x":69,"y":891,"width":672,"height":11}},{"id":"369a941b-a625-4642-8cd5-794093262524","block_type":"box","text":"II-116","page_number":152,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"5defedca-39d5-44b5-a1ee-a2ee6aeceb2d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":152,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f1b35eb2-f07c-4d43-87ff-08188ee7b74d","block_type":"box","text":"The specific security or securities to be distributed will be determined by the Manager and could include a pro","page_number":153,"box":{"x":101,"y":45,"width":787,"height":11}},{"id":"2b9aa49c-88bb-47f6-8545-3530b2ceb93c","block_type":"box","text":"rata representation of the Fund’s portfolio or a non-pro-rata representation of the Fund’s portfolio depending upon","page_number":153,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"77e6847c-fd16-416b-bac2-e8824c7e0f6c","block_type":"box","text":"various circumstances and subject to the Funds’ policies and procedures and any applicable laws or regulations. In","page_number":153,"box":{"x":68,"y":75,"width":822,"height":11}},{"id":"de10f3e6-9a9a-4f65-a834-1d6f4ee1982a","block_type":"box","text":"effecting such redemption in kind, the Manager may select securities to distribute to the redeeming shareholder by","page_number":153,"box":{"x":69,"y":90,"width":822,"height":11}},{"id":"f31cc64d-ead3-4e69-8110-4584b0b211ca","block_type":"box","text":"considering certain factors, including, without limitation, the portfolio management team’s model or optimal portfolio,","page_number":153,"box":{"x":69,"y":105,"width":838,"height":11}},{"id":"40023c3d-2ce8-49e5-96b0-fc9b60623043","block_type":"box","text":"risk management considerations, compliance considerations, the active positioning of a Fund post-redemption, the","page_number":153,"box":{"x":69,"y":120,"width":818,"height":12}},{"id":"52920e59-3222-450b-b973-7e9370639e9c","block_type":"box","text":"liquidity of the securities, and the tax basis of the securities. There is no assurance that BlackRock will select to","page_number":153,"box":{"x":70,"y":135,"width":801,"height":11}},{"id":"5fe64bb4-f934-4638-a5d6-57655f92e343","block_type":"box","text":"retain those securities that will perform the best. An Index Fund may deviate from pro rata redemptions but will seek","page_number":153,"box":{"x":69,"y":150,"width":832,"height":12}},{"id":"0495a6d4-b52d-42f7-89c8-6450489a12af","block_type":"box","text":"for the securities and other assets to be distributed to be deemed to be a fair representation of portfolio holdings","page_number":153,"box":{"x":68,"y":166,"width":812,"height":11}},{"id":"2f7a5784-95f6-43bc-a21b-f761957265e6","block_type":"box","text":"and the interests of the remaining shareholders in the Index Fund to not be diluted.","page_number":153,"box":{"x":69,"y":181,"width":594,"height":11}},{"id":"16344215-90f2-49c2-8ed0-8cc2d7afab79","block_type":"box","text":"The Funds may effect redemptions in kind in an effort to, among other considerations: (a) manage the portfolio","page_number":153,"box":{"x":101,"y":203,"width":795,"height":12}},{"id":"ceab2acd-8bbb-4f9f-8b83-206c90697c7c","block_type":"box","text":"efficiently or for any other portfolio management purpose, and (b) externalize certain transaction costs that would","page_number":153,"box":{"x":69,"y":218,"width":810,"height":12}},{"id":"dc5de0fe-8c52-4281-9d73-d21a9559b914","block_type":"box","text":"otherwise be borne by a Fund in connection with redemption activity or portfolio turnover. Redemptions in kind may","page_number":153,"box":{"x":69,"y":234,"width":820,"height":11}},{"id":"3b78be52-da29-45ea-a826-82854a5969f6","block_type":"box","text":"reduce the need for the Fund to maintain short-term cash reserves, reduce Fund transaction costs, reduce the need","page_number":153,"box":{"x":69,"y":249,"width":828,"height":10}},{"id":"3c110dcb-40ed-4e99-84df-7e958ba5021e","block_type":"box","text":"for the Fund to sell its investments at inopportune times, and lower Fund capital gain recognition, all of which may be","page_number":153,"box":{"x":68,"y":264,"width":838,"height":11}},{"id":"d7f9cd3d-bdbc-4630-8fc3-c1b2624d0093","block_type":"box","text":"considerations when determining whether to effect a redemption in kind. However, there can be no assurance that","page_number":153,"box":{"x":69,"y":279,"width":817,"height":11}},{"id":"7033bc29-b37d-4f95-a1a1-d460b85ac8b3","block_type":"box","text":"redemptions in kind can or will be effected when they would be beneficial to a Fund, and it may be impractical or","page_number":153,"box":{"x":69,"y":294,"width":802,"height":11}},{"id":"99938d5d-c5d8-457f-87dc-c5b87a507d74","block_type":"box","text":"impossible to effect redemptions in kind with many or substantially all of the Fund’s shareholders because of, among","page_number":153,"box":{"x":70,"y":309,"width":837,"height":11}},{"id":"88792c10-8eeb-467b-8685-10648a1ae4e4","block_type":"box","text":"other things, how they hold their Fund shares or the small value of the redemptions.","page_number":153,"box":{"x":69,"y":324,"width":598,"height":12}},{"id":"4993bf2e-33f9-4a49-9aba-62836317b39c","block_type":"box","text":"In some circumstances, in order to meet Fund liquidity needs, for optimization of the Fund’s portfolio, or a","page_number":153,"box":{"x":102,"y":347,"width":756,"height":11}},{"id":"b6178d76-3f43-473d-bf83-284ffe87c5a2","block_type":"box","text":"combination thereof, a Fund, in its discretion, may accept large purchase orders from one or more financial","page_number":153,"box":{"x":69,"y":362,"width":764,"height":11}},{"id":"b84a1078-5338-4f30-88d3-3a48e55fa96c","block_type":"box","text":"institutions that are willing, upon redemption of their investment in the Fund, to receive their redemption proceeds in","page_number":153,"box":{"x":70,"y":377,"width":830,"height":12}},{"id":"2a26c8f9-b6f4-441d-bb2e-4b819b3a0feb","block_type":"box","text":"kind rather than in cash. A Fund’s ability to pay these redemption proceeds in kind relieves the Fund of the need of","page_number":153,"box":{"x":69,"y":392,"width":821,"height":12}},{"id":"0c9735fc-4360-434e-91df-d82c157dc71b","block_type":"box","text":"the Fund to sell the securities that are distributed in kind and incur brokerage and other transaction costs associated","page_number":153,"box":{"x":68,"y":408,"width":837,"height":11}},{"id":"2356d570-aa74-48cd-9248-5b125fad225a","block_type":"box","text":"with such sale, and may have the effect of reducing the amount of taxable gains the Fund would otherwise be","page_number":153,"box":{"x":68,"y":423,"width":784,"height":11}},{"id":"d43e7b1f-a682-40cc-843b-f109d002b83f","block_type":"box","text":"required to distribute to shareholders. A Fund’s ability to engage in such transactions is subject to, among other","page_number":153,"box":{"x":69,"y":438,"width":801,"height":11}},{"id":"1fd2d982-32cd-4e06-8d8d-d1c33475177c","block_type":"box","text":"things, limitations on frequency of redemptions in kind under the Fund’s policies and availability of shareholders able","page_number":153,"box":{"x":68,"y":453,"width":835,"height":11}},{"id":"02506402-28bc-4a28-af6b-2fac9a1bb373","block_type":"box","text":"to transact in kind, and there is no assurance that the Fund can or will effect any redemptions in kind. Financial","page_number":153,"box":{"x":68,"y":468,"width":796,"height":11}},{"id":"860760ea-d6b5-4071-bbd3-848436868b34","block_type":"box","text":"institutions that participate in the transactions described in this sub-section do not receive a fee from the Fund for","page_number":153,"box":{"x":70,"y":483,"width":816,"height":11}},{"id":"34ba0968-246d-453d-94a1-000ba80d74bf","block_type":"box","text":"doing so. The Funds’ short-term trading policy shall not apply to the transactions described in this sub-section.","page_number":153,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"9baa4d13-0aee-4406-ad30-159b05e8d089","block_type":"box","text":"If you receive securities through a redemption in kind, and desire to convert them to cash, you may pay taxes","page_number":153,"box":{"x":102,"y":521,"width":779,"height":11}},{"id":"5fd89dd9-6b84-4eb4-81b5-6870e7820fbf","block_type":"box","text":"and brokerage and other transaction costs to dispose of the securities. You may also receive less for the securities","page_number":153,"box":{"x":69,"y":536,"width":823,"height":11}},{"id":"7507d426-be59-4777-b9ad-71462623ba07","block_type":"box","text":"than the price at which they were valued for purposes of effecting the redemption. There may also be a risk that","page_number":153,"box":{"x":68,"y":551,"width":800,"height":11}},{"id":"5bad5ea3-59fa-4ca6-8cc6-6c84a1fc8b08","block_type":"box","text":"redemption in kind activity could negatively impact the market value of the securities distributed in kind and, in turn,","page_number":153,"box":{"x":69,"y":566,"width":826,"height":11}},{"id":"a7909562-cc12-4bcf-ac65-dfa87023afba","block_type":"box","text":"the NAV of the corresponding Fund.","page_number":153,"box":{"x":68,"y":581,"width":251,"height":12}},{"id":"054a5812-3041-4915-8565-5f095c24e9c4","block_type":"box","text":"Repurchase","page_number":153,"box":{"x":69,"y":612,"width":85,"height":11}},{"id":"7196fac7-81de-495c-bb3a-7b2bbe631c78","block_type":"box","text":"A Fund normally will accept orders to repurchase shares from Selling Dealers for their customers. Shares will be","page_number":153,"box":{"x":101,"y":634,"width":800,"height":12}},{"id":"760b6903-4d17-45b3-b143-308f70d58bfb","block_type":"box","text":"priced at the NAV of the Fund next determined after receipt of the repurchase order by a Selling Dealer that has been","page_number":153,"box":{"x":70,"y":649,"width":833,"height":12}},{"id":"83769f81-7de7-45c2-89cb-bedbb5e688c6","block_type":"box","text":"authorized by the Distributor by contract to accept such orders. As to repurchase orders received by Selling Dealers","page_number":153,"box":{"x":69,"y":665,"width":822,"height":11}},{"id":"a7c2d11d-62ea-4ba6-88f2-76bc29aa5540","block_type":"box","text":"prior to the close of business on the NYSE (generally, the NYSE closes at 4:00 p.m. Eastern time), on the day the","page_number":153,"box":{"x":70,"y":680,"width":809,"height":11}},{"id":"363f7431-bec2-4499-8361-8799a8c21013","block_type":"box","text":"order is placed, which includes orders received after the close of business on the previous day, the repurchase price","page_number":153,"box":{"x":69,"y":695,"width":831,"height":11}},{"id":"e985bcfb-ef8b-4631-8ff7-f0a50792853d","block_type":"box","text":"is the NAV determined as of the close of business on the NYSE on that day. If the orders for repurchase are not","page_number":153,"box":{"x":70,"y":710,"width":796,"height":11}},{"id":"e10d58a5-4ff5-4788-b96d-3ca700ba3f7a","block_type":"box","text":"received by the Selling Dealer before the close of business on the NYSE, such orders are deemed received on the","page_number":153,"box":{"x":69,"y":725,"width":812,"height":11}},{"id":"043d1b61-365d-42bb-9060-57f64a454497","block_type":"box","text":"next business day.","page_number":153,"box":{"x":69,"y":740,"width":130,"height":11}},{"id":"3b32a46b-d3d2-4976-9d94-33df68986b75","block_type":"box","text":"These repurchase arrangements are for your convenience and do not involve a charge by the Fund (other than","page_number":153,"box":{"x":101,"y":763,"width":783,"height":11}},{"id":"e4a60438-1fbf-49ab-8690-a1a31ae5a61a","block_type":"box","text":"any applicable CDSC or redemption fee). However, Selling Dealers may charge a processing fee in connection with","page_number":153,"box":{"x":69,"y":778,"width":813,"height":11}},{"id":"c9896662-a951-4f9f-8af8-3945767f8726","block_type":"box","text":"such transactions. In addition, securities firms that do not have selected dealer agreements with the Distributor may","page_number":153,"box":{"x":69,"y":793,"width":832,"height":11}},{"id":"47698e9a-c0e5-48ec-a5de-92ca602e3ab2","block_type":"box","text":"impose a transaction charge for transmitting the notice of repurchase to the Fund. Each Fund reserves the right to","page_number":153,"box":{"x":70,"y":808,"width":814,"height":11}},{"id":"9bfc1e7c-97ea-4e79-9bf9-281538287a90","block_type":"box","text":"reject any order for repurchase. A shareholder whose order for repurchase is rejected by a Fund, however, may","page_number":153,"box":{"x":69,"y":823,"width":788,"height":11}},{"id":"0333dcc4-0419-42c0-b3a6-6f386ef7a574","block_type":"box","text":"redeem shares as set out above.","page_number":153,"box":{"x":69,"y":839,"width":235,"height":8}},{"id":"d7766344-1afc-4982-a033-cabb64aa936a","block_type":"box","text":"II-117","page_number":153,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"47321390-52c5-492d-8173-679453413e90","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":153,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9c1457ec-e9ac-49b4-b9f5-4a726f9d4a65","block_type":"box","text":"Reinstatement Privilege — Investor A and Investor P Shares","page_number":154,"box":{"x":69,"y":45,"width":440,"height":11}},{"id":"a0d21727-f4a7-4dde-af49-bee0d211ba1c","block_type":"box","text":"Upon redemption of Investor A, Investor A1, Investor P or Institutional Shares, as applicable, shareholders may","page_number":154,"box":{"x":102,"y":67,"width":791,"height":11}},{"id":"c0f057a5-e10c-48ba-8d71-700719a0394d","block_type":"box","text":"reinvest all or a portion of their redemption proceeds (after paying any applicable CDSC) in Investor A or Investor P","page_number":154,"box":{"x":69,"y":82,"width":815,"height":12}},{"id":"d443c24a-d982-4f44-9f30-1398954b0eeb","block_type":"box","text":"Shares of the same or another BlackRock fund without paying a front-end sales charge. This right may be exercised","page_number":154,"box":{"x":69,"y":98,"width":822,"height":11}},{"id":"77dbf847-24c4-4091-aae8-34b7bb62e3d5","block_type":"box","text":"within 90 days of the redemption, provided that the Investor A or Investor P Shares, as applicable, of that fund is","page_number":154,"box":{"x":68,"y":113,"width":806,"height":11}},{"id":"35ffc62e-b0af-4a3a-a7b1-dfd1d39c0caf","block_type":"box","text":"currently open to new investors or the shareholder has a current account in that closed fund. Shares will be","page_number":154,"box":{"x":69,"y":128,"width":768,"height":11}},{"id":"a0ac1e12-6fc2-4276-852f-e328a4e06725","block_type":"box","text":"purchased at the NAV calculated at the close of trading on the day the request is received in good order. To exercise","page_number":154,"box":{"x":70,"y":143,"width":827,"height":11}},{"id":"973e136c-6e90-4f54-b02f-634b02820d06","block_type":"box","text":"this privilege, the Transfer Agent must receive written notification from the shareholder of record or the registered","page_number":154,"box":{"x":68,"y":158,"width":809,"height":11}},{"id":"fcfac9f3-637a-4316-8ac6-e75a9de45178","block_type":"box","text":"representative of record, at the time of purchase. Investors should consult a tax advisor concerning the tax","page_number":154,"box":{"x":69,"y":173,"width":764,"height":11}},{"id":"fe1e7f9b-5f83-4465-abfb-4ee95c06342a","block_type":"box","text":"consequences of exercising this reinstatement privilege.","page_number":154,"box":{"x":69,"y":188,"width":400,"height":12}},{"id":"233174a6-b9fd-4427-b40a-c8565e06a939","block_type":"box","text":"SHAREHOLDER SERVICES","page_number":154,"box":{"x":384,"y":218,"width":210,"height":9}},{"id":"8e9df573-e5e2-4a47-8948-7360530bf58d","block_type":"box","text":"Each Fund offers one or more of the shareholder services described below that are designed to facilitate","page_number":154,"box":{"x":102,"y":241,"width":747,"height":11}},{"id":"dc875e73-eeed-4543-945e-29c5fae4b418","block_type":"box","text":"investment in its shares. You can obtain more information about these services from each Fund by calling the","page_number":154,"box":{"x":70,"y":256,"width":781,"height":11}},{"id":"0dbbfd72-7812-4cb2-9c32-c8f7603eba0e","block_type":"box","text":"telephone number on the cover page, or from the Distributor, your financial adviser, your selected securities dealer or","page_number":154,"box":{"x":68,"y":271,"width":836,"height":11}},{"id":"2410deab-17d2-44fe-8862-3d8e0da51376","block_type":"box","text":"other financial intermediary. Certain of these services are available only to U.S. investors.","page_number":154,"box":{"x":69,"y":286,"width":641,"height":11}},{"id":"dcdda376-b4ec-4fe9-8c6c-0f4bd442ad37","block_type":"box","text":"Investment Account","page_number":154,"box":{"x":69,"y":316,"width":146,"height":9}},{"id":"d600fe64-da21-432b-acc4-cfbc9c499432","block_type":"box","text":"If your account is maintained at the Transfer Agent (an “Investment Account”) you will receive statements, at","page_number":154,"box":{"x":102,"y":339,"width":774,"height":11}},{"id":"eddf0b1d-3465-42db-9060-21c8e2fde7e0","block_type":"box","text":"least quarterly, from the Transfer Agent. These statements will serve as confirmations for automatic investment","page_number":154,"box":{"x":70,"y":354,"width":796,"height":11}},{"id":"36233cd3-b5e0-42e2-93c3-e0f6503fd410","block_type":"box","text":"purchases and the reinvestment of dividends. The statements also will show any other activity in your Investment","page_number":154,"box":{"x":70,"y":369,"width":807,"height":11}},{"id":"01364a59-530d-413c-901a-9b20195b9837","block_type":"box","text":"Account since the last statement. You also will receive separate confirmations for each purchase or sale transaction","page_number":154,"box":{"x":68,"y":384,"width":830,"height":11}},{"id":"7c7ce759-402b-4358-9293-82f90845793f","block_type":"box","text":"other than automatic investment purchases and the reinvestment of dividends. If your Investment Account is held at","page_number":154,"box":{"x":69,"y":399,"width":829,"height":11}},{"id":"b713a75d-99e1-4794-9662-f87b5a182101","block_type":"box","text":"the Transfer Agent you may make additions to it at any time by mailing a check directly to the Transfer Agent. Each","page_number":154,"box":{"x":68,"y":414,"width":815,"height":12}},{"id":"1e9ee1ed-f515-4543-8b69-b0b8f177fa71","block_type":"box","text":"Fund limits purchases by personal check to $500,000 per trade. You may also maintain an account through a","page_number":154,"box":{"x":70,"y":429,"width":781,"height":12}},{"id":"8a6389c1-f771-4f8f-9c6c-17c116af9017","block_type":"box","text":"selected securities dealer or other financial intermediary. If you transfer shares out of an account maintained with a","page_number":154,"box":{"x":69,"y":445,"width":825,"height":11}},{"id":"6c8a6b67-0f80-4bb3-9095-f8657115b205","block_type":"box","text":"selected securities dealer or other financial intermediary, an Investment Account in your name may be opened","page_number":154,"box":{"x":69,"y":460,"width":785,"height":11}},{"id":"df6651b2-e6eb-4f0a-b8e2-6a006fca8d69","block_type":"box","text":"automatically at the Transfer Agent.","page_number":154,"box":{"x":69,"y":475,"width":251,"height":11}},{"id":"81fb9e05-2965-4020-bef1-5205eb6bce3f","block_type":"box","text":"You may transfer Fund shares from a selected securities dealer or other financial intermediary to another","page_number":154,"box":{"x":101,"y":498,"width":750,"height":11}},{"id":"1078447e-cba8-4940-8845-2941b47d9e4f","block_type":"box","text":"securities dealer or other financial intermediary that has entered into an agreement with the Distributor. Certain","page_number":154,"box":{"x":69,"y":513,"width":797,"height":11}},{"id":"678bb140-e6c3-437e-9e72-12b9b2059adb","block_type":"box","text":"shareholder services may not be available for the transferred shares. All future trading of these assets must be","page_number":154,"box":{"x":69,"y":528,"width":797,"height":11}},{"id":"fe9e39d9-eb2f-4c84-9d6a-001b64c2e362","block_type":"box","text":"coordinated by the new firm. If you wish to transfer your shares to a securities dealer or other financial intermediary","page_number":154,"box":{"x":69,"y":543,"width":826,"height":11}},{"id":"7bc68a4c-4899-4777-9642-27fe81cfa1a4","block_type":"box","text":"that has not entered into an agreement with the Distributor, you must either (i) redeem your shares, paying any","page_number":154,"box":{"x":68,"y":558,"width":792,"height":11}},{"id":"10e0a72a-0037-4957-8728-bf3d46c48ba9","block_type":"box","text":"applicable CDSC or (ii) continue to maintain an Investment Account at the Transfer Agent for those shares. You also","page_number":154,"box":{"x":69,"y":573,"width":824,"height":11}},{"id":"a094fd18-f0a3-4272-95bb-4be8079d1e3e","block_type":"box","text":"may request that the new securities dealer or other financial intermediary maintain the shares in an account at the","page_number":154,"box":{"x":69,"y":588,"width":820,"height":11}},{"id":"04f6cc18-7c96-4339-b0fa-4ee368c13b21","block_type":"box","text":"Transfer Agent registered in the name of the securities dealer or other financial intermediary for your benefit whether","page_number":154,"box":{"x":68,"y":603,"width":833,"height":12}},{"id":"3899759f-7b74-4276-a5b3-a3702420e73a","block_type":"box","text":"the securities dealer or other financial intermediary has entered into a selected dealer agreement or not. In the","page_number":154,"box":{"x":68,"y":618,"width":795,"height":12}},{"id":"2beb78e5-3172-4e3e-a2e0-11718de3715e","block_type":"box","text":"interest of economy and convenience and because of the operating procedures of each Fund, share certificates will","page_number":154,"box":{"x":70,"y":634,"width":822,"height":11}},{"id":"0a7748d1-359d-4139-81a7-e989faf1863c","block_type":"box","text":"not be issued physically. Shares are maintained by each Fund on its register maintained by the Transfer Agent and","page_number":154,"box":{"x":69,"y":649,"width":814,"height":11}},{"id":"046ba831-c5d2-4efc-8226-f73c0393b08e","block_type":"box","text":"the holders thereof will have the same rights and ownership with respect to such shares as if certificates had been","page_number":154,"box":{"x":68,"y":664,"width":822,"height":11}},{"id":"91b93b1e-01a8-4d5c-8a27-94c27f391b15","block_type":"box","text":"issued.","page_number":154,"box":{"x":70,"y":679,"width":49,"height":9}},{"id":"42be6635-ddf1-4789-9ab8-38222fcc8e00","block_type":"box","text":"If you are considering transferring a tax-deferred retirement account, such as an individual retirement account,","page_number":154,"box":{"x":102,"y":702,"width":785,"height":11}},{"id":"5d295372-020c-423e-b0da-ae99a568bba5","block_type":"box","text":"from one selected securities dealer to another securities dealer or other financial intermediary, you should be aware","page_number":154,"box":{"x":68,"y":717,"width":830,"height":11}},{"id":"ea901726-7f02-465e-a14b-fd087dea59d8","block_type":"box","text":"that if the new firm will not take delivery of shares of the Fund, you must either redeem the shares (paying any","page_number":154,"box":{"x":68,"y":732,"width":790,"height":11}},{"id":"dddfccd9-2bdc-4948-9fcf-cd31a3768724","block_type":"box","text":"applicable CDSC) so that the cash proceeds can be transferred to the account at the new firm, or you must continue","page_number":154,"box":{"x":69,"y":747,"width":831,"height":11}},{"id":"a5783097-a6df-4299-8344-5581de5766ca","block_type":"box","text":"to maintain a retirement account at the original selected securities dealer for those shares.","page_number":154,"box":{"x":68,"y":762,"width":652,"height":11}},{"id":"a982b393-da97-4e93-981a-a8eb38266698","block_type":"box","text":"Exchange Privilege","page_number":154,"box":{"x":69,"y":792,"width":138,"height":11}},{"id":"bc15a04e-4366-4050-be48-8fb5b24810a7","block_type":"box","text":"U.S. shareholders of Investor A, Investor A1, Investor C, Investor P, Class K, Institutional and Class G Shares of","page_number":154,"box":{"x":102,"y":815,"width":797,"height":11}},{"id":"320b1c55-162d-4640-89c3-0e92f856c41f","block_type":"box","text":"each Fund have an exchange privilege with certain other Funds. However, Investor A1 Shares may only exchange out.","page_number":154,"box":{"x":69,"y":830,"width":832,"height":11}},{"id":"f0e01e0f-bce3-4a2d-b264-e335c0908259","block_type":"box","text":"The minimum amount for exchanges of Investor class shares is $1,000, although you may exchange less than","page_number":154,"box":{"x":68,"y":845,"width":788,"height":12}},{"id":"b4e0bfa8-48c2-4e30-aee1-e3aaf27c5f92","block_type":"box","text":"$1,000 if you already have an account in the Fund into which you are exchanging. You may only exchange into a","page_number":154,"box":{"x":69,"y":860,"width":796,"height":12}},{"id":"0984786c-887e-4e12-914f-d2c77b618bb7","block_type":"box","text":"share class and a Fund that are open to new investors or in which you have a current account if the class or fund is","page_number":154,"box":{"x":69,"y":875,"width":824,"height":12}},{"id":"a2b8f4f3-3ebb-4784-b6fa-6dbcdf539423","block_type":"box","text":"closed to new investors. Before effecting an exchange, you should obtain a currently effective prospectus of the fund","page_number":154,"box":{"x":69,"y":891,"width":835,"height":11}},{"id":"e7460121-b88f-485e-b792-0e2aca567cb0","block_type":"box","text":"II-118","page_number":154,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"58633d1e-9296-4bcc-8d59-97d78453480b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":154,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d1207674-d33f-4b73-b68f-62a8691d65b5","block_type":"box","text":"into which you wish to make the exchange. Exercise of the exchange privilege is treated as a sale of the exchanged","page_number":155,"box":{"x":70,"y":45,"width":820,"height":11}},{"id":"0003a642-1650-4d29-a606-3b02eb305c3e","block_type":"box","text":"shares and a purchase of the acquired shares for U.S. federal income tax purposes.","page_number":155,"box":{"x":69,"y":60,"width":600,"height":11}},{"id":"4a7fcdd1-92fb-48db-9b78-94824b58c1f1","block_type":"box","text":"Exchanges of Investor A, Investor A1, Investor P, Class K, Institutional and Class G Shares.","page_number":155,"box":{"x":102,"y":82,"width":648,"height":12}},{"id":"94e61e63-00e7-4b5f-b25c-65da0db3ed9a","block_type":"box","text":"Institutional Shares","page_number":155,"box":{"x":757,"y":83,"width":137,"height":8}},{"id":"5d7ff599-d253-4442-aac2-220181386731","block_type":"box","text":"are exchangeable with Institutional Shares of other Funds. Investor A and Investor A1 Shares are exchangeable for","page_number":155,"box":{"x":69,"y":98,"width":817,"height":11}},{"id":"c61fef2f-358b-422f-b4a7-5bc556267c67","block_type":"box","text":"Investor A Shares of other Funds to the extent such shares are offered by your financial intermediary. Investor P","page_number":155,"box":{"x":70,"y":113,"width":798,"height":11}},{"id":"459a4362-36a2-4da4-890a-398a54d7b158","block_type":"box","text":"Shares are exchangeable for Investor P Shares of other Funds, to the extent such shares are offered by your financial","page_number":155,"box":{"x":69,"y":128,"width":838,"height":11}},{"id":"5309e112-b902-4581-870f-72999523bb8c","block_type":"box","text":"intermediary. Class K Shares are exchangeable for Class K Shares of other Funds. Class G Shares are exchangeable","page_number":155,"box":{"x":70,"y":143,"width":834,"height":11}},{"id":"02263359-fc48-4a8f-8edd-390b0e014b32","block_type":"box","text":"for Class G Shares of other Funds.","page_number":155,"box":{"x":68,"y":158,"width":246,"height":9}},{"id":"d56e8cdb-bf7d-4b3a-b4ee-a042863f4487","block_type":"box","text":"Exchanges of Institutional Shares outstanding for Institutional Shares of a second fund or for shares of a money","page_number":155,"box":{"x":102,"y":181,"width":800,"height":11}},{"id":"bd674245-513b-45ed-80e0-ef02db9fecbc","block_type":"box","text":"market fund are effected on the basis of relative NAV per Institutional Share. Exchanges of Investor A or Investor A1","page_number":155,"box":{"x":69,"y":196,"width":826,"height":11}},{"id":"fa36fdb1-f7c8-439e-b4d5-0e8ce180c009","block_type":"box","text":"Shares outstanding (“outstanding Investor A Shares”) for Investor A Shares of a second fund, or for shares of a","page_number":155,"box":{"x":69,"y":211,"width":795,"height":11}},{"id":"99d302d7-7d82-44e7-9244-05cf2703a84c","block_type":"box","text":"money market fund (“new Investor A Shares”) are effected on the basis of relative NAV per share. Exchanges of","page_number":155,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"02fea851-c3b6-4f31-ba41-b34cda2c11c8","block_type":"box","text":"Investor P Shares outstanding for Investor P Shares of a second fund are effected on the basis of relative NAV per","page_number":155,"box":{"x":70,"y":241,"width":814,"height":11}},{"id":"0da416a6-453d-4426-ae08-8ad3dc109285","block_type":"box","text":"share. Exchanges of Class K Shares outstanding for Class K Shares of a second fund, or for shares of a money","page_number":155,"box":{"x":69,"y":256,"width":796,"height":12}},{"id":"035f8ec7-38ab-4b60-8e61-41c52218a232","block_type":"box","text":"market fund are effected on the basis of relative NAV per share. Exchanges of Class G Shares outstanding for Class","page_number":155,"box":{"x":69,"y":271,"width":828,"height":12}},{"id":"825dcae1-ba3a-4044-a914-a54c936b3242","block_type":"box","text":"G Shares of a second fund are effected on the basis of relative NAV per share.","page_number":155,"box":{"x":69,"y":286,"width":561,"height":11}},{"id":"dba4f50d-a2fb-4a39-9b13-ce7714c5e8a4","block_type":"box","text":"Exchanges of Investor C Shares.","page_number":155,"box":{"x":102,"y":309,"width":229,"height":11}},{"id":"fbff0adf-bba9-438b-9fa1-76abf6a2ac14","block_type":"box","text":"Shareholders of certain Funds with Investor C Shares outstanding (“outstanding","page_number":155,"box":{"x":338,"y":309,"width":570,"height":11}},{"id":"e03fc2d5-815b-49a1-94c7-208dc8003e5f","block_type":"box","text":"Investor C Shares”) may exchange their shares for Investor C Shares of a second Fund (“new Investor C Shares”) or","page_number":155,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"c273a426-c899-44cd-a0c1-ec836e7282da","block_type":"box","text":"for shares of a money market fund (“new money market fund Shares”) on the basis of relative NAV per share, without","page_number":155,"box":{"x":68,"y":339,"width":839,"height":12}},{"id":"a6d371aa-2424-4a12-b195-3075e0e43cc7","block_type":"box","text":"the payment of any CDSC. Certain Funds impose different CDSC schedules. For purposes of computing the CDSC","page_number":155,"box":{"x":68,"y":355,"width":811,"height":11}},{"id":"cb08d3cd-8a5e-4c90-a8cf-f57e3c5ddc3b","block_type":"box","text":"upon redemption of new Investor C Shares or new money market fund Shares, as applicable, the time you held both","page_number":155,"box":{"x":69,"y":370,"width":827,"height":11}},{"id":"ff2f17d0-9b58-4a07-8cf8-2724328bcbdd","block_type":"box","text":"the exchanged Investor C Shares and the new Investor C Shares or new money market fund Shares will count","page_number":155,"box":{"x":68,"y":385,"width":781,"height":11}},{"id":"b64d30ae-d64c-4527-ba5a-9bca4d94d41f","block_type":"box","text":"towards the holding period of the new Investor C Shares or new money market fund Shares.","page_number":155,"box":{"x":68,"y":400,"width":654,"height":11}},{"id":"edea8a8e-10d8-45a6-af55-67385f56c893","block_type":"box","text":"Exchanges of Service Shares.","page_number":155,"box":{"x":102,"y":423,"width":211,"height":11}},{"id":"d349c8df-eb78-4a80-897e-8549f1eaba73","block_type":"box","text":"Service Shares can be exchanged for Service Shares of Funds that are covered by","page_number":155,"box":{"x":319,"y":423,"width":588,"height":11}},{"id":"ce4b8252-4ee4-4546-8b56-defe12a2015e","block_type":"box","text":"selected dealer agreements with the Distributor.","page_number":155,"box":{"x":69,"y":438,"width":342,"height":11}},{"id":"c9446f08-468d-422c-9abd-ce248f32fc57","block_type":"box","text":"Exchanges for Shares of a Money Market Fund.","page_number":155,"box":{"x":102,"y":460,"width":335,"height":12}},{"id":"ee3baa5c-ed09-45e6-a786-8d1068975507","block_type":"box","text":"You may exchange any class of Investor class shares, excluding","page_number":155,"box":{"x":443,"y":460,"width":455,"height":12}},{"id":"4fa4ff2e-bcbe-4afd-b6f1-f3dc1262217f","block_type":"box","text":"Investor P Shares, for shares of an affiliated money market fund. If you exchange into BlackRock Summit Cash","page_number":155,"box":{"x":70,"y":475,"width":788,"height":12}},{"id":"a9ddb059-6161-43c2-814f-36a763b14112","block_type":"box","text":"Reserves Fund (“Summit”), a series of BlackRock Financial Institutions Series Trust, you will receive one of two","page_number":155,"box":{"x":70,"y":491,"width":793,"height":11}},{"id":"4de3de11-222a-4971-bb42-731e81769db1","block_type":"box","text":"classes of shares: exchanges of Investor A, Investor A1 and Institutional Shares of a Fund will receive Investor A","page_number":155,"box":{"x":69,"y":506,"width":802,"height":11}},{"id":"61527ff3-2a42-4c3b-8314-6783c38694f6","block_type":"box","text":"Shares of Summit and exchanges of Investor C Shares of a Fund will receive Investor C Shares of Summit. You may","page_number":155,"box":{"x":69,"y":521,"width":824,"height":11}},{"id":"9b6eef6a-cdb3-4e30-898c-722f24ec2468","block_type":"box","text":"exchange Investor A Shares of Summit back into Investor A or Institutional Shares of a Fund, if you are eligible to","page_number":155,"box":{"x":69,"y":536,"width":805,"height":11}},{"id":"ab9ff70a-b79b-4cf8-925a-c1938188c3bc","block_type":"box","text":"hold such shares. You may exchange Investor C Shares of Summit back into Investor C Shares of a Fund and, in the","page_number":155,"box":{"x":69,"y":551,"width":827,"height":11}},{"id":"2a73157c-aef3-439e-b5e0-a3393ff2c37d","block_type":"box","text":"event of such an exchange, the period of time that you held Investor C Shares of Summit will count toward","page_number":155,"box":{"x":69,"y":566,"width":758,"height":11}},{"id":"4491ef62-910a-4bd7-835d-46dd8c393248","block_type":"box","text":"satisfaction of the holding period requirement for purposes of reducing any CDSC. Investor C Shares of Summit are","page_number":155,"box":{"x":69,"y":581,"width":822,"height":12}},{"id":"9f022819-6dea-42a4-be3b-50afad0cc2e5","block_type":"box","text":"subject to a distribution fee at an annual rate of 0.75% of average daily net assets of such Investor C Shares.","page_number":155,"box":{"x":69,"y":596,"width":782,"height":12}},{"id":"65f67d47-51f1-4140-8882-289956ee5c1b","block_type":"box","text":"Exchanges of Investor C Shares of a money market fund other than Summit for Investor C Shares of a Fund will be","page_number":155,"box":{"x":70,"y":612,"width":814,"height":11}},{"id":"6527224d-e361-431c-8ba3-59c9cc695fb9","block_type":"box","text":"exercised at NAV. However, a CDSC may be charged in connection with any subsequent redemption of the Investor C","page_number":155,"box":{"x":69,"y":627,"width":830,"height":11}},{"id":"5dd38bfa-b674-4be6-adb7-052fbcdace04","block_type":"box","text":"Shares of the Fund received in the exchange. In determining the holding period for calculating the CDSC payable on","page_number":155,"box":{"x":69,"y":642,"width":821,"height":11}},{"id":"cf2ece37-ea5e-41fc-9685-d7f2b85f0516","block_type":"box","text":"redemption of Investor C Shares of the Fund received in the exchange, the holding period of the money market fund","page_number":155,"box":{"x":69,"y":657,"width":823,"height":11}},{"id":"17cbdbf5-823d-4df8-83e8-deec3c30ce0d","block_type":"box","text":"Investor C Shares originally held will be added to the holding period of the Investor C Shares acquired through","page_number":155,"box":{"x":70,"y":672,"width":781,"height":11}},{"id":"6d785647-08a7-4f53-a461-3f5980319d61","block_type":"box","text":"exchange.","page_number":155,"box":{"x":69,"y":687,"width":70,"height":11}},{"id":"622cfb1b-8d7e-4fc4-bdda-f444ee01ed92","block_type":"box","text":"Exchanges by Par ticipants in Cer tain Programs.","page_number":155,"box":{"x":102,"y":710,"width":337,"height":11}},{"id":"047e45e0-852e-449a-bd5a-6f74914b5cac","block_type":"box","text":"The exchange privilege may be modified with respect to certain","page_number":155,"box":{"x":445,"y":710,"width":448,"height":11}},{"id":"11c58c22-269c-4af4-a537-01c7ded9f35a","block_type":"box","text":"participants in mutual fund advisory programs and other fee-based programs sponsored by the Manager, an affiliate","page_number":155,"box":{"x":70,"y":725,"width":828,"height":11}},{"id":"c6c7d6a7-4b61-447d-bf70-9d546bd230ec","block_type":"box","text":"of the Manager, or selected securities dealers or other financial intermediaries that have an agreement with the","page_number":155,"box":{"x":69,"y":740,"width":796,"height":11}},{"id":"3f9b916f-aa48-4b04-9e2e-a082cb9d3887","block_type":"box","text":"Distributor. See “Fee-Based Programs” below.","page_number":155,"box":{"x":70,"y":755,"width":324,"height":11}},{"id":"a138d2fa-4572-44eb-9fa5-d2804d6cef32","block_type":"box","text":"Exercise of the Exchange Privilege.","page_number":155,"box":{"x":102,"y":778,"width":245,"height":11}},{"id":"6c3c1fb6-eb77-4105-8091-e3f40c08d621","block_type":"box","text":"To exercise the exchange privilege, you should contact your financial adviser","page_number":155,"box":{"x":353,"y":778,"width":543,"height":11}},{"id":"68e82549-b703-467a-abc3-eb2934f5ded8","block_type":"box","text":"or the Transfer Agent, who will advise each Fund of the exchange. If you do not hold share certificates, you may","page_number":155,"box":{"x":69,"y":793,"width":794,"height":11}},{"id":"86702cd6-2932-4c65-a6d4-5f79b6142eec","block_type":"box","text":"exercise the exchange privilege by wire through your securities dealer or other financial intermediary. Each Fund","page_number":155,"box":{"x":69,"y":808,"width":795,"height":11}},{"id":"7ab47104-a874-499e-a91c-6de4b0523207","block_type":"box","text":"reserves the right to require a properly completed exchange application.","page_number":155,"box":{"x":69,"y":823,"width":512,"height":12}},{"id":"13d2423c-af08-4044-8791-2d038ef04bac","block_type":"box","text":"A shareholder who wishes to make an exchange may do so by sending a written request to the Fund c/o the","page_number":155,"box":{"x":101,"y":846,"width":772,"height":11}},{"id":"cc7f2824-e53f-4d3e-862e-0fea6656143d","block_type":"box","text":"Transfer Agent at the following address: P.O. Box 534429, Pittsburgh, Pennsylvania 15253-4429. Shareholders are","page_number":155,"box":{"x":68,"y":861,"width":824,"height":11}},{"id":"4060d0c7-1f2d-4ef6-b218-5e625d79e03b","block_type":"box","text":"automatically provided with telephone exchange privileges when opening an account, unless they indicate on the","page_number":155,"box":{"x":69,"y":876,"width":801,"height":11}},{"id":"8815080b-a2f7-4802-b9ab-97bcf6a02814","block_type":"box","text":"Application that they do not wish to use this privilege. To add this feature to an existing account that previously did","page_number":155,"box":{"x":68,"y":891,"width":817,"height":12}},{"id":"947477c4-d3bb-4a23-bd7b-16b84146bee6","block_type":"box","text":"not provide this option, a Telephone Exchange Authorization Form must be filed with the Transfer Agent. This form is","page_number":155,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"952500c3-0b29-478c-ab81-af946c841deb","block_type":"box","text":"II-119","page_number":155,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"0e48aef8-fb8e-493b-a0b8-1a9b03b732d7","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":155,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d7fcda3b-93f8-42c1-8905-073597a89db4","block_type":"box","text":"available from the Transfer Agent. Once this election has been made, the shareholder may simply contact the Fund by","page_number":156,"box":{"x":69,"y":45,"width":840,"height":11}},{"id":"c4159db7-b4c0-4894-92f5-68facb4a3845","block_type":"box","text":"telephone at (800) 441-7762 to request the exchange. During periods of substantial economic or market change,","page_number":156,"box":{"x":68,"y":60,"width":811,"height":11}},{"id":"949b5dc6-ef2d-49ef-9cc0-c96c03f8d7c5","block_type":"box","text":"telephone exchanges may be difficult to complete and shareholders may have to submit exchange requests to the","page_number":156,"box":{"x":68,"y":75,"width":815,"height":11}},{"id":"2b4bce19-f106-4b81-a60a-377733c912bf","block_type":"box","text":"Transfer Agent in writing.","page_number":156,"box":{"x":68,"y":90,"width":175,"height":11}},{"id":"f6426212-4162-4eff-bc8b-6723849e4ae3","block_type":"box","text":"If the exchanging shareholder does not currently own shares of the investment portfolio whose shares are being","page_number":156,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"6208de5b-4eee-4502-926e-6449c9b0d830","block_type":"box","text":"acquired, a new account will be established with the same registration, dividend and capital gain options and broker","page_number":156,"box":{"x":69,"y":128,"width":828,"height":11}},{"id":"31ced826-ea15-493d-b1a2-6bb839ca5e1c","block_type":"box","text":"of record as the account from which shares are exchanged, unless otherwise specified in writing by the shareholder","page_number":156,"box":{"x":69,"y":143,"width":826,"height":11}},{"id":"159d8874-7151-468a-b534-957e59bc75ba","block_type":"box","text":"with all signatures guaranteed by an eligible guarantor institution as defined below. In order to participate in the","page_number":156,"box":{"x":68,"y":158,"width":797,"height":11}},{"id":"e29268d2-9bf8-4451-a85e-098daaee1146","block_type":"box","text":"Automatic Investment Program or establish a Systematic Withdrawal Plan for the new account, however, an","page_number":156,"box":{"x":68,"y":173,"width":763,"height":11}},{"id":"7754879d-b363-476d-b6c8-d314bd7e890d","block_type":"box","text":"exchanging shareholder must file a specific written request.","page_number":156,"box":{"x":69,"y":188,"width":424,"height":12}},{"id":"ee35a2e8-b4bf-4f07-9b2e-a9b041ea2d38","block_type":"box","text":"Any share exchange must satisfy the requirements relating to the minimum initial investment requirement, and","page_number":156,"box":{"x":101,"y":211,"width":790,"height":11}},{"id":"5e16ac55-1a48-488f-bae2-51c70289a47a","block_type":"box","text":"must be legally available for sale in the state of the investor’s residence. For U.S. federal income tax purposes, a","page_number":156,"box":{"x":69,"y":226,"width":808,"height":11}},{"id":"2b46f465-0e0b-4f3e-b2d8-c4436cffd5bd","block_type":"box","text":"share exchange is a taxable event and, accordingly, a capital gain or loss may be realized. Before making an","page_number":156,"box":{"x":69,"y":241,"width":771,"height":11}},{"id":"ff6ad2dc-4458-4d0b-9083-ad7b394a5030","block_type":"box","text":"exchange request, shareholders should consult a tax or other financial adviser and should consider the investment","page_number":156,"box":{"x":69,"y":256,"width":819,"height":12}},{"id":"86298bc4-46e3-49cf-b3b0-06642e7b35cd","block_type":"box","text":"objective, policies and restrictions of the investment portfolio into which the shareholder is making an exchange.","page_number":156,"box":{"x":69,"y":271,"width":802,"height":12}},{"id":"7fb4a399-59e7-4be8-86d1-a4bcc04eed39","block_type":"box","text":"Brokers may charge a fee for handling exchanges.","page_number":156,"box":{"x":70,"y":286,"width":354,"height":12}},{"id":"0a54aa19-9063-4a76-a9b5-856b4d27dadb","block_type":"box","text":"The Funds reserve the right to suspend, modify or terminate the exchange privilege at any time. Notice will be","page_number":156,"box":{"x":101,"y":309,"width":782,"height":11}},{"id":"6d90129a-2037-482b-80c7-b7e85bfce5c0","block_type":"box","text":"given to shareholders of any material modification or termination except where notice is not required. The Funds","page_number":156,"box":{"x":68,"y":324,"width":800,"height":12}},{"id":"51726981-0c1e-4858-bd7e-5b98211a09f6","block_type":"box","text":"reserve the right to reject any telephone exchange request. Telephone exchanges may be subject to limitations as to","page_number":156,"box":{"x":69,"y":340,"width":831,"height":11}},{"id":"f6691d8a-ce7a-43f9-b834-02eb7dee468c","block_type":"box","text":"amount or frequency, and to other restrictions that may be established from time to time to ensure that exchanges","page_number":156,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"df1cdb05-3e89-4529-822f-968935c6cfdd","block_type":"box","text":"do not operate to the disadvantage of any portfolio or its shareholders.","page_number":156,"box":{"x":69,"y":370,"width":506,"height":11}},{"id":"ab92316f-3bf8-4412-a1bb-694fb6536f48","block_type":"box","text":"The Funds, the Administrators and BRIL will employ reasonable procedures to confirm that instructions","page_number":156,"box":{"x":101,"y":392,"width":733,"height":12}},{"id":"53726fdf-28c1-4068-accf-87ad3d176388","block_type":"box","text":"communicated by telephone are genuine. The Funds, the Administrators and BRIL will not be liable for any loss,","page_number":156,"box":{"x":69,"y":407,"width":793,"height":12}},{"id":"15261649-0748-48cd-9228-d13479f42dbc","block_type":"box","text":"liability, cost or expense for acting upon telephone instructions reasonably believed to be genuine in accordance with","page_number":156,"box":{"x":70,"y":423,"width":832,"height":11}},{"id":"fdf8d054-036c-4774-be04-659e11664568","block_type":"box","text":"such procedures. By use of the exchange privilege, the investor authorizes the Fund’s Transfer Agent to act on","page_number":156,"box":{"x":69,"y":438,"width":785,"height":11}},{"id":"8ff9962e-0de6-482d-a728-1feab4358579","block_type":"box","text":"telephonic or written exchange instructions from any person representing himself to be the investor and believed by","page_number":156,"box":{"x":68,"y":453,"width":825,"height":11}},{"id":"d512b5bf-6186-4eb7-95d3-197f42db3630","block_type":"box","text":"the Fund’s Transfer Agent to be genuine. The records of the Fund’s Transfer Agent pertaining to such instructions are","page_number":156,"box":{"x":68,"y":468,"width":837,"height":11}},{"id":"6ac5fad2-3bc3-4cf0-b589-ac935c8d7fc4","block_type":"box","text":"binding. The exchange privilege may be modified or terminated at any time upon 60 days’ notice to affected","page_number":156,"box":{"x":69,"y":483,"width":767,"height":11}},{"id":"790236de-6a09-455a-8237-4ba27e8a80fd","block_type":"box","text":"shareholders. The exchange privilege is only available in states where the exchange may legally be made.","page_number":156,"box":{"x":69,"y":498,"width":750,"height":11}},{"id":"bfd64812-526c-471c-b74e-079b98e73ec7","block_type":"box","text":"Each Fund reserves the right to limit the number of times an investor may exercise the exchange privilege.","page_number":156,"box":{"x":102,"y":521,"width":757,"height":11}},{"id":"214a6277-673f-4d0d-a982-ae3ea9c1c846","block_type":"box","text":"Certain Funds may suspend the continuous offering of their shares to the general public at any time and may resume","page_number":156,"box":{"x":69,"y":536,"width":837,"height":11}},{"id":"53dc8b1b-17eb-472d-b8a2-73bbf2be4298","block_type":"box","text":"such offering from time to time. The exchange privilege is available only to U.S. shareholders in states where the","page_number":156,"box":{"x":69,"y":551,"width":805,"height":11}},{"id":"7aafcb2c-ac0c-40ef-917c-59335fc110a0","block_type":"box","text":"exchange legally may be made. The exchange privilege may be applicable to other new mutual funds whose shares","page_number":156,"box":{"x":69,"y":566,"width":817,"height":11}},{"id":"17840a0a-084d-4a52-bf0d-308a1ea2fa2c","block_type":"box","text":"may be distributed by the Distributor.","page_number":156,"box":{"x":69,"y":582,"width":262,"height":10}},{"id":"043bf481-0ddf-48a5-af1c-a8c45394facb","block_type":"box","text":"Participation in Fee-Based Programs","page_number":156,"box":{"x":69,"y":612,"width":266,"height":11}},{"id":"74a044ce-eb24-4e65-8637-4c89e5422039","block_type":"box","text":"If you participate in certain fee-based programs offered by BlackRock or an affiliate of BlackRock, or selected","page_number":156,"box":{"x":102,"y":634,"width":780,"height":12}},{"id":"59ac16bb-ff79-4b7b-a6bd-9f152168788a","block_type":"box","text":"securities dealers or other financial intermediaries that have agreements with the Distributor or in certain fee-based","page_number":156,"box":{"x":69,"y":649,"width":826,"height":12}},{"id":"7fc63b1d-9b19-43d9-9469-43cf08b680a5","block_type":"box","text":"programs in which BlackRock participates, you may be able to buy Institutional Shares, including by exchanges from","page_number":156,"box":{"x":70,"y":664,"width":825,"height":12}},{"id":"bffa2031-6661-4833-af1c-6543d6b0b70d","block_type":"box","text":"other share classes. Sales charges on the shares being exchanged may be reduced or waived under certain","page_number":156,"box":{"x":69,"y":680,"width":770,"height":11}},{"id":"43b75221-95db-4686-97e1-b52d69873874","block_type":"box","text":"circumstances. You generally cannot transfer shares held through a fee-based program into another account. Instead,","page_number":156,"box":{"x":69,"y":695,"width":837,"height":11}},{"id":"af100962-f7f7-44ac-aff9-457dfe175bcb","block_type":"box","text":"if you choose to leave the fee-based program, you may have to redeem your shares held through the program and","page_number":156,"box":{"x":70,"y":710,"width":808,"height":11}},{"id":"1216b1a8-5543-4701-b56a-2e55a92847f1","block_type":"box","text":"purchase shares of another class, which may be subject to distribution and service fees. This may be a taxable event","page_number":156,"box":{"x":70,"y":725,"width":838,"height":11}},{"id":"a924e648-7a54-4f4b-8b56-97a9373d6a4a","block_type":"box","text":"and you may pay any applicable sales charges or redemption fee. Please speak to your financial intermediary for","page_number":156,"box":{"x":69,"y":740,"width":804,"height":11}},{"id":"c2a92284-f51e-4387-afef-8703faa072ca","block_type":"box","text":"information about specific policies and procedures applicable to your account.","page_number":156,"box":{"x":70,"y":755,"width":555,"height":11}},{"id":"f4b5e885-649f-407f-9efa-5a053de41b51","block_type":"box","text":"Generally, upon termination of a fee-based program, the shares may be liquidated or the shares can be held in","page_number":156,"box":{"x":102,"y":778,"width":788,"height":11}},{"id":"abddc406-50cd-4f2b-b706-c8cdae2dd4ee","block_type":"box","text":"an account. In certain circumstances, when a shareholder chooses to continue to hold the shares, whatever share","page_number":156,"box":{"x":69,"y":793,"width":817,"height":10}},{"id":"df517efb-8b4f-4795-845c-b2a76519925e","block_type":"box","text":"class was held in the program can be held after termination. Shares that have been held for less than specified","page_number":156,"box":{"x":69,"y":808,"width":796,"height":11}},{"id":"e87e799b-78ba-4b47-8611-a705edc27599","block_type":"box","text":"periods within the program may be subject to a fee upon redemption. Shareholders that held Investor A or","page_number":156,"box":{"x":70,"y":823,"width":754,"height":12}},{"id":"b205fc5f-4149-4807-89ef-7726114448a7","block_type":"box","text":"Institutional Shares in the program may be eligible to purchase additional shares of the respective share class of a","page_number":156,"box":{"x":70,"y":838,"width":820,"height":12}},{"id":"60ca9cdd-f7e9-4f80-ac73-8dd4920d2edb","block_type":"box","text":"Fund, but may be subject to upfront sales charges with respect to Investor A Shares. Additional purchases of","page_number":156,"box":{"x":70,"y":853,"width":777,"height":12}},{"id":"13ccd732-fbee-44e0-8471-322a6255c282","block_type":"box","text":"Institutional Shares are permitted only if you have an existing position at the time of purchase or are otherwise","page_number":156,"box":{"x":70,"y":869,"width":791,"height":11}},{"id":"595d4779-c781-495f-9bfd-8ce22add2daf","block_type":"box","text":"eligible to purchase Institutional Shares. Please speak to your financial intermediary for more information.","page_number":156,"box":{"x":69,"y":884,"width":756,"height":11}},{"id":"a9f7ccff-4560-4cc6-ba03-94268bf8943b","block_type":"box","text":"II-120","page_number":156,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"74c970b5-6d4d-4541-99aa-4385036baec4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":156,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"620f2f28-b540-4fa0-b097-aa85cf4eac40","block_type":"box","text":"Certain financial intermediaries may, in connection with a change in account type (for example, due to leaving a","page_number":157,"box":{"x":102,"y":45,"width":793,"height":11}},{"id":"d29d6671-690b-4bb3-93ce-f16372408045","block_type":"box","text":"fee-based program or upon termination of the fee-based program) or otherwise in accordance with the financial","page_number":157,"box":{"x":68,"y":60,"width":791,"height":11}},{"id":"75151aea-7bea-4dec-aaba-a30fe5fbfb56","block_type":"box","text":"intermediary’s policies and procedures, exchange the share class held in the program for another share class of the","page_number":157,"box":{"x":70,"y":75,"width":830,"height":11}},{"id":"5c4f52bd-1ca4-4d58-9dde-c9866db2873c","block_type":"box","text":"same fund, provided that the exchanged shares are not subject to a sales charge and the shareholder meets the","page_number":157,"box":{"x":69,"y":90,"width":807,"height":11}},{"id":"59562e57-2d1e-4264-8b8f-1302bb4781ec","block_type":"box","text":"eligibility requirements of the new share class. Please speak to your financial intermediary for information about","page_number":157,"box":{"x":69,"y":105,"width":801,"height":11}},{"id":"f6c421e8-f7ed-4ed9-9d0e-7e88917ea4b3","block_type":"box","text":"specific policies and procedures applicable to your account.","page_number":157,"box":{"x":69,"y":120,"width":424,"height":11}},{"id":"c0092022-57b5-4e7a-a9a2-b9330ab8287b","block_type":"box","text":"Details about the features of each fee-based program and the relevant charges, terms and conditions are","page_number":157,"box":{"x":102,"y":143,"width":752,"height":11}},{"id":"8daade19-ae0e-4f93-a5d6-04d433a677ca","block_type":"box","text":"included in the client agreement for each fee-based program and are available from your financial professional,","page_number":157,"box":{"x":70,"y":158,"width":789,"height":11}},{"id":"f0dc4f43-a9a7-471a-9393-afc5e3f0f4be","block_type":"box","text":"selected securities dealer or other financial intermediary. Please speak to your financial intermediary for more","page_number":157,"box":{"x":69,"y":173,"width":785,"height":11}},{"id":"0f8f879b-a4d7-4423-b1ac-55d4c8d7cf46","block_type":"box","text":"information.","page_number":157,"box":{"x":70,"y":188,"width":83,"height":9}},{"id":"386d1ba2-76cd-42d2-bf47-78417f39558b","block_type":"box","text":"Retirement and Education Savings Plans","page_number":157,"box":{"x":69,"y":219,"width":296,"height":11}},{"id":"00937a8e-c9e5-4adb-973f-4ed748e4bbeb","block_type":"box","text":"Individual retirement accounts and other retirement and education savings plans are available from your financial","page_number":157,"box":{"x":102,"y":241,"width":805,"height":11}},{"id":"48eed4e8-fb1e-40cd-9667-8ec036743190","block_type":"box","text":"intermediary. Under these plans, investments may be made in a Fund (other than a Municipal Fund) and certain of","page_number":157,"box":{"x":70,"y":256,"width":815,"height":11}},{"id":"59a012a8-9d72-4d4f-a059-1fe2071456ec","block_type":"box","text":"the other mutual funds sponsored by the Manager or its affiliates as well as in other securities. There may be fees","page_number":157,"box":{"x":68,"y":271,"width":819,"height":12}},{"id":"3c86fe7c-7906-48a2-98ff-a8a617e9189b","block_type":"box","text":"associated with investing through these plans. Information with respect to these plans is available on request from","page_number":157,"box":{"x":69,"y":286,"width":820,"height":12}},{"id":"cf5b33a2-9ebb-4139-9971-c5ec4738329a","block_type":"box","text":"your financial intermediary.","page_number":157,"box":{"x":68,"y":302,"width":191,"height":11}},{"id":"6d1a7746-ea66-4f5d-92c0-7d7dd665eb48","block_type":"box","text":"Dividends received in each of the plans referred to above are exempt from U.S. federal taxation until distributed","page_number":157,"box":{"x":102,"y":324,"width":796,"height":11}},{"id":"85275b01-9389-4a73-ba85-96bcd67e09c8","block_type":"box","text":"from the plans and, in the case of Roth IRAs and education savings plans, may be exempt from taxation when","page_number":157,"box":{"x":68,"y":339,"width":784,"height":12}},{"id":"4e16fd55-004b-4908-9ddb-65fa41fe6499","block_type":"box","text":"distributed as well. Investors considering participation in any retirement or education savings plan should review","page_number":157,"box":{"x":69,"y":355,"width":801,"height":11}},{"id":"d9ea5989-3922-4e33-8b6e-2c120f7469af","block_type":"box","text":"specific tax laws relating to the plan and should consult their attorneys or tax advisors with respect to the","page_number":157,"box":{"x":69,"y":370,"width":753,"height":11}},{"id":"1feca5df-f0ab-4c45-b8de-e6f353b30f39","block_type":"box","text":"establishment and maintenance of any such plan.","page_number":157,"box":{"x":69,"y":385,"width":354,"height":11}},{"id":"dd26c02f-ecab-4420-b3f4-3abb56a1ede5","block_type":"box","text":"Automatic Investment Plans","page_number":157,"box":{"x":68,"y":415,"width":207,"height":9}},{"id":"886fe129-bc4a-4d39-b686-fe02cec4b18c","block_type":"box","text":"Investor class shareholders and certain Service Share shareholders who were shareholders of the Compass","page_number":157,"box":{"x":102,"y":438,"width":773,"height":11}},{"id":"7b20b354-c8d9-43ff-80e8-fb3c128c2a2f","block_type":"box","text":"Capital Group of Funds at the time of its combination with The PNC","page_number":157,"box":{"x":69,"y":453,"width":477,"height":11}},{"id":"c105eac2-bbd4-4d6e-a9ea-f5badf8dc4f4","block_type":"box","text":"®","page_number":157,"box":{"x":547,"y":453,"width":6,"height":5}},{"id":"f24eb005-c6fa-494a-87fe-61fdb789a4d4","block_type":"box","text":"Fund in 1996 may arrange for periodic","page_number":157,"box":{"x":559,"y":453,"width":272,"height":11}},{"id":"09263800-c534-45a5-bb65-33a4a3b7f252","block_type":"box","text":"investments in that Fund through automatic deductions from a checking or savings account. The minimum pre","page_number":157,"box":{"x":70,"y":468,"width":787,"height":11}},{"id":"dfa20b2e-0e3a-4d3a-bd6d-59234d06ea6a","block_type":"box","text":"authorized investment amount is $50. If you buy shares of a Fund through certain accounts, no minimum charge to","page_number":157,"box":{"x":69,"y":482,"width":822,"height":12}},{"id":"0c5bf576-cf7b-4ae9-b864-77b5dee3e950","block_type":"box","text":"your bank account is required. Contact your financial adviser or other financial intermediary for more information.","page_number":157,"box":{"x":68,"y":498,"width":805,"height":11}},{"id":"6f368560-897a-4a46-88af-2aa4a908fa17","block_type":"box","text":"Automatic Dividend Reinvestment Plan","page_number":157,"box":{"x":68,"y":529,"width":285,"height":8}},{"id":"5f2f1997-4373-45ee-9758-fc9d56094028","block_type":"box","text":"Each Fund will distribute substantially all of its net investment income and net realized capital gains, if any, to","page_number":157,"box":{"x":102,"y":551,"width":782,"height":11}},{"id":"0770f172-d7e2-4c39-a321-1043afb0fa16","block_type":"box","text":"shareholders. All distributions are automatically reinvested at NAV in the form of additional full and fractional shares","page_number":157,"box":{"x":69,"y":566,"width":828,"height":11}},{"id":"237721f7-efa5-48b5-821b-59293e9023f3","block_type":"box","text":"of the same class of shares of the relevant Fund unless a shareholder elects otherwise or as otherwise set forth in a","page_number":157,"box":{"x":69,"y":581,"width":839,"height":9}},{"id":"da9b3646-9bd4-4e82-b843-37b3c44d33e0","block_type":"box","text":"Fund’s prospectus. Such election, or any revocation thereof, must be made in writing to the Transfer Agent, and will","page_number":157,"box":{"x":70,"y":596,"width":822,"height":12}},{"id":"c2b4c1f2-4d55-4e2c-b849-55ea79b4bebd","block_type":"box","text":"become effective with respect to dividends paid after its receipt by the Transfer Agent.","page_number":157,"box":{"x":69,"y":612,"width":614,"height":11}},{"id":"382ed51c-74c3-42d2-b202-62f0132fdf33","block_type":"box","text":"Systematic Withdrawal Plans","page_number":157,"box":{"x":68,"y":642,"width":214,"height":11}},{"id":"2fb9956f-7269-4187-95ce-ec67ed226906","block_type":"box","text":"Shareholders may receive regular distributions from their accounts via a Systematic Withdrawal Plan (“SWP”).","page_number":157,"box":{"x":102,"y":664,"width":780,"height":12}},{"id":"0e4b494b-f360-4ce4-942f-f2a6ac7cb490","block_type":"box","text":"Upon commencement of the SWP, the account must have a current value of $10,000 or more in a Fund.","page_number":157,"box":{"x":70,"y":679,"width":742,"height":12}},{"id":"632a9ba8-7695-4ee7-baee-efbe81453c80","block_type":"box","text":"Shareholders may elect to receive automatic cash payments of $50 or more at any interval. You may choose any day","page_number":157,"box":{"x":69,"y":694,"width":834,"height":12}},{"id":"57263466-28f0-4c6c-af3b-a06dcf4b3b4a","block_type":"box","text":"for the withdrawal. If no day is specified, the withdrawals will be processed on the 25th day of the month or, if such","page_number":157,"box":{"x":68,"y":710,"width":823,"height":11}},{"id":"39a44ba7-45ed-480b-9995-9a3e99940613","block_type":"box","text":"day is not a business day, on the prior business day and are paid promptly thereafter. An investor may utilize the SWP","page_number":157,"box":{"x":69,"y":725,"width":840,"height":11}},{"id":"c814e5f9-1daa-4b5e-a658-a6eb3a207152","block_type":"box","text":"by completing the Systematic Withdrawal Plan Application Form which may be obtained by visiting our website at","page_number":157,"box":{"x":69,"y":740,"width":800,"height":11}},{"id":"87ae334b-2d5d-4abb-a5d7-588acd339531","block_type":"box","text":"www.blackrock.com.","page_number":157,"box":{"x":68,"y":755,"width":142,"height":9}},{"id":"bb3fe64d-1076-4384-a5c3-c3fc3d354cfa","block_type":"box","text":"Shareholders should realize that if withdrawals exceed income dividends their invested principal in the account","page_number":157,"box":{"x":102,"y":778,"width":789,"height":11}},{"id":"9f5ed397-1c14-40b9-b067-03092ba98e24","block_type":"box","text":"will be depleted. To participate in the SWP, shareholders must have their dividends automatically reinvested.","page_number":157,"box":{"x":68,"y":793,"width":774,"height":11}},{"id":"21317354-a12e-4fb1-ab39-a6255508a3b3","block_type":"box","text":"Shareholders may change or cancel the SWP at any time, upon written notice to the Fund, or by calling the Fund at","page_number":157,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"a84df7e0-b482-4180-b157-15e2f4fde380","block_type":"box","text":"(800) 441-7762. Purchases of additional Investor A or Investor P Shares of the Fund concurrently with withdrawals","page_number":157,"box":{"x":69,"y":823,"width":817,"height":11}},{"id":"ff973631-7ce8-4cda-80ff-30ace72e173f","block_type":"box","text":"may be disadvantageous to investors because of the sales charges involved and, therefore, are discouraged. No","page_number":157,"box":{"x":69,"y":838,"width":803,"height":12}},{"id":"daddd0e6-f125-438a-bec9-33ad0154d05d","block_type":"box","text":"CDSC will be assessed on redemptions of Investor C Shares made through the SWP that do not exceed 12% of the","page_number":157,"box":{"x":69,"y":853,"width":820,"height":12}},{"id":"f590ddfa-4bf6-4396-9c29-4ed046971fbb","block_type":"box","text":"original investment on an annualized basis. For example, monthly, quarterly and semi-annual SWP redemptions of","page_number":157,"box":{"x":69,"y":869,"width":810,"height":11}},{"id":"f0f45a5b-f790-4bc8-b201-8ad82bf9314a","block_type":"box","text":"II-121","page_number":157,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"273b979d-9646-4cf7-aa66-af47bcbb918d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":157,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5225142a-bca0-49ad-9674-91874528a815","block_type":"box","text":"Investor C Shares will not be subject to the CDSC if they do not exceed 1% (monthly), 3% (quarterly) and 6% (semi","page_number":158,"box":{"x":70,"y":45,"width":816,"height":11}},{"id":"4c3e54da-5bc4-4501-9c81-1d38fb1bd4d8","block_type":"box","text":"annually), respectively, of an account’s NAV on the redemption date. SWP redemptions of Investor C Shares in excess","page_number":158,"box":{"x":69,"y":60,"width":840,"height":11}},{"id":"a3030547-6e07-454b-af4d-2b9401c325b6","block_type":"box","text":"of this limit are still subject to the applicable CDSC.","page_number":158,"box":{"x":69,"y":75,"width":367,"height":11}},{"id":"3dce3999-351a-41ad-891e-96d63fea62e7","block_type":"box","text":"For this reason, a shareholder may not participate in the Automatic Investment Plan described above (see “How","page_number":158,"box":{"x":102,"y":98,"width":798,"height":11}},{"id":"fd5bf575-66d6-433c-8234-92b4a59a34cd","block_type":"box","text":"to Buy, Sell, Exchange and Transfer Shares” or “How to Buy, Sell and Exchange Shares,” as applicable, in the Fund’s","page_number":158,"box":{"x":68,"y":113,"width":834,"height":11}},{"id":"c77f3c7c-a8ef-4ae3-a3e5-5fd0325e081e","block_type":"box","text":"Prospectus) and the SWP at the same time.","page_number":158,"box":{"x":69,"y":128,"width":311,"height":11}},{"id":"0d851a0f-54c6-4737-a8bf-7e6527c0f614","block_type":"box","text":"Dividend Allocation Plan","page_number":158,"box":{"x":69,"y":158,"width":176,"height":9}},{"id":"96f2237b-f895-42bb-8a73-eff4fd4a4f18","block_type":"box","text":"The Dividend Allocation Plan, as applicable, allows shareholders to elect to have all their dividends and any other","page_number":158,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"fc9d6240-1546-4219-920f-114da5be65a6","block_type":"box","text":"distributions from any Eligible Fund (which means funds so designated by the Distributor from time to time)","page_number":158,"box":{"x":69,"y":196,"width":763,"height":11}},{"id":"a465397f-20b4-411e-ac15-34c1800bc50b","block_type":"box","text":"automatically invested at NAV in one other such Eligible Fund designated by the shareholder, provided the account","page_number":158,"box":{"x":69,"y":211,"width":814,"height":11}},{"id":"2267794f-77b0-45be-b1ab-f62c4e111cf4","block_type":"box","text":"into which the dividends and distributions are directed is initially funded with the requisite minimum amount.","page_number":158,"box":{"x":70,"y":226,"width":771,"height":11}},{"id":"328fcbd2-e531-4a0c-b5d4-66151d85034f","block_type":"box","text":"PRICING OF SHARES","page_number":158,"box":{"x":406,"y":256,"width":167,"height":9}},{"id":"6dbdf0bc-3726-46f6-8325-b9a5c3625895","block_type":"box","text":"Determination of Net Asset Value","page_number":158,"box":{"x":69,"y":286,"width":243,"height":9}},{"id":"b6836cbd-7f95-4e50-ac01-e8127d8367fb","block_type":"box","text":"Valuation of Shares.","page_number":158,"box":{"x":101,"y":309,"width":145,"height":9}},{"id":"4732c04b-6ac4-480e-85fd-75029fe98610","block_type":"box","text":"The NAV for each class of shares of each Fund is generally calculated as of the close of","page_number":158,"box":{"x":252,"y":309,"width":626,"height":11}},{"id":"38e69a32-0da7-44c8-9871-d350ae7e9278","block_type":"box","text":"regular trading hours on the NYSE (currently 4:00 p.m. Eastern Time) on each business day the NYSE is open.","page_number":158,"box":{"x":69,"y":324,"width":785,"height":11}},{"id":"6a0a4553-6980-4e26-a910-09bfb8486834","block_type":"box","text":"Valuation of assets held by a Fund is as follows:","page_number":158,"box":{"x":68,"y":339,"width":343,"height":11}},{"id":"3f229de2-8ca2-4a6a-b840-a7b1c157bc04","block_type":"box","text":"Equity Investments.","page_number":158,"box":{"x":102,"y":362,"width":143,"height":11}},{"id":"1e115596-1f39-4d48-8096-d469776abd2a","block_type":"box","text":"Equity securities traded on a recognized securities exchange (","page_number":158,"box":{"x":252,"y":362,"width":439,"height":11}},{"id":"b1400dc5-116e-494c-b10c-d5a38905cc1b","block_type":"box","text":"e.g.","page_number":158,"box":{"x":693,"y":363,"width":25,"height":10}},{"id":"93630d11-2d6d-4b45-871a-61f766de4c12","block_type":"box","text":", NYSE), on separate","page_number":158,"box":{"x":720,"y":362,"width":147,"height":11}},{"id":"88905ce2-75d4-4d2c-8563-01cbbeec5b34","block_type":"box","text":"trading boards of a securities exchange or through a market system that provides contemporaneous transaction","page_number":158,"box":{"x":68,"y":377,"width":799,"height":11}},{"id":"18c9bcec-675c-49c3-8685-8948352118b0","block_type":"box","text":"pricing information (each, an “Exchange”) are valued using information obtained via independent pricing services,","page_number":158,"box":{"x":70,"y":392,"width":808,"height":11}},{"id":"ccbe0133-79e9-4ec3-9626-75660df9cc60","block_type":"box","text":"generally at the Exchange closing price or if an Exchange closing price is not available, the last traded price on that","page_number":158,"box":{"x":68,"y":407,"width":820,"height":11}},{"id":"b989bc2c-9a40-4618-bd06-350a60a5258d","block_type":"box","text":"Exchange prior to the time as of which the assets or liabilities are valued. However, under certain circumstances,","page_number":158,"box":{"x":70,"y":422,"width":805,"height":11}},{"id":"e58acd85-4551-4d7b-8b9f-84abc22632cb","block_type":"box","text":"other means of determining current market value may be used. If an equity security is traded on more than one","page_number":158,"box":{"x":69,"y":437,"width":793,"height":11}},{"id":"d559537b-593c-44cc-9ce5-098f72cc7b44","block_type":"box","text":"Exchange, the current market value of the security where it is primarily traded generally will be used. In the event that","page_number":158,"box":{"x":70,"y":452,"width":836,"height":11}},{"id":"7a5e22cc-07eb-4257-a478-aa51305d9efc","block_type":"box","text":"there are no sales involving an equity security held by a Fund on a day on which the Fund values such security, the","page_number":158,"box":{"x":68,"y":468,"width":815,"height":11}},{"id":"30903b11-5801-4ce4-8284-e3ee723266d3","block_type":"box","text":"last bid (long positions) or ask (short positions) price, if available, will be used as the value of such security. If a Fund","page_number":158,"box":{"x":70,"y":482,"width":837,"height":12}},{"id":"173af554-6f00-4627-91f0-aa7d53441d99","block_type":"box","text":"holds both long and short positions in the same security, the last bid price will be applied to securities held long and","page_number":158,"box":{"x":69,"y":498,"width":832,"height":11}},{"id":"b634908d-87a5-41d2-b855-581f69ad30f2","block_type":"box","text":"the last ask price will be applied to securities sold short. If no bid or ask price is available on a day on which a Fund","page_number":158,"box":{"x":68,"y":513,"width":828,"height":11}},{"id":"a11dfb0f-2b33-4625-bbf7-7bb6f282fa96","block_type":"box","text":"values such security, the prior day’s price will be used, unless BlackRock determines that such prior day’s price no","page_number":158,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"882e25b0-3497-456b-86da-c4a21e40c5bc","block_type":"box","text":"longer reflects the fair value of the security, in which case such asset would be treated as a Fair Value Asset (as","page_number":158,"box":{"x":70,"y":543,"width":798,"height":11}},{"id":"80ed9e2e-f03f-47bd-a251-70572ffcd720","block_type":"box","text":"defined below).","page_number":158,"box":{"x":69,"y":558,"width":106,"height":11}},{"id":"bcc1aded-a7e3-451e-b049-5f961e2903a3","block_type":"box","text":"Fixed-Income Investments.","page_number":158,"box":{"x":102,"y":581,"width":194,"height":9}},{"id":"0f3ed988-6dee-40e4-a408-deca5a947d1b","block_type":"box","text":"Fixed-income securities are generally valued using prices provided by dealers or","page_number":158,"box":{"x":304,"y":581,"width":565,"height":11}},{"id":"e1ac7abc-16b5-41ca-be5f-8028ade295d1","block_type":"box","text":"prices (including evaluated prices) supplied by the Fund’s approved independent third-party pricing services, each in","page_number":158,"box":{"x":70,"y":596,"width":825,"height":11}},{"id":"f79179a4-89fc-4a30-a020-b373944cf289","block_type":"box","text":"accordance with the Valuation Procedures. The pricing services may use valuation models that utilize certain inputs","page_number":158,"box":{"x":69,"y":611,"width":823,"height":11}},{"id":"d46a0a5f-d5c0-4729-b493-68d519c50ce4","block_type":"box","text":"and assumptions to derive values, including transaction data (","page_number":158,"box":{"x":69,"y":626,"width":443,"height":11}},{"id":"73181818-f830-448b-87d8-7803cc5567c1","block_type":"box","text":"e.g.","page_number":158,"box":{"x":514,"y":628,"width":24,"height":9}},{"id":"100ecec9-25d6-4954-8559-f816fb7d46fb","block_type":"box","text":", recent representative bids and offers), credit","page_number":158,"box":{"x":541,"y":626,"width":328,"height":11}},{"id":"0d1339b3-41e3-4e9f-8b3a-9471ec6ee5e6","block_type":"box","text":"quality information, perceived market movements, news, and other relevant information and by other methods, which","page_number":158,"box":{"x":69,"y":641,"width":834,"height":11}},{"id":"16a83654-d26c-4598-8e66-615e5718fc42","block_type":"box","text":"may include consideration of: yields or prices of securities of comparable quality, coupon, maturity and type;","page_number":158,"box":{"x":69,"y":656,"width":769,"height":11}},{"id":"a098c222-d8f8-4471-938a-7dd42e787bfd","block_type":"box","text":"indications as to values from dealers; general market conditions; and/or other factors and assumptions. Pricing","page_number":158,"box":{"x":70,"y":671,"width":797,"height":12}},{"id":"1f6d059a-739d-40fb-9696-12a2e2386263","block_type":"box","text":"services generally value fixed-income securities assuming orderly transactions of an institutional round lot size, but","page_number":158,"box":{"x":69,"y":686,"width":821,"height":12}},{"id":"f0033347-3db1-4746-bcde-df43e4c5b55a","block_type":"box","text":"the Fund may hold or transact in such securities in smaller, odd lot sizes. Odd lots of securities in certain asset","page_number":158,"box":{"x":68,"y":702,"width":798,"height":11}},{"id":"3f827989-6ea7-4bff-8885-a1d150f77d4a","block_type":"box","text":"classes may trade at lower prices than institutional round lots, and the value ultimately realized when the securities","page_number":158,"box":{"x":69,"y":717,"width":825,"height":11}},{"id":"4c747725-b767-44ec-84f1-d7cdb2117ec1","block_type":"box","text":"are sold could differ from the prices used by a Fund. The amortized cost method of valuation may be used with","page_number":158,"box":{"x":69,"y":732,"width":791,"height":11}},{"id":"9b83608d-809b-4768-83b2-6317a700076b","block_type":"box","text":"respect to debt obligations with 60 days or less remaining to maturity unless such method does not represent fair","page_number":158,"box":{"x":69,"y":747,"width":814,"height":11}},{"id":"b761b2cc-bb8d-44f7-9efe-36bb570812e0","block_type":"box","text":"value. Certain fixed-income investments, including asset-backed and mortgage related securities, may be valued","page_number":158,"box":{"x":68,"y":762,"width":802,"height":11}},{"id":"850e2a3f-355e-44db-bceb-1c4e834273fa","block_type":"box","text":"based on valuation models that consider the estimated cash flows of each tranche of the issuer, establish a","page_number":158,"box":{"x":69,"y":777,"width":773,"height":11}},{"id":"07e58021-d2ac-4e89-a487-15019161bc59","block_type":"box","text":"benchmark yield and develop an estimated tranche specific spread to the benchmark yield based on the unique","page_number":158,"box":{"x":69,"y":792,"width":795,"height":12}},{"id":"39fad2a1-c357-429e-8f09-377d6107f979","block_type":"box","text":"attributes of the tranche.","page_number":158,"box":{"x":69,"y":807,"width":176,"height":9}},{"id":"3344df85-cd14-4ad4-ba26-2fccf5e5f52a","block_type":"box","text":"Options, Futures, Swaps and Other Derivatives.","page_number":158,"box":{"x":101,"y":830,"width":344,"height":11}},{"id":"429ac967-70fc-4cd7-9137-6f8847aecce7","block_type":"box","text":"Exchange-traded equity options (except ETF options, equity","page_number":158,"box":{"x":453,"y":830,"width":416,"height":11}},{"id":"1b9d2058-34e2-49c3-9d44-db00e2be1bf2","block_type":"box","text":"index options or those that are customized) for which market quotations are readily available are valued at the mean","page_number":158,"box":{"x":70,"y":845,"width":829,"height":11}},{"id":"757e0980-3422-4fa9-8ca9-16f3c1068136","block_type":"box","text":"of the last bid and ask prices as quoted on the Exchange or the board of trade on which such options are traded. In","page_number":158,"box":{"x":69,"y":860,"width":824,"height":12}},{"id":"81f218cb-4adb-4923-810a-09c5f4470b15","block_type":"box","text":"the event that there is no mean price available for an exchange-traded equity option held by a Fund on a day on which","page_number":158,"box":{"x":68,"y":875,"width":838,"height":12}},{"id":"2901db73-ab8f-40e5-a289-3799c01a23f3","block_type":"box","text":"the Fund values such option, the last bid (long positions) or ask (short positions) price, if available, will be used as","page_number":158,"box":{"x":68,"y":891,"width":820,"height":11}},{"id":"f0a3f1f4-808a-4992-bac3-ccbc6340ab13","block_type":"box","text":"the value of such option. If no bid or ask price is available on a day on which a Fund values such option, the prior","page_number":158,"box":{"x":68,"y":906,"width":808,"height":11}},{"id":"812ad3bc-a4bb-44bb-9824-eee90130f2e2","block_type":"box","text":"II-122","page_number":158,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"e674d0be-274b-425a-9bad-18d352efe3c3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":158,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b1f68e46-392d-494c-b976-216cb4646700","block_type":"box","text":"day’s price will be used, unless BlackRock determines that such prior day’s price no longer reflects the fair value of","page_number":159,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"d7220d6d-5895-4f78-9df9-1cc24f7303bc","block_type":"box","text":"the option, in which case such option will be treated as a Fair Value Asset. Customized exchange-traded equity","page_number":159,"box":{"x":68,"y":60,"width":789,"height":11}},{"id":"9c06fbed-0aec-4154-b489-0abe2b6b640d","block_type":"box","text":"options, ETF options, equity index options and OTC derivatives, may be valued using a mathematical model which","page_number":159,"box":{"x":69,"y":75,"width":807,"height":11}},{"id":"8d4cda71-adf7-4d1e-b76b-37849e67b74d","block_type":"box","text":"may incorporate a number of market data factors. Financial futures contracts and options thereon, which are traded","page_number":159,"box":{"x":69,"y":90,"width":824,"height":11}},{"id":"c41043f5-0922-4e5d-9b23-d8162a076d3b","block_type":"box","text":"on exchanges, are valued at their last sale price or settle price as of the close of such exchanges. Swap agreements","page_number":159,"box":{"x":69,"y":105,"width":833,"height":11}},{"id":"796fbf98-6c24-42bc-ba0f-cd8d1e0a63dd","block_type":"box","text":"and other derivatives are generally valued daily based upon quotations from market makers or by a pricing service in","page_number":159,"box":{"x":69,"y":120,"width":830,"height":12}},{"id":"1bbcc5cc-b09e-41c1-b09b-fe98da7ae0c1","block_type":"box","text":"accordance with the Valuation Procedures.","page_number":159,"box":{"x":69,"y":136,"width":301,"height":8}},{"id":"6bfb9c71-d4a1-4262-a18f-b2fa43fdaa43","block_type":"box","text":"Underlying Funds.","page_number":159,"box":{"x":102,"y":158,"width":128,"height":11}},{"id":"4dffcf97-f83c-4120-abc0-34da3f53c70c","block_type":"box","text":"Shares of underlying open-end funds that are not traded on an exchange (including money","page_number":159,"box":{"x":237,"y":158,"width":640,"height":11}},{"id":"40f0cd35-6de4-47d6-8bc5-cdeaba1a20f9","block_type":"box","text":"market funds) are valued at NAV. Shares of underlying exchange-traded closed-end funds or other ETFs will be valued","page_number":159,"box":{"x":69,"y":173,"width":830,"height":11}},{"id":"033d33d5-d2c7-4156-98b4-e7e5a6fd0762","block_type":"box","text":"at their most recent closing price.","page_number":159,"box":{"x":69,"y":188,"width":238,"height":12}},{"id":"1491dc05-3ae5-4733-a389-05dfcf677279","block_type":"box","text":"General Valuation Information.","page_number":159,"box":{"x":101,"y":211,"width":220,"height":9}},{"id":"a059ff5b-a1cb-41d9-8e60-68a54acf62e6","block_type":"box","text":"Prices obtained from independent third-party pricing services, broker-dealers or","page_number":159,"box":{"x":328,"y":211,"width":564,"height":11}},{"id":"11700b55-8fe3-4849-b941-5d7923e0c03a","block_type":"box","text":"market makers to value each Fund’s securities and other assets and liabilities are based on information available at","page_number":159,"box":{"x":69,"y":226,"width":831,"height":9}},{"id":"276149f1-ed37-4bcc-82b8-ec90e6cbec94","block_type":"box","text":"the time the Fund values its assets and liabilities. In the event that a pricing service quotation is revised or updated","page_number":159,"box":{"x":68,"y":241,"width":828,"height":11}},{"id":"aab69d95-6d32-4d99-9677-27e644edc757","block_type":"box","text":"subsequent to the day on which the Fund valued such security, the revised pricing service quotation generally will be","page_number":159,"box":{"x":69,"y":257,"width":829,"height":11}},{"id":"beabf4b2-c546-42f8-9447-8721d61477de","block_type":"box","text":"applied prospectively. Such determination will be made considering pertinent facts and circumstances surrounding","page_number":159,"box":{"x":69,"y":271,"width":817,"height":12}},{"id":"598a9886-b779-4b1f-b8c5-19abe42a9c87","block_type":"box","text":"the revision.","page_number":159,"box":{"x":68,"y":287,"width":87,"height":9}},{"id":"2bfb318e-7b73-4bfe-af0f-7bdeda2ecb3b","block_type":"box","text":"In determining the market value of portfolio investments, the Fund may employ independent third-party pricing","page_number":159,"box":{"x":102,"y":309,"width":784,"height":11}},{"id":"a637ffc2-d9c8-41c3-9aeb-21e479087910","block_type":"box","text":"services, which may use, without limitation, evaluated pricing methods that take into consideration market indexes,","page_number":159,"box":{"x":69,"y":325,"width":823,"height":11}},{"id":"ae86ba06-f143-4c72-a086-ed7a221c689a","block_type":"box","text":"matrices, yield curves and other specified inputs and assumptions. This may result in the assets being valued at a","page_number":159,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"9bd72430-d261-4d20-9a06-daa83d62a42a","block_type":"box","text":"price different from the price that would have been determined had the evaluated pricing method not been used. The","page_number":159,"box":{"x":70,"y":355,"width":832,"height":11}},{"id":"db064639-1604-420f-aac6-434db1120959","block_type":"box","text":"price the Fund could receive upon the sale of any particular portfolio investment may differ from the Fund’s valuation","page_number":159,"box":{"x":70,"y":370,"width":832,"height":11}},{"id":"8fd4c353-8948-42f9-a780-d68c2eeb6ffd","block_type":"box","text":"of the investment, particularly for assets that trade in thin or volatile markets or that are valued using a fair valuation","page_number":159,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"9686db53-0cbc-4165-ba7a-2d4dd99fd1dc","block_type":"box","text":"methodology or a price provided by an independent pricing service. As a result, the price received upon the sale of an","page_number":159,"box":{"x":69,"y":400,"width":837,"height":11}},{"id":"8ec611e0-374e-44eb-bc2f-576c009291b9","block_type":"box","text":"investment may be less than the value ascribed by the Fund, and the Fund could realize a greater than expected loss","page_number":159,"box":{"x":70,"y":415,"width":833,"height":11}},{"id":"aef7ca58-b1c0-4b78-8ba9-a0130dbbdb5a","block_type":"box","text":"or lesser than expected gain upon the sale of the investment. The Fund’s ability to value its investment may also be","page_number":159,"box":{"x":69,"y":430,"width":827,"height":11}},{"id":"f7748075-e03e-4a28-afb1-0ce286e3dfad","block_type":"box","text":"impacted by technological issues and/or errors by pricing services or other third-party service providers.","page_number":159,"box":{"x":70,"y":446,"width":741,"height":11}},{"id":"36b68ee8-0976-4e56-adfa-33e4608b756a","block_type":"box","text":"In the event that application of the methods of valuation discussed above result in a price for a security which is","page_number":159,"box":{"x":102,"y":468,"width":800,"height":11}},{"id":"9bc7bb59-ea06-4cbd-b06a-77edbf50ce35","block_type":"box","text":"deemed not to be representative of the fair market value of such security, the security will be valued by, under the","page_number":159,"box":{"x":69,"y":483,"width":811,"height":11}},{"id":"e44770d1-580a-4de9-ae71-54be1d775d99","block_type":"box","text":"direction of or in accordance with a method approved by BlackRock, the Fund’s valuation designee, as reflecting fair","page_number":159,"box":{"x":69,"y":498,"width":827,"height":11}},{"id":"e1cc6d34-2fc4-4ea2-80ab-124c57cd4c62","block_type":"box","text":"value. All other assets and liabilities (including securities for which market quotations are not readily available) held","page_number":159,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"571f8f3f-343f-42ed-833f-e45e30fe7585","block_type":"box","text":"by a Fund (including restricted securities and private market investments, as applicable) are valued at fair value as","page_number":159,"box":{"x":69,"y":528,"width":817,"height":12}},{"id":"673397e4-4186-4423-b840-c0eaba3bfec8","block_type":"box","text":"determined in good faith by BlackRock pursuant to the Valuation Procedures. Any assets and liabilities which are","page_number":159,"box":{"x":69,"y":543,"width":802,"height":12}},{"id":"259bd7d7-2583-4a66-94b6-a749eb7dc786","block_type":"box","text":"denominated in a foreign currency are translated into U.S. dollars at the prevailing market rates.","page_number":159,"box":{"x":69,"y":559,"width":685,"height":11}},{"id":"9be16964-1f41-4a27-812c-9694ad852184","block_type":"box","text":"Certain of the securities acquired by the Funds may be traded on foreign exchanges or OTC markets on days on","page_number":159,"box":{"x":102,"y":581,"width":795,"height":12}},{"id":"50bc9be9-db43-4c85-a220-8d97622a4efd","block_type":"box","text":"which a Fund’s NAV is not calculated. In such cases, the NAV of a Fund’s shares may be significantly affected on","page_number":159,"box":{"x":68,"y":596,"width":805,"height":12}},{"id":"199dcdd5-3eb3-473d-a788-200eb6f30628","block_type":"box","text":"days when investors can neither purchase nor redeem shares of the Fund.","page_number":159,"box":{"x":69,"y":612,"width":529,"height":11}},{"id":"11a84080-237d-4e79-952b-b5b90e0ec0f3","block_type":"box","text":"Fair Value.","page_number":159,"box":{"x":102,"y":634,"width":74,"height":9}},{"id":"41e1a1a7-8255-4c2f-8933-b02bdf7b725f","block_type":"box","text":"When market quotations are not readily available or are believed by BlackRock to be unreliable, a","page_number":159,"box":{"x":183,"y":634,"width":693,"height":11}},{"id":"52ab4778-af37-4315-8ab5-6e6e079fd6a6","block_type":"box","text":"Fund’s investments are valued at fair value (“Fair Value Assets”). Fair Value Assets are valued by BlackRock in","page_number":159,"box":{"x":70,"y":649,"width":785,"height":12}},{"id":"fd4d8676-cc28-4e89-8d7b-90f89d2074b7","block_type":"box","text":"accordance with the Valuation Procedures. Pursuant to Rule 2a-5 under the Investment Company Act, the Board of","page_number":159,"box":{"x":69,"y":664,"width":816,"height":12}},{"id":"d5749483-89e5-4208-a4b0-c14680e4c285","block_type":"box","text":"Directors has designated BlackRock as the valuation designee for the respective Funds for which it serves as","page_number":159,"box":{"x":70,"y":680,"width":779,"height":11}},{"id":"0a1ec80a-0cb7-449c-af47-d699717cff05","block_type":"box","text":"investment adviser. BlackRock may reasonably conclude that a market quotation is not readily available or is","page_number":159,"box":{"x":70,"y":695,"width":773,"height":11}},{"id":"7d31ab68-bf45-4018-8579-3d773e319b4a","block_type":"box","text":"unreliable if, among other things, a security or other asset or liability does not have a price source due to its","page_number":159,"box":{"x":69,"y":710,"width":772,"height":11}},{"id":"fb3cbd89-9ef0-4efc-859c-01a61abadd7f","block_type":"box","text":"complete lack of trading, if BlackRock believes a market quotation from a broker-dealer or other source is unreliable","page_number":159,"box":{"x":69,"y":725,"width":826,"height":11}},{"id":"2ce4ff40-0548-475e-bac4-94779791d331","block_type":"box","text":"(","page_number":159,"box":{"x":69,"y":740,"width":3,"height":11}},{"id":"c783796d-df5d-4811-b490-3658964d16cd","block_type":"box","text":"e.g.","page_number":159,"box":{"x":74,"y":742,"width":25,"height":9}},{"id":"71aa9148-4c61-4770-a8e9-052d65636468","block_type":"box","text":", where it varies significantly from a recent trade, or no longer reflects the fair value of the security or other asset","page_number":159,"box":{"x":101,"y":740,"width":806,"height":11}},{"id":"2806ee6b-9964-42da-8176-4e87bccfd652","block_type":"box","text":"or liability subsequent to the most recent market quotation), or where the security or other asset or liability is only","page_number":159,"box":{"x":69,"y":755,"width":813,"height":11}},{"id":"fee655b1-de97-4d39-9cfc-946194e5e182","block_type":"box","text":"thinly traded or due to the occurrence of a significant event subsequent to the most recent market quotation. For this","page_number":159,"box":{"x":68,"y":770,"width":837,"height":12}},{"id":"c399eb3f-090b-4867-ac57-2f2ba18270cf","block_type":"box","text":"purpose, a “significant event” is deemed to occur if BlackRock determines, in its reasonable business judgment, that","page_number":159,"box":{"x":70,"y":785,"width":838,"height":12}},{"id":"5dedafd6-bb24-413f-bf73-4e03e1f02995","block_type":"box","text":"an event has occurred after the close of trading for an asset or liability but prior to or at the time of pricing a Fund’s","page_number":159,"box":{"x":69,"y":801,"width":824,"height":11}},{"id":"34796f46-92d5-4a04-9375-fa731773e145","block_type":"box","text":"assets or liabilities, is likely to cause a material change to the last exchange closing price or closing market price of","page_number":159,"box":{"x":69,"y":816,"width":828,"height":11}},{"id":"893ba5bd-8296-4fe8-bacc-f8b8754c5ab2","block_type":"box","text":"one or more assets held by, or liabilities of, the Fund. On any day the NYSE is open and a foreign market or the","page_number":159,"box":{"x":69,"y":831,"width":793,"height":11}},{"id":"0c446414-61e1-4489-98bf-58b3f4af0fbb","block_type":"box","text":"primary exchange on which a foreign asset or liability is traded is closed, such asset or liability will be valued using","page_number":159,"box":{"x":70,"y":846,"width":819,"height":11}},{"id":"3d8925fe-2b7a-4278-bebe-d7280250d446","block_type":"box","text":"the prior day’s price, provided that BlackRock is not aware of any significant event or other information that would","page_number":159,"box":{"x":68,"y":861,"width":810,"height":11}},{"id":"e05308d3-47a4-4959-baa2-68b339a497f7","block_type":"box","text":"cause such price to no longer reflect the fair value of the asset or liability, in which case such asset or liability would","page_number":159,"box":{"x":69,"y":876,"width":828,"height":11}},{"id":"bbe629e3-c773-4ac6-9059-76472a4cc123","block_type":"box","text":"be treated as a Fair Value Asset. For certain foreign assets, a third-party vendor supplies evaluated, systematic fair","page_number":159,"box":{"x":69,"y":891,"width":822,"height":12}},{"id":"f4f242f0-af35-4b9d-9622-806b1453d977","block_type":"box","text":"value pricing based upon the movement of a proprietary multi-factor model after the relevant foreign markets have","page_number":159,"box":{"x":68,"y":906,"width":814,"height":12}},{"id":"a9ac6f4c-eae6-443a-80ce-04566c39267d","block_type":"box","text":"II-123","page_number":159,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"b8ca2406-1c54-4d87-8dff-2c2bb5d5b614","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":159,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"545714a0-8325-459e-b984-aecfc98167eb","block_type":"box","text":"closed. This systematic fair value pricing methodology is designed to correlate the prices of foreign assets in one or","page_number":160,"box":{"x":69,"y":45,"width":827,"height":11}},{"id":"c57e5e6f-738b-4221-9961-6da164532a0f","block_type":"box","text":"more non-U.S. markets following the close of the local markets to the prices that might have prevailed as of a Fund’s","page_number":160,"box":{"x":69,"y":60,"width":834,"height":11}},{"id":"ae18ef7f-e98d-4130-83b2-e9a00c5107d6","block_type":"box","text":"pricing time.","page_number":160,"box":{"x":70,"y":75,"width":85,"height":11}},{"id":"67e6138f-0561-437f-84b4-1b4779ccf3a0","block_type":"box","text":"BlackRock’s Rule 2a-5 Committee is responsible for reviewing and approving methodologies by investment type","page_number":160,"box":{"x":102,"y":98,"width":794,"height":11}},{"id":"83898e78-afb9-44cd-8cf6-3f38afd47310","block_type":"box","text":"and significant inputs used in the fair valuation of Fund assets or liabilities. In addition, the Funds’ accounting agent","page_number":160,"box":{"x":69,"y":113,"width":829,"height":11}},{"id":"5f809722-c873-4ad3-b5e2-ff621e544fee","block_type":"box","text":"assists BlackRock by periodically endeavoring to confirm the prices it receives from all third-party pricing services,","page_number":160,"box":{"x":69,"y":128,"width":813,"height":11}},{"id":"f686c433-6928-4e95-a73c-5a1950b53ac5","block_type":"box","text":"index providers and broker-dealers. BlackRock regularly evaluates the values assigned to the securities and other","page_number":160,"box":{"x":70,"y":143,"width":808,"height":11}},{"id":"9be1305e-6837-4736-ad0b-7fabb44ee0d4","block_type":"box","text":"assets and liabilities of the Funds.","page_number":160,"box":{"x":69,"y":158,"width":245,"height":9}},{"id":"cac967af-7aba-45d0-b17f-bc19d5a3ff06","block_type":"box","text":"When determining the price for a Fair Value Asset, BlackRock will seek to determine the price that a Fund might","page_number":160,"box":{"x":101,"y":181,"width":795,"height":11}},{"id":"0c20dc4a-065f-43f8-bbec-e70cb3a55249","block_type":"box","text":"reasonably expect to receive from the current sale of that asset or liability in an arm’s-length transaction on the date","page_number":160,"box":{"x":69,"y":196,"width":832,"height":11}},{"id":"57e2d2be-5453-47a5-94a2-427b1fbac92c","block_type":"box","text":"on which the asset or liability is being valued, and does not seek to determine the price a Fund might reasonably","page_number":160,"box":{"x":69,"y":211,"width":805,"height":11}},{"id":"1c3f4731-dd31-436f-a990-97480666f6bf","block_type":"box","text":"expect to receive for selling an asset or liability at a later time or if it holds the asset or liability to maturity. Fair value","page_number":160,"box":{"x":69,"y":226,"width":834,"height":11}},{"id":"1182d185-db66-469d-b250-3a71a01d1963","block_type":"box","text":"determinations will be based upon all available factors that BlackRock deems relevant at the time of the","page_number":160,"box":{"x":69,"y":241,"width":744,"height":11}},{"id":"35537a35-5f2e-4e9d-b371-7cba2560652b","block_type":"box","text":"determination, and may be based on analytical values determined by BlackRock using proprietary or third-party","page_number":160,"box":{"x":69,"y":257,"width":791,"height":11}},{"id":"4c9edf28-4781-47c4-aa48-a5021e6092b9","block_type":"box","text":"valuation models.","page_number":160,"box":{"x":68,"y":272,"width":125,"height":8}},{"id":"0165d294-dfaf-451f-bf19-93b6f099be63","block_type":"box","text":"Fair value represents a good faith approximation of the value of an asset or liability. When determining the fair","page_number":160,"box":{"x":102,"y":294,"width":785,"height":11}},{"id":"c7d54cde-83c6-450a-8066-936cbb1a6e8a","block_type":"box","text":"value of an investment, one or more fair value methodologies may be used (depending on certain factors, including","page_number":160,"box":{"x":68,"y":309,"width":822,"height":11}},{"id":"b750597f-19dd-4711-88ed-b40fdbe65a93","block_type":"box","text":"the asset type). For example, the investment may be initially priced based on the original cost of the investment or,","page_number":160,"box":{"x":68,"y":324,"width":820,"height":12}},{"id":"8dec6543-a55f-460e-91f0-1e56a54ca1a8","block_type":"box","text":"alternatively, using proprietary or third-party models that may rely upon one or more unobservable inputs. Prices of","page_number":160,"box":{"x":69,"y":339,"width":818,"height":12}},{"id":"6d57b63a-6f73-4ea0-8f99-50ef5007e650","block_type":"box","text":"actual, executed or historical transactions in the relevant investment (or comparable instruments) or, where","page_number":160,"box":{"x":69,"y":355,"width":766,"height":11}},{"id":"8072745a-476f-4f33-9c74-a9fee9a1f409","block_type":"box","text":"appropriate, an appraisal by a third-party experienced in the valuation of similar instruments, may also be used as a","page_number":160,"box":{"x":69,"y":370,"width":828,"height":11}},{"id":"491a6316-8191-4087-a258-ed283faeb7f0","block_type":"box","text":"basis for establishing the fair value of an investment.","page_number":160,"box":{"x":69,"y":385,"width":378,"height":11}},{"id":"066e2455-249f-4c4b-ab65-b570d0d8f9bd","block_type":"box","text":"The fair value of one or more assets or liabilities may not, in retrospect, be the price at which those assets or","page_number":160,"box":{"x":101,"y":407,"width":784,"height":12}},{"id":"d57edb15-a93a-4b6f-ac68-8c8783470b9b","block_type":"box","text":"liabilities could have been sold during the period in which the particular fair values were used in determining a Fund’s","page_number":160,"box":{"x":70,"y":423,"width":836,"height":11}},{"id":"8fe2c376-a4d8-42b5-bc6d-8748b840ffd9","block_type":"box","text":"NAV. As a result, a Fund’s sale or redemption of its shares at NAV, at a time when a holding or holdings are valued at","page_number":160,"box":{"x":70,"y":438,"width":834,"height":11}},{"id":"e2104f37-2061-4ae3-b51c-90e8ae6880c2","block_type":"box","text":"fair value, may have the effect of diluting or increasing the economic interest of existing shareholders.","page_number":160,"box":{"x":68,"y":453,"width":728,"height":11}},{"id":"b01582b9-37c1-4979-b21b-a1464266ff3e","block_type":"box","text":"Each Fund’s annual audited financial statements, which are prepared in accordance with accounting principles","page_number":160,"box":{"x":102,"y":475,"width":786,"height":12}},{"id":"1b515c1e-58f0-4abb-83b1-e879fe1d4e57","block_type":"box","text":"generally accepted in the United States of America (“US GAAP”), follow the requirements for valuation set forth in","page_number":160,"box":{"x":68,"y":491,"width":809,"height":11}},{"id":"6532e80f-0276-4fca-8280-4ccaffe05758","block_type":"box","text":"Financial Accounting Standards Board Accounting Standards Codification Topic 820, “Fair Value Measurements and","page_number":160,"box":{"x":70,"y":506,"width":821,"height":11}},{"id":"2b1e28a8-582c-4cda-b9f5-2feea2fde290","block_type":"box","text":"Disclosures” (“ASC 820”), which defines and establishes a framework for measuring fair value under US GAAP and","page_number":160,"box":{"x":70,"y":521,"width":818,"height":11}},{"id":"1b320801-5466-4271-ae94-c068d8c90095","block_type":"box","text":"expands financial statement disclosure requirements relating to fair value measurements.","page_number":160,"box":{"x":69,"y":536,"width":641,"height":11}},{"id":"11419e22-479c-49c7-bd7f-ad8f2c057f6d","block_type":"box","text":"Generally, ASC 820 and other accounting rules applicable to funds and various assets in which they invest are","page_number":160,"box":{"x":102,"y":559,"width":786,"height":11}},{"id":"639a1b13-5019-4a66-af76-26350ca960ba","block_type":"box","text":"evolving. Such changes may adversely affect a Fund. For example, the evolution of rules governing the determination","page_number":160,"box":{"x":69,"y":574,"width":832,"height":11}},{"id":"b5a257a6-d89d-4cde-9a9b-276ff704a3b6","block_type":"box","text":"of the fair market value of assets or liabilities, to the extent such rules become more stringent, would tend to","page_number":160,"box":{"x":69,"y":589,"width":780,"height":11}},{"id":"09601f08-40be-4f7d-bef4-1511afd386a3","block_type":"box","text":"increase the cost and/or reduce the availability of third-party determinations of fair market value. This may in turn","page_number":160,"box":{"x":70,"y":604,"width":810,"height":11}},{"id":"ad7ee56c-24ee-4880-b3d7-227be23128fe","block_type":"box","text":"increase the costs associated with selling assets or affect their liquidity due to a Fund’s inability to obtain a third","page_number":160,"box":{"x":70,"y":619,"width":810,"height":11}},{"id":"3194c966-541f-475d-8e66-bc2d807eb361","block_type":"box","text":"party determination of fair market value.","page_number":160,"box":{"x":70,"y":634,"width":285,"height":11}},{"id":"13ee562e-91e4-44cc-989b-5e77140c7518","block_type":"box","text":"Computation of Offering Price Per Share","page_number":160,"box":{"x":69,"y":665,"width":292,"height":11}},{"id":"88f699c1-27eb-4768-adf6-ce43f3891e24","block_type":"box","text":"See “Computation of Offering Price Per Share” in Part I of a Fund’s SAI for an illustration of the computation of","page_number":160,"box":{"x":102,"y":687,"width":791,"height":11}},{"id":"05d821e5-7c1b-4ec1-b03d-7387cd8c2397","block_type":"box","text":"the offering price for shares of your Fund.","page_number":160,"box":{"x":68,"y":702,"width":295,"height":12}},{"id":"6b99d78c-4d18-4d88-a14d-ca59575db650","block_type":"box","text":"PORTFOLIO TRANSACTIONS AND BROKERAGE","page_number":160,"box":{"x":303,"y":732,"width":373,"height":10}},{"id":"5b2be127-93d8-47ed-a321-b513cd19e6a9","block_type":"box","text":"Transactions in Portfolio Securities","page_number":160,"box":{"x":68,"y":762,"width":257,"height":9}},{"id":"85a30edc-ee69-4a36-b629-b25238bc5f1f","block_type":"box","text":"Subject to policies established by the Board of Directors, BlackRock is primarily responsible for the execution of","page_number":160,"box":{"x":102,"y":785,"width":798,"height":11}},{"id":"06d2838c-711e-480f-8c1f-de84a35a5af0","block_type":"box","text":"a Fund’s portfolio transactions and the allocation of brokerage. BlackRock does not execute transactions through any","page_number":160,"box":{"x":69,"y":800,"width":839,"height":11}},{"id":"e4dd0895-b687-4f2e-8e63-17853d79de55","block_type":"box","text":"particular broker or dealer, but seeks to obtain the best net results for the Fund, taking into account certain factors","page_number":160,"box":{"x":70,"y":815,"width":822,"height":11}},{"id":"558bd064-a2fa-40d8-a52b-ab1385b5afbd","block_type":"box","text":"set out below. While BlackRock generally seeks reasonable trade execution costs, a Fund does not necessarily pay","page_number":160,"box":{"x":69,"y":830,"width":820,"height":11}},{"id":"ed033eea-9865-4ddb-b55f-b17549cf89c0","block_type":"box","text":"the lowest spread or commission available, and payment of the lowest commission or spread is not necessarily","page_number":160,"box":{"x":68,"y":845,"width":798,"height":11}},{"id":"6832794c-67b1-4496-9d3a-4439445116a2","block_type":"box","text":"consistent with obtaining the best price and execution in particular transactions. Subject to applicable legal","page_number":160,"box":{"x":69,"y":860,"width":765,"height":12}},{"id":"5d9dc443-0525-4c9e-ba6e-61e6d2096d5c","block_type":"box","text":"requirements, BlackRock may select a broker based partly upon brokerage or research services provided to","page_number":160,"box":{"x":69,"y":876,"width":768,"height":11}},{"id":"01b2d950-8c47-4495-a46b-41f2b308ad42","block_type":"box","text":"BlackRock and its clients, including a Fund. In return for such services, BlackRock may cause a Fund to pay a higher","page_number":160,"box":{"x":70,"y":891,"width":830,"height":11}},{"id":"04b90e94-9672-4e66-ada8-096fdab15048","block_type":"box","text":"II-124","page_number":160,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"b8642fd3-b927-4e1c-9999-fcc09e6c9b1a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":160,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d5e2974f-9b8f-47ab-9033-304af195acf7","block_type":"box","text":"commission than other brokers would charge if BlackRock determines in good faith that the commission is","page_number":161,"box":{"x":69,"y":45,"width":760,"height":11}},{"id":"9b1e4eb2-d7f2-4cd3-a0e2-c28744b615cd","block_type":"box","text":"reasonable in relation to the services provided.","page_number":161,"box":{"x":69,"y":60,"width":336,"height":11}},{"id":"02614084-c887-43c2-b065-db48058fe3e2","block_type":"box","text":"In the case of Feeder Funds, because each Feeder Fund generally invests exclusively in beneficial interests of a","page_number":161,"box":{"x":102,"y":82,"width":794,"height":12}},{"id":"99cbf173-57d9-4d16-9fdd-c712caca033c","block_type":"box","text":"Master Portfolio, it is expected that all transactions in portfolio securities will be entered into by the Master Portfolio.","page_number":161,"box":{"x":70,"y":98,"width":835,"height":11}},{"id":"4cba5b3e-c190-4118-bfb8-44a9a2bd41a0","block_type":"box","text":"In selecting brokers or dealers to execute portfolio transactions, the Manager and sub-advisers seek to obtain","page_number":161,"box":{"x":102,"y":120,"width":784,"height":12}},{"id":"454dd013-8001-4cd7-8799-7f2809c35126","block_type":"box","text":"the best price and most favorable execution for a Fund, taking into account a variety of factors including: (i) the size,","page_number":161,"box":{"x":68,"y":135,"width":829,"height":12}},{"id":"28e6e9db-0430-4751-bd13-ab3d832cbc23","block_type":"box","text":"nature and character of the security or instrument being traded and the markets in which it is purchased or sold;","page_number":161,"box":{"x":69,"y":150,"width":802,"height":12}},{"id":"1c9d365c-e301-4eae-9e86-51bf3f2d2952","block_type":"box","text":"(ii) the desired timing of the transaction; (iii) BlackRock’s knowledge of the expected commission rates and spreads","page_number":161,"box":{"x":69,"y":166,"width":826,"height":11}},{"id":"22419e59-3e66-4963-a663-a883e5071352","block_type":"box","text":"currently available; (iv) the activity existing and expected in the market for the particular security or instrument,","page_number":161,"box":{"x":69,"y":181,"width":789,"height":11}},{"id":"1f3b2311-6009-49bf-8008-8c539db43c05","block_type":"box","text":"including any anticipated execution difficulties; (v) the full range of brokerage services provided; (vi) the broker’s or","page_number":161,"box":{"x":70,"y":196,"width":818,"height":11}},{"id":"733729b8-4dd3-4943-8160-be24199feaca","block_type":"box","text":"dealer’s capital; (vii) the quality of research and research services provided; (viii) the reasonableness of the","page_number":161,"box":{"x":69,"y":211,"width":769,"height":11}},{"id":"e42820e2-a0d7-41dc-95b1-9802bbfa29cc","block_type":"box","text":"commission, dealer spread or its equivalent for the specific transaction; and (ix) BlackRock’s knowledge of any actual","page_number":161,"box":{"x":69,"y":226,"width":837,"height":11}},{"id":"f9db532a-ffc2-4c92-a9ca-7e118ef0fb23","block_type":"box","text":"or apparent operational problems of a broker or dealer.","page_number":161,"box":{"x":69,"y":241,"width":391,"height":11}},{"id":"28e22875-3329-4b34-94da-140c7f86dc35","block_type":"box","text":"Section 28(e) of the Exchange Act (“Section 28(e)”) permits an investment adviser, under certain circumstances","page_number":161,"box":{"x":102,"y":264,"width":801,"height":11}},{"id":"a120b61b-9a2b-4139-9c24-7c6d5041a0dc","block_type":"box","text":"to cause an account to pay a broker or dealer a commission for effecting a transaction that exceeds the amount","page_number":161,"box":{"x":68,"y":279,"width":802,"height":11}},{"id":"63332f92-2bfb-466c-a3a8-c58acef85bd4","block_type":"box","text":"another broker or dealer would have charged for effecting the same transaction in recognition of the value of","page_number":161,"box":{"x":69,"y":294,"width":775,"height":11}},{"id":"99ec2e11-20c2-47da-b7e7-67bbd271f347","block_type":"box","text":"brokerage and research services provided by that broker or dealer. This includes commissions paid on riskless","page_number":161,"box":{"x":69,"y":309,"width":790,"height":11}},{"id":"47e80aea-5806-4b6c-a119-3aa62869f54e","block_type":"box","text":"principal transactions under certain conditions. Brokerage and research services include: (1) furnishing advice as to","page_number":161,"box":{"x":70,"y":324,"width":827,"height":12}},{"id":"fe250f95-49e7-4186-9033-e39a8e7f8f57","block_type":"box","text":"the value of securities, including pricing and appraisal advice, credit analysis, risk measurement analysis,","page_number":161,"box":{"x":68,"y":339,"width":753,"height":12}},{"id":"dc304aed-2cac-48c7-8919-60a219c7a286","block_type":"box","text":"performance and other analysis, as well as the advisability of investing in, purchasing or selling securities, and the","page_number":161,"box":{"x":70,"y":355,"width":818,"height":11}},{"id":"d24f7656-47dd-4894-bf92-993116922e1c","block_type":"box","text":"availability of securities or purchasers or sellers of securities; (2) furnishing analyses and reports concerning issuers,","page_number":161,"box":{"x":69,"y":370,"width":837,"height":11}},{"id":"8be67066-ddf1-403d-9603-59709de39146","block_type":"box","text":"industries, securities, economic factors and trends, portfolio strategy, and the performance of accounts; and","page_number":161,"box":{"x":70,"y":385,"width":775,"height":11}},{"id":"cde072f7-3158-47b5-93ef-670f4c5c27c1","block_type":"box","text":"(3) effecting securities transactions and performing functions incidental to securities transactions (such as","page_number":161,"box":{"x":69,"y":400,"width":764,"height":11}},{"id":"21605d08-f963-4123-8803-99c09bb61a66","block_type":"box","text":"clearance, settlement, and custody). BlackRock believes that access to independent investment research is","page_number":161,"box":{"x":69,"y":415,"width":770,"height":11}},{"id":"5e5ddcdd-a88d-410d-81c3-f1514b1b5f30","block_type":"box","text":"beneficial to its investment decision-making processes and, therefore, to the Funds.","page_number":161,"box":{"x":69,"y":430,"width":599,"height":11}},{"id":"4f5739e5-da9f-4ca6-a8b7-ad788126d776","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may participate in client commission arrangements under which","page_number":161,"box":{"x":102,"y":453,"width":796,"height":11}},{"id":"1acc5989-dfde-406f-bdd3-379eba020c9f","block_type":"box","text":"BlackRock may execute transactions through a broker-dealer and request that the broker-dealer allocate a portion of","page_number":161,"box":{"x":70,"y":468,"width":829,"height":11}},{"id":"6f945885-3a40-491e-bf26-725991498bb9","block_type":"box","text":"the commissions or commission credits to another firm that provides research to BlackRock. BlackRock believes that","page_number":161,"box":{"x":68,"y":483,"width":839,"height":11}},{"id":"de7b5b92-91a6-4b55-9d0a-a37dd13c3484","block_type":"box","text":"research services obtained through soft dollar or commission sharing arrangements enhance its investment decision","page_number":161,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"263db8be-60f0-4507-8962-a8f1fe297d0a","block_type":"box","text":"making capabilities, thereby increasing the prospects for higher investment returns. BlackRock will engage only in","page_number":161,"box":{"x":69,"y":513,"width":809,"height":12}},{"id":"bd9b0f09-677d-4639-89ac-d87ef7dc94c9","block_type":"box","text":"soft dollar or commission sharing transactions that comply with the requirements of Section 28(e). Certain Funds","page_number":161,"box":{"x":69,"y":528,"width":808,"height":12}},{"id":"267faee1-6324-4def-bfd1-bc8186e4fef4","block_type":"box","text":"may be subject to additional regulations, including MiFID II. Under MiFID II, EU investment managers, including BIL,","page_number":161,"box":{"x":69,"y":544,"width":818,"height":11}},{"id":"3e65bbff-ca5f-4c82-afee-a89adcf85e88","block_type":"box","text":"pay for any research out of their own resources and not through soft dollars or commission sharing arrangements.","page_number":161,"box":{"x":70,"y":559,"width":813,"height":11}},{"id":"099c4488-5d52-47d2-906c-3f9b8045a3ae","block_type":"box","text":"BlackRock regularly evaluates the soft dollar products and services utilized, as well as the overall soft dollar and","page_number":161,"box":{"x":70,"y":574,"width":801,"height":11}},{"id":"7ea59767-b2e7-4bf8-a915-d8e3629a8e22","block_type":"box","text":"commission sharing arrangements to ensure that trades are executed by firms that are regarded as best able to","page_number":161,"box":{"x":69,"y":589,"width":802,"height":11}},{"id":"5b8c91bc-ab48-45f7-95bf-5a8506b5dcf1","block_type":"box","text":"execute trades for client accounts, while at the same time providing access to the research and other services","page_number":161,"box":{"x":69,"y":604,"width":790,"height":11}},{"id":"e6c5663a-8c61-40d0-909c-fde56f322674","block_type":"box","text":"BlackRock views as impactful to its trading results.","page_number":161,"box":{"x":70,"y":619,"width":361,"height":11}},{"id":"8c9b8ee8-a61a-4547-a283-8b731916a23a","block_type":"box","text":"BlackRock, unless prohibited by applicable law, may utilize soft dollars and related services, including research","page_number":161,"box":{"x":102,"y":642,"width":791,"height":11}},{"id":"921fe755-b12d-4cee-a2e9-cd1fff925054","block_type":"box","text":"(whether prepared by the broker-dealer or prepared by a third-party and provided to BlackRock by the broker-dealer)","page_number":161,"box":{"x":69,"y":657,"width":819,"height":11}},{"id":"c25b47b1-1775-4043-9137-3098fcf0cf06","block_type":"box","text":"and execution or brokerage services within applicable rules and BlackRock’s policies to the extent that such","page_number":161,"box":{"x":69,"y":672,"width":772,"height":11}},{"id":"164c7516-af61-47b0-a54a-74c4bb5ff17c","block_type":"box","text":"permitted services do not compromise BlackRock’s ability to seek to obtain best execution. In this regard, the","page_number":161,"box":{"x":70,"y":687,"width":785,"height":11}},{"id":"a64e2826-97d1-473d-b164-d73dd4ad50fa","block_type":"box","text":"portfolio management investment and/or trading teams may consider a variety of factors, including the degree to","page_number":161,"box":{"x":70,"y":702,"width":806,"height":12}},{"id":"f628725c-04a3-44d0-b42b-7e9572e6ed64","block_type":"box","text":"which the broker-dealer: (a) provides access to company management; (b) provides access to their analysts;","page_number":161,"box":{"x":68,"y":718,"width":772,"height":11}},{"id":"6177d27c-9a26-44a0-81d3-d2604863b611","block_type":"box","text":"(c) provides meaningful/insightful research notes on companies or other potential investments; (d) facilitates calls on","page_number":161,"box":{"x":69,"y":732,"width":838,"height":12}},{"id":"ef9c7221-3392-4981-a2ac-8cd8e922c404","block_type":"box","text":"which meaningful or insightful ideas about companies or potential investments are discussed; (e) facilitates","page_number":161,"box":{"x":68,"y":748,"width":769,"height":11}},{"id":"ca193f2e-5e87-424e-afd5-8478d542787f","block_type":"box","text":"conferences at which meaningful or insightful ideas about companies or potential investments are discussed; or","page_number":161,"box":{"x":69,"y":763,"width":801,"height":11}},{"id":"a0c08341-bf78-435c-b0ae-294eb6d0e2ca","block_type":"box","text":"(f) provides research tools such as market data, financial analysis, and other third-party related research and","page_number":161,"box":{"x":69,"y":778,"width":778,"height":11}},{"id":"047ccf7b-393e-4c2a-91a1-2767ec6e7fc0","block_type":"box","text":"brokerage tools that aid in the investment process.","page_number":161,"box":{"x":69,"y":793,"width":363,"height":11}},{"id":"ec4492df-5b89-43a6-a7b3-80c20cf01e5e","block_type":"box","text":"Research-oriented services for which BlackRock, unless prohibited by applicable law, might pay with Fund","page_number":161,"box":{"x":102,"y":816,"width":749,"height":11}},{"id":"73f23a2e-3d4a-428f-a408-7bc98b094f84","block_type":"box","text":"commissions may be in written form or through direct contact with individuals and may include information as to","page_number":161,"box":{"x":69,"y":831,"width":799,"height":11}},{"id":"05ebc3e8-d470-4264-9710-8ba2ad81bfd6","block_type":"box","text":"particular companies or industries and securities or groups of securities, as well as market, economic, or","page_number":161,"box":{"x":70,"y":846,"width":752,"height":11}},{"id":"b88541f5-c742-4fc2-a2ae-59d0f47e648d","block_type":"box","text":"institutional advice and statistical information, political developments and technical market information that assists","page_number":161,"box":{"x":70,"y":861,"width":823,"height":11}},{"id":"83ea471a-ba9e-4a28-9dd6-7d81b6e9d5b4","block_type":"box","text":"in the valuation of investments. Except as noted immediately below, research services furnished by brokers may be","page_number":161,"box":{"x":70,"y":876,"width":822,"height":11}},{"id":"ad5d36dc-55d1-4f94-974a-cf7c2c625c01","block_type":"box","text":"used in servicing some or all client accounts and not all services may be used in connection with the Fund or account","page_number":161,"box":{"x":69,"y":891,"width":840,"height":12}},{"id":"0b46c1e8-5e5c-46e5-802d-8ff4f3c5a14a","block_type":"box","text":"that paid commissions to the broker providing such services. In some cases, research information received from","page_number":161,"box":{"x":68,"y":906,"width":805,"height":12}},{"id":"2e2083c3-7c5c-425a-8daa-cc46b4b063fb","block_type":"box","text":"II-125","page_number":161,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"a2a0717e-2a3c-4236-b602-4376bfd71843","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":161,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a185b3d1-949e-49d7-b993-e94585952a8a","block_type":"box","text":"brokers by mutual fund management personnel, or personnel principally responsible for BlackRock’s individually","page_number":162,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"ca15569e-17f8-4251-a961-6aaadbc8a0fb","block_type":"box","text":"managed portfolios, is not necessarily shared by and between such personnel. Any investment advisory or other fees","page_number":162,"box":{"x":69,"y":60,"width":836,"height":11}},{"id":"d93f194e-16ef-4789-bc17-e606bcd95524","block_type":"box","text":"paid by a Fund to BlackRock are not reduced as a result of BlackRock’s receipt of research services. In some cases,","page_number":162,"box":{"x":70,"y":75,"width":832,"height":11}},{"id":"52cc78b7-ca3d-455e-baa5-ea1f4d8815af","block_type":"box","text":"BlackRock may receive a service from a broker that has both a “research” and a “non-research” use. When this","page_number":162,"box":{"x":70,"y":90,"width":798,"height":11}},{"id":"c3bfefd4-337a-48b8-b927-59f1059ee77b","block_type":"box","text":"occurs BlackRock makes a good faith allocation, under all the circumstances, between the research and non","page_number":162,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"d3bac20f-1994-4dd6-878f-8469895006a0","block_type":"box","text":"research uses of the service. The percentage of the service that is used for research purposes may be paid for with","page_number":162,"box":{"x":69,"y":120,"width":827,"height":12}},{"id":"682863d5-1639-46f0-a1b4-e69f9fb0e96d","block_type":"box","text":"client commissions, while BlackRock will use its own funds to pay for the percentage of the service that is used for","page_number":162,"box":{"x":69,"y":135,"width":821,"height":12}},{"id":"270d5260-1abb-48ce-8c26-8f82e45b3d61","block_type":"box","text":"non-research purposes. In making this good faith allocation, BlackRock faces a potential conflict of interest, but","page_number":162,"box":{"x":69,"y":150,"width":797,"height":12}},{"id":"ae2e254d-1ec8-4b32-ae2a-9086872dca7f","block_type":"box","text":"BlackRock believes that its allocation procedures are reasonably designed to ensure that it appropriately allocates","page_number":162,"box":{"x":70,"y":166,"width":815,"height":11}},{"id":"c8a3d10f-45dc-458e-9f45-39db0d2ecd4e","block_type":"box","text":"the anticipated use of such services to their research and non-research uses.","page_number":162,"box":{"x":68,"y":181,"width":555,"height":11}},{"id":"4df47346-67d2-4c3e-be14-311be0aff91f","block_type":"box","text":"Under MiFID II, investment managers in the EU, including BIL, are not able to use soft dollars to pay for research","page_number":162,"box":{"x":102,"y":203,"width":802,"height":12}},{"id":"0ad00b57-c9fb-4424-8ec5-b4872c2cc40b","block_type":"box","text":"from brokers. Investment managers in the EU are required to either pay for research out of their own profit and loss","page_number":162,"box":{"x":68,"y":218,"width":825,"height":12}},{"id":"3eeb4180-36ed-4cc0-b598-194bcbd9a3f3","block_type":"box","text":"or agree with clients to have research costs paid by clients through research payment accounts that are directly","page_number":162,"box":{"x":69,"y":234,"width":798,"height":11}},{"id":"75c89622-d514-4b5c-8d5f-92c787738907","block_type":"box","text":"funded or funded by a specific client research charge collected alongside execution commissions, provided that the","page_number":162,"box":{"x":68,"y":249,"width":824,"height":11}},{"id":"d33a2e60-51e3-4680-8af2-da210988970c","block_type":"box","text":"payments for research are unbundled from the payments for execution. BIL will pay for any research out of its own","page_number":162,"box":{"x":70,"y":264,"width":812,"height":11}},{"id":"9c4a9481-69fe-4ca2-9d3f-be46818b858a","block_type":"box","text":"resources and not through soft dollars or commission sharing arrangements.","page_number":162,"box":{"x":69,"y":279,"width":547,"height":11}},{"id":"f354379d-ab80-4366-98b2-004683fc3a07","block_type":"box","text":"Payments of commissions to brokers who are affiliated persons of the Fund, or the Master Portfolio with respect","page_number":162,"box":{"x":102,"y":302,"width":804,"height":11}},{"id":"6e94e934-0972-4e87-a457-dba03f93b6f7","block_type":"box","text":"to the Feeder Fund (or affiliated persons of such persons), will be made in accordance with Rule 17e-1 under the","page_number":162,"box":{"x":68,"y":317,"width":806,"height":11}},{"id":"4c21764a-ed3a-4659-8f56-85cefb418950","block_type":"box","text":"Investment Company Act. Subject to policies established by the Board of Directors of the Master Portfolio, BlackRock","page_number":162,"box":{"x":70,"y":332,"width":836,"height":11}},{"id":"607b70e3-1583-4faf-9eec-827f9cbeb7bc","block_type":"box","text":"is primarily responsible for the execution of the Master Portfolio’s portfolio transactions and the allocation of","page_number":162,"box":{"x":70,"y":347,"width":777,"height":11}},{"id":"8619c936-5d34-4133-a1ad-9237dc3815d2","block_type":"box","text":"brokerage.","page_number":162,"box":{"x":69,"y":362,"width":74,"height":11}},{"id":"37606ce3-b317-4585-8ee6-040482c5bae5","block_type":"box","text":"From time to time, a Fund may purchase new issues of securities in a fixed price offering. In these situations,","page_number":162,"box":{"x":102,"y":385,"width":781,"height":11}},{"id":"78d9e520-f33b-45e5-848f-2a09e0b69d34","block_type":"box","text":"the broker may be a member of the selling group that will, in addition to selling securities, provide BlackRock with","page_number":162,"box":{"x":68,"y":400,"width":810,"height":11}},{"id":"b5e898b0-a2e4-4897-b9fe-9542d2ce1d91","block_type":"box","text":"research services. FINRA has adopted rules expressly permitting these types of arrangements under certain","page_number":162,"box":{"x":69,"y":415,"width":771,"height":11}},{"id":"28b88686-d3a4-4408-b9b8-e5c68060c75a","block_type":"box","text":"circumstances. Generally, the broker will provide research “credits” in these situations at a rate that is higher than","page_number":162,"box":{"x":69,"y":430,"width":818,"height":11}},{"id":"9d8adeb6-3402-4269-91fe-9b0c0d8f7b5b","block_type":"box","text":"that available for typical secondary market transactions. These arrangements may not fall within the safe harbor of","page_number":162,"box":{"x":68,"y":445,"width":821,"height":12}},{"id":"dc2ec2a8-fb7f-4610-ad14-54d6c69d4390","block_type":"box","text":"Section 28(e).","page_number":162,"box":{"x":69,"y":460,"width":99,"height":11}},{"id":"28819f0d-4d0d-4c5c-844e-8b15806d617f","block_type":"box","text":"BlackRock does not consider sales of shares of the mutual funds it advises as a factor in the selection of","page_number":162,"box":{"x":102,"y":483,"width":755,"height":9}},{"id":"b3150aa5-d10c-46ef-9fac-33b08bcdb3bb","block_type":"box","text":"brokers or dealers to execute portfolio transactions for a Fund; however, whether or not a particular broker or dealer","page_number":162,"box":{"x":69,"y":498,"width":828,"height":11}},{"id":"39fb45b4-b544-4876-8565-5f0f1e09f227","block_type":"box","text":"sells shares of the mutual funds advised by BlackRock neither qualifies nor disqualifies such broker or dealer to","page_number":162,"box":{"x":69,"y":513,"width":799,"height":11}},{"id":"56e90a5b-955c-4db5-bff0-9aa646e031d3","block_type":"box","text":"execute transactions for those mutual funds.","page_number":162,"box":{"x":69,"y":528,"width":319,"height":9}},{"id":"14a8d34e-4278-4712-94b1-6fb97a4e6cb4","block_type":"box","text":"Each Fund anticipates that its brokerage transactions involving foreign securities generally will be conducted","page_number":162,"box":{"x":102,"y":551,"width":770,"height":11}},{"id":"82d15130-00f4-46a8-ab5a-682492aa6b86","block_type":"box","text":"primarily on the principal stock exchanges of the applicable country. Foreign equity securities may be held by a Fund","page_number":162,"box":{"x":70,"y":566,"width":825,"height":11}},{"id":"d62def46-4019-43d5-842b-2f675e04fcae","block_type":"box","text":"in the form of depositary receipts, or other securities convertible into foreign equity securities. Depositary receipts","page_number":162,"box":{"x":70,"y":581,"width":816,"height":12}},{"id":"216596c9-5341-42a2-8efc-2be18a5e984c","block_type":"box","text":"may be listed on stock exchanges, or traded in OTC markets in the United States or Europe, as the case may be.","page_number":162,"box":{"x":69,"y":597,"width":805,"height":11}},{"id":"2f17191b-0c58-414d-bbd7-48f467ef590a","block_type":"box","text":"American Depositary Receipts, like other securities traded in the United States, will be subject to negotiated","page_number":162,"box":{"x":68,"y":612,"width":773,"height":11}},{"id":"ec351d43-7d74-4aef-a4f3-b2ebe66d97fd","block_type":"box","text":"commission rates. Because the shares of each Fund are redeemable on a daily basis in U.S. dollars, each Fund","page_number":162,"box":{"x":69,"y":627,"width":798,"height":11}},{"id":"b51d7fd1-8126-43bd-9e80-735419a28995","block_type":"box","text":"intends to manage its portfolio so as to give reasonable assurance that it will be able to obtain U.S. dollars to the","page_number":162,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"f2ecc547-16cc-4f00-ae3a-4a752ced9fe9","block_type":"box","text":"extent necessary to meet anticipated redemptions. Under present conditions, it is not believed that these","page_number":162,"box":{"x":69,"y":657,"width":754,"height":11}},{"id":"29505160-6eac-4a78-a73b-3341da67e9f1","block_type":"box","text":"considerations will have a significant effect on a Fund’s portfolio strategies.","page_number":162,"box":{"x":69,"y":672,"width":540,"height":11}},{"id":"8a986c3a-74dc-46b0-83f0-5bf34ff096e9","block_type":"box","text":"See “Portfolio Transactions and Brokerage” in the SAI for information about the brokerage commissions paid by","page_number":162,"box":{"x":102,"y":695,"width":798,"height":11}},{"id":"dc02bf67-7586-4d21-a641-4c417f67c609","block_type":"box","text":"your Fund, including commissions paid to affiliates, if any, for the periods indicated.","page_number":162,"box":{"x":68,"y":710,"width":597,"height":11}},{"id":"79951d86-da63-427f-a218-67bdc73a69a2","block_type":"box","text":"Each Fund may invest in certain securities traded in the OTC market and intends to deal directly with the dealers","page_number":162,"box":{"x":102,"y":733,"width":802,"height":11}},{"id":"fa24797d-c408-4264-89a0-160c59968913","block_type":"box","text":"who make a market in the particular securities, except in those circumstances in which better prices and execution","page_number":162,"box":{"x":68,"y":748,"width":822,"height":11}},{"id":"a8686dff-9a77-41bf-90c4-5f7b481e35c5","block_type":"box","text":"are available elsewhere. Under the Investment Company Act, persons affiliated with a Fund and persons who are","page_number":162,"box":{"x":69,"y":763,"width":804,"height":11}},{"id":"6ff37fb5-88d4-47ae-b6a4-714ea4c5a75b","block_type":"box","text":"affiliated with such affiliated persons are prohibited from dealing with the Fund as principal in the purchase and sale","page_number":162,"box":{"x":69,"y":778,"width":832,"height":11}},{"id":"5d7acbf9-1449-4cae-9dad-79e56ad4d664","block_type":"box","text":"of securities unless a permissive order allowing such transactions is obtained from the Commission. Since","page_number":162,"box":{"x":69,"y":793,"width":762,"height":11}},{"id":"fb785778-932d-4ee4-9f03-f7024afca61c","block_type":"box","text":"transactions in the OTC market usually involve transactions with the dealers acting as principal for their own","page_number":162,"box":{"x":68,"y":808,"width":770,"height":11}},{"id":"25130305-93a8-4bca-859b-395c152a6e67","block_type":"box","text":"accounts, the Funds will not deal with affiliated persons in connection with such transactions. However, an affiliated","page_number":162,"box":{"x":69,"y":823,"width":828,"height":11}},{"id":"56d1d37d-ed10-4633-bf9d-b803d649307f","block_type":"box","text":"person of a Fund may serve as its broker in OTC transactions conducted on an agency basis provided that, among","page_number":162,"box":{"x":70,"y":838,"width":814,"height":12}},{"id":"750e7d3d-b6d3-4868-ac79-b482842f5010","block_type":"box","text":"other things, the fee or commission received by such affiliated broker is reasonable and fair compared to the fee or","page_number":162,"box":{"x":69,"y":853,"width":825,"height":12}},{"id":"cc31703a-a7fb-4ecc-af53-f789fd7e370b","block_type":"box","text":"commission received by non-affiliated brokers in connection with comparable transactions.","page_number":162,"box":{"x":69,"y":869,"width":645,"height":11}},{"id":"2675440c-507f-45f6-8bf6-04ecb487642f","block_type":"box","text":"OTC issues, including most fixed-income securities such as corporate debt and U.S. Government Securities, are","page_number":162,"box":{"x":102,"y":891,"width":797,"height":12}},{"id":"f088726d-3ae2-4a38-aa74-ca644bd1d8cb","block_type":"box","text":"normally traded on a “net” basis without a stated commission, through dealers acting for their own account and not","page_number":162,"box":{"x":69,"y":906,"width":826,"height":12}},{"id":"0290afdc-6627-47b0-80cd-abf7cbc6d9c8","block_type":"box","text":"II-126","page_number":162,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"567a76cf-1a29-4c4a-a044-3e135f429e07","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":162,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"3fd6bfff-98fe-4a92-bb0c-e849bc417ae5","block_type":"box","text":"as brokers. The Funds will primarily engage in transactions with these dealers or deal directly with the issuer unless a","page_number":163,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"b457377a-e0c9-4b73-a96e-f3279216944f","block_type":"box","text":"better price or execution could be obtained by using a broker. Prices paid to a dealer with respect to both foreign and","page_number":163,"box":{"x":69,"y":60,"width":833,"height":11}},{"id":"a6d906a5-04c4-447d-8479-a0c1edfddca2","block_type":"box","text":"domestic securities will generally include a “spread,” which is the difference between the prices at which the dealer","page_number":163,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"26b6a1e2-0631-412d-be27-3505b667db40","block_type":"box","text":"is willing to purchase and sell the specific security at the time, and includes the dealer’s normal profit.","page_number":163,"box":{"x":70,"y":90,"width":730,"height":11}},{"id":"8c2ba305-9b81-4c2a-89eb-279a95dec15d","block_type":"box","text":"Purchases of money market instruments by a Fund are made from dealers, underwriters and issuers. The Funds","page_number":163,"box":{"x":102,"y":113,"width":800,"height":11}},{"id":"98bc9cdc-e97a-4fe0-adf8-72756f6c61ca","block_type":"box","text":"do not currently expect to incur any brokerage commission expense on such transactions because money market","page_number":163,"box":{"x":69,"y":128,"width":807,"height":11}},{"id":"f2dea659-d6c3-49db-b842-45b811420b33","block_type":"box","text":"instruments are generally traded on a “net” basis with dealers acting as principal for their own accounts without a","page_number":163,"box":{"x":70,"y":143,"width":812,"height":11}},{"id":"236efc32-63f2-4313-a8a4-5285def77806","block_type":"box","text":"stated commission. The price of the security, however, usually includes a profit to the dealer. Each money market","page_number":163,"box":{"x":69,"y":158,"width":807,"height":11}},{"id":"f9a36c7a-ca05-4ebe-b68f-a4db9010c9e6","block_type":"box","text":"fund intends to purchase only securities with remaining maturities of 397 days or less as determined in accordance","page_number":163,"box":{"x":68,"y":173,"width":827,"height":11}},{"id":"840cff27-cd92-4ca2-8a22-ffdf232ebbd7","block_type":"box","text":"with the rules of the Commission. As a result, the portfolio turnover rates of a money market fund will be relatively","page_number":163,"box":{"x":68,"y":188,"width":817,"height":11}},{"id":"5a7192c1-be1b-412f-b4fe-81e4a5922f84","block_type":"box","text":"high. However, because brokerage commissions will not normally be paid with respect to investments made by a","page_number":163,"box":{"x":69,"y":204,"width":802,"height":11}},{"id":"f5b60703-c2c5-45d2-b9bc-889cb3f9da0b","block_type":"box","text":"money market fund, the turnover rates should not adversely affect the Fund’s NAVs or net income.","page_number":163,"box":{"x":69,"y":218,"width":700,"height":12}},{"id":"1634fc60-318f-421f-bfcf-b1bc8800c62e","block_type":"box","text":"Securities purchased in underwritten offerings include a fixed amount of compensation to the underwriter,","page_number":163,"box":{"x":102,"y":241,"width":756,"height":11}},{"id":"8c12d783-a520-4ee4-b13e-ea9fc98203ce","block_type":"box","text":"generally referred to as the underwriter’s concession or discount. When offered securities are purchased or sold","page_number":163,"box":{"x":68,"y":256,"width":804,"height":12}},{"id":"89e53a74-c655-4f2b-9dbe-b0753291fa98","block_type":"box","text":"directly from or to an issuer, no commissions or discounts are paid except where required by local markets.","page_number":163,"box":{"x":69,"y":271,"width":766,"height":12}},{"id":"bea44f6e-cf93-41e4-a216-68a37762914f","block_type":"box","text":"The Manager or sub-advisers may seek to obtain an undertaking from issuers of commercial paper or dealers","page_number":163,"box":{"x":101,"y":294,"width":780,"height":11}},{"id":"7930b219-e42a-430b-91b2-b85c117417f3","block_type":"box","text":"selling commercial paper to consider the repurchase of such securities from a Fund prior to maturity at their original","page_number":163,"box":{"x":69,"y":309,"width":826,"height":11}},{"id":"9867944d-f98e-4e69-8caf-cd3afe098d05","block_type":"box","text":"cost plus interest (sometimes adjusted to reflect the actual maturity of the securities), if it believes that a Fund’s","page_number":163,"box":{"x":69,"y":324,"width":806,"height":11}},{"id":"f8bf3402-8dc4-475b-86be-0ff6e2e5e139","block_type":"box","text":"anticipated need for liquidity makes such action desirable. Any such repurchase prior to maturity reduces the","page_number":163,"box":{"x":69,"y":339,"width":776,"height":12}},{"id":"33d14805-7818-4da4-8936-5b1f63656053","block_type":"box","text":"possibility that a Fund would incur a capital loss in liquidating commercial paper, especially if interest rates have","page_number":163,"box":{"x":70,"y":355,"width":800,"height":11}},{"id":"d9ba3491-a280-4495-a930-820a139e1528","block_type":"box","text":"risen since acquisition of such commercial paper.","page_number":163,"box":{"x":69,"y":370,"width":352,"height":11}},{"id":"b73588dc-4acb-45cc-b76f-2b19a515af2b","block_type":"box","text":"Investment decisions for each Fund and for other investment accounts managed by the Manager or sub-advisers","page_number":163,"box":{"x":102,"y":392,"width":800,"height":12}},{"id":"d25231fc-7523-4021-854e-1a8429a70120","block_type":"box","text":"are made independently of each other in light of differing conditions. BlackRock allocates investments among client","page_number":163,"box":{"x":69,"y":407,"width":824,"height":12}},{"id":"1717bf42-7182-4e92-a3b0-dd5015b584ec","block_type":"box","text":"accounts in a fair and equitable manner over time. A variety of factors will be considered in making such allocations.","page_number":163,"box":{"x":69,"y":423,"width":828,"height":11}},{"id":"8fecfce9-f524-42a4-8f52-5c2f4900f24b","block_type":"box","text":"These factors include: (i) investment objectives or strategies for particular accounts, including sector, industry,","page_number":163,"box":{"x":68,"y":438,"width":788,"height":11}},{"id":"8c623367-490f-45c6-8a51-30c666c638a0","block_type":"box","text":"country or region and capitalization weightings, (ii) tax considerations of an account, (iii) risk or investment","page_number":163,"box":{"x":69,"y":453,"width":759,"height":11}},{"id":"2f973044-d1d5-4832-a460-d98ed92b0c0a","block_type":"box","text":"concentration parameters for an account, (iv) supply or demand for a security at a given price level, (v) size of","page_number":163,"box":{"x":69,"y":468,"width":780,"height":11}},{"id":"95bf094b-a797-43e9-9128-2fe5538dec12","block_type":"box","text":"available investment, (vi) cash availability and liquidity requirements for accounts, (vii) regulatory restrictions,","page_number":163,"box":{"x":69,"y":483,"width":777,"height":11}},{"id":"a1ce531e-f856-4d7a-a317-330e43c923f0","block_type":"box","text":"(viii) minimum investment size of an account, (ix) relative size of account, and (x) such other factors as may be","page_number":163,"box":{"x":69,"y":498,"width":788,"height":11}},{"id":"1580b0a2-dfce-4555-9037-521ea0970df2","block_type":"box","text":"approved by BlackRock’s general counsel. Moreover, investments may not be allocated to one client account over","page_number":163,"box":{"x":69,"y":514,"width":811,"height":11}},{"id":"2f1b16ac-19a7-4be5-aa73-dd8a18f158fd","block_type":"box","text":"another based on any of the following considerations: (i) to favor one client account at the expense of another, (ii) to","page_number":163,"box":{"x":69,"y":528,"width":829,"height":12}},{"id":"2bc08b60-b799-4f1b-b43f-48978042235f","block_type":"box","text":"generate higher fees paid by one client account over another or to produce greater performance compensation to","page_number":163,"box":{"x":68,"y":543,"width":808,"height":12}},{"id":"d25d4a54-061b-4a08-bf68-62769faa82b1","block_type":"box","text":"BlackRock, (iii) to develop or enhance a relationship with a client or prospective client, (iv) to compensate a client for","page_number":163,"box":{"x":70,"y":559,"width":832,"height":11}},{"id":"dacf1181-bbff-4624-be30-f22c685309e1","block_type":"box","text":"past services or benefits rendered to BlackRock or to induce future services or benefits to be rendered to BlackRock,","page_number":163,"box":{"x":70,"y":574,"width":836,"height":11}},{"id":"14e1aa75-d291-4330-90e9-ebd9edbee4f8","block_type":"box","text":"or (v) to manage or equalize investment performance among different client accounts.","page_number":163,"box":{"x":69,"y":589,"width":613,"height":11}},{"id":"7e6548f8-4c0f-452e-be26-09b8f6b066fb","block_type":"box","text":"Equity securities will generally be allocated among client accounts within the same investment mandate on a pro","page_number":163,"box":{"x":102,"y":612,"width":802,"height":11}},{"id":"6d7d4623-9b36-420f-b6af-4fd46857f7e9","block_type":"box","text":"rata basis. All allocations of equity securities will be subject, where relevant, to share minimums established for","page_number":163,"box":{"x":69,"y":627,"width":800,"height":11}},{"id":"d608fee1-30a9-4216-afc9-80605360726d","block_type":"box","text":"accounts and compliance constraints.","page_number":163,"box":{"x":69,"y":642,"width":269,"height":11}},{"id":"fccb75f8-a43a-48dd-b8ef-871614a55ebb","block_type":"box","text":"Initial public offerings of securities may be over-subscribed and subsequently trade at a premium in the","page_number":163,"box":{"x":102,"y":664,"width":736,"height":12}},{"id":"66ed22a9-7f3b-4932-8b67-052a3b648283","block_type":"box","text":"secondary market. In these situations, the supply of securities available for client accounts is often less than the","page_number":163,"box":{"x":69,"y":680,"width":808,"height":11}},{"id":"71cf821a-1fe7-4d83-9aff-ac4574ed0986","block_type":"box","text":"amount of securities the accounts would otherwise take. In order to allocate these investments fairly and equitably","page_number":163,"box":{"x":69,"y":695,"width":821,"height":11}},{"id":"6a2558f9-3d51-4839-b092-08eb2a839367","block_type":"box","text":"among client accounts over time, each portfolio manager or a member of his or her respective investment team will","page_number":163,"box":{"x":69,"y":710,"width":823,"height":11}},{"id":"d628eafb-21cd-4fe4-b0b2-c34e82107552","block_type":"box","text":"indicate to BlackRock’s trading desk their level of interest in a particular offering with respect to eligible client","page_number":163,"box":{"x":70,"y":725,"width":783,"height":11}},{"id":"e65dcd15-9858-40c6-a07a-f2dd28a92a39","block_type":"box","text":"accounts for which that team is responsible. Initial public offerings of U.S. equity securities will be identified as","page_number":163,"box":{"x":69,"y":740,"width":793,"height":11}},{"id":"5923a0c5-34c3-4a08-8cd6-bfae33e50c51","block_type":"box","text":"eligible for particular client accounts that are managed by portfolio teams who have indicated interest in the offering","page_number":163,"box":{"x":69,"y":755,"width":831,"height":11}},{"id":"d2ee8192-679e-49d0-a77d-f4dddd985797","block_type":"box","text":"based on market capitalization of the issuer of the security and the investment mandate of the client account and in","page_number":163,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"c82212de-051b-4257-862f-a5847f0fc4c4","block_type":"box","text":"the case of international equity securities, the country where the offering is taking place and the investment mandate","page_number":163,"box":{"x":68,"y":785,"width":839,"height":12}},{"id":"8666e886-4153-41e3-8e93-ff7bb5885ef8","block_type":"box","text":"of the client account. Generally, shares received during the initial public offering will be allocated among participating","page_number":163,"box":{"x":69,"y":801,"width":835,"height":11}},{"id":"14e59640-f520-4e51-a079-168c78e669cd","block_type":"box","text":"client accounts within each investment mandate on a pro rata basis. In situations where supply is too limited to be","page_number":163,"box":{"x":69,"y":816,"width":819,"height":11}},{"id":"5ec18bc1-ebdb-4cd9-a5f1-d67585d7dfdb","block_type":"box","text":"allocated among all accounts for which the investment is eligible, portfolio managers may rotate such investment","page_number":163,"box":{"x":69,"y":831,"width":808,"height":11}},{"id":"ea62e044-9dfc-4a97-bfc8-fe01716ea443","block_type":"box","text":"opportunities among one or more accounts so long as the rotation system provides for fair access for all client","page_number":163,"box":{"x":69,"y":846,"width":791,"height":11}},{"id":"9688ddca-f08c-4a75-bc79-91cfce02b5a0","block_type":"box","text":"accounts over time. Other allocation methodologies that are considered by BlackRock to be fair and equitable to","page_number":163,"box":{"x":69,"y":861,"width":799,"height":11}},{"id":"2f8e18dc-2448-4fa2-b62b-e97871b8dc6c","block_type":"box","text":"clients may be used as well.","page_number":163,"box":{"x":69,"y":876,"width":200,"height":11}},{"id":"5e9ab583-8bad-4ea2-8e3b-247b90819bb9","block_type":"box","text":"II-127","page_number":163,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"92650eaf-7e27-46db-a38f-1fc81703b89b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":163,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"40107580-2c74-46ae-aa8a-0be0b3965aa1","block_type":"box","text":"Because different accounts may have differing investment objectives and policies, BlackRock may buy and sell","page_number":164,"box":{"x":102,"y":45,"width":789,"height":11}},{"id":"0f2fa5fb-046e-4cdf-bd46-9fdf1fbc375a","block_type":"box","text":"the same securities at the same time for different clients based on the particular investment objective, guidelines","page_number":164,"box":{"x":68,"y":60,"width":815,"height":11}},{"id":"c77f41bc-1ff1-4969-85f2-0227a5e79ce7","block_type":"box","text":"and strategies of those accounts. For example, BlackRock may decide that it may be entirely appropriate for a growth","page_number":164,"box":{"x":69,"y":75,"width":835,"height":11}},{"id":"0c128904-7421-44db-bc64-4641d72e139b","block_type":"box","text":"fund to sell a security at the same time a value fund is buying that security. To the extent that transactions on behalf","page_number":164,"box":{"x":68,"y":90,"width":833,"height":11}},{"id":"b2c0e02d-f7bb-4df8-8f56-4b092c49feee","block_type":"box","text":"of more than one client of BlackRock or its affiliates during the same period may increase the demand for securities","page_number":164,"box":{"x":69,"y":105,"width":829,"height":11}},{"id":"b26c38b8-0938-475b-84c2-ae0fdb683a84","block_type":"box","text":"being purchased or the supply of securities being sold, there may be an adverse effect on price. For example, sales","page_number":164,"box":{"x":69,"y":120,"width":825,"height":12}},{"id":"60a26d54-1214-4838-98a8-3acdeff0c4c7","block_type":"box","text":"of a security by BlackRock on behalf of one or more of its clients may decrease the market price of such security,","page_number":164,"box":{"x":69,"y":135,"width":806,"height":11}},{"id":"e9c96206-4dbe-4438-96fa-116c31a942eb","block_type":"box","text":"adversely impacting other BlackRock clients that still hold the security. If purchases or sales of securities arise for","page_number":164,"box":{"x":69,"y":150,"width":814,"height":12}},{"id":"438a0d5a-b2c4-4ec1-ae08-60856f23fdc2","block_type":"box","text":"consideration at or about the same time that would involve a Fund or other clients or funds for which BlackRock or an","page_number":164,"box":{"x":69,"y":166,"width":836,"height":9}},{"id":"d2e1e395-94a6-4d18-b97d-b813f064edc5","block_type":"box","text":"affiliate act as investment manager, transactions in such securities will be made, insofar as feasible, for the","page_number":164,"box":{"x":69,"y":181,"width":773,"height":11}},{"id":"320be3bc-3db9-489a-abe4-72ee3d2f0faf","block_type":"box","text":"respective funds and clients in a manner deemed equitable to all.","page_number":164,"box":{"x":69,"y":196,"width":467,"height":11}},{"id":"e40fcaab-86d0-4668-aad6-5a3bca679eaf","block_type":"box","text":"In certain instances, BlackRock may find it efficient for purposes of seeking to obtain best execution, to","page_number":164,"box":{"x":102,"y":218,"width":741,"height":12}},{"id":"eb1851fa-0b7c-498b-ad57-3c1386c5d782","block_type":"box","text":"aggregate certain contemporaneous purchases or sale orders of its advisory accounts. In general, all","page_number":164,"box":{"x":69,"y":234,"width":721,"height":11}},{"id":"d91a97fd-35b8-4b97-ad73-868dd90f1ec2","block_type":"box","text":"contemporaneous trades for client accounts under management by the same portfolio manager or investment team","page_number":164,"box":{"x":69,"y":249,"width":824,"height":11}},{"id":"2c36ac30-c5f9-4f23-8e3c-e74132548ad1","block_type":"box","text":"will be aggregated in a single order if the trader believes the aggregated trade would provide each client with an","page_number":164,"box":{"x":68,"y":264,"width":795,"height":11}},{"id":"985e0e58-a841-4737-af04-bd262b7195d4","block_type":"box","text":"opportunity to achieve a more favorable execution at a potentially lower execution cost. The costs associated with an","page_number":164,"box":{"x":69,"y":279,"width":834,"height":11}},{"id":"ec2d1765-8c08-4a14-a24b-9f6b8606f3ec","block_type":"box","text":"aggregated order will be shared pro rata among the clients in the aggregated order. Generally, if an order for a","page_number":164,"box":{"x":69,"y":294,"width":783,"height":11}},{"id":"eb20e99a-7603-49e4-b7a3-e2641e361614","block_type":"box","text":"particular portfolio manager or management team is filled at several different prices through multiple trades, all","page_number":164,"box":{"x":70,"y":309,"width":796,"height":11}},{"id":"c421067b-d292-4f2e-a83a-b04403c4ba02","block_type":"box","text":"accounts participating in the order will receive the average price except in the case of certain international markets","page_number":164,"box":{"x":69,"y":324,"width":821,"height":12}},{"id":"de257d20-ab0f-4986-93b7-176daa6eac89","block_type":"box","text":"where average pricing is not permitted. While in some cases this practice could have a detrimental effect upon the","page_number":164,"box":{"x":68,"y":339,"width":819,"height":12}},{"id":"91a15cc9-8300-4050-98b6-150432c86007","block_type":"box","text":"price or value of the security as far as a Fund is concerned, in other cases it could be beneficial to the Fund.","page_number":164,"box":{"x":70,"y":355,"width":771,"height":11}},{"id":"9f2ab242-efe4-4ee2-94bb-9f5dbdfa844f","block_type":"box","text":"Transactions effected by BlackRock on behalf of more than one of its clients during the same period may increase","page_number":164,"box":{"x":68,"y":370,"width":815,"height":11}},{"id":"3de8db23-1909-4105-8533-9c3406cbbc05","block_type":"box","text":"the demand for securities being purchased or the supply of securities being sold, causing an adverse effect on price.","page_number":164,"box":{"x":68,"y":385,"width":835,"height":11}},{"id":"2b688921-7caa-4f66-93e1-ca070f17ed60","block_type":"box","text":"The trader will give the aggregated order to the broker-dealer that the trader has identified as being able to provide","page_number":164,"box":{"x":68,"y":400,"width":817,"height":11}},{"id":"f45d05b3-aca8-4830-bc6b-9c362f2dcd8e","block_type":"box","text":"the best execution of the order. Orders for purchase or sale of securities will be placed within a reasonable amount","page_number":164,"box":{"x":68,"y":415,"width":823,"height":11}},{"id":"8eec5434-e235-45e6-ac5f-b96e666261bc","block_type":"box","text":"of time of the order receipt and aggregated orders will be kept aggregated only long enough to execute the order.","page_number":164,"box":{"x":69,"y":430,"width":803,"height":11}},{"id":"91cb6c1f-9109-4ecc-b8fc-d058860df2e1","block_type":"box","text":"A Fund will not purchase securities during the existence of any underwriting or selling group relating to such","page_number":164,"box":{"x":101,"y":453,"width":767,"height":11}},{"id":"4193a356-4fb5-40b7-873c-bb2499b3da82","block_type":"box","text":"securities of which BlackRock, BRIL or any affiliated person (as defined in the Investment Company Act) thereof is a","page_number":164,"box":{"x":69,"y":468,"width":826,"height":11}},{"id":"1313d3c9-f046-44b5-a1dd-4995738a2057","block_type":"box","text":"member except pursuant to procedures adopted by the Board of Directors in accordance with Rule 10f-3 under the","page_number":164,"box":{"x":69,"y":483,"width":816,"height":11}},{"id":"4b763d8f-363e-4679-9848-ac404c3631a0","block_type":"box","text":"Investment Company Act. In no instance will portfolio securities be purchased from or sold to BlackRock, BRIL or any","page_number":164,"box":{"x":70,"y":498,"width":833,"height":11}},{"id":"4fc9ef2f-51a6-46c2-8213-ddc31f8037aa","block_type":"box","text":"affiliated person of the foregoing entities except as permitted by Commission exemptive order or by applicable law.","page_number":164,"box":{"x":69,"y":513,"width":818,"height":12}},{"id":"b2c2c811-8e4e-442a-8b62-13eae2521a98","block_type":"box","text":"A Fund’s purchase and sale orders for securities may be combined with those of other investment companies,","page_number":164,"box":{"x":101,"y":536,"width":786,"height":11}},{"id":"63b936d2-7083-4f49-ae67-0de148bed8f1","block_type":"box","text":"clients or accounts that BlackRock manages or advises. If purchases or sales of portfolio securities of a Fund and","page_number":164,"box":{"x":69,"y":551,"width":814,"height":11}},{"id":"2331f2ff-46df-4c36-898a-14a7b1757bd8","block_type":"box","text":"one or more other accounts managed or advised by BlackRock are considered at or about the same time,","page_number":164,"box":{"x":69,"y":566,"width":751,"height":11}},{"id":"d22bf2a5-e505-4d4e-8013-20bccf51e503","block_type":"box","text":"transactions in such securities are allocated among the Fund and the other accounts in a manner deemed equitable","page_number":164,"box":{"x":68,"y":582,"width":829,"height":11}},{"id":"3ded02f5-b1aa-416a-82c5-8cd8444a3663","block_type":"box","text":"to all by BlackRock. In some cases, this procedure could have a detrimental effect on the price or volume of the","page_number":164,"box":{"x":68,"y":596,"width":799,"height":12}},{"id":"75f35906-40e8-4878-8e21-6dad7ed797cc","block_type":"box","text":"security as far as a Fund is concerned. However, in other cases, it is possible that the ability to participate in volume","page_number":164,"box":{"x":69,"y":612,"width":834,"height":11}},{"id":"aab99b02-69a2-4899-b890-a619cc096c13","block_type":"box","text":"transactions and to negotiate lower transaction costs will be beneficial to the Fund. BlackRock may deal, trade and","page_number":164,"box":{"x":68,"y":627,"width":820,"height":11}},{"id":"f2d991cf-a74c-4a6b-9c47-72c2bad57dbd","block_type":"box","text":"invest for its own account in the types of securities in which a Fund may invest. BlackRock may, from time to time,","page_number":164,"box":{"x":70,"y":642,"width":812,"height":11}},{"id":"f10b3944-bb2f-49e1-b2b0-c60b55c59f81","block_type":"box","text":"effect trades on behalf of and for the account of a Fund with brokers or dealers that are affiliated with BFA, in","page_number":164,"box":{"x":69,"y":657,"width":781,"height":10}},{"id":"8aab6802-10f8-4514-bd93-158371740006","block_type":"box","text":"conformity with the Investment Company Act and Commission rules and regulations. Under these provisions, any","page_number":164,"box":{"x":69,"y":672,"width":805,"height":11}},{"id":"28b5abb2-ea94-4cb1-b6b1-41e832cd91c0","block_type":"box","text":"commissions paid to affiliated brokers or dealers must be reasonable and fair compared to the commissions charged","page_number":164,"box":{"x":69,"y":687,"width":840,"height":11}},{"id":"f20f9f55-43ad-47de-8c45-0856b35da912","block_type":"box","text":"by other brokers or dealers in comparable transactions. A Fund will not deal with affiliates in principal transactions","page_number":164,"box":{"x":69,"y":702,"width":815,"height":11}},{"id":"5773c889-2ccf-4edc-9dbd-ad6b9b32b644","block_type":"box","text":"unless permitted by applicable Commission rules or regulations, or by Commission exemptive order.","page_number":164,"box":{"x":69,"y":718,"width":713,"height":11}},{"id":"6fa19ba3-7c9e-441e-a5f6-3c8ca5fe5aa0","block_type":"box","text":"Portfolio Turnover","page_number":164,"box":{"x":69,"y":748,"width":129,"height":9}},{"id":"26fe789d-1e7f-4253-9fe9-4e9162e85d11","block_type":"box","text":"The portfolio turnover rate is calculated by dividing the lesser of a Fund’s annual sales or purchases of portfolio","page_number":164,"box":{"x":101,"y":770,"width":798,"height":12}},{"id":"551896a8-7bd3-499c-a8e9-2a56446c1182","block_type":"box","text":"securities (exclusive of purchases or sales of U.S. Government Securities and all other securities whose maturities at","page_number":164,"box":{"x":69,"y":785,"width":839,"height":11}},{"id":"9446a2bd-fee1-4c3b-9f37-8605b7e7bde9","block_type":"box","text":"the time of acquisition were one year or less) by the monthly average value of the securities in the portfolio during","page_number":164,"box":{"x":68,"y":801,"width":814,"height":11}},{"id":"8c6b8528-9983-4943-9382-9a3dace193eb","block_type":"box","text":"the year. A high rate of portfolio turnover results in certain tax consequences, such as increased capital gain","page_number":164,"box":{"x":68,"y":816,"width":777,"height":11}},{"id":"0cae13ac-7f6f-4c08-a8c6-9e9be0a5c4f9","block_type":"box","text":"dividends and/or ordinary income dividends, and in correspondingly greater transaction costs in the form of dealer","page_number":164,"box":{"x":69,"y":831,"width":818,"height":11}},{"id":"c9793a16-ba5b-4fa5-aa11-cf269b66cf1a","block_type":"box","text":"spreads and brokerage commissions, which are borne directly by a Fund.","page_number":164,"box":{"x":69,"y":846,"width":519,"height":11}},{"id":"2d344c9f-c6ae-4636-b15c-b9dac478bb5f","block_type":"box","text":"II-128","page_number":164,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"b985af16-d15d-4d85-9833-600da6dc7d3b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":164,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"490e63a8-14f5-4bb0-aa6b-81294969b9b4","block_type":"box","text":"DIVIDENDS AND TAXES","page_number":165,"box":{"x":396,"y":45,"width":186,"height":10}},{"id":"585ac3f7-a338-48e3-bfd6-c40c1d167e35","block_type":"box","text":"Dividends","page_number":165,"box":{"x":69,"y":76,"width":69,"height":8}},{"id":"7ce5b760-0b49-4f99-b3c7-8292f744ebd9","block_type":"box","text":"Each Fund intends to distribute substantially all of its net investment income, if any. Dividends from such net","page_number":165,"box":{"x":102,"y":98,"width":776,"height":11}},{"id":"84f273b1-2f04-4d59-89b1-0cc378af7915","block_type":"box","text":"investment income are paid as set forth in each Fund’s Prospectus. Each Fund also intends to distribute all net","page_number":165,"box":{"x":70,"y":113,"width":795,"height":11}},{"id":"4f1c8076-b37f-4e51-ba58-cb117eb8f3ba","block_type":"box","text":"realized capital gains, if any, as set forth in such Fund’s Prospectus. From time to time, a Fund may declare a special","page_number":165,"box":{"x":69,"y":128,"width":837,"height":12}},{"id":"9434fcb6-4eef-4495-805f-c46560e03e0f","block_type":"box","text":"distribution at or about the end of the calendar year in order to comply with U.S. federal tax requirements that certain","page_number":165,"box":{"x":69,"y":143,"width":836,"height":12}},{"id":"9259dd2b-6031-424c-b322-ed0dcdea44c1","block_type":"box","text":"percentages of its ordinary income and capital gains be distributed during the year. If, in any fiscal year, a Fund has","page_number":165,"box":{"x":70,"y":159,"width":822,"height":11}},{"id":"74ef2ab9-939b-4acb-917c-54fecf781617","block_type":"box","text":"net income from certain foreign currency transactions, such income will be distributed at least annually.","page_number":165,"box":{"x":69,"y":174,"width":739,"height":11}},{"id":"076c2ba6-87c6-4f02-8c0d-6c1ea8918833","block_type":"box","text":"For information concerning the manner in which dividends may be reinvested automatically in shares of each","page_number":165,"box":{"x":102,"y":196,"width":773,"height":12}},{"id":"39797522-7a96-4217-bc8c-b09b804e7ae5","block_type":"box","text":"Fund, as applicable, see “Shareholder Services — Automatic Dividend Reinvestment Plan.” Shareholders may also","page_number":165,"box":{"x":70,"y":212,"width":819,"height":11}},{"id":"870d8c2d-8c57-4987-acd3-9d4b4926ee10","block_type":"box","text":"elect in writing to receive any such dividends in cash. Dividends are taxable to shareholders, as discussed below,","page_number":165,"box":{"x":69,"y":227,"width":807,"height":11}},{"id":"69a811d8-9997-4a05-9c98-bab0a20ebfbc","block_type":"box","text":"whether they are reinvested in shares of the Fund or received in cash. The per share dividends on front-end load","page_number":165,"box":{"x":68,"y":242,"width":800,"height":11}},{"id":"c0b66dcc-7b42-4761-882f-93ba102ccb43","block_type":"box","text":"shares, CDSC shares and Service Shares will be lower than the per share dividends on Institutional Shares as a","page_number":165,"box":{"x":69,"y":257,"width":801,"height":11}},{"id":"c721ec10-e70a-4d88-b8c3-decd9ce71802","block_type":"box","text":"result of the service, distribution and higher transfer agency fees applicable to CDSC shares, the service fees","page_number":165,"box":{"x":69,"y":272,"width":783,"height":11}},{"id":"720b5459-3f10-4657-9d4a-16343669ac63","block_type":"box","text":"applicable to front-end load shares and Service Shares, and the service and distribution fees applicable to Class R","page_number":165,"box":{"x":69,"y":287,"width":820,"height":11}},{"id":"c068b05b-30e1-4583-9166-817fd6900a45","block_type":"box","text":"Shares. Similarly, the per share dividends on CDSC shares and Class R Shares will be lower than the per share","page_number":165,"box":{"x":69,"y":302,"width":794,"height":11}},{"id":"f738bbc2-292a-473b-a5e8-2de3906ee94e","block_type":"box","text":"dividends on front-end load shares and Service Shares as a result of the distribution fees and higher transfer agency","page_number":165,"box":{"x":69,"y":317,"width":834,"height":12}},{"id":"8d9cea88-ac18-4fd3-b478-0fccb2bf2f45","block_type":"box","text":"fees applicable to CDSC shares and the distribution fees applicable to Class R Shares, and the per share dividends","page_number":165,"box":{"x":68,"y":332,"width":826,"height":11}},{"id":"df3fd24d-29db-4479-8364-2f2735ba60ab","block_type":"box","text":"on CDSC shares will be lower than the per share dividends on Class R Shares as a result of the higher distribution","page_number":165,"box":{"x":69,"y":348,"width":816,"height":11}},{"id":"7e1bcc87-e1cc-44cb-a7ff-0df893ac195e","block_type":"box","text":"fees and higher transfer agency fees applicable to CDSC shares.","page_number":165,"box":{"x":68,"y":363,"width":461,"height":11}},{"id":"f4df9cda-eb28-4f65-aadb-b402259b7a02","block_type":"box","text":"Taxes","page_number":165,"box":{"x":68,"y":393,"width":42,"height":9}},{"id":"afec60f4-c7c1-471c-a4de-d4303e25211c","block_type":"box","text":"Each Fund intends to continue to qualify for the special tax treatment afforded to regulated investment","page_number":165,"box":{"x":102,"y":416,"width":732,"height":11}},{"id":"5c2facaf-3124-4ad6-90a6-72a2cd223fc6","block_type":"box","text":"companies under the Code. As long as a Fund so qualifies, the Fund (but not its shareholders) will not be subject to","page_number":165,"box":{"x":69,"y":431,"width":825,"height":11}},{"id":"31bc0ba0-6331-4e13-87e7-5124ec83b6c7","block_type":"box","text":"U.S. federal income tax on the part of its investment company taxable income and net realized capital gains that it","page_number":165,"box":{"x":70,"y":446,"width":817,"height":11}},{"id":"da9b18d9-13a2-4678-ae30-c35838fd2879","block_type":"box","text":"distributes to its shareholders in years in which it distributes at least 90% of its investment company taxable income","page_number":165,"box":{"x":69,"y":461,"width":832,"height":11}},{"id":"ff429fb8-7b09-4773-abb1-df5efdddf9a4","block_type":"box","text":"and at least 90% of its net tax-exempt interest income, if any, for the year. To qualify as a regulated investment","page_number":165,"box":{"x":69,"y":476,"width":791,"height":11}},{"id":"7a211752-741f-4df4-8fd4-4c8b2947cee0","block_type":"box","text":"company, a Fund must meet certain requirements regarding the source of its income and the composition and","page_number":165,"box":{"x":69,"y":491,"width":786,"height":12}},{"id":"d8d8f0c6-931c-4789-b9a7-7f518622a0ea","block_type":"box","text":"diversification of its assets. See Part II, “Investment Risks and Considerations—Investment Restrictions (All Funds)”","page_number":165,"box":{"x":69,"y":506,"width":831,"height":11}},{"id":"2b5180fb-fc27-4a57-9e0c-9143572074e2","block_type":"box","text":"for a discussion of the asset diversification requirements. In the case of a Feeder Fund, such Fund may look to the","page_number":165,"box":{"x":68,"y":521,"width":819,"height":12}},{"id":"8d1460a7-a6ba-4e13-ae9f-d5d79dd31aaa","block_type":"box","text":"underlying assets of the Master Portfolio in which it has invested for purposes of satisfying the asset diversification","page_number":165,"box":{"x":69,"y":537,"width":824,"height":11}},{"id":"bb3c2e9a-c7c1-4459-bdcb-56f3247d8e05","block_type":"box","text":"requirement and various other requirements of the Code applicable to regulated investment companies.","page_number":165,"box":{"x":69,"y":552,"width":739,"height":11}},{"id":"7567aec4-d76d-49a9-9139-96e37574b33b","block_type":"box","text":"A Fund may be able to cure a failure to derive at least 90% of its income from the sources specified above or a","page_number":165,"box":{"x":101,"y":574,"width":792,"height":12}},{"id":"321964d0-9e1a-4ef1-b161-4e5aea93aaf4","block_type":"box","text":"failure to diversify its holdings in the manner described above by paying a tax, by disposing of certain assets, or by","page_number":165,"box":{"x":68,"y":589,"width":819,"height":12}},{"id":"57cda42f-8db7-47ee-8023-8491a84c9dd8","block_type":"box","text":"paying a tax and disposing of assets. If, in any taxable year, a Fund fails one of these tests and does not timely cure","page_number":165,"box":{"x":70,"y":605,"width":830,"height":11}},{"id":"5cc34d6b-45fb-4b9a-a11e-f9f99729132c","block_type":"box","text":"the failure, the Fund will be taxed in the same manner as an ordinary corporation and distributions to its","page_number":165,"box":{"x":68,"y":620,"width":744,"height":11}},{"id":"afd63a36-7a03-4036-aa13-9cbb6898b55f","block_type":"box","text":"shareholders will not be deductible by the Fund in computing its taxable income. Although in general the passive loss","page_number":165,"box":{"x":69,"y":635,"width":835,"height":11}},{"id":"f7e3206b-ad9f-4f73-8574-186f6b278fcd","block_type":"box","text":"rules of the Code do not apply to regulated investment companies, such rules do apply to a regulated investment","page_number":165,"box":{"x":69,"y":650,"width":808,"height":11}},{"id":"ffb525e7-961b-4d37-a45e-98ae12de6e5d","block_type":"box","text":"company with respect to items attributable to an interest in a qualified publicly-traded partnership. A Fund’s","page_number":165,"box":{"x":69,"y":665,"width":767,"height":11}},{"id":"7ea04025-4872-4106-9012-981ff28da248","block_type":"box","text":"investments in partnerships, including in qualified publicly-traded partnerships, may result in the Fund being subject","page_number":165,"box":{"x":70,"y":680,"width":826,"height":12}},{"id":"ddd910bb-6b2f-4ac8-860b-4e327b8b4b40","block_type":"box","text":"to state, local, or non-U.S. income, franchise or withholding tax liabilities.","page_number":165,"box":{"x":68,"y":695,"width":521,"height":12}},{"id":"a5ac186e-a147-4c1f-ac4a-a4a6277bbcc3","block_type":"box","text":"Each Fund intends to distribute substantially all of such income and gains. If, in any taxable year, a Fund fails to","page_number":165,"box":{"x":102,"y":718,"width":798,"height":11}},{"id":"37269ad9-1dee-40a0-883e-bbdf1827827d","block_type":"box","text":"qualify as a regulated investment company under the Code, notwithstanding the availability of certain relief","page_number":165,"box":{"x":69,"y":733,"width":762,"height":11}},{"id":"bb53041d-1879-4b51-9ffe-94754597bec0","block_type":"box","text":"provisions, such Fund would be taxed in the same manner as an ordinary corporation and all distributions from","page_number":165,"box":{"x":70,"y":748,"width":789,"height":11}},{"id":"db8477a2-2b0a-4ed9-950b-31157463dcf9","block_type":"box","text":"earnings and profits (as determined under U.S. federal income tax principles) to its shareholders would be taxable as","page_number":165,"box":{"x":69,"y":763,"width":837,"height":12}},{"id":"3c9ecd08-233c-4d7f-b266-35f250afb9f3","block_type":"box","text":"ordinary dividend income eligible for taxation at a reduced tax rate for non-corporate shareholders and the dividends","page_number":165,"box":{"x":69,"y":778,"width":831,"height":12}},{"id":"3405be3d-2391-4717-8371-82d6e48e9318","block_type":"box","text":"received deduction for corporate shareholders. However, a Municipal Fund’s distributions derived from income on tax","page_number":165,"box":{"x":69,"y":794,"width":837,"height":11}},{"id":"2886a618-64f6-47e8-942b-7d183f139a25","block_type":"box","text":"exempt obligations, as defined herein, would no longer qualify for treatment as exempt interest. Each Fund that is a","page_number":165,"box":{"x":69,"y":809,"width":825,"height":11}},{"id":"8217b908-3c58-440e-9d67-c8930a285b11","block_type":"box","text":"series of a regulated investment company that consists of multiple series is treated as a separate corporation for","page_number":165,"box":{"x":69,"y":824,"width":811,"height":11}},{"id":"b7ca5b30-d798-49e4-adec-59f109549eaa","block_type":"box","text":"U.S. federal income tax purposes, and therefore is considered to be a separate entity in determining its treatment","page_number":165,"box":{"x":70,"y":839,"width":813,"height":11}},{"id":"82f01ee4-adda-4964-ad93-6ab11f76c2f0","block_type":"box","text":"under the rules for regulated investment companies. Losses in one series of a regulated investment company do not","page_number":165,"box":{"x":69,"y":854,"width":834,"height":11}},{"id":"bb657e38-6000-48d3-a997-5265ddb59628","block_type":"box","text":"offset gains in another, and the requirements (other than certain organizational requirements) for qualifying for","page_number":165,"box":{"x":69,"y":869,"width":790,"height":11}},{"id":"7721ace2-21f7-42eb-af6e-3f168cdafab6","block_type":"box","text":"regulated investment company status will be determined at the level of the individual series. In the following","page_number":165,"box":{"x":69,"y":884,"width":771,"height":12}},{"id":"a55dc2b3-5c29-4504-9de4-0f2d3105ea09","block_type":"box","text":"discussion, the term “Fund” means each individual series, if applicable.","page_number":165,"box":{"x":69,"y":899,"width":512,"height":11}},{"id":"09ab2491-f1ba-40af-8fdf-3c7f3d6dcc27","block_type":"box","text":"II-129","page_number":165,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"4539c50c-3c1b-40b9-b817-5d453819237c","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":165,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f6d25e79-9b80-4a37-8496-65b6ac1006b9","block_type":"box","text":"The Code requires a regulated investment company to pay a nondeductible 4% excise tax to the extent the","page_number":166,"box":{"x":101,"y":45,"width":759,"height":11}},{"id":"a03aa12a-65e1-4b47-8ad8-59c8df8cd660","block_type":"box","text":"regulated investment company does not distribute, during each calendar year, at least 98% of its ordinary income,","page_number":166,"box":{"x":69,"y":60,"width":813,"height":11}},{"id":"347e744e-7768-4b2d-ab0a-9e06048ff8c2","block_type":"box","text":"determined on a calendar year basis, and at least 98.2% of its capital gain net income, determined, in general, as if","page_number":166,"box":{"x":69,"y":75,"width":830,"height":11}},{"id":"9a0bed24-5747-423b-a190-50c640cad80d","block_type":"box","text":"the regulated investment company’s taxable year ended on October 31, plus certain undistributed amounts from the","page_number":166,"box":{"x":68,"y":90,"width":832,"height":11}},{"id":"dbebde7c-87aa-4eb4-8186-4582f9f359f7","block_type":"box","text":"previous years. While each Fund intends to distribute its income and capital gains in the manner necessary to avoid","page_number":166,"box":{"x":70,"y":105,"width":825,"height":11}},{"id":"0a2b1a45-2b2c-4887-8dff-7eb98e5b316b","block_type":"box","text":"imposition of the 4% excise tax, there can be no assurance that a sufficient amount of the Fund’s taxable income","page_number":166,"box":{"x":70,"y":120,"width":810,"height":11}},{"id":"355d78b7-7a16-44a6-ad44-f67adcaddc36","block_type":"box","text":"and capital gains will be distributed to avoid entirely the imposition of the tax. In such event, a Fund will be liable for","page_number":166,"box":{"x":69,"y":135,"width":828,"height":12}},{"id":"d4945d91-a9f4-4e06-929a-4321bae0c757","block_type":"box","text":"the tax only on the amount by which it does not meet the foregoing distribution requirements.","page_number":166,"box":{"x":68,"y":150,"width":666,"height":12}},{"id":"8a494693-cdc3-4185-86d2-ab1703b9ad87","block_type":"box","text":"Net capital loss carryforwards may be applied against realized capital gains in each succeeding year, until they","page_number":166,"box":{"x":102,"y":173,"width":790,"height":11}},{"id":"248e5774-5ac6-4cf6-b3fb-57e0bbbf281f","block_type":"box","text":"have been reduced to zero. In the event that the Fund were to experience an ownership change as defined under the","page_number":166,"box":{"x":69,"y":188,"width":830,"height":12}},{"id":"c8ec45c9-a8ea-4d90-9085-aae799ce02a4","block_type":"box","text":"Code, the Fund’s loss carryforwards and other favorable tax attributes of the Fund, if any, may be subject to","page_number":166,"box":{"x":69,"y":203,"width":770,"height":12}},{"id":"f482d395-1c63-44c1-b3fd-74ca20f1d52f","block_type":"box","text":"limitation.","page_number":166,"box":{"x":70,"y":219,"width":68,"height":8}},{"id":"c8610b27-b0b0-40c2-abd8-1af149b2329c","block_type":"box","text":"Dividends paid by a Fund from its ordinary income or from an excess of net short-term capital gain over net long","page_number":166,"box":{"x":102,"y":241,"width":803,"height":11}},{"id":"d9792259-04c3-43c4-908a-f1c528372f07","block_type":"box","text":"term capital loss (together referred to as “ordinary income dividends”) are taxable to shareholders as ordinary","page_number":166,"box":{"x":68,"y":256,"width":790,"height":12}},{"id":"47f6f6ef-7899-4356-b32d-a9811fac15d7","block_type":"box","text":"income. Distributions made from an excess of net long-term capital gain over net short-term capital loss (including","page_number":166,"box":{"x":70,"y":271,"width":815,"height":12}},{"id":"aaa5bca5-8664-4ecf-a6fa-a81711ad63af","block_type":"box","text":"gains or losses from certain transactions in futures and options) (“capital gain dividends”) are taxable to","page_number":166,"box":{"x":68,"y":286,"width":748,"height":12}},{"id":"a2b83e1f-701f-4eac-9f73-a0637c6ca939","block_type":"box","text":"shareholders as long-term capital gains, regardless of the length of time the shareholder has owned Fund shares.","page_number":166,"box":{"x":69,"y":302,"width":811,"height":11}},{"id":"c5a92126-ddc6-4313-a858-f52c3967e654","block_type":"box","text":"Distributions paid by a Fund that are reported as exempt-interest dividends will not be subject to regular U.S. federal","page_number":166,"box":{"x":70,"y":317,"width":829,"height":11}},{"id":"907d2ff5-5427-494e-a2d5-a19989b6b705","block_type":"box","text":"income tax. Certain dividend income and long-term capital gains are eligible for taxation at a reduced rate that","page_number":166,"box":{"x":70,"y":332,"width":785,"height":11}},{"id":"94b56a78-1266-48c6-9218-971c6433248f","block_type":"box","text":"applies to non-corporate shareholders. Under these rules, the portion of ordinary income dividends constituting","page_number":166,"box":{"x":69,"y":347,"width":795,"height":11}},{"id":"8e0f26a9-d685-414d-a6b9-140a6d066f90","block_type":"box","text":"“qualified dividend income” when paid by a regulated investment company to a non-corporate shareholder may be","page_number":166,"box":{"x":70,"y":362,"width":809,"height":11}},{"id":"cb835545-3ed1-4059-9a3a-399463cb09aa","block_type":"box","text":"taxable to such shareholder at long-term capital gain rates provided the shareholder has held the shares on which","page_number":166,"box":{"x":68,"y":377,"width":814,"height":12}},{"id":"991ebfac-2406-49ea-b4a5-0f83f760959f","block_type":"box","text":"the dividend was paid for at least 61 days during the 121-day period that begins on the date that is 60 days before","page_number":166,"box":{"x":68,"y":392,"width":822,"height":12}},{"id":"8a2e2083-9711-47d6-9d14-f92d0fd784ac","block_type":"box","text":"the date on which the shares become ex-dividend with respect to such dividend (or, in the case of certain","page_number":166,"box":{"x":68,"y":407,"width":751,"height":11}},{"id":"ef4e991f-6db0-41ef-80a4-eee8d60f8092","block_type":"box","text":"accumulated dividends with respect to preferred stocks, the shareholder has held the shares on which the dividend","page_number":166,"box":{"x":69,"y":423,"width":823,"height":11}},{"id":"0044a634-36e4-4db0-b31e-67ead08180f7","block_type":"box","text":"was paid for at least 91 days during the 181-day period that begins on the date that is 90 days before the date on","page_number":166,"box":{"x":68,"y":438,"width":817,"height":11}},{"id":"617e7f9c-0411-44b4-9725-8365c57b7adc","block_type":"box","text":"which the shares become ex-dividend with respect to such dividend). However, to the extent a Fund’s distributions","page_number":166,"box":{"x":68,"y":453,"width":813,"height":11}},{"id":"04e8399b-4658-461c-bfcb-bd7d4ca99290","block_type":"box","text":"are derived from income on debt securities, certain types of preferred stock treated as debt for U.S. federal income","page_number":166,"box":{"x":69,"y":468,"width":825,"height":11}},{"id":"746ec41d-9484-45be-a451-07ddb6024b91","block_type":"box","text":"tax purposes and short-term capital gains, such distributions will not constitute “qualified dividend income.” In","page_number":166,"box":{"x":68,"y":483,"width":789,"height":11}},{"id":"d6e59fb2-b9bb-40f2-8f81-aeeeac4cc4b5","block_type":"box","text":"addition, distributions that are derived from securities lending income, such as substitute dividend payments, will not","page_number":166,"box":{"x":69,"y":498,"width":836,"height":11}},{"id":"8e77f7dd-c5e1-423f-af40-e1bd6fae8591","block_type":"box","text":"constitute “qualified dividend income.”","page_number":166,"box":{"x":69,"y":513,"width":275,"height":11}},{"id":"5bba9367-3566-407b-afd1-e3c657f83477","block_type":"box","text":"A 3.8% Medicare tax is imposed on the net investment income (which includes taxable dividends and redemption","page_number":166,"box":{"x":101,"y":536,"width":806,"height":11}},{"id":"3439d1b0-674e-4cf8-be89-ea56cbdea355","block_type":"box","text":"proceeds) of certain individuals, trusts and estates.","page_number":166,"box":{"x":70,"y":551,"width":368,"height":11}},{"id":"c17ea94f-b671-4ead-993f-4c601c949ea4","block_type":"box","text":"A Fund’s net capital gain (the excess of net long-term capital gains over net short-term capital losses) is not","page_number":166,"box":{"x":101,"y":574,"width":772,"height":11}},{"id":"45b66330-7323-4f77-a27d-a3e070b71787","block_type":"box","text":"subject to the 90% distribution requirement for taxation as a regulated investment company, described above. If a","page_number":166,"box":{"x":69,"y":589,"width":811,"height":11}},{"id":"ec255e03-0f39-4cda-824d-6b36d61add87","block_type":"box","text":"Fund retains net capital gain, it is subject to tax on that gain, and may designate the retained amount as","page_number":166,"box":{"x":70,"y":604,"width":745,"height":11}},{"id":"40e3cb54-f618-43d5-aa86-883bd8970447","block_type":"box","text":"undistributed capital gain in a written statement furnished to its shareholders, who will be required to include in","page_number":166,"box":{"x":69,"y":619,"width":795,"height":11}},{"id":"f3664362-d164-4c46-933a-fd8257de380a","block_type":"box","text":"income, as long-term capital gain, their proportionate shares of such undistributed net capital gain, will be deemed to","page_number":166,"box":{"x":70,"y":634,"width":838,"height":12}},{"id":"e6e5f091-d82c-48a0-8659-597a1e4c86d6","block_type":"box","text":"have paid and may claim as a credit against their U.S. federal income tax liability (and as a refund to the extent it","page_number":166,"box":{"x":69,"y":649,"width":809,"height":12}},{"id":"0f94bf23-904c-47a7-b1d7-5a0edc2edd14","block_type":"box","text":"exceeds that liability) their proportionate shares of the tax paid by the Fund on that gain, and shall increase the tax","page_number":166,"box":{"x":69,"y":664,"width":822,"height":12}},{"id":"2c810852-b489-4710-834b-a3742c8c815a","block_type":"box","text":"basis of their shares in the Fund by the excess of the amount included in income over the amount allowed as a credit","page_number":166,"box":{"x":69,"y":680,"width":838,"height":11}},{"id":"eec19031-591e-44f8-90fb-f4008cb80bc8","block_type":"box","text":"against their taxes.","page_number":166,"box":{"x":69,"y":695,"width":135,"height":11}},{"id":"2db7eb25-8e42-4de4-9820-1aee74f26eb1","block_type":"box","text":"Distributions in excess of a Fund’s current and accumulated earnings and profits will first reduce the adjusted","page_number":166,"box":{"x":102,"y":717,"width":783,"height":12}},{"id":"3dab22fc-7464-4eec-8176-ec182bd72d9e","block_type":"box","text":"tax basis of a holder’s shares and after such adjusted tax basis is reduced to zero, will constitute capital gains to","page_number":166,"box":{"x":68,"y":732,"width":812,"height":12}},{"id":"d05cafa1-e0bc-411f-8a00-9ad2b90f45b6","block_type":"box","text":"such holder (assuming the shares are held as a capital asset). Distributions in excess of a Fund’s minimum","page_number":166,"box":{"x":69,"y":748,"width":769,"height":11}},{"id":"2abe8a72-a78c-46ba-89f5-ee43f34dd5c2","block_type":"box","text":"distribution requirements (or taxable income) but not in excess of a Fund’s earnings and profits will be taxable to","page_number":166,"box":{"x":69,"y":763,"width":805,"height":11}},{"id":"bd0e66b4-75d1-44a1-b478-e61c587026eb","block_type":"box","text":"shareholders and will not constitute nontaxable returns of capital. In the case of a Fund with a non-calendar taxable","page_number":166,"box":{"x":69,"y":778,"width":824,"height":11}},{"id":"cd7c7329-c672-499e-a459-786cf90ef75c","block_type":"box","text":"year, a Fund’s earnings and profits are allocated first to distributions made on or before December 31 of the taxable","page_number":166,"box":{"x":68,"y":793,"width":831,"height":11}},{"id":"c30e8ce0-9aea-4332-b3fb-8b592aaa63bf","block_type":"box","text":"year, and then to distributions made after December 31 of the taxable year. Any loss upon the sale or exchange of","page_number":166,"box":{"x":68,"y":808,"width":817,"height":11}},{"id":"73b29b25-368b-4541-ae16-32b00c7fc2e2","block_type":"box","text":"Fund shares held for six months or less will be treated as long-term capital loss to the extent of any capital gain","page_number":166,"box":{"x":70,"y":823,"width":797,"height":12}},{"id":"311481e6-5dcb-4880-ad9e-2dab2b45f5a8","block_type":"box","text":"dividends received by the shareholder.","page_number":166,"box":{"x":69,"y":839,"width":272,"height":10}},{"id":"46aa539f-7967-42ea-8d94-d11cda518f66","block_type":"box","text":"Ordinary income and capital gain dividends are taxable to shareholders even if they are reinvested in additional","page_number":166,"box":{"x":102,"y":861,"width":792,"height":11}},{"id":"49c91cd4-4dab-4285-9cc3-c21d7d4d5855","block_type":"box","text":"shares of a Fund. Distributions by a Fund, whether from ordinary income or capital gains, generally will not be eligible","page_number":166,"box":{"x":69,"y":876,"width":835,"height":11}},{"id":"5884c0a7-db62-4a12-ac7c-cd18eca0eb94","block_type":"box","text":"for the dividends received deduction allowed to corporations under the Code. If a Fund pays a dividend in January","page_number":166,"box":{"x":68,"y":891,"width":809,"height":11}},{"id":"ae5f0603-8886-40e5-a217-1dd755004063","block_type":"box","text":"that was declared in the previous October, November or December to shareholders of record on a specified date in","page_number":166,"box":{"x":68,"y":906,"width":819,"height":11}},{"id":"2b3536c5-a036-4118-93aa-daaf527a7a1f","block_type":"box","text":"II-130","page_number":166,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"9edb9fec-88e2-47b4-9ba2-a67878a7f682","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":166,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6b512d78-29a0-45a2-bea9-95bb2af28945","block_type":"box","text":"one of such months, then such dividend will be treated for tax purposes as being paid by the Fund and received by its","page_number":167,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"86528769-f807-47d8-8d83-d804dd268e49","block_type":"box","text":"shareholders on December 31 of the year in which the dividend was declared. In the case of a Fund with a non","page_number":167,"box":{"x":69,"y":60,"width":794,"height":11}},{"id":"e9ef71db-9201-4dbb-b1ac-73759d510cfb","block_type":"box","text":"calendar taxable year, if the Fund reports more capital gain dividends than it earns in such taxable year, then the","page_number":167,"box":{"x":69,"y":75,"width":804,"height":11}},{"id":"be4ac517-8b20-40a3-a2d6-8328d548019f","block_type":"box","text":"Fund will reduce the amounts reported as capital gains. Where possible, such reduction will first be allocated to","page_number":167,"box":{"x":70,"y":90,"width":797,"height":11}},{"id":"31c6acb1-2231-47ab-b9e4-17a2f03009a3","block_type":"box","text":"dividends made after December 31 of such taxable year. A Fund may elect to defer recognizing, until the following","page_number":167,"box":{"x":69,"y":105,"width":810,"height":11}},{"id":"403930ae-aa8f-4cf1-816f-398a29740496","block_type":"box","text":"taxable year, certain net capital losses arising after October 31 of the current taxable year, and certain net ordinary","page_number":167,"box":{"x":68,"y":120,"width":826,"height":12}},{"id":"9a626baf-2205-4c08-942c-0fd4d0e03d9f","block_type":"box","text":"losses arising after October 31 and/or December 31 of the current taxable year. This may have the effect of","page_number":167,"box":{"x":70,"y":135,"width":772,"height":12}},{"id":"b8afbfd5-a641-42fd-be2e-10940e53263d","block_type":"box","text":"increasing the amount of dividends otherwise includible in the shareholder’s income with respect to the current","page_number":167,"box":{"x":70,"y":150,"width":795,"height":12}},{"id":"89ee063e-a803-4a21-8c6f-41a04ca8de2d","block_type":"box","text":"taxable year.","page_number":167,"box":{"x":68,"y":166,"width":89,"height":11}},{"id":"751676d8-9887-484d-91ba-f7f70ca4d3a2","block_type":"box","text":"No gain or loss will be recognized by Investor C shareholders on the conversion to Investor A Shares. A","page_number":167,"box":{"x":102,"y":188,"width":733,"height":12}},{"id":"9f8144b4-cc33-476e-9a22-24a75c091299","block_type":"box","text":"shareholder’s tax basis in the Investor A Shares acquired upon conversion will be the same as the shareholder’s tax","page_number":167,"box":{"x":69,"y":203,"width":832,"height":11}},{"id":"446c8658-0969-42a7-b0e2-b59fbd0a837e","block_type":"box","text":"basis in the converted Investor C Shares and the holding period of the acquired Investor A Shares will include the","page_number":167,"box":{"x":69,"y":218,"width":809,"height":12}},{"id":"681aec8b-4488-4960-b157-f7c8b91d47d2","block_type":"box","text":"holding period for the converted Investor C Shares.","page_number":167,"box":{"x":69,"y":234,"width":362,"height":11}},{"id":"94fe9a65-02d9-445a-88fb-fb68984f6065","block_type":"box","text":"If a shareholder of a Fund exercises an exchange privilege within 90 days of acquiring the shares of a Fund, but","page_number":167,"box":{"x":102,"y":256,"width":795,"height":12}},{"id":"7c6d534c-d0ef-4bc6-ab85-45fe0fd0b457","block_type":"box","text":"on or before January 31 of the following year, then the loss that the shareholder recognizes on the exchange will be","page_number":167,"box":{"x":69,"y":271,"width":824,"height":12}},{"id":"8e371dc4-4ab5-4e06-9782-d72ef91fcf3a","block_type":"box","text":"reduced (or the gain increased) to the extent any sales charge paid on the exchanged shares reduces any sales","page_number":167,"box":{"x":69,"y":287,"width":797,"height":11}},{"id":"e54be1b0-0554-40d3-a0ad-fc1a2af65448","block_type":"box","text":"charge the shareholder would have owed upon the purchase of the new shares in the absence of the exchange","page_number":167,"box":{"x":69,"y":302,"width":791,"height":11}},{"id":"3ab0022d-cb41-4ee2-80ba-8682771329ae","block_type":"box","text":"privilege. Instead, such sales charge will be treated as an amount paid for the new shares.","page_number":167,"box":{"x":70,"y":317,"width":646,"height":11}},{"id":"b2ab4de0-a76e-4079-9b28-98f13e0859b7","block_type":"box","text":"A sale, redemption, or exchange of Fund shares may give rise to a gain or loss. In general, any gain or loss","page_number":167,"box":{"x":101,"y":339,"width":762,"height":12}},{"id":"14faf2c2-30c5-48fe-b5f2-98d32e4eb567","block_type":"box","text":"realized upon a taxable disposition of shares of a Fund will be treated as long-term capital gain or loss if such shares","page_number":167,"box":{"x":69,"y":355,"width":836,"height":11}},{"id":"25b252d2-e0ae-4b0e-9499-8017ae43c424","block_type":"box","text":"have been held for more than 12 months. Otherwise, the gain or loss on the taxable disposition of Fund shares will","page_number":167,"box":{"x":69,"y":370,"width":822,"height":11}},{"id":"bdd7238f-c54c-4083-b623-5066e315788f","block_type":"box","text":"generally be treated as short-term capital gain or loss. Any loss realized upon a taxable disposition of shares held for","page_number":167,"box":{"x":68,"y":385,"width":838,"height":11}},{"id":"ada9f3f7-c790-45bd-b112-09f50963f0d4","block_type":"box","text":"six months or less will be treated as long-term capital loss, rather than short-term capital loss, to the extent of any","page_number":167,"box":{"x":69,"y":400,"width":820,"height":11}},{"id":"a97418c6-84a7-44ac-a5cb-ef3bce7f2eeb","block_type":"box","text":"amounts treated as distributions to the shareholder of long-term capital gain (including any amounts credited to the","page_number":167,"box":{"x":69,"y":415,"width":823,"height":11}},{"id":"4af94df5-6738-47af-b490-b6ac8837e800","block_type":"box","text":"shareholder as undistributed capital gains). Shareholders that hold shares of a Fund through a qualified tax-exempt","page_number":167,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"03e98803-d678-4292-a758-08886801451f","block_type":"box","text":"plan described in section 401(a) of the Internal Revenue Code should see the Fund’s Prospectus for a discussion of","page_number":167,"box":{"x":70,"y":445,"width":829,"height":11}},{"id":"2f39c42f-bba7-4202-ba65-c0f2afae64b1","block_type":"box","text":"special tax rules that apply to their investments.","page_number":167,"box":{"x":69,"y":461,"width":343,"height":11}},{"id":"085c509a-bf68-435a-aab4-eef5420ee79f","block_type":"box","text":"A loss realized on a sale or exchange of shares of a Fund will be disallowed if other substantially identical shares","page_number":167,"box":{"x":101,"y":483,"width":807,"height":11}},{"id":"70c87b70-df2a-408e-b610-6e6af1b4690b","block_type":"box","text":"are acquired (whether through the automatic reinvestment of dividends or otherwise) within a 61-day period beginning","page_number":167,"box":{"x":69,"y":498,"width":839,"height":11}},{"id":"29ffb74f-200c-41cb-b4f6-265d62535183","block_type":"box","text":"30 days before and ending 30 days after the date on which the shares are sold or exchanged. In such case, the","page_number":167,"box":{"x":69,"y":513,"width":799,"height":12}},{"id":"f7b79dad-06f5-4626-ae50-14efd82a8c14","block_type":"box","text":"basis of the shares acquired will be adjusted to reflect the disallowed loss.","page_number":167,"box":{"x":69,"y":528,"width":534,"height":12}},{"id":"9782c891-44e3-4cc2-a841-1262e6238c09","block_type":"box","text":"A Fund is also generally required by law to report to each shareholder and to the IRS cost basis information for","page_number":167,"box":{"x":101,"y":551,"width":792,"height":11}},{"id":"c4f2be9f-4ea2-4896-8049-f56efcc56cc9","block_type":"box","text":"shares of the Fund acquired on or after January 1, 2012, and sold or redeemed after that date. This information","page_number":167,"box":{"x":69,"y":566,"width":800,"height":11}},{"id":"802c1350-4835-43dc-b04b-0fd1026ec7f7","block_type":"box","text":"includes the adjusted cost basis of the shares, the gross proceeds from disposition, and whether the gain or loss is","page_number":167,"box":{"x":70,"y":581,"width":828,"height":12}},{"id":"50fca0c3-36a5-428c-83b0-143e4af54d81","block_type":"box","text":"long-term or short-term. The adjusted cost basis of shares will be based on the default cost basis reporting method","page_number":167,"box":{"x":70,"y":596,"width":824,"height":12}},{"id":"06e29905-f83a-4c33-89e4-11b085a294d7","block_type":"box","text":"selected by the Fund, unless a shareholder, before the sale or redemption, informs the Fund that it has selected a","page_number":167,"box":{"x":69,"y":612,"width":816,"height":11}},{"id":"46bce29d-7dd6-4d9f-bb71-8dd60feec14e","block_type":"box","text":"different IRS-accepted method offered by the Fund. These requirements, however, will not apply for investments","page_number":167,"box":{"x":69,"y":627,"width":797,"height":11}},{"id":"5c06bd50-ec50-4912-8773-d6eab84de5e9","block_type":"box","text":"through an IRA or other tax-advantaged account. Shareholders should consult their tax advisors to determine the best","page_number":167,"box":{"x":68,"y":642,"width":840,"height":11}},{"id":"1b04c017-cffc-4dab-a968-9b143bcf16d8","block_type":"box","text":"cost basis method for their tax situation, and to obtain more information about how these cost basis reporting","page_number":167,"box":{"x":69,"y":657,"width":788,"height":11}},{"id":"59f98ae6-7d54-4fd4-a04a-7f8d23944a65","block_type":"box","text":"requirements apply to them. For shares of a Fund acquired before January 1, 2012, these requirements will not","page_number":167,"box":{"x":69,"y":672,"width":797,"height":11}},{"id":"01673494-69bc-46fe-ac4a-65529dea1e7c","block_type":"box","text":"apply, but the Fund will continue to report to the IRS the gross proceeds received by a shareholder from the sale or","page_number":167,"box":{"x":69,"y":687,"width":821,"height":11}},{"id":"8ef722e0-ccf9-4a6e-a442-1d1281ef5048","block_type":"box","text":"redemption of such shares.","page_number":167,"box":{"x":69,"y":702,"width":195,"height":11}},{"id":"96f74dc4-c500-4836-b948-638c630e2655","block_type":"box","text":"The Manager may determine it is in the best interest of a Fund to distribute portfolio securities in kind for the","page_number":167,"box":{"x":101,"y":725,"width":780,"height":11}},{"id":"2d809806-3af7-492c-a1c0-cbc8881f46a2","block_type":"box","text":"purposes of portfolio management when meeting redemption requests. When the Manager determines to do so, a","page_number":167,"box":{"x":70,"y":740,"width":814,"height":11}},{"id":"b7fb1551-5b81-4c94-b8cb-bebc75bb22c8","block_type":"box","text":"Fund generally will not recognize taxable gains in respect of the portfolio securities it distributes to the redeeming","page_number":167,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"9ddfe795-264c-4618-aabf-cf141176266a","block_type":"box","text":"shareholder, which may reduce the amount of taxable gains the Fund would otherwise be required to distribute.","page_number":167,"box":{"x":69,"y":770,"width":793,"height":12}},{"id":"82174ad7-5af5-473f-92ec-4c182c7bb2c4","block_type":"box","text":"While a Fund may engage in redemptions in kind that have the effect of reducing or eliminating distributable","page_number":167,"box":{"x":101,"y":793,"width":770,"height":11}},{"id":"06b987ef-2835-46d9-b666-94a38e344213","block_type":"box","text":"capital gains as described above, the Funds do not employ a systematic approach to tax management. There is no","page_number":167,"box":{"x":69,"y":808,"width":817,"height":11}},{"id":"a97b2ae7-7410-49c6-80dd-c73b3bf52ecd","block_type":"box","text":"assurance that a Fund can or will be successful in effecting any redemptions in kind and shareholders should expect","page_number":167,"box":{"x":69,"y":823,"width":833,"height":12}},{"id":"c38fc008-a991-4a0e-9eb1-d91ae44d64e9","block_type":"box","text":"that each Fund will distribute capital gains.","page_number":167,"box":{"x":68,"y":839,"width":305,"height":11}},{"id":"7f846f11-cdc6-47e7-8051-403f83b39f3c","block_type":"box","text":"Certain Funds may invest in derivative contracts such as options, futures contracts, forward contracts and swap","page_number":167,"box":{"x":102,"y":861,"width":799,"height":11}},{"id":"74aed363-d721-4794-9205-027d5c0d45ec","block_type":"box","text":"agreements. The U.S. federal income tax treatment of a derivative contract may not be as favorable as a direct","page_number":167,"box":{"x":69,"y":876,"width":791,"height":11}},{"id":"0b894ee1-b82f-49fd-bff4-c8babe5821ad","block_type":"box","text":"investment in the underlying security and may adversely affect the timing, character and amount of income the Fund","page_number":167,"box":{"x":70,"y":891,"width":826,"height":12}},{"id":"c3b2748c-2522-4913-bc8d-2cced79a9342","block_type":"box","text":"realizes from its investments. As a result, a larger portion of the Fund’s distributions may be treated as ordinary","page_number":167,"box":{"x":69,"y":906,"width":803,"height":12}},{"id":"435c5a41-f9d6-4081-865b-15239a376daa","block_type":"box","text":"II-131","page_number":167,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"6362da34-7def-4d38-b617-809aab60ce92","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":167,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"834e83d5-2d6b-472b-8c28-3d6c826db785","block_type":"box","text":"income rather than capital gains. In addition, section 1256 contracts held by a Fund at the end of each taxable year","page_number":168,"box":{"x":70,"y":45,"width":825,"height":11}},{"id":"adfd2b75-3f67-4186-888d-7d1c2ee16acb","block_type":"box","text":"(and, for purposes of the 4% excise tax, certain other dates as prescribed under the Code) are generally “marked-to","page_number":168,"box":{"x":69,"y":60,"width":829,"height":11}},{"id":"d330fcd0-6ede-439a-8dea-03fb967a78bc","block_type":"box","text":"market,” such that unrealized gains or losses are treated as though they were realized (with such gain or loss being","page_number":168,"box":{"x":69,"y":75,"width":826,"height":11}},{"id":"3b0e1614-d524-47f6-9b4d-e170cf8ead79","block_type":"box","text":"considered 60% long-term and 40% short-term capital gain or loss), which may increase the amount that must be","page_number":168,"box":{"x":69,"y":90,"width":808,"height":11}},{"id":"1aa1c6d9-3c28-485b-b0c1-8776e7ae6ff6","block_type":"box","text":"distributed to meet distribution requirements and avoid the excise tax. In addition, the tax treatment of certain","page_number":168,"box":{"x":69,"y":105,"width":787,"height":11}},{"id":"7b319010-37cd-48fd-ace3-aee2139f0721","block_type":"box","text":"derivative contracts, such as swap agreements, is unsettled and may be subject to future legislation, regulation or","page_number":168,"box":{"x":69,"y":120,"width":816,"height":12}},{"id":"15f4aa8a-71d8-48b4-9773-3fa2e9b94d94","block_type":"box","text":"administrative pronouncements issued by the IRS. If such future guidance limits the Fund’s ability to use derivatives,","page_number":168,"box":{"x":69,"y":135,"width":832,"height":12}},{"id":"737e7bcb-d69f-4692-996d-0d348add0d5b","block_type":"box","text":"the Fund may have to find other ways of achieving its investment objectives.","page_number":168,"box":{"x":68,"y":150,"width":542,"height":12}},{"id":"a3d15411-b903-4b8a-ba2c-5b7f1a6b63a1","block_type":"box","text":"Certain swap agreements, including exchange-traded swap agreements, are treated as notional principal","page_number":168,"box":{"x":102,"y":173,"width":744,"height":11}},{"id":"6f3baf24-0801-4d6e-b37e-8e6c4de64e83","block_type":"box","text":"contracts rather than as section 1256 contracts. This can affect the type of income earned by such swap","page_number":168,"box":{"x":69,"y":188,"width":751,"height":11}},{"id":"e7ffe988-718b-4f8b-8ed2-6ececfbdb860","block_type":"box","text":"agreements since all the income on a notional principal contract may be ordinary income, whereas 40% of the gain","page_number":168,"box":{"x":69,"y":203,"width":819,"height":12}},{"id":"4c110266-ad9e-4af3-ad4f-0d5697d59c39","block_type":"box","text":"on a section 1256 contract is treated as short-term capital gain taxed at ordinary rates and 60% is treated as long","page_number":168,"box":{"x":69,"y":219,"width":823,"height":11}},{"id":"6a88fdca-0a79-4a12-aeb9-582ae1adad33","block_type":"box","text":"term capital gain taxed at more favorable rates when distributed to shareholders. The rest is long-term capital gain,","page_number":168,"box":{"x":68,"y":234,"width":823,"height":11}},{"id":"202d06ca-3d5e-4481-a4ff-dbf673693c8c","block_type":"box","text":"which may be taxable at more favorable rates than ordinary income. Proposed regulations interpret what types of","page_number":168,"box":{"x":68,"y":249,"width":807,"height":11}},{"id":"e3f2dc89-3649-46b6-a318-a4f9a43614c2","block_type":"box","text":"swap agreements are to be treated as notional principal contracts rather than as section 1256 contracts. When","page_number":168,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"c9ac2645-4983-43a2-9503-bf5dc5ac2e74","block_type":"box","text":"finalized, these regulations could result in the Fund having to treat more of its income on swap agreements and more","page_number":168,"box":{"x":68,"y":279,"width":838,"height":11}},{"id":"6753e758-aa43-4359-b37b-7f2a25f003c5","block_type":"box","text":"of the distributions made to shareholders as ordinary income and less as long-term capital gains.","page_number":168,"box":{"x":69,"y":294,"width":695,"height":11}},{"id":"1326a637-919a-4952-a707-111cb7fcccb4","block_type":"box","text":"Certain Funds may invest in zero coupon U.S. Treasury bonds and other debt securities that are issued at a","page_number":168,"box":{"x":102,"y":317,"width":768,"height":11}},{"id":"851f06cb-f699-4470-9282-6a1f4a61cb29","block_type":"box","text":"discount or provide for deferred interest. Even though a Fund receives no actual interest payments on these","page_number":168,"box":{"x":69,"y":332,"width":769,"height":11}},{"id":"391ad11e-558a-4c3d-8a00-fe6c3b3148aa","block_type":"box","text":"securities, it will be deemed to receive income equal, generally, to a portion of the excess of the stated redemption","page_number":168,"box":{"x":69,"y":347,"width":822,"height":11}},{"id":"44c2fe2c-385d-4abe-a370-1bbfae9c0045","block_type":"box","text":"price of the securities over their issue price (“original issue discount”) each year that the securities are held. Since","page_number":168,"box":{"x":70,"y":362,"width":819,"height":11}},{"id":"867eb908-04b8-459f-b148-c84c00dc9143","block_type":"box","text":"the original issue discount income earned by a Fund in a taxable year may not be represented by cash income, the","page_number":168,"box":{"x":68,"y":377,"width":818,"height":12}},{"id":"98915515-7ac3-46d9-aabd-765b870d2439","block_type":"box","text":"Fund may have to dispose of securities, which it might otherwise have continued to hold, or borrow to generate cash","page_number":168,"box":{"x":70,"y":392,"width":830,"height":12}},{"id":"cdd7bc3d-4273-4b43-8a9e-8f3746f397b6","block_type":"box","text":"in order to satisfy its distribution requirements. In addition, a Fund’s investment in foreign currencies or foreign","page_number":168,"box":{"x":70,"y":407,"width":792,"height":12}},{"id":"aa290666-7210-43f8-8844-0f272c9469a7","block_type":"box","text":"currency denominated or referenced debt securities, certain asset-backed securities and contingent payment and","page_number":168,"box":{"x":69,"y":423,"width":808,"height":11}},{"id":"4be8fcfe-5377-41d5-b1bd-f86fceddfe5d","block_type":"box","text":"inflation-indexed debt instruments also may increase or accelerate the Fund’s recognition of income, including the","page_number":168,"box":{"x":70,"y":438,"width":812,"height":11}},{"id":"f382ac71-33da-4037-bf07-6baab6fa28f6","block_type":"box","text":"recognition of taxable income in excess of cash generated by such investments. Any transaction by the Fund in","page_number":168,"box":{"x":69,"y":453,"width":789,"height":11}},{"id":"b785399f-690f-4a0a-922d-8bda6782f3ff","block_type":"box","text":"foreign currencies, foreign currency-denominated debt obligations or certain foreign currency options, futures","page_number":168,"box":{"x":68,"y":468,"width":777,"height":11}},{"id":"85aff545-ae00-4c04-96e9-c82698b07071","block_type":"box","text":"contracts or forward contracts (or similar instruments) may give rise to ordinary income or loss to the extent such","page_number":168,"box":{"x":69,"y":483,"width":810,"height":11}},{"id":"28045f4a-fe80-40e4-b655-cb68ae6bcac8","block_type":"box","text":"income or loss results from fluctuations in the value of the foreign currency concerned. Any such net gains could","page_number":168,"box":{"x":70,"y":498,"width":801,"height":11}},{"id":"98dd88cf-ef35-4bf3-844f-5399de46ff7c","block_type":"box","text":"require a larger dividend toward the end of the calendar year. Any such net losses will generally reduce and","page_number":168,"box":{"x":69,"y":513,"width":762,"height":12}},{"id":"85afa2b0-b09f-4730-aa94-78d771db1b5d","block_type":"box","text":"potentially require the recharacterization of prior ordinary income distributions. Such ordinary income treatment may","page_number":168,"box":{"x":70,"y":528,"width":827,"height":12}},{"id":"85b325ed-7526-4eb6-a089-443036cbe71d","block_type":"box","text":"accelerate Fund distributions to shareholders and increase the distributions taxed to shareholders as ordinary","page_number":168,"box":{"x":69,"y":544,"width":787,"height":11}},{"id":"314b25ac-89b0-453e-ac9e-11bb411c3be7","block_type":"box","text":"income. Any net ordinary losses so created cannot be carried forward by the Fund to offset income or gains earned","page_number":168,"box":{"x":70,"y":559,"width":822,"height":11}},{"id":"db11a9cb-5e21-48f8-ab46-f3c28c529f2b","block_type":"box","text":"in subsequent taxable years.","page_number":168,"box":{"x":70,"y":574,"width":203,"height":11}},{"id":"58e66d3a-cfed-4eda-a192-3fe84e5adcd5","block_type":"box","text":"Ordinary income dividends paid to shareholders who are nonresident aliens or foreign entities (other than pass","page_number":168,"box":{"x":102,"y":596,"width":795,"height":12}},{"id":"961e3176-3ed9-4010-adae-353c3541ef74","block_type":"box","text":"through entities to the extent owned by U.S. persons) generally will be subject to a 30% U.S. withholding tax under","page_number":168,"box":{"x":68,"y":612,"width":816,"height":11}},{"id":"60246ed2-2b0c-4561-a2f9-91604f8a7a62","block_type":"box","text":"existing provisions of the Code applicable to foreign individuals and entities unless a reduced rate of withholding or a","page_number":168,"box":{"x":69,"y":627,"width":835,"height":11}},{"id":"308e9fbd-9e9a-4fbe-a78c-5a1205ef545f","block_type":"box","text":"withholding exemption is provided under applicable treaty law. Capital gain dividends paid to shareholders that are","page_number":168,"box":{"x":68,"y":642,"width":815,"height":11}},{"id":"ff726ea5-706b-45b3-aba4-f82400d6b5f9","block_type":"box","text":"nonresident aliens or foreign entities, if and to the extent properly reported as capital gain dividends, generally will","page_number":168,"box":{"x":69,"y":657,"width":816,"height":11}},{"id":"67950083-6c7e-4a8f-8528-8a869948c1b1","block_type":"box","text":"not be subject to a 30% withholding tax, unless certain exceptions apply. Dividends derived by a regulated investment","page_number":168,"box":{"x":69,"y":672,"width":840,"height":11}},{"id":"5460f473-6baa-4af7-879f-3acc58446d04","block_type":"box","text":"company from short-term capital gains and qualified net interest income (including income from original issue","page_number":168,"box":{"x":69,"y":687,"width":781,"height":11}},{"id":"912822d1-43a9-4cfa-87c8-d1d9ee63d054","block_type":"box","text":"discount and market discount) and paid to shareholders who are nonresident aliens or foreign entities, if and to the","page_number":168,"box":{"x":69,"y":702,"width":824,"height":12}},{"id":"1aee94a0-9d53-49de-b01b-37c43d66e992","block_type":"box","text":"extent properly reported as “short-term capital gain dividends” or “interest-related dividends”, respectively, generally","page_number":168,"box":{"x":69,"y":718,"width":832,"height":11}},{"id":"65ae4d55-e123-402a-b850-2fa41c1bffda","block_type":"box","text":"will not be subject to U.S. withholding tax. Where possible, the Funds intend to report such dividends as interest","page_number":168,"box":{"x":68,"y":733,"width":808,"height":11}},{"id":"791712e6-a343-4906-8f6a-5cd79108a861","block_type":"box","text":"related dividends or short-term capital gain dividends. However, depending on its circumstances, a Fund may report","page_number":168,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"c055a950-8750-4c45-8fd9-1bac48a734aa","block_type":"box","text":"all, some or none of its potentially eligible dividends as interest-related or as short-term capital gain dividends, and/","page_number":168,"box":{"x":69,"y":763,"width":830,"height":11}},{"id":"1f86e910-ea9a-49cc-907b-5bf79f07bcbd","block_type":"box","text":"or treat such dividends, in whole or in part, as ineligible for this exemption from withholding. In order to qualify for","page_number":168,"box":{"x":69,"y":778,"width":811,"height":11}},{"id":"57827522-6d99-42cc-b00f-62a67f0c2387","block_type":"box","text":"this exemption from withholding, a foreign shareholder must comply with applicable certification requirements","page_number":168,"box":{"x":68,"y":793,"width":784,"height":11}},{"id":"0f4fc34d-2369-46dd-9eb8-e228f275d416","block_type":"box","text":"relating to its foreign status (including, in general, furnishing an IRS Form W-8BEN, IRS Form W-8BEN-E or substitute","page_number":168,"box":{"x":69,"y":808,"width":828,"height":11}},{"id":"36e6cb68-307f-4723-8a85-c916454239d4","block_type":"box","text":"Form). In the case of shares held through an intermediary, the intermediary may withhold even if the Fund reports the","page_number":168,"box":{"x":70,"y":823,"width":839,"height":12}},{"id":"4cb90683-ca2b-4a3e-a041-ee091c4660d9","block_type":"box","text":"payment as an interest-related or short-term capital gain dividend. Foreign shareholders should contact their","page_number":168,"box":{"x":70,"y":839,"width":772,"height":11}},{"id":"489a66fc-3a3d-4cc3-813e-3635fba930ed","block_type":"box","text":"intermediaries with respect to the application of these rules to their accounts. It is not possible to predict what","page_number":168,"box":{"x":70,"y":853,"width":791,"height":11}},{"id":"861cb745-fa20-443f-bdb0-17d30b51b93b","block_type":"box","text":"portion, if any, of a Fund’s distributions will be reported as interest-related dividends or short-term capital gain","page_number":168,"box":{"x":70,"y":869,"width":787,"height":11}},{"id":"97e923b6-2371-4e9a-b120-530eb805db6d","block_type":"box","text":"dividends under these rules.","page_number":168,"box":{"x":69,"y":884,"width":201,"height":9}},{"id":"cf90a31f-0b22-4f6a-b73a-fa693a64c9d5","block_type":"box","text":"II-132","page_number":168,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"10f7e5ab-6ac9-491d-896f-77746bdbe20d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":168,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fcf3e6c2-84b8-44b8-8716-92c46aa9917f","block_type":"box","text":"Distributions to certain foreign shareholders by a Fund at least 50% of the assets of which are “U.S. real","page_number":169,"box":{"x":102,"y":45,"width":747,"height":11}},{"id":"ce96b0f9-f6ef-4dfc-be7d-59e732e5199a","block_type":"box","text":"property interests” (as defined in the Code and Treasury regulations) at any time during the five-year period ending on","page_number":169,"box":{"x":70,"y":60,"width":838,"height":11}},{"id":"e9e7beda-42b5-4a87-8dc3-8b24b29e2f72","block_type":"box","text":"the date of the distributions, to the extent the distributions are attributable to gains from sales or exchanges of U.S.","page_number":169,"box":{"x":68,"y":75,"width":829,"height":11}},{"id":"01bcfe8b-af0d-44bb-9924-47d55796ae84","block_type":"box","text":"real property interests (including shares in certain “U.S. real property holding corporations” such as certain REITs,","page_number":169,"box":{"x":69,"y":90,"width":817,"height":11}},{"id":"24229d19-1254-44bc-bfa2-acb99b050cc4","block_type":"box","text":"although exceptions may apply if any class of stock of such a corporation is regularly traded on an established","page_number":169,"box":{"x":69,"y":105,"width":786,"height":11}},{"id":"ba314185-2323-4ba4-a7f6-8a20f8d02201","block_type":"box","text":"securities market and the Fund has held no more than 5% of such class of stock at all times during the five-year","page_number":169,"box":{"x":69,"y":120,"width":800,"height":12}},{"id":"c5a46461-d912-453d-82ac-4dd8e598d977","block_type":"box","text":"period ending on the date of the distributions), generally must be treated by such foreign shareholders as income","page_number":169,"box":{"x":70,"y":135,"width":807,"height":12}},{"id":"74231857-5eab-4ed0-b996-86cf5fe7d47b","block_type":"box","text":"effectively connected to a trade or business within the United States, which is generally subject to tax at the","page_number":169,"box":{"x":69,"y":150,"width":772,"height":12}},{"id":"95021eba-8c4d-43d3-a1a5-ca1c70b352f7","block_type":"box","text":"graduated rates applicable to U.S. shareholders, except for distributions to foreign shareholders that held no more","page_number":169,"box":{"x":68,"y":166,"width":818,"height":11}},{"id":"65434881-2644-4371-a6f6-d9d50916b886","block_type":"box","text":"than 5% of any class of stock of the Fund at all times during the previous one-year period ending on the date of the","page_number":169,"box":{"x":68,"y":181,"width":820,"height":11}},{"id":"6c6fbeec-02c8-42a3-a8dd-85e2796c83df","block_type":"box","text":"distributions. Such distributions will be subject to U.S. income and withholding tax and generally will require a foreign","page_number":169,"box":{"x":69,"y":196,"width":833,"height":11}},{"id":"3fd6e8be-553b-4e98-af86-3f5375c58212","block_type":"box","text":"shareholder to file a U.S. federal income tax return. If the foreign shareholder held no more than 5% of any class of","page_number":169,"box":{"x":69,"y":211,"width":823,"height":11}},{"id":"79ba6ff5-9eeb-4f84-89c5-84e6ec3571fa","block_type":"box","text":"stock of the Fund at all times during the previous one-year period ending on the date of the distributions, the","page_number":169,"box":{"x":69,"y":226,"width":774,"height":11}},{"id":"a95c7b07-e7de-4a53-a8cd-cecb625f146f","block_type":"box","text":"distributions will be taxable as ordinary dividends and subject to withholding at a 30% or lower treaty rate. In addition,","page_number":169,"box":{"x":69,"y":241,"width":839,"height":11}},{"id":"09a8e4d2-8ad3-4b5f-b27c-79ae1a273b52","block_type":"box","text":"sales or redemptions of shares held by certain foreign shareholders in such a Fund generally will be subject to U.S.","page_number":169,"box":{"x":69,"y":256,"width":822,"height":12}},{"id":"c33fd7c8-6e81-4589-b224-af1342c16ce7","block_type":"box","text":"income and withholding tax and generally will require the foreign shareholder to file a U.S. federal income tax return,","page_number":169,"box":{"x":70,"y":271,"width":827,"height":12}},{"id":"79cd49f3-98f0-4b9a-9f31-594ce7c19114","block_type":"box","text":"although exceptions may apply if more than 50% of the value of the Fund’s shares are held by U.S. shareholders or","page_number":169,"box":{"x":69,"y":286,"width":823,"height":12}},{"id":"9eb81fa9-9437-4173-94fc-62e5b521ef8e","block_type":"box","text":"the foreign shareholder selling or redeeming the shares has held no more than 5% of any class of stock of the Fund","page_number":169,"box":{"x":68,"y":302,"width":827,"height":11}},{"id":"047215e4-f622-4083-9dd1-8bd5a6d88f4a","block_type":"box","text":"at all times during the five-year period ending on the date of the sale or redemption.","page_number":169,"box":{"x":69,"y":317,"width":596,"height":11}},{"id":"2daef170-5227-473a-b0d4-7c2c594fd158","block_type":"box","text":"Provided that more than 50% of the value of a Fund’s stock is held by U.S. shareholders, redemptions and other","page_number":169,"box":{"x":102,"y":339,"width":802,"height":12}},{"id":"7be84d05-35cc-4d6d-b7c6-b5d4cbf95da4","block_type":"box","text":"distributions made in the form of U.S. real property interests (including shares in certain “U.S. real property holding","page_number":169,"box":{"x":69,"y":355,"width":827,"height":11}},{"id":"c1f6681b-6377-421b-8651-0e07cc8f5c13","block_type":"box","text":"corporations”, although exceptions may apply if any class of stock of such a corporation is regularly traded on an","page_number":169,"box":{"x":69,"y":370,"width":804,"height":11}},{"id":"e24a86ca-fd7c-4ffa-ae8b-543439e2884b","block_type":"box","text":"established securities market and the Fund has held no more than 5% of such class of stock at all times during the","page_number":169,"box":{"x":69,"y":385,"width":824,"height":11}},{"id":"5dd6e70e-546b-4cd7-a62b-0bbfff5db522","block_type":"box","text":"five-year period ending on the date of the distribution) generally will cause the Fund to recognize a portion of any","page_number":169,"box":{"x":68,"y":400,"width":801,"height":11}},{"id":"3e768884-c28b-461a-8ecf-64a4061792ac","block_type":"box","text":"unrecognized gain in the U.S. real property interests equal to the product of (i) the excess of fair market value of","page_number":169,"box":{"x":69,"y":415,"width":803,"height":11}},{"id":"3b2420ab-8699-4781-a867-a6e8067a8d74","block_type":"box","text":"such U.S. real property interests over the Fund’s adjusted bases in such interests and (ii) the greatest foreign","page_number":169,"box":{"x":69,"y":430,"width":785,"height":11}},{"id":"86cf1f42-c848-4e21-a350-56bdcb0fd634","block_type":"box","text":"ownership percentage of the Fund during the five-year period ending on the date of distribution.","page_number":169,"box":{"x":69,"y":445,"width":676,"height":12}},{"id":"a1daf085-907f-4316-98e7-269db7f8e5e7","block_type":"box","text":"A foreign shareholder may also be subject to certain “wash sale” rules to prevent the avoidance of the tax filing","page_number":169,"box":{"x":101,"y":468,"width":798,"height":11}},{"id":"2e2da234-2c07-4af2-84ec-9dbdc5f5c4e4","block_type":"box","text":"and payment obligations discussed above through the sale and repurchase of Fund shares.","page_number":169,"box":{"x":69,"y":483,"width":651,"height":11}},{"id":"dd1410a7-2b5a-4c1b-b757-f9ec09b95af8","block_type":"box","text":"Shareholders that are nonresident aliens or foreign entities are urged to consult their own tax advisors","page_number":169,"box":{"x":102,"y":506,"width":731,"height":11}},{"id":"e4c081f3-0de0-4cf3-ae4f-4f4d5922a723","block_type":"box","text":"concerning the particular tax consequences to them of an investment in a Fund.","page_number":169,"box":{"x":69,"y":521,"width":570,"height":11}},{"id":"fffa621e-a02c-41e8-b6f1-dbe3a3bf024d","block_type":"box","text":"Separately, a 30% withholding tax is currently imposed on U.S.-source dividends, interest and other income","page_number":169,"box":{"x":102,"y":544,"width":763,"height":11}},{"id":"db3c2208-4453-4b39-9472-5380e039dcc8","block_type":"box","text":"items paid to (i) certain foreign financial institutions and investment funds, and (ii) certain other foreign entities. To","page_number":169,"box":{"x":70,"y":559,"width":820,"height":11}},{"id":"795c9b79-8a9d-45e9-a2ed-6537c218f93f","block_type":"box","text":"avoid withholding, foreign financial institutions and investment funds will generally either need to (a) collect and","page_number":169,"box":{"x":69,"y":574,"width":794,"height":11}},{"id":"50e320b1-0a0e-42b0-b775-40c3e6dca653","block_type":"box","text":"report to the IRS detailed information identifying their U.S. accounts and U.S. account holders, comply with due","page_number":169,"box":{"x":69,"y":589,"width":794,"height":11}},{"id":"53c1fd81-94f6-4e9e-823b-92175411389a","block_type":"box","text":"diligence procedures for identifying U.S. accounts and withhold tax on certain payments made to noncomplying","page_number":169,"box":{"x":69,"y":604,"width":791,"height":11}},{"id":"062b0085-61f4-4d59-826b-ed6a21a56fdc","block_type":"box","text":"foreign entities and account holders or (b) if an intergovernmental agreement is entered into and implementing","page_number":169,"box":{"x":68,"y":619,"width":791,"height":11}},{"id":"fa179ad0-44a2-4c51-b486-627ce7382fb8","block_type":"box","text":"legislation is adopted, comply with the agreement and legislation. Other foreign entities will generally either need to","page_number":169,"box":{"x":70,"y":634,"width":822,"height":12}},{"id":"ae49d5ec-591b-4bc0-b5cc-bb5e3a95e361","block_type":"box","text":"provide detailed information identifying each substantial U.S. owner or certify there are no such owners.","page_number":169,"box":{"x":70,"y":649,"width":739,"height":12}},{"id":"545176cd-1a62-4742-81d3-0ffba4e2fcfa","block_type":"box","text":"Under certain provisions of the Code, some shareholders may be subject to a 24% withholding tax on ordinary","page_number":169,"box":{"x":102,"y":672,"width":786,"height":11}},{"id":"f48cbb48-f22e-4b42-bc98-0d2e1c5f8ec4","block_type":"box","text":"income dividends, capital gain dividends and redemption payments (“backup withholding”). Generally, shareholders","page_number":169,"box":{"x":70,"y":687,"width":820,"height":11}},{"id":"4578de4b-97ee-4c0c-977c-0f25a6ee753a","block_type":"box","text":"subject to backup withholding will be non-corporate shareholders for whom no certified taxpayer identification number","page_number":169,"box":{"x":69,"y":702,"width":837,"height":12}},{"id":"f4404445-88f0-4193-a993-3b20121593a2","block_type":"box","text":"is on file with the Fund or who, to the Fund’s knowledge, have furnished an incorrect number. When establishing an","page_number":169,"box":{"x":70,"y":717,"width":821,"height":12}},{"id":"24ad853a-e5cd-42fc-9da6-c38d8e80a964","block_type":"box","text":"account, an investor must certify under penalty of perjury that such number is correct and that such investor is not","page_number":169,"box":{"x":69,"y":732,"width":819,"height":12}},{"id":"5b112e03-0d40-410e-9dcf-0548067b41d5","block_type":"box","text":"otherwise subject to backup withholding. Backup withholding is not an additional tax. Any amount withheld generally","page_number":169,"box":{"x":69,"y":748,"width":826,"height":11}},{"id":"522c5b58-3b1a-467f-b49a-7122b4f710ad","block_type":"box","text":"may be allowed as a refund or a credit against a shareholder’s U.S. federal income tax liability, provided that the","page_number":169,"box":{"x":69,"y":763,"width":802,"height":11}},{"id":"7f29877f-2810-4a0a-9803-763999bc84c4","block_type":"box","text":"required information is timely forwarded to the IRS.","page_number":169,"box":{"x":69,"y":778,"width":364,"height":11}},{"id":"640e6726-c5c8-47c8-a424-42b4daf5c7f0","block_type":"box","text":"If a shareholder recognizes a loss with respect to a Fund’s shares of at least $2 million in any single taxable","page_number":169,"box":{"x":102,"y":800,"width":774,"height":12}},{"id":"a068e13a-819a-4352-97ba-1dc4f4b53359","block_type":"box","text":"year or $4 million in any combination of taxable years for an individual shareholder or $10 million in any single","page_number":169,"box":{"x":68,"y":815,"width":787,"height":12}},{"id":"3fffdce8-f065-4e6f-bd34-5e33167c1f18","block_type":"box","text":"taxable year or $20 million in any combination of taxable years for a corporate shareholder in any single taxable year,","page_number":169,"box":{"x":68,"y":830,"width":835,"height":12}},{"id":"b0f7a59a-544a-45bd-9691-7aac8229ecf7","block_type":"box","text":"the shareholder must file a disclosure statement on IRS Form 8886 with the IRS. Direct shareholders of portfolio","page_number":169,"box":{"x":68,"y":846,"width":809,"height":11}},{"id":"461b3db7-c784-42a4-994a-c421c3a617d0","block_type":"box","text":"securities are in many cases exempted. That a loss is reportable under these regulations does not affect the legal","page_number":169,"box":{"x":69,"y":861,"width":817,"height":11}},{"id":"5b1a3f70-e652-426e-b9cf-469aca3558a0","block_type":"box","text":"determination of whether the taxpayer’s treatment of the loss is proper. Shareholders should consult their tax","page_number":169,"box":{"x":69,"y":876,"width":783,"height":11}},{"id":"fc4cec38-875e-4d29-a865-2e40f2ac5c51","block_type":"box","text":"advisors to determine the applicability of these regulations in light of their individual circumstances.","page_number":169,"box":{"x":69,"y":891,"width":710,"height":12}},{"id":"861e4d47-dddd-442f-826f-e3e6486cff79","block_type":"box","text":"II-133","page_number":169,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"d9357bd7-5065-4c53-a022-0d1c5638a3e0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":169,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"74a5a143-e2a7-49ff-8a47-f2194e59763f","block_type":"box","text":"Certain types of income received by a Fund from REITs, real estate mortgage investment conduits, taxable","page_number":170,"box":{"x":102,"y":45,"width":758,"height":11}},{"id":"178f1b8f-fc02-4ba5-99b5-63e3ac4413a4","block_type":"box","text":"mortgage pools or other investments may cause the Fund to report some or all of its distributions as “excess","page_number":170,"box":{"x":69,"y":60,"width":782,"height":11}},{"id":"1a60b0fd-8eb0-4849-8071-09f7ccc28439","block_type":"box","text":"inclusion income.” To Fund shareholders, such excess inclusion income may: (i) constitute taxable income, as","page_number":170,"box":{"x":70,"y":75,"width":783,"height":11}},{"id":"ac96b712-9377-4883-a831-81592e6bbf4e","block_type":"box","text":"unrelated business taxable income (“UBTI”) for those shareholders who would otherwise be tax-exempt such as","page_number":170,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"fcdf4dc1-e1f8-4828-bba6-0fd7465c5d09","block_type":"box","text":"individual retirement accounts, 401(k) accounts, Keogh plans, pension plans and certain charitable entities; (ii) not","page_number":170,"box":{"x":70,"y":105,"width":822,"height":11}},{"id":"3b20beb0-0649-46e4-9371-07da6ec2b59f","block_type":"box","text":"be offset by otherwise allowable deductions for tax purposes; (iii) not be eligible for reduced U.S. withholding for non","page_number":170,"box":{"x":69,"y":120,"width":836,"height":12}},{"id":"41fda5ba-5132-4aa0-bd7a-7ea3e722b6ab","block_type":"box","text":"U.S. shareholders even from tax treaty countries; and (iv) cause the Fund to be subject to tax if certain “disqualified","page_number":170,"box":{"x":70,"y":135,"width":826,"height":11}},{"id":"2c663935-f92f-4925-abe1-773cb589d462","block_type":"box","text":"organizations,” as defined by the Code, are Fund shareholders. The Fund tries to avoid investing in REITs that are","page_number":170,"box":{"x":69,"y":150,"width":808,"height":12}},{"id":"b169d952-bf88-42d1-8d5d-ba64ec0028c3","block_type":"box","text":"expected to generate excess inclusion income, but the Fund may not always be successful in doing so. Because","page_number":170,"box":{"x":69,"y":166,"width":800,"height":11}},{"id":"b5d60975-bb6a-474c-930b-9b700ed9f820","block_type":"box","text":"information about a REIT’s investments may be inadequate or inaccurate, or because a REIT may change its","page_number":170,"box":{"x":70,"y":181,"width":770,"height":11}},{"id":"c801befb-5848-4a57-b6e4-feb9d84c6947","block_type":"box","text":"investment program, the Fund may not be successful in avoiding the consequences described above. Avoidance of","page_number":170,"box":{"x":70,"y":196,"width":816,"height":11}},{"id":"bbbc9e46-f98c-4e2a-b8f2-233087167e46","block_type":"box","text":"investments in REITs that generate excess inclusion income may require the Fund to forego otherwise attractive","page_number":170,"box":{"x":70,"y":211,"width":796,"height":11}},{"id":"51cc30b9-78ca-46a3-8d4c-31d2d080ee79","block_type":"box","text":"investment opportunities.","page_number":170,"box":{"x":70,"y":226,"width":180,"height":11}},{"id":"ca207425-c1d6-4aa9-b6ec-9f06425ad2ce","block_type":"box","text":"Dividends and interest received and capital gains realized by a Fund may give rise to withholding and other taxes","page_number":170,"box":{"x":102,"y":249,"width":801,"height":11}},{"id":"38ecbc1a-5989-4279-88b9-31fdf5b45672","block_type":"box","text":"imposed by foreign countries. Tax conventions between certain foreign countries and the United States may reduce or","page_number":170,"box":{"x":70,"y":264,"width":839,"height":11}},{"id":"54e67b88-2cf8-449c-9e55-a5fd95339753","block_type":"box","text":"eliminate such taxes. Shareholders of a Fund more than 50% by value of the assets of which at the close of a taxable","page_number":170,"box":{"x":69,"y":279,"width":840,"height":11}},{"id":"585a34b0-9b3b-4557-acf6-127d419b7a44","block_type":"box","text":"year are foreign securities may be able to claim U.S. foreign tax credits with respect to such foreign taxes paid by the","page_number":170,"box":{"x":68,"y":294,"width":837,"height":11}},{"id":"74b29efe-7f0f-4465-934d-7ead39973cae","block_type":"box","text":"Fund, subject to certain requirements and limitations contained in the Code. For example, certain retirement","page_number":170,"box":{"x":70,"y":309,"width":774,"height":11}},{"id":"a4795344-4e9f-4951-bae1-c20bab1caf83","block_type":"box","text":"accounts and certain tax-exempt organizations cannot claim foreign tax credits on investments in foreign securities","page_number":170,"box":{"x":69,"y":324,"width":820,"height":12}},{"id":"4816132b-9b6d-4f70-a1f4-6202388566d2","block_type":"box","text":"held in a Fund. In addition, a foreign tax credit may be claimed with respect to withholding tax on payments with","page_number":170,"box":{"x":69,"y":339,"width":795,"height":12}},{"id":"562e9946-cc27-447e-9e9c-9764fa0881d2","block_type":"box","text":"respect to a security only if the holder of the security meets certain holding period requirements. Both the","page_number":170,"box":{"x":69,"y":355,"width":755,"height":11}},{"id":"8dafbf71-a644-40db-b70b-dd40bc95a769","block_type":"box","text":"shareholder and the Fund must meet these holding period requirements, and if a Fund fails to do so, it will not be","page_number":170,"box":{"x":69,"y":370,"width":811,"height":11}},{"id":"0fec441a-b1ea-43ea-b8cd-f4eb50ee02fd","block_type":"box","text":"able to “pass through” to shareholders the ability to claim a credit or a deduction for the related foreign taxes paid by","page_number":170,"box":{"x":69,"y":385,"width":839,"height":11}},{"id":"d5994faf-7fc3-4114-aa78-23352f18e833","block_type":"box","text":"the Fund. Further, to the extent that a Fund engages in securities lending with respect to a security paying income","page_number":170,"box":{"x":68,"y":400,"width":812,"height":11}},{"id":"ce211f04-4eb5-4d49-96a8-792d6443a031","block_type":"box","text":"subject to foreign taxes, it may not be able to pass through to its shareholders the ability to take a foreign tax credit","page_number":170,"box":{"x":69,"y":415,"width":829,"height":11}},{"id":"652e1d72-66e9-4d4d-8556-0edcacba6272","block_type":"box","text":"for those taxes. If a Fund satisfies the applicable requirements, such Fund will be eligible to file an election with the","page_number":170,"box":{"x":68,"y":430,"width":827,"height":11}},{"id":"0e775a7e-27e7-40b0-ae78-25050558e6e0","block_type":"box","text":"IRS pursuant to which shareholders of the Fund will be required to include their proportionate shares of such foreign","page_number":170,"box":{"x":70,"y":445,"width":829,"height":12}},{"id":"6b7b6a2c-791f-4dca-8b10-cdee852124ae","block_type":"box","text":"taxes in their U.S. income tax returns as gross income, treat such proportionate shares as taxes paid by them, and","page_number":170,"box":{"x":68,"y":460,"width":825,"height":12}},{"id":"53a71fa2-b507-4aa3-a243-f2485ac87c4b","block_type":"box","text":"deduct such proportionate shares in computing their taxable incomes or, alternatively, use them as foreign tax","page_number":170,"box":{"x":69,"y":475,"width":788,"height":12}},{"id":"21cb2723-ac71-41d9-88c1-74c066b55d87","block_type":"box","text":"credits against their U.S. income taxes. No deductions for foreign taxes, however, may be claimed by noncorporate","page_number":170,"box":{"x":69,"y":491,"width":818,"height":11}},{"id":"e1956b27-f56a-406c-bde9-67df4159db2c","block_type":"box","text":"shareholders who do not itemize deductions. A shareholder that is a nonresident alien individual or a foreign","page_number":170,"box":{"x":69,"y":506,"width":773,"height":11}},{"id":"03ac3d34-37b6-42bd-a3ef-da7e4ec4005a","block_type":"box","text":"corporation may be subject to U.S. withholding tax on the income resulting from a Fund’s election described in this","page_number":170,"box":{"x":69,"y":521,"width":817,"height":11}},{"id":"e305e51a-501c-42ef-85e5-809686b9b929","block_type":"box","text":"paragraph but may not be able to claim a credit or deduction against such U.S. tax for the foreign taxes treated as","page_number":170,"box":{"x":70,"y":536,"width":814,"height":11}},{"id":"838fe701-1b3e-4875-8df6-3900b3cf7216","block_type":"box","text":"having been paid by such shareholder. A Fund will report annually to its shareholders the amount per share of such","page_number":170,"box":{"x":69,"y":551,"width":821,"height":11}},{"id":"b0271011-9289-4c93-9ef3-37bcfc134fb2","block_type":"box","text":"foreign taxes and other information needed to claim the foreign tax credit.","page_number":170,"box":{"x":68,"y":566,"width":527,"height":11}},{"id":"2101ed53-58d0-4dec-92d7-7cfd617faa0f","block_type":"box","text":"Certain transactions entered into by the Funds are subject to special tax rules of the Code that may, among","page_number":170,"box":{"x":102,"y":589,"width":768,"height":11}},{"id":"bfb1a6f0-fb90-4b2d-80f3-81d5f8d32ef6","block_type":"box","text":"other things, (a) affect the character of gains and losses realized, (b) disallow, suspend or otherwise limit the","page_number":170,"box":{"x":69,"y":604,"width":780,"height":11}},{"id":"4531409d-d106-4abc-ab4d-040fe4ad2134","block_type":"box","text":"allowance of certain losses or deductions, and (c) accelerate the recognition of income without a corresponding","page_number":170,"box":{"x":69,"y":619,"width":797,"height":11}},{"id":"1a4043d5-f72e-4d30-a156-38b72c7f081d","block_type":"box","text":"receipt of cash (with which to make the necessary distributions to satisfy distribution requirements applicable to","page_number":170,"box":{"x":69,"y":634,"width":802,"height":11}},{"id":"73e2a1bb-6aa6-4399-bd5c-dc6538f3ff87","block_type":"box","text":"regulated investment companies). Operation of these rules could, therefore, affect the character, amount and timing","page_number":170,"box":{"x":69,"y":649,"width":831,"height":12}},{"id":"3f93b683-ec37-40b6-a1ef-fed87ee75c38","block_type":"box","text":"of distributions to shareholders. Special tax rules also may require a Fund to mark-to-market certain types of","page_number":170,"box":{"x":69,"y":664,"width":776,"height":12}},{"id":"0da3344a-2a93-4807-8f62-b2675a1e9605","block_type":"box","text":"positions in its portfolio (","page_number":170,"box":{"x":70,"y":680,"width":177,"height":11}},{"id":"a0e657fe-1c01-4daf-8b6b-397ef3e787f4","block_type":"box","text":"i.e.","page_number":170,"box":{"x":249,"y":680,"width":20,"height":9}},{"id":"f37096c0-3ed3-4da8-8ebd-aa73c7b1fd5d","block_type":"box","text":", treat them as sold on the last day of the taxable year), and may result in the recognition","page_number":170,"box":{"x":272,"y":680,"width":636,"height":11}},{"id":"4ee66633-ebbe-4538-925d-191bfa9ddcd3","block_type":"box","text":"of income without a corresponding receipt of cash. Funds engaging in transactions affected by these provisions","page_number":170,"box":{"x":69,"y":695,"width":795,"height":11}},{"id":"81a0e16e-d459-408e-a425-e9ee7c116ecf","block_type":"box","text":"intend to monitor their transactions, make appropriate tax elections and make appropriate entries in their books and","page_number":170,"box":{"x":70,"y":710,"width":830,"height":11}},{"id":"e0a26142-7b0d-4930-803a-a1d0c54ecd52","block_type":"box","text":"records to lessen the effect of these tax rules and avoid any possible disqualification from the special treatment","page_number":170,"box":{"x":69,"y":725,"width":804,"height":11}},{"id":"b416fecb-05cc-4266-a7a8-650d45455c44","block_type":"box","text":"afforded regulated investment companies under the Code.","page_number":170,"box":{"x":69,"y":740,"width":415,"height":11}},{"id":"fbb8af1b-451e-4b6e-a42f-1f15aaa33f8c","block_type":"box","text":"Certain of a Fund’s investments in derivative instruments and foreign currency-denominated instruments, and","page_number":170,"box":{"x":102,"y":763,"width":781,"height":11}},{"id":"2df66821-83b6-484a-bb79-d24e91e0b15c","block_type":"box","text":"any of the Fund’s transactions in foreign currencies and hedging activities, are likely to produce a difference between","page_number":170,"box":{"x":69,"y":778,"width":835,"height":11}},{"id":"f1673679-14d6-4336-a96e-c05af45359f4","block_type":"box","text":"its book income and the sum of its taxable income and net tax-exempt income (if any). If such a difference arises,","page_number":170,"box":{"x":70,"y":793,"width":811,"height":11}},{"id":"1d581916-1fb4-48cd-a8c3-21adf868daec","block_type":"box","text":"and the Fund’s book income is less than the sum of its taxable income and net tax-exempt income, the Fund could","page_number":170,"box":{"x":69,"y":808,"width":818,"height":11}},{"id":"444823ff-c76d-4c04-aa2b-78c5acb8c406","block_type":"box","text":"be required to make distributions exceeding book income to qualify as a RIC that is accorded special tax treatment","page_number":170,"box":{"x":69,"y":823,"width":820,"height":12}},{"id":"1457b6d9-0351-4d54-8582-e6d0360b65da","block_type":"box","text":"and to avoid an entity-level tax. In the alternative, if the Fund makes any distribution based on book income and such","page_number":170,"box":{"x":69,"y":838,"width":834,"height":11}},{"id":"703f0afd-5675-42a7-90f4-8838450b6fbb","block_type":"box","text":"book income exceeds the sum of its taxable income (including realized capital gains) and net tax-exempt income, the","page_number":170,"box":{"x":69,"y":853,"width":833,"height":12}},{"id":"fe121e85-185d-442b-b3f5-bf228ba6b5bf","block_type":"box","text":"distribution (if any) of such excess generally will be treated as (i) a dividend to the extent of the Fund’s remaining","page_number":170,"box":{"x":69,"y":869,"width":805,"height":11}},{"id":"fac29830-d557-48cb-b48b-907f83ab1a4b","block_type":"box","text":"II-134","page_number":170,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"d2700fb8-c844-47f2-9d0b-4b3edca3bb6e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":170,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"45e98131-7fbb-4ea6-859d-273b16db0793","block_type":"box","text":"earnings and profits (including earnings and profits arising from tax-exempt income), (ii) thereafter, as a return of","page_number":171,"box":{"x":69,"y":45,"width":805,"height":11}},{"id":"9fea7d26-7d94-4d54-aff8-bac749051db4","block_type":"box","text":"capital to the extent of the recipient’s basis in its shares, and (iii) thereafter as gain from the sale or exchange of a","page_number":171,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"e3cebc75-8c5f-4906-ac39-b29c28d5a02e","block_type":"box","text":"capital asset.","page_number":171,"box":{"x":69,"y":75,"width":95,"height":11}},{"id":"32bcbeac-07ba-4508-941d-0853de9b425e","block_type":"box","text":"If a Fund invests in underlying funds, the Fund’s realized losses on sales of shares of underlying funds may be","page_number":171,"box":{"x":102,"y":98,"width":787,"height":11}},{"id":"8d411ca7-bf6b-4139-844a-b322a689895a","block_type":"box","text":"indefinitely or permanently deferred as “wash sales.” Distributions of short-term capital gains by underlying funds will","page_number":171,"box":{"x":70,"y":113,"width":836,"height":11}},{"id":"93dc9364-2095-48f9-ac00-1df5f3c1ffa8","block_type":"box","text":"be recognized as ordinary income by the Fund and would not be offset by the Fund’s capital loss carryforwards, if","page_number":171,"box":{"x":69,"y":128,"width":812,"height":11}},{"id":"efdf4c0e-c9df-4016-99f7-6c8405d2c5bd","block_type":"box","text":"any. Capital loss carryforwards of underlying funds, if any, would not offset net capital gains of the Fund. Each of","page_number":171,"box":{"x":69,"y":143,"width":805,"height":11}},{"id":"b055f61c-96a9-404f-a65e-3b489d5f5a02","block_type":"box","text":"these effects is caused by the Fund’s expected investment in the underlying funds and may result in distributions to","page_number":171,"box":{"x":68,"y":158,"width":829,"height":11}},{"id":"cfa57ef9-703d-4614-93ab-a64a00dd6fce","block_type":"box","text":"Fund shareholders being of higher magnitudes and less likely to qualify for lower capital gain tax rates than if the","page_number":171,"box":{"x":70,"y":173,"width":803,"height":11}},{"id":"7a4a4ea6-6da5-4895-9fd3-b05096749f63","block_type":"box","text":"Fund were to invest otherwise.","page_number":171,"box":{"x":70,"y":188,"width":216,"height":9}},{"id":"634c2edc-b2f8-4d20-ab9b-edfa2f329bb3","block_type":"box","text":"A Fund may take certain positions through a wholly-owned (or majority-owned), foreign subsidiary (the","page_number":171,"box":{"x":101,"y":211,"width":721,"height":11}},{"id":"5857901f-15cc-4413-9534-c5984a06b4d2","block_type":"box","text":"“Subsidiary”). It is expected that the Subsidiary will be a “controlled foreign corporation” and that all of its net","page_number":171,"box":{"x":70,"y":226,"width":787,"height":11}},{"id":"70448332-439a-4639-9a90-6805303c2e14","block_type":"box","text":"income will be “subpart F income” for U.S. federal income tax purposes. If that is the case, the Fund will be required","page_number":171,"box":{"x":70,"y":241,"width":831,"height":11}},{"id":"b4a61d5a-8e68-4de7-a8f9-80fc4a9fcfc5","block_type":"box","text":"to report all of the Subsidiary’s net income as ordinary income regardless of whether that income would be treated","page_number":171,"box":{"x":68,"y":256,"width":823,"height":12}},{"id":"b8264533-766b-45a4-b104-dbf9475e6c26","block_type":"box","text":"differently (for example, as capital gain) at the Subsidiary level and regardless of whether that income is distributed","page_number":171,"box":{"x":69,"y":271,"width":825,"height":12}},{"id":"72a3b14e-b27c-4fbc-83bb-1eaa4cf300cf","block_type":"box","text":"to the Fund. (Previously taxed income will not, however, be taxable again when distributed.) If a net loss is realized by","page_number":171,"box":{"x":68,"y":286,"width":838,"height":12}},{"id":"697a07e2-a914-4094-b4fe-6930f266e20a","block_type":"box","text":"the Subsidiary in any taxable year, the loss will generally not be available to offset the Fund’s other income. It is not","page_number":171,"box":{"x":68,"y":302,"width":830,"height":11}},{"id":"ba179c78-139b-4954-aeec-0ca8e65d5572","block_type":"box","text":"expected that the Subsidiary will be subject to an entity-level federal tax.","page_number":171,"box":{"x":69,"y":317,"width":515,"height":11}},{"id":"4dd4d9bf-5dcd-4f9e-b129-07ca53722d0e","block_type":"box","text":"If a Fund purchases shares of an investment company (or similar investment entity) organized under foreign law,","page_number":171,"box":{"x":102,"y":339,"width":798,"height":12}},{"id":"cb07f7e2-15c0-40bb-b668-bf650b16f742","block_type":"box","text":"the Fund will generally be treated as owning shares in a passive foreign investment company (“PFIC”) for U.S. federal","page_number":171,"box":{"x":68,"y":355,"width":835,"height":11}},{"id":"a2bc0d80-7af8-4508-bd29-c4f81171616a","block_type":"box","text":"income tax purposes. A Fund may be subject to U.S. federal income tax, and interest charges (at the rate applicable","page_number":171,"box":{"x":70,"y":370,"width":827,"height":11}},{"id":"7fe4e57c-b722-4f5c-91c2-9f3c5b0ec306","block_type":"box","text":"to tax underpayments) on tax liability treated as having been deferred with respect to certain distributions from such","page_number":171,"box":{"x":68,"y":385,"width":830,"height":11}},{"id":"db85378c-333c-4a77-9888-4003159d5d85","block_type":"box","text":"a company and on gain from the disposition of the shares of such a company (collectively referred to as “excess","page_number":171,"box":{"x":69,"y":400,"width":802,"height":11}},{"id":"e776d488-79dd-4162-97a9-3db0f60a8e22","block_type":"box","text":"distributions”), even if such excess distributions are paid by the Fund as a dividend to its shareholders. However, a","page_number":171,"box":{"x":69,"y":415,"width":821,"height":11}},{"id":"bddfbbf6-ccd9-4e8f-bd37-24191603539a","block_type":"box","text":"Fund may elect to “mark-to-market” at the end of each taxable year shares that it holds in PFICs. The election is","page_number":171,"box":{"x":70,"y":430,"width":797,"height":11}},{"id":"8c9d0152-c80e-4f31-bb2c-77591bb69077","block_type":"box","text":"made separately for each PFIC held and, once made, would be effective for all subsequent taxable years, unless","page_number":171,"box":{"x":69,"y":445,"width":801,"height":11}},{"id":"f4cf00da-54b2-4408-b680-98f85ee28680","block_type":"box","text":"revoked with consent from the IRS. Under this election, a Fund would recognize as ordinary income any increase in","page_number":171,"box":{"x":69,"y":460,"width":818,"height":12}},{"id":"646b672c-fe28-4dd0-8cb4-f3b6144c61c1","block_type":"box","text":"the value of its shares as of the close of the taxable year over their adjusted tax basis and as ordinary loss any","page_number":171,"box":{"x":68,"y":475,"width":797,"height":12}},{"id":"73d68a35-904f-4188-b49c-efbbbbb724dd","block_type":"box","text":"decrease in such value, but only to the extent of previously recognized “mark-to-market” gains. By making the mark","page_number":171,"box":{"x":69,"y":491,"width":824,"height":11}},{"id":"df001a07-7059-447f-9c3c-665f5f85b400","block_type":"box","text":"to-market election, a Fund could avoid imposition of the interest charge with respect to excess distributions from","page_number":171,"box":{"x":68,"y":506,"width":804,"height":11}},{"id":"15c53d41-0ba4-4962-9846-83bc08ccb9c7","block_type":"box","text":"PFICs, but in any particular year might be required to recognize income in excess of the distributions it received from","page_number":171,"box":{"x":69,"y":521,"width":831,"height":11}},{"id":"da0ef420-e991-4392-8a85-30817312192e","block_type":"box","text":"PFICs.","page_number":171,"box":{"x":69,"y":536,"width":42,"height":9}},{"id":"832ae1e5-9f1a-4483-bf17-c42b50a4fd4b","block_type":"box","text":"If a Fund were to invest in a PFIC and elect to treat the PFIC as a “qualified electing fund” under the Code, in lieu","page_number":171,"box":{"x":102,"y":559,"width":804,"height":11}},{"id":"654c940c-45f8-4bca-baf4-71638586ae71","block_type":"box","text":"of the foregoing requirements, the Fund would be required to include in income each year a portion of the ordinary","page_number":171,"box":{"x":69,"y":574,"width":816,"height":11}},{"id":"7a39335f-b3d9-4747-b180-a763ef47e89a","block_type":"box","text":"earnings and net capital gains of the qualified electing fund, even if not distributed to the Fund, and such amounts","page_number":171,"box":{"x":69,"y":589,"width":816,"height":11}},{"id":"fa54baf6-5131-47fb-a7e9-705145f23fce","block_type":"box","text":"would be subject to the 90% and excise tax distribution requirements described above. In order to make this election,","page_number":171,"box":{"x":68,"y":604,"width":840,"height":11}},{"id":"109d87ba-3180-4efc-82af-f929c70d0fc4","block_type":"box","text":"the Fund would be required to obtain certain annual information from the PFICs in which it invests, which may be","page_number":171,"box":{"x":68,"y":619,"width":804,"height":11}},{"id":"01d4122f-eda8-443b-9a84-25c562208d94","block_type":"box","text":"difficult or impossible to obtain.","page_number":171,"box":{"x":69,"y":634,"width":225,"height":11}},{"id":"600a0db8-a27a-402d-bf22-cae31ea8566a","block_type":"box","text":"In certain situations, a Fund may, for a taxable year, defer all or a portion of its net capital loss (or if there is no","page_number":171,"box":{"x":102,"y":657,"width":796,"height":11}},{"id":"eea7f087-7735-4df6-b238-3008a6f3b858","block_type":"box","text":"net capital loss, any net long-term or short-term capital loss) realized after October and its late-year ordinary loss","page_number":171,"box":{"x":69,"y":672,"width":806,"height":11}},{"id":"56762d4c-b66b-451c-9dd5-e432c7f47300","block_type":"box","text":"(defined as the sum of the excess of post-October foreign currency and PFIC losses over post-October foreign","page_number":171,"box":{"x":69,"y":687,"width":778,"height":11}},{"id":"9326e8c2-4d13-4f6b-b0ae-5d1595730b34","block_type":"box","text":"currency and PFIC gains plus the excess of post-December ordinary losses over post-December ordinary income) until","page_number":171,"box":{"x":69,"y":702,"width":838,"height":12}},{"id":"a6132b65-bef8-4e22-a78b-c95a2be9eb39","block_type":"box","text":"the next taxable year in computing its investment company taxable income and net capital gain, which will defer the","page_number":171,"box":{"x":68,"y":717,"width":824,"height":12}},{"id":"7c03e281-9df2-4c9f-99f7-629930f89091","block_type":"box","text":"recognition of such realized losses. Such deferrals and other rules regarding gains and losses realized after October","page_number":171,"box":{"x":69,"y":732,"width":830,"height":12}},{"id":"b41a4e9f-702f-45c1-a734-97be4d0fb490","block_type":"box","text":"(or December) may affect the tax character of shareholder distributions.","page_number":171,"box":{"x":69,"y":748,"width":511,"height":11}},{"id":"3d29d35b-0c03-452f-844c-4210388a3314","block_type":"box","text":"Municipal Funds","page_number":171,"box":{"x":102,"y":771,"width":115,"height":10}},{"id":"28fcc94c-83c2-48a6-a7b6-266bb9f830c6","block_type":"box","text":"Each Municipal Fund intends to qualify to pay “exempt-interest dividends” as defined in Section 852(b)(5) of the","page_number":171,"box":{"x":102,"y":793,"width":798,"height":11}},{"id":"ea07b065-7dbf-4278-aaf0-cd82a8adf11c","block_type":"box","text":"Code. Under such section if, at the close of each quarter of a Fund’s taxable year, at least 50% of the value of the","page_number":171,"box":{"x":69,"y":808,"width":815,"height":11}},{"id":"1daf6ba7-303d-4e82-94dc-e7a0e1041aac","block_type":"box","text":"Fund’s total assets consists of obligations exempt from U.S. federal income tax (“tax-exempt obligations”) under","page_number":171,"box":{"x":70,"y":823,"width":803,"height":12}},{"id":"92639d42-1df7-4346-a97c-9675756b0efd","block_type":"box","text":"Section 103(a) of the Code (relating generally to obligations of a state or local governmental unit), the Fund shall be","page_number":171,"box":{"x":69,"y":838,"width":826,"height":12}},{"id":"5cfc7abd-34cb-4021-b7a4-ac1325664fa6","block_type":"box","text":"qualified to pay exempt-interest dividends to holders of all outstanding classes of its shares (together the","page_number":171,"box":{"x":69,"y":853,"width":752,"height":12}},{"id":"691dd991-f3bd-4524-830c-33000139daa0","block_type":"box","text":"“shareholders”). Exempt-interest dividends are dividends or any part thereof paid by a Fund that are attributable to","page_number":171,"box":{"x":70,"y":869,"width":817,"height":11}},{"id":"a3153c8b-91e0-469b-ac9b-393c16970c19","block_type":"box","text":"interest on tax-exempt obligations and reported by the Fund as exempt-interest dividends. A Fund will allocate","page_number":171,"box":{"x":70,"y":884,"width":780,"height":11}},{"id":"0ed369da-bb0f-416a-addb-ab050fdb6240","block_type":"box","text":"interest from tax-exempt obligations (as well as ordinary income, capital gains and tax preference items discussed","page_number":171,"box":{"x":70,"y":899,"width":815,"height":11}},{"id":"906b0fee-bcba-427b-b237-1d23ea9a0bae","block_type":"box","text":"II-135","page_number":171,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"dbabf298-739e-4b31-8941-1104d1568e5a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":171,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"03c4d442-642d-4586-ba81-282ef689f1d2","block_type":"box","text":"below) among the Fund’s shareholders according to a method (that it believes is consistent with the Commission rule","page_number":172,"box":{"x":69,"y":45,"width":839,"height":11}},{"id":"e970ebd7-9a2e-4c94-a9eb-b5bc32ad8ecc","block_type":"box","text":"permitting the issuance and sale of multiple classes of shares) that is based upon the gross income that is allocable","page_number":172,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"f7bf13b5-cc23-4b18-9209-4ddbc25748d5","block_type":"box","text":"to each class of shareholders during the taxable year, or such other method as the IRS may prescribe.","page_number":172,"box":{"x":68,"y":75,"width":730,"height":11}},{"id":"f2f0f2dc-658f-4421-b1b8-f669fa5d5fda","block_type":"box","text":"Exempt-interest dividends will be excludable from a shareholder’s gross income for U.S. federal income tax","page_number":172,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"700e9695-c430-4568-b68f-2e00e09b39b7","block_type":"box","text":"purposes. Exempt-interest dividends are included, however, in determining the portion, if any, of a person’s social","page_number":172,"box":{"x":70,"y":113,"width":809,"height":11}},{"id":"b63a8aaf-7ac8-4ff2-9d6a-021f80646913","block_type":"box","text":"security and railroad retirement benefits subject to U.S. federal income taxes. Interest on indebtedness incurred or","page_number":172,"box":{"x":69,"y":128,"width":821,"height":11}},{"id":"ac3468ef-c881-4ce7-872d-483bca5068b8","block_type":"box","text":"continued to purchase or carry shares of a regulated investment company paying exempt-interest dividends, such as","page_number":172,"box":{"x":69,"y":143,"width":831,"height":11}},{"id":"cede5b18-39dc-47ab-9c78-0cc058c09bc0","block_type":"box","text":"the Fund, will not be deductible by the investor for U.S. federal income tax purposes to the extent attributable to","page_number":172,"box":{"x":68,"y":158,"width":800,"height":11}},{"id":"8945f65e-bd5b-4f87-8d7a-3dcb732f06f9","block_type":"box","text":"exempt-interest dividends. Shareholders are advised to consult their tax advisors with respect to whether exempt","page_number":172,"box":{"x":69,"y":173,"width":810,"height":11}},{"id":"0ce2a430-99f2-475c-b71f-cf28836bf389","block_type":"box","text":"interest dividends retain the exclusion under Code Section 103(a) if a shareholder would be treated as a “substantial","page_number":172,"box":{"x":70,"y":188,"width":836,"height":11}},{"id":"eef85efa-e362-42fd-abb7-edc50d576a03","block_type":"box","text":"user” or “related person” under Code Section 147(a) with respect to property financed with the proceeds of an issue","page_number":172,"box":{"x":69,"y":203,"width":835,"height":12}},{"id":"05250c0c-a06a-4546-976c-f70b6ebc0369","block_type":"box","text":"of PABs, if any, held by a Fund.","page_number":172,"box":{"x":69,"y":218,"width":217,"height":12}},{"id":"f52981fb-dfef-43e5-9387-cf6574468cfa","block_type":"box","text":"Substitute payments received by a Fund representing interest paid on tax-exempt obligations loaned out by the","page_number":172,"box":{"x":102,"y":241,"width":788,"height":11}},{"id":"d04060e1-af0a-4a70-9a5f-fe7dd36fdf51","block_type":"box","text":"Fund will not be considered exempt interest, and distributions by the Fund of such substitute payments will not","page_number":172,"box":{"x":70,"y":256,"width":790,"height":11}},{"id":"965d8e43-127c-4d16-a4d9-beb7bd240339","block_type":"box","text":"constitute exempt-interest dividends.","page_number":172,"box":{"x":69,"y":272,"width":261,"height":10}},{"id":"e2343f4e-4f0b-454c-8727-ea811902ff52","block_type":"box","text":"Distributions in excess of a Fund’s earnings and profits will first reduce the adjusted tax basis of a holder’s","page_number":172,"box":{"x":102,"y":294,"width":765,"height":11}},{"id":"295c6956-d894-420a-9ad7-dd86bffe0d92","block_type":"box","text":"shares and, after such adjusted tax basis is reduced to zero, will constitute capital gains to such holder (assuming","page_number":172,"box":{"x":69,"y":309,"width":819,"height":11}},{"id":"3ca739f6-72a3-449a-afca-49de9da8e0e6","block_type":"box","text":"the shares are held as a capital asset). Any loss upon the sale or exchange of Fund shares held for six months or","page_number":172,"box":{"x":68,"y":324,"width":813,"height":12}},{"id":"9e0bb7f0-8994-43ad-9200-2b4e08c9a685","block_type":"box","text":"less will be disallowed to the extent of any exempt-interest dividends received by the shareholder. In addition, any","page_number":172,"box":{"x":70,"y":339,"width":809,"height":12}},{"id":"c295e16d-cac1-4858-9083-5e541e162190","block_type":"box","text":"such loss that is not disallowed under the rule stated above will be treated as long-term capital loss to the extent of","page_number":172,"box":{"x":69,"y":355,"width":829,"height":11}},{"id":"324126c9-5d26-43a0-9579-9413f6e4e7ff","block_type":"box","text":"any capital gain dividends received by the shareholder.","page_number":172,"box":{"x":69,"y":370,"width":388,"height":11}},{"id":"b54dc21a-688f-4de1-920f-5548f4420871","block_type":"box","text":"All or a portion of a Fund’s gains from the sale or redemption of tax-exempt obligations purchased at a market","page_number":172,"box":{"x":101,"y":392,"width":787,"height":12}},{"id":"b83cc0e3-1af7-427c-893f-d38a8f988797","block_type":"box","text":"discount will be treated as ordinary income rather than capital gain. This rule may increase the amount of ordinary","page_number":172,"box":{"x":69,"y":407,"width":817,"height":12}},{"id":"59a34773-1b1f-476b-9f98-8ff3e967b9da","block_type":"box","text":"income dividends received by shareholders.","page_number":172,"box":{"x":70,"y":423,"width":309,"height":11}},{"id":"72c0ba9f-0a1f-4f4a-8629-c43436e42eb0","block_type":"box","text":"Any market discount recognized on a bond is taxable as ordinary income. A market discount bond is a bond","page_number":172,"box":{"x":101,"y":446,"width":766,"height":11}},{"id":"f19001f7-ba7b-4255-a79a-04ebd8de6440","block_type":"box","text":"acquired in the secondary market at a price below redemption value or adjusted issue price if issued with original","page_number":172,"box":{"x":69,"y":460,"width":808,"height":12}},{"id":"29b0eee5-d5d1-4bb9-bcdc-f97898ed1085","block_type":"box","text":"issue discount. Absent an election by the Fund to include the market discount in income as it accrues, gain on the","page_number":172,"box":{"x":70,"y":476,"width":815,"height":11}},{"id":"18df3d37-d28b-4cff-a01b-f86efdad7ce4","block_type":"box","text":"Fund’s disposition of such an obligation will be treated as ordinary income rather than capital gain to the extent of","page_number":172,"box":{"x":70,"y":491,"width":815,"height":11}},{"id":"5a636b3e-850c-4017-b94c-f5179bfe0624","block_type":"box","text":"the accrued market discount.","page_number":172,"box":{"x":68,"y":506,"width":208,"height":9}},{"id":"4b84d918-ea01-4194-b55f-2677d8802d47","block_type":"box","text":"The Code subjects interest received on certain otherwise tax-exempt securities to a federal alternative minimum","page_number":172,"box":{"x":101,"y":528,"width":801,"height":12}},{"id":"fb5b8df6-cd76-443f-a41e-693850a8250f","block_type":"box","text":"tax. The alternative minimum tax applies to interest received on certain “PABs” issued after August 7, 1986. PABs","page_number":172,"box":{"x":68,"y":543,"width":818,"height":12}},{"id":"e6d6d7a4-2303-4a5d-b546-d6a6271a256d","block_type":"box","text":"are bonds that, although tax-exempt, are used for purposes other than those generally performed by governmental","page_number":172,"box":{"x":69,"y":559,"width":816,"height":11}},{"id":"9b6ee330-4a66-46ea-bbdf-d11cb81e2bb0","block_type":"box","text":"units and that benefit non-governmental entities (","page_number":172,"box":{"x":69,"y":574,"width":351,"height":11}},{"id":"3071564c-5780-4b7a-8743-801499084ba5","block_type":"box","text":"e.g.","page_number":172,"box":{"x":422,"y":575,"width":24,"height":10}},{"id":"b985c4f6-392f-4ee4-95bc-ac71d1529337","block_type":"box","text":", bonds used for industrial development or housing purposes).","page_number":172,"box":{"x":449,"y":574,"width":441,"height":11}},{"id":"ea99a00c-cfe6-41d3-8ecd-f1d6ceaca6d5","block_type":"box","text":"Income received on such bonds is classified as an item of “tax preference,” which could subject certain investors in","page_number":172,"box":{"x":70,"y":589,"width":827,"height":11}},{"id":"b110950e-3bb5-4d61-91ce-ed208c25011c","block_type":"box","text":"such bonds, including shareholders of a Fund, to a federal alternative minimum tax. A Fund will purchase such","page_number":172,"box":{"x":69,"y":604,"width":786,"height":11}},{"id":"76fc4495-080c-46ca-a9ef-78565bc1cea9","block_type":"box","text":"“PABs” and will report to shareholders after the close of the calendar year the portion of the Fund’s dividends","page_number":172,"box":{"x":70,"y":619,"width":782,"height":11}},{"id":"e6d9cbf2-3690-4fc2-a2ea-d33973a29018","block_type":"box","text":"declared during the year that constitute an item of tax preference for alternative minimum tax purposes.","page_number":172,"box":{"x":69,"y":634,"width":740,"height":12}},{"id":"77aedab4-c65e-49bd-9350-653f34ebce34","block_type":"box","text":"Each Municipal Fund may engage in interest rate swap transactions. The U.S. federal income tax rules governing","page_number":172,"box":{"x":102,"y":657,"width":802,"height":11}},{"id":"dffbe4e9-b38c-4630-8dbe-df16ec04019d","block_type":"box","text":"the taxation of interest rate swaps are not entirely clear and may require a Fund to treat payments received under","page_number":172,"box":{"x":68,"y":672,"width":812,"height":11}},{"id":"fc063877-251a-4e2b-a416-0adaa2d498db","block_type":"box","text":"such arrangements as ordinary income and to amortize payments made under certain circumstances. Because","page_number":172,"box":{"x":69,"y":687,"width":794,"height":11}},{"id":"6d7dada3-33be-4674-a830-72422e0679ca","block_type":"box","text":"payments received by a Fund in connection with swap transactions will be taxable rather than tax-exempt and","page_number":172,"box":{"x":70,"y":703,"width":776,"height":10}},{"id":"2a3c5580-9c6d-43e4-a3b5-0972a15a86e6","block_type":"box","text":"because swap payments made by a Fund will offset both taxable and tax-exempt gross income proportionately, they","page_number":172,"box":{"x":69,"y":717,"width":826,"height":12}},{"id":"918c7262-93e3-46d2-8da5-ae9508cd9ee1","block_type":"box","text":"may result in increased taxable distributions to shareholders.","page_number":172,"box":{"x":69,"y":733,"width":436,"height":11}},{"id":"337bdc4b-c417-4da7-8624-4e548d1c36f3","block_type":"box","text":"Please see Part I of your Fund’s SAI for certain state tax information relevant to an investment in BlackRock","page_number":172,"box":{"x":102,"y":755,"width":771,"height":11}},{"id":"0dfaff94-e93c-43e4-bc1a-58a710d5e946","block_type":"box","text":"California Municipal Opportunities Fund, BlackRock New Jersey Municipal Bond Fund, BlackRock New York Municipal","page_number":172,"box":{"x":69,"y":770,"width":828,"height":11}},{"id":"d5f8a984-869b-42b6-8f03-f11c0a154e42","block_type":"box","text":"Opportunities Fund and BlackRock Pennsylvania Municipal Bond Fund, as well as information on economic conditions","page_number":172,"box":{"x":69,"y":785,"width":836,"height":12}},{"id":"aea78887-55ac-40de-869f-c53b8b01245c","block_type":"box","text":"within each applicable state.","page_number":172,"box":{"x":68,"y":801,"width":203,"height":11}},{"id":"9da4c135-7093-42be-a922-77b707d2d01e","block_type":"box","text":"In the case of a Feeder Fund, such Fund is entitled to look to the underlying assets of the Master Portfolio in","page_number":172,"box":{"x":102,"y":823,"width":774,"height":12}},{"id":"3fd3a49a-1f3d-4f82-abbf-db3fc9cd3c71","block_type":"box","text":"which it has invested for purposes of satisfying various qualification requirements of the Code applicable to regulated","page_number":172,"box":{"x":68,"y":838,"width":837,"height":12}},{"id":"c742dfe5-9882-4329-a252-a989740e2417","block_type":"box","text":"investment companies. Each Master Portfolio is classified either as a partnership or a separate disregarded entity","page_number":172,"box":{"x":70,"y":853,"width":816,"height":12}},{"id":"99cc31ee-85f0-488a-9c48-14bafc7dd971","block_type":"box","text":"(depending on the particular Master Portfolio) for U.S. federal income tax purposes. If applicable tax provisions were","page_number":172,"box":{"x":69,"y":869,"width":830,"height":11}},{"id":"cc65f6e2-2bf3-4892-8462-f0ad6c69db9f","block_type":"box","text":"to change the classification of a Master Portfolio, then the Board of Directors of a Feeder Fund would determine, in","page_number":172,"box":{"x":68,"y":884,"width":822,"height":11}},{"id":"51ca8de6-264a-462f-8508-0a9c59585836","block_type":"box","text":"its discretion, the appropriate course of action for the Feeder Fund. One possible course of action would be to","page_number":172,"box":{"x":70,"y":899,"width":783,"height":11}},{"id":"56a65794-9f8b-418c-bab6-6984073bbfc7","block_type":"box","text":"II-136","page_number":172,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"afe53714-044a-42e3-b44d-2cb87e71fd65","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":172,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"60eef8de-8cbe-4c50-9881-baba1c7041be","block_type":"box","text":"withdraw the Feeder Fund’s investments from the Master Portfolio and to retain an investment manager to manage","page_number":173,"box":{"x":68,"y":45,"width":822,"height":11}},{"id":"900ae394-3fe5-4b1c-88a1-2e53021a97b7","block_type":"box","text":"the Feeder Fund’s assets in accordance with the investment policies applicable to the Feeder Fund.","page_number":173,"box":{"x":68,"y":60,"width":710,"height":11}},{"id":"75cc0ebe-789f-491a-8f04-eb70bdaf14fb","block_type":"box","text":"Ordinary income and capital gain dividends may also be subject to state and local taxes. Certain states exempt","page_number":173,"box":{"x":102,"y":83,"width":796,"height":11}},{"id":"02490328-37be-458e-8905-3ab376654d37","block_type":"box","text":"from state income taxation dividends paid by regulated investment companies that are derived from interest on U.S.","page_number":173,"box":{"x":68,"y":98,"width":828,"height":11}},{"id":"77ff0c44-e8ec-45de-bc68-758f5ad9fd47","block_type":"box","text":"government obligations. State law varies as to whether dividend income attributable to U.S. government obligations is","page_number":173,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"cf265680-f66a-4b6f-baa0-703b4106f5bd","block_type":"box","text":"exempt from state income tax.","page_number":173,"box":{"x":69,"y":128,"width":216,"height":11}},{"id":"4ab3105b-aebf-4b23-b005-3a2ba3a849d1","block_type":"box","text":"Shareholders of each Fund are urged to consult their tax advisers regarding specific questions as to federal,","page_number":173,"box":{"x":102,"y":150,"width":771,"height":12}},{"id":"5c1d9ad7-8d7f-4641-b206-99daf091a13e","block_type":"box","text":"foreign, state or local taxes with respect to their Fund. Foreign investors should consider applicable foreign taxes in","page_number":173,"box":{"x":68,"y":166,"width":823,"height":11}},{"id":"e57bde65-b3d1-406a-aea1-530b942d2a08","block_type":"box","text":"their evaluation of an investment in a Fund.","page_number":173,"box":{"x":68,"y":181,"width":309,"height":9}},{"id":"06048af2-c1cd-4169-b7ec-2631c2d93404","block_type":"box","text":"The foregoing general discussion of U.S. federal income tax consequences is based on the Code and the","page_number":173,"box":{"x":101,"y":203,"width":749,"height":12}},{"id":"b9ac5c0b-4c8a-4343-8cae-e27fcd1d010d","block_type":"box","text":"regulations issued thereunder as in effect on the date of this SAI. Future legislative or administrative changes or","page_number":173,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"8b0b1c78-1fde-4406-a55e-663763de8348","block_type":"box","text":"court decisions may significantly change the conclusions expressed in this discussion, and any such changes or","page_number":173,"box":{"x":69,"y":234,"width":801,"height":11}},{"id":"c5ed4acd-724c-4796-9a41-95332994a293","block_type":"box","text":"decisions may have a retroactive effect.","page_number":173,"box":{"x":69,"y":249,"width":283,"height":11}},{"id":"2062a34b-f337-475e-8907-97c8d182ae2b","block_type":"box","text":"PERFORMANCE DATA","page_number":173,"box":{"x":403,"y":278,"width":173,"height":10}},{"id":"2dff35a5-e85c-4a6b-acd6-bc5576ba69ae","block_type":"box","text":"From time to time a Fund may include its average annual total return and other total return data, and, if","page_number":173,"box":{"x":102,"y":301,"width":738,"height":11}},{"id":"801b4317-0c46-47d9-8278-dbc201e0e08e","block_type":"box","text":"applicable, yield and tax-equivalent yield in advertisements or information furnished to present or prospective","page_number":173,"box":{"x":69,"y":316,"width":779,"height":11}},{"id":"59ef3136-0c09-4c20-8387-e19974d2a6af","block_type":"box","text":"shareholders. Total return, yield and tax-equivalent yield each is based on a Fund’s historical performance and is not","page_number":173,"box":{"x":69,"y":331,"width":833,"height":11}},{"id":"ea37deec-00d4-4936-aca9-e8a602df1802","block_type":"box","text":"intended to indicate future performance. Average annual total return is determined separately for each class of","page_number":173,"box":{"x":70,"y":346,"width":792,"height":12}},{"id":"2cdc2c98-3fec-4a72-b347-90bd914b390c","block_type":"box","text":"shares in accordance with a formula specified by the Commission.","page_number":173,"box":{"x":69,"y":361,"width":473,"height":12}},{"id":"8aa81a45-7770-4f5f-b031-1252bf2338e0","block_type":"box","text":"Quotations of average annual total return, before tax, for the specified periods are computed by finding the","page_number":173,"box":{"x":102,"y":384,"width":761,"height":11}},{"id":"7625660a-efa5-4781-b159-3ee4e2a9b4c2","block_type":"box","text":"average annual compounded rates of return (based on net investment income and any realized and unrealized capital","page_number":173,"box":{"x":69,"y":399,"width":836,"height":12}},{"id":"da1637b6-87c8-42be-9a5e-a83d1bf0145b","block_type":"box","text":"gains or losses on portfolio investments over such periods) that would equate the initial amount invested to the","page_number":173,"box":{"x":68,"y":414,"width":798,"height":12}},{"id":"0d491d5a-841a-474a-9485-9dcf8fa64a16","block_type":"box","text":"redeemable value of such investment at the end of each period. Average annual total return before taxes is","page_number":173,"box":{"x":69,"y":429,"width":765,"height":12}},{"id":"83eff6cc-afed-4033-ac25-bb1c32b6a7ad","block_type":"box","text":"computed assuming all dividends are reinvested and taking into account all applicable recurring and nonrecurring","page_number":173,"box":{"x":69,"y":445,"width":808,"height":11}},{"id":"41e23429-00a5-43e8-821d-52aeec20f5e7","block_type":"box","text":"expenses, including the maximum sales charge, in the case of front-end load shares, and the CDSC that would be","page_number":173,"box":{"x":69,"y":460,"width":813,"height":11}},{"id":"d413a15c-12ba-425a-9484-0d0c0d9d6042","block_type":"box","text":"applicable to a complete redemption of the investment at the end of the specified period in the case of CDSC shares,","page_number":173,"box":{"x":69,"y":475,"width":839,"height":11}},{"id":"55e7cd2d-eadf-4fc8-b072-55300dac2fba","block_type":"box","text":"but does not take into account taxes payable on dividends or on redemption.","page_number":173,"box":{"x":69,"y":490,"width":546,"height":11}},{"id":"043a5c97-520b-47b6-865e-5fa45269df40","block_type":"box","text":"Quotations of average annual total return, after taxes, on dividends for the specified periods are computed by","page_number":173,"box":{"x":102,"y":513,"width":781,"height":11}},{"id":"a477ca71-b2b2-457b-8917-355d932c3948","block_type":"box","text":"finding the average annual compounded rates of return that would equate the initial amount invested to the ending","page_number":173,"box":{"x":68,"y":528,"width":819,"height":11}},{"id":"dccf267a-0311-4fd9-b99d-6f70f2bbfc1c","block_type":"box","text":"value of such investment at the end of each period assuming payment of taxes on dividends received during such","page_number":173,"box":{"x":68,"y":543,"width":810,"height":11}},{"id":"e2b2d315-0b3e-4636-972c-054b58224864","block_type":"box","text":"period. Average annual total return after taxes on dividends is computed assuming all dividends, less the taxes due","page_number":173,"box":{"x":70,"y":558,"width":823,"height":11}},{"id":"92a57b82-13b5-4c04-aef2-897b26aa8023","block_type":"box","text":"on such dividends, are reinvested and taking into account all applicable recurring and nonrecurring expenses,","page_number":173,"box":{"x":69,"y":573,"width":780,"height":11}},{"id":"7bd13a94-4ee5-4cc3-8407-e86d7ab29d5d","block_type":"box","text":"including the maximum sales charge, in the case of front-end load shares and the CDSC that would be applicable to","page_number":173,"box":{"x":70,"y":588,"width":825,"height":12}},{"id":"979ad720-72f6-4977-98e5-c9e3efe54683","block_type":"box","text":"a complete redemption of the investment at the end of the specified period in the case of CDSC shares. The taxes","page_number":173,"box":{"x":69,"y":603,"width":817,"height":11}},{"id":"48919f19-7e6c-47ee-8f0c-11f7584deddd","block_type":"box","text":"due on dividends are calculated by applying to each dividend the highest applicable marginal U.S. federal individual","page_number":173,"box":{"x":69,"y":618,"width":820,"height":12}},{"id":"f70dd08d-029a-4538-a487-069e3c88b4f2","block_type":"box","text":"income tax rates in effect on the reinvestment date for that dividend. The rates used correspond to the tax character","page_number":173,"box":{"x":70,"y":634,"width":833,"height":11}},{"id":"4aa5b180-bf9f-4d7e-a1cb-7375546bd9fa","block_type":"box","text":"(including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each dividend. The","page_number":173,"box":{"x":69,"y":649,"width":797,"height":11}},{"id":"3b2b67f7-2365-4268-a9ef-ad21775a94bb","block_type":"box","text":"taxable amount and tax character of each dividend are specified by each Fund on the dividend declaration date, but","page_number":173,"box":{"x":68,"y":664,"width":824,"height":11}},{"id":"3b2d127f-a40b-4841-b9ee-9c6af0e518c3","block_type":"box","text":"may be adjusted to reflect subsequent recharacterizations of distributions. The applicable tax rates may vary over the","page_number":173,"box":{"x":69,"y":679,"width":837,"height":11}},{"id":"ab98f8e6-7a08-409c-9224-06ee58184891","block_type":"box","text":"measurement period. The effects of state and local taxes are not reflected. Applicable tax credits, such as foreign","page_number":173,"box":{"x":69,"y":694,"width":814,"height":11}},{"id":"59b3ee30-db33-4100-956a-36206d7de65b","block_type":"box","text":"credits, are taken into account according to U.S. federal tax law. The ending value is determined assuming complete","page_number":173,"box":{"x":69,"y":709,"width":830,"height":11}},{"id":"3c1efe66-ea18-449a-a589-f46e1712a60a","block_type":"box","text":"redemption at the end of the applicable periods with no tax consequences associated with such redemption.","page_number":173,"box":{"x":69,"y":724,"width":774,"height":11}},{"id":"ba4a26a4-e6e9-405d-aadb-b3e635e2a06d","block_type":"box","text":"Quotations of average annual total return, after taxes, on both dividends and redemption for the specified","page_number":173,"box":{"x":102,"y":747,"width":752,"height":11}},{"id":"49e806c8-484f-4e88-98a0-7fc22271e769","block_type":"box","text":"periods are computed by finding the average annual compounded rates of return that would equate the initial amount","page_number":173,"box":{"x":70,"y":762,"width":835,"height":11}},{"id":"4f14d84a-73b8-44bb-bfb6-4c826ab527ca","block_type":"box","text":"invested to the ending value of such investment at the end of each period assuming payment of taxes on dividends","page_number":173,"box":{"x":70,"y":777,"width":820,"height":12}},{"id":"b66faf11-67d3-4e1a-8c88-9cc12779aafe","block_type":"box","text":"received during such period as well as on complete redemption. Average annual total return after taxes on","page_number":173,"box":{"x":69,"y":792,"width":756,"height":12}},{"id":"bf775880-01e2-432a-8a5e-627d00cfff2b","block_type":"box","text":"distributions and redemption is computed assuming all dividends, less the taxes due on such dividends, are","page_number":173,"box":{"x":69,"y":808,"width":772,"height":11}},{"id":"a5afef8f-157b-4774-82a6-b0f1062e65a2","block_type":"box","text":"reinvested and taking into account all applicable recurring and nonrecurring expenses, including the maximum sales","page_number":173,"box":{"x":69,"y":823,"width":827,"height":11}},{"id":"8f479800-170e-494c-9421-34632dd8baa3","block_type":"box","text":"charge in the case of front-end load shares and the CDSC that would be applicable to a complete redemption of the","page_number":173,"box":{"x":69,"y":838,"width":825,"height":11}},{"id":"0cb09597-1d7f-4695-9e76-51be8bfca22d","block_type":"box","text":"investment at the end of the specified period in the case of CDSC shares and assuming, for all classes of shares,","page_number":173,"box":{"x":70,"y":853,"width":812,"height":11}},{"id":"c5df2e29-e3a8-41f8-99ac-7b3487b249e9","block_type":"box","text":"complete redemption and payment of taxes due on such redemption. The ending value is determined assuming","page_number":173,"box":{"x":69,"y":868,"width":795,"height":11}},{"id":"c35265ee-997b-4d32-939b-f0dd160ed810","block_type":"box","text":"complete redemption at the end of the applicable periods, subtracting capital gains taxes resulting from the","page_number":173,"box":{"x":69,"y":883,"width":768,"height":11}},{"id":"1af431d0-bb1e-44ad-b99e-1a966e77eb9e","block_type":"box","text":"redemption and adding the presumed tax benefit from capital losses resulting from redemption. The taxes due on","page_number":173,"box":{"x":69,"y":898,"width":810,"height":11}},{"id":"13f6ebee-5eeb-4161-9285-cbf1fe9a7c1a","block_type":"box","text":"II-137","page_number":173,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"826b9807-5e33-4a5a-aa05-2fd34ec1bfd2","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":173,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"40d87dfe-b8e1-4bef-9086-e2a2b038dfb3","block_type":"box","text":"dividends and on the deemed redemption are calculated by applying the highest applicable marginal U.S. federal","page_number":174,"box":{"x":69,"y":45,"width":802,"height":11}},{"id":"481ed7ef-395b-4b9c-9797-cc2400b78e35","block_type":"box","text":"individual income tax rates in effect on the reinvestment and/or the redemption date. The rates used correspond to","page_number":174,"box":{"x":70,"y":60,"width":825,"height":11}},{"id":"76f28e25-2f13-4600-b75d-7de6fda7073f","block_type":"box","text":"the tax character (including eligibility for the maximum 20% tax rate applicable to qualified dividend income) of each","page_number":174,"box":{"x":68,"y":75,"width":823,"height":11}},{"id":"ed5401ce-679d-4665-8e7f-796f4b423389","block_type":"box","text":"component of each dividend and/or the redemption payment. The applicable tax rates may vary over the","page_number":174,"box":{"x":69,"y":90,"width":743,"height":11}},{"id":"dc68d5d4-968b-4912-a49b-b6d81388b55d","block_type":"box","text":"measurement period. The effects of state and local taxes are not reflected. Applicable tax credits, such as foreign","page_number":174,"box":{"x":69,"y":105,"width":814,"height":11}},{"id":"bc8ff90a-7794-4d2e-8085-2a54d6d1c088","block_type":"box","text":"tax credits, are taken into account according to federal law.","page_number":174,"box":{"x":68,"y":120,"width":422,"height":12}},{"id":"348de0b5-9355-45b3-aba7-d48e09ee67d4","block_type":"box","text":"A Fund also may quote annual, average annual and annualized total return and aggregate total return","page_number":174,"box":{"x":101,"y":143,"width":720,"height":11}},{"id":"6c259bd0-1736-404c-bfbf-1def8c27e950","block_type":"box","text":"performance data, both as a percentage and as a dollar amount based on a hypothetical investment of $1,000 or","page_number":174,"box":{"x":70,"y":157,"width":813,"height":12}},{"id":"5bde9e90-20cf-4f9a-900c-eb78772b2f9d","block_type":"box","text":"some other amount, for various periods other than those noted in Part I of each Fund’s SAI. Such data will be","page_number":174,"box":{"x":69,"y":173,"width":781,"height":11}},{"id":"c23b3b99-5d7e-495b-bcda-94b75c19a55e","block_type":"box","text":"computed as described above, except that (1) as required by the periods of the quotations, actual annual, annualized","page_number":174,"box":{"x":69,"y":188,"width":837,"height":11}},{"id":"7c36d6ce-6140-4f77-9355-04e86511bc1c","block_type":"box","text":"or aggregate data, rather than average annual data, may be quoted and (2) the maximum applicable sales charges","page_number":174,"box":{"x":69,"y":203,"width":817,"height":12}},{"id":"55a2bc28-428a-4087-a87f-256d0d3ba8bc","block_type":"box","text":"will not be included with respect to annual or annualized rates of return calculations. Aside from the impact on the","page_number":174,"box":{"x":68,"y":218,"width":815,"height":11}},{"id":"6964fb2c-bd56-43aa-8f11-ca9e56ae6b3e","block_type":"box","text":"performance data calculations of including or excluding the maximum applicable sales charges, actual annual or","page_number":174,"box":{"x":70,"y":234,"width":801,"height":11}},{"id":"7ee3c8a1-49c3-426d-a9d2-e42ebfe74b10","block_type":"box","text":"annualized total return data generally will be lower than average annual total return data since the average rates of","page_number":174,"box":{"x":69,"y":249,"width":819,"height":11}},{"id":"8128767d-f717-472c-ae42-92f455b61a9f","block_type":"box","text":"return reflect compounding of return; aggregate total return data generally will be higher than average annual total","page_number":174,"box":{"x":69,"y":264,"width":811,"height":11}},{"id":"96d00d9d-222d-4db9-939b-091ef6d4b951","block_type":"box","text":"return data since the aggregate rates of return reflect compounding over a longer period of time.","page_number":174,"box":{"x":69,"y":279,"width":686,"height":11}},{"id":"53261bc8-1827-4c6c-808e-b5284046d60b","block_type":"box","text":"Yield quotations will be computed based on a 30-day period by dividing (a) the net income based on the yield of","page_number":174,"box":{"x":101,"y":302,"width":796,"height":11}},{"id":"eb63c138-69c9-483c-9650-ca596384c42d","block_type":"box","text":"each security earned during the period by (b) the average daily number of shares outstanding during the period that","page_number":174,"box":{"x":69,"y":317,"width":821,"height":11}},{"id":"852c0f66-e969-4ad5-8bc2-200689e5dcd1","block_type":"box","text":"were entitled to receive dividends multiplied by the maximum offering price per share on the last day of the period.","page_number":174,"box":{"x":68,"y":332,"width":817,"height":11}},{"id":"88b8f8fe-b245-4ec5-b503-71cb0143c436","block_type":"box","text":"Tax equivalent yield quotations will be computed by dividing (a) the part of a Fund’s yield that is tax-exempt by (b) one","page_number":174,"box":{"x":68,"y":347,"width":837,"height":11}},{"id":"56675c27-b09a-4de9-adeb-d93bafd0e62f","block_type":"box","text":"minus a stated tax rate and adding the result to that part, if any, of the Fund’s yield that is not tax-exempt.","page_number":174,"box":{"x":69,"y":362,"width":759,"height":11}},{"id":"5b1aa200-fb47-4f82-bbcd-eac3cccc5c40","block_type":"box","text":"A Fund’s total return will vary depending on market conditions, the securities comprising a Fund’s portfolio, a","page_number":174,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"4b7b15ce-9c77-4df4-9361-140affd790f2","block_type":"box","text":"Fund’s operating expenses and the amount of realized and unrealized net capital gains or losses during the period.","page_number":174,"box":{"x":70,"y":400,"width":819,"height":11}},{"id":"226b6369-47b1-4554-8a20-9e3cedac05f0","block_type":"box","text":"The value of an investment in a Fund will fluctuate and an investor’s shares, when redeemed, may be worth more or","page_number":174,"box":{"x":68,"y":415,"width":830,"height":11}},{"id":"8fb04815-f3b5-4ebe-aeee-d2c08e808e1b","block_type":"box","text":"less than their original cost.","page_number":174,"box":{"x":70,"y":430,"width":196,"height":11}},{"id":"f8e0f01a-0bd8-418a-acd9-8ed47388bbe5","block_type":"box","text":"In order to reflect the reduced sales charges in the case of front-end load shares or the waiver of the CDSC in","page_number":174,"box":{"x":102,"y":453,"width":782,"height":11}},{"id":"ede9f098-dda6-4dc6-ae2d-f733b3c24233","block_type":"box","text":"the case of CDSC shares applicable to certain investors, as described under “Purchase of Shares” and “Redemption","page_number":174,"box":{"x":68,"y":468,"width":836,"height":11}},{"id":"bb49fc34-40ed-4700-9cde-c72497b91c90","block_type":"box","text":"of Shares,” respectively, the total return data quoted by a Fund in advertisements directed to such investors may","page_number":174,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"0ddd4406-ed28-420d-a406-40f85e3f543f","block_type":"box","text":"take into account the reduced, and not the maximum, sales charge or may take into account the CDSC waiver and,","page_number":174,"box":{"x":68,"y":498,"width":820,"height":11}},{"id":"25e2196c-9b8f-4ca7-b655-93f632f772df","block_type":"box","text":"therefore, may reflect greater total return since, due to the reduced sales charges or the waiver of sales charges, a","page_number":174,"box":{"x":68,"y":513,"width":824,"height":12}},{"id":"e989a309-2024-4c32-9317-0f3eb3d3e6d7","block_type":"box","text":"lower amount of expenses is deducted.","page_number":174,"box":{"x":70,"y":528,"width":278,"height":11}},{"id":"e69bbab8-f44f-4102-993c-20da01ce608d","block_type":"box","text":"On occasion, a Fund may compare its performance to, among other things, the Fund’s benchmark index","page_number":174,"box":{"x":102,"y":551,"width":741,"height":11}},{"id":"00c492cf-9a55-4e29-b281-4206ee2f3f6c","block_type":"box","text":"indicated in the Prospectus, the Value Line Composite Index, the Dow Jones Industrial Average, or to other published","page_number":174,"box":{"x":70,"y":566,"width":830,"height":11}},{"id":"8412ddc9-c99d-41d4-ad30-dd13b248c40b","block_type":"box","text":"indices, or to performance data published by Lipper Inc., Morningstar, Inc. (“Morningstar”),","page_number":174,"box":{"x":70,"y":581,"width":646,"height":12}},{"id":"88a63d37-7ca0-49a5-9f4f-9368f4a836b0","block_type":"box","text":"Money Magazine, U.S.","page_number":174,"box":{"x":724,"y":581,"width":156,"height":12}},{"id":"23c986d7-e57c-48ff-9c32-12c663f33d83","block_type":"box","text":"News & World Repor t, BusinessWeek, Forbes Magazine, For tune Magazine","page_number":174,"box":{"x":70,"y":597,"width":533,"height":11}},{"id":"d959d12e-6103-43ad-96c4-f6f6a3805379","block_type":"box","text":"or other industry publications. When","page_number":174,"box":{"x":608,"y":597,"width":257,"height":11}},{"id":"bdc0edb2-326c-4e3e-9017-9f596d48697d","block_type":"box","text":"comparing its performance to a market index, a Fund may refer to various statistical measures derived from the","page_number":174,"box":{"x":69,"y":612,"width":797,"height":11}},{"id":"b2366d1f-f815-49fc-9a13-05930e978c71","block_type":"box","text":"historical performance of a Fund and the index, such as standard deviation and beta. As with other performance","page_number":174,"box":{"x":69,"y":627,"width":803,"height":11}},{"id":"8b91f86d-6ffd-4627-a01c-070725cc734d","block_type":"box","text":"data, performance comparisons should not be considered indicative of a Fund’s relative performance for any future","page_number":174,"box":{"x":69,"y":642,"width":824,"height":11}},{"id":"47783270-1af6-4509-8f3a-fcd3b736464c","block_type":"box","text":"period. In addition, from time to time a Fund may include the Fund’s Morningstar risk-adjusted performance ratings","page_number":174,"box":{"x":70,"y":657,"width":818,"height":11}},{"id":"cdca2c40-115a-4e7d-b376-b1464d40163c","block_type":"box","text":"assigned by Morningstar in advertising or supplemental sales literature. From time to time a Fund may quote in","page_number":174,"box":{"x":69,"y":672,"width":793,"height":11}},{"id":"906b0071-44cb-459e-8f1f-5d4cadc6bcf4","block_type":"box","text":"advertisements or other materials other applicable measures of Fund performance and may also make reference to","page_number":174,"box":{"x":69,"y":687,"width":826,"height":11}},{"id":"3e4649bd-466f-4ccc-9287-9b2c0512067c","block_type":"box","text":"awards that may be given to the Manager. Certain Funds may also compare their performance to composite indices","page_number":174,"box":{"x":69,"y":702,"width":825,"height":12}},{"id":"acc0cd45-86cb-40ef-98dc-0c45ff3e13b3","block_type":"box","text":"developed by Fund management.","page_number":174,"box":{"x":69,"y":718,"width":233,"height":11}},{"id":"544e7e59-020b-4a8d-a2d0-9628f5f3318f","block_type":"box","text":"A Fund may provide information designed to help investors understand how the Fund is seeking to achieve its","page_number":174,"box":{"x":101,"y":740,"width":780,"height":11}},{"id":"3073f2e2-8b53-44bd-96bf-abf84b177aa4","block_type":"box","text":"investment objectives. This may include information about past, current or possible economic, market, political or","page_number":174,"box":{"x":70,"y":755,"width":810,"height":11}},{"id":"457e6a29-0725-4c1e-9380-a8675587e7eb","block_type":"box","text":"other conditions, descriptive information or general principles of investing such as asset allocation, diversification","page_number":174,"box":{"x":69,"y":770,"width":810,"height":12}},{"id":"6872bac2-ab51-4f68-92de-c886876e4fec","block_type":"box","text":"and risk tolerance, discussion of a Fund’s portfolio composition, investment philosophy, strategy or investment","page_number":174,"box":{"x":69,"y":785,"width":792,"height":12}},{"id":"61005a46-cbb9-472e-aec6-cbb92bf2509b","block_type":"box","text":"techniques, comparisons of the Fund’s performance or portfolio composition to that of other funds or types of","page_number":174,"box":{"x":68,"y":801,"width":788,"height":11}},{"id":"97a4eec9-e38d-46bb-9692-f7beec178a02","block_type":"box","text":"investments, indices relevant to the comparison being made, or to a hypothetical or model portfolio. A Fund may also","page_number":174,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"d7c25875-047b-4c32-8dea-1576e9d586c4","block_type":"box","text":"quote various measures of volatility and benchmark correlation in advertising and other materials, and may compare","page_number":174,"box":{"x":69,"y":831,"width":830,"height":11}},{"id":"2f6ba207-5f0d-4cf1-ad2e-991d789042a2","block_type":"box","text":"these measures to those of other funds or types of investments.","page_number":174,"box":{"x":68,"y":846,"width":461,"height":11}},{"id":"ab7e9109-b002-454f-907b-8900f3520672","block_type":"box","text":"II-138","page_number":174,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"7918961a-1357-4fdb-b23a-824718189837","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":174,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8aff0cea-88f9-47b3-a6f7-b0ed71ba4e6c","block_type":"box","text":"PROXY VOTING POLICIES AND PROCEDURES","page_number":175,"box":{"x":308,"y":45,"width":362,"height":10}},{"id":"d8a6d225-f0ec-42a6-9d0f-9b697de11c67","block_type":"box","text":"The Board of Directors of the Funds has delegated the voting of proxies for the Funds’ securities to the Manager","page_number":175,"box":{"x":101,"y":68,"width":802,"height":11}},{"id":"571c02f0-ba8f-459c-83d9-d4656397902b","block_type":"box","text":"pursuant to (i) the Open-End Active and Fixed Income Index Fund Proxy Voting Policy (the “Active Fund Proxy Voting","page_number":175,"box":{"x":70,"y":83,"width":809,"height":11}},{"id":"e425f2f7-944b-437b-9603-4e6dcbc095b5","block_type":"box","text":"Policy”), with respect to certain Funds, and (ii) the Index Equity Fund Proxy Voting Policy, with respect to certain other","page_number":175,"box":{"x":69,"y":98,"width":833,"height":11}},{"id":"c79689db-074d-4295-9d06-d84765a35065","block_type":"box","text":"Funds, as applicable. Please refer to Part I of this SAI, which discloses the policy applicable to each Fund.","page_number":175,"box":{"x":70,"y":113,"width":755,"height":11}},{"id":"2d842d0d-2ba3-459f-b639-9add420d47a8","block_type":"box","text":"With respect to Funds covered by the Active Fund Proxy Voting Policy, the Manager has adopted the BlackRock","page_number":175,"box":{"x":101,"y":136,"width":785,"height":11}},{"id":"fc6be9e5-8e26-4bf9-8100-b696f844344d","block_type":"box","text":"Active Investment Stewardship—Global Engagement and Voting Guidelines (the “BAIS Guidelines”). Certain of such","page_number":175,"box":{"x":68,"y":151,"width":822,"height":11}},{"id":"740dfb77-06ce-4ad9-a33d-35f5efd1ec34","block_type":"box","text":"Funds, as listed within the Active Fund Proxy Voting Policy and as disclosed in Part I of this SAI, follow supplemental","page_number":175,"box":{"x":70,"y":166,"width":824,"height":11}},{"id":"275fdb86-9f53-44cd-876d-30e0d9ec0bdc","block_type":"box","text":"guidelines within the BAIS Guidelines that are applicable to certain climate and decarbonization issues (the “BAIS","page_number":175,"box":{"x":68,"y":181,"width":812,"height":12}},{"id":"e21b51ee-2eb3-4192-a259-b6970b846d9f","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":175,"box":{"x":69,"y":197,"width":392,"height":10}},{"id":"71cf906b-2230-4b8c-8a83-aa95b81ed7a4","block_type":"box","text":"With respect to Funds covered by the Index Equity Fund Proxy Voting Policy, the Manager has adopted the","page_number":175,"box":{"x":101,"y":219,"width":749,"height":11}},{"id":"cddba819-76cd-40a8-85cb-0114ea8ba6de","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) Global Benchmark Policy, comprised of the Global Principles for","page_number":175,"box":{"x":70,"y":234,"width":759,"height":11}},{"id":"f1aec417-c5b9-42f5-a255-cf60e1920244","block_type":"box","text":"Benchmark Policies, regional voting guidelines, and engagement priorities, which are each available upon request. In","page_number":175,"box":{"x":70,"y":250,"width":830,"height":11}},{"id":"31f3d58b-e509-4ad0-b145-a8db05fe4c2f","block_type":"box","text":"addition, certain of such Funds, as listed within the Index Equity Fund Proxy Voting Policy and as disclosed in Part I of","page_number":175,"box":{"x":69,"y":264,"width":838,"height":12}},{"id":"b7f5dc1d-ea12-4161-9043-44f2efc1acca","block_type":"box","text":"this SAI, follow supplemental guidelines that are applicable to certain climate and decarbonization issues (the “BIS","page_number":175,"box":{"x":68,"y":280,"width":822,"height":11}},{"id":"a88249af-3990-4ecd-a180-e62da634a641","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines”).","page_number":175,"box":{"x":69,"y":295,"width":392,"height":11}},{"id":"31f4dd9b-d0e1-407b-9a63-662127ae0be8","block_type":"box","text":"If a Fund invests in an underlying fund managed by BlackRock, the Fund will use its proxy voting policy when","page_number":175,"box":{"x":102,"y":317,"width":767,"height":12}},{"id":"5693c14a-f88a-463e-a207-e5167da8f24a","block_type":"box","text":"voting on proxies for the underlying fund while the underlying fund will use its proxy voting policy when voting proxies","page_number":175,"box":{"x":68,"y":332,"width":827,"height":12}},{"id":"5f18735a-c180-48a6-8425-73c4b829a1bf","block_type":"box","text":"on investments the underlying fund holds. Therefore, the Fund may use the Active Fund Proxy Voting Policy while an","page_number":175,"box":{"x":69,"y":348,"width":819,"height":11}},{"id":"4b1824f9-31ee-4b25-9ab1-10ead6c462d4","block_type":"box","text":"underlying fund may use the Index Equity Fund Proxy Voting Policy, and the opposite is also true.","page_number":175,"box":{"x":69,"y":363,"width":684,"height":11}},{"id":"1a7e6a96-36a0-4c77-8001-bf6bc0666cfa","block_type":"box","text":"Copies of the Active Fund Proxy Voting Policy, Index Equity Fund Proxy Voting Policy, the BAIS Guidelines, the","page_number":175,"box":{"x":102,"y":385,"width":766,"height":12}},{"id":"2e8fea26-272f-4e19-aeac-7b3747a478d6","block_type":"box","text":"Global Principles for Benchmark Policies and the BIS Climate and Decarbonization Stewardship Guidelines are","page_number":175,"box":{"x":69,"y":401,"width":784,"height":11}},{"id":"c82d8928-8d52-4c7b-ab15-2c7f878150a2","block_type":"box","text":"attached as Appendix B to this SAI. Only those guidelines that are applicable to a particular Fund pursuant to the","page_number":175,"box":{"x":69,"y":416,"width":805,"height":11}},{"id":"b2f2ffb3-eb45-428d-9b7b-f3f5da813356","block_type":"box","text":"Active Fund Proxy Voting Policy or the Index Equity Fund Proxy Voting Policy are considered to form a part of the","page_number":175,"box":{"x":68,"y":431,"width":790,"height":11}},{"id":"e111af03-45aa-43e5-aec7-96c1ee28b19f","block_type":"box","text":"Fund’s SAI. Information on how each Fund voted proxies relating to portfolio securities during the most recent 12-","page_number":175,"box":{"x":70,"y":446,"width":810,"height":11}},{"id":"f0df4adf-cf7b-4c8f-90aa-0d14c654e261","block_type":"box","text":"month period ended June 30 is available without charge, (i) at www.blackrock.com/proxyrecords and (ii) on the","page_number":175,"box":{"x":69,"y":461,"width":788,"height":11}},{"id":"3dd0b22e-b954-40b5-ae9b-3f7c89f14364","block_type":"box","text":"Commission’s website at http://www.sec.gov.","page_number":175,"box":{"x":69,"y":476,"width":327,"height":11}},{"id":"42a5c158-4072-49b7-a236-490315d69f9e","block_type":"box","text":"GENERAL INFORMATION","page_number":175,"box":{"x":391,"y":506,"width":195,"height":9}},{"id":"e2988678-631a-40c2-a2ae-ed3e43f22a6a","block_type":"box","text":"Description of Shares","page_number":175,"box":{"x":69,"y":536,"width":156,"height":11}},{"id":"2c14d931-2cfc-48f7-b37d-eb0adeb93237","block_type":"box","text":"Shareholders of a Fund are entitled to one vote for each full share held and fractional votes for fractional shares","page_number":175,"box":{"x":102,"y":559,"width":800,"height":9}},{"id":"1e4d42c0-6339-43e1-b313-6d7095b234db","block_type":"box","text":"held in the election of Directors and generally on other matters submitted to the vote of shareholders of the Fund.","page_number":175,"box":{"x":69,"y":574,"width":811,"height":11}},{"id":"d9df5afa-d961-4b70-b274-314a4e3cfdf2","block_type":"box","text":"Shareholders of a class that bears distribution and/or service expenses have exclusive voting rights with respect to","page_number":175,"box":{"x":69,"y":589,"width":825,"height":11}},{"id":"75947fd1-718f-4692-9388-c633fdf78bce","block_type":"box","text":"matters relating to such distribution and service expenditures. Voting rights are not cumulative, so that the holders of","page_number":175,"box":{"x":69,"y":604,"width":838,"height":11}},{"id":"23321f6f-0633-4694-8be8-c10ada36c25d","block_type":"box","text":"more than 50% of the shares voting in the election of Directors can, if they choose to do so, elect all the Directors of","page_number":175,"box":{"x":69,"y":619,"width":835,"height":11}},{"id":"7ead26a0-3eb4-4995-b708-b41ddf51d595","block_type":"box","text":"a Fund, in which event the holders of the remaining shares would be unable to elect any person as a Director.","page_number":175,"box":{"x":69,"y":634,"width":781,"height":12}},{"id":"8d54dfd9-aba8-4ba1-8816-3f6b22afaee9","block_type":"box","text":"No Fund intends to hold annual meetings of shareholders in any year in which the Investment Company Act does","page_number":175,"box":{"x":102,"y":657,"width":801,"height":11}},{"id":"0879582a-09eb-45a3-a417-f466890efbec","block_type":"box","text":"not require shareholders to act upon any of the following matters: (i) election of Directors; (ii) approval of a","page_number":175,"box":{"x":69,"y":672,"width":760,"height":11}},{"id":"b2b904c0-9ff9-499f-9f61-2ae7e02742cd","block_type":"box","text":"management agreement; (iii) approval of a distribution agreement; and (iv) ratification of selection of independent","page_number":175,"box":{"x":69,"y":687,"width":810,"height":11}},{"id":"b3bba717-ebd5-415d-a789-72a8c62b0c75","block_type":"box","text":"accountants. Shares issued are fully paid and non-assessable and have no preemptive rights. Redemption and","page_number":175,"box":{"x":69,"y":702,"width":790,"height":12}},{"id":"c3c0f218-ba13-4ef5-8794-a02e5ce15e4c","block_type":"box","text":"conversion rights are discussed elsewhere herein and in each Fund’s Prospectus. Each share of each class of","page_number":175,"box":{"x":69,"y":717,"width":787,"height":12}},{"id":"434cc9f3-6440-4228-8753-37f3c489f7ca","block_type":"box","text":"Common Stock is entitled to participate equally in dividends and distributions declared by a Fund and in the net","page_number":175,"box":{"x":69,"y":733,"width":797,"height":11}},{"id":"9b4e4f41-2dfc-46ca-add3-3550399c0dba","block_type":"box","text":"assets of the Fund upon liquidation or dissolution after satisfaction of outstanding liabilities.","page_number":175,"box":{"x":69,"y":748,"width":658,"height":11}},{"id":"0b3acc17-7a11-4ff4-aa24-1dc1c0ee7512","block_type":"box","text":"For Funds organized as Maryland corporations, the by-laws of the Fund require that a special meeting of","page_number":175,"box":{"x":102,"y":770,"width":741,"height":12}},{"id":"171f481d-4fa1-48db-bcf1-de6c7cdb88df","block_type":"box","text":"shareholders be held upon the written request of a minimum percentage of the outstanding shares of the Fund","page_number":175,"box":{"x":69,"y":785,"width":790,"height":12}},{"id":"6295f388-18dd-49cd-82dd-8c67f3157f46","block_type":"box","text":"entitled to vote at such meeting, if they comply with applicable Maryland law.","page_number":175,"box":{"x":69,"y":801,"width":546,"height":11}},{"id":"b4ce4615-25b6-4dd3-a826-8964863ac472","block_type":"box","text":"Certain of the Funds are organized as “Massachusetts business trusts.” Under Massachusetts law,","page_number":175,"box":{"x":102,"y":823,"width":712,"height":12}},{"id":"ed7956bf-c7b6-4047-a452-fb2d4bff5648","block_type":"box","text":"shareholders of such a trust may, under certain circumstances, be held personally liable as partners for its","page_number":175,"box":{"x":69,"y":838,"width":765,"height":11}},{"id":"12e49aff-8e8f-436c-9e51-5cc5e4658b55","block_type":"box","text":"obligations. However, the Declaration of Trust establishing a trust, a copy of which for each applicable Fund, together","page_number":175,"box":{"x":69,"y":853,"width":834,"height":12}},{"id":"4360fa8c-afde-4b90-9b8b-fc678343eb54","block_type":"box","text":"with all amendments thereto (the “Declaration of Trust”), is on file in the office of the Secretary of the","page_number":175,"box":{"x":68,"y":869,"width":729,"height":11}},{"id":"2f98849b-6ca3-4bde-a3dd-ea88e8888b64","block_type":"box","text":"Commonwealth of Massachusetts, contains an express disclaimer of shareholder liability for acts or obligations of","page_number":175,"box":{"x":69,"y":884,"width":815,"height":11}},{"id":"7c987539-61ea-43a8-80e1-f3582871249a","block_type":"box","text":"the trust and provides for indemnification and reimbursement of expenses out of the trust property for any","page_number":175,"box":{"x":68,"y":899,"width":761,"height":11}},{"id":"59ba0f60-60ae-4d8c-9f7c-3e16bef6b47e","block_type":"box","text":"II-139","page_number":175,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"278813a4-6e49-44d6-82a9-8d61cd4d7437","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":175,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5d364917-7dbe-483b-b051-64c0687e6fe2","block_type":"box","text":"shareholder held personally liable for the obligations of the trust. The Declaration of Trust also provides that a trust","page_number":176,"box":{"x":69,"y":45,"width":824,"height":11}},{"id":"084bf561-6d9c-44bf-a103-6c1561f23902","block_type":"box","text":"may maintain appropriate insurance (for example, fidelity bond and errors and omissions insurance) for the protection","page_number":176,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"fc9ba176-6322-44ff-98ac-9e1eabaf83f0","block_type":"box","text":"of the trust, its shareholders, trustees, officers, employees and agents covering possible tort and other liabilities.","page_number":176,"box":{"x":69,"y":75,"width":813,"height":11}},{"id":"99c5ca02-2601-4b67-8e8c-cf2907febc80","block_type":"box","text":"Thus, the risk of a shareholder incurring financial loss on account of shareholder liability is limited to circumstances","page_number":176,"box":{"x":68,"y":90,"width":827,"height":11}},{"id":"f2fa4241-a845-42b1-b665-eaccd2f45987","block_type":"box","text":"in which both inadequate insurance existed and the trust itself was unable to meet its obligations.","page_number":176,"box":{"x":70,"y":105,"width":699,"height":11}},{"id":"7fde4477-c2a5-44e6-9e67-595764a0878d","block_type":"box","text":"Certain Funds are organized as Delaware statutory trusts.","page_number":176,"box":{"x":102,"y":128,"width":413,"height":11}},{"id":"6386c47c-f1af-4c11-a873-3c357719e83b","block_type":"box","text":"Additional Information","page_number":176,"box":{"x":68,"y":158,"width":161,"height":9}},{"id":"1dd2bd12-9d3b-4bb2-82fd-6b3fb218d897","block_type":"box","text":"Under a separate agreement, BlackRock has granted certain Funds the right to use the “BlackRock” name and","page_number":176,"box":{"x":102,"y":181,"width":789,"height":11}},{"id":"dae23efc-187b-42bf-8ba6-30b63c12bf98","block_type":"box","text":"has reserved the right to (i) withdraw its consent to the use of such name by a Fund if the Fund ceases to retain","page_number":176,"box":{"x":69,"y":196,"width":799,"height":11}},{"id":"b80308ae-3f79-4ff7-b787-a29b8c2e1b9c","block_type":"box","text":"BlackRock Advisors, LLC or BlackRock Fund Advisors, as applicable, as investment adviser and (ii) to grant the use of","page_number":176,"box":{"x":70,"y":211,"width":837,"height":11}},{"id":"4d58dc87-7f89-4621-a6e9-b5d965deba5b","block_type":"box","text":"such name to any other company.","page_number":176,"box":{"x":69,"y":226,"width":238,"height":11}},{"id":"95d3e246-f2d1-474c-92bf-1ef450c610c7","block_type":"box","text":"II-140","page_number":176,"box":{"x":468,"y":943,"width":42,"height":9}},{"id":"87feaaca-a495-45bb-b49f-0242fa65c1ee","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":176,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"73711313-1e45-4515-a1c2-0ce54f70583e","block_type":"box","text":"APPENDIX A","page_number":177,"box":{"x":438,"y":45,"width":101,"height":10}},{"id":"29c12a64-1f80-4a4d-bd3e-755786a55d3b","block_type":"box","text":"Description of Bond Ratings","page_number":177,"box":{"x":377,"y":68,"width":224,"height":13}},{"id":"f4630536-f20c-4077-ae8e-a0dc41e6a951","block_type":"box","text":"A rating is generally assigned to a fixed-income security at the time of issuance by a credit rating agency","page_number":177,"box":{"x":101,"y":91,"width":743,"height":12}},{"id":"4e21c3c9-5c1e-41fb-b621-010b415bec42","block_type":"box","text":"designated as a nationally recognized statistical rating organization (“NRSRO”) by the Securities and Exchange","page_number":177,"box":{"x":69,"y":106,"width":787,"height":12}},{"id":"c2234171-9bbc-4c4c-ab74-e929d2075124","block_type":"box","text":"Commission (“SEC”). While NRSROs may from time to time revise such ratings, they undertake no obligation to do","page_number":177,"box":{"x":69,"y":121,"width":817,"height":12}},{"id":"cce645bc-214f-4901-9d00-f557754234bb","block_type":"box","text":"so, and the ratings given to securities at issuance do not necessarily represent ratings which would be given to these","page_number":177,"box":{"x":69,"y":137,"width":837,"height":11}},{"id":"93f121fc-590a-4d2e-8b0b-e27c7565756d","block_type":"box","text":"securities on a particular subsequent date.","page_number":177,"box":{"x":69,"y":152,"width":306,"height":11}},{"id":"97a6a8dc-08e0-4e20-b78e-144a07ac89ee","block_type":"box","text":"NRSROs may rate specific investments (","page_number":177,"box":{"x":102,"y":174,"width":286,"height":12}},{"id":"6e0e0e24-1433-4ccd-bed2-da5a254639d1","block_type":"box","text":"e.g.","page_number":177,"box":{"x":390,"y":176,"width":25,"height":10}},{"id":"ea3611e0-7c2b-48a9-9b13-9f059a53eabb","block_type":"box","text":", bonds), issuers (","page_number":177,"box":{"x":417,"y":175,"width":128,"height":10}},{"id":"4eec24dd-4f9f-4129-a1ef-bdc042d62e6e","block_type":"box","text":"e.g.","page_number":177,"box":{"x":547,"y":176,"width":25,"height":10}},{"id":"a73d29ce-f739-4d8b-90af-828298e0fb30","block_type":"box","text":", corporations, governments and financial","page_number":177,"box":{"x":574,"y":174,"width":293,"height":12}},{"id":"6c117607-2898-43a0-ba6b-08d8ffc1f8c2","block_type":"box","text":"institutions) and/or programs (","page_number":177,"box":{"x":70,"y":190,"width":217,"height":11}},{"id":"5a1e9990-e043-4e18-b7d5-9913c0928b85","block_type":"box","text":"e.g.","page_number":177,"box":{"x":289,"y":191,"width":25,"height":10}},{"id":"a987a9e4-6c7a-419e-9751-5b6d8d521989","block_type":"box","text":", commercial paper programs). However, certain types of investments may not be","page_number":177,"box":{"x":317,"y":189,"width":578,"height":12}},{"id":"6dbfb8e3-e97f-4e58-9ed4-3e9b05516b08","block_type":"box","text":"rated by NRSROs, such as certain government/sovereign obligations, US agency securities, commercial paper, time","page_number":177,"box":{"x":69,"y":205,"width":826,"height":11}},{"id":"7df32d47-3f08-4595-93c0-1fd2c8f002e1","block_type":"box","text":"deposits at financial institutions, and derivative instruments such as credit default swaps. For these types of","page_number":177,"box":{"x":69,"y":220,"width":777,"height":11}},{"id":"5e714262-309a-4d8a-8117-58af1149a6dd","block_type":"box","text":"investments, as well as US Treasury securities (some of which are not rated), where an NRSRO has not rated the","page_number":177,"box":{"x":70,"y":235,"width":807,"height":11}},{"id":"fa4dc99e-4f6e-440b-9086-07d13271a732","block_type":"box","text":"specific investment but has rated the investment’s issuer, program, financial institution or underlying reference","page_number":177,"box":{"x":69,"y":250,"width":791,"height":11}},{"id":"a17c2395-ccf5-4f2e-b814-77fb6d07e534","block_type":"box","text":"asset, BlackRock Advisors, LLC, BlackRock Fund Advisors or their respective affiliates (“BlackRock”) may consider","page_number":177,"box":{"x":69,"y":265,"width":816,"height":11}},{"id":"f1810ac5-0d6e-4fc5-8163-d7bc7a2ac7a9","block_type":"box","text":"the investment to have the same NRSRO rating as its issuer, program, financial institution or underlying reference","page_number":177,"box":{"x":68,"y":280,"width":812,"height":12}},{"id":"f1e0b340-cbbb-4871-a4e7-791eaf6c0b43","block_type":"box","text":"asset, as applicable. In the case of municipal securities, where one NRSRO provides multiple ratings for the same","page_number":177,"box":{"x":69,"y":295,"width":815,"height":12}},{"id":"dcd0dbcb-ef49-468b-aa64-ded4ca86272e","block_type":"box","text":"security (","page_number":177,"box":{"x":69,"y":311,"width":63,"height":11}},{"id":"93b6e455-11f4-4e69-898f-6638224279af","block_type":"box","text":"e.g.","page_number":177,"box":{"x":134,"y":312,"width":25,"height":10}},{"id":"a9ee9ee9-3ddf-485d-a935-d43400055f1e","block_type":"box","text":", “underlying,” “insured” and/or “enhanced” ratings), BlackRock may consider the security to have the","page_number":177,"box":{"x":161,"y":311,"width":730,"height":11}},{"id":"eab69e1f-9257-4280-85fe-c79f9efba223","block_type":"box","text":"highest of the multiple ratings.","page_number":177,"box":{"x":69,"y":326,"width":216,"height":11}},{"id":"39c1c0f3-8003-4441-b7a7-b68c383ec0d1","block_type":"box","text":"New issue securities (regardless of type) may not be rated by an NRSRO at the time of their initial offering.","page_number":177,"box":{"x":102,"y":348,"width":760,"height":12}},{"id":"59af8da7-3447-4028-ab05-0e8623f23f04","block_type":"box","text":"Preliminary prospectuses or term sheets for new issue securities may include an expected rating for the security (as","page_number":177,"box":{"x":69,"y":363,"width":830,"height":12}},{"id":"cdd119fa-a93f-435f-b2fb-380b9600ba20","block_type":"box","text":"determined by the underwriter and/or issuer) or an NRSRO rating for the issuer of the security. If applicable, when","page_number":177,"box":{"x":69,"y":378,"width":812,"height":12}},{"id":"140603a6-97a6-42f3-8e3c-c28e1c990bc6","block_type":"box","text":"deciding whether to purchase a new issue security that has not yet been rated by an NRSRO, BlackRock may","page_number":177,"box":{"x":69,"y":394,"width":776,"height":11}},{"id":"3e18e33f-4e96-431c-95e5-574008b29c50","block_type":"box","text":"attribute an expected rating to the security based on: (i) the expected rating of the security set forth in the","page_number":177,"box":{"x":69,"y":409,"width":756,"height":11}},{"id":"39292874-706f-4bca-bfd9-8d4ffe349a1d","block_type":"box","text":"preliminary prospectus or term sheet for the security; (ii) the NRSRO’s rating for the issuer of the security set forth in","page_number":177,"box":{"x":70,"y":424,"width":835,"height":11}},{"id":"60cd8d75-bbeb-4c4b-9e39-64d76e7cba5c","block_type":"box","text":"the preliminary prospectus or term sheet for the security; or (iii) with respect to asset-backed securities, the rating of","page_number":177,"box":{"x":68,"y":439,"width":836,"height":11}},{"id":"4ae456bb-c32c-4295-8b77-24a699b66e59","block_type":"box","text":"a prior issuance having a similar structure or the same sponsor.","page_number":177,"box":{"x":69,"y":454,"width":456,"height":11}},{"id":"717604b2-e8b1-4069-87d8-90f91b640ee3","block_type":"box","text":"Where the investment objective of a fund is to track the performance of an index that includes credit ratings","page_number":177,"box":{"x":101,"y":477,"width":771,"height":11}},{"id":"5ce9efbc-53c7-4034-bef6-fea85acea5f2","block_type":"box","text":"eligibility criteria as part of its index methodology, the fund may purchase any security within the index, such security","page_number":177,"box":{"x":69,"y":492,"width":832,"height":11}},{"id":"c01bc770-6441-4560-b4d1-86345eb8a3a8","block_type":"box","text":"having been determined by the index provider as meeting its credit ratings eligibility criteria. The credit ratings","page_number":177,"box":{"x":69,"y":507,"width":782,"height":11}},{"id":"86be6385-b7f3-4504-af28-40f6833ddad0","block_type":"box","text":"practices of an index provider may differ from BlackRock’s practices, as described above. Further, the fund may","page_number":177,"box":{"x":70,"y":522,"width":796,"height":11}},{"id":"0421ea1d-7d0d-4c6b-99e3-c28441ca07fa","block_type":"box","text":"invest, directly or indirectly, in securities that are not rated by a rating agency or securities with a credit rating that","page_number":177,"box":{"x":70,"y":537,"width":811,"height":12}},{"id":"1a357248-55c7-4c2d-8aec-63cd56f49c2b","block_type":"box","text":"differs from the credit rating specified in its index methodology in various circumstances, including where a security is","page_number":177,"box":{"x":69,"y":552,"width":840,"height":12}},{"id":"1fafa5fa-2cac-4076-9649-784e7badd973","block_type":"box","text":"downgraded but not yet removed from an index, following the removal of a security from an index prior to its sale by","page_number":177,"box":{"x":69,"y":567,"width":824,"height":12}},{"id":"e39546d3-e19e-470d-8df1-459f318ea1dc","block_type":"box","text":"the fund or as a result of a corporate action or restructuring affecting an issuer of a security held by the fund.","page_number":177,"box":{"x":68,"y":583,"width":781,"height":11}},{"id":"06f5f9ba-81cb-48b0-aa00-241a00eab0d1","block_type":"box","text":"Fixed-income securities which are unrated may expose the investor to risks with respect to capacity to pay","page_number":177,"box":{"x":102,"y":606,"width":756,"height":10}},{"id":"e7ed39c5-72b6-4511-9d72-0cd415183403","block_type":"box","text":"interest or repay principal which are similar to the risks of lower-rated speculative bonds (although BlackRock may","page_number":177,"box":{"x":70,"y":620,"width":811,"height":12}},{"id":"590a3418-9b99-4860-9207-911744ce6d74","block_type":"box","text":"deem such unrated securities to be of higher quality). Evaluation of these securities is dependent on BlackRock’s","page_number":177,"box":{"x":69,"y":635,"width":809,"height":12}},{"id":"0243dc56-3d1f-479d-a36e-8c7fcefcb142","block_type":"box","text":"judgment, analysis and experience in the evaluation of such securities.","page_number":177,"box":{"x":67,"y":651,"width":506,"height":11}},{"id":"fbdefbc5-9094-4889-abd2-8486c69fda0c","block_type":"box","text":"Investors should note that the assignment of a rating to a security by an NRSRO may not reflect the effect of","page_number":177,"box":{"x":102,"y":673,"width":776,"height":12}},{"id":"fecce3d0-64af-41fc-8aa6-47b61cb65e44","block_type":"box","text":"recent developments on the issuer’s ability to make interest and principal payments or on the likelihood of default.","page_number":177,"box":{"x":69,"y":688,"width":818,"height":12}},{"id":"ed792869-23a3-4abf-929f-f2490f6d3edd","block_type":"box","text":"Securities deemed to be high yield are rated below Baa3 by Moody’s and below BBB- by S&P Global Ratings and","page_number":177,"box":{"x":102,"y":711,"width":799,"height":11}},{"id":"f3920e89-02d2-403e-8e6d-74c4bb53b162","block_type":"box","text":"Fitch. Other terms used to describe such securities include “lower rated bonds,” “non-investment grade bonds,”","page_number":177,"box":{"x":70,"y":726,"width":798,"height":11}},{"id":"9e509bcb-097b-4dfc-8886-6ed57ed61581","block_type":"box","text":"“below investment grade bonds,” and “junk bonds.”","page_number":177,"box":{"x":70,"y":742,"width":368,"height":11}},{"id":"d331b78e-ae41-41e1-be88-8fb216caab29","block_type":"box","text":"The descriptions below relate to general long-term and short-term obligations of an issuer.","page_number":177,"box":{"x":101,"y":764,"width":643,"height":11}},{"id":"d549b9ac-250d-40ac-ac51-dba992b72867","block_type":"box","text":"A Description of Moody’s Investors Service, Inc.’s (“Moody’s”) Global Rating Scales","page_number":177,"box":{"x":68,"y":794,"width":616,"height":11}},{"id":"0a45f07b-acec-48a2-9eec-556c8c9bc6b0","block_type":"box","text":"Credit ratings are assigned on Moody’s global long-term and short-term rating scales and are forward-looking","page_number":177,"box":{"x":102,"y":817,"width":777,"height":11}},{"id":"03ff3573-c2cc-4f47-aad4-a2d571996ff7","block_type":"box","text":"opinions of the relative credit risks of financial obligations issued by non-financial corporates, financial institutions,","page_number":177,"box":{"x":69,"y":832,"width":818,"height":11}},{"id":"8c039808-e74b-4bc1-804a-ab6e97cae085","block_type":"box","text":"structured finance vehicles, project finance vehicles, and public sector entities. Moody’s defines credit risk as the","page_number":177,"box":{"x":69,"y":847,"width":812,"height":11}},{"id":"74d411f1-9925-4ea1-9ee5-e6003f45b503","block_type":"box","text":"risk that an entity may not meet its contractual financial obligations as they come due and any estimated financial","page_number":177,"box":{"x":69,"y":862,"width":812,"height":12}},{"id":"83c5a7d9-c0fb-4366-91e0-8097aa896ea4","block_type":"box","text":"loss in the event of default or impairment. The contractual financial obligations addressed by Moody’s ratings are","page_number":177,"box":{"x":70,"y":877,"width":807,"height":12}},{"id":"d05e74f2-0967-43c5-848e-c2dd65355e54","block_type":"box","text":"those that call for, without regard to enforceability, the payment of an ascertainable amount, which may vary based","page_number":177,"box":{"x":68,"y":892,"width":821,"height":12}},{"id":"3419d39e-3b64-4148-96ab-5068b35f1095","block_type":"box","text":"upon standard sources of variation (","page_number":177,"box":{"x":69,"y":908,"width":257,"height":11}},{"id":"3f454e00-cd64-496a-a984-d1a8ad7b4d13","block_type":"box","text":"e.g.","page_number":177,"box":{"x":328,"y":909,"width":25,"height":10}},{"id":"a42def51-3161-4647-a9f3-8bc709b85e5f","block_type":"box","text":", floating interest rates), by an ascertainable date. Moody’s rating addresses","page_number":177,"box":{"x":355,"y":908,"width":548,"height":11}},{"id":"c78dda2b-5971-4614-bfa6-ec03d8d47651","block_type":"box","text":"A-1","page_number":177,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"75479db4-1ad7-4361-94c4-f67517777e7b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":177,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"31225ebf-9406-4f67-9bf5-97a7d1880aef","block_type":"box","text":"the issuer’s ability to obtain cash sufficient to service the obligation, and its willingness to pay. Moody’s ratings do","page_number":178,"box":{"x":68,"y":45,"width":821,"height":11}},{"id":"c34a9d59-134f-4b73-9dc2-191c951735c9","block_type":"box","text":"not address non-standard sources of variation in the amount of the principal obligation (","page_number":178,"box":{"x":69,"y":60,"width":627,"height":11}},{"id":"e2fcefa8-d1a4-48c6-9d32-07e8559b34b6","block_type":"box","text":"e.g.","page_number":178,"box":{"x":697,"y":61,"width":25,"height":10}},{"id":"60da1eeb-408f-40cf-9f8a-b8e8a88b07f1","block_type":"box","text":", equity indexed), absent","page_number":178,"box":{"x":725,"y":60,"width":174,"height":11}},{"id":"e33483a3-89f3-4cd9-a7a4-96c95aef3667","block_type":"box","text":"an express statement to the contrary in a press release accompanying an initial rating. Long-term ratings are","page_number":178,"box":{"x":69,"y":75,"width":777,"height":11}},{"id":"4c7feabb-143b-4716-8fe9-bf3e0021203a","block_type":"box","text":"assigned to issuers or obligations with an original maturity of eleven months or more and reflect both on the","page_number":178,"box":{"x":69,"y":90,"width":771,"height":11}},{"id":"36c16649-d003-4662-8656-26a00735e2eb","block_type":"box","text":"likelihood of a default or impairment on contractual financial obligations and the expected financial loss suffered in","page_number":178,"box":{"x":70,"y":105,"width":819,"height":11}},{"id":"53fa9b2e-e879-4b41-8ade-b42b396b67c2","block_type":"box","text":"the event of default or impairment. Short-term ratings are assigned for obligations with an original maturity of thirteen","page_number":178,"box":{"x":68,"y":120,"width":840,"height":12}},{"id":"4521ed9a-9d93-4a49-98d2-4ca0c4dde9b8","block_type":"box","text":"months or less and reflect both on the likelihood of a default or impairment on contractual financial obligations and","page_number":178,"box":{"x":69,"y":135,"width":822,"height":12}},{"id":"6b432cbf-f767-4cba-a5c3-9bd00f720b03","block_type":"box","text":"the expected financial loss suffered in the event of default or impairment. Moody’s issues ratings at the issuer level","page_number":178,"box":{"x":68,"y":150,"width":829,"height":12}},{"id":"cdf02d2f-4781-45fa-890d-cfec62afba8f","block_type":"box","text":"and instrument level on both the long-term scale and the short-term scale. Typically, ratings are made publicly","page_number":178,"box":{"x":69,"y":166,"width":784,"height":11}},{"id":"b04b578a-1fe5-4186-8751-5347609877df","block_type":"box","text":"available although private and unpublished ratings may also be assigned.","page_number":178,"box":{"x":69,"y":181,"width":521,"height":11}},{"id":"6e4728a8-2385-4092-9d6d-ea71f5b2e5a0","block_type":"box","text":"Moody’s differentiates structured finance ratings from fundamental ratings (","page_number":178,"box":{"x":102,"y":203,"width":542,"height":12}},{"id":"41cd84b6-86fb-4264-b8a8-df09d7e2f742","block_type":"box","text":"i.e.","page_number":178,"box":{"x":646,"y":204,"width":20,"height":8}},{"id":"d95182d3-91ac-4e56-99a4-9c5e42f41eef","block_type":"box","text":", ratings on nonfinancial","page_number":178,"box":{"x":669,"y":203,"width":169,"height":12}},{"id":"9a8f88d0-9ab4-46ad-bf62-96776d43f0b2","block_type":"box","text":"corporate, financial institution, and public sector entities) on the global long-term scale by adding (sf) to all structured","page_number":178,"box":{"x":69,"y":218,"width":837,"height":12}},{"id":"25526466-211b-4c1c-830f-30990d9059e6","block_type":"box","text":"finance ratings. The addition of (sf) to structured finance ratings should eliminate any presumption that such ratings","page_number":178,"box":{"x":68,"y":234,"width":828,"height":11}},{"id":"437f997e-fd36-47e5-a87f-cb57bce67a8a","block_type":"box","text":"and fundamental ratings at the same letter grade level will behave the same. The (sf) indicator for structured finance","page_number":178,"box":{"x":69,"y":249,"width":832,"height":11}},{"id":"44e330fc-f43f-4885-9aa0-2de265623338","block_type":"box","text":"security ratings indicates that otherwise similarly rated structured finance and fundamental securities may have","page_number":178,"box":{"x":69,"y":264,"width":797,"height":11}},{"id":"6bbbc517-aade-4b40-a7a5-92fce9031646","block_type":"box","text":"different risk characteristics. Through its current methodologies, however, Moody’s aspires to achieve broad","page_number":178,"box":{"x":69,"y":279,"width":771,"height":11}},{"id":"bc622890-0757-4310-a33c-03c58505cc65","block_type":"box","text":"expected equivalence in structured finance and fundamental rating performance when measured over a long period","page_number":178,"box":{"x":69,"y":294,"width":821,"height":11}},{"id":"1fe6230e-5c9d-4ef2-8ff7-0ec4a14cc799","block_type":"box","text":"of time.","page_number":178,"box":{"x":69,"y":309,"width":53,"height":9}},{"id":"282a4368-936f-454f-b04d-e3b2d46e9d70","block_type":"box","text":"Description of Moody’s Global Long-Term Rating Scale","page_number":178,"box":{"x":69,"y":339,"width":395,"height":12}},{"id":"4f1f7ae8-13ed-4a06-af9e-2a23538ddaa5","block_type":"box","text":"Aaa Obligations rated Aaa are judged to be of the highest quality, subject to the lowest level of credit","page_number":178,"box":{"x":68,"y":367,"width":815,"height":11}},{"id":"6c95109c-b3da-4d1e-86c0-80bbfa4d4c0d","block_type":"box","text":"risk.","page_number":178,"box":{"x":197,"y":383,"width":28,"height":8}},{"id":"f43d0990-7a23-4968-9543-868e2222407f","block_type":"box","text":"Aa Obligations rated Aa are judged to be of high quality and are subject to very low credit risk.","page_number":178,"box":{"x":68,"y":402,"width":773,"height":12}},{"id":"7a2e6bc0-11bf-4d8a-9334-6f9408f6b9a7","block_type":"box","text":"A Obligations rated A are judged to be upper-medium grade and are subject to low credit risk.","page_number":178,"box":{"x":68,"y":423,"width":776,"height":11}},{"id":"545aebd9-54bd-4e61-b3a5-71c733ce7015","block_type":"box","text":"Baa Obligations rated Baa are judged to be medium-grade and subject to moderate credit risk and as","page_number":178,"box":{"x":70,"y":443,"width":813,"height":11}},{"id":"5214ff7b-48a8-40de-b5e8-75c912f0a3bb","block_type":"box","text":"such may possess certain speculative characteristics.","page_number":178,"box":{"x":196,"y":458,"width":385,"height":11}},{"id":"644d0fe9-5400-4f66-845d-6d2bf8a7f17a","block_type":"box","text":"Ba Obligations rated Ba are judged to be speculative and are subject to substantial credit risk.","page_number":178,"box":{"x":70,"y":478,"width":775,"height":11}},{"id":"422076c4-1d0c-4ec2-b82a-fff30bdb5258","block_type":"box","text":"B Obligations rated B are considered speculative and are subject to high credit risk.","page_number":178,"box":{"x":70,"y":498,"width":707,"height":11}},{"id":"c0eb2626-c5dd-4031-81e8-be9a25fbfeb7","block_type":"box","text":"Caa Obligations rated Caa are judged to be speculative of poor standing and are subject to very high","page_number":178,"box":{"x":69,"y":518,"width":810,"height":12}},{"id":"3fcb7fdd-0e22-4c3e-aaf5-d88419d09bad","block_type":"box","text":"credit risk.","page_number":178,"box":{"x":196,"y":534,"width":74,"height":8}},{"id":"2e9812b9-5f19-4a41-94dd-f9dbd17ab0fa","block_type":"box","text":"Ca Obligations rated Ca are highly speculative and are likely in, or very near, default, with some","page_number":178,"box":{"x":69,"y":554,"width":783,"height":11}},{"id":"48209615-8cc4-4250-898f-f437e87394d9","block_type":"box","text":"prospect of recovery of principal and interest.","page_number":178,"box":{"x":197,"y":569,"width":322,"height":11}},{"id":"a2156139-42ee-494f-ace6-43cfb87a87be","block_type":"box","text":"C Obligations rated C are the lowest rated and are typically in default, with little prospect for recovery","page_number":178,"box":{"x":69,"y":589,"width":834,"height":11}},{"id":"8dac7e0e-5b35-425b-a321-f44d277341a5","block_type":"box","text":"of principal or interest.","page_number":178,"box":{"x":196,"y":604,"width":160,"height":11}},{"id":"186fac2a-80ba-491c-a437-292702271f20","block_type":"box","text":"Note:","page_number":178,"box":{"x":102,"y":624,"width":37,"height":9}},{"id":"782b522e-d022-436e-bccb-ce8b95d8eee6","block_type":"box","text":"Moody’s appends numerical modifiers 1, 2, and 3 to each generic rating classification from Aa through","page_number":178,"box":{"x":146,"y":624,"width":731,"height":11}},{"id":"6c678176-7b73-4963-9c6f-207dd4876612","block_type":"box","text":"Caa. The modifier 1 indicates that the obligation ranks in the higher end of its generic rating category; the modifier 2","page_number":178,"box":{"x":69,"y":639,"width":831,"height":12}},{"id":"b0dae246-8146-4d77-bf0c-a61dd450ed48","block_type":"box","text":"indicates a mid-range ranking; and the modifier 3 indicates a ranking in the lower end of that generic rating category.","page_number":178,"box":{"x":70,"y":654,"width":829,"height":12}},{"id":"49330067-e258-470e-aa7c-7bdee14fcccc","block_type":"box","text":"Additionally, a “(hyb)” indicator is appended to all ratings of hybrid securities issued by banks, insurers, finance","page_number":178,"box":{"x":68,"y":669,"width":795,"height":12}},{"id":"7d20aed9-acad-47a4-a973-5042071b0365","block_type":"box","text":"companies, and securities firms.","page_number":178,"box":{"x":69,"y":685,"width":232,"height":11}},{"id":"edcbdbab-4f9a-4d90-bc0e-1652901328dc","block_type":"box","text":"By their terms, hybrid securities allow for the omission of scheduled dividends, interest, or principal payments,","page_number":178,"box":{"x":102,"y":707,"width":787,"height":11}},{"id":"91045e45-c65e-4934-95c1-d4b2753348fe","block_type":"box","text":"which can potentially result in impairment if such an omission occurs. Hybrid securities may also be subject to","page_number":178,"box":{"x":68,"y":722,"width":788,"height":12}},{"id":"af8f6ff4-6246-496c-a1f2-cb58acae4789","block_type":"box","text":"contractually allowable write-downs of principal that could result in impairment. Together with the hybrid indicator, the","page_number":178,"box":{"x":69,"y":738,"width":833,"height":11}},{"id":"e05f1c7f-1416-49ac-b3a7-c430591ee46d","block_type":"box","text":"long-term obligation rating assigned to a hybrid security is an expression of the relative credit risk associated with","page_number":178,"box":{"x":70,"y":753,"width":809,"height":11}},{"id":"c4dd3f97-e052-4a50-a572-5b3d1e819ef3","block_type":"box","text":"that security.","page_number":178,"box":{"x":68,"y":768,"width":91,"height":11}},{"id":"07974dc6-b765-400f-99fd-c5fb05b7b286","block_type":"box","text":"Description of Moody’s Global Short-Term Rating Scale","page_number":178,"box":{"x":69,"y":798,"width":400,"height":11}},{"id":"194cd51b-38f6-4d29-b742-3c4ecbdf61df","block_type":"box","text":"P-1 Ratings of Prime-1 reflect a superior ability to repay short-term obligations.","page_number":178,"box":{"x":69,"y":826,"width":658,"height":11}},{"id":"df6e7567-6a6c-4848-9dad-88c6e42ad1b6","block_type":"box","text":"P-2 Ratings of Prime-2 reflect a strong ability to repay short-term obligations.","page_number":178,"box":{"x":69,"y":846,"width":645,"height":11}},{"id":"9be7bca8-6abd-4c32-81ba-da4f770de26c","block_type":"box","text":"P-3 Ratings of Prime-3 reflect an acceptable ability to repay short-term obligations.","page_number":178,"box":{"x":69,"y":866,"width":686,"height":11}},{"id":"ba65a9e5-c367-438a-b9fb-b03aa9aaaa5f","block_type":"box","text":"NP Issuers (or supporting institutions) rated Not Prime do not fall within any of the Prime rating","page_number":178,"box":{"x":70,"y":886,"width":778,"height":12}},{"id":"74cc7eed-1cad-4d15-83f3-c8b88fa8b179","block_type":"box","text":"categories.","page_number":178,"box":{"x":196,"y":902,"width":77,"height":11}},{"id":"4b69b690-e60f-4f41-b9d2-1c825a0669c2","block_type":"box","text":"A-2","page_number":178,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"949c8022-343b-4207-b718-d1a8785a106a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":178,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a476e129-39a3-4250-9d53-e9309c8483e9","block_type":"box","text":"Description of Moody’s U.S. Municipal Short-Term Debt and Demand Obligation Ratings","page_number":179,"box":{"x":69,"y":45,"width":637,"height":11}},{"id":"7d5c8516-9724-42bb-8c89-6979ac67c832","block_type":"box","text":"Moody’s uses the global short-term Prime rating scale for commercial paper issued by U.S. municipalities and","page_number":179,"box":{"x":102,"y":67,"width":784,"height":12}},{"id":"dc3d3539-5602-4125-bb30-7cca47bc20f3","block_type":"box","text":"nonprofits. These commercial paper programs may be backed by external letters of credit or liquidity facilities, or by","page_number":179,"box":{"x":69,"y":82,"width":824,"height":12}},{"id":"2d3a81e4-c58b-44b9-96e9-fde816fb1a39","block_type":"box","text":"an issuer’s self-liquidity.","page_number":179,"box":{"x":69,"y":98,"width":170,"height":11}},{"id":"e86f3879-de7c-4ff1-bb73-54a02644f0b7","block_type":"box","text":"For other short-term municipal obligations, Moody’s uses one of two other short-term rating scales, the","page_number":179,"box":{"x":102,"y":120,"width":736,"height":12}},{"id":"9350bd30-dc55-433f-832b-5808c36c3361","block_type":"box","text":"Municipal Investment Grade (“MIG”) and Variable Municipal Investment Grade (“VMIG”) scales discussed below.","page_number":179,"box":{"x":70,"y":135,"width":796,"height":11}},{"id":"38b02464-01e0-4982-b359-fae22fc43cae","block_type":"box","text":"MIG Ratings","page_number":179,"box":{"x":102,"y":158,"width":85,"height":11}},{"id":"6598e1e4-c45a-482a-9559-7bb871608ef3","block_type":"box","text":"Moody’s uses the MIG scale for U.S. municipal cash flow notes, bond anticipation notes and certain other short","page_number":179,"box":{"x":102,"y":181,"width":803,"height":11}},{"id":"e5f8b297-3377-4509-b480-b1fa6528f163","block_type":"box","text":"term obligations, which typically mature in three years or less. Under certain circumstances, Moody’s uses the MIG","page_number":179,"box":{"x":68,"y":196,"width":823,"height":11}},{"id":"f81bc3c9-968a-4751-a7ac-9ba367007ed4","block_type":"box","text":"scale for bond anticipation notes with maturities of up to five years.","page_number":179,"box":{"x":69,"y":211,"width":480,"height":11}},{"id":"70053ae2-7826-41f0-9d9d-bb63a9aa901f","block_type":"box","text":"MIG Scale","page_number":179,"box":{"x":102,"y":234,"width":71,"height":9}},{"id":"14e2a337-46ad-4bdb-98be-f41eaa0d2ee5","block_type":"box","text":"MIG 1 This designation denotes superior credit quality. Excellent protection is afforded by established","page_number":179,"box":{"x":70,"y":261,"width":802,"height":12}},{"id":"d9d950be-2b88-4acf-b577-84980db190f3","block_type":"box","text":"cash flows, highly reliable liquidity support, or demonstrated broad-based access to the market for","page_number":179,"box":{"x":196,"y":276,"width":703,"height":12}},{"id":"1de30fb9-48aa-45d3-a751-6358ede58ec6","block_type":"box","text":"refinancing.","page_number":179,"box":{"x":197,"y":292,"width":80,"height":11}},{"id":"8a44b292-a71c-4064-9644-4220d90d96e3","block_type":"box","text":"MIG 2 This designation denotes strong credit quality. Margins of protection are ample, although not as","page_number":179,"box":{"x":70,"y":312,"width":809,"height":11}},{"id":"fb4f91ce-ff15-45b8-a639-c712a9d0bcfc","block_type":"box","text":"large as in the preceding group.","page_number":179,"box":{"x":197,"y":327,"width":224,"height":11}},{"id":"6b74881c-ce15-4039-a762-84ae8c538ceb","block_type":"box","text":"MIG 3 This designation denotes acceptable credit quality. Liquidity and cash-flow protection may be","page_number":179,"box":{"x":70,"y":347,"width":785,"height":11}},{"id":"7351ff36-80a3-4a9c-897d-818c4d52cb27","block_type":"box","text":"narrow, and market access for refinancing is likely to be less well-established.","page_number":179,"box":{"x":197,"y":362,"width":554,"height":11}},{"id":"86c0d41f-2da4-4e62-9b19-2bbedaeddf11","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Debt instruments in this category may","page_number":179,"box":{"x":69,"y":382,"width":813,"height":12}},{"id":"047f888d-eef3-49dd-8a46-5b94d4016e2c","block_type":"box","text":"lack sufficient margins of protection.","page_number":179,"box":{"x":197,"y":397,"width":259,"height":12}},{"id":"000d47db-1d75-4b35-9185-cf7b97ac13b0","block_type":"box","text":"VMIG Ratings","page_number":179,"box":{"x":68,"y":425,"width":100,"height":11}},{"id":"0e243053-68b7-4d88-b0c6-3cb8afb8ff30","block_type":"box","text":"In the case of variable rate demand obligations (“VRDOs”), a two-component rating is assigned. The components","page_number":179,"box":{"x":102,"y":448,"width":804,"height":11}},{"id":"a6904836-1fb2-4cc4-abfd-e8ef2953e663","block_type":"box","text":"are a long-term rating and a short-term payment obligation rating. The long-term rating addresses the issuer’s ability","page_number":179,"box":{"x":69,"y":463,"width":829,"height":11}},{"id":"8be190ef-1716-4df2-9abd-a35f532291e2","block_type":"box","text":"to meet scheduled principal and interest payments. The short-term payment obligation rating addresses the ability of","page_number":179,"box":{"x":68,"y":478,"width":836,"height":11}},{"id":"2f2b6ecd-eeca-448d-b2cd-ab3ea77c48af","block_type":"box","text":"the issuer or the liquidity provider meet any purchase-price payment obligation resulting from optional tenders (“on","page_number":179,"box":{"x":68,"y":493,"width":817,"height":11}},{"id":"5115b059-d3b3-4a5b-b091-71df3ab9287e","block_type":"box","text":"demand”) and/or mandatory tenders of the VRDO. The short-term demand obligation rating uses the VMIG scale.","page_number":179,"box":{"x":69,"y":508,"width":807,"height":12}},{"id":"0e822fb4-5603-49a8-a6e8-c84703d60c4a","block_type":"box","text":"VMIG ratings with liquidity support use as an input the short-term Counterparty Risk Assessment of the support","page_number":179,"box":{"x":68,"y":523,"width":800,"height":12}},{"id":"766b65a1-cfcd-40ea-84bf-564a6edab8d9","block_type":"box","text":"provider, or the long-term rating of the underlying obligor in the absence of third party liquidity support. Transitions of","page_number":179,"box":{"x":70,"y":538,"width":832,"height":12}},{"id":"4cf58869-3f99-44e3-9fbc-ef6cbd63d1c9","block_type":"box","text":"VMIG ratings of demand obligations with conditional liquidity support differ from transitions on the Prime scale to","page_number":179,"box":{"x":68,"y":554,"width":807,"height":11}},{"id":"9c6784c7-ee9c-4dad-8e2f-219ae0c29f73","block_type":"box","text":"reflect the risk that external liquidity support will terminate if the issuer’s long-term rating drops below investment","page_number":179,"box":{"x":69,"y":569,"width":812,"height":11}},{"id":"15bfac2f-afcc-4a17-9434-3633cbbd805a","block_type":"box","text":"grade.","page_number":179,"box":{"x":68,"y":584,"width":43,"height":11}},{"id":"937b179e-b83b-4abe-835a-9f890b10f519","block_type":"box","text":"Moody’s typically assigns the VMIG short-term demand obligation rating if the frequency of the demand feature is","page_number":179,"box":{"x":102,"y":606,"width":807,"height":12}},{"id":"bb96402b-3521-4cf4-9ac9-3f2fae118593","block_type":"box","text":"less than every three years. If the frequency of the demand feature is less than three years but the purchase price is","page_number":179,"box":{"x":70,"y":622,"width":833,"height":11}},{"id":"079db81a-8064-4736-af74-c4a538bddc58","block_type":"box","text":"payable only with remarketing proceeds, the short-term demand obligation rating is “NR”.","page_number":179,"box":{"x":70,"y":637,"width":635,"height":11}},{"id":"bf01b060-d44a-47ef-9dc7-bf2bc8e0e881","block_type":"box","text":"Industrial development bonds in the US where the obligor is a corporate may carry a VMIG rating that reflects","page_number":179,"box":{"x":102,"y":659,"width":778,"height":12}},{"id":"48cf19cb-2538-493b-bffc-07255533223d","block_type":"box","text":"Moody’s view of the relative likelihood of default and loss. In these cases, liquidity assessment is based on the","page_number":179,"box":{"x":70,"y":675,"width":795,"height":11}},{"id":"87c0de00-664a-47ed-b327-fdad4e490615","block_type":"box","text":"liquidity of the corporate obligor.","page_number":179,"box":{"x":70,"y":690,"width":226,"height":11}},{"id":"d35783cd-8871-46c7-8170-89bfccb9a22e","block_type":"box","text":"VMIG Scale","page_number":179,"box":{"x":101,"y":712,"width":81,"height":9}},{"id":"3582fb7a-1375-457a-b215-89febd527fde","block_type":"box","text":"VMIG 1 This designation denotes superior credit quality. Excellent protection is afforded by the superior","page_number":179,"box":{"x":68,"y":740,"width":808,"height":11}},{"id":"a6f5861a-bdb4-40ef-a6e2-862d7206a3e6","block_type":"box","text":"short-term credit strength of the liquidity provider and structural and legal protections.","page_number":179,"box":{"x":196,"y":755,"width":613,"height":11}},{"id":"49cb6f25-58ad-4869-97c3-0809e28ce23c","block_type":"box","text":"VMIG 2 This designation denotes strong credit quality. Good protection is afforded by the strong short-term","page_number":179,"box":{"x":68,"y":775,"width":834,"height":12}},{"id":"0257b927-c1cf-49b7-b8ad-f7eb3a9e4f0a","block_type":"box","text":"credit strength of the liquidity provider and structural and legal protections.","page_number":179,"box":{"x":196,"y":790,"width":533,"height":12}},{"id":"efd79e77-a87c-43fa-8013-12de6813b6ba","block_type":"box","text":"VMIG 3 This designation denotes acceptable credit quality. Adequate protection is afforded by the","page_number":179,"box":{"x":68,"y":811,"width":768,"height":11}},{"id":"0d4bb232-2b40-443e-b8a1-68bd78a33301","block_type":"box","text":"satisfactory short-term credit strength of the liquidity provider and structural and legal protections.","page_number":179,"box":{"x":196,"y":826,"width":701,"height":11}},{"id":"870e34d7-444e-4030-a0b5-1b1726c1b7aa","block_type":"box","text":"SG This designation denotes speculative-grade credit quality. Demand features rated in this category","page_number":179,"box":{"x":69,"y":846,"width":820,"height":11}},{"id":"4b911c69-2b44-417d-a98c-eeff33ed94d1","block_type":"box","text":"may be supported by a liquidity provider that does not have a sufficiently strong short-term rating or","page_number":179,"box":{"x":197,"y":861,"width":711,"height":11}},{"id":"1bf023f8-85b1-4581-b46d-81920f4466d1","block_type":"box","text":"may lack the structural or legal protections.","page_number":179,"box":{"x":197,"y":876,"width":308,"height":11}},{"id":"804d3b62-ad70-4abc-ae12-fba9ec00740b","block_type":"box","text":"A-3","page_number":179,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"03540a6b-3fe2-4621-973f-a1e0b073e1df","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":179,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b30973be-a8cc-4150-85d6-67a2777477fd","block_type":"box","text":"Description of S&P Global Ratings (“S&P”), a Division of S&P Global Inc., Issue Credit Ratings","page_number":180,"box":{"x":69,"y":45,"width":691,"height":11}},{"id":"a114cfd7-e2db-4e93-a9fc-59d828a0ed36","block_type":"box","text":"An S&P issue credit rating is a forward-looking opinion about the creditworthiness of an obligor with respect to a","page_number":180,"box":{"x":101,"y":67,"width":801,"height":12}},{"id":"d668af1f-b260-4927-9125-d6e89d287900","block_type":"box","text":"specific financial obligation, a specific class of financial obligations, or a specific financial program (including ratings","page_number":180,"box":{"x":69,"y":82,"width":829,"height":12}},{"id":"166f53eb-387d-4290-923f-dd962f434465","block_type":"box","text":"on medium-term note programs and commercial paper programs). It takes into consideration the creditworthiness of","page_number":180,"box":{"x":69,"y":98,"width":831,"height":11}},{"id":"d4cf16cd-b0d9-4adb-9ffe-d2fb9f48da31","block_type":"box","text":"guarantors, insurers, or other forms of credit enhancement on the obligation and takes into account the currency in","page_number":180,"box":{"x":68,"y":113,"width":823,"height":11}},{"id":"67176cd2-0268-4df4-bee7-ca98378cb21d","block_type":"box","text":"which the obligation is denominated. The opinion reflects S&P’s view of the obligor’s capacity and willingness to meet","page_number":180,"box":{"x":68,"y":128,"width":841,"height":11}},{"id":"e6ebc54b-cbac-4af5-a74e-e6a9a2c47260","block_type":"box","text":"its financial commitments as they come due, and this opinion may assess terms, such as collateral security and","page_number":180,"box":{"x":70,"y":143,"width":801,"height":11}},{"id":"f51d2e93-c388-493a-bc01-7c412be5dc1e","block_type":"box","text":"subordination, which could affect ultimate payment in the event of default.","page_number":180,"box":{"x":69,"y":158,"width":530,"height":11}},{"id":"d4f658fd-98ac-44dc-bb5a-07f0a8ef56ef","block_type":"box","text":"Issue credit ratings can be either long-term or short-term. Short-term issue credit ratings are generally assigned","page_number":180,"box":{"x":102,"y":181,"width":796,"height":11}},{"id":"4093c77f-e6e7-413f-87a3-85e818f6c83b","block_type":"box","text":"to those obligations considered short-term in the relevant market, typically with an original maturity of no more than","page_number":180,"box":{"x":68,"y":196,"width":825,"height":11}},{"id":"c5e71a14-032a-4a64-9100-3fd3cbdf814a","block_type":"box","text":"365 days. Short-term issue credit ratings are also used to indicate the creditworthiness of an obligor with respect to","page_number":180,"box":{"x":69,"y":211,"width":832,"height":11}},{"id":"73c103a5-1c9f-4c85-b857-adb62f149015","block_type":"box","text":"put features on long-term obligations. S&P would typically assign a long-term issue credit rating to an obligation with","page_number":180,"box":{"x":70,"y":226,"width":826,"height":11}},{"id":"045fbaca-77d4-4135-9ca3-ee55e54ea445","block_type":"box","text":"an original maturity of greater than 365 days. However, the ratings S&P assigns to certain instruments may diverge","page_number":180,"box":{"x":69,"y":241,"width":823,"height":11}},{"id":"af62f017-798c-4a40-b7a3-06bb0dc87523","block_type":"box","text":"from these guidelines based on market practices.","page_number":180,"box":{"x":68,"y":256,"width":354,"height":12}},{"id":"7d6f281a-56b2-4424-b2f9-1c3a43fdd95d","block_type":"box","text":"Issue credit ratings are based, in varying degrees, on S&P’s analysis of the following considerations:","page_number":180,"box":{"x":102,"y":279,"width":718,"height":11}},{"id":"b9f9dafc-598d-463f-aa05-70241b510405","block_type":"box","text":"•","page_number":180,"box":{"x":69,"y":302,"width":6,"height":5}},{"id":"f22f1c10-ae56-4151-aa40-bdd937010f61","block_type":"box","text":"The likelihood of payment—the capacity and willingness of the obligor to meet its financial commitments on an","page_number":180,"box":{"x":101,"y":299,"width":790,"height":11}},{"id":"ffce2194-a15b-4903-a56d-ddec6a2482bb","block_type":"box","text":"obligation in accordance with the terms of the obligation;","page_number":180,"box":{"x":102,"y":314,"width":404,"height":12}},{"id":"1bde4e95-d78f-4c77-8a9a-18a667e9c405","block_type":"box","text":"•","page_number":180,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"b6af674e-f3df-419f-bea8-07238f55588f","block_type":"box","text":"The nature and provisions of the financial obligation, and the promise S&P imputes; and","page_number":180,"box":{"x":101,"y":334,"width":629,"height":12}},{"id":"c90381dd-168d-4335-a939-7d979effcfcb","block_type":"box","text":"•","page_number":180,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"4a593dd5-9660-45bd-9d6b-1deb547b9120","block_type":"box","text":"The protection afforded by, and relative position of, the financial obligation in the event of a bankruptcy,","page_number":180,"box":{"x":101,"y":355,"width":738,"height":11}},{"id":"cb9be8d3-a390-4d77-b449-40239b224619","block_type":"box","text":"reorganization, or other arrangement under the laws of bankruptcy and other laws affecting creditors’ rights.","page_number":180,"box":{"x":102,"y":370,"width":770,"height":11}},{"id":"0e2d8c07-23e7-4b20-ae98-fad7a27be5cb","block_type":"box","text":"An issue rating is an assessment of default risk but may incorporate an assessment of relative seniority or","page_number":180,"box":{"x":101,"y":392,"width":763,"height":12}},{"id":"9405daac-13e8-4699-b819-d5a5632a0ab4","block_type":"box","text":"ultimate recovery in the event of default. Junior obligations are typically rated lower than senior obligations, to reflect","page_number":180,"box":{"x":69,"y":407,"width":833,"height":12}},{"id":"bddd295a-9fce-4d35-9437-a3ad31d0d505","block_type":"box","text":"lower priority in bankruptcy, as noted above. (Such differentiation may apply when an entity has both senior and","page_number":180,"box":{"x":70,"y":423,"width":794,"height":11}},{"id":"5c325edb-bba3-4105-9d06-8f17b3f238d8","block_type":"box","text":"subordinated obligations, secured and unsecured obligations, or operating company and holding company","page_number":180,"box":{"x":69,"y":438,"width":754,"height":11}},{"id":"50e44656-7af9-4b4f-a168-e69a4688919c","block_type":"box","text":"obligations.)","page_number":180,"box":{"x":69,"y":453,"width":86,"height":11}},{"id":"09d88646-62b7-4d17-9aab-6d7d589bb0c2","block_type":"box","text":"Long-Term Issue Credit Ratings*","page_number":180,"box":{"x":69,"y":483,"width":236,"height":11}},{"id":"c21b56f9-45d8-4c19-9a3b-887de28b55a3","block_type":"box","text":"AAA An obligation rated ‘AAA’ has the highest rating assigned by S&P. The obligor’s capacity to meet its","page_number":180,"box":{"x":68,"y":511,"width":833,"height":11}},{"id":"1c74c1b0-6214-4fa4-9ee6-07ea30d71f52","block_type":"box","text":"financial commitments on the obligation is extremely strong.","page_number":180,"box":{"x":196,"y":526,"width":429,"height":11}},{"id":"4d44f7e5-18b9-49c2-8ab9-2c68c5830bea","block_type":"box","text":"AA An obligation rated ‘AA’ differs from the highest-rated obligations only to a small degree. The","page_number":180,"box":{"x":68,"y":546,"width":788,"height":11}},{"id":"e72e97c1-f187-4513-b1d8-b4e863d3a422","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is very strong.","page_number":180,"box":{"x":196,"y":561,"width":602,"height":11}},{"id":"6932d8a8-1e44-40bd-a09a-aa7488690ee7","block_type":"box","text":"A An obligation rated ‘A’ is somewhat more susceptible to the adverse effects of changes in","page_number":180,"box":{"x":68,"y":581,"width":770,"height":12}},{"id":"3ef21406-d328-4cd3-a2de-f72b9efca874","block_type":"box","text":"circumstances and economic conditions than obligations in higher-rated categories. However, the","page_number":180,"box":{"x":196,"y":597,"width":692,"height":11}},{"id":"93c96695-2f7c-4831-99d8-0b2acd425c5c","block_type":"box","text":"obligor’s capacity to meet its financial commitments on the obligation is still strong.","page_number":180,"box":{"x":196,"y":612,"width":598,"height":11}},{"id":"20962d71-4bbe-4da4-8d41-00a0bea415c0","block_type":"box","text":"BBB An obligation rated ‘BBB’ exhibits adequate protection parameters. However, adverse economic","page_number":180,"box":{"x":70,"y":632,"width":806,"height":11}},{"id":"2bb1ca04-5da7-42bf-847f-e1eae6bc65e4","block_type":"box","text":"conditions or changing circumstances are more likely to weaken the obligor’s capacity to meet its","page_number":180,"box":{"x":196,"y":647,"width":694,"height":11}},{"id":"140ba438-4b8f-446e-85c2-977a1c977888","block_type":"box","text":"financial commitments on the obligation.","page_number":180,"box":{"x":196,"y":662,"width":289,"height":11}},{"id":"f449d056-c464-48b4-b4da-21f7e16e5337","block_type":"box","text":"BB,","page_number":180,"box":{"x":70,"y":682,"width":22,"height":11}},{"id":"d393761a-e141-4109-85a9-d42278371352","block_type":"box","text":"B,","page_number":180,"box":{"x":70,"y":697,"width":12,"height":11}},{"id":"2420a911-1ab7-4fa3-bfdc-d60ecb030131","block_type":"box","text":"CCC,","page_number":180,"box":{"x":69,"y":712,"width":33,"height":11}},{"id":"07c99959-b0c9-4aa2-9126-c36408e08174","block_type":"box","text":"CC,","page_number":180,"box":{"x":69,"y":728,"width":23,"height":10}},{"id":"71abadbe-aff5-46ba-919a-189db7cd2fa5","block_type":"box","text":"and C","page_number":180,"box":{"x":69,"y":743,"width":40,"height":9}},{"id":"5e12bbd9-fafb-4db1-8285-3031eb5da05a","block_type":"box","text":"Obligations rated ‘BB’, ‘B’, ‘CCC’, ‘CC’, and ‘C’ are regarded as having significant speculative","page_number":180,"box":{"x":196,"y":682,"width":667,"height":11}},{"id":"d45e9924-a4ff-4fc2-a0d0-88d2492402b1","block_type":"box","text":"characteristics. ‘BB’ indicates the least degree of speculation and ‘C’ the highest. While such","page_number":180,"box":{"x":196,"y":697,"width":667,"height":12}},{"id":"89babcc0-6c40-4a9f-b674-98fd186213c5","block_type":"box","text":"obligations will likely have some quality and protective characteristics, these may be outweighed by","page_number":180,"box":{"x":196,"y":713,"width":707,"height":11}},{"id":"ab6a6855-d042-41de-8bf5-d7c0c2a88c04","block_type":"box","text":"large uncertainties or major exposure to adverse conditions.","page_number":180,"box":{"x":197,"y":728,"width":428,"height":11}},{"id":"20efba83-e1f5-439a-ac02-3a85bacda37b","block_type":"box","text":"BB An obligation rated ‘BB’ is less vulnerable to nonpayment than other speculative issues. However, it","page_number":180,"box":{"x":70,"y":763,"width":838,"height":11}},{"id":"1b5cba7f-ba1c-4ae8-917c-833e8a0fcbb2","block_type":"box","text":"faces major ongoing uncertainties or exposure to adverse business, financial, or economic","page_number":180,"box":{"x":196,"y":778,"width":646,"height":11}},{"id":"60eee255-db41-4d4d-9fe3-906265cccc91","block_type":"box","text":"conditions that could lead to the obligor’s inadequate capacity to meet its financial commitments","page_number":180,"box":{"x":196,"y":793,"width":692,"height":11}},{"id":"03b78ac3-ecb5-4b45-9bf7-ca548096e9c1","block_type":"box","text":"on the obligation.","page_number":180,"box":{"x":196,"y":808,"width":122,"height":11}},{"id":"7530b5ff-02fc-405a-b176-53cf9c36fb55","block_type":"box","text":"B An obligation rated ‘B’ is more vulnerable to nonpayment than obligations rated ‘BB’, but the obligor","page_number":180,"box":{"x":70,"y":828,"width":840,"height":12}},{"id":"5aec4c6c-1b60-4007-9113-548f18ed8161","block_type":"box","text":"currently has the capacity to meet its financial commitments on the obligation. Adverse business,","page_number":180,"box":{"x":196,"y":843,"width":695,"height":12}},{"id":"97a69cdf-664d-40ce-9de2-72f6b77417cf","block_type":"box","text":"financial, or economic conditions will likely impair the obligor’s capacity or willingness to meet its","page_number":180,"box":{"x":196,"y":858,"width":691,"height":12}},{"id":"20c59314-aadb-4bb3-bf9a-322b79c2981d","block_type":"box","text":"financial commitments on the obligation.","page_number":180,"box":{"x":196,"y":874,"width":289,"height":11}},{"id":"212fa245-acd9-4600-be0e-8d8b54304888","block_type":"box","text":"A-4","page_number":180,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"20ffa197-dcdc-4604-8c12-7ca5ad2bc507","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":180,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a8212fd5-5701-438f-ac96-aebcf62a61b5","block_type":"box","text":"CCC An obligation rated ‘CCC’ is currently vulnerable to nonpayment and is dependent upon favorable","page_number":181,"box":{"x":69,"y":48,"width":816,"height":12}},{"id":"cf11d189-bd97-4005-9a31-0150e52559d6","block_type":"box","text":"business, financial, and economic conditions for the obligor to meet its financial commitments on","page_number":181,"box":{"x":196,"y":63,"width":695,"height":12}},{"id":"3c5b12d1-9a13-4cc2-a259-353092fe5319","block_type":"box","text":"the obligation. In the event of adverse business, financial, or economic conditions, the obligor is","page_number":181,"box":{"x":195,"y":79,"width":687,"height":11}},{"id":"1ec9d123-9194-4a7c-9019-2b4c3e44320d","block_type":"box","text":"not likely to have the capacity to meet its financial commitments on the obligation.","page_number":181,"box":{"x":197,"y":94,"width":586,"height":11}},{"id":"64881b11-a92f-4623-afce-93033fe66f78","block_type":"box","text":"CC An obligation rated ‘CC’ is currently highly vulnerable to nonpayment. The ‘CC’ rating is used when","page_number":181,"box":{"x":69,"y":114,"width":826,"height":11}},{"id":"270bd4bd-fa50-4f6e-a2fc-726c26835d2e","block_type":"box","text":"a default has not yet occurred but S&P expects default to be a virtual certainty, regardless of the","page_number":181,"box":{"x":196,"y":129,"width":692,"height":11}},{"id":"e6cad357-a761-408c-b61e-f107ff0f3bcf","block_type":"box","text":"anticipated time to default.","page_number":181,"box":{"x":196,"y":144,"width":191,"height":11}},{"id":"125b275a-9833-4a97-b997-45e53a4442d4","block_type":"box","text":"C An obligation rated ‘C’ is currently highly vulnerable to nonpayment, and the obligation is expected","page_number":181,"box":{"x":69,"y":164,"width":826,"height":12}},{"id":"67a459c0-663d-4f29-88e8-69eef8823ac2","block_type":"box","text":"to have lower relative seniority or lower ultimate recovery compared with obligations that are rated","page_number":181,"box":{"x":195,"y":180,"width":700,"height":11}},{"id":"442f7c98-50fb-494d-86dc-6ba063c35d7a","block_type":"box","text":"higher.","page_number":181,"box":{"x":197,"y":195,"width":45,"height":11}},{"id":"06bd09fd-a982-4973-9420-78e5c7e06e4a","block_type":"box","text":"D An obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid capital","page_number":181,"box":{"x":70,"y":215,"width":789,"height":11}},{"id":"653768d5-8596-41ed-8e11-7e929572d624","block_type":"box","text":"instruments, the ‘D’ rating category is used when payments on an obligation are not made on the","page_number":181,"box":{"x":197,"y":230,"width":695,"height":11}},{"id":"96a786d9-2a5c-4237-b263-dfa65dd489db","block_type":"box","text":"date due, unless S&P believes that such payments will be made within five business days in the","page_number":181,"box":{"x":196,"y":245,"width":686,"height":11}},{"id":"8f096eee-c2c6-4670-ad54-901296aa1f9d","block_type":"box","text":"absence of a stated grace period or within the earlier of the stated grace period or 30 calendar","page_number":181,"box":{"x":196,"y":260,"width":676,"height":11}},{"id":"e71a7b15-a3cd-40f7-bec1-b7116bd7ab06","block_type":"box","text":"days. The ‘D’ rating also will be used upon the filing of a bankruptcy petition or the taking of similar","page_number":181,"box":{"x":196,"y":275,"width":708,"height":11}},{"id":"1a377562-a150-4e8d-b721-fa321e722b42","block_type":"box","text":"action and where default on an obligation is a virtual certainty, for example due to automatic stay","page_number":181,"box":{"x":196,"y":290,"width":694,"height":12}},{"id":"a7dc0467-cc2b-496d-9815-e19ba89f42af","block_type":"box","text":"provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed debt","page_number":181,"box":{"x":197,"y":305,"width":626,"height":12}},{"id":"1739edb2-2c6e-4517-8e27-791e0c5106fd","block_type":"box","text":"restructuring.","page_number":181,"box":{"x":197,"y":321,"width":92,"height":11}},{"id":"823d1beb-730d-4a12-be0f-0cc1b8b1b323","block_type":"box","text":"*Ratings from ‘AA’ to ‘CCC’ may be modified by the addition of a plus (+) or minus (-) sign to show relative","page_number":181,"box":{"x":103,"y":341,"width":756,"height":11}},{"id":"df0638b2-e212-43d9-b1fe-06c4cc8e0b1d","block_type":"box","text":"standing within the rating categories.","page_number":181,"box":{"x":69,"y":356,"width":262,"height":11}},{"id":"1b484820-9d43-44c3-8155-000ddb7d51ec","block_type":"box","text":"Short-Term Issue Credit Ratings","page_number":181,"box":{"x":68,"y":386,"width":233,"height":11}},{"id":"a4d8f62c-226b-412a-b212-e1e36d2c1b7f","block_type":"box","text":"A-1 A short-term obligation rated ‘A-1’ is rated in the highest category by S&P. The obligor’s capacity to","page_number":181,"box":{"x":68,"y":414,"width":833,"height":11}},{"id":"7053088d-61b9-42d2-8fb2-66c12ed1eea7","block_type":"box","text":"meet its financial commitments on the obligation is strong. Within this category, certain obligations","page_number":181,"box":{"x":197,"y":429,"width":707,"height":11}},{"id":"a6c0b736-f74f-4b77-aeae-503043110ce8","block_type":"box","text":"are designated with a plus sign (+). This indicates that the obligor’s capacity to meet its financial","page_number":181,"box":{"x":196,"y":444,"width":691,"height":11}},{"id":"06131859-c1b8-4632-b3ff-9e906d52d0c4","block_type":"box","text":"commitments on these obligations is extremely strong.","page_number":181,"box":{"x":196,"y":459,"width":390,"height":11}},{"id":"5e7ea2f9-9634-4613-bc57-7590102f24ff","block_type":"box","text":"A-2 A short-term obligation rated ‘A-2’ is somewhat more susceptible to the adverse effects of changes","page_number":181,"box":{"x":68,"y":479,"width":837,"height":12}},{"id":"3133b8ac-9a59-4cb8-bd0a-70a2dfb967fd","block_type":"box","text":"in circumstances and economic conditions than obligations in higher rating categories. However,","page_number":181,"box":{"x":197,"y":495,"width":684,"height":11}},{"id":"7482f776-4cb5-4743-868a-53fc6882fb2d","block_type":"box","text":"the obligor’s capacity to meet its financial commitments on the obligation is satisfactory.","page_number":181,"box":{"x":195,"y":509,"width":634,"height":12}},{"id":"d593f79a-39de-41f9-bcc0-bbfbf8037e21","block_type":"box","text":"A-3 A short-term obligation rated ‘A-3’ exhibits adequate protection parameters. However, adverse","page_number":181,"box":{"x":68,"y":530,"width":798,"height":11}},{"id":"e83711f1-003b-49d7-9350-f6cde6588001","block_type":"box","text":"economic conditions or changing circumstances are more likely to weaken an obligor’s capacity to","page_number":181,"box":{"x":196,"y":545,"width":699,"height":11}},{"id":"5f08c666-215e-466f-a98f-4f9374d5fe95","block_type":"box","text":"meet its financial commitments on the obligation.","page_number":181,"box":{"x":197,"y":560,"width":351,"height":11}},{"id":"82ff69c6-17ad-4260-98b7-ec1280f1543f","block_type":"box","text":"B A short-term obligation rated ‘B’ is regarded as vulnerable and has significant speculative","page_number":181,"box":{"x":70,"y":580,"width":765,"height":11}},{"id":"09c31094-4fa1-4a67-9d62-234562ff191c","block_type":"box","text":"characteristics. The obligor currently has the capacity to meet its financial commitments; however,","page_number":181,"box":{"x":196,"y":595,"width":700,"height":11}},{"id":"29cd5dda-ce0e-4492-b01f-ff983d8f53e4","block_type":"box","text":"it faces major ongoing uncertainties that could lead to the obligor’s inadequate capacity to meet its","page_number":181,"box":{"x":197,"y":610,"width":708,"height":12}},{"id":"19b48f0a-9058-434c-b7b6-805c31745f0e","block_type":"box","text":"financial commitments.","page_number":181,"box":{"x":196,"y":625,"width":165,"height":9}},{"id":"a9ed2430-cb6c-4272-84a9-d9caa53c14ac","block_type":"box","text":"C A short-term obligation rated ‘C’ is currently vulnerable to nonpayment and is dependent upon","page_number":181,"box":{"x":69,"y":646,"width":796,"height":11}},{"id":"eb8c178e-08de-467b-bcf9-06602d7b0dfa","block_type":"box","text":"favorable business, financial, and economic conditions for the obligor to meet its financial","page_number":181,"box":{"x":196,"y":661,"width":641,"height":11}},{"id":"db25142f-f6ee-4767-865d-a4177ecab6e1","block_type":"box","text":"commitments on the obligation.","page_number":181,"box":{"x":196,"y":676,"width":224,"height":11}},{"id":"957d2ead-e86d-4210-b058-6b8d0006630b","block_type":"box","text":"D A short-term obligation rated ‘D’ is in default or in breach of an imputed promise. For non-hybrid","page_number":181,"box":{"x":70,"y":696,"width":808,"height":11}},{"id":"abf39022-4c8c-4efc-a397-36727d716c43","block_type":"box","text":"capital instruments, the ‘D’ rating category is used when payments on an obligation are not made","page_number":181,"box":{"x":196,"y":711,"width":698,"height":11}},{"id":"295f471b-6df3-4b58-b47c-5a859d05c8b5","block_type":"box","text":"on the date due, unless S&P believes that such payments will be made within any stated grace","page_number":181,"box":{"x":196,"y":726,"width":678,"height":12}},{"id":"6ceef06d-f7bf-41b1-8902-8524f7ea4d72","block_type":"box","text":"period. However, any stated grace period longer than five business days will be treated as five","page_number":181,"box":{"x":197,"y":741,"width":669,"height":12}},{"id":"c01bf6f6-47c7-430b-84b6-3588d4012ae4","block_type":"box","text":"business days. The ‘D’ rating also will be used upon the filing of a bankruptcy petition or the taking","page_number":181,"box":{"x":196,"y":756,"width":707,"height":12}},{"id":"2c357813-84a1-45ab-882e-6200754c2dc0","block_type":"box","text":"of a similar action and where default on an obligation is a virtual certainty, for example due to","page_number":181,"box":{"x":196,"y":772,"width":669,"height":11}},{"id":"5e6ff8a1-6836-4c2f-aeda-44c79dc16ba5","block_type":"box","text":"automatic stay provisions. A rating on an obligation is lowered to ‘D’ if it is subject to a distressed","page_number":181,"box":{"x":196,"y":787,"width":700,"height":11}},{"id":"2e54deb3-e676-4579-9df5-89ee8b72b832","block_type":"box","text":"debt restructuring.","page_number":181,"box":{"x":196,"y":802,"width":130,"height":11}},{"id":"68b431e4-363d-4eb3-b767-a72bc3adaee1","block_type":"box","text":"Description of S&P’s Municipal Short-Term Note Ratings","page_number":181,"box":{"x":69,"y":830,"width":411,"height":11}},{"id":"9f74e72d-af98-45ec-9d38-f2209c3b7a0d","block_type":"box","text":"An S&P U.S. municipal note rating reflects S&P’s opinion about the liquidity factors and market access risks","page_number":181,"box":{"x":101,"y":852,"width":772,"height":11}},{"id":"4da28a57-51b9-49f6-8550-1f03de732ad5","block_type":"box","text":"unique to the notes. Notes due in three years or less will likely receive a note rating. Notes with an original maturity","page_number":181,"box":{"x":69,"y":868,"width":823,"height":11}},{"id":"fc51a141-4ec6-43b1-a295-7f5e1f58d693","block_type":"box","text":"of more than three years will most likely receive a long-term debt rating. In determining which type of rating, if any, to","page_number":181,"box":{"x":69,"y":882,"width":832,"height":12}},{"id":"c5eee49f-3e59-44b7-be96-91e11883be6b","block_type":"box","text":"assign, S&P’s analysis will review the following considerations:","page_number":181,"box":{"x":69,"y":898,"width":447,"height":11}},{"id":"fbf16bff-e8f6-4dd0-abf1-a042ad1779dc","block_type":"box","text":"A-5","page_number":181,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"59e57776-0c58-4fec-802d-9beddf5e6707","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":181,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"de82d26f-73ac-408f-8c19-af6b9e408a7f","block_type":"box","text":"•","page_number":182,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"e2ba9a6b-b104-49a0-a69a-4ac95b61b857","block_type":"box","text":"Amortization schedule—the larger the final maturity relative to other maturities, the more likely it will be treated","page_number":182,"box":{"x":101,"y":45,"width":796,"height":11}},{"id":"b55ccca0-a3c4-4759-a2c6-6c77d7feabdf","block_type":"box","text":"as a note; and","page_number":182,"box":{"x":102,"y":60,"width":101,"height":10}},{"id":"0a870077-0412-4615-9fe7-2fb0fbe22b7c","block_type":"box","text":"•","page_number":182,"box":{"x":69,"y":83,"width":6,"height":4}},{"id":"28dd4d8d-badc-4162-89d7-e35a96b93e69","block_type":"box","text":"Source of payment—the more dependent the issue is on the market for its refinancing, the more likely it will be","page_number":182,"box":{"x":102,"y":80,"width":794,"height":11}},{"id":"cb83c2df-a7c2-4508-a650-b865b4c05651","block_type":"box","text":"treated as a note.","page_number":182,"box":{"x":101,"y":95,"width":127,"height":9}},{"id":"b0540ce9-7e2d-4810-b16e-11333f17e722","block_type":"box","text":"S&P’s municipal short-term note rating symbols are as follows:","page_number":182,"box":{"x":102,"y":118,"width":448,"height":11}},{"id":"ed2b5807-0ca9-4807-a9e6-6437a3b2ac3b","block_type":"box","text":"SP-1 Strong capacity to pay principal and interest. An issue determined to possess a very strong","page_number":182,"box":{"x":69,"y":146,"width":779,"height":11}},{"id":"75dd5bee-1ba0-430a-b46e-027d5f382832","block_type":"box","text":"capacity to pay debt service is given a plus (+) designation.","page_number":182,"box":{"x":196,"y":161,"width":422,"height":11}},{"id":"80c7a5fe-c41e-448a-8c93-c4207eb8fd7e","block_type":"box","text":"SP-2 Satisfactory capacity to pay principal and interest, with some vulnerability to adverse financial and","page_number":182,"box":{"x":69,"y":181,"width":825,"height":11}},{"id":"0b914512-1597-4d2f-a466-8c3293a32c85","block_type":"box","text":"economic changes over the term of the notes.","page_number":182,"box":{"x":196,"y":196,"width":327,"height":11}},{"id":"7f672f6f-a932-4174-879b-3b1d460ec650","block_type":"box","text":"SP-3 Speculative capacity to pay principal and interest.","page_number":182,"box":{"x":69,"y":216,"width":479,"height":11}},{"id":"7985eb16-0e62-4928-a9db-59097d3952f2","block_type":"box","text":"D ‘D’ is assigned upon failure to pay the note when due, completion of a distressed debt","page_number":182,"box":{"x":70,"y":236,"width":745,"height":11}},{"id":"ae5778b2-00d0-4feb-b3c8-402546e584d4","block_type":"box","text":"restructuring, or the filing of a bankruptcy petition or the taking of similar action and where default","page_number":182,"box":{"x":197,"y":251,"width":699,"height":12}},{"id":"e3e2d1d8-a70f-4e31-8eff-63b600175430","block_type":"box","text":"on an obligation is a virtual certainty, for example due to automatic stay provisions.","page_number":182,"box":{"x":196,"y":266,"width":594,"height":12}},{"id":"b2d2d9f6-36c7-4189-a65f-b67595baa99a","block_type":"box","text":"Description of Fitch Ratings’ (“Fitch”) Credit Ratings Scales","page_number":182,"box":{"x":69,"y":294,"width":442,"height":11}},{"id":"2e8600ed-7ed3-414a-a65c-ba988fb041f4","block_type":"box","text":"Fitch publishes credit ratings that are forward-looking opinions on the relative ability of an entity or obligation to","page_number":182,"box":{"x":102,"y":317,"width":793,"height":11}},{"id":"78f53ae6-e844-457b-bc45-323113fd99af","block_type":"box","text":"meet financial commitments. Issuer default ratings (IDRs) are assigned to corporations, sovereign entities, financial","page_number":182,"box":{"x":69,"y":332,"width":826,"height":11}},{"id":"7f951550-f160-496d-8c3f-56b2004a04f3","block_type":"box","text":"institutions such as banks, leasing companies and insurers, and public finance entities (local and regional","page_number":182,"box":{"x":70,"y":347,"width":756,"height":11}},{"id":"875cba09-b8e9-41c3-85b1-f960e9f96181","block_type":"box","text":"governments). Issue level ratings are also assigned, often include an expectation of recovery and may be notched","page_number":182,"box":{"x":68,"y":362,"width":813,"height":11}},{"id":"c9c00ca3-7197-4e11-9ce3-b60ddf9e4770","block_type":"box","text":"above or below the issuer level rating. Issue ratings are assigned to secured and unsecured debt securities, loans,","page_number":182,"box":{"x":69,"y":377,"width":819,"height":12}},{"id":"7ad714b2-b6a8-4eb0-aa2a-39a82cc62277","block_type":"box","text":"preferred stock and other instruments, Structured finance ratings are issue ratings to securities backed by","page_number":182,"box":{"x":70,"y":392,"width":760,"height":12}},{"id":"26e0a69b-5c98-46c2-be65-f22e4f461a8d","block_type":"box","text":"receivables or other financial assets that consider the obligations’ relative vulnerability to default.","page_number":182,"box":{"x":69,"y":407,"width":694,"height":12}},{"id":"66bf7c6b-118d-4325-8fbe-e04c7f2d7392","block_type":"box","text":"Fitch’s credit ratings relating to issuers are an opinion on the relative ability of an entity to meet financial","page_number":182,"box":{"x":102,"y":430,"width":747,"height":11}},{"id":"2c32b7a0-3e62-4e55-910e-c440850c9faf","block_type":"box","text":"commitments, such as interest, preferred dividends, repayment of principal, insurance claims or counterparty","page_number":182,"box":{"x":69,"y":445,"width":782,"height":11}},{"id":"996a1c8c-4123-42fd-924b-89b1fc05b268","block_type":"box","text":"obligations. Credit ratings relating to securities and obligations of an issuer can include a recovery expectation.","page_number":182,"box":{"x":69,"y":460,"width":793,"height":12}},{"id":"3b30b652-d90f-4039-959e-7eac8d853a86","block_type":"box","text":"Credit ratings are used by investors as indications of the likelihood of receiving the money owed to them in","page_number":182,"box":{"x":69,"y":475,"width":761,"height":12}},{"id":"2ba58b84-2c50-4ae5-9913-ea1c6441a231","block_type":"box","text":"accordance with the terms on which they invested. The agency’s credit ratings cover the global spectrum of","page_number":182,"box":{"x":69,"y":491,"width":766,"height":11}},{"id":"e05699f8-c94a-4f42-af29-591077d71c31","block_type":"box","text":"corporate, sovereign financial, bank, insurance, and public finance entities (including supranational and sub-national","page_number":182,"box":{"x":69,"y":506,"width":827,"height":11}},{"id":"c983386d-8cb9-46fb-ad3c-d6604d4ec122","block_type":"box","text":"entities) and the securities or other obligations they issue, as well as structured finance securities backed by","page_number":182,"box":{"x":69,"y":521,"width":779,"height":11}},{"id":"bfbc8208-e435-43ae-af24-0bfd7a4a273c","block_type":"box","text":"receivables or other financial assets.","page_number":182,"box":{"x":69,"y":536,"width":262,"height":9}},{"id":"ffb9db04-08a3-4f8a-8e0e-a3b9ce405b67","block_type":"box","text":"The terms “investment grade” and “speculative grade” have established themselves over time as shorthand to","page_number":182,"box":{"x":101,"y":559,"width":794,"height":11}},{"id":"d22f4feb-05d7-4c00-b01f-579218e81172","block_type":"box","text":"describe the categories ‘AAA’ to ‘BBB’ (investment grade) and ‘BB’ to ‘D’ (speculative grade). The terms investment","page_number":182,"box":{"x":69,"y":574,"width":826,"height":11}},{"id":"afed272c-0fa8-49cf-89b4-0a11f31a01dc","block_type":"box","text":"grade and speculative grade are market conventions and do not imply any recommendation or endorsement of a","page_number":182,"box":{"x":68,"y":589,"width":800,"height":11}},{"id":"505b570a-c8e6-4675-89f6-37dae7e348cc","block_type":"box","text":"specific security for investment purposes. Investment grade categories indicate relatively low to moderate credit risk,","page_number":182,"box":{"x":69,"y":604,"width":832,"height":11}},{"id":"0fc53e9e-d0c7-44f3-be4f-05a9e9f58604","block_type":"box","text":"while ratings in the speculative categories either signal a higher level of credit risk or that a default has already","page_number":182,"box":{"x":68,"y":619,"width":793,"height":11}},{"id":"e75a7f6b-1847-4801-96b7-2462bd59b12a","block_type":"box","text":"occurred.","page_number":182,"box":{"x":69,"y":634,"width":65,"height":9}},{"id":"17199eb1-ddda-43bb-976a-2e13ac1a00c6","block_type":"box","text":"Fitch may also include issues relating to a rated issuer that are not and have not been rated on its web page.","page_number":182,"box":{"x":102,"y":657,"width":779,"height":11}},{"id":"7b699675-1ea2-47c9-9c60-6dd9227fdc73","block_type":"box","text":"Such issues are also denoted as ‘NR’.","page_number":182,"box":{"x":69,"y":672,"width":274,"height":9}},{"id":"260830a9-248b-4626-969c-6cd3bba0bbec","block_type":"box","text":"Credit ratings express risk in relative rank order, which is to say they are ordinal measures of credit risk and are","page_number":182,"box":{"x":102,"y":695,"width":797,"height":11}},{"id":"8b1dcc77-b811-49d6-bd94-7bc61ee78fd6","block_type":"box","text":"not predictive of a specific frequency of default or loss.","page_number":182,"box":{"x":69,"y":710,"width":391,"height":11}},{"id":"eeb1e49e-160e-41c5-a3af-dfbd4631a4ce","block_type":"box","text":"Fitch’s credit ratings do not directly address any risk other than credit risk. In particular, ratings do not deal with","page_number":182,"box":{"x":102,"y":733,"width":798,"height":11}},{"id":"1eac0902-63a1-4d7e-a75b-bba631bf7129","block_type":"box","text":"the risk of a market value loss on a rated security due to changes in interest rates, liquidity and other market","page_number":182,"box":{"x":68,"y":748,"width":780,"height":11}},{"id":"8942a990-2bfc-4599-b63a-7265543a203b","block_type":"box","text":"considerations. However, in terms of payment obligation on the rated liability, market risk may be considered to the","page_number":182,"box":{"x":69,"y":763,"width":821,"height":11}},{"id":"dc2f2d26-88d8-4533-8969-579dace1c710","block_type":"box","text":"extent that it influences the ability of an issuer to pay upon a commitment.","page_number":182,"box":{"x":69,"y":778,"width":531,"height":11}},{"id":"0aff40b8-7775-4828-88a0-03d95a281cbc","block_type":"box","text":"Ratings nonetheless do not reflect market risk to the extent that they influence the size or other conditionality of","page_number":182,"box":{"x":102,"y":801,"width":801,"height":11}},{"id":"4aa6e9aa-5f2c-4ca6-8c9c-0930eefc4d6b","block_type":"box","text":"the obligation to pay upon a commitment (for example, in the case of index-linked bonds).","page_number":182,"box":{"x":68,"y":816,"width":639,"height":11}},{"id":"f94fec6f-f367-4d14-acf2-84997749962e","block_type":"box","text":"In the default components of ratings assigned to individual obligations or instruments, the agency typically rates","page_number":182,"box":{"x":102,"y":838,"width":799,"height":12}},{"id":"ba70e2ed-91c6-437e-b281-f9d14dade0c7","block_type":"box","text":"to the likelihood of non-payment or default in accordance with the terms of that instrument’s documentation. In","page_number":182,"box":{"x":68,"y":853,"width":794,"height":12}},{"id":"41de042c-3779-4ed6-8ead-358d64d3c066","block_type":"box","text":"limited cases, Fitch may include additional considerations (","page_number":182,"box":{"x":70,"y":869,"width":420,"height":11}},{"id":"dfa9a9d5-ead2-4a28-9d23-93526491d4d7","block_type":"box","text":"i.e.","page_number":182,"box":{"x":492,"y":869,"width":20,"height":9}},{"id":"125bb67e-ab87-4878-807e-e56e3349ecff","block_type":"box","text":"rate to a higher or lower standard than that implied in","page_number":182,"box":{"x":519,"y":869,"width":380,"height":11}},{"id":"f5b0cf05-6145-44a3-9473-9fcb11f1cf90","block_type":"box","text":"the obligation’s documentation).","page_number":182,"box":{"x":68,"y":884,"width":230,"height":11}},{"id":"b9feff91-a5cb-4202-a1e4-ce3e071d96b2","block_type":"box","text":"A-6","page_number":182,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"f63b5d8e-ae0b-4df0-a0a7-86e2697ef185","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":182,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"90877301-9c53-41cd-9a85-edcda0c6baf7","block_type":"box","text":"The primary credit rating scales can be used to provide a rating of privately issued obligations or certain note","page_number":183,"box":{"x":101,"y":45,"width":779,"height":11}},{"id":"24bc7d27-2ba1-4301-a656-e6c939ba2dd0","block_type":"box","text":"issuance programs or for private ratings. In this case the rating is not published, but only provided to the issuer or its","page_number":183,"box":{"x":70,"y":60,"width":835,"height":11}},{"id":"4f61cf27-a10d-416b-ba8e-1b48cb98f014","block_type":"box","text":"agents in the form of a rating letter.","page_number":183,"box":{"x":69,"y":75,"width":253,"height":11}},{"id":"519cb222-a634-4985-8bf4-5d47b5cf9711","block_type":"box","text":"The primary credit rating scales may also be used to provide ratings for a more narrow scope, including interest","page_number":183,"box":{"x":101,"y":98,"width":797,"height":11}},{"id":"2fcf94ee-f483-48b1-a79b-d5076adcfcda","block_type":"box","text":"strips and return of principal or in other forms of opinions such as credit opinions or rating assessment services.","page_number":183,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"811a023f-af65-421c-a1bf-8a33db60cf46","block_type":"box","text":"Credit opinions are either a notch- or category-specific view using the primary rating scale and omit one or more","page_number":183,"box":{"x":69,"y":128,"width":796,"height":11}},{"id":"01a3372b-d60d-4e0c-a7da-ff180c4e6c7d","block_type":"box","text":"characteristics of a full rating or meet them to a different standard. Credit opinions will be indicated using a lower","page_number":183,"box":{"x":69,"y":143,"width":811,"height":11}},{"id":"7f4e4b90-c446-4cef-aeb3-ae365bdaa2af","block_type":"box","text":"case letter symbol combined with either an ‘*’ (","page_number":183,"box":{"x":69,"y":158,"width":340,"height":11}},{"id":"f6ef4161-47bb-4599-a696-ac2e7a5072cc","block_type":"box","text":"e.g.","page_number":183,"box":{"x":410,"y":160,"width":25,"height":9}},{"id":"edd2822a-7fb9-4099-a368-0ce894e644af","block_type":"box","text":"‘bbb+*’) or (cat) suffix to denote the opinion status. Credit","page_number":183,"box":{"x":443,"y":158,"width":418,"height":11}},{"id":"4889107c-2bb0-49ca-8c70-92ca07c4764e","block_type":"box","text":"opinions will be point-in-time typically but may be monitored if the analytical group believes information will be","page_number":183,"box":{"x":69,"y":173,"width":780,"height":11}},{"id":"53c1b21a-508f-435f-9fd0-8a4c82135dd1","block_type":"box","text":"sufficiently available. Rating assessment services are a notch-specific view using the primary rating scale of how an","page_number":183,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"b5dcdb13-b16c-4de4-9d77-f73af92c899f","block_type":"box","text":"existing or potential rating may be changed by a given set of hypothetical circumstances. While credit opinions and","page_number":183,"box":{"x":69,"y":203,"width":816,"height":12}},{"id":"ea52c0f4-ac6f-4fbf-b6b5-981616e71a3a","block_type":"box","text":"rating assessment services are point-in-time and are not monitored, they may have a directional watch or outlook","page_number":183,"box":{"x":69,"y":219,"width":808,"height":11}},{"id":"a33be14d-308a-4b24-b9ab-dab715080de6","block_type":"box","text":"assigned, which can signify the trajectory of the credit profile.","page_number":183,"box":{"x":69,"y":234,"width":437,"height":11}},{"id":"2c449ddf-4e4d-4450-8ca8-171733d9a34e","block_type":"box","text":"Description of Fitch’s Long-Term Corporate Finance Obligations Rating Scales","page_number":183,"box":{"x":69,"y":264,"width":567,"height":11}},{"id":"65042490-6020-451f-83e0-df4c6a9df2bb","block_type":"box","text":"Ratings of individual securities or financial obligations of a corporate issuer address relative vulnerability to","page_number":183,"box":{"x":102,"y":286,"width":763,"height":12}},{"id":"a0fc3dc9-63d9-429b-9423-70c226b4c34e","block_type":"box","text":"default on an ordinal scale. In addition, for financial obligations in corporate finance, a measure of recovery given","page_number":183,"box":{"x":69,"y":302,"width":807,"height":11}},{"id":"ffdc4313-f550-4c1a-998a-276ed125f0f3","block_type":"box","text":"default on that liability is also included in the rating assessment. This notably applies to covered bonds ratings, which","page_number":183,"box":{"x":69,"y":317,"width":840,"height":11}},{"id":"ca4ef57d-3714-456f-878c-d45c9d198be3","block_type":"box","text":"incorporate both an indication of the probability of default and of the recovery given a default of this debt instrument.","page_number":183,"box":{"x":70,"y":332,"width":833,"height":11}},{"id":"5a9bc51f-dea9-4e68-a3db-13f183e0b413","block_type":"box","text":"On the contrary, Ratings of debtor-in-possession (“DIP”) obligations incorporate the expectation of full repayment.","page_number":183,"box":{"x":69,"y":347,"width":807,"height":11}},{"id":"7bba7362-43de-4f00-909a-e28edd483cd3","block_type":"box","text":"The relationship between the issuer scale and obligation scale assumes a generic historical average recovery.","page_number":183,"box":{"x":101,"y":370,"width":784,"height":11}},{"id":"00936820-de96-49c4-9740-c592c0f5aea6","block_type":"box","text":"Individual obligations can be assigned ratings higher, lower, or the same as that entity’s issuer rating or issuer","page_number":183,"box":{"x":70,"y":385,"width":787,"height":11}},{"id":"879c8721-8864-4866-a9f3-98362b54403e","block_type":"box","text":"default rating (“IDR”), based on their relative ranking, relative vulnerability to default or based on explicit Recovery","page_number":183,"box":{"x":69,"y":400,"width":813,"height":11}},{"id":"1558216c-b4c3-422f-932a-f3960488a156","block_type":"box","text":"Ratings.","page_number":183,"box":{"x":70,"y":415,"width":55,"height":11}},{"id":"03e3827e-3b54-4f03-9e69-193ecd242f99","block_type":"box","text":"As a result, individual obligations of entities, such as corporations, are assigned ratings higher, lower, or the","page_number":183,"box":{"x":101,"y":438,"width":772,"height":11}},{"id":"cd276e2e-aae7-4a8d-84f0-6f4015b8d87a","block_type":"box","text":"same as that entity’s issuer rating or IDR, except DIP obligation ratings that are not based off an IDR. At the lower","page_number":183,"box":{"x":69,"y":453,"width":815,"height":11}},{"id":"29047a59-d0dc-47bd-a3dd-77d9fc1090ec","block_type":"box","text":"end of the ratings scale, Fitch publishes explicit Recovery Ratings in many cases to complement issuer and","page_number":183,"box":{"x":69,"y":468,"width":766,"height":11}},{"id":"9e9a07ae-9efd-4dd6-86ae-de252a216f4e","block_type":"box","text":"obligation ratings.","page_number":183,"box":{"x":69,"y":483,"width":125,"height":11}},{"id":"85cb00eb-0645-4b7a-8d10-c224986b94af","block_type":"box","text":"Fitch long-term obligations rating scales are as follows:","page_number":183,"box":{"x":102,"y":506,"width":390,"height":11}},{"id":"0c7a02c0-fb18-4a08-a503-9ca022982279","block_type":"box","text":"AAA Highest Credit Quality. ‘AAA’ ratings denote the lowest expectation of default risk. They are","page_number":183,"box":{"x":68,"y":533,"width":774,"height":12}},{"id":"e835e3ef-cd31-41ce-a500-f49624a4b5e2","block_type":"box","text":"assigned only in cases of exceptionally strong capacity for payment of financial commitments. This","page_number":183,"box":{"x":196,"y":549,"width":703,"height":11}},{"id":"358198d2-d0ba-4632-a9f0-28c469c8518b","block_type":"box","text":"capacity is highly unlikely to be adversely affected by foreseeable events.","page_number":183,"box":{"x":196,"y":564,"width":521,"height":11}},{"id":"602227da-451a-4a01-a6a4-7163974a63de","block_type":"box","text":"AA Very High Credit Quality. ‘AA’ ratings denote expectations of very low default risk. They indicate very","page_number":183,"box":{"x":68,"y":584,"width":838,"height":11}},{"id":"bf4963af-740e-4da8-b221-e9d88753aac7","block_type":"box","text":"strong capacity for payment of financial commitments. This capacity is not significantly vulnerable","page_number":183,"box":{"x":196,"y":599,"width":694,"height":11}},{"id":"1ec07d09-16a0-4021-8377-4e66f7b6443a","block_type":"box","text":"to foreseeable events.","page_number":183,"box":{"x":195,"y":614,"width":159,"height":9}},{"id":"1916041e-2c29-462d-8b81-14d8d7f304d6","block_type":"box","text":"A High Credit Quality. ‘A’ ratings denote expectations of low default risk. The capacity for payment of","page_number":183,"box":{"x":68,"y":634,"width":828,"height":12}},{"id":"b91faaa6-c83e-4954-9ff6-4e452bd140ed","block_type":"box","text":"financial commitments is considered strong. This capacity may, nevertheless, be more vulnerable","page_number":183,"box":{"x":196,"y":649,"width":695,"height":12}},{"id":"e1a220e7-9720-41b8-a5fc-9e2cff2f05b1","block_type":"box","text":"to adverse business or economic conditions than is the case for higher ratings.","page_number":183,"box":{"x":195,"y":664,"width":565,"height":12}},{"id":"530c2320-5fea-4531-9073-e3055f4766c7","block_type":"box","text":"BBB Good Credit Quality. ‘BBB’ ratings indicate that expectations of default risk are currently low. The","page_number":183,"box":{"x":70,"y":685,"width":814,"height":11}},{"id":"d6679bfb-c636-4e77-8c82-fc46d21a68f2","block_type":"box","text":"capacity for payment of financial commitments is considered adequate, but adverse business or","page_number":183,"box":{"x":196,"y":700,"width":686,"height":11}},{"id":"27084643-4e99-4610-b1ea-548b50973aa4","block_type":"box","text":"economic conditions are more likely to impair this capacity.","page_number":183,"box":{"x":196,"y":715,"width":420,"height":11}},{"id":"d273ebec-db55-4861-831c-0fb1f02b15af","block_type":"box","text":"BB Speculative. ‘BB’ ratings indicate an elevated vulnerability to default risk, particularly in the event of","page_number":183,"box":{"x":70,"y":735,"width":839,"height":11}},{"id":"d55e00ed-a944-4a9f-8727-65734a1a9825","block_type":"box","text":"adverse changes in business or economic conditions over time; however, business or financial","page_number":183,"box":{"x":196,"y":750,"width":672,"height":11}},{"id":"5f01ceb1-5f75-436e-b70d-ec2f8bc8443d","block_type":"box","text":"flexibility exists that supports the servicing of financial commitments.","page_number":183,"box":{"x":196,"y":765,"width":495,"height":12}},{"id":"ce66ef84-be36-4382-951d-ad420e91132e","block_type":"box","text":"B Highly Speculative. ‘B’ ratings indicate that material default risk is present, but a limited margin of","page_number":183,"box":{"x":70,"y":785,"width":828,"height":12}},{"id":"c7e9792b-f42b-47e2-806b-dd5057de436a","block_type":"box","text":"safety remains. Financial commitments are currently being met; however, capacity for continued","page_number":183,"box":{"x":196,"y":801,"width":682,"height":11}},{"id":"c2144875-bb35-43fa-b688-dde1b2b3ee52","block_type":"box","text":"payment is vulnerable to deterioration in the business and economic environment.","page_number":183,"box":{"x":197,"y":816,"width":584,"height":11}},{"id":"996f56be-f752-419e-8c31-a23fd985be77","block_type":"box","text":"CCC Substantial Credit Risk. ‘CCC’ ratings indicate very low margin for safety. Default is a real","page_number":183,"box":{"x":69,"y":836,"width":764,"height":11}},{"id":"857274eb-d1ac-42de-b1fd-f1291f1c590c","block_type":"box","text":"possibility.","page_number":183,"box":{"x":197,"y":851,"width":72,"height":11}},{"id":"fc68c1ba-3efa-493a-8cae-04245d6d65b4","block_type":"box","text":"CC Very High Levels of Credit Risk. ‘CC’ ratings indicate default of some kind appears probable.","page_number":183,"box":{"x":69,"y":871,"width":784,"height":11}},{"id":"e41349cb-05cd-4714-8df0-e36537bc41bb","block_type":"box","text":"C Exceptionally High Levels of Credit Risk. ‘C’ ratings indicate default or default-like process has","page_number":183,"box":{"x":69,"y":891,"width":798,"height":12}},{"id":"53225daf-88f0-4d57-a66a-c586acd1a555","block_type":"box","text":"begun, or for a closed funding vehicle, payment capacity is irrevocably impaired.","page_number":183,"box":{"x":196,"y":906,"width":569,"height":12}},{"id":"6374e814-76f8-4349-8082-99a7c6c2ea52","block_type":"box","text":"A-7","page_number":183,"box":{"x":477,"y":943,"width":23,"height":9}},{"id":"1bc3b1f9-1ddd-4c8b-8009-63b84c2d805a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":183,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ae50102b-512c-4dfa-8805-6c6c048dd9f1","block_type":"box","text":"RD Restricted Default. ‘RD’ ratings indicate an issuer that in Fitch’s opinion has experienced an","page_number":184,"box":{"x":70,"y":48,"width":782,"height":12}},{"id":"b66286cf-a8cc-48da-a198-183b33a772b5","block_type":"box","text":"uncured payment default or distressed debt exchange on a bond, loan or other material financial","page_number":184,"box":{"x":197,"y":63,"width":686,"height":12}},{"id":"ed0c5c4b-41c0-4fda-9de9-c71fc563eed5","block_type":"box","text":"obligation, but has not entered into bankruptcy filings, administration, receivership, liquidation, or","page_number":184,"box":{"x":196,"y":79,"width":696,"height":11}},{"id":"76bf3ffa-eb17-4573-a1da-271488f5eb6c","block_type":"box","text":"other formal winding-up procedure, and has not otherwise ceased operating.","page_number":184,"box":{"x":196,"y":94,"width":544,"height":11}},{"id":"f8000421-809c-4b2c-b47f-5f331bbd417b","block_type":"box","text":"D Default. ‘D’ ratings indicate an issuer that in Fitch’s opinion has entered into bankruptcy filings,","page_number":184,"box":{"x":70,"y":114,"width":807,"height":11}},{"id":"81ec5aa4-76b2-4d73-be76-68056003a6d0","block_type":"box","text":"administration, receivership, liquidation or other formal winding-up procedure or that has otherwise","page_number":184,"box":{"x":196,"y":129,"width":705,"height":11}},{"id":"1fedfc10-84d9-45bd-8c47-54ab69f7be86","block_type":"box","text":"ceased business and debt is still outstanding.","page_number":184,"box":{"x":196,"y":144,"width":328,"height":11}},{"id":"1a5f601c-ab2e-436b-9795-eb92abd22b0d","block_type":"box","text":"Within rating categories, Fitch may use modifiers. The modifiers “+” or “-” may be appended to a rating to denote","page_number":184,"box":{"x":101,"y":164,"width":808,"height":12}},{"id":"2cf608c5-4639-4c3e-b8f6-a2e354323e17","block_type":"box","text":"relative status within major rating categories.","page_number":184,"box":{"x":69,"y":180,"width":320,"height":11}},{"id":"aade121b-68d3-4717-9cf9-48be7766739c","block_type":"box","text":"For example, the rating category ‘AA’ has three notch-specific rating levels (‘AA+’; ‘AA’; ‘AA–’; each a rating","page_number":184,"box":{"x":102,"y":202,"width":761,"height":11}},{"id":"02e9fdb2-b6b6-449a-b84e-dbcce73e3431","block_type":"box","text":"level). Such suffixes are not added to ‘AAA’ ratings and ratings below the ‘CCC’ category. For the short-term rating","page_number":184,"box":{"x":70,"y":217,"width":813,"height":12}},{"id":"8b17b433-4409-4be2-9253-305bcc9f4f71","block_type":"box","text":"category of ‘F1’, a ‘+’ may be appended.","page_number":184,"box":{"x":69,"y":232,"width":289,"height":12}},{"id":"229a3e8e-4ebb-401c-9620-684df8fb42d8","block_type":"box","text":"Description of Fitch’s Short-Term Ratings Assigned to Issuers and Obligations","page_number":184,"box":{"x":69,"y":263,"width":568,"height":11}},{"id":"218efa59-22ad-450e-8968-961ccb6e936e","block_type":"box","text":"A short-term issuer or obligation rating is based in all cases on the short-term vulnerability to default of the rated","page_number":184,"box":{"x":101,"y":285,"width":806,"height":12}},{"id":"f8d67a47-b79f-4f34-9485-d529039dfe0a","block_type":"box","text":"entity and relates to the capacity to meet financial obligations in accordance with the documentation governing the","page_number":184,"box":{"x":69,"y":300,"width":817,"height":12}},{"id":"754ceb3f-4bce-4984-8813-60c0b94c387e","block_type":"box","text":"relevant obligation. Short-term deposit ratings may be adjusted for loss severity. Short-term ratings are assigned to","page_number":184,"box":{"x":69,"y":315,"width":822,"height":12}},{"id":"7ada21d7-2a72-4a1d-a5ec-fc85b17ba035","block_type":"box","text":"obligations whose initial maturity is viewed as “short term” based on market convention. Typically, this means up to","page_number":184,"box":{"x":69,"y":331,"width":827,"height":11}},{"id":"bb751293-9ac0-4254-abd6-3f497d26e974","block_type":"box","text":"13 months for corporate, sovereign, and structured obligations and up to 36 months for obligations in U.S. public","page_number":184,"box":{"x":70,"y":346,"width":808,"height":11}},{"id":"cdf66f8e-03c2-428a-85e4-980dc5438af9","block_type":"box","text":"finance markets.","page_number":184,"box":{"x":68,"y":361,"width":118,"height":9}},{"id":"ede82e4b-416c-4e5b-a90e-0531ef4fa9cb","block_type":"box","text":"Fitch short-term ratings are as follows:","page_number":184,"box":{"x":102,"y":383,"width":273,"height":12}},{"id":"a7a9ebe7-6315-4767-92f6-b10f892e1a4e","block_type":"box","text":"F1 Highest Short-Term Credit Quality. Indicates the strongest intrinsic capacity for timely payment of","page_number":184,"box":{"x":70,"y":411,"width":816,"height":12}},{"id":"73701360-dda4-4e34-9c46-743b89b16493","block_type":"box","text":"financial commitments; may have an added “+” to denote any exceptionally strong credit feature.","page_number":184,"box":{"x":196,"y":426,"width":692,"height":12}},{"id":"1daaf3fb-c77d-4415-82b4-c69ff28c26df","block_type":"box","text":"F2 Good Short-Term Credit Quality. Good intrinsic capacity for timely payment of financial","page_number":184,"box":{"x":70,"y":446,"width":734,"height":12}},{"id":"9ae5d39b-bd48-460a-9591-4a5993daf7cc","block_type":"box","text":"commitments.","page_number":184,"box":{"x":196,"y":462,"width":100,"height":9}},{"id":"1b8c738a-624f-4cc0-9627-3c6d45369095","block_type":"box","text":"F3 Fair Short-Term Credit Quality. The intrinsic capacity for timely payment of financial commitments is","page_number":184,"box":{"x":70,"y":482,"width":831,"height":11}},{"id":"dbb033c1-b471-4b7e-b3ff-d43c769e337d","block_type":"box","text":"adequate.","page_number":184,"box":{"x":196,"y":497,"width":70,"height":11}},{"id":"d0117a4c-02f6-48cc-a960-df0887c3bb3d","block_type":"box","text":"B Speculative Short-Term Credit Quality. Minimal capacity for timely payment of financial","page_number":184,"box":{"x":70,"y":517,"width":737,"height":11}},{"id":"9e3f702b-0daf-4bfd-8d4e-f35fe9c7c454","block_type":"box","text":"commitments, plus heightened vulnerability to near term adverse changes in financial and","page_number":184,"box":{"x":196,"y":532,"width":641,"height":11}},{"id":"5f3489bc-966b-41b1-8f11-fd5bf42cd527","block_type":"box","text":"economic conditions.","page_number":184,"box":{"x":196,"y":548,"width":149,"height":8}},{"id":"2bea643c-f49f-4cc0-a411-6b31bb8d896b","block_type":"box","text":"C High Short-Term Default Risk. Default is a real possibility.","page_number":184,"box":{"x":69,"y":567,"width":535,"height":12}},{"id":"c22affc7-c063-42fa-be7d-9d081d6657fe","block_type":"box","text":"RD Restricted Default. Indicates an entity that has defaulted on one or more of its financial","page_number":184,"box":{"x":70,"y":588,"width":749,"height":11}},{"id":"323eb71c-3574-4f35-bc59-4c439adb8364","block_type":"box","text":"commitments, although it continues to meet other financial obligations. Typically applicable to entity","page_number":184,"box":{"x":196,"y":603,"width":714,"height":11}},{"id":"3e98fa5a-ca48-473c-94b4-287385931929","block_type":"box","text":"ratings only.","page_number":184,"box":{"x":197,"y":618,"width":83,"height":11}},{"id":"f2d63e98-3c13-449e-b1ba-675d9710e9dd","block_type":"box","text":"D Default. Indicates a broad-based default event for an entity, or the default of a short-term","page_number":184,"box":{"x":70,"y":638,"width":761,"height":11}},{"id":"6f216f24-6812-415f-8b7e-c8cbba0e8695","block_type":"box","text":"obligation.","page_number":184,"box":{"x":196,"y":653,"width":72,"height":11}},{"id":"166a36d1-368a-4622-aea9-1a54c25b4038","block_type":"box","text":"A-8","page_number":184,"box":{"x":477,"y":943,"width":24,"height":9}},{"id":"fd1e70a3-fa13-418c-b139-42bc079747ae","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":184,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"44af4859-ed0e-44f6-9749-8b2889d517e0","block_type":"box","text":"APPENDIX B","page_number":185,"box":{"x":438,"y":45,"width":101,"height":10}},{"id":"8f49ef2d-497f-40d2-9db8-cfe122aa3f9b","block_type":"box","text":"Open-End Active and Fixed Income Index Fund Proxy Voting Policy","page_number":185,"box":{"x":247,"y":76,"width":484,"height":11}},{"id":"e422a35d-ef9d-4b0d-a16c-7b9bdd6d4d46","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":185,"box":{"x":247,"y":91,"width":486,"height":11}},{"id":"1520e120-0439-4b9f-95c0-6f163793f6cb","block_type":"box","text":"Effective Date: January 1, 2025","page_number":185,"box":{"x":376,"y":106,"width":227,"height":11}},{"id":"2dee8db9-e0bf-4b62-b565-0b1a15ded297","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":185,"box":{"x":231,"y":128,"width":515,"height":12}},{"id":"b6eb4f36-c7c9-4366-92a6-abc9118aed2a","block_type":"box","text":"□","page_number":185,"box":{"x":284,"y":151,"width":15,"height":11}},{"id":"24d3c876-9735-4c58-8df9-20d2db58f999","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":185,"box":{"x":306,"y":151,"width":388,"height":11}},{"id":"169a533e-ba9e-4f1e-b599-a429eb6f2a1b","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":185,"box":{"x":205,"y":174,"width":589,"height":11}},{"id":"fb25f1c1-8fb0-4aad-929a-23b634b9dd0e","block_type":"box","text":"□","page_number":185,"box":{"x":405,"y":196,"width":14,"height":12}},{"id":"b3fd2e73-8cc0-4f03-a686-d05e97a0ab48","block_type":"box","text":"Money Market Funds","page_number":185,"box":{"x":426,"y":197,"width":147,"height":11}},{"id":"fa25710c-85ff-48a0-86df-eb7aa55104ee","block_type":"box","text":"□","page_number":185,"box":{"x":416,"y":219,"width":14,"height":11}},{"id":"08039993-f206-49f8-b38b-8c3156f9a88d","block_type":"box","text":"Closed-End Funds","page_number":185,"box":{"x":437,"y":219,"width":125,"height":9}},{"id":"b8b9f9eb-77f4-431c-8df3-cf323150cbe0","block_type":"box","text":"□","page_number":185,"box":{"x":460,"y":242,"width":14,"height":11}},{"id":"8db87d3e-4339-43fd-97cc-6cf592e7a7ee","block_type":"box","text":"Other","page_number":185,"box":{"x":481,"y":242,"width":38,"height":9}},{"id":"3b200ab1-0897-4b28-af62-f3f5fed72f5f","block_type":"box","text":"Objective and Scope","page_number":185,"box":{"x":101,"y":265,"width":149,"height":11}},{"id":"bb1a9df7-1f61-4a44-b02b-d6b2341ba418","block_type":"box","text":"Set forth below is the Open-End Active and Fixed Income Index Fund Proxy Voting Policy.","page_number":185,"box":{"x":134,"y":287,"width":622,"height":11}},{"id":"02493576-e12a-4294-b33c-cb40b8b4c5e2","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":185,"box":{"x":102,"y":310,"width":354,"height":11}},{"id":"1fb72469-4423-413c-b0c7-c18c01157c87","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of certain open-end funds (the “Funds”) advised by","page_number":185,"box":{"x":134,"y":332,"width":702,"height":12}},{"id":"aaba4555-27da-4fa5-ab3f-261fc8c6a664","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":185,"box":{"x":102,"y":348,"width":789,"height":11}},{"id":"eb2d7596-fe9d-41f9-a2cf-90720671a479","block_type":"box","text":"voting proxies relating to portfolio securities of the Funds, and have determined that it is in the best interests of","page_number":185,"box":{"x":101,"y":363,"width":801,"height":11}},{"id":"d9bb2e1b-dd74-4660-a1cd-83a0e7d767b1","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":185,"box":{"x":101,"y":378,"width":763,"height":11}},{"id":"bd3cbf34-4520-425c-82a9-b9328cc7edf9","block_type":"box","text":"principles outlined in this Policy, as part of BlackRock’s authority to manage, acquire and dispose of account","page_number":185,"box":{"x":102,"y":393,"width":775,"height":11}},{"id":"97c5a914-9648-4bce-970e-a8f0841c2f58","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":185,"box":{"x":102,"y":408,"width":651,"height":11}},{"id":"dba68fed-a547-4259-9cf1-6d4b9d8ebd1a","block_type":"box","text":"BlackRock has adopted the BlackRock Active Investment Stewardship Global Engagement and Voting","page_number":185,"box":{"x":135,"y":431,"width":718,"height":11}},{"id":"011971c9-8bfb-4ab3-a413-a06162985984","block_type":"box","text":"Guidelines (as from time to time amended, the “Guidelines”) governing proxy voting by active and fixed income","page_number":185,"box":{"x":102,"y":446,"width":788,"height":11}},{"id":"1f34f4aa-09b1-4c60-ac17-acca87417a4d","block_type":"box","text":"index Funds managed by BlackRock. The Guidelines include “climate and decarbonization” guidelines which","page_number":185,"box":{"x":102,"y":461,"width":766,"height":11}},{"id":"e58f71e1-40c8-4f0f-afd8-3131088ec27f","block_type":"box","text":"apply to the Funds listed in Appendix A, if any.","page_number":185,"box":{"x":102,"y":476,"width":325,"height":11}},{"id":"33e5be4e-6511-4ff2-a5dc-b61fd133a9d7","block_type":"box","text":"BlackRock will cast votes on behalf of each of the Funds covered by this policy on specific proxy issues in","page_number":185,"box":{"x":135,"y":499,"width":751,"height":11}},{"id":"e4f2060b-acd7-4d99-b787-ff4ae905f2a2","block_type":"box","text":"respect of securities held by each such Fund (or may refrain from voting) in accordance with the Guidelines.","page_number":185,"box":{"x":102,"y":514,"width":765,"height":11}},{"id":"e1468cb2-1d5d-4cbc-9a69-2a9f24bdc021","block_type":"box","text":"Conflicts Management","page_number":185,"box":{"x":101,"y":537,"width":165,"height":11}},{"id":"a725071a-9dc7-4388-afd8-35a37deab0f8","block_type":"box","text":"BlackRock Active Investment Stewardship (“BAIS”) maintains policies and procedures that seek to prevent","page_number":185,"box":{"x":135,"y":559,"width":758,"height":11}},{"id":"8e0ad9e6-ac06-408e-8e6f-f4dc4ef3213f","block_type":"box","text":"undue influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise","page_number":185,"box":{"x":102,"y":574,"width":797,"height":12}},{"id":"8dc945f7-ff75-47b4-9361-773289d59bd1","block_type":"box","text":"of proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":185,"box":{"x":102,"y":589,"width":805,"height":12}},{"id":"1f796dcb-80ec-492e-a4c0-aaae24309fc5","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":185,"box":{"x":102,"y":605,"width":797,"height":11}},{"id":"40601ee8-db45-4079-8296-f7e3efb8d000","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":185,"box":{"x":102,"y":620,"width":756,"height":11}},{"id":"f842af2d-ed6f-4c2a-adc6-f4f503604754","block_type":"box","text":"certain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":185,"box":{"x":101,"y":635,"width":800,"height":11}},{"id":"5a5b162d-c277-45a8-adae-dee9c1252c0c","block_type":"box","text":"BAIS will adhere to the Guidelines.","page_number":185,"box":{"x":102,"y":650,"width":244,"height":9}},{"id":"7b74a593-434f-4fba-9496-3b01001bd98e","block_type":"box","text":"In certain instances, BAIS will engage an independent third-party voting service provider to make proxy","page_number":185,"box":{"x":135,"y":673,"width":731,"height":11}},{"id":"f621ee4f-5708-492a-b156-c15955ef446c","block_type":"box","text":"voting recommendations as a further safeguard to avoid potential conflicts of interest, to satisfy regulatory","page_number":185,"box":{"x":101,"y":688,"width":763,"height":11}},{"id":"c36ad0c0-3252-44fa-b2fb-0010ea0114dc","block_type":"box","text":"compliance requirements, or as may be otherwise required by applicable law.","page_number":185,"box":{"x":101,"y":703,"width":550,"height":11}},{"id":"61d5cfda-a020-4b06-a27f-eed7628f087e","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":185,"box":{"x":134,"y":726,"width":774,"height":11}},{"id":"d98965df-502d-47d5-a495-08a695639f31","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":185,"box":{"x":102,"y":741,"width":791,"height":11}},{"id":"93fba1a8-7692-43aa-9182-384c916665e9","block_type":"box","text":"in clients’ financial interests. The Guidelines set forth BlackRock’s approach to recalling securities on loan in","page_number":185,"box":{"x":102,"y":756,"width":778,"height":11}},{"id":"4bd2d025-1a3e-46f5-9fc3-70c015c1cc2e","block_type":"box","text":"connection with proxy voting.","page_number":185,"box":{"x":101,"y":771,"width":203,"height":11}},{"id":"778c3c5e-299d-4769-8efb-41f03fc87600","block_type":"box","text":"Reports to the Board","page_number":185,"box":{"x":102,"y":794,"width":153,"height":11}},{"id":"c155b23d-620a-4f5f-97f0-3abd89ee32f9","block_type":"box","text":"BlackRock will report on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":185,"box":{"x":135,"y":816,"width":755,"height":12}},{"id":"62975763-96aa-452d-af33-a10e381e47ed","block_type":"box","text":"applicable to the Funds covered by this policy in the preceding year together with a representation that all votes","page_number":185,"box":{"x":102,"y":832,"width":794,"height":11}},{"id":"5c57224a-e6c8-4b40-a003-3de2f4da8875","block_type":"box","text":"were in accordance with the Guidelines and (2) any material changes to the Guidelines, including material","page_number":185,"box":{"x":101,"y":847,"width":753,"height":11}},{"id":"8a96202b-4453-495d-ba9e-51f0132b53af","block_type":"box","text":"changes to conflicts management practices, that have not previously been reported.","page_number":185,"box":{"x":101,"y":862,"width":600,"height":11}},{"id":"9291e436-1c70-433a-8efc-fb55eac986e2","block_type":"box","text":"BlackRock","page_number":185,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"ba374654-faa9-408b-ae2a-8bae677d5bdc","block_type":"box","text":"|1","page_number":185,"box":{"x":892,"y":942,"width":17,"height":13}},{"id":"8327c0e8-c6c3-42b1-a449-a88dc0927d8a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":185,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f774402c-da29-457d-9d30-b54f2abf716f","block_type":"box","text":"Appendix A","page_number":186,"box":{"x":101,"y":45,"width":82,"height":11}},{"id":"73e2b607-7a95-4fbf-a3b6-3bd5536c946c","block_type":"box","text":"BlackRock U.S. Carbon Transition Readiness ETF","page_number":186,"box":{"x":135,"y":67,"width":347,"height":9}},{"id":"827014d1-6429-41c5-9d8e-095fe982710f","block_type":"box","text":"BlackRock World ex U.S. Carbon Transition Readiness ETF","page_number":186,"box":{"x":135,"y":90,"width":413,"height":9}},{"id":"19548554-af33-4826-924e-e90ef2b92d14","block_type":"box","text":"BlackRock","page_number":186,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"253cc79b-c1c4-43aa-bb9c-bf7c3822c3cf","block_type":"box","text":"|2","page_number":186,"box":{"x":892,"y":942,"width":17,"height":13}},{"id":"1ca5b172-4507-4529-bdde-4d4615897778","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":186,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"17930ab7-4a57-4b80-b008-8cd03c2644b8","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":187,"box":{"x":334,"y":45,"width":311,"height":11}},{"id":"f889bc1b-1898-4d2f-b0dd-ebcba9f7e868","block_type":"box","text":"Global Engagement and Voting Guidelines","page_number":187,"box":{"x":337,"y":67,"width":304,"height":11}},{"id":"a9461677-5270-439d-82d5-6046ceed6e89","block_type":"box","text":"Effective as of January 2026","page_number":187,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"7d428709-9006-4c10-a95f-5c9c09b9ca74","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":187,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"17289b84-f852-468b-badf-e5bcb59d211e","block_type":"box","text":"TABLE OF CONTENTS","page_number":188,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"21be527c-a84f-465b-ac0b-a55a0ed1a574","block_type":"box","text":"Page","page_number":188,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"44c1141c-e406-414f-a160-1c6d44d8f16a","block_type":"box","text":"OVERVIEW","page_number":188,"box":{"x":74,"y":84,"width":79,"height":9}},{"id":"c369f731-0084-409f-8587-573a27504b66","block_type":"box","text":"....................................................................................... 3","page_number":188,"box":{"x":161,"y":84,"width":743,"height":9}},{"id":"ea56daf6-af42-4b79-b909-3b9be70d9b80","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":188,"box":{"x":74,"y":101,"width":235,"height":9}},{"id":"68b3d824-3bb5-4a58-b167-22956bc81884","block_type":"box","text":".................................................................... 4","page_number":188,"box":{"x":316,"y":101,"width":588,"height":9}},{"id":"af34b8d1-9caf-40db-af18-8bd37d33f1f8","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":188,"box":{"x":73,"y":117,"width":424,"height":9}},{"id":"31e34b32-4339-4619-bffb-26eac5535d36","block_type":"box","text":"............................................. 4","page_number":188,"box":{"x":504,"y":117,"width":400,"height":9}},{"id":"8a954be9-d27f-4d17-b31b-579105d3c2ef","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":188,"box":{"x":74,"y":134,"width":451,"height":10}},{"id":"5acd6075-cfc3-4f73-b05a-7238c17da452","block_type":"box","text":".......................................... 4","page_number":188,"box":{"x":528,"y":134,"width":376,"height":8}},{"id":"2f3ba6b9-0942-45c5-87ed-3efeff48d0bc","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":188,"box":{"x":74,"y":150,"width":433,"height":9}},{"id":"3d7cb352-d0c0-4ef8-bd1f-f8c75cb09393","block_type":"box","text":"............................................ 5","page_number":188,"box":{"x":512,"y":150,"width":392,"height":9}},{"id":"8be9873d-dc54-40ea-8a96-954bbbf59405","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":188,"box":{"x":74,"y":166,"width":178,"height":9}},{"id":"17849f89-75b7-4f75-878a-aeae1cadd41e","block_type":"box","text":"........................................................................... 6","page_number":188,"box":{"x":259,"y":166,"width":645,"height":9}},{"id":"e16164aa-f67e-4c49-aa93-bbcfeac438e9","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":188,"box":{"x":74,"y":183,"width":207,"height":9}},{"id":"106b5c7e-13dd-4d6b-987f-b372c19776a8","block_type":"box","text":"....................................................................... 8","page_number":188,"box":{"x":292,"y":183,"width":612,"height":9}},{"id":"3462c05e-e29b-476b-9cd0-b72959036dd2","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":188,"box":{"x":74,"y":199,"width":325,"height":9}},{"id":"6e1e3cde-7bc0-4b59-8e86-73b013f6b8db","block_type":"box","text":"......................................................... 9","page_number":188,"box":{"x":406,"y":199,"width":498,"height":9}},{"id":"3cc71c21-37dc-4da1-aba4-b6b02c63343e","block_type":"box","text":"CAPITAL STRUCTURE","page_number":188,"box":{"x":74,"y":215,"width":156,"height":9}},{"id":"90f84eb9-8efe-47f1-90b9-6acb0dd8c212","block_type":"box","text":".............................................................................. 9","page_number":188,"box":{"x":234,"y":215,"width":670,"height":9}},{"id":"064b4604-4da5-43e9-a2c4-880cc273243f","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":188,"box":{"x":73,"y":232,"width":315,"height":9}},{"id":"1c698f3b-8618-4d66-81c5-5e8451cd93c2","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":188,"box":{"x":398,"y":232,"width":506,"height":9}},{"id":"867a8b08-39a0-4593-962c-9b04846cd5cb","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":188,"box":{"x":74,"y":248,"width":430,"height":11}},{"id":"de9635f9-4ccb-4aa3-928e-5d4a516015cd","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":188,"box":{"x":512,"y":248,"width":392,"height":9}},{"id":"8d146eb6-f18a-4fc9-85f0-da7ad530a4cd","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":188,"box":{"x":73,"y":265,"width":319,"height":8}},{"id":"4008f8cf-1db2-4c34-9179-9448818148b5","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11","page_number":188,"box":{"x":398,"y":265,"width":506,"height":8}},{"id":"95f9db79-10c3-4bd4-afaf-a1490c47a946","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":188,"box":{"x":73,"y":281,"width":207,"height":9}},{"id":"a9c4a45d-fae3-421f-a53f-9c7afc6e28e7","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":188,"box":{"x":283,"y":281,"width":621,"height":9}},{"id":"285519a7-9dc9-4fae-9dd4-f6455b0f9fe2","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":188,"box":{"x":74,"y":297,"width":259,"height":9}},{"id":"39218f10-7c14-417e-85ab-709f4f92e60c","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":188,"box":{"x":340,"y":297,"width":564,"height":9}},{"id":"49da95c7-6b95-4a8b-af90-1edaeb8f0843","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":188,"box":{"x":74,"y":314,"width":489,"height":9}},{"id":"acf49473-5373-445f-8e8f-02de749f8538","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":188,"box":{"x":569,"y":314,"width":335,"height":8}},{"id":"2cfa46aa-33ad-4ab4-afe1-f49ea9d99e4b","block_type":"box","text":"KEY STAKEHOLDERS","page_number":188,"box":{"x":74,"y":330,"width":151,"height":9}},{"id":"470038c7-5c98-4625-8648-e2635c7641e9","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":188,"box":{"x":234,"y":330,"width":670,"height":9}},{"id":"6503b034-347c-4616-8b32-196c271e9704","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":188,"box":{"x":74,"y":346,"width":448,"height":9}},{"id":"8765055e-72c7-485f-80d8-5721690e1d83","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14","page_number":188,"box":{"x":528,"y":347,"width":376,"height":8}},{"id":"00fcc726-4323-48a4-943d-5510ca675576","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR","page_number":188,"box":{"x":73,"y":363,"width":771,"height":9}},{"id":"881620d7-39b6-48ee-bd5e-30922231739e","block_type":"box","text":"NON-INDEX EQUITY INVESTMENT STRATEGIES","page_number":188,"box":{"x":74,"y":378,"width":339,"height":11}},{"id":"4a8d4ed0-6093-4fc0-ae59-b0a37099c272","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16","page_number":188,"box":{"x":422,"y":378,"width":482,"height":9}},{"id":"ad8a9d06-1bac-4f03-b44c-8e2bfc5a9ad5","block_type":"box","text":"BlackRock","page_number":188,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"1aaa5440-50cf-4e49-81db-21f25c84ef3b","block_type":"box","text":"Global Engagement and Voting Guidelines | 2","page_number":188,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"34ade4bb-7dbc-45d8-9620-b4a8c6efc339","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":188,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8757b816-6ca5-4273-ae85-7cac5c18ba62","block_type":"box","text":"OVERVIEW","page_number":189,"box":{"x":450,"y":45,"width":79,"height":9}},{"id":"12dfc207-3f5f-4928-b769-3e618dd184f6","block_type":"box","text":"This document provides high level guidance on how BlackRock Active Investment Stewardship (BAIS) views","page_number":189,"box":{"x":101,"y":67,"width":760,"height":12}},{"id":"c1099fcd-9f93-4044-a452-1ab9a1fa8de8","block_type":"box","text":"corporate governance matters that are commonly put to a shareholder vote, or on which investors engage with","page_number":189,"box":{"x":69,"y":83,"width":785,"height":11}},{"id":"84b48784-d06e-4df3-ba84-1bec988e9b56","block_type":"box","text":"issuers.","page_number":189,"box":{"x":70,"y":98,"width":54,"height":9}},{"id":"e8b4939b-a800-4ada-b4cf-53593752ffda","block_type":"box","text":"1","page_number":189,"box":{"x":131,"y":94,"width":4,"height":4}},{"id":"5d0d0f43-d96f-412d-abcc-089e65738183","block_type":"box","text":"BAIS works in partnership with BlackRock’s investment teams, excluding index equity","page_number":189,"box":{"x":141,"y":98,"width":606,"height":11}},{"id":"5759178b-ba48-4b0c-a239-3b9b0f543c48","block_type":"box","text":"2","page_number":189,"box":{"x":747,"y":98,"width":4,"height":4}},{"id":"6e7463b6-4240-4fa1-8cf4-6f036cd91ebb","block_type":"box","text":", providing expertise","page_number":189,"box":{"x":753,"y":98,"width":143,"height":11}},{"id":"0b19f738-cb5d-4386-b304-89c5597a3f3a","block_type":"box","text":"on investment stewardship and engaging with companies alongside and on behalf of those teams when appropriate.","page_number":189,"box":{"x":69,"y":113,"width":828,"height":11}},{"id":"d5a52374-502a-44e4-a30b-4db9c68b8c72","block_type":"box","text":"The team is responsible for establishing voting guidelines for the active equity platform, providing vote","page_number":189,"box":{"x":68,"y":128,"width":729,"height":11}},{"id":"4b0e45fd-0543-4188-8a84-921d3d9b3b05","block_type":"box","text":"recommendations and operationalizing voting decisions. The guidance informs the voting recommendations BAIS","page_number":189,"box":{"x":69,"y":143,"width":803,"height":11}},{"id":"3ceb2af6-4933-49ca-a634-19fe41bcbe58","block_type":"box","text":"makes to BlackRock’s active portfolio managers. It applies to active equity holdings in BlackRock’s fundamental","page_number":189,"box":{"x":69,"y":158,"width":800,"height":11}},{"id":"a54885f7-b514-4760-b35c-a254b1c21644","block_type":"box","text":"equity, systematic equity and multi-asset solutions strategies. It also may apply to holdings in BlackRock’s index and","page_number":189,"box":{"x":69,"y":173,"width":831,"height":11}},{"id":"4a53e8f7-32ce-4015-878c-42ff4d5119b4","block_type":"box","text":"active fixed income strategies, to the extent those strategies hold voting securities or conduct issuer engagements.","page_number":189,"box":{"x":69,"y":188,"width":823,"height":12}},{"id":"7b4163fa-d718-4c57-943a-b88d799dff2e","block_type":"box","text":"The guidelines are not prescriptive as active portfolio managers have discretion as to how they integrate these","page_number":189,"box":{"x":68,"y":203,"width":789,"height":12}},{"id":"009a4a92-df45-440d-b58f-5708c372d430","block_type":"box","text":"guidelines within their investment processes in light of their clients’ or funds’ investment objectives. There are","page_number":189,"box":{"x":68,"y":218,"width":788,"height":12}},{"id":"3b6a05f7-6b08-4fda-83c0-d58daef500f1","block_type":"box","text":"separate, independently developed principles and voting policies that are applied to BlackRock’s index equity","page_number":189,"box":{"x":69,"y":234,"width":778,"height":11}},{"id":"867da068-cefb-4f58-8919-61d19ca1fa5b","block_type":"box","text":"investments by a distinct and independent function, BlackRock Investment Stewardship.","page_number":189,"box":{"x":70,"y":249,"width":627,"height":11}},{"id":"b29add52-6db4-49df-9f6d-f1c49f144ca9","block_type":"box","text":"1","page_number":189,"box":{"x":69,"y":294,"width":4,"height":4}},{"id":"73b96f6c-4688-4f5a-88b2-6c81250b4b5b","block_type":"box","text":"This document includes BAIS’ benchmark policy, which covers nearly all active equity holdings in BlackRock’s","page_number":189,"box":{"x":78,"y":293,"width":777,"height":11}},{"id":"370c8eed-9a1b-4333-9095-58b67d3caa65","block_type":"box","text":"fundamental equity, systematic equity and multi-asset solutions strategies. The benchmark policy also may apply to","page_number":189,"box":{"x":68,"y":308,"width":823,"height":11}},{"id":"18ff9d70-4ae7-4e92-a86b-020bcd47a66a","block_type":"box","text":"holdings in BlackRock’s index and active fixed income strategies, to the extent those strategies hold voting securities","page_number":189,"box":{"x":69,"y":323,"width":837,"height":12}},{"id":"0af84194-e301-4f2f-a020-3fe9ded9591a","block_type":"box","text":"or conduct issuer engagements. This document also includes BAIS’ decarbonization policy, which covers holdings in","page_number":189,"box":{"x":69,"y":339,"width":824,"height":11}},{"id":"f05ea78f-6d23-4864-abc6-ac1cb1e77e42","block_type":"box","text":"BlackRock active funds that have climate and decarbonization objectives in addition to financial objectives.","page_number":189,"box":{"x":70,"y":354,"width":759,"height":11}},{"id":"bd50d2f5-8f77-4195-a97b-1c34da7e4880","block_type":"box","text":"2","page_number":189,"box":{"x":69,"y":372,"width":4,"height":4}},{"id":"d4196a40-dc71-4d51-b9a9-6b42256a7a98","block_type":"box","text":"BlackRock segmented active and index equity investment functions, including stewardship, in January 2025 as part","page_number":189,"box":{"x":79,"y":371,"width":825,"height":11}},{"id":"6e506669-19da-48ed-bc37-3dd8a7a1e437","block_type":"box","text":"of a strategic initiative to unlock the full breadth of the firm’s active and private markets capabilities for clients. As a","page_number":189,"box":{"x":69,"y":386,"width":830,"height":12}},{"id":"369394c7-a6a8-4d02-a0bb-14fe1099b446","block_type":"box","text":"result, there are two stewardship teams, which operate independently of one another and have separate voting","page_number":189,"box":{"x":69,"y":401,"width":792,"height":12}},{"id":"54c8d7b3-e825-4bae-a409-aa7b2d5d6b38","block_type":"box","text":"policies.","page_number":189,"box":{"x":70,"y":417,"width":56,"height":11}},{"id":"d31c73e8-55f8-40d1-bf13-6dbb99a868cc","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":189,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"de4f6bde-92ed-48a3-b41d-080162525bf9","block_type":"box","text":"Global Engagement and Voting Guidelines | 3","page_number":189,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"e8205a1f-bc8e-4f73-8f6d-59375c981664","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":189,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1c0eeb7a-3b01-466e-ae83-d3632eedb4df","block_type":"box","text":"INTRODUCTION TO BLACKROCK","page_number":190,"box":{"x":372,"y":45,"width":235,"height":9}},{"id":"c8f67647-9f1f-4c21-87d6-d91c551880f4","block_type":"box","text":"BlackRock’s mission is to help more people invest better. The money BlackRock manages is not its own — it","page_number":190,"box":{"x":102,"y":64,"width":777,"height":11}},{"id":"ec2fb840-10a0-4518-a371-0b7ff435bbbc","block_type":"box","text":"belongs to BlackRock’s clients, many of whom make their own asset allocation and portfolio construction decisions.","page_number":190,"box":{"x":69,"y":78,"width":828,"height":12}},{"id":"945f9b38-9071-4f33-ae73-34301587b6c3","block_type":"box","text":"As a fiduciary, BlackRock invests on clients’ behalf to help them meet their investment objectives. The firm does this","page_number":190,"box":{"x":68,"y":93,"width":835,"height":11}},{"id":"ab1b6637-ebff-455d-bccb-2a8732fddeae","block_type":"box","text":"by understanding clients’ long-term investment objectives and offering choice on how and where they wish to invest","page_number":190,"box":{"x":69,"y":108,"width":823,"height":11}},{"id":"930e30ec-8646-4ea3-a545-811b970b3342","block_type":"box","text":"their money. BlackRock then helps clients seek the best risk-adjusted returns based on those choices, underpinning","page_number":190,"box":{"x":68,"y":123,"width":830,"height":11}},{"id":"91e4614f-328c-41ce-ac34-d1d6c89c2715","block_type":"box","text":"this work with research, data and analytics.","page_number":190,"box":{"x":68,"y":138,"width":309,"height":11}},{"id":"bee6cae2-b4ea-46b3-80d1-dca511280c6b","block_type":"box","text":"At BlackRock, investment stewardship is core to our role as an asset manager and a fiduciary to our clients. As","page_number":190,"box":{"x":101,"y":156,"width":796,"height":12}},{"id":"beb22664-dfb4-41ae-9c87-ad61ff9db948","block_type":"box","text":"stewards of our clients’ assets, we engage with companies to discuss the corporate governance and business","page_number":190,"box":{"x":69,"y":171,"width":787,"height":12}},{"id":"5ceca0bf-c6f0-48eb-baec-cf22c9be6b27","block_type":"box","text":"practices that, in our experience, support companies in delivering durable, risk-adjusted financial returns over time.","page_number":190,"box":{"x":70,"y":186,"width":820,"height":12}},{"id":"d96adf6f-d69c-4c08-8537-3f253b33bef9","block_type":"box","text":"We are committed to building strong relationships through constructive, ongoing dialogue with the boards and","page_number":190,"box":{"x":68,"y":201,"width":782,"height":11}},{"id":"768b9e46-0445-400d-bc80-9a35f5f90f1c","block_type":"box","text":"executive management of the companies in which our clients are invested.","page_number":190,"box":{"x":69,"y":216,"width":531,"height":11}},{"id":"f67b5a25-c34b-480e-ab11-89864b15dbfc","block_type":"box","text":"ABOUT BLACKROCK ACTIVE INVESTMENT STEWARDSHIP","page_number":190,"box":{"x":277,"y":246,"width":424,"height":9}},{"id":"c7c09e16-206c-4f0e-9f50-18ef55a243a3","block_type":"box","text":"BlackRock Active Investment Stewardship (BAIS) is a specialist team within the Portfolio Management Group and","page_number":190,"box":{"x":102,"y":265,"width":804,"height":11}},{"id":"26b7ee2f-9156-43db-bd86-041753de75ec","block_type":"box","text":"manages BlackRock’s stewardship engagement and voting on behalf of clients invested in active strategies globally.","page_number":190,"box":{"x":69,"y":280,"width":826,"height":11}},{"id":"2c343371-a6e8-44c0-b59a-5b3b9549dfdb","block_type":"box","text":"BAIS is also responsible for engagement with issuers in index fixed income strategies, where appropriate. Our","page_number":190,"box":{"x":70,"y":295,"width":783,"height":11}},{"id":"2eb3756b-4bf2-4a94-b89b-a43ad5f247f1","block_type":"box","text":"activities are informed by these Global Engagement and Voting Guidelines (the “Guidelines”) and insights from active","page_number":190,"box":{"x":69,"y":309,"width":834,"height":12}},{"id":"8991949a-f7f8-46eb-b8a7-25fdb5645018","block_type":"box","text":"investment analysts and portfolio managers, with whom we work closely in engaging companies and voting at","page_number":190,"box":{"x":70,"y":324,"width":779,"height":12}},{"id":"2bce807f-11ee-47d0-86e1-795eaa5a0a49","block_type":"box","text":"shareholder meetings.","page_number":190,"box":{"x":69,"y":339,"width":158,"height":11}},{"id":"8e4a74d8-a310-4199-87ae-2d47b3ba4501","block_type":"box","text":"Engagement with public companies is the foundation of our approach to stewardship within fundamental active","page_number":190,"box":{"x":102,"y":358,"width":789,"height":11}},{"id":"cc27add1-4c08-4b7a-88de-91069a3c336f","block_type":"box","text":"investing.","page_number":190,"box":{"x":70,"y":373,"width":65,"height":11}},{"id":"ca23f1a9-eb8e-46f7-9b7c-3103494b8ef9","block_type":"box","text":"3","page_number":190,"box":{"x":137,"y":373,"width":4,"height":5}},{"id":"12c2e2ba-5de9-45c5-befc-3f202a088e9c","block_type":"box","text":"Through direct dialogue with company leadership, we seek to understand their businesses and how they","page_number":190,"box":{"x":146,"y":373,"width":744,"height":11}},{"id":"5c4c5456-c120-4924-b71f-4d346bdb3ccc","block_type":"box","text":"manage risks and opportunities to deliver durable, risk-adjusted financial returns. Portfolio managers and","page_number":190,"box":{"x":69,"y":387,"width":751,"height":12}},{"id":"1fec4c31-f70e-4c5b-8b69-4b8737ababce","block_type":"box","text":"stewardship specialists may engage jointly or independently on material corporate governance matters. Our","page_number":190,"box":{"x":69,"y":402,"width":765,"height":12}},{"id":"58dc6732-a9e7-4500-b946-2486810918f6","block_type":"box","text":"discussions focus on topics relevant to a company’s success over time, including governance and leadership,","page_number":190,"box":{"x":69,"y":417,"width":782,"height":12}},{"id":"db39a097-0859-4421-acc7-ba13cdeeb56d","block_type":"box","text":"corporate strategy, capital structure and financial performance, operations and material sustainability-related risks,","page_number":190,"box":{"x":69,"y":432,"width":820,"height":11}},{"id":"9b41ecfc-5777-47fc-a83c-36eba8acfdca","block_type":"box","text":"as well as macro-economic, geopolitical and sector dynamics. We aim to be constructive investors and are generally","page_number":190,"box":{"x":69,"y":447,"width":828,"height":11}},{"id":"614312ee-e8fe-48ae-8132-9e814be9ca4c","block_type":"box","text":"supportive of management teams that have a track record of financial value creation. We aim to build and maintain","page_number":190,"box":{"x":69,"y":462,"width":821,"height":11}},{"id":"44bca76f-d089-4066-8c95-d2933f0ebe9e","block_type":"box","text":"strong relationships with company leadership based on open dialogue and mutual respect.","page_number":190,"box":{"x":69,"y":477,"width":645,"height":11}},{"id":"61bbcb85-5514-4c79-bcc3-cecdff7ad8ee","block_type":"box","text":"Different active equity strategies may implement these voting guidelines differently, as a result of the latitude","page_number":190,"box":{"x":102,"y":495,"width":780,"height":12}},{"id":"da205b39-0f2b-4fa0-a1c8-43336972c106","block_type":"box","text":"each portfolio manager has to make independent voting decisions on their holdings. For example, BAIS will generally","page_number":190,"box":{"x":69,"y":510,"width":831,"height":11}},{"id":"fd7e5cbc-96c7-47fd-80e8-70ce33b90de8","block_type":"box","text":"vote the holdings in Systematic Active Equity portfolios in accordance with these guidelines. We provide voting","page_number":190,"box":{"x":68,"y":525,"width":787,"height":11}},{"id":"60c21a20-be65-4a6d-9dbd-7f0398eab910","block_type":"box","text":"recommendations to fundamental equity portfolio managers, who may determine to vote differently based on each","page_number":190,"box":{"x":69,"y":540,"width":816,"height":11}},{"id":"67c543a3-47e4-4067-94a8-f6dece427ce4","block_type":"box","text":"portfolio’s investment objectives and strategy.","page_number":190,"box":{"x":70,"y":555,"width":327,"height":11}},{"id":"5df28049-61e4-4878-9815-2840eba3bf80","block_type":"box","text":"These guidelines discuss BAIS’ views on corporate governance topics on which we may engage with","page_number":190,"box":{"x":101,"y":574,"width":711,"height":11}},{"id":"eadc42bb-dc79-403f-9c94-fd69727f3ce4","block_type":"box","text":"management teams and board directors","page_number":190,"box":{"x":69,"y":589,"width":285,"height":11}},{"id":"633b1b90-52f7-498a-bf33-e77a66436dbd","block_type":"box","text":"4","page_number":190,"box":{"x":355,"y":589,"width":5,"height":4}},{"id":"a507f2b3-8774-40c7-973c-503009c21bcb","block_type":"box","text":"and on matters that routinely come to a shareholder vote. We recognize that","page_number":190,"box":{"x":366,"y":589,"width":544,"height":11}},{"id":"211b2503-b82a-466e-b1a9-0437db505f14","block_type":"box","text":"accepted corporate governance norms can differ across markets, and believe these guidelines represent globally","page_number":190,"box":{"x":69,"y":603,"width":807,"height":11}},{"id":"ed41219b-547b-48b2-85ed-6ed335366106","block_type":"box","text":"applicable elements of governance that support a company’s ability to manage material risks and opportunities and","page_number":190,"box":{"x":69,"y":618,"width":827,"height":11}},{"id":"c38538d5-5b65-4618-aa22-e8188e3de5dc","block_type":"box","text":"deliver financial returns to investors. Generally, we believe companies should observe accepted corporate governance","page_number":190,"box":{"x":69,"y":633,"width":840,"height":11}},{"id":"116e6b0a-f8ac-484a-b47b-eab5c51f56db","block_type":"box","text":"norms within their local markets or, particularly in markets without well-established norms, aspire to widely","page_number":190,"box":{"x":69,"y":648,"width":762,"height":11}},{"id":"7f0ec978-a610-4d99-9c11-f4e0eb1a1261","block_type":"box","text":"recognized international best practices. As one of many minority shareholders, BlackRock cannot – and does not try","page_number":190,"box":{"x":69,"y":663,"width":827,"height":11}},{"id":"6e7bcf0b-b0ae-4fe4-b785-69ead32ffd27","block_type":"box","text":"to – direct a company’s strategy or its implementation. We look to companies to provide disclosures that explain how","page_number":190,"box":{"x":68,"y":678,"width":837,"height":11}},{"id":"ad98bdf0-7faa-4e33-9d46-3a532987a2f1","block_type":"box","text":"their approach to corporate governance best aligns with the financial interests of their investors.","page_number":190,"box":{"x":68,"y":692,"width":687,"height":12}},{"id":"d270831a-4e96-4998-8c1c-8b3ec0e19a3f","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN ACTIVE EQUITIES","page_number":190,"box":{"x":263,"y":722,"width":451,"height":11}},{"id":"6cb07e07-0fa9-4d8a-b8c0-80af1520be55","block_type":"box","text":"Voting at a company’s shareholder meeting is a right of share ownership and a core principle of corporate","page_number":190,"box":{"x":101,"y":741,"width":753,"height":12}},{"id":"052fe730-07a7-4dee-ae24-a5e25d79fe57","block_type":"box","text":"governance. The voting rights attached to clients’ holdings are an important mechanism for investors to express","page_number":190,"box":{"x":68,"y":756,"width":801,"height":11}},{"id":"67adff5f-3447-4222-ad5e-5117b00fcebe","block_type":"box","text":"support for, or concern about, a company’s performance. As a fiduciary, BlackRock is legally required to make proxy","page_number":190,"box":{"x":69,"y":771,"width":829,"height":11}},{"id":"cf0eea32-3586-4251-86c2-94603c8c48f3","block_type":"box","text":"voting determinations, on behalf of clients who have delegated voting authority to us, in a manner consistent with","page_number":190,"box":{"x":68,"y":786,"width":809,"height":11}},{"id":"90d95179-f28f-4b5f-9344-afdd4bcdb69f","block_type":"box","text":"BlackRock’s contractual arrangements with clients and funds.","page_number":190,"box":{"x":70,"y":801,"width":438,"height":11}},{"id":"a0607ca7-ae93-4f3a-9ff3-c4fd930ed0df","block_type":"box","text":"3","page_number":190,"box":{"x":69,"y":830,"width":4,"height":5}},{"id":"7f31895a-a9cd-4d24-a884-6fc7e6613645","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":190,"box":{"x":79,"y":830,"width":790,"height":11}},{"id":"bd1a8391-6e7c-4e7b-8329-3a1b9ebc4efa","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":190,"box":{"x":69,"y":845,"width":836,"height":11}},{"id":"b2b5148b-fad3-40a7-bd9e-a8e624b0d4fe","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":190,"box":{"x":68,"y":860,"width":805,"height":11}},{"id":"3f9db66f-38eb-4229-8151-98c1e609c90e","block_type":"box","text":"effect, of changing or influencing control of the company.","page_number":190,"box":{"x":69,"y":875,"width":403,"height":12}},{"id":"39fbffd2-0cf4-4bf2-91eb-86af91c0b3a6","block_type":"box","text":"4","page_number":190,"box":{"x":69,"y":893,"width":4,"height":5}},{"id":"b2cc9474-3de8-4c2d-8d45-14ffbb6927fa","block_type":"box","text":"References to the board, board directors or non-executive directors should be understood to include supervisory","page_number":190,"box":{"x":79,"y":893,"width":801,"height":11}},{"id":"dc1a7c48-6775-4d1a-80f5-e604066a803b","block_type":"box","text":"boards and their members, where relevant.","page_number":190,"box":{"x":69,"y":908,"width":306,"height":11}},{"id":"d12ee7b0-0eae-48a2-8c13-62b21c435e92","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":190,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"1da219b0-4d7e-4c1e-96f6-5aa3fd523588","block_type":"box","text":"Global Engagement and Voting Guidelines | 4","page_number":190,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"70accaf2-c342-4d0b-9d22-40678fe2fbdc","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":190,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6b789cfa-d843-46c6-bfb2-b126fee58d71","block_type":"box","text":"In general, we tend to support the recommendations of the board of directors and management. As indicated","page_number":191,"box":{"x":102,"y":45,"width":778,"height":11}},{"id":"3e1eaf9a-7f85-43d4-9799-a3f29a72dff2","block_type":"box","text":"below, we may vote against management recommendations when we have concerns about how companies are","page_number":191,"box":{"x":69,"y":60,"width":788,"height":11}},{"id":"3e2684a5-507c-4055-97ea-2916bbf59759","block_type":"box","text":"serving the financial interests of our clients as their shareholders. BAIS takes a globally consistent approach to","page_number":191,"box":{"x":69,"y":74,"width":795,"height":12}},{"id":"1b39c047-3aee-4df3-9c9d-32cecd5a6d55","block_type":"box","text":"voting but considers the different corporate governance regulations and norms across markets. Votes are determined","page_number":191,"box":{"x":68,"y":89,"width":839,"height":12}},{"id":"f3bbf943-e15e-4311-bb46-d9eca9c9f03f","block_type":"box","text":"on a case-by-case basis, in the context of a company’s situation and the investment mandate we have from clients.","page_number":191,"box":{"x":69,"y":104,"width":823,"height":11}},{"id":"38da0edf-3490-4c0e-8100-bc6bd5aeb0db","block_type":"box","text":"Please see page 19 for more information about how we fulfill and oversee our investment stewardship","page_number":191,"box":{"x":69,"y":119,"width":729,"height":11}},{"id":"08894a33-b99d-44b6-a609-ea1a9b33234d","block_type":"box","text":"responsibilities for BlackRock’s non-index equity strategies.","page_number":191,"box":{"x":69,"y":134,"width":423,"height":11}},{"id":"f4e25f59-2a5b-4922-b534-4143f0ff4389","block_type":"box","text":"5","page_number":191,"box":{"x":493,"y":134,"width":5,"height":5}},{"id":"f8c9e630-f62a-42bd-b41e-11428d379b03","block_type":"box","text":"OUR APPROACH TO STEWARDSHIP WITHIN FIXED INCOME","page_number":191,"box":{"x":272,"y":164,"width":434,"height":9}},{"id":"826e2b69-1b61-40f3-b11f-e74a5c9f592a","block_type":"box","text":"Although fixed income investors do not have the right to vote at shareholder meetings, issuer engagement is a","page_number":191,"box":{"x":101,"y":183,"width":788,"height":11}},{"id":"5beea72b-1034-45ea-b185-f4ee7384766c","block_type":"box","text":"component of fixed income investment strategies at BlackRock, particularly for those with sustainability objectives in","page_number":191,"box":{"x":69,"y":198,"width":831,"height":11}},{"id":"e0c181e8-3122-4401-a6b3-7c7be752177e","block_type":"box","text":"addition to financial objectives. Most corporate governance-related fixed income engagements are undertaken in","page_number":191,"box":{"x":69,"y":212,"width":801,"height":12}},{"id":"f70487db-087e-43ab-a7ee-ded65316b9b7","block_type":"box","text":"conjunction with the active investment stewardship team, and often active equity investors. In addition to the topics","page_number":191,"box":{"x":69,"y":227,"width":824,"height":11}},{"id":"5b97241e-5a4f-45ae-afa6-b981c28696b4","block_type":"box","text":"listed below, engagement with fixed income investment teams may help inform an issuer’s approach to structuring","page_number":191,"box":{"x":70,"y":242,"width":816,"height":11}},{"id":"38ea93d2-334c-499d-b7b6-8d633ca42edd","block_type":"box","text":"specialist issuances and the standard terms and information in bond documentation.","page_number":191,"box":{"x":69,"y":257,"width":608,"height":11}},{"id":"0a6524f1-255b-41db-8a30-7e24b345212c","block_type":"box","text":"5","page_number":191,"box":{"x":69,"y":302,"width":4,"height":4}},{"id":"d8250a04-ac03-4ba2-aecb-bd6798123aa7","block_type":"box","text":"Non-index equity strategies include active equity holdings in BlackRock’s fundamental equity, systematic equity and","page_number":191,"box":{"x":79,"y":301,"width":820,"height":11}},{"id":"d5a07921-4ff6-4e66-9d03-cd78df22c2e1","block_type":"box","text":"multi-asset solutions strategies, as well as holdings in BlackRock’s index and active fixed income strategies, to the","page_number":191,"box":{"x":69,"y":316,"width":822,"height":12}},{"id":"54b4919e-e8ab-4ba9-bd55-718ba9c4a587","block_type":"box","text":"extent those strategies hold voting securities or conduct issuer engagements.","page_number":191,"box":{"x":69,"y":332,"width":554,"height":11}},{"id":"fd485bd2-39a9-4902-826e-9f369a412918","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":191,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"9384cf70-9d6a-49c6-9f09-1a2d7909d6f8","block_type":"box","text":"Global Engagement and Voting Guidelines | 5","page_number":191,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"522a177e-9e8c-46d3-9d25-1c3a2ad8536a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":191,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"30db7d2f-a2d7-4bdf-bbd9-1b47f69eadd4","block_type":"box","text":"BOARDS OF DIRECTORS","page_number":192,"box":{"x":400,"y":45,"width":178,"height":9}},{"id":"fe906d7a-2a5e-4b38-94f8-d371c0c835a9","block_type":"box","text":"Roles and responsibilities","page_number":192,"box":{"x":69,"y":67,"width":186,"height":11}},{"id":"740b5960-9ace-4066-8db7-f3a4cf3d3419","block_type":"box","text":"There is widespread consensus that the foundation of good corporate governance is an effective board of","page_number":192,"box":{"x":101,"y":86,"width":754,"height":11}},{"id":"e0a0292b-9bbe-4647-8b6e-43dbd49928a6","block_type":"box","text":"directors that is able to advise and supervise management in an independent and objective manner.","page_number":192,"box":{"x":69,"y":101,"width":715,"height":11}},{"id":"d760fbbd-0123-4715-b2ad-6f51e61d73d2","block_type":"box","text":"6","page_number":192,"box":{"x":786,"y":101,"width":4,"height":5}},{"id":"3ca718ac-6be0-4afc-a125-0506c6b5316f","block_type":"box","text":"We look to the board of directors (hereafter the “board”) to have an oversight role in the establishment and","page_number":192,"box":{"x":101,"y":119,"width":765,"height":12}},{"id":"8efd127c-dcf7-449d-8521-ce870a981298","block_type":"box","text":"realization of a company’s strategy, purpose and culture. These constructs are interdependent and, when aligned,","page_number":192,"box":{"x":69,"y":134,"width":811,"height":12}},{"id":"2948e8ef-e5b8-45c3-8487-b88b01710eea","block_type":"box","text":"can better position a company to be resilient in the face of a changing business environment, help reduce the risks","page_number":192,"box":{"x":69,"y":149,"width":822,"height":11}},{"id":"16ae95bc-d3fa-492b-8cc4-a54920dcd484","block_type":"box","text":"of corporate or employee misconduct, and attract and retain the caliber of workers necessary to deliver financial","page_number":192,"box":{"x":69,"y":164,"width":799,"height":11}},{"id":"1ab6299e-5b41-4cea-8086-8d7578730b46","block_type":"box","text":"performance over time.","page_number":192,"box":{"x":70,"y":179,"width":164,"height":11}},{"id":"52a7d767-7029-40b6-8270-56ca852920b3","block_type":"box","text":"In overseeing the management of the company, the board ensures the necessary resources, policies and","page_number":192,"box":{"x":102,"y":198,"width":750,"height":11}},{"id":"5b29b79f-356b-43bc-bf5f-e0e3bf47f9b2","block_type":"box","text":"procedures are in place to help management meet its strategic objectives within an agreed risk tolerance.","page_number":192,"box":{"x":70,"y":213,"width":753,"height":11}},{"id":"d1f7638b-6aa2-4c1a-aa81-9599c04b9aea","block_type":"box","text":"One of the most important responsibilities of the board is to appoint, and remove as necessary, the chief","page_number":192,"box":{"x":102,"y":231,"width":753,"height":11}},{"id":"dab30a1f-7bac-4d9e-885d-4bad7b4557d6","block_type":"box","text":"executive officer (“CEO”). In addition, the board plays a meaningful role in monitoring the performance of the CEO","page_number":192,"box":{"x":69,"y":246,"width":811,"height":11}},{"id":"998b1e53-91f2-442e-8ec6-c3e4e01b180b","block_type":"box","text":"and other key executives, determining executive compensation, ensuring a rigorous audit, overseeing strategy","page_number":192,"box":{"x":69,"y":261,"width":783,"height":11}},{"id":"798f2300-7d01-462a-b76a-1d3a455e5947","block_type":"box","text":"execution and risk management and engaging with shareholders, and other stakeholders, as necessary.","page_number":192,"box":{"x":69,"y":276,"width":742,"height":11}},{"id":"0829d0c5-5ffd-429e-a4e0-216019cf4f18","block_type":"box","text":"Composition and effectiveness","page_number":192,"box":{"x":69,"y":298,"width":224,"height":11}},{"id":"cb391d6d-1a00-40d6-aa47-632ddc53477a","block_type":"box","text":"Appointment process","page_number":192,"box":{"x":68,"y":317,"width":152,"height":11}},{"id":"a3bcbfd6-6d07-4418-bb28-1f526522dbbc","block_type":"box","text":"A formal and transparent process for identifying and appointing director candidates is critical to ensuring the","page_number":192,"box":{"x":101,"y":335,"width":773,"height":12}},{"id":"4de3d58a-d556-467d-b510-e75752429ef8","block_type":"box","text":"board is composed of directors with the appropriate mix of skills and experience. Generally, the board or a sub","page_number":192,"box":{"x":69,"y":350,"width":792,"height":11}},{"id":"b56857d7-c6a5-4521-9839-20907b47a62f","block_type":"box","text":"committee determines the general criteria given the company’s circumstances (","page_number":192,"box":{"x":69,"y":365,"width":568,"height":11}},{"id":"22e16657-a66f-4ab8-915e-476536b4ec49","block_type":"box","text":"e.g.","page_number":192,"box":{"x":638,"y":367,"width":25,"height":9}},{"id":"3a2e4416-e1c3-42f5-9831-a5d8bbf2b4b8","block_type":"box","text":", sector, maturity, geographic","page_number":192,"box":{"x":666,"y":365,"width":204,"height":11}},{"id":"d4e6750f-5d26-490b-acd4-dad300cec28b","block_type":"box","text":"footprint) and any additional criteria for a specific role being filled (","page_number":192,"box":{"x":68,"y":380,"width":474,"height":11}},{"id":"9a87fe8f-e71b-47ef-a0b2-bb11b8f12a7e","block_type":"box","text":"e.g.","page_number":192,"box":{"x":544,"y":381,"width":25,"height":10}},{"id":"36edf737-b6d5-4511-87ef-3e58607a5f70","block_type":"box","text":", financial expertise, industry track record). To","page_number":192,"box":{"x":571,"y":380,"width":327,"height":11}},{"id":"ef221bce-56f4-4ab6-b5e9-b82e106eb9eb","block_type":"box","text":"inform the process, we encourage companies to review the skills and experience of incumbent directors to identify","page_number":192,"box":{"x":70,"y":395,"width":815,"height":11}},{"id":"b04bcaf0-0d33-4b0d-887d-b8e8271f2f7e","block_type":"box","text":"any gaps and whether the skills and experience of a director candidate would be additive. We welcome disclosures","page_number":192,"box":{"x":69,"y":410,"width":817,"height":11}},{"id":"d686aac5-397a-4969-b7d3-e3db1fb8ab46","block_type":"box","text":"that explain how the board considered different skills and experience to ensure that the directors collectively can be","page_number":192,"box":{"x":68,"y":425,"width":829,"height":11}},{"id":"e3f5b1e2-6f5a-41b9-8112-c0524ca83de4","block_type":"box","text":"effective in fulfilling their responsibilities. We assess a company’s board composition against that of its peer group","page_number":192,"box":{"x":69,"y":439,"width":821,"height":12}},{"id":"0901cc40-5647-4ba1-8c7c-f420529c0c51","block_type":"box","text":"and local market requirements.","page_number":192,"box":{"x":69,"y":455,"width":221,"height":10}},{"id":"e7a74a61-f876-4aba-bdf8-be9e5656390c","block_type":"box","text":"Shareholders periodically vote to elect directors to serve on the board. We do not prescribe any particular board","page_number":192,"box":{"x":102,"y":473,"width":798,"height":11}},{"id":"49b7d712-ebf9-4402-958d-7d53b9a71372","block_type":"box","text":"composition in our engagements or voting but seek to understand how well placed a board is to act in investors’","page_number":192,"box":{"x":69,"y":488,"width":800,"height":11}},{"id":"484a634d-d34f-4a0f-ac89-8058266d89fa","block_type":"box","text":"interests. We may vote against the election of the most senior independent director, or the chair of the relevant","page_number":192,"box":{"x":70,"y":503,"width":794,"height":11}},{"id":"e7d0c220-efdf-4f55-8a7b-0cd22e24d404","block_type":"box","text":"committee, where a company has not demonstrated it has an appointment process that results in a high functioning","page_number":192,"box":{"x":69,"y":517,"width":830,"height":12}},{"id":"d7775aee-47d5-4b13-990b-3e8dc71b41ea","block_type":"box","text":"board with the appropriate complement of skills and experience amongst the directors to support strong financial","page_number":192,"box":{"x":69,"y":532,"width":808,"height":12}},{"id":"82e6cec7-f47b-42de-a0da-8b5c730b4617","block_type":"box","text":"performance over time. We may vote against newly nominated directors who do not seem to have the appropriate","page_number":192,"box":{"x":70,"y":547,"width":808,"height":12}},{"id":"dbf06110-c487-4a37-b709-866e5d79ada2","block_type":"box","text":"skills or experience to contribute to the board’s effectiveness.","page_number":192,"box":{"x":69,"y":562,"width":442,"height":11}},{"id":"32d559e5-9240-4244-9717-4f8793a5bd42","block_type":"box","text":"Independence","page_number":192,"box":{"x":70,"y":585,"width":99,"height":10}},{"id":"500dfcc0-14ed-48bd-9a12-f8bd8d0f06b2","block_type":"box","text":"Director independence from management, significant shareholders or other stakeholders (","page_number":192,"box":{"x":102,"y":603,"width":642,"height":11}},{"id":"2880af46-961a-4f11-b9cf-c671c1066622","block_type":"box","text":"e.g.","page_number":192,"box":{"x":746,"y":605,"width":25,"height":9}},{"id":"2a44d459-65f2-4d95-9789-ac4509deacec","block_type":"box","text":", government or","page_number":192,"box":{"x":773,"y":604,"width":111,"height":10}},{"id":"49ef884b-706e-4295-aff9-c25013e341df","block_type":"box","text":"employees) is of paramount importance to the protection of the interests of minority shareholders such as","page_number":192,"box":{"x":69,"y":618,"width":759,"height":11}},{"id":"0722fc28-4a05-4613-a509-75125ca373f3","block_type":"box","text":"BlackRock’s clients. We consider it good practice for at least half the directors to be independent and free from","page_number":192,"box":{"x":70,"y":633,"width":793,"height":11}},{"id":"637659ac-c1eb-473a-a5c1-b4ce399ad69d","block_type":"box","text":"conflicts of interest or undue influence.","page_number":192,"box":{"x":69,"y":648,"width":278,"height":9}},{"id":"49e31f8f-78a8-4226-ae47-83e3bf2f8608","block_type":"box","text":"7","page_number":192,"box":{"x":349,"y":648,"width":4,"height":5}},{"id":"8011791e-8f12-490d-a3a7-66e5b624a165","block_type":"box","text":"This also helps to ensure that board committees are composed of a","page_number":192,"box":{"x":358,"y":648,"width":486,"height":11}},{"id":"6f0a14f6-f942-4fc5-a43f-12c9fca378cb","block_type":"box","text":"sufficient number of independent directors. Companies domiciled in markets with a higher threshold for board","page_number":192,"box":{"x":69,"y":663,"width":783,"height":11}},{"id":"0d7fac53-18e9-488c-aeb4-91b53694615d","block_type":"box","text":"independence should meet those local requirements.","page_number":192,"box":{"x":70,"y":678,"width":378,"height":10}},{"id":"eb48a306-de59-4ffe-bb4f-f5d942486253","block_type":"box","text":"We may vote against the election of non-independent directors if the board does not have a sufficient balance of","page_number":192,"box":{"x":101,"y":696,"width":803,"height":11}},{"id":"31c43803-f09a-4cac-8e31-d357384f0681","block_type":"box","text":"independence. We may also vote against the election of the chair of the committee responsible for board","page_number":192,"box":{"x":70,"y":711,"width":748,"height":11}},{"id":"9d3bd5b6-1abd-4f7c-80a4-0f7aa907052d","block_type":"box","text":"composition if this is a perennial issue.","page_number":192,"box":{"x":69,"y":726,"width":280,"height":11}},{"id":"9a64148a-c4da-4a33-ae03-8f9967b63a1f","block_type":"box","text":"6","page_number":192,"box":{"x":69,"y":756,"width":4,"height":4}},{"id":"74729078-5903-4832-b010-3a1ae6c83eed","block_type":"box","text":"See the Corporate Governance Codes of Germany, Japan, and the UK, as well as the corporate governance","page_number":192,"box":{"x":93,"y":755,"width":763,"height":11}},{"id":"cfa36b39-9ad1-41c3-9963-f7a30ff38800","block_type":"box","text":"principles of the US Business Roundtable as examples.","page_number":192,"box":{"x":94,"y":770,"width":394,"height":11}},{"id":"30574b2b-b494-4f59-8fe6-5dd45031ac04","block_type":"box","text":"7","page_number":192,"box":{"x":69,"y":788,"width":4,"height":5}},{"id":"477591ee-408d-4e5a-b82b-d726eceee8f9","block_type":"box","text":"Common impediments to independence may include but are not limited to: current or recent employment at the","page_number":192,"box":{"x":93,"y":788,"width":795,"height":11}},{"id":"c5b8db9d-2376-436e-bda8-53b0396dcc5c","block_type":"box","text":"company or a subsidiary; being, or representing, a shareholder with a substantial shareholding in the company;","page_number":192,"box":{"x":93,"y":803,"width":793,"height":11}},{"id":"dacd269f-aa58-4ec2-a261-4d49e3ab49fe","block_type":"box","text":"interlocking directorships; lengthy tenure, and having any other interest, business, or other relationship which","page_number":192,"box":{"x":94,"y":818,"width":778,"height":11}},{"id":"62817391-a37a-4f7e-aea7-775d4fc9b75d","block_type":"box","text":"could, or could reasonably be perceived to, materially interfere with a director’s ability to act in the best interests","page_number":192,"box":{"x":93,"y":833,"width":807,"height":11}},{"id":"334c050a-2556-42a6-95b6-e8da07c4e0c9","block_type":"box","text":"of the company and shareholders.","page_number":192,"box":{"x":93,"y":848,"width":242,"height":11}},{"id":"2067319a-3b4b-4871-b8af-7bc5111a7313","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":192,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"b1d46523-ed3a-41df-a729-2ee7e3a151a4","block_type":"box","text":"Global Engagement and Voting Guidelines | 6","page_number":192,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"760639a4-3c3e-486a-90be-b09b9d0e78fa","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":192,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"09c3af02-884d-4492-acdf-72cc4840997f","block_type":"box","text":"Independent board leadership","page_number":193,"box":{"x":70,"y":45,"width":212,"height":11}},{"id":"bdd2e54d-67b0-4846-bdc7-f38177b743d2","block_type":"box","text":"Practices across markets differ, as do board structures, but we observe two main approaches to independent","page_number":193,"box":{"x":102,"y":63,"width":784,"height":11}},{"id":"c49f9bd0-18bd-4d17-a866-384d861b8301","block_type":"box","text":"board leadership. One is a non-executive, independent chair of the board who is responsible for leading the board in","page_number":193,"box":{"x":69,"y":78,"width":827,"height":11}},{"id":"76296000-ae6c-4309-b15a-42082df44b79","block_type":"box","text":"the effective exercise of its duties. The other is a lead or senior independent director, who is responsible for","page_number":193,"box":{"x":68,"y":93,"width":774,"height":11}},{"id":"0a7ffa94-e61e-47d1-8ff4-abfa7c8052da","block_type":"box","text":"coordinating with the other non-executive directors and working closely with the executive chair on the board agenda","page_number":193,"box":{"x":69,"y":108,"width":826,"height":11}},{"id":"870e3b59-9a94-46af-937e-391897b47ee3","block_type":"box","text":"and other board procedures. In this case, the executive chair and the lead independent director work together to","page_number":193,"box":{"x":69,"y":123,"width":801,"height":11}},{"id":"5f7d58ba-4600-4e07-a0ab-c16acc20d3a8","block_type":"box","text":"ensure the board is effectively fulfilling its responsibilities. In our view, the independent leader of the board, and/or","page_number":193,"box":{"x":69,"y":138,"width":823,"height":11}},{"id":"42a306e4-c931-4f1d-8467-dda451ae22b7","block_type":"box","text":"the chair of a relevant committee, should be available to investors to discuss governance matters such as CEO","page_number":193,"box":{"x":68,"y":152,"width":793,"height":12}},{"id":"4f305d8d-dc65-4d07-9338-504cc8a0d430","block_type":"box","text":"succession, executive pay, and board performance. We look to boards to explain their board leadership model and","page_number":193,"box":{"x":69,"y":167,"width":816,"height":11}},{"id":"045079d0-f1a5-4a0f-b5cd-bd7f7a365ced","block_type":"box","text":"how it serves the interests of shareholders.","page_number":193,"box":{"x":69,"y":182,"width":311,"height":9}},{"id":"93dbb6ce-1b10-4526-a429-3dc46c68926a","block_type":"box","text":"We may vote against the election of the chair of the committee responsible for board composition if there is not","page_number":193,"box":{"x":101,"y":201,"width":798,"height":11}},{"id":"ada90c3e-65f4-4036-bd23-0e2373ef1fc8","block_type":"box","text":"an identified independent leader of the board with clear responsibilities for board performance. We may vote against","page_number":193,"box":{"x":69,"y":216,"width":831,"height":11}},{"id":"c26b3bf6-b30d-473b-85c6-28741b3de179","block_type":"box","text":"the most senior independent director if the board has a policy of not engaging with shareholders.","page_number":193,"box":{"x":68,"y":231,"width":691,"height":11}},{"id":"8b6c45bc-9b3a-4f6a-9967-19e59c546017","block_type":"box","text":"Tenure and succession","page_number":193,"box":{"x":70,"y":253,"width":162,"height":9}},{"id":"aba28b17-d5c4-4a93-986f-e88fa7e44779","block_type":"box","text":"In our view, it is good practice for boards to establish the length of time a director would normally be expected to","page_number":193,"box":{"x":102,"y":272,"width":803,"height":11}},{"id":"e39124bd-44d3-400e-b74b-e689d9c18928","block_type":"box","text":"serve, in line with market norms where those exist. We find it helpful when companies disclose their approach to","page_number":193,"box":{"x":69,"y":286,"width":805,"height":11}},{"id":"c9e759c8-7c45-4195-ab5b-bed2212c5238","block_type":"box","text":"director tenure particularly around the contributions of directors who have served for longer periods than typically","page_number":193,"box":{"x":69,"y":301,"width":806,"height":12}},{"id":"662a9b89-4479-4ae4-a59e-5f74da42d344","block_type":"box","text":"provided for under local practice. In our experience, long-serving directors could become less independent given their","page_number":193,"box":{"x":70,"y":316,"width":833,"height":12}},{"id":"947bbaf1-02aa-456f-8899-958b225db651","block_type":"box","text":"long-term relationship with management and involvement in past board decisions.","page_number":193,"box":{"x":70,"y":331,"width":581,"height":11}},{"id":"287ed072-a702-42d6-b07f-b4d2faad7236","block_type":"box","text":"Succession planning for board roles helps achieve the appropriate cadence of turnover that balances renewal","page_number":193,"box":{"x":102,"y":350,"width":779,"height":11}},{"id":"d0bd578f-f5c9-4ec4-a49a-ef7bb071eea2","block_type":"box","text":"through the regular introduction of directors with fresh perspectives and expertise with continuity through the","page_number":193,"box":{"x":68,"y":365,"width":777,"height":11}},{"id":"2de5e284-8fcd-44a5-bff6-7a5f4e8f7c44","block_type":"box","text":"retention of directors with long-term knowledge of the board and company.","page_number":193,"box":{"x":69,"y":379,"width":528,"height":12}},{"id":"0b411694-8ef2-46c0-bd35-8355d8c8ff52","block_type":"box","text":"In markets where there is not specific director tenure guidance from regulation or corporate governance best","page_number":193,"box":{"x":102,"y":398,"width":774,"height":11}},{"id":"f426ca28-b05c-4001-a529-03c0444e43e0","block_type":"box","text":"practices, we may vote against the election of the chair of the committee responsible for board composition if a","page_number":193,"box":{"x":70,"y":413,"width":795,"height":11}},{"id":"4b2b426f-06a0-42de-8785-9bd2d92c42d5","block_type":"box","text":"company does not clearly disclose its approach to director tenure and board renewal. We may vote against the","page_number":193,"box":{"x":69,"y":428,"width":788,"height":11}},{"id":"613378c6-ff30-474a-8c66-349d8333aa2b","block_type":"box","text":"election of directors who have served for more years than is typical in markets with specific guidance, where the case","page_number":193,"box":{"x":69,"y":443,"width":839,"height":11}},{"id":"639f131f-d829-475a-9486-2a4a754cc6bc","block_type":"box","text":"for their continued service is not evident.","page_number":193,"box":{"x":68,"y":458,"width":292,"height":9}},{"id":"c901b670-a6a1-4a8d-b566-db38f8f2ad56","block_type":"box","text":"Capacity","page_number":193,"box":{"x":70,"y":480,"width":60,"height":11}},{"id":"cc32a409-9f52-4e28-91b6-56653ce8ba80","block_type":"box","text":"To be effective and engaged, directors need to have the time and energy to commit to the role. In our view, an","page_number":193,"box":{"x":101,"y":499,"width":784,"height":11}},{"id":"03ef662a-1aa4-4416-b996-555a5a18ad42","block_type":"box","text":"effective board will assess the ability of its members to maintain an appropriate focus on board matters and the","page_number":193,"box":{"x":69,"y":513,"width":801,"height":12}},{"id":"c9c8aa7c-257d-4e6d-9923-7221f084d311","block_type":"box","text":"company taking into consideration competing responsibilities. We recognize that board leadership roles vary across","page_number":193,"box":{"x":69,"y":529,"width":823,"height":11}},{"id":"e4aeb22a-508a-4296-a7ab-b26ec0937485","block_type":"box","text":"markets in responsibilities and required time commitment but note that they are generally more intensive than a","page_number":193,"box":{"x":69,"y":543,"width":800,"height":11}},{"id":"866aba28-cf7b-405b-843c-e367618c2dc6","block_type":"box","text":"standard directorship. We will take local norms and practices into consideration when making our voting","page_number":193,"box":{"x":69,"y":558,"width":741,"height":11}},{"id":"4aa5adf2-0d62-4839-8334-8d7aa7f56741","block_type":"box","text":"determinations across markets.","page_number":193,"box":{"x":69,"y":573,"width":226,"height":9}},{"id":"c6cb614a-2326-45fb-bfc7-4b9e25d903c3","block_type":"box","text":"We may vote against the election of directors who do not seem to have sufficient capacity to effectively fulfill","page_number":193,"box":{"x":101,"y":592,"width":776,"height":11}},{"id":"1cd95057-b40d-4afd-88dc-443a978ea482","block_type":"box","text":"their duties to the board and company.","page_number":193,"box":{"x":68,"y":607,"width":275,"height":11}},{"id":"fab40b24-f612-4aac-9624-82c6389dbea3","block_type":"box","text":"Director elections","page_number":193,"box":{"x":70,"y":629,"width":124,"height":9}},{"id":"a782699f-9e5f-42a7-81fd-cb244c89edb0","block_type":"box","text":"Regular election of directors, ideally annually, supports director accountability to shareholders. A classified board","page_number":193,"box":{"x":102,"y":647,"width":805,"height":12}},{"id":"b4075db7-1ee3-42be-8e2f-97d705472c0f","block_type":"box","text":"structure","page_number":193,"box":{"x":69,"y":663,"width":63,"height":8}},{"id":"23391b50-13c1-4d1b-a4c2-813eb4803e61","block_type":"box","text":"8","page_number":193,"box":{"x":133,"y":663,"width":4,"height":4}},{"id":"c2fa56a5-abef-4018-9871-e5a29a9e1997","block_type":"box","text":"may be justified by a company when it needs consistency and stability during a time of transition, or on the","page_number":193,"box":{"x":144,"y":662,"width":761,"height":12}},{"id":"ea6280ed-eeae-47f9-8435-51cc1a119ced","block_type":"box","text":"basis of its business model (","page_number":193,"box":{"x":69,"y":677,"width":206,"height":11}},{"id":"3ef2ea6f-b7c4-4ffc-8a2d-ea9fd713eb90","block_type":"box","text":"e.g.","page_number":193,"box":{"x":277,"y":679,"width":24,"height":10}},{"id":"18ce5bfb-ea1b-4926-85db-f413bfe6b9b8","block_type":"box","text":", a non-operating company such as closed-end funds).","page_number":193,"box":{"x":304,"y":677,"width":382,"height":12}},{"id":"98b0e446-f1ae-4d6b-bf27-f688e24628b2","block_type":"box","text":"Shareholders should have the opportunity to evaluate nominated directors individually rather than in bundled","page_number":193,"box":{"x":102,"y":696,"width":774,"height":11}},{"id":"6b4b3abe-607a-4c11-9ea8-684aabfa64ec","block_type":"box","text":"slates. We look to companies to provide sufficient information on each director standing for election so that","page_number":193,"box":{"x":69,"y":711,"width":770,"height":11}},{"id":"c0d25fbe-875a-46cf-ba39-0229a18fa0c2","block_type":"box","text":"shareholders can assess their capabilities and suitability. We will generally not support the election of directors","page_number":193,"box":{"x":69,"y":726,"width":794,"height":11}},{"id":"cc122a7e-42bc-496f-810d-7d3e2e829035","block_type":"box","text":"whose names and biographical details have not been disclosed sufficiently in advance of the shareholder meeting.","page_number":193,"box":{"x":68,"y":740,"width":818,"height":12}},{"id":"59c31ed2-8a88-4b03-b9b3-f90c01947a1d","block_type":"box","text":"Each director’s appointment should be dependent on receiving a simple majority of the votes cast at the","page_number":193,"box":{"x":102,"y":759,"width":743,"height":11}},{"id":"59e494bf-9de6-4552-be00-896e6a61b8f4","block_type":"box","text":"shareholder meeting. Where a company’s practices differ, we look to the board to provide a detailed explanation as","page_number":193,"box":{"x":69,"y":774,"width":823,"height":11}},{"id":"4587dd3b-1020-488b-a2b7-457471dba06d","block_type":"box","text":"to how its approach best serves investors’ interests.","page_number":193,"box":{"x":68,"y":789,"width":377,"height":11}},{"id":"e3533943-582d-4a5e-8755-95e36c3f74a6","block_type":"box","text":"We may vote for shareholder or management proposals seeking to establish annual election of directors and/or","page_number":193,"box":{"x":101,"y":807,"width":798,"height":12}},{"id":"b6977d57-990f-4cfa-a046-0c61423ef680","block_type":"box","text":"a simple majority vote standard for director elections. We may vote against all the directors standing for election as","page_number":193,"box":{"x":69,"y":822,"width":822,"height":12}},{"id":"b64da662-29c5-4d9e-a302-b42830baf89d","block_type":"box","text":"part of a single slate if we have concerns about the profile or performance of an individual director.","page_number":193,"box":{"x":70,"y":837,"width":706,"height":12}},{"id":"ffb21bcd-8209-40b5-94bc-23bf499093a9","block_type":"box","text":"8","page_number":193,"box":{"x":69,"y":867,"width":4,"height":4}},{"id":"2a7ac7cf-ed35-4e0e-a1db-a0366e44dd22","block_type":"box","text":"A classified board divides the directors into classes with different overlapping terms. As a result, only one class of","page_number":193,"box":{"x":78,"y":866,"width":818,"height":12}},{"id":"dfeaf73b-4ae2-4e6b-9326-37042ebdcf87","block_type":"box","text":"directors stands for election in any one year.","page_number":193,"box":{"x":69,"y":882,"width":315,"height":11}},{"id":"adbd627a-3632-46e4-b557-e9c94eda29a8","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":193,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"e2d8584c-ea31-49fa-aa67-2e07c816b26d","block_type":"box","text":"Global Engagement and Voting Guidelines | 7","page_number":193,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"2fcc8a81-a6ca-4837-9125-a47ee6c1768e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":193,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a53318d2-ee40-4bdb-b338-3166e3e04b8d","block_type":"box","text":"Committees","page_number":194,"box":{"x":70,"y":45,"width":84,"height":9}},{"id":"46e4a903-2c80-48b3-b600-3904df3738b2","block_type":"box","text":"Many boards establish committees to focus on specific responsibilities of the board such as audit and risk,","page_number":194,"box":{"x":102,"y":63,"width":766,"height":11}},{"id":"3e214bf0-ec35-489b-85ca-6b83ac628681","block_type":"box","text":"governance and human capital, and executive compensation, amongst other matters. We do not prescribe to","page_number":194,"box":{"x":68,"y":78,"width":776,"height":11}},{"id":"5dff2c56-5c65-435a-94fc-000d09307b29","block_type":"box","text":"companies what committees they should establish, but we seek to understand the board’s rationale for the","page_number":194,"box":{"x":69,"y":93,"width":766,"height":11}},{"id":"1adcbafb-99a5-48ee-86c1-3948ae930171","block_type":"box","text":"committee structure it determines is appropriate. We note that, in some markets, regulation requires such","page_number":194,"box":{"x":69,"y":108,"width":759,"height":11}},{"id":"0546c2f5-f74a-4b68-9f99-b27a2cc22018","block_type":"box","text":"committees. The responsibilities of each committee should be clear, and the board should ensure that all critical","page_number":194,"box":{"x":69,"y":123,"width":804,"height":11}},{"id":"a745721a-9922-4941-8aa9-a7b8ac1394a3","block_type":"box","text":"matters are assigned either to the full board or to one of the committees. It is helpful to investor understanding when","page_number":194,"box":{"x":69,"y":138,"width":837,"height":11}},{"id":"d21ea667-476a-4a9c-9897-e382a3fa6d22","block_type":"box","text":"the board discloses the structure, membership, proportion of independent directors, and responsibilities of each","page_number":194,"box":{"x":68,"y":152,"width":806,"height":11}},{"id":"0bee3bec-407a-4c1a-a9bd-0008fd06f66d","block_type":"box","text":"committee. The responsibilities we typically see assigned to the three most common committees include:","page_number":194,"box":{"x":69,"y":168,"width":752,"height":11}},{"id":"abc5a7e4-4526-48fb-9d17-d35d09f20cf4","block_type":"box","text":"•","page_number":194,"box":{"x":69,"y":188,"width":6,"height":4}},{"id":"e152bf8f-69ce-46d3-9365-47f545374024","block_type":"box","text":"Audit and risk – oversight responsibilities for the integrity of financial reporting, risk management and","page_number":194,"box":{"x":101,"y":185,"width":722,"height":11}},{"id":"07d886b9-c707-4966-a397-d350dc006ea6","block_type":"box","text":"compliance with legal and regulatory requirements; may also play an oversight role in relation to the internal","page_number":194,"box":{"x":101,"y":200,"width":771,"height":11}},{"id":"8beb4f30-b717-4d62-8744-409133f1845f","block_type":"box","text":"audit function and whistleblowing mechanisms.","page_number":194,"box":{"x":102,"y":214,"width":335,"height":12}},{"id":"1fa01b7d-dd76-4eca-a93b-3da360611dd7","block_type":"box","text":"•","page_number":194,"box":{"x":69,"y":235,"width":6,"height":4}},{"id":"64be316a-0c4a-4bba-85af-77f577a683f3","block_type":"box","text":"Nominating, governance and human capital – oversight responsibilities for corporate governance principles and","page_number":194,"box":{"x":102,"y":232,"width":790,"height":11}},{"id":"79afc4f8-9c58-4745-9a1b-67c24d39a290","block_type":"box","text":"practices of the company, including the periodic review of board performance; responsibility for succession","page_number":194,"box":{"x":102,"y":247,"width":761,"height":11}},{"id":"77216e11-c106-42ec-b78a-b839eaf9efc0","block_type":"box","text":"planning for CEO and key board roles, as well as the director appointment process; may also have oversight","page_number":194,"box":{"x":102,"y":262,"width":769,"height":11}},{"id":"26ac20b2-02b4-4b63-8fb8-8d1e3ddfd934","block_type":"box","text":"responsibilities for human capital management strategies, including corporate culture and purpose.","page_number":194,"box":{"x":102,"y":276,"width":707,"height":12}},{"id":"f29616b0-569a-4a0b-abcf-f1fc11bc30cd","block_type":"box","text":"•","page_number":194,"box":{"x":69,"y":297,"width":6,"height":4}},{"id":"45ff073d-03c0-46d2-a045-a0e99b054946","block_type":"box","text":"Executive compensation – determines the compensation policies and programs for the CEO and other executive","page_number":194,"box":{"x":102,"y":294,"width":796,"height":11}},{"id":"2ec7190b-9c9b-4a5b-aa5f-9083fe226e12","block_type":"box","text":"officers, approves annual awards and payments under the policies; may also have oversight responsibilities for","page_number":194,"box":{"x":102,"y":309,"width":793,"height":11}},{"id":"70227c32-a665-43d0-ab47-764166e46cc6","block_type":"box","text":"firm-wide compensation policies.","page_number":194,"box":{"x":101,"y":323,"width":232,"height":11}},{"id":"10970aa0-d335-47ff-aa7d-bc5463515f90","block_type":"box","text":"We may vote against the election of the chair of the committee or other directors serving as committee members","page_number":194,"box":{"x":101,"y":342,"width":807,"height":11}},{"id":"b11c5dd3-db35-450e-b81a-2988cb3a94bd","block_type":"box","text":"to convey concerns about how a committee has undertaken its responsibilities. We may vote against the election of","page_number":194,"box":{"x":68,"y":357,"width":828,"height":11}},{"id":"9bab68ad-6c86-4ca6-8a7b-a8bcc8de7ab5","block_type":"box","text":"the most senior non-executive director if there is not a clearly disclosed approach to board committees.","page_number":194,"box":{"x":68,"y":372,"width":738,"height":11}},{"id":"4b765608-e5af-43ba-bbbd-4d2a8630d8fd","block_type":"box","text":"Board and director evaluation","page_number":194,"box":{"x":70,"y":395,"width":209,"height":8}},{"id":"6809ebf9-aac1-4856-a313-f75ee1af6db6","block_type":"box","text":"We consider it best practice for companies to conduct an annual review of the performance of the board, the","page_number":194,"box":{"x":101,"y":413,"width":776,"height":11}},{"id":"9ade6abe-2536-45af-9cd7-ed2820f63376","block_type":"box","text":"committees, the chair and individual directors. Periodically, this review could be undertaken by an independent third","page_number":194,"box":{"x":69,"y":428,"width":825,"height":11}},{"id":"7eabbf68-d4ef-4275-8cf6-bc2071de6995","block_type":"box","text":"party able to bring objective perspectives to the board on governance and performance. We encourage companies to","page_number":194,"box":{"x":70,"y":443,"width":831,"height":11}},{"id":"36484af3-91c6-4325-8004-65cd24fc7dcd","block_type":"box","text":"disclose their approach to and the objectives of evaluations, including any changes made to the board’s approach as","page_number":194,"box":{"x":69,"y":458,"width":835,"height":11}},{"id":"9e0fbb53-7e72-4b0c-a527-ad49f7449328","block_type":"box","text":"a result.","page_number":194,"box":{"x":69,"y":473,"width":57,"height":8}},{"id":"8238b79e-5b63-4ccc-a2f4-fdb3090f0e73","block_type":"box","text":"Access to independent advice","page_number":194,"box":{"x":68,"y":495,"width":214,"height":11}},{"id":"5012e36b-792e-478e-90cd-b0629e741418","block_type":"box","text":"To support the directors in effectively fulfilling their duties to the company and shareholders, they should have","page_number":194,"box":{"x":101,"y":513,"width":786,"height":12}},{"id":"0435aab2-d5a2-480c-b2a2-cec18aa96f8c","block_type":"box","text":"access to independent advice. In certain circumstances, it may be helpful to boards to retain independent third","page_number":194,"box":{"x":69,"y":528,"width":793,"height":11}},{"id":"ba4b364e-b487-4d3e-b828-436f58d84333","block_type":"box","text":"parties to advise on critical matters. These might include new industry developments such as emergent and","page_number":194,"box":{"x":70,"y":543,"width":770,"height":11}},{"id":"dc383f86-d415-4170-a9fc-45e0ded45b0a","block_type":"box","text":"disruptive technology, operating events with material consequences for the company’s reputation and/or","page_number":194,"box":{"x":69,"y":558,"width":746,"height":11}},{"id":"0cf0aaa5-11c5-4314-880c-c0dafc025720","block_type":"box","text":"performance, or significant transactions. Board committees may similarly retain third parties to advise them on","page_number":194,"box":{"x":70,"y":573,"width":793,"height":11}},{"id":"78b76cc7-c940-463d-9be5-e55573fd6d13","block_type":"box","text":"specialist matters such as audit, compensation and succession planning.","page_number":194,"box":{"x":69,"y":588,"width":524,"height":11}},{"id":"0c7a8975-3eed-45e4-9c11-5e68d64c0151","block_type":"box","text":"EXECUTIVE COMPENSATION","page_number":194,"box":{"x":385,"y":618,"width":207,"height":9}},{"id":"fdfe62d9-9b2a-4dbc-9ace-1c3a8d5a3694","block_type":"box","text":"Boards play an important role in establishing compensation arrangements that enable the company to recruit,","page_number":194,"box":{"x":102,"y":637,"width":784,"height":11}},{"id":"6cf9c79c-5c5f-48cd-af08-0eeb5845b852","block_type":"box","text":"retain and reward the caliber of executive management necessary to lead and operate the company to deliver","page_number":194,"box":{"x":69,"y":652,"width":782,"height":11}},{"id":"4ed4c94c-86d2-4ca5-9af9-bc5bf7c0c819","block_type":"box","text":"superior financial returns over time. We focus on alignment between variable pay and a company’s financial","page_number":194,"box":{"x":69,"y":666,"width":766,"height":12}},{"id":"f41d8641-611c-4de7-9d24-1b9a907a1a94","block_type":"box","text":"performance.","page_number":194,"box":{"x":70,"y":681,"width":93,"height":11}},{"id":"b316da27-ed5b-4c05-9a83-a202b5817e05","block_type":"box","text":"Generally, executive compensation arrangements have four components: base salary, annual bonus that rewards","page_number":194,"box":{"x":102,"y":700,"width":805,"height":11}},{"id":"86b4fe10-c371-4e71-9b2a-a96d877d6e6f","block_type":"box","text":"performance against short-term metrics, incentives – most often share-based that reward performance against long","page_number":194,"box":{"x":70,"y":715,"width":831,"height":11}},{"id":"b63daff9-d65e-48ff-b97b-299c7a53e1af","block_type":"box","text":"term metrics, and pensions and benefits. In our observation, base salary, pensions and benefits are largely set","page_number":194,"box":{"x":68,"y":730,"width":798,"height":11}},{"id":"189de0ad-2224-494f-a0dc-931a81310d84","block_type":"box","text":"relative to market norms and benchmarks. The annual bonus and share-based incentive, or variable pay plans, tend","page_number":194,"box":{"x":69,"y":745,"width":824,"height":11}},{"id":"11666511-f3ae-42fe-bcad-335f39209232","block_type":"box","text":"to be tailored to the company, its sector and long-term strategy, as well as the individuals the board is seeking to","page_number":194,"box":{"x":68,"y":760,"width":807,"height":11}},{"id":"86efa350-ba81-476f-86c7-0a8f38515ed1","block_type":"box","text":"recruit and motivate.","page_number":194,"box":{"x":69,"y":774,"width":146,"height":9}},{"id":"9105b3ef-d81e-49ca-89b3-6492d58153c6","block_type":"box","text":"Recognizing the unique circumstances of each company, we determine whether to support a company’s","page_number":194,"box":{"x":102,"y":793,"width":739,"height":11}},{"id":"18c29158-1a41-41f5-abf6-62ead74cc408","block_type":"box","text":"approach to executive compensation on a case-by-case basis. We rely on companies providing sufficient quantitative","page_number":194,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"2412f8ef-b3d2-4ec8-94cc-a004349d42d2","block_type":"box","text":"and qualitative information in their disclosures to enable shareholders to understand the compensation","page_number":194,"box":{"x":69,"y":823,"width":737,"height":11}},{"id":"c863b900-c707-4113-b8a1-c7d0257ce6e2","block_type":"box","text":"arrangements and assess the alignment with investors’ interests. Features we look for in compensation","page_number":194,"box":{"x":69,"y":837,"width":741,"height":12}},{"id":"43f909c3-06cb-4b05-b7c7-603db005fd10","block_type":"box","text":"arrangements include:","page_number":194,"box":{"x":69,"y":853,"width":157,"height":11}},{"id":"dd398e76-cf93-4db2-97e7-10b6d6546ba0","block_type":"box","text":"•","page_number":194,"box":{"x":69,"y":873,"width":6,"height":4}},{"id":"822167ba-af7f-4b60-a36e-5edd4914f3a3","block_type":"box","text":"Fixed pay components, including base salary, benefits and prerequisites that are appropriate in the context of","page_number":194,"box":{"x":102,"y":870,"width":783,"height":11}},{"id":"51fe5ff6-7978-432c-a96a-0f656e3dcc2e","block_type":"box","text":"the company’s size, sector and market.","page_number":194,"box":{"x":101,"y":885,"width":280,"height":11}},{"id":"1d605dbb-22dd-4bda-bfc5-61aba9bebde8","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":194,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"74f3ed82-8302-4cf8-a1aa-44b4de2b3b69","block_type":"box","text":"Global Engagement and Voting Guidelines | 8","page_number":194,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"3b9908ec-1d4b-4a52-b462-7bd1f291ad67","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":194,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2cc704a0-1589-413e-b575-c8c5c055fd3d","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":48,"width":6,"height":4}},{"id":"275a4b7f-190e-4b3a-8fec-1db251d967db","block_type":"box","text":"Variable pay subject to performance metrics that are closely linked to the company’s short- and long-term","page_number":195,"box":{"x":101,"y":45,"width":752,"height":11}},{"id":"7f71d312-404c-43c2-a871-59bd21ed8293","block_type":"box","text":"strategic objectives.","page_number":195,"box":{"x":102,"y":60,"width":140,"height":11}},{"id":"3b2f5e06-3a47-484b-90ae-ade1f739623d","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":80,"width":6,"height":4}},{"id":"82db99a0-d83f-4db9-b86a-3efc8cf792f7","block_type":"box","text":"Long-term incentives that motivate sustained performance across a multi-year period.","page_number":195,"box":{"x":102,"y":77,"width":609,"height":11}},{"id":"38e9221d-69da-4c28-b449-6b2ce0fff51a","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":97,"width":6,"height":5}},{"id":"fed2116b-f59d-4608-9899-e591b088c965","block_type":"box","text":"A balance between fixed and variable pay, short- and long-term incentives, and specific instruments (cash and","page_number":195,"box":{"x":101,"y":94,"width":784,"height":12}},{"id":"8ef5b050-ccf5-4a7a-9877-90707548d07f","block_type":"box","text":"equity awards) that promotes pay program durability and seldom necessitates one-off, discretionary payments.","page_number":195,"box":{"x":101,"y":109,"width":790,"height":11}},{"id":"92cd4e2e-49c8-4abb-8291-29491dff45c3","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":129,"width":6,"height":5}},{"id":"4604410c-a375-489c-aa3c-1eb4d0702cf4","block_type":"box","text":"Pay outcomes that are consistent with the returns to investors over the relevant time period.","page_number":195,"box":{"x":102,"y":127,"width":658,"height":11}},{"id":"56898716-328c-4424-a864-eabaa840b596","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":147,"width":6,"height":4}},{"id":"dc69fe4f-6de5-4623-961b-7e0b7250b87d","block_type":"box","text":"Board discretion, if allowed within the variable pay arrangements, to be used sparingly, responsibly and","page_number":195,"box":{"x":102,"y":144,"width":735,"height":11}},{"id":"8ba638ba-3ce8-49b8-bfc4-19ea6919602d","block_type":"box","text":"transparently.","page_number":195,"box":{"x":101,"y":159,"width":95,"height":11}},{"id":"c5e8e215-3416-4d89-bcfb-25aea4d7ebe2","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":179,"width":6,"height":5}},{"id":"cc638f58-8319-438d-a071-ab17bc250db9","block_type":"box","text":"A requirement, that participants in long-term share-based incentive plans build a meaningful shareholding in the","page_number":195,"box":{"x":101,"y":176,"width":798,"height":11}},{"id":"d20c7ebd-b183-4bd8-9800-9be5a1ebc873","block_type":"box","text":"company within a defined time period, as determined by the board or relevant board committee.","page_number":195,"box":{"x":101,"y":191,"width":683,"height":11}},{"id":"cb60254d-2cfd-41b0-9395-b25364ce84f8","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":211,"width":6,"height":5}},{"id":"ba63006d-c271-4d85-b821-56ec041f39a1","block_type":"box","text":"Change of control provisions that appropriately balance the interests of executives and shareholders.","page_number":195,"box":{"x":102,"y":208,"width":720,"height":12}},{"id":"c0b916a9-b67c-4967-8635-673a1781b72d","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":229,"width":6,"height":4}},{"id":"8953b30a-d0b3-4afc-a379-5954ea2f60f9","block_type":"box","text":"Clawback or malus provisions that allow the company to recoup or hold back variable compensation from","page_number":195,"box":{"x":102,"y":226,"width":747,"height":11}},{"id":"929ac2e1-a976-480f-8f66-19b318d62edb","block_type":"box","text":"individuals whose awards were based on fraudulent activities, misstated financial reports, or executive","page_number":195,"box":{"x":102,"y":241,"width":733,"height":11}},{"id":"459ab349-afb2-4720-8e5b-37c3ad54ded1","block_type":"box","text":"misconduct.","page_number":195,"box":{"x":102,"y":256,"width":84,"height":8}},{"id":"0288951b-b335-4be9-8344-c59a04fbc262","block_type":"box","text":"•","page_number":195,"box":{"x":69,"y":276,"width":6,"height":4}},{"id":"822dc0cf-f9f4-411a-af81-d6b998e6e6d6","block_type":"box","text":"Severance arrangements that protect the company’s interests but do not cost more than is contractual.","page_number":195,"box":{"x":102,"y":273,"width":738,"height":11}},{"id":"e175670f-350e-4804-bf5a-afa6180505fe","block_type":"box","text":"We may vote against proposals to introduce new share-based incentives, approve existing policies or plans, or","page_number":195,"box":{"x":101,"y":292,"width":787,"height":11}},{"id":"b75cefa2-1042-4707-aabb-c2e44860242d","block_type":"box","text":"approve the compensation report where we do not see alignment between executive compensation arrangements","page_number":195,"box":{"x":69,"y":307,"width":810,"height":11}},{"id":"917a070f-c9d8-46b7-9766-c891229d56e1","block_type":"box","text":"and our clients’ financial interests. When there is not an alternative, or where there have been multi-year issues with","page_number":195,"box":{"x":69,"y":321,"width":831,"height":11}},{"id":"f9cf99ec-672b-4a05-82e9-6d32c7a440b7","block_type":"box","text":"compensation misaligned with performance, we may vote against the election of the chair of the responsible","page_number":195,"box":{"x":69,"y":336,"width":775,"height":11}},{"id":"62625136-2cba-4914-8e47-65c4f07e18ec","block_type":"box","text":"committee, or the most senior independent director.","page_number":195,"box":{"x":69,"y":351,"width":371,"height":11}},{"id":"f5102541-9fdd-4c2c-92f2-e21b06678d7e","block_type":"box","text":"NON-EXECUTIVE DIRECTOR COMPENSATION","page_number":195,"box":{"x":326,"y":381,"width":325,"height":9}},{"id":"f6d8ed06-28f0-4b6b-82b6-180905db63b9","block_type":"box","text":"Companies generally pay non-executive directors an annual retainer or fee in cash, shares or a combination of","page_number":195,"box":{"x":102,"y":400,"width":785,"height":11}},{"id":"a15d8734-67c2-466d-aadc-e346d43c280d","block_type":"box","text":"the two. Some companies also pay additional fees for service on board committees or in board leadership roles. We","page_number":195,"box":{"x":68,"y":415,"width":831,"height":11}},{"id":"fbf74d6a-9c5a-49bf-b981-1458dbc4ee3f","block_type":"box","text":"do not support non-executive directors participating in performance-based incentive plans as doing so may create a","page_number":195,"box":{"x":69,"y":430,"width":825,"height":11}},{"id":"25fdd895-e9bb-4e89-8101-821c605d2449","block_type":"box","text":"conflict of interest and undermine their independence from management, whom they oversee.","page_number":195,"box":{"x":69,"y":444,"width":668,"height":12}},{"id":"7f51dd2f-54ba-4232-8751-b0b6a092b11c","block_type":"box","text":"CAPITAL STRUCTURE","page_number":195,"box":{"x":411,"y":475,"width":156,"height":8}},{"id":"149bed5e-961e-44d8-a8c8-f9f93f8d9acb","block_type":"box","text":"Boards are responsible for ensuring senior executive leadership has established a capital strategy that achieves","page_number":195,"box":{"x":102,"y":493,"width":800,"height":12}},{"id":"079591ae-d20f-4108-bf75-eb0e977e8b46","block_type":"box","text":"appropriate capital allocation in support of long-term financial resilience.","page_number":195,"box":{"x":69,"y":508,"width":516,"height":11}},{"id":"0a80cd29-be78-40e5-9f9e-021439c434db","block_type":"box","text":"Where company practices diverge from those set out below, we look for companies to disclose why they view","page_number":195,"box":{"x":101,"y":527,"width":776,"height":11}},{"id":"707b5f62-b726-4d5c-8e44-750fa9c979c1","block_type":"box","text":"these practices to be aligned with shareholders’ interests. We may vote against management proposals seeking","page_number":195,"box":{"x":68,"y":542,"width":803,"height":11}},{"id":"3000f1d0-5944-46e4-af38-e653928b3e52","block_type":"box","text":"capital-related authorities, or the election of the most senior independent director, if we have concerns about a","page_number":195,"box":{"x":69,"y":557,"width":790,"height":11}},{"id":"8128eea3-af4c-4ffa-b17e-7c6b66a90537","block_type":"box","text":"company’s approach. We may also support a shareholder proposal seeking conversion of shares with differentiated","page_number":195,"box":{"x":69,"y":571,"width":825,"height":12}},{"id":"4929226f-0f17-4f54-8d67-1a738e448daf","block_type":"box","text":"voting rights to a one-share, one-vote standard.","page_number":195,"box":{"x":68,"y":587,"width":336,"height":11}},{"id":"ab323457-916c-4aeb-85ac-7a56a40b2615","block_type":"box","text":"Share issuance","page_number":195,"box":{"x":68,"y":609,"width":111,"height":9}},{"id":"3e081f1b-d36a-4796-9618-54c4320f44d5","block_type":"box","text":"We assess requests for share issuance for particular transactions on a case-by-case basis. We will generally","page_number":195,"box":{"x":101,"y":627,"width":776,"height":12}},{"id":"ae89f0dc-a2a7-462d-83b2-6be83c1db99d","block_type":"box","text":"support authorities to issue shares when subject to pre-emptive rights, and up to 20% absent pre-emptive rights. We","page_number":195,"box":{"x":69,"y":642,"width":832,"height":12}},{"id":"ba4c809b-1cbf-48b3-9bf8-c575eb06821f","block_type":"box","text":"consider it good practice for companies to seek regular approval of these authorities to allow shareholders to take","page_number":195,"box":{"x":69,"y":657,"width":815,"height":11}},{"id":"94f5ef74-0d10-40c0-9dea-72f9d7ccca38","block_type":"box","text":"into consideration how prior authorities were used, as well as the current circumstances of the company and the","page_number":195,"box":{"x":70,"y":672,"width":802,"height":11}},{"id":"7100425c-bd8f-43a4-ac72-71894f26da95","block_type":"box","text":"market environment.","page_number":195,"box":{"x":69,"y":687,"width":145,"height":9}},{"id":"20e8b55e-7299-4dd0-b6c5-6db78a8b3ba4","block_type":"box","text":"Share buybacks","page_number":195,"box":{"x":68,"y":709,"width":116,"height":11}},{"id":"cb989c42-122a-413d-b6ce-90b8d5ca24e5","block_type":"box","text":"We assess share buyback proposals in the context of the company’s disclosed capital management strategy and","page_number":195,"box":{"x":101,"y":728,"width":806,"height":11}},{"id":"f3cc7072-1c79-4399-b429-e1c5751f601a","block_type":"box","text":"management’s determination of the appropriate balance between investment that supports the long-term growth of","page_number":195,"box":{"x":69,"y":743,"width":823,"height":11}},{"id":"5fdd6fb7-0104-44a6-8f5e-3e73ccee6744","block_type":"box","text":"the company and returning cash to investors. We also take into consideration the effect of a buyback program on the","page_number":195,"box":{"x":68,"y":758,"width":836,"height":11}},{"id":"8621fd03-2e31-4d06-b8f5-69bf951ff8f6","block_type":"box","text":"company’s balance sheet and executive compensation arrangements and the price at which shares are repurchased","page_number":195,"box":{"x":69,"y":773,"width":830,"height":11}},{"id":"1b5cfd31-16d3-4284-a9ae-701b8f7e92aa","block_type":"box","text":"relative to market price. We consider it good practice for companies to seek regular approval of these authorities to","page_number":195,"box":{"x":69,"y":787,"width":822,"height":12}},{"id":"56e1991c-ce1f-49ee-9a38-9d839db8c06a","block_type":"box","text":"allow shareholders to take into consideration how prior authorities were used, as well as the current circumstances","page_number":195,"box":{"x":69,"y":802,"width":823,"height":11}},{"id":"113381e7-5089-4b6f-a1f5-d2d8b52c590e","block_type":"box","text":"of the company and the market environment.","page_number":195,"box":{"x":69,"y":817,"width":319,"height":11}},{"id":"544cb496-a576-44de-8732-a83dab906a0a","block_type":"box","text":"Dividends","page_number":195,"box":{"x":69,"y":840,"width":69,"height":8}},{"id":"0275165e-d2b0-4afc-ab32-eeda5c4cba17","block_type":"box","text":"We generally defer to management and the board on dividend policy but may engage to seek further clarification","page_number":195,"box":{"x":101,"y":858,"width":799,"height":11}},{"id":"51011b9d-7c4f-42f8-b224-405b4bf1aa3a","block_type":"box","text":"where a proposed dividend appears out of line with the company’s financial position.","page_number":195,"box":{"x":68,"y":873,"width":604,"height":11}},{"id":"919fdf66-1c1a-4a9e-bc31-623940efdb30","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":195,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"17d0c737-d888-4a03-a36d-473afc166763","block_type":"box","text":"Global Engagement and Voting Guidelines | 9","page_number":195,"box":{"x":590,"y":942,"width":319,"height":13}},{"id":"1714bf0e-67a9-4e5c-bc69-847e68d59dd5","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":195,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"688c0a55-28f7-4d62-9854-da2ce01b7afe","block_type":"box","text":"Differentiated voting rights","page_number":196,"box":{"x":69,"y":45,"width":196,"height":11}},{"id":"b9f420c7-e4a3-4974-880d-a8fa944caff3","block_type":"box","text":"We prefer companies to adopt a one-share, one-vote structure for share classes with the same economic","page_number":196,"box":{"x":101,"y":63,"width":750,"height":11}},{"id":"0faa5f82-e8b6-407a-8d65-faaa7004ab68","block_type":"box","text":"exposure. Certain companies, particularly those new to public markets, could make the case to adopt a","page_number":196,"box":{"x":69,"y":78,"width":740,"height":11}},{"id":"cbb708fd-f38c-43af-80e6-9ffdca21fc41","block_type":"box","text":"differentiated voting rights structure, or dual class stock. In those situations, we encourage companies to evaluate","page_number":196,"box":{"x":69,"y":93,"width":819,"height":11}},{"id":"4238f5b2-c8ef-455d-ace1-9000623afff8","block_type":"box","text":"and seek approval for their capital structure on a periodic basis.","page_number":196,"box":{"x":69,"y":108,"width":456,"height":11}},{"id":"e3f124cc-3846-4a76-9886-6a9b235719ae","block_type":"box","text":"TRANSACTIONS AND SPECIAL SITUATIONS","page_number":196,"box":{"x":332,"y":138,"width":314,"height":9}},{"id":"4011da7b-459e-452a-85cc-b08007dc88c9","block_type":"box","text":"We monitor developments in transactions and special situations closely and undertake our own detailed","page_number":196,"box":{"x":101,"y":157,"width":743,"height":11}},{"id":"1f777c3f-30af-4b53-9eaf-19b1d67c7c66","block_type":"box","text":"analyses of proposals.","page_number":196,"box":{"x":69,"y":172,"width":159,"height":11}},{"id":"3fb7970e-57d2-424b-a3d3-7cef2ed0292a","block_type":"box","text":"Mergers and acquisitions","page_number":196,"box":{"x":69,"y":194,"width":184,"height":11}},{"id":"51ba1506-c742-4414-bb42-b8f6ca4c250b","block_type":"box","text":"We evaluate proposed mergers or acquisitions by assessing the financial outcome for our clients as minority","page_number":196,"box":{"x":101,"y":213,"width":775,"height":11}},{"id":"0f7d7ce2-fdf4-4871-9ed9-477b34de760e","block_type":"box","text":"shareholders. Management should provide an assessment of the proposed transaction’s strategic and financial","page_number":196,"box":{"x":69,"y":228,"width":797,"height":11}},{"id":"8a580dde-01ee-4565-9948-d221d8c7c2ea","block_type":"box","text":"rationale, along with its execution and operational risks. We review each transaction independently based on these","page_number":196,"box":{"x":69,"y":243,"width":819,"height":11}},{"id":"3c163d16-d245-42de-9dd7-b9a0505fcef2","block_type":"box","text":"factors and the degree to which the transaction enhances shareholder value. The board might consider establishing","page_number":196,"box":{"x":68,"y":257,"width":827,"height":12}},{"id":"e7beb0ea-c30b-4b07-9874-167bd91a04f0","block_type":"box","text":"an ad hoc transaction committee to undertake an independent assessment of a significant merger or acquisition, in","page_number":196,"box":{"x":69,"y":272,"width":827,"height":11}},{"id":"cc6ee522-925c-4a6e-9d24-b8d31f4f3095","block_type":"box","text":"advance of making its recommendation to shareholders.","page_number":196,"box":{"x":69,"y":287,"width":400,"height":11}},{"id":"dc4431db-3b7b-4e5b-b692-bc421749a983","block_type":"box","text":"We will vote against transactions that, in our assessment, do not advance our clients’ financial interests.","page_number":196,"box":{"x":101,"y":306,"width":749,"height":11}},{"id":"f62145f0-ff46-4fb7-8e50-bf9f3a00facf","block_type":"box","text":"Anti-takeover defenses","page_number":196,"box":{"x":68,"y":328,"width":167,"height":9}},{"id":"f7dd9330-5cdb-4f1e-945c-94bccbc71689","block_type":"box","text":"In principle, we do not support companies using anti-takeover defenses, also known as poison pills or","page_number":196,"box":{"x":102,"y":347,"width":727,"height":11}},{"id":"302cd3ce-c669-4999-bedc-158a676d8f6d","block_type":"box","text":"shareholder rights plans, as they can entrench management and boards which have not delivered long-term","page_number":196,"box":{"x":69,"y":362,"width":766,"height":11}},{"id":"df52c85d-8b25-4b98-ab73-d70dc27fe5ea","block_type":"box","text":"shareholder value. By exception, a poison pill may be supported if its purpose is to delay a takeover that is","page_number":196,"box":{"x":69,"y":376,"width":763,"height":12}},{"id":"7975bc9d-3e46-4667-963d-55b8cd8e8d4c","block_type":"box","text":"considered sub-optimal and enable management to seek an improved offer. Similarly, management could make the","page_number":196,"box":{"x":69,"y":391,"width":821,"height":12}},{"id":"a2100a59-c473-4a5f-9ff2-9dac0b85e490","block_type":"box","text":"case to use a poison pill to block a shareholder activism campaign that may be counter to the interests of other","page_number":196,"box":{"x":69,"y":406,"width":799,"height":11}},{"id":"20095a08-a5c8-4ea6-882e-1b07ee6a5473","block_type":"box","text":"investors. Defense mechanisms introduced in these circumstances should be limited in term and threshold, and also","page_number":196,"box":{"x":70,"y":421,"width":836,"height":11}},{"id":"f7edea4f-e9b9-44a0-afbf-defa336b574b","block_type":"box","text":"be closely monitored by the independent members of the board. We consider it good practice for companies to put to","page_number":196,"box":{"x":69,"y":436,"width":835,"height":11}},{"id":"587d93e2-19e1-4649-9ff8-9c6705799b8b","block_type":"box","text":"a shareholder vote any mechanisms expected to be in place for more than 12 months.","page_number":196,"box":{"x":69,"y":451,"width":616,"height":11}},{"id":"abdec252-b481-44cb-a2bd-3e3d902bee03","block_type":"box","text":"Shareholder activism","page_number":196,"box":{"x":68,"y":473,"width":153,"height":9}},{"id":"bf12948d-fb41-4bd8-826a-d5651727be85","block_type":"box","text":"When companies are the focus of an activism campaign, we may communicate with the activist to understand","page_number":196,"box":{"x":101,"y":492,"width":783,"height":11}},{"id":"d72d0e4d-125a-41e6-a678-e3f141d5cd81","block_type":"box","text":"their analysis and objectives, once they have publicly disclosed their campaign. We may also engage with company","page_number":196,"box":{"x":68,"y":507,"width":819,"height":11}},{"id":"5c01476b-a990-4686-b32a-27e29d82e760","block_type":"box","text":"management and possibly board members, especially those the activist may be seeking to replace. In our","page_number":196,"box":{"x":69,"y":522,"width":755,"height":11}},{"id":"83986335-cc53-487e-8744-310ee2f24e69","block_type":"box","text":"assessment, we evaluate various factors, including the concerns raised by the activist and the case for change; the","page_number":196,"box":{"x":69,"y":536,"width":824,"height":12}},{"id":"1e9d7c56-84f2-495a-8865-9f38406cbc24","block_type":"box","text":"quality of both the activist’s and management’s plans; and the qualifications of each party’s candidates. We evaluate","page_number":196,"box":{"x":69,"y":551,"width":839,"height":12}},{"id":"234bcf55-7d7e-44b5-9b07-618bead4734a","block_type":"box","text":"each contested situation by assessing the potential financial outcome for our clients as minority shareholders.","page_number":196,"box":{"x":69,"y":566,"width":788,"height":11}},{"id":"243ea13a-a203-41c2-af2f-88513c507869","block_type":"box","text":"We may support board candidates nominated by a shareholder activist if BAIS, in its independent judgment, or","page_number":196,"box":{"x":101,"y":585,"width":789,"height":11}},{"id":"8a91146a-be0d-48d3-b7c2-9a619fcfcafd","block_type":"box","text":"the relevant portfolio manager has determined that there is a case for change to enhance shareholder value, or if the","page_number":196,"box":{"x":68,"y":600,"width":839,"height":11}},{"id":"8fd1c67b-b617-44d9-98f8-1b3d1b2dfc70","block_type":"box","text":"incumbent board members do not demonstrate the relevant skills and expertise or have a poor track record of","page_number":196,"box":{"x":70,"y":614,"width":786,"height":11}},{"id":"694c6e23-3e56-4c32-9a37-549ec428acfa","block_type":"box","text":"protecting shareholders’ interests.","page_number":196,"box":{"x":70,"y":630,"width":244,"height":11}},{"id":"b8b2b158-78b1-4030-902c-f87399502eb1","block_type":"box","text":"Significant shareholders and related party transactions","page_number":196,"box":{"x":68,"y":652,"width":403,"height":11}},{"id":"4be610fd-aff3-47dd-b542-d1afb4d795a0","block_type":"box","text":"Boards of companies with affiliated shareholders or directors should give equitable consideration to the","page_number":196,"box":{"x":102,"y":670,"width":740,"height":12}},{"id":"96812154-414c-49c5-b2ac-bcd3e9cf242d","block_type":"box","text":"interests of all shareholders when evaluating related party transactions.","page_number":196,"box":{"x":70,"y":685,"width":511,"height":12}},{"id":"9a14937b-314f-47b7-9519-b5070c091ea2","block_type":"box","text":"We consider it good practice for transactions with related parties, such as significant shareholders or companies","page_number":196,"box":{"x":101,"y":704,"width":805,"height":11}},{"id":"92ac27d3-74d1-402f-883e-998a31a080bd","block_type":"box","text":"affiliated with the public company, to be disclosed in detail and conducted on terms similar to what would objectively","page_number":196,"box":{"x":69,"y":719,"width":832,"height":11}},{"id":"8d6109cc-a9c9-4845-80d3-0d39a9ea3c4a","block_type":"box","text":"have been agreed with a non-related party. In our view, such transactions should be reviewed and approved by the","page_number":196,"box":{"x":69,"y":734,"width":812,"height":11}},{"id":"8ca7960d-e17a-4185-a3ab-749bcb5d0cbb","block_type":"box","text":"independent members of the board, and if voted on, only disinterested shareholders should vote.","page_number":196,"box":{"x":70,"y":748,"width":692,"height":12}},{"id":"fc747638-08ee-4e81-b619-f93666453fca","block_type":"box","text":"CORPORATE REPORTING, RISK MANAGEMENT AND AUDIT","page_number":196,"box":{"x":274,"y":779,"width":430,"height":10}},{"id":"0182617d-d418-4546-ae19-0f1b65edaba6","block_type":"box","text":"Investors depend on corporate reporting, both regulatory and voluntary, to understand a company’s strategy, its","page_number":196,"box":{"x":102,"y":798,"width":796,"height":11}},{"id":"7797332a-b868-43ee-bde0-2ade7ff6f4c5","block_type":"box","text":"implementation and financial performance, as well as to assess the quality of management and operations and","page_number":196,"box":{"x":70,"y":812,"width":795,"height":12}},{"id":"d58d6c63-1aa7-4978-9415-b53052c41d65","block_type":"box","text":"potential for the company to create shareholder value over time. We consider it good practice for the board to","page_number":196,"box":{"x":70,"y":827,"width":779,"height":11}},{"id":"9f87fe67-ea28-443a-bc2b-57802f2fb316","block_type":"box","text":"oversee corporate reporting and the policies and procedures underpinning the internal audit function and external","page_number":196,"box":{"x":69,"y":842,"width":809,"height":11}},{"id":"62916cd4-0657-4d66-823d-3ec343738d2e","block_type":"box","text":"audit.","page_number":196,"box":{"x":69,"y":857,"width":38,"height":9}},{"id":"a36ea727-949e-4b60-bc2a-412b59751dac","block_type":"box","text":"A company’s financial reporting should provide decision-useful information for investors, and other stakeholders,","page_number":196,"box":{"x":101,"y":875,"width":803,"height":12}},{"id":"d90b6bf0-1893-463f-b0a7-3a76ce8bb546","block_type":"box","text":"on its financial performance and position. It should provide an accurate and balanced assessment of the risks and","page_number":196,"box":{"x":69,"y":890,"width":819,"height":11}},{"id":"9c77e863-4a47-4359-b74f-feb829565594","block_type":"box","text":"opportunities the company faces in realizing its long-term strategy. Accordingly, the assumptions made by","page_number":196,"box":{"x":69,"y":905,"width":752,"height":12}},{"id":"63be8b16-0f6a-4121-b02e-7abed09fcf60","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":196,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"882e9176-9c2f-42f4-a533-95ba06c58d9c","block_type":"box","text":"Global Engagement and Voting Guidelines | 10","page_number":196,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"eb53c592-6dec-4808-b463-b893c6194395","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":196,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a2623563-a1ec-4a3b-8b6f-9bd7bc62f0e2","block_type":"box","text":"management and reviewed by the auditor in preparing the financial statements should be reasonable and justified.","page_number":197,"box":{"x":69,"y":45,"width":817,"height":11}},{"id":"54db4f6b-adff-4f5e-9132-d5e0925a9faf","block_type":"box","text":"Financial statements should be prepared in accordance with globally developed reporting standards and any","page_number":197,"box":{"x":70,"y":60,"width":771,"height":11}},{"id":"6d612229-8bef-4582-a525-e065f4020e18","block_type":"box","text":"divergence from generally accepted accounting principles should be explained in detail and justified. Accounting","page_number":197,"box":{"x":69,"y":74,"width":796,"height":12}},{"id":"e170f8a2-7789-46c4-a771-0cd495284f62","block_type":"box","text":"restatements should be explained in detail and any remedial actions, and the implications of these, disclosed.","page_number":197,"box":{"x":69,"y":89,"width":788,"height":11}},{"id":"31c4d634-185f-4050-ad03-647b28958a71","block_type":"box","text":"In this context, audit committees play a vital role in a company’s financial reporting system by providing","page_number":197,"box":{"x":102,"y":108,"width":739,"height":11}},{"id":"5b486f18-c464-469d-b679-57c56814121c","block_type":"box","text":"independent oversight of the accounts, material financial and, where appropriate to the jurisdiction, non-financial","page_number":197,"box":{"x":70,"y":123,"width":801,"height":11}},{"id":"2d6fc33e-5381-43d9-80e9-0cd8e255a3c8","block_type":"box","text":"information, internal control frameworks and Enterprise Risk Management systems. In our view, effective audit","page_number":197,"box":{"x":70,"y":138,"width":787,"height":11}},{"id":"716d8267-4ca5-43f8-bcf8-ead23320f8f4","block_type":"box","text":"committee oversight strengthens the quality and reliability of a company’s financial statements and provides an","page_number":197,"box":{"x":69,"y":152,"width":795,"height":12}},{"id":"039d3a93-6d76-4f20-b853-af3505d71e69","block_type":"box","text":"important level of reassurance to shareholders. Audit committees should have a procedure in place for assessing the","page_number":197,"box":{"x":70,"y":167,"width":838,"height":12}},{"id":"98243e57-4cce-4f4f-b966-c85364098235","block_type":"box","text":"independence of the auditor and the quality of the external audit process annually.","page_number":197,"box":{"x":70,"y":182,"width":585,"height":11}},{"id":"1ed07f73-0683-4091-a0e0-1a460bf424cc","block_type":"box","text":"Similarly, we encourage companies to disclose material sustainability-related factors that are integral to how a","page_number":197,"box":{"x":102,"y":201,"width":784,"height":11}},{"id":"93b82c6a-139d-4e9e-85cd-f2dd1f3d0f33","block_type":"box","text":"company manages risks or generates revenue. BAIS finds it helpful to our understanding when companies provide","page_number":197,"box":{"x":69,"y":216,"width":812,"height":11}},{"id":"01deb5d2-87df-4858-8482-c9a4143655d8","block_type":"box","text":"robust, standardized disclosures on their material sustainability-related risks and opportunities. The International","page_number":197,"box":{"x":69,"y":231,"width":806,"height":11}},{"id":"7934173f-e6ab-4dd4-a4fb-9cc55065fb96","block_type":"box","text":"Sustainability Standards Board (ISSB) is one entity working to meet these objectives through its reporting standards,","page_number":197,"box":{"x":69,"y":246,"width":832,"height":11}},{"id":"41f53284-a345-460b-b406-08b7420375da","block_type":"box","text":"which may be helpful to companies in preparing such reports.","page_number":197,"box":{"x":68,"y":260,"width":440,"height":12}},{"id":"5ce94e6c-f32b-4370-9435-023afaa47414","block_type":"box","text":"9","page_number":197,"box":{"x":509,"y":261,"width":5,"height":4}},{"id":"5698e691-fc47-4619-a781-99b272f002a6","block_type":"box","text":"However, we do not mandate any specific disclosure","page_number":197,"box":{"x":520,"y":260,"width":372,"height":11}},{"id":"3a94e2b1-b460-4a4b-a0ab-1b89397d07c3","block_type":"box","text":"framework, and note that companies in certain jurisdictions are subject to mandatory reporting requirements under","page_number":197,"box":{"x":68,"y":275,"width":824,"height":11}},{"id":"7378fa22-dbb3-4bef-b491-1346146cc74e","block_type":"box","text":"standards specified by policy makers.","page_number":197,"box":{"x":69,"y":290,"width":267,"height":11}},{"id":"88a693c5-118e-48be-9bd2-0e9175f68dab","block_type":"box","text":"10","page_number":197,"box":{"x":338,"y":290,"width":9,"height":5}},{"id":"e17df662-0231-491d-803c-bead1bad1dea","block_type":"box","text":"Companies should establish robust risk management and internal control processes appropriate to the","page_number":197,"box":{"x":102,"y":309,"width":735,"height":11}},{"id":"e522a450-2232-4c7c-9b78-8631031caffd","block_type":"box","text":"company’s business, risk tolerance, and regulatory environment. A credible whistleblowing system for employees,","page_number":197,"box":{"x":69,"y":323,"width":810,"height":12}},{"id":"a4a82e68-93e6-4160-b6f3-5dd8342d5d09","block_type":"box","text":"and potentially other stakeholders, can be a useful mechanism for ensuring that senior management and the board","page_number":197,"box":{"x":69,"y":338,"width":822,"height":12}},{"id":"635383ef-db1c-4804-9806-0adce1eae19c","block_type":"box","text":"are aware of potential misconduct or breaches in risk management and internal control processes.","page_number":197,"box":{"x":69,"y":353,"width":704,"height":12}},{"id":"ea2560e6-7cb5-4cbd-9b25-0b8989308623","block_type":"box","text":"A comprehensive audit conducted by an independent audit firm contributes to investor confidence in the quality","page_number":197,"box":{"x":101,"y":372,"width":794,"height":11}},{"id":"b45459b6-c382-4985-81fb-9fbf664443b1","block_type":"box","text":"of corporate reporting. It is helpful when the audit report gives some insight into the scope and focus of the audit, as","page_number":197,"box":{"x":69,"y":387,"width":836,"height":11}},{"id":"c3f56005-8bb3-4591-8c02-7e3eea973d8f","block_type":"box","text":"well as any critical audit matters identified and how these were resolved. A comprehensive and effective audit is time","page_number":197,"box":{"x":68,"y":402,"width":838,"height":11}},{"id":"052353fa-8bf5-4d96-bd69-ca7349a3b8cf","block_type":"box","text":"and resource intensive, and the audit fee should be commensurate. Fees paid to the audit firm for non-audit","page_number":197,"box":{"x":69,"y":416,"width":773,"height":11}},{"id":"dc14a05b-e22b-414b-8013-74ba7694957a","block_type":"box","text":"consulting should not exceed the audit fee to a degree that may prompt concerns about the independence of the","page_number":197,"box":{"x":69,"y":431,"width":804,"height":12}},{"id":"4fcd591c-cbc7-4686-ac12-e34bc1c594c0","block_type":"box","text":"audit. The audit committee should explain its position on auditor tenure and how it confirmed that the auditor","page_number":197,"box":{"x":69,"y":446,"width":780,"height":11}},{"id":"ddb590ac-3320-456d-a4a1-da647faea8e3","block_type":"box","text":"remained independent.","page_number":197,"box":{"x":69,"y":461,"width":163,"height":11}},{"id":"5c3abcb5-b254-4637-940d-a8d93b62293b","block_type":"box","text":"We may vote against the election of the responsible directors if corporate reporting is insufficient or there are","page_number":197,"box":{"x":101,"y":480,"width":783,"height":11}},{"id":"0345a24d-dc74-4485-b5ff-11fe516cc372","block_type":"box","text":"material misstatements in financial reports. In markets where relevant, we may vote against a proposal to approve","page_number":197,"box":{"x":69,"y":495,"width":819,"height":11}},{"id":"8c03a230-3db5-495a-96e1-e582bf17278b","block_type":"box","text":"the financial statements or the discharge of the board when we are concerned about the quality of corporate","page_number":197,"box":{"x":68,"y":509,"width":774,"height":12}},{"id":"5a7a595c-64ba-447d-9958-60a381f6fcce","block_type":"box","text":"reporting or the audit. We may vote against proposals to appoint the auditor, ratify the audit report, or approve the","page_number":197,"box":{"x":69,"y":524,"width":816,"height":12}},{"id":"ee80fbde-8201-4783-bb8e-0c7d5583a07e","block_type":"box","text":"audit fee if we are concerned about the auditor’s independence, the quality of the audit, or there are material","page_number":197,"box":{"x":69,"y":539,"width":779,"height":11}},{"id":"aa8ad148-b9e9-41d5-abf4-f8f36d5b9bac","block_type":"box","text":"misstatements in financial reports and the board has not established reasonable remediation plans.","page_number":197,"box":{"x":69,"y":554,"width":718,"height":11}},{"id":"ca81678e-0f8c-4288-97d8-da7a746cd46f","block_type":"box","text":"SHAREHOLDER RIGHTS AND PROTECTIONS","page_number":197,"box":{"x":329,"y":584,"width":319,"height":9}},{"id":"b7ed0b67-5846-4474-b245-a3342437aed6","block_type":"box","text":"General shareholder meetings","page_number":197,"box":{"x":69,"y":607,"width":217,"height":11}},{"id":"172fd0d3-6d5d-4fa0-9926-2c316af73d68","block_type":"box","text":"Companies normally have an annual general meeting of shareholders at which routine and non-routine items of","page_number":197,"box":{"x":102,"y":625,"width":792,"height":12}},{"id":"2c37b04d-36f7-46b4-9f48-7c2a940a9b09","block_type":"box","text":"business are discussed and voted on by shareholders in attendance or submitting proxy votes. Companies should","page_number":197,"box":{"x":69,"y":640,"width":812,"height":11}},{"id":"2d2bed54-c1c5-45cf-98bb-877d276e3dda","block_type":"box","text":"disclose materials relevant to the shareholder meeting sufficiently in advance so that shareholders can take them","page_number":197,"box":{"x":69,"y":655,"width":813,"height":11}},{"id":"b1745215-ac08-4b23-a4ec-4f1329d5965c","block_type":"box","text":"into consideration in their voting decisions. Many companies offer shareholders the option of participating in the","page_number":197,"box":{"x":70,"y":670,"width":801,"height":11}},{"id":"c0b54b90-b61e-4efe-bf5c-d5075e75a42f","block_type":"box","text":"meeting virtually which, whilst welcome, should not limit the rights of shareholders to participate as they would during","page_number":197,"box":{"x":69,"y":685,"width":841,"height":11}},{"id":"9b060ed7-8205-46ac-a73a-b105293224f4","block_type":"box","text":"an in-person meeting.","page_number":197,"box":{"x":69,"y":700,"width":152,"height":11}},{"id":"3e7be4df-514c-4541-8e6a-1d0d4cdf91b4","block_type":"box","text":"We may vote against directors when materials related to the business of the shareholder meeting are not","page_number":197,"box":{"x":101,"y":718,"width":752,"height":12}},{"id":"0ce33214-eebb-4706-86a1-b009b4f1a04b","block_type":"box","text":"provided in a timely manner or do not provide sufficient information for us to make an informed voting decision. We","page_number":197,"box":{"x":70,"y":733,"width":821,"height":11}},{"id":"8c10781f-9aa0-4d70-a69f-d2c7b7346f55","block_type":"box","text":"may vote against directors if the format of the shareholder meeting does not accommodate reasonable shareholder","page_number":197,"box":{"x":69,"y":748,"width":825,"height":11}},{"id":"6c6c93c2-5a4a-46c9-9182-82bc1dbda59f","block_type":"box","text":"participation.","page_number":197,"box":{"x":70,"y":763,"width":91,"height":11}},{"id":"52db5877-3c04-4c35-bd79-69b642548934","block_type":"box","text":"9","page_number":197,"box":{"x":69,"y":793,"width":4,"height":4}},{"id":"7250478c-8df0-4cd3-b54d-b5db1de9a0ba","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":197,"box":{"x":93,"y":792,"width":744,"height":11}},{"id":"63596ee5-6671-47f9-bb64-6e7428d2b927","block_type":"box","text":"(IFRS) Foundation. Please refer to the IFRS website to learn more about the framework and standards S1","page_number":197,"box":{"x":94,"y":807,"width":748,"height":11}},{"id":"6d84a3e6-5288-49a7-965b-f488ec9ee178","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":197,"box":{"x":94,"y":822,"width":778,"height":12}},{"id":"c788667c-1522-451f-9790-15a2986a5f9c","block_type":"box","text":"Disclosures.”","page_number":197,"box":{"x":94,"y":838,"width":93,"height":8}},{"id":"75367caa-eb25-48c1-9492-40ce4935d580","block_type":"box","text":"10","page_number":197,"box":{"x":69,"y":856,"width":9,"height":4}},{"id":"2b165f1e-0577-41e6-be5d-ce816da629ea","block_type":"box","text":"See, for examples, https://www.ifrs.org/news-and-events/news/2025/06/ifrs-foundation-publishes-jurisdictional- profiles\r\nissbstandards/ and https//financeeceropae/capitalmarketsnionandfinancialmarkets/compan","page_number":197,"box":{"x":93,"y":858,"width":810,"height":11}},{"id":"f3c9343b-c5f6-46f6-bfb2-a6730fb381e0","block_type":"box","text":"See, for examples, https://www.ifrs.org/newsandevents/news/2025/06/ifrsfoundationpublishesjurisdictional\r\nprofiles-issb-standards/ and https://finance.ec.europa.eu/capital-markets-union-and-financial-markets/companyreporting\r\nandaditing/companreporting/corporatesstainabilitreportingen","page_number":197,"box":{"x":94,"y":866,"width":804,"height":12}},{"id":"7f74b5f4-da14-4d7e-9623-ef5493bfd84c","block_type":"box","text":"p/ p//p/p\r\nreporting-and-auditing/company-reporting/corporate-sustainability-reporting_en.","page_number":197,"box":{"x":94,"y":876,"width":564,"height":11}},{"id":"5aff2067-41ec-434b-900d-90be3ba069f6","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":197,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"6858d25e-6b16-4922-84b6-7cb422974326","block_type":"box","text":"Global Engagement and Voting Guidelines | 11","page_number":197,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"74dba1d0-0009-47f6-9078-48b9cd960dc6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":197,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"0d6d1e7e-145c-49b2-8550-e5f735b44c24","block_type":"box","text":"Bylaw amendments","page_number":198,"box":{"x":69,"y":45,"width":141,"height":11}},{"id":"3399abdc-3fc8-4b6a-a2f9-4a07a520f239","block_type":"box","text":"We review bylaw amendments proposed by management on a case-by-case basis and will generally support","page_number":198,"box":{"x":101,"y":64,"width":766,"height":11}},{"id":"e0f9f41d-09d6-41d7-83c6-03e2b9d70075","block_type":"box","text":"those that are aligned with the interests of minority shareholders. Any material changes to the bylaws should be","page_number":198,"box":{"x":68,"y":78,"width":800,"height":11}},{"id":"c1b7fd2d-b187-4de6-9d2a-f2d9b6ca4ab8","block_type":"box","text":"explained in detail and put to a shareholder vote.","page_number":198,"box":{"x":69,"y":93,"width":349,"height":11}},{"id":"ff5248a9-c423-4402-84c6-38709c0e89d1","block_type":"box","text":"We may vote against bylaw amendments that reduce shareholder rights and protections or introduce additional","page_number":198,"box":{"x":101,"y":112,"width":790,"height":11}},{"id":"6ef2057a-01ba-4d55-91f8-a521368b80df","block_type":"box","text":"burdens. We may vote against directors if material changes are made to the bylaws without shareholder approval.","page_number":198,"box":{"x":69,"y":126,"width":810,"height":12}},{"id":"5e49020c-40f3-4774-b662-a027afe01f0c","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":198,"box":{"x":102,"y":145,"width":790,"height":11}},{"id":"979d5121-281a-41ad-893e-ef7f9d2c4fe7","block_type":"box","text":"group, with a meaningful shareholding, the right to call a special meeting of shareholders. The shareholding required","page_number":198,"box":{"x":68,"y":160,"width":831,"height":11}},{"id":"31a8cea4-1795-4fa2-a690-561862979307","block_type":"box","text":"to exercise this right should balance its utility with the cost to the company of holding special meetings.","page_number":198,"box":{"x":68,"y":175,"width":740,"height":11}},{"id":"23275109-b28c-49a6-90e9-ef4856432bcb","block_type":"box","text":"If not provided for in the relevant corporate law, company bylaws should allow shareholders, individually or as a","page_number":198,"box":{"x":102,"y":193,"width":790,"height":12}},{"id":"ea1c861b-7f9e-441d-aa94-a7830ad6ed14","block_type":"box","text":"group, with a meaningful shareholding, the right to nominate directors to the company’s board. The threshold for this","page_number":198,"box":{"x":68,"y":208,"width":834,"height":12}},{"id":"33916391-5c85-442a-8b58-ad6655e77c44","block_type":"box","text":"right should be set so that shareholders can exercise it without being unduly disruptive to the board’s own","page_number":198,"box":{"x":69,"y":223,"width":758,"height":12}},{"id":"40083ada-ef16-42c7-b99f-3317dcce7a25","block_type":"box","text":"nomination process.","page_number":198,"box":{"x":69,"y":238,"width":143,"height":11}},{"id":"164bed86-29f7-4ce9-8ed8-6337ee4ba527","block_type":"box","text":"Whilst we would not use either of these rights ourselves, we see them as important accountability mechanisms.","page_number":198,"box":{"x":101,"y":257,"width":799,"height":11}},{"id":"ce98314e-6cb2-4aa9-8646-e61561e12772","block_type":"box","text":"We may vote for a shareholder proposal seeking the addition of either of these provisions to a company’s bylaws.","page_number":198,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"5fc87792-d2fb-41ad-8e5d-4fcbf91f9251","block_type":"box","text":"Change of domicile","page_number":198,"box":{"x":69,"y":294,"width":139,"height":11}},{"id":"fcbfbab0-4536-4b79-bf3e-64e709dd1f89","block_type":"box","text":"We generally defer to management on proposals to change a company’s domicile as long as the rationale for","page_number":198,"box":{"x":101,"y":313,"width":778,"height":11}},{"id":"996c13e1-9a1e-41fe-a693-505b61745e6b","block_type":"box","text":"doing so is consistent with the company’s long-term strategy and business model and the related costs are","page_number":198,"box":{"x":69,"y":328,"width":766,"height":11}},{"id":"7cbe0b99-96a0-461b-aa7d-670d371ad851","block_type":"box","text":"immaterial.","page_number":198,"box":{"x":70,"y":343,"width":77,"height":8}},{"id":"48f2d3fa-975a-4073-8cb8-d4754cf85641","block_type":"box","text":"We may vote against directors or a proposal to change a company’s domicile where it does not seem aligned","page_number":198,"box":{"x":101,"y":361,"width":777,"height":11}},{"id":"0f4caa66-519c-4e50-a1ae-2f21f7c46774","block_type":"box","text":"with our clients’ financial interests.","page_number":198,"box":{"x":68,"y":376,"width":249,"height":9}},{"id":"184a0297-a0a6-4556-b548-a61d77b9c4c4","block_type":"box","text":"Changes to a company’s purpose or the nature of its business","page_number":198,"box":{"x":69,"y":398,"width":452,"height":11}},{"id":"c4674e4f-0edd-455c-ae71-dae9c48e9742","block_type":"box","text":"Plans to materially change the nature of a company’s business or its purpose should be disclosed and explained","page_number":198,"box":{"x":102,"y":417,"width":803,"height":11}},{"id":"0988523d-57f3-45b2-a83d-3e8e0182fb32","block_type":"box","text":"in the context of long-term strategy and business dynamics. Such changes may significantly alter an investor’s views","page_number":198,"box":{"x":70,"y":432,"width":829,"height":11}},{"id":"fe5d5059-69f0-47e4-a3ce-e47367fc90d7","block_type":"box","text":"on the suitability of a company for their investment strategy or portfolio.","page_number":198,"box":{"x":69,"y":447,"width":511,"height":11}},{"id":"d810ca1e-68fb-4372-b320-255e88b6438f","block_type":"box","text":"Where relevant, we may vote against proposals to change a company’s purpose or the nature of its business if","page_number":198,"box":{"x":101,"y":465,"width":792,"height":12}},{"id":"6725af2f-169e-4ccf-9067-7cd0ac28df2e","block_type":"box","text":"the board has not provided a credible argument for change.","page_number":198,"box":{"x":68,"y":480,"width":424,"height":12}},{"id":"6a12b2d6-22c2-407c-8f77-b65b79b721a0","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":198,"box":{"x":385,"y":510,"width":207,"height":9}},{"id":"18629a43-55fb-4676-9f9e-52e14c190f4e","block_type":"box","text":"Shareholders in many markets, who meet certain eligibility criteria, have the right to submit proposals to the","page_number":198,"box":{"x":102,"y":529,"width":772,"height":11}},{"id":"6a6fba93-8258-4f5c-9f74-fa481a14cff1","block_type":"box","text":"general shareholder meeting asking a company to take a particular course of action subject to the proposal being","page_number":198,"box":{"x":68,"y":544,"width":811,"height":11}},{"id":"35c6b6d6-5e30-4848-8eec-c716e0e63cac","block_type":"box","text":"supported by a majority of votes cast at the meeting. The topics raised can address a range of matters that may be","page_number":198,"box":{"x":69,"y":559,"width":824,"height":11}},{"id":"12f68178-0ca0-46ad-930f-a4fbb0fe044e","block_type":"box","text":"relevant to a company’s business.","page_number":198,"box":{"x":69,"y":574,"width":243,"height":11}},{"id":"b30afdc9-aa14-477d-a435-e294118e2e14","block_type":"box","text":"We vote on these proposals on a case-by-case basis. We assess the relevance of the topic raised to a","page_number":198,"box":{"x":101,"y":592,"width":730,"height":11}},{"id":"5d834f25-693c-4b17-8a28-c78251cc834c","block_type":"box","text":"company’s business and its current approach, whether the actions sought are consistent with shareholders’","page_number":198,"box":{"x":69,"y":607,"width":772,"height":11}},{"id":"4410cb8d-ad63-49e3-b0d8-b71f884b021b","block_type":"box","text":"interests, and what impact the proposal being acted upon might have on financial performance.","page_number":198,"box":{"x":70,"y":622,"width":681,"height":11}},{"id":"b407b858-e9fc-4303-bec1-8c51175d13d9","block_type":"box","text":"Our general approach where we have concerns about a company’s governance, disclosures or performance is to","page_number":198,"box":{"x":102,"y":641,"width":801,"height":11}},{"id":"5aae142b-91a7-4eb4-b810-9a3845bb1c92","block_type":"box","text":"engage to understand the apparent difference in perspective. If we are concerned a company is not acting in","page_number":198,"box":{"x":69,"y":656,"width":774,"height":11}},{"id":"f1714808-acfe-48b5-a737-c1210161f9da","block_type":"box","text":"shareholders’ financial interests, we may vote against the election of directors. We may support a relevant","page_number":198,"box":{"x":69,"y":670,"width":761,"height":12}},{"id":"4e0352d2-310d-41e9-8a3d-ff4c2dcdb27f","block_type":"box","text":"shareholder proposal if doing so is aligned with our clients’ financial interests. We generally do not support","page_number":198,"box":{"x":69,"y":685,"width":764,"height":12}},{"id":"94d12903-0766-478d-bd60-176729446ac6","block_type":"box","text":"shareholder proposals that are legally binding on the company, seek to alter a company’s strategy or direct its","page_number":198,"box":{"x":69,"y":700,"width":785,"height":11}},{"id":"c3c07ce0-25e6-4088-8171-07e1ba4680cf","block_type":"box","text":"operations, or are unrelated to how a company manages risk or generates financial returns.","page_number":198,"box":{"x":69,"y":715,"width":653,"height":11}},{"id":"176d942c-0308-496b-ac80-132e90bb3581","block_type":"box","text":"BlackRock is subject to rules, regulations, agency guidance and contractual agreements that place restrictions","page_number":198,"box":{"x":102,"y":734,"width":788,"height":11}},{"id":"9261bbe2-a636-41ce-a7d1-e08cb003ea21","block_type":"box","text":"and limitations on how we can interact with the companies in which we invest on behalf of our clients, including our","page_number":198,"box":{"x":69,"y":748,"width":822,"height":12}},{"id":"868a89b3-545c-4f7c-ae19-9cab1b60790f","block_type":"box","text":"ability to submit shareholder proposals. We do not submit shareholder proposals but can vote, on behalf of clients","page_number":198,"box":{"x":69,"y":763,"width":817,"height":12}},{"id":"96f2640a-644c-4035-86ed-b2b2af603c55","block_type":"box","text":"who authorize us to do so, on proposals put forth by others.","page_number":198,"box":{"x":68,"y":778,"width":428,"height":11}},{"id":"9391d4f4-fcb4-4f95-bd07-15c1c34401ba","block_type":"box","text":"CORPORATE POLITICAL ACTIVITIES","page_number":198,"box":{"x":359,"y":808,"width":260,"height":9}},{"id":"d2cff1d4-5380-4b6b-8939-724aa4fe356d","block_type":"box","text":"A corporation’s ability to engage in the policy process is subject to rules and regulations set by the jurisdictions","page_number":198,"box":{"x":101,"y":827,"width":795,"height":11}},{"id":"449e8d49-7fee-4a6c-828c-5765939540d2","block_type":"box","text":"in which they engage. When a corporation reports material financial risk related to policy and or regulatory changes,","page_number":198,"box":{"x":70,"y":842,"width":824,"height":11}},{"id":"6105973d-549e-45bf-a44c-54a25eaa1f08","block_type":"box","text":"BAIS may seek to understand how it is addressing the material risk identified. We seek to understand how","page_number":198,"box":{"x":70,"y":857,"width":757,"height":11}},{"id":"77075254-f5fb-4fa1-8ef3-f0d3445eb84d","block_type":"box","text":"companies engage in corporate political activities and ensure that their participation is consistent with their public","page_number":198,"box":{"x":69,"y":872,"width":814,"height":11}},{"id":"779ac16a-62c5-4cce-99b8-fbc556325432","block_type":"box","text":"statements on policy matters material to the company’s long-term strategy. The board should be aware of the","page_number":198,"box":{"x":69,"y":887,"width":780,"height":11}},{"id":"8872911f-e2fd-4af5-bb57-f2f8a3167d85","block_type":"box","text":"approach taken by management on corporate political activities as there can be reputational risks arising from","page_number":198,"box":{"x":69,"y":901,"width":786,"height":12}},{"id":"c55bd400-1c0f-4633-8505-d1555b5bb901","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":198,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"2a2f6780-0d26-47c6-a447-124c517d5e51","block_type":"box","text":"Global Engagement and Voting Guidelines | 12","page_number":198,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"5d443aba-f0ab-41b8-9fac-c7853f54b208","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":198,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2d0fb6ee-c36b-4be0-a6e1-c621728d694f","block_type":"box","text":"inconsistencies between a company’s policy engagement and stated policy positions. Companies should, as a","page_number":199,"box":{"x":70,"y":45,"width":786,"height":11}},{"id":"52aba20a-8e6e-42df-b430-20a1a5aee038","block_type":"box","text":"minimum, meet all regulatory disclosure requirements on political activities. We may engage a company where we","page_number":199,"box":{"x":69,"y":60,"width":812,"height":11}},{"id":"de26059e-8e32-46d4-a342-f1826e13ace9","block_type":"box","text":"would like to better understand its approach to policy engagement, where relevant.","page_number":199,"box":{"x":68,"y":75,"width":590,"height":11}},{"id":"0ea8e6fd-4322-4aaf-8476-f5dfd0eff3e4","block_type":"box","text":"To mitigate the risk of inconsistencies, companies may wish to assess the alignment between their policy","page_number":199,"box":{"x":101,"y":93,"width":753,"height":11}},{"id":"18fdc473-32ee-4f80-b96d-918961d07411","block_type":"box","text":"priorities and the policy positions of the trade associations of which they are active members and any engagements","page_number":199,"box":{"x":70,"y":108,"width":823,"height":11}},{"id":"618cbc25-3675-43ed-9a21-68931fc54a8e","block_type":"box","text":"undertaken by trade associations on behalf of members.","page_number":199,"box":{"x":69,"y":123,"width":404,"height":11}},{"id":"f58b524f-5eef-40d0-a388-e2003a6622cd","block_type":"box","text":"We may support a relevant shareholder proposal, or vote against directors, where a company’s disclosures are","page_number":199,"box":{"x":101,"y":142,"width":793,"height":11}},{"id":"f72f4fca-31ce-4226-aab7-36d0e8e3fe83","block_type":"box","text":"insufficient to address the material risk it has identified.","page_number":199,"box":{"x":70,"y":156,"width":400,"height":9}},{"id":"9ddf8eca-b8c3-4eb0-9d53-a73df1b75040","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":199,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"036c1043-7d04-4e0c-bdd1-6bcbe6d4d2d4","block_type":"box","text":"Global Engagement and Voting Guidelines | 13","page_number":199,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"519e75af-cbaf-4467-a5f8-285f2f982d69","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":199,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1b271388-271c-44a5-b123-0461695f288e","block_type":"box","text":"MATERIAL SUSTAINABILITY- RELATED RISKS AND OPPORTUNITIES","page_number":200,"box":{"x":245,"y":45,"width":489,"height":9}},{"id":"d3eb730e-8aa0-406a-8d8d-7a96b591e3b5","block_type":"box","text":"We seek to understand how companies manage the material risks and opportunities inherent in their business","page_number":200,"box":{"x":101,"y":64,"width":790,"height":11}},{"id":"ed749273-c4ce-4416-8e29-ec5c8fa4d8d0","block_type":"box","text":"operations. In our experience, sustainability-related factors","page_number":200,"box":{"x":69,"y":78,"width":418,"height":12}},{"id":"b534d6da-e5cb-4dcb-8f60-a199f7fb88b0","block_type":"box","text":"11","page_number":200,"box":{"x":488,"y":79,"width":9,"height":4}},{"id":"d5323acf-7f9c-4e28-a29a-44d96aaac68f","block_type":"box","text":"that are relevant to a company’s business or material to","page_number":200,"box":{"x":502,"y":79,"width":402,"height":11}},{"id":"ca99a65c-0720-42ef-855b-c1a939815fe3","block_type":"box","text":"its financial performance, are generally operational considerations embedded into day-to-day management systems.","page_number":200,"box":{"x":70,"y":93,"width":824,"height":12}},{"id":"adf3f3ff-ea0e-477a-a9fa-be5624170271","block_type":"box","text":"Certain sustainability issues may also inform long-term strategic planning, for example, investing in product","page_number":200,"box":{"x":69,"y":108,"width":766,"height":11}},{"id":"6b313601-fe53-46e1-b213-990d8add2d01","block_type":"box","text":"innovation in anticipation of changing consumer demand or adapting supply chains in response to changing","page_number":200,"box":{"x":70,"y":123,"width":764,"height":11}},{"id":"a306c748-4c5e-4fa2-9a4e-f3f20d69d31c","block_type":"box","text":"regulatory requirements.","page_number":200,"box":{"x":69,"y":138,"width":174,"height":11}},{"id":"c8c9cf08-8932-4e76-b32c-204116678b98","block_type":"box","text":"We recognize that the specific sustainability-related factors that may be financially material or business relevant","page_number":200,"box":{"x":101,"y":156,"width":798,"height":12}},{"id":"3a52fceb-0e0f-408d-91b8-91b19d4f6553","block_type":"box","text":"will vary by company business model, sector, key markets, and time horizon, amongst other considerations. From","page_number":200,"box":{"x":68,"y":172,"width":809,"height":11}},{"id":"69d4e6f0-802b-40b1-a2d6-92e11ae55c84","block_type":"box","text":"company disclosures and our engagement, we aim to understand how management is identifying, assessing and","page_number":200,"box":{"x":69,"y":186,"width":803,"height":12}},{"id":"8e075464-eeca-4574-b1d3-9fa4c8cd33ae","block_type":"box","text":"integrating material sustainability-related risks and opportunities into their business decision-making and practices.","page_number":200,"box":{"x":70,"y":201,"width":820,"height":11}},{"id":"1222b55d-fa55-4a87-90d5-28b2bcb777f0","block_type":"box","text":"Doing so helps us undertake a more holistic assessment of a company’s potential financial performance and the","page_number":200,"box":{"x":70,"y":216,"width":808,"height":11}},{"id":"f3a38486-f4ed-4f6b-98c7-69eec73108a9","block_type":"box","text":"likely risk-adjusted returns of an investment.","page_number":200,"box":{"x":70,"y":231,"width":313,"height":11}},{"id":"8314185b-8432-48b2-8d2b-f2bb71159d6e","block_type":"box","text":"We may vote against directors or support a relevant shareholder proposal if we have concerns about how a","page_number":200,"box":{"x":101,"y":249,"width":764,"height":12}},{"id":"48fd47b4-2cc1-4a68-bb9b-8f68b70bad29","block_type":"box","text":"company is managing or disclosing its approach to material sustainability-related risks that may impact financial","page_number":200,"box":{"x":69,"y":264,"width":798,"height":12}},{"id":"7877862c-04dc-485b-9e15-63d350cdf157","block_type":"box","text":"returns.","page_number":200,"box":{"x":69,"y":280,"width":54,"height":8}},{"id":"41393a39-6d40-4962-9ac8-42e069c455c8","block_type":"box","text":"KEY STAKEHOLDERS","page_number":200,"box":{"x":414,"y":309,"width":151,"height":9}},{"id":"99c8db30-3d8a-42ff-bcda-c2a8c741503f","block_type":"box","text":"In our view, companies should understand and take into consideration the interests of the various parties on","page_number":200,"box":{"x":102,"y":328,"width":774,"height":11}},{"id":"898b7b88-10af-4a23-9900-cd5257983008","block_type":"box","text":"whom they depend for their success over time. It is for each company to determine their key stakeholders based on","page_number":200,"box":{"x":68,"y":343,"width":826,"height":11}},{"id":"a6d0e44b-4d94-45b2-9062-c3e91fa403c2","block_type":"box","text":"what is material to their business and long-term financial performance. For many companies, key stakeholders","page_number":200,"box":{"x":68,"y":358,"width":790,"height":11}},{"id":"364ab383-25f2-4676-b113-55c8510a06c4","block_type":"box","text":"include employees, business partners (such as suppliers and distributors), clients and consumers, regulators, and","page_number":200,"box":{"x":70,"y":373,"width":817,"height":11}},{"id":"447165c3-a93e-4b8e-988d-0a0df202685c","block_type":"box","text":"the communities in which they operate. Companies that appropriately balance the interests of investors and other","page_number":200,"box":{"x":68,"y":387,"width":813,"height":12}},{"id":"63035781-91db-4fa3-9ac9-ab2c2d7c221b","block_type":"box","text":"stakeholders are, in our experience, more likely to be financially resilient over time.","page_number":200,"box":{"x":69,"y":402,"width":592,"height":12}},{"id":"36026ec0-d749-4077-a808-e58521f00da8","block_type":"box","text":"CLIMATE AND DECARBONIZATION INVESTMENT OBJECTIVES","page_number":200,"box":{"x":265,"y":432,"width":448,"height":9}},{"id":"9d238e92-861d-4459-b3ba-2c7c61ecf2af","block_type":"box","text":"Certain active BlackRock funds have climate and decarbonization objectives in addition to financial objectives.","page_number":200,"box":{"x":102,"y":451,"width":784,"height":11}},{"id":"6684d749-633b-4497-a4e8-38524529eb0d","block_type":"box","text":"Consistent with the objectives of those investment strategies, our stewardship activity in relation to the holdings in","page_number":200,"box":{"x":69,"y":466,"width":818,"height":11}},{"id":"ecfa82ab-f25b-485e-b724-ff6f57c84941","block_type":"box","text":"those funds differs in some respects from BAIS’ benchmark guidelines, which are described above. Specifically, for","page_number":200,"box":{"x":68,"y":481,"width":823,"height":11}},{"id":"d59e7d5f-df5b-4831-bb5c-13d8f23634a3","block_type":"box","text":"those funds’ holdings, we look to investee companies to demonstrate that they are aligned with a decarbonization","page_number":200,"box":{"x":68,"y":496,"width":814,"height":11}},{"id":"c35cd988-7330-4713-92c3-5626b2c81ff4","block_type":"box","text":"pathway that means their business model would be viable in a low-carbon economy,","page_number":200,"box":{"x":70,"y":511,"width":594,"height":11}},{"id":"f50be7e5-a684-44a3-9f37-d2f194d71474","block_type":"box","text":"i.e.","page_number":200,"box":{"x":672,"y":511,"width":20,"height":9}},{"id":"c6061f72-b233-41ff-bba3-fbb56399edc4","block_type":"box","text":", one in which global","page_number":200,"box":{"x":694,"y":511,"width":144,"height":11}},{"id":"def2aa74-95f9-4d93-b36f-1a6a730389fd","block_type":"box","text":"temperature rise is limited to 1.5°C above pre-industrial levels. In addition, clients in separately managed accounts","page_number":200,"box":{"x":68,"y":526,"width":821,"height":11}},{"id":"d39d85f7-9549-443e-ae00-36883b79d5d1","block_type":"box","text":"may instruct BlackRock to apply these guidelines to their holdings. Both in the case of funds and separately managed","page_number":200,"box":{"x":69,"y":540,"width":839,"height":12}},{"id":"26c1df43-13d3-4617-bdfa-620a174bd3b4","block_type":"box","text":"accounts, these guidelines are only implemented upon explicit selection and approval by the applicable fund board or","page_number":200,"box":{"x":69,"y":555,"width":837,"height":12}},{"id":"0a833770-7fe3-4a7b-a7e4-5e012545be7b","block_type":"box","text":"client.","page_number":200,"box":{"x":69,"y":570,"width":41,"height":9}},{"id":"eb29d0a9-e5c5-4c4c-bb28-1876e67bb8ec","block_type":"box","text":"These decarbonization stewardship guidelines focus on companies which produce goods and services that","page_number":200,"box":{"x":101,"y":589,"width":761,"height":11}},{"id":"0185983f-95e0-4086-8210-bedcfa027603","block_type":"box","text":"contribute to real world decarbonization or have a carbon intensive business model and face outsized impacts from","page_number":200,"box":{"x":69,"y":604,"width":821,"height":11}},{"id":"8d26161f-d166-4bcb-b2a4-0d7d5aa1457b","block_type":"box","text":"the low carbon transition, based on reported and estimated scopes 1, 2, and 3 greenhouse gas emissions. These","page_number":200,"box":{"x":68,"y":619,"width":817,"height":11}},{"id":"0ace11a7-2a05-40b3-916d-5cb45157543b","block_type":"box","text":"companies should provide disclosures that set out their governance, strategy, risk management processes and","page_number":200,"box":{"x":69,"y":634,"width":792,"height":11}},{"id":"ec34b775-7664-4a7d-a56e-69cfbfde9932","block_type":"box","text":"metrics and targets relevant to decarbonization. It is helpful to investors’ understanding when these disclosures","page_number":200,"box":{"x":69,"y":648,"width":799,"height":12}},{"id":"f0cc6f67-e853-4bac-9b7a-780af17018ce","block_type":"box","text":"include an explanation of the decarbonization scenarios a company is using in its near- and long-term planning, as","page_number":200,"box":{"x":70,"y":663,"width":812,"height":11}},{"id":"0599862c-e292-4398-841d-88d2d8ef92b9","block_type":"box","text":"well as its scope 1, scope 2 and material scope 3 greenhouse gas (GHG) emissions and reduction targets for scope","page_number":200,"box":{"x":68,"y":678,"width":831,"height":11}},{"id":"fdd1905d-01bb-4cb4-8153-17b0dd2fab13","block_type":"box","text":"1 and 2 emissions.","page_number":200,"box":{"x":70,"y":693,"width":135,"height":9}},{"id":"48c99100-6f21-4db3-8c8b-714bc2a21af3","block_type":"box","text":"Under these climate- and decarbonization-specific guidelines, BAIS may recommend a vote against directors or","page_number":200,"box":{"x":102,"y":711,"width":788,"height":12}},{"id":"017c4b27-b38f-48ed-abd9-15e45d3a3520","block_type":"box","text":"support for a relevant shareholder proposal if a company does not appear to be adequately acting to address or","page_number":200,"box":{"x":69,"y":726,"width":800,"height":12}},{"id":"b91674b1-c905-4c35-a20d-5b43f4d18d96","block_type":"box","text":"disclosing material climate-related risks, consistent with the parameters set out in these climate-and decarbonization","page_number":200,"box":{"x":69,"y":741,"width":839,"height":12}},{"id":"4a9ae05b-666d-4ab5-a476-9f8b1404092d","block_type":"box","text":"specific guidelines. We may recommend supporting shareholder proposals seeking information relevant to a","page_number":200,"box":{"x":69,"y":756,"width":771,"height":11}},{"id":"2a1f38b3-0449-47f6-b0e4-5cd58b866b40","block_type":"box","text":"11","page_number":200,"box":{"x":69,"y":786,"width":9,"height":4}},{"id":"90606d20-e738-47a8-9ac2-21838ae97d61","block_type":"box","text":"By material sustainability-related risks and opportunities, we mean the drivers of risk and financial value creation in","page_number":200,"box":{"x":84,"y":785,"width":822,"height":11}},{"id":"1a294619-b00c-4c83-a496-8210367605b6","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":200,"box":{"x":69,"y":800,"width":835,"height":12}},{"id":"ea9f2f5e-1a8e-45b9-b841-805033acd521","block_type":"box","text":"issues include, but are not limited to, water use, land use, waste management, and climate risk. Examples of social","page_number":200,"box":{"x":70,"y":816,"width":827,"height":11}},{"id":"d046f752-08fa-4722-87ef-ac5a2c5f401c","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":200,"box":{"x":70,"y":831,"width":826,"height":11}},{"id":"13436368-b56c-4f61-9e79-58a30a6abc18","block_type":"box","text":"operates, customer loyalty, and relationships with regulators. It is our view that well-managed companies will","page_number":200,"box":{"x":69,"y":846,"width":773,"height":11}},{"id":"39fbcb38-8f43-444e-bf7d-5ce2a56e4376","block_type":"box","text":"effectively evaluate and manage material sustainability-related risks and opportunities relevant to their businesses.","page_number":200,"box":{"x":69,"y":861,"width":823,"height":11}},{"id":"4649e80e-2ed6-4cde-9c18-e3bbe2b026f0","block_type":"box","text":"Governance is the core means by which boards can oversee the creation of durable financial value over time.","page_number":200,"box":{"x":69,"y":876,"width":777,"height":11}},{"id":"19454dc7-6c98-45c2-be9b-7d8c2353891c","block_type":"box","text":"Appropriate risk oversight of business-relevant and material sustainability-related considerations is a component of a","page_number":200,"box":{"x":68,"y":891,"width":833,"height":11}},{"id":"2e2cf359-232c-4207-9dfa-e7f8d8183cef","block_type":"box","text":"sound governance framework.","page_number":200,"box":{"x":69,"y":906,"width":212,"height":12}},{"id":"c55adb08-4d75-4ce3-a31c-73b4cea7c118","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":200,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"b9205056-f571-4ed9-8aa8-fdd5a13bb85b","block_type":"box","text":"Global Engagement and Voting Guidelines | 14","page_number":200,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"e85f0888-3191-4938-8968-80502b4d0f2e","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":200,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"fdeb02f0-3be1-4806-9d80-244ead8f8cdb","block_type":"box","text":"company’s stated low-carbon transition strategy or targets that the company does not currently provide and that","page_number":201,"box":{"x":69,"y":45,"width":798,"height":11}},{"id":"b46ebb52-403b-4406-b923-65f5e4e035cb","block_type":"box","text":"would be helpful to investment decision-making. We would not recommend support for shareholder proposals that","page_number":201,"box":{"x":68,"y":59,"width":814,"height":12}},{"id":"cd32e680-3283-4409-a24e-e9c50f36652f","block_type":"box","text":"seek to constrain board or management decision-making or direct specific business or strategic decisions. As under","page_number":201,"box":{"x":69,"y":74,"width":828,"height":12}},{"id":"ff41855a-fe4d-4cc4-8901-c2babaf86d26","block_type":"box","text":"the BAIS benchmark approach, the active portfolio managers are ultimately responsible for voting consistent with","page_number":201,"box":{"x":68,"y":89,"width":807,"height":12}},{"id":"29fe9477-07c6-4dea-a7ff-2e117a42f438","block_type":"box","text":"their investment mandate and fund objectives. For the funds and accounts in scope, voting on matters not related to","page_number":201,"box":{"x":68,"y":104,"width":832,"height":11}},{"id":"124e4055-2a4f-48a9-b5b1-4964f6b38c69","block_type":"box","text":"climate risk and the energy transition is undertaken in line with BAIS’ benchmark guidelines.","page_number":201,"box":{"x":69,"y":119,"width":658,"height":11}},{"id":"9bb4b5ec-b797-433f-96ca-ec2f06619cf4","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":201,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"6d35f822-4aff-4990-b40d-08bdabaa6810","block_type":"box","text":"Global Engagement and Voting Guidelines | 15","page_number":201,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"8688fcd0-eefc-40da-b9af-4b7e2a4f81c6","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":201,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"1fe18f6e-cbc8-40d4-964c-6f18090cbf1e","block_type":"box","text":"APPENDIX 1: HOW WE FULFILL AND OVERSEE OUR INVESTMENT STEWARDSHIP RESPONSIBILITIES FOR NON","page_number":202,"box":{"x":83,"y":45,"width":812,"height":9}},{"id":"f5d4185b-fae0-44d1-98f2-b6d194739629","block_type":"box","text":"INDEX EQUITY INVESTMENT STRATEGIES","page_number":202,"box":{"x":338,"y":60,"width":302,"height":10}},{"id":"821031e1-0b4e-4044-9eab-dc81bb50e22a","block_type":"box","text":"Oversight","page_number":202,"box":{"x":69,"y":83,"width":68,"height":11}},{"id":"5906e08f-185e-489f-869c-33945a80a1cc","block_type":"box","text":"The Global Head of BAIS has primary oversight of and responsibility for the team’s activities, including voting in","page_number":202,"box":{"x":101,"y":101,"width":793,"height":11}},{"id":"15a26c47-8f5c-4c5a-852a-5d6a787ea336","block_type":"box","text":"accordance with the BlackRock Active Investment Stewardship Global Engagement and Voting Guidelines (the","page_number":202,"box":{"x":69,"y":116,"width":778,"height":11}},{"id":"87776123-05d0-4a26-8037-042067f9ebd2","block_type":"box","text":"“Guidelines”), which require the application of professional judgment and consideration of each company’s unique","page_number":202,"box":{"x":70,"y":131,"width":814,"height":11}},{"id":"9cca51a3-d2b0-4d84-890e-24922fe621a0","block_type":"box","text":"circumstances, as well as input from active investors. BAIS is independent from BlackRock Investment Stewardship","page_number":202,"box":{"x":69,"y":146,"width":825,"height":11}},{"id":"af74cf96-4eda-474b-83cf-78dd0ea0008c","block_type":"box","text":"in our engagement and voting activities, reporting lines, and oversight.","page_number":202,"box":{"x":70,"y":161,"width":500,"height":11}},{"id":"6eba7e1a-2913-4827-8e7f-85f900b0a626","block_type":"box","text":"The Stewardship Leaders Group, comprised of senior active investors and other relevant stakeholders in","page_number":202,"box":{"x":101,"y":179,"width":744,"height":11}},{"id":"9cbed992-e70a-4f4f-978a-42524fbb2bdd","block_type":"box","text":"BlackRock’s legal, public policy, sustainability and communications teams, helps shape the firm’s approach to","page_number":202,"box":{"x":70,"y":194,"width":786,"height":11}},{"id":"316c3220-a6a6-4bb5-83ce-d3c52c8393bf","block_type":"box","text":"investment stewardship on non-index equity investment strategies. The Group may advise on and review amendments","page_number":202,"box":{"x":70,"y":209,"width":839,"height":11}},{"id":"8365e341-7630-443e-93f1-f01a09c2a1e0","block_type":"box","text":"to BAIS’ policies and practices. It does not determine voting decisions, which are the responsibility of BAIS and the","page_number":202,"box":{"x":68,"y":224,"width":822,"height":11}},{"id":"cb960421-9b80-4305-9345-fac6b54e643a","block_type":"box","text":"relevant active equity investors.","page_number":202,"box":{"x":69,"y":239,"width":223,"height":11}},{"id":"7b1e8dab-34ac-45e2-9100-e22244ee26ff","block_type":"box","text":"BAIS carries out engagement with companies in collaboration with active investment colleagues, executes proxy","page_number":202,"box":{"x":102,"y":257,"width":797,"height":12}},{"id":"fe06f342-c1f0-4e9f-89d0-e8c6a24fe4f6","block_type":"box","text":"votes, and conducts vote operations (including maintaining records of votes cast) in a manner consistent with the","page_number":202,"box":{"x":68,"y":272,"width":810,"height":11}},{"id":"14354fc5-9294-44c1-810a-fe8425f69417","block_type":"box","text":"Guidelines. BAIS also conducts research on corporate governance issues and participates in industry discussions to","page_number":202,"box":{"x":69,"y":287,"width":832,"height":11}},{"id":"0ca0922c-a872-4ebb-809b-fe8e9b0a95a5","block_type":"box","text":"contribute to and keep abreast of important developments in the corporate governance field. BAIS may use third","page_number":202,"box":{"x":69,"y":302,"width":801,"height":11}},{"id":"79956f02-a551-435f-afaf-dcc3ad42edfd","block_type":"box","text":"parties for certain of the foregoing activities and performs oversight of those third parties (see “Use and oversight of","page_number":202,"box":{"x":70,"y":317,"width":836,"height":11}},{"id":"ea08a017-3b4f-4167-a868-c7d959d297b5","block_type":"box","text":"third-party vote services providers” below).","page_number":202,"box":{"x":68,"y":332,"width":305,"height":11}},{"id":"84a86b8b-0fd7-4bad-a1a0-0c5cd1e01d72","block_type":"box","text":"Voting guidelines and vote execution","page_number":202,"box":{"x":68,"y":354,"width":269,"height":11}},{"id":"9e8539fb-b206-4090-8c75-a272eca37c4d","block_type":"box","text":"BlackRock votes on proxy issues when our clients authorize us to do so. We carefully consider the voting items","page_number":202,"box":{"x":102,"y":373,"width":790,"height":11}},{"id":"160866e7-a9d1-4d94-99b3-270020279071","block_type":"box","text":"submitted to funds and other fiduciary account(s) (Fund or Funds) for which we have voting authority. BlackRock votes","page_number":202,"box":{"x":69,"y":387,"width":838,"height":12}},{"id":"a9405914-d17a-44b8-b654-96ca2c27aadc","block_type":"box","text":"(or refrains from voting) for each Fund for which we have voting authority based on our evaluation of the alignment of","page_number":202,"box":{"x":69,"y":402,"width":831,"height":12}},{"id":"68e65231-f8e9-4065-bf9e-df3b8364f1b1","block_type":"box","text":"the voting items with the long-term economic interests of our clients, in the exercise of our independent business","page_number":202,"box":{"x":68,"y":417,"width":809,"height":12}},{"id":"f1ec5bde-61df-41ad-a449-890512a41f1d","block_type":"box","text":"judgment, and without regard to the relationship of the issuer (or any shareholder proponent or dissident","page_number":202,"box":{"x":67,"y":432,"width":749,"height":11}},{"id":"14e86849-189e-4a48-a07d-9c978ca9e8c0","block_type":"box","text":"shareholder) to the Fund, the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees","page_number":202,"box":{"x":69,"y":447,"width":825,"height":11}},{"id":"54c27564-240d-4ebf-98e9-736691942498","block_type":"box","text":"(see “Conflicts management policies and procedures,” below).","page_number":202,"box":{"x":69,"y":462,"width":445,"height":11}},{"id":"b1d4ac96-bb71-4e5a-8df9-2bd39c4f77b7","block_type":"box","text":"When exercising voting rights, BAIS will normally vote on specific proxy issues in accordance with the Guidelines,","page_number":202,"box":{"x":101,"y":480,"width":803,"height":12}},{"id":"2eb9893f-a63b-4b7c-b3ca-1033619f8906","block_type":"box","text":"although portfolio managers have the right to vote differently on their holdings if they determine doing so is more","page_number":202,"box":{"x":69,"y":495,"width":806,"height":12}},{"id":"26e9764a-81e5-42e6-8a4f-05a815421d76","block_type":"box","text":"aligned with the investment objective and financial interests of clients invested in the funds they manage.","page_number":202,"box":{"x":69,"y":510,"width":752,"height":11}},{"id":"1ceca520-07f2-430b-9507-d2c341527cbf","block_type":"box","text":"The Guidelines are not intended to be exhaustive. BAIS applies the Guidelines on a case-by-case basis, in the","page_number":202,"box":{"x":101,"y":529,"width":782,"height":11}},{"id":"9ad4d292-638b-4106-9b3b-a849a98c29ab","block_type":"box","text":"context of the individual circumstances of each company and the specific issue under review. As such, the Guidelines","page_number":202,"box":{"x":69,"y":544,"width":837,"height":11}},{"id":"3e09f097-6033-4c2a-a734-ebaefef712a1","block_type":"box","text":"do not indicate how BAIS will vote in every instance. Rather, they reflect our view about corporate governance issues","page_number":202,"box":{"x":69,"y":559,"width":830,"height":11}},{"id":"f1b72a04-8b23-4e99-a46b-6ce124f6dd62","block_type":"box","text":"generally, and provide insight into how we typically approach issues that are commonly put to a shareholder vote. The","page_number":202,"box":{"x":68,"y":574,"width":838,"height":11}},{"id":"3a5617df-ddee-4190-9e07-266c0af7ed16","block_type":"box","text":"Guidelines are reviewed annually and updated as necessary to reflect changes in market practices, developments in","page_number":202,"box":{"x":69,"y":588,"width":829,"height":12}},{"id":"faca96af-7570-4c53-bf42-e98131e0b128","block_type":"box","text":"corporate governance and feedback from companies and clients. In this way, BAIS aims to maintain policies that","page_number":202,"box":{"x":69,"y":603,"width":802,"height":11}},{"id":"d90d6e52-583e-4fe6-990f-433e756863f1","block_type":"box","text":"explain our approach to governance practices most aligned with clients’ long-term financial interests.","page_number":202,"box":{"x":69,"y":618,"width":718,"height":11}},{"id":"7debb631-d8f4-4fac-a1d0-01863a744b95","block_type":"box","text":"In certain markets, proxy voting involves logistical issues which can affect BAIS’ ability to vote such proxies, as","page_number":202,"box":{"x":102,"y":637,"width":792,"height":11}},{"id":"f72ead0d-6632-4d1a-b568-9dba4f5f99a9","block_type":"box","text":"well as the desirability of voting such proxies. These issues include, but are not limited to: i) untimely notice of","page_number":202,"box":{"x":68,"y":652,"width":791,"height":11}},{"id":"3a348a16-d9b4-4186-9e3a-71fd86cb6055","block_type":"box","text":"shareholder meetings; ii) restrictions on a foreigner’s ability to exercise votes; iii) requirements to vote proxies in","page_number":202,"box":{"x":69,"y":666,"width":805,"height":12}},{"id":"a960f945-ae5d-4c3c-a9bc-66080c8da071","block_type":"box","text":"person; iv) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":202,"box":{"x":70,"y":682,"width":784,"height":11}},{"id":"2b9f8930-d76b-4519-8c1e-f5b27926d32e","block_type":"box","text":"dispose of their holdings from the point at which votes are submitted until after the shareholder meeting has","page_number":202,"box":{"x":69,"y":696,"width":775,"height":11}},{"id":"e574ba23-f2ac-4d5d-b95a-8e6ef7045c50","block_type":"box","text":"occurred); v) potential difficulties in translating the proxy; vi) regulatory constraints; and vii) requirements to provide","page_number":202,"box":{"x":69,"y":711,"width":824,"height":11}},{"id":"1d77a313-8126-4afd-9bab-21d9bd8da326","block_type":"box","text":"local agents with powers of attorney to facilitate voting instructions. We are not supportive of impediments to the","page_number":202,"box":{"x":70,"y":726,"width":806,"height":11}},{"id":"dd3313cd-28b6-4d19-af3b-1572780d406a","block_type":"box","text":"exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":202,"box":{"x":69,"y":741,"width":704,"height":11}},{"id":"5dd416a1-af61-414c-90a7-d36ec0bc58e5","block_type":"box","text":"BlackRock votes proxies in these situations on a “best-efforts” basis. In addition, BAIS may determine that it is","page_number":202,"box":{"x":102,"y":759,"width":796,"height":12}},{"id":"97ce0856-c4f7-4927-9d20-3ad1aea28b14","block_type":"box","text":"generally in the interests of BlackRock’s clients not to vote proxies (or not to vote our full allocation) if the costs","page_number":202,"box":{"x":68,"y":774,"width":799,"height":12}},{"id":"bc4235d2-a4fb-4fb3-b151-7fe4724d455f","block_type":"box","text":"(including but not limited to opportunity costs associated with share-blocking constraints) associated with exercising","page_number":202,"box":{"x":69,"y":789,"width":829,"height":11}},{"id":"643639f5-e41a-40db-8bf4-4a9167a64451","block_type":"box","text":"a vote are expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":202,"box":{"x":69,"y":804,"width":661,"height":11}},{"id":"e66e4b07-2d42-4d65-b096-f710e30d7f67","block_type":"box","text":"Voting Choice","page_number":202,"box":{"x":68,"y":826,"width":101,"height":12}},{"id":"3fcde717-8c09-4121-8ac6-6a2aaea749f5","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more opportunities to participate in","page_number":202,"box":{"x":102,"y":845,"width":800,"height":11}},{"id":"c86d8db9-9a2a-435b-9cf1-bb3cf0371df6","block_type":"box","text":"the proxy voting process where legally and operationally viable.","page_number":202,"box":{"x":68,"y":860,"width":447,"height":11}},{"id":"e2879676-ab2b-4b8a-bdeb-210c21e58339","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":202,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"fe28fd11-d02e-4a4e-bc55-2a8f6fb851a3","block_type":"box","text":"Global Engagement and Voting Guidelines | 16","page_number":202,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"24f8329b-0ca0-48aa-821c-b46d8dc49315","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":202,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8f54dd07-d93d-44e6-84b0-23f3630523cc","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in certain institutional pooled funds in the U.S.,","page_number":203,"box":{"x":101,"y":45,"width":786,"height":11}},{"id":"967756a0-6cd1-4cf4-8ff8-488074e972ff","block_type":"box","text":"UK, and Canada that use systematic active equity (SAE) and multi-asset strategies. In addition, institutional clients in","page_number":203,"box":{"x":70,"y":60,"width":834,"height":11}},{"id":"e8704429-6e4e-4ce4-bc92-da1575e2a5f8","block_type":"box","text":"separately managed accounts (SMAs) are eligible for BlackRock Voting Choice regardless of their investment","page_number":203,"box":{"x":69,"y":74,"width":774,"height":12}},{"id":"91115072-8a62-42cb-bc5e-2a9ecc8c23c6","block_type":"box","text":"strategies.","page_number":203,"box":{"x":69,"y":89,"width":74,"height":12}},{"id":"44af232f-70cd-4e61-bc3e-be2468edb7d0","block_type":"box","text":"12","page_number":203,"box":{"x":145,"y":90,"width":9,"height":4}},{"id":"9d354251-134d-41e4-9607-387038a8b675","block_type":"box","text":"As a result, the shares attributed to BlackRock in company share registers may be voted differently depending","page_number":203,"box":{"x":101,"y":108,"width":788,"height":11}},{"id":"2f61401d-77d5-4f01-971b-b7f2dcd07a2b","block_type":"box","text":"on whether our clients have authorized BAIS to vote on their behalf, have authorized BlackRock to vote in accordance","page_number":203,"box":{"x":69,"y":123,"width":834,"height":10}},{"id":"41c85f86-d4c7-42a4-b8ce-8ee4fc09bc2c","block_type":"box","text":"with a third-party policy, or have elected to vote shares in accordance with their own policy. Our clients have greater","page_number":203,"box":{"x":68,"y":138,"width":823,"height":11}},{"id":"cd22819e-7e7f-48d1-98d3-956d38b706b9","block_type":"box","text":"control over proxy voting because of Voting Choice.","page_number":203,"box":{"x":69,"y":152,"width":360,"height":12}},{"id":"41dfba4d-7580-438c-ad17-618df87f5e36","block_type":"box","text":"13","page_number":203,"box":{"x":431,"y":153,"width":9,"height":4}},{"id":"ff2132bd-2cc1-4d9a-bbd1-436e7b5039c6","block_type":"box","text":"Use and oversight of third-party vote services providers","page_number":203,"box":{"x":69,"y":175,"width":403,"height":11}},{"id":"89f01ea4-23fd-4082-9451-db15ae098bdc","block_type":"box","text":"Third-party vote services providers – or proxy research firms – provide research and recommendations on proxy","page_number":203,"box":{"x":101,"y":193,"width":794,"height":12}},{"id":"50debde6-a4cf-44a8-ba76-69be859730e5","block_type":"box","text":"votes, as well as voting infrastructure. BlackRock contracts primarily with the vote services provider ISS and","page_number":203,"box":{"x":68,"y":208,"width":770,"height":12}},{"id":"605858cb-3e3b-4dd8-89c2-e207760e9a2d","block_type":"box","text":"leverages its online platform to supply research and support voting, record keeping, and reporting processes. We","page_number":203,"box":{"x":70,"y":223,"width":807,"height":12}},{"id":"eb716014-1ab5-40f1-bc3c-73101ab986f9","block_type":"box","text":"also use Glass Lewis’ research and analysis as an input into our voting process. It is important to note that, although","page_number":203,"box":{"x":69,"y":238,"width":839,"height":11}},{"id":"b06976a0-03c8-466f-95a1-1e25ab69f74e","block_type":"box","text":"proxy research firms provide important data and analysis, BAIS does not rely solely on their information or follow their","page_number":203,"box":{"x":70,"y":253,"width":839,"height":11}},{"id":"73a8b64d-e509-4a8c-b3cb-523492169b63","block_type":"box","text":"voting recommendations. A company’s disclosures, our engagements and voting, investment colleagues’ insights and","page_number":203,"box":{"x":68,"y":268,"width":840,"height":11}},{"id":"8aa03a2e-e9b4-44c4-abbb-67168519cf5e","block_type":"box","text":"our Guidelines are important inputs into our voting decisions on behalf of clients.","page_number":203,"box":{"x":69,"y":283,"width":578,"height":11}},{"id":"b7ef05d9-4628-46eb-b883-47ed556f9f8e","block_type":"box","text":"Given the large universe of actively held companies, BAIS employs the proxy services provider to streamline the","page_number":203,"box":{"x":102,"y":301,"width":795,"height":12}},{"id":"75b666ac-eafe-4084-9493-746196c0876a","block_type":"box","text":"voting process by making voting recommendations based on BAIS’ Guidelines when the items on a shareholder","page_number":203,"box":{"x":68,"y":316,"width":795,"height":12}},{"id":"291cb472-446d-4e63-86a0-4c83bb173bd4","block_type":"box","text":"meeting agenda are routine. Agenda items that are not routine are referred back to BAIS to assess, escalate as","page_number":203,"box":{"x":69,"y":331,"width":799,"height":11}},{"id":"865af0e1-3755-463c-9149-f624ff15c3a2","block_type":"box","text":"necessary to the relevant portfolio managers and vote. BAIS reviews and can override the recommendations of the","page_number":203,"box":{"x":69,"y":346,"width":819,"height":11}},{"id":"759e1fd1-a320-4fe2-a4af-704e8348c6a1","block_type":"box","text":"vote services provider at any time prior to the vote deadline. Both BAIS and the vote services provider actively","page_number":203,"box":{"x":68,"y":361,"width":785,"height":11}},{"id":"6873971f-8221-4f97-bd48-c3bdfd539f0f","block_type":"box","text":"monitor securities filings, research reports, company announcements, and direct communications from companies to","page_number":203,"box":{"x":69,"y":376,"width":837,"height":11}},{"id":"c05df19e-11f9-4249-a1c4-402659fda8fd","block_type":"box","text":"ensure awareness of supplemental disclosures and proxy materials that may require a modification of votes.","page_number":203,"box":{"x":69,"y":390,"width":775,"height":12}},{"id":"191f7904-9f29-4fa8-992a-305376392c57","block_type":"box","text":"BAIS closely monitors the third-party vote services providers we contract with to ensure that they are meeting our","page_number":203,"box":{"x":102,"y":409,"width":807,"height":11}},{"id":"26a8b6c8-0e2b-40b9-b42f-635ad1987064","block_type":"box","text":"service level expectations and have effective policies and procedures in place to manage potential conflicts of","page_number":203,"box":{"x":69,"y":424,"width":788,"height":11}},{"id":"f208ed3b-4472-4eb6-9de2-a6e772b58d81","block_type":"box","text":"interest. Our oversight of service providers includes regular meetings with client service teams, systematic","page_number":203,"box":{"x":70,"y":439,"width":760,"height":11}},{"id":"7f6c16e1-5b62-491c-ac73-65e925f39c21","block_type":"box","text":"monitoring of vendor operations, as well as annual due diligence meetings in accordance with BlackRock’s firmwide","page_number":203,"box":{"x":69,"y":454,"width":824,"height":11}},{"id":"2772e62d-db71-40c8-aef0-6202383bb8ea","block_type":"box","text":"policies.","page_number":203,"box":{"x":70,"y":469,"width":56,"height":11}},{"id":"943e8a18-9b48-408c-b018-3b1965faf24e","block_type":"box","text":"Conflicts management policies and procedures","page_number":203,"box":{"x":69,"y":491,"width":342,"height":11}},{"id":"ecb6b352-9c0e-40c9-9865-55eb84e6cce3","block_type":"box","text":"BlackRock maintains policies and procedures that seek to prevent undue influence on BAIS’ proxy voting activity.","page_number":203,"box":{"x":102,"y":510,"width":801,"height":11}},{"id":"e59b44c9-4a3f-47dd-bc66-640d4a062b20","block_type":"box","text":"Such influence might stem from any relationship between the investee company (or any shareholder proponent or","page_number":203,"box":{"x":69,"y":525,"width":809,"height":11}},{"id":"454e78d7-67e1-42fd-a597-2bedd15ca2ef","block_type":"box","text":"dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or BlackRock employees.","page_number":203,"box":{"x":69,"y":539,"width":831,"height":12}},{"id":"407b7b77-acb1-4fee-a8ee-e4ede298e5b4","block_type":"box","text":"The following are examples of sources of perceived or potential conflicts of interest:","page_number":203,"box":{"x":68,"y":554,"width":598,"height":12}},{"id":"59084426-81e3-48f3-8164-5cdca164433c","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":575,"width":6,"height":4}},{"id":"1ad5d1cb-f62f-4311-b5bc-c6bf3e00856c","block_type":"box","text":"BlackRock clients who may be issuers of securities or proponents of shareholder resolutions","page_number":203,"box":{"x":102,"y":572,"width":660,"height":11}},{"id":"52eb03ed-4c31-467a-bcf4-790aa89c1ea2","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":592,"width":6,"height":5}},{"id":"6eef8b67-c77f-41aa-87b1-40763142c43e","block_type":"box","text":"BlackRock business partners or third parties who may be issuers of securities or proponents of shareholder","page_number":203,"box":{"x":102,"y":589,"width":772,"height":11}},{"id":"41b1f8e6-dfd2-4451-ad60-570926766ef3","block_type":"box","text":"resolutions","page_number":203,"box":{"x":102,"y":604,"width":78,"height":9}},{"id":"9ee02ae6-7c39-4c2e-a078-a7ca0ca05544","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":624,"width":6,"height":5}},{"id":"7ad52948-dfa2-49f0-8b22-6ac3dae60a26","block_type":"box","text":"BlackRock employees who may sit on the boards of public companies held in Funds managed by BlackRock","page_number":203,"box":{"x":102,"y":621,"width":766,"height":12}},{"id":"b12dbdd5-a931-4b1f-b497-f18fa44790d5","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":642,"width":6,"height":4}},{"id":"181c444f-d6bc-43e6-9183-b84659e12c3f","block_type":"box","text":"Significant BlackRock, Inc. investors who may be issuers of securities held in Funds managed by BlackRock","page_number":203,"box":{"x":102,"y":639,"width":767,"height":11}},{"id":"a9b67482-3cb2-4b24-b969-f54218ce4dfc","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":659,"width":6,"height":5}},{"id":"f57b656c-6d94-44ae-8a14-f4a33f0f45e2","block_type":"box","text":"Securities of BlackRock, Inc. or BlackRock investment funds held in Funds managed by BlackRock","page_number":203,"box":{"x":102,"y":656,"width":698,"height":11}},{"id":"2e694270-8f03-41c0-9a65-bdde16b81918","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":676,"width":6,"height":5}},{"id":"a200cf57-9790-495b-b46d-bc9e4a7cbde2","block_type":"box","text":"BlackRock, Inc. board members who serve as senior executives or directors of public companies held in Funds","page_number":203,"box":{"x":102,"y":673,"width":789,"height":11}},{"id":"f7ebc864-4184-4861-9b8b-cf87b39ff04e","block_type":"box","text":"managed by BlackRock","page_number":203,"box":{"x":102,"y":689,"width":163,"height":11}},{"id":"f98a2808-0fed-4806-a5fe-745771f526cc","block_type":"box","text":"BlackRock has taken certain steps to mitigate perceived or potential conflicts including, but not limited to, the","page_number":203,"box":{"x":102,"y":707,"width":785,"height":11}},{"id":"fb7ce61a-67d9-4452-a634-3f6e148d344e","block_type":"box","text":"following:","page_number":203,"box":{"x":68,"y":722,"width":66,"height":11}},{"id":"3e30b645-a75b-4a21-ab58-60c821f8f474","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":742,"width":6,"height":5}},{"id":"7fbc94eb-5591-4134-b853-7d90a8708598","block_type":"box","text":"Adopted these Guidelines which are designed to advance our clients’ long-term financial interests in the","page_number":203,"box":{"x":101,"y":739,"width":741,"height":11}},{"id":"7c5394b4-a58d-4473-9a94-e4b6b6d2881c","block_type":"box","text":"companies in which BlackRock invests on their behalf","page_number":203,"box":{"x":101,"y":754,"width":383,"height":11}},{"id":"7053b4b6-ea22-47f7-91d7-e5ccd3d19ef2","block_type":"box","text":"•","page_number":203,"box":{"x":69,"y":774,"width":6,"height":5}},{"id":"f88dcb1a-f76d-4b81-8bbc-509631cb5993","block_type":"box","text":"Established a reporting structure that separates BAIS from employees with sales, vendor management, or","page_number":203,"box":{"x":102,"y":771,"width":757,"height":12}},{"id":"d48882c4-6ab2-44d1-a12d-f9e043a35e78","block_type":"box","text":"business partnership roles. In addition, BlackRock seeks to ensure that all engagements with corporate issuers,","page_number":203,"box":{"x":102,"y":787,"width":802,"height":11}},{"id":"5f6bcb62-2c0f-45ad-a27a-68383a161acf","block_type":"box","text":"dissident shareholders or shareholder proponents are managed consistently and without regard to BlackRock’s","page_number":203,"box":{"x":101,"y":801,"width":794,"height":11}},{"id":"420afcbc-85b2-4d0c-b94d-41dc3704fac5","block_type":"box","text":"relationship with such parties. Clients or business partners are not given preferential treatment or differentiated","page_number":203,"box":{"x":102,"y":816,"width":801,"height":11}},{"id":"9653278b-12d7-413b-987a-399fb9b6307c","block_type":"box","text":"access. BAIS prioritizes engagements based on factors including, but not limited to, our need for additional","page_number":203,"box":{"x":102,"y":831,"width":762,"height":11}},{"id":"9b9f112d-9dc6-4d7f-9f80-7e90128e64db","block_type":"box","text":"12","page_number":203,"box":{"x":69,"y":861,"width":9,"height":4}},{"id":"ae289c23-81c2-4459-9689-185c38987881","block_type":"box","text":"With Voting Choice, SMAs have the ability to select from a set of voting policies from third-party proxy advisers the","page_number":203,"box":{"x":83,"y":860,"width":814,"height":11}},{"id":"3be1c1a1-0541-4be0-9e2f-675a6b39c69c","block_type":"box","text":"policy that best aligns with their views and preferences. BlackRock can then use its proxy voting infrastructure to cast","page_number":203,"box":{"x":70,"y":875,"width":838,"height":12}},{"id":"80506645-dc86-4e8d-8011-faedbe79a99d","block_type":"box","text":"votes based on the client’s selected voting policy.","page_number":203,"box":{"x":68,"y":891,"width":354,"height":11}},{"id":"cd4e69d9-8161-4d8f-8c8e-18267ecb5123","block_type":"box","text":"13","page_number":203,"box":{"x":69,"y":908,"width":9,"height":5}},{"id":"5f679b9c-b801-401c-b97f-1c11c0d54666","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":203,"box":{"x":84,"y":908,"width":820,"height":11}},{"id":"4f8bf2d8-5469-45d0-b2d2-6db7dc6e0be6","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":203,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"c476923f-5f7d-473c-95bc-6f0be4c6e417","block_type":"box","text":"Global Engagement and Voting Guidelines | 17","page_number":203,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"b9072c88-8127-4d6d-84a5-1a6fbf4f8dda","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":203,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"a724e061-49ae-4675-9f6f-513f3b2568e9","block_type":"box","text":"information to make a more informed voting decision or to better understand a company’s perspectives on","page_number":204,"box":{"x":102,"y":45,"width":759,"height":11}},{"id":"108cf7bf-675e-4868-9e0e-0a628591a5c6","block_type":"box","text":"financially material risks and opportunities. Within the normal course of business, BAIS may engage directly with","page_number":204,"box":{"x":101,"y":59,"width":802,"height":12}},{"id":"6ff87445-6739-42dd-bd1d-ac03d565329e","block_type":"box","text":"BlackRock clients, business partners and/or third parties, and/or with employees with sales, vendor","page_number":204,"box":{"x":102,"y":75,"width":719,"height":11}},{"id":"9c8bc4b5-20bc-447d-b416-99d1f5b65bc6","block_type":"box","text":"management, or business partnership roles, in discussions regarding our approach to stewardship, general","page_number":204,"box":{"x":102,"y":89,"width":766,"height":12}},{"id":"84d011e7-4463-4ccd-afd7-484a72959710","block_type":"box","text":"corporate governance matters, client reporting needs, and/or to otherwise ensure that proxy-related client","page_number":204,"box":{"x":101,"y":104,"width":758,"height":11}},{"id":"dd989a98-bdd6-4199-b0b4-9f53f2542a5e","block_type":"box","text":"service levels are met","page_number":204,"box":{"x":102,"y":119,"width":157,"height":9}},{"id":"40bbce1b-beb2-4269-a7ef-373d83875491","block_type":"box","text":"•","page_number":204,"box":{"x":69,"y":139,"width":6,"height":5}},{"id":"78726b28-0a17-452c-8b79-54dc2a312c10","block_type":"box","text":"Determined to engage, in certain instances, an independent third-party voting service provider to make proxy","page_number":204,"box":{"x":102,"y":137,"width":777,"height":11}},{"id":"5f756ce0-1d94-4c1e-bd81-ba3f4cbeeb51","block_type":"box","text":"voting recommendations as a further safeguard to avoid perceived or potential conflicts of interest, to satisfy","page_number":204,"box":{"x":101,"y":151,"width":779,"height":11}},{"id":"03f4a9aa-0541-448b-9d41-a5a04c6122b1","block_type":"box","text":"regulatory requirements, or as may be otherwise required by applicable law. In such circumstances, the","page_number":204,"box":{"x":102,"y":166,"width":738,"height":11}},{"id":"3acdbe81-e4a8-4f64-9370-2e647b0e8c72","block_type":"box","text":"independent third-party voting service provider provides BlackRock with recommendations, in accordance with","page_number":204,"box":{"x":102,"y":181,"width":782,"height":11}},{"id":"6bec57a3-5220-4dbf-8f48-276f601c4d1d","block_type":"box","text":"the Guidelines, as to how to vote such proxies. BlackRock uses an independent third-party voting service","page_number":204,"box":{"x":101,"y":196,"width":749,"height":11}},{"id":"1ddd2735-2192-4177-b756-21514e26aaaa","block_type":"box","text":"provider to make proxy voting recommendations for shares of BlackRock, Inc. and companies affiliated with","page_number":204,"box":{"x":102,"y":211,"width":765,"height":11}},{"id":"48691ba5-5548-40b9-92a6-ce762929d036","block_type":"box","text":"BlackRock, Inc. BlackRock may also use an independent third-party voting service provider to make proxy voting","page_number":204,"box":{"x":102,"y":226,"width":797,"height":11}},{"id":"dc5572db-b264-40cf-8c4f-9a75ea3458a3","block_type":"box","text":"recommendations for certain perceived or potential conflicts of interest, including:","page_number":204,"box":{"x":102,"y":240,"width":584,"height":12}},{"id":"98631979-0030-4d13-8560-5a97db0a068c","block_type":"box","text":"•","page_number":204,"box":{"x":102,"y":261,"width":6,"height":4}},{"id":"d36f6266-f81b-4015-a38d-4a8d11ce77f3","block_type":"box","text":"public companies that include BlackRock employees on their boards of directors","page_number":204,"box":{"x":135,"y":258,"width":570,"height":11}},{"id":"5b2ae3d1-c0ec-4885-8ad0-c5accc223c6c","block_type":"box","text":"•","page_number":204,"box":{"x":102,"y":278,"width":6,"height":5}},{"id":"fa108807-6521-41ff-91c8-52aff9960fe2","block_type":"box","text":"public companies of which a BlackRock, Inc. board member serves as a senior executive or a member of","page_number":204,"box":{"x":135,"y":275,"width":748,"height":11}},{"id":"1b95cd3d-d9c1-4238-9d19-5b9f208385f0","block_type":"box","text":"the board of directors","page_number":204,"box":{"x":134,"y":290,"width":153,"height":9}},{"id":"2ad07b0b-00f5-44db-8fe6-49704924371b","block_type":"box","text":"•","page_number":204,"box":{"x":102,"y":310,"width":6,"height":5}},{"id":"3d5ae9fd-5df7-48c9-9ad7-6c3a9ff6644d","block_type":"box","text":"public companies that are the subject of certain transactions involving BlackRock Funds","page_number":204,"box":{"x":135,"y":307,"width":626,"height":12}},{"id":"b6a36201-4a84-4275-ac78-733739d235a3","block_type":"box","text":"•","page_number":204,"box":{"x":102,"y":328,"width":6,"height":4}},{"id":"0a0e8750-ea8f-4522-9948-523b8107a844","block_type":"box","text":"public companies that are joint venture partners with BlackRock, and","page_number":204,"box":{"x":135,"y":325,"width":490,"height":11}},{"id":"345b1134-ba8f-4566-a294-817d036e65d7","block_type":"box","text":"•","page_number":204,"box":{"x":102,"y":345,"width":6,"height":5}},{"id":"603eab88-53c4-41ae-9e7d-d3ee7b651ff8","block_type":"box","text":"public companies when legal or regulatory requirements compel BlackRock to use an independent third","page_number":204,"box":{"x":135,"y":342,"width":740,"height":11}},{"id":"ffa29c05-f1b0-4b47-94c5-47292a4b6067","block_type":"box","text":"party voting service provider","page_number":204,"box":{"x":135,"y":357,"width":200,"height":11}},{"id":"f3a9c2d3-3c7b-4981-968a-07bc2e6d5975","block_type":"box","text":"In selecting an independent third-party voting service provider, we assess several characteristics, including but","page_number":204,"box":{"x":102,"y":376,"width":790,"height":11}},{"id":"0b3c6ce7-590e-4a6f-b686-1f77f5e3d7f3","block_type":"box","text":"not limited to: independence, an ability to analyze proxy issues and make recommendations in the economic interest","page_number":204,"box":{"x":69,"y":391,"width":834,"height":11}},{"id":"44e4d26a-d64d-45a6-8667-fc2d847abfd3","block_type":"box","text":"of our clients in accordance with the Guidelines, reputation for reliability and integrity, and operational capacity to","page_number":204,"box":{"x":69,"y":405,"width":806,"height":12}},{"id":"99b0d3b3-d229-41e2-bda3-ad9edc4b1a2c","block_type":"box","text":"accurately deliver the assigned recommendations in a timely manner. We may engage more than one independent","page_number":204,"box":{"x":69,"y":420,"width":813,"height":12}},{"id":"230b5d6c-c09b-400d-9d49-c57f7247125c","block_type":"box","text":"third-party voting service provider, in part to mitigate potential or perceived conflicts of interest at a single voting","page_number":204,"box":{"x":68,"y":435,"width":804,"height":11}},{"id":"487b9051-3a19-4cb5-a993-dce2afba3368","block_type":"box","text":"service provider.","page_number":204,"box":{"x":69,"y":450,"width":115,"height":11}},{"id":"16b182a2-b049-491f-99d8-e5475d37905b","block_type":"box","text":"Securities lending","page_number":204,"box":{"x":68,"y":473,"width":131,"height":11}},{"id":"57fb3627-35d8-4337-8ef8-fa467ef389f3","block_type":"box","text":"If authorized, BlackRock acts as a securities lending agent on behalf of its clients. Securities lending is a well","page_number":204,"box":{"x":102,"y":491,"width":785,"height":11}},{"id":"edc073cd-8a65-412c-a0a1-a1d3e04e8963","block_type":"box","text":"regulated practice that contributes to capital market efficiency. It also enables funds to generate additional returns","page_number":204,"box":{"x":69,"y":506,"width":819,"height":11}},{"id":"13364dee-7960-4d3d-a334-b1cee0bf2f2b","block_type":"box","text":"which in turn may allow fund providers to offset fund expenses.","page_number":204,"box":{"x":68,"y":521,"width":452,"height":11}},{"id":"68235fae-aac8-41c2-9e81-5b2d7edf9027","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":204,"box":{"x":101,"y":540,"width":779,"height":11}},{"id":"8862b167-6273-49b4-b556-9d880b7016d5","block_type":"box","text":"loan and may determine to recall them to allow for voting. This decision is guided by our fiduciary duty as an asset","page_number":204,"box":{"x":70,"y":554,"width":816,"height":12}},{"id":"080d3c16-ed92-4bac-9171-d3bbbb37e363","block_type":"box","text":"manager to our clients in helping them achieve their investment goals. While this has occurred in a limited number of","page_number":204,"box":{"x":69,"y":569,"width":836,"height":11}},{"id":"99753fc4-0c0e-4e3e-944d-cb05647f065b","block_type":"box","text":"cases, the decision to recall securities on loan as part of BlackRock’s securities lending program in order to vote is","page_number":204,"box":{"x":69,"y":584,"width":824,"height":11}},{"id":"43738b86-ee1b-4542-89ef-fb7e39b4c6c8","block_type":"box","text":"based on an evaluation of various factors that include, but are not limited to, assessing potential securities lending","page_number":204,"box":{"x":69,"y":599,"width":823,"height":11}},{"id":"c04b0196-42cb-49e4-8d02-78a811227145","block_type":"box","text":"revenue alongside the potential long-term financial value to clients of voting those securities (based on the","page_number":204,"box":{"x":69,"y":614,"width":761,"height":11}},{"id":"e862cd79-ff4a-42c5-9618-e677422b00ce","block_type":"box","text":"information available at the time of recall consideration). BAIS works with active portfolio managers, as well as","page_number":204,"box":{"x":70,"y":629,"width":789,"height":11}},{"id":"2943e060-97ca-4d21-ad8f-b92856cce421","block_type":"box","text":"colleagues in the Securities Lending team, to evaluate the costs and benefits to clients of recalling shares on loan.","page_number":204,"box":{"x":69,"y":643,"width":821,"height":12}},{"id":"6f45fc44-c04d-41a5-949f-12659aec44b2","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":204,"box":{"x":102,"y":662,"width":770,"height":11}},{"id":"72f87944-1401-48e9-8c0b-8a9e21bfaa7e","block_type":"box","text":"shares would not warrant recalling securities on loan. However, in certain instances, BlackRock may determine, in","page_number":204,"box":{"x":69,"y":677,"width":813,"height":11}},{"id":"c8e8baf7-04d0-4dd7-a3f3-cb47ff7ce18c","block_type":"box","text":"our independent business judgment as a fiduciary, that the value of voting outweighs the securities lending revenue","page_number":204,"box":{"x":69,"y":692,"width":825,"height":11}},{"id":"e31fa40a-0a3f-4e02-b3de-2e802a2183bb","block_type":"box","text":"loss to clients and would therefore recall shares to be voted in those instances.","page_number":204,"box":{"x":70,"y":707,"width":568,"height":9}},{"id":"151d2f82-df41-4dd4-b841-53f08f005ce0","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":204,"box":{"x":102,"y":725,"width":790,"height":12}},{"id":"42369ffb-2633-401e-b151-43056ee5feec","block_type":"box","text":"and may modify it as necessary.","page_number":204,"box":{"x":69,"y":740,"width":228,"height":11}},{"id":"cb9c4df4-4525-4ed4-b6fc-7d2911792b2d","block_type":"box","text":"Reporting and vote transparency","page_number":204,"box":{"x":69,"y":763,"width":239,"height":11}},{"id":"d7c9f6f7-23dc-42ad-8d5b-8b2c3cd3d63a","block_type":"box","text":"BAIS is committed to transparency in the stewardship work we do on behalf of clients. We inform clients about","page_number":204,"box":{"x":102,"y":781,"width":788,"height":11}},{"id":"20a97a05-e2b9-4c47-9578-a791ff7d71e2","block_type":"box","text":"our engagement and voting policies and activities through direct communication and disclosure on our website.","page_number":204,"box":{"x":69,"y":796,"width":791,"height":11}},{"id":"c0df51c1-0377-4944-84a9-69060b0bbe46","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":204,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"e9d57b8d-589e-4485-8e27-afaa56aa1246","block_type":"box","text":"Global Engagement and Voting Guidelines | 18","page_number":204,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"78198573-8f52-4358-a4f4-0dd904699dc2","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":204,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5ce1b68d-5963-430d-9ac3-2ca89b6cd129","block_type":"box","text":"Want to know more?","page_number":205,"box":{"x":68,"y":762,"width":152,"height":8}},{"id":"9cccbdf9-13f2-4089-997d-42ed83c3a63f","block_type":"box","text":"blackrock.com/stewardship | ContactActiveStewardship@blackrock.com","page_number":205,"box":{"x":69,"y":791,"width":510,"height":13}},{"id":"d28b3abf-8b54-4436-9ee1-4bc701465c87","block_type":"box","text":"The document is provided for information purposes only and is subject to change. Reliance upon this information is","page_number":205,"box":{"x":68,"y":822,"width":823,"height":11}},{"id":"b20e20d3-bfd2-48ad-b0a8-8a10324a43e2","block_type":"box","text":"at the sole discretion of the reader.","page_number":205,"box":{"x":69,"y":837,"width":250,"height":9}},{"id":"742b5c76-8431-4e4c-b3cd-a2432f26541c","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":205,"box":{"x":69,"y":868,"width":196,"height":10}},{"id":"535a346f-f141-4c07-b697-0477a3080865","block_type":"box","text":"©","page_number":205,"box":{"x":68,"y":898,"width":6,"height":4}},{"id":"d23220ba-1e38-47a0-ad37-cedb06400707","block_type":"box","text":"2025 BlackRock, Inc. All rights reserved. BLACKROCK is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":205,"box":{"x":75,"y":898,"width":809,"height":11}},{"id":"38f0cc71-f527-4154-84c9-b3e10e3b5919","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":205,"box":{"x":70,"y":913,"width":624,"height":11}},{"id":"b92dee25-b43c-4c37-95dd-8ab25d38b50f","block_type":"box","text":"BlackRock Active Investment Stewardship","page_number":205,"box":{"x":69,"y":943,"width":311,"height":11}},{"id":"5931a53d-e831-4b3d-99c3-cbd001023565","block_type":"box","text":"Global Engagement and Voting Guidelines | 19","page_number":205,"box":{"x":580,"y":942,"width":329,"height":13}},{"id":"9f2f3c72-0958-4a70-89ea-c72d9645c242","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":205,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5f2bd07c-3d2c-4c29-90aa-24ce8af02a01","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":206,"box":{"x":352,"y":75,"width":275,"height":11}},{"id":"859ecb7e-ad30-4b38-9fe7-d728326b84e3","block_type":"box","text":"Procedures Governing Delegation of Proxy Voting to Fund Advisers","page_number":206,"box":{"x":247,"y":90,"width":486,"height":11}},{"id":"8a4d9111-5908-400d-8492-851fac5663a9","block_type":"box","text":"Effective Date: January 1, 2025","page_number":206,"box":{"x":376,"y":105,"width":227,"height":11}},{"id":"577bd4f5-22d3-4f3f-b551-2c0f39a9fb23","block_type":"box","text":"Applies to the following types of Funds registered under the 1940 Act:","page_number":206,"box":{"x":231,"y":128,"width":515,"height":11}},{"id":"4a8b3af0-2b39-43f0-83a8-5b8b26c52515","block_type":"box","text":"Index Equity Mutual Funds and Exchange-Traded Funds","page_number":206,"box":{"x":306,"y":151,"width":388,"height":11}},{"id":"18cd54fa-1626-47a2-a324-a08e8e6511b4","block_type":"box","text":"□","page_number":206,"box":{"x":184,"y":173,"width":14,"height":11}},{"id":"b391f361-4feb-4602-b340-17acf136c889","block_type":"box","text":"Open-End Active and Fixed Income Index Mutual Funds and Exchange-Traded Funds","page_number":206,"box":{"x":205,"y":173,"width":589,"height":11}},{"id":"475d0c57-f49f-47ec-9a01-87bf662247cb","block_type":"box","text":"□","page_number":206,"box":{"x":405,"y":196,"width":14,"height":11}},{"id":"ac164bac-01b5-41eb-bdb5-64c09cd1930c","block_type":"box","text":"Money Market Funds","page_number":206,"box":{"x":426,"y":196,"width":147,"height":11}},{"id":"1742003f-239e-44fa-92be-c53f155895c9","block_type":"box","text":"□","page_number":206,"box":{"x":416,"y":218,"width":14,"height":12}},{"id":"b6826257-1c98-4273-88f0-6e8b25d46c7b","block_type":"box","text":"Closed-End Funds","page_number":206,"box":{"x":437,"y":219,"width":125,"height":8}},{"id":"95e0f4e7-e427-4ba0-8354-95da1e5a0adb","block_type":"box","text":"□","page_number":206,"box":{"x":460,"y":241,"width":14,"height":11}},{"id":"accaed9d-9107-4865-a185-aeb9d3f6ba5c","block_type":"box","text":"Other","page_number":206,"box":{"x":481,"y":241,"width":38,"height":9}},{"id":"cce45486-1638-4052-8868-79c3f8365558","block_type":"box","text":"Objective and Scope","page_number":206,"box":{"x":101,"y":260,"width":149,"height":11}},{"id":"98bfe3bb-0ac7-4db0-a4cc-02c6e6a62edd","block_type":"box","text":"Set forth below is the Index Equity Fund Proxy Voting Policy.","page_number":206,"box":{"x":134,"y":279,"width":421,"height":11}},{"id":"5fd822c7-d633-42fd-85a7-24308355169e","block_type":"box","text":"Policy/Document Requirements and Statements","page_number":206,"box":{"x":102,"y":297,"width":354,"height":11}},{"id":"65180690-f9c9-4623-876b-7246e2d7cbf3","block_type":"box","text":"The Boards of Trustees/Directors (“Directors”) of certain open-end funds (the “Funds”) advised by","page_number":206,"box":{"x":134,"y":316,"width":702,"height":11}},{"id":"24d8e505-d8c4-4d9a-8fb9-7e3b5c1c1971","block_type":"box","text":"BlackRock Fund Advisors or BlackRock Advisors, LLC (“BlackRock”), have the responsibility for the oversight of","page_number":206,"box":{"x":102,"y":331,"width":789,"height":11}},{"id":"7995cb35-3c18-46d9-96b5-1b1b17aed2f1","block_type":"box","text":"voting proxies relating to portfolio securities of the Funds, and have determined that it is in the best interests of","page_number":206,"box":{"x":101,"y":346,"width":801,"height":11}},{"id":"57f502a1-f501-475e-9b4c-04563217ef41","block_type":"box","text":"the Funds and their shareholders to delegate the responsibility to vote proxies to BlackRock, subject to the","page_number":206,"box":{"x":101,"y":361,"width":763,"height":11}},{"id":"caffaf9d-eb1a-494a-8e1d-10275cfb81fe","block_type":"box","text":"principles outlined in this Policy, as part of BlackRock’s authority to manage, acquire and dispose of account","page_number":206,"box":{"x":102,"y":375,"width":775,"height":12}},{"id":"839a8541-2e55-44fc-9440-f437dbb173fa","block_type":"box","text":"assets, all as contemplated by the Funds’ respective investment management agreements.","page_number":206,"box":{"x":102,"y":391,"width":651,"height":11}},{"id":"1064015b-27b2-4adc-9b07-13944c8eacdd","block_type":"box","text":"BlackRock has adopted the BlackRock Investment Stewardship Global Benchmark Policy (as from time to","page_number":206,"box":{"x":135,"y":409,"width":748,"height":11}},{"id":"9c4bfa0a-dd85-4f95-86a8-70bed97e96bd","block_type":"box","text":"time amended, the “Guidelines”) governing proxy voting by index equity Funds managed by BlackRock, except for","page_number":206,"box":{"x":101,"y":424,"width":804,"height":11}},{"id":"4176baae-40f3-4d19-845a-f292badf762a","block_type":"box","text":"the iShares Core S&P 500 ETF. In addition, BlackRock has adopted guidelines and procedures (as from time to","page_number":206,"box":{"x":101,"y":439,"width":793,"height":11}},{"id":"43161659-91ab-482e-b7dd-1fa82b5d3291","block_type":"box","text":"time amended, the “BlackRock Climate and Decarbonization Stewardship Guidelines”) governing proxy voting for","page_number":206,"box":{"x":101,"y":454,"width":801,"height":11}},{"id":"978c0b15-e129-44f1-ad3b-8d701b348081","block_type":"box","text":"matters covered in the BlackRock Climate and Decarbonization Stewardship Guidelines by the Funds listed in","page_number":206,"box":{"x":102,"y":469,"width":777,"height":11}},{"id":"d8f09535-0563-4701-84c6-811f71d67ffa","block_type":"box","text":"Appendix A.","page_number":206,"box":{"x":101,"y":484,"width":82,"height":10}},{"id":"ccb16365-7c34-419d-b7b8-eecdb2dcd826","block_type":"box","text":"BlackRock will cast votes on behalf of each of the Funds covered by this policy on specific proxy issues in","page_number":206,"box":{"x":135,"y":502,"width":751,"height":11}},{"id":"de95bd4e-f095-4e8d-ae2d-405529e4505b","block_type":"box","text":"respect of securities held by each such Fund (or may refrain from voting) in accordance with the Guidelines and","page_number":206,"box":{"x":102,"y":517,"width":791,"height":11}},{"id":"c2603f33-01b0-48b7-aee6-d7fadedc2e61","block_type":"box","text":"the BlackRock Climate and Decarbonization Stewardship Guidelines, as applicable.","page_number":206,"box":{"x":101,"y":532,"width":591,"height":11}},{"id":"eb0b6156-78ea-4c6e-925f-e1fdd5f52707","block_type":"box","text":"Conflicts Management","page_number":206,"box":{"x":101,"y":550,"width":165,"height":11}},{"id":"758848f2-bd37-4eb2-a397-c6c245e5e57e","block_type":"box","text":"BlackRock Investment Stewardship (“BIS”) maintains policies and procedures that seek to prevent undue","page_number":206,"box":{"x":135,"y":569,"width":751,"height":11}},{"id":"1d1a3c61-4ada-4ff9-b6e5-e25e66aa15aa","block_type":"box","text":"influence on BlackRock’s proxy voting activity and to mitigate material conflicts of interest in the exercise of","page_number":206,"box":{"x":102,"y":584,"width":767,"height":11}},{"id":"2ded9ccd-8fc8-4f1e-9c33-0b004afeab22","block_type":"box","text":"proxy voting responsibilities. Potential material conflicts, and the resultant potential for undue influence, might","page_number":206,"box":{"x":102,"y":599,"width":787,"height":11}},{"id":"9543abba-44ee-4b33-9a95-51b537f8e1cb","block_type":"box","text":"be due to a relationship between the investee company (or any shareholder proponent or dissident shareholder)","page_number":206,"box":{"x":102,"y":614,"width":797,"height":11}},{"id":"49686dad-e197-4b7b-be94-a0a35f9e2a27","block_type":"box","text":"and BlackRock, BlackRock’s affiliates or employees, or a Fund or a Fund’s affiliates. BlackRock has taken","page_number":206,"box":{"x":102,"y":628,"width":756,"height":12}},{"id":"3b8b6f09-8618-4874-a133-107ac2ef7f1c","block_type":"box","text":"certain steps to mitigate potential conflicts, which are outlined in detail in the Guidelines. In mitigating conflicts,","page_number":206,"box":{"x":101,"y":643,"width":800,"height":12}},{"id":"1bde3116-d145-48a6-a51e-fbe4117b6c27","block_type":"box","text":"BIS will adhere to the Guidelines.","page_number":206,"box":{"x":102,"y":658,"width":235,"height":9}},{"id":"58aa08fb-4466-46aa-ae0b-e9660a06178a","block_type":"box","text":"In certain instances, BIS will engage an independent third-party voting service provider to make proxy voting","page_number":206,"box":{"x":135,"y":677,"width":769,"height":11}},{"id":"0be07706-40d5-43dc-9182-cc4a8cf715f3","block_type":"box","text":"recommendations as a further safeguard to avoid potential conflicts of interest, to satisfy regulatory compliance","page_number":206,"box":{"x":102,"y":692,"width":800,"height":11}},{"id":"f8e6430d-818d-49e0-ac2f-8938f4f80bec","block_type":"box","text":"requirements, or as may be otherwise required by applicable law.","page_number":206,"box":{"x":102,"y":707,"width":463,"height":11}},{"id":"2f05ee9c-4eb1-43ff-8333-b295ba2472b5","block_type":"box","text":"With respect to the relationship between securities lending and proxy voting, shares on loan cannot be voted","page_number":206,"box":{"x":134,"y":725,"width":774,"height":11}},{"id":"fda6bd6f-2109-4fba-b684-02f342d8c2db","block_type":"box","text":"and BlackRock may determine to recall them for voting, as guided by BlackRock’s fiduciary responsibility to act","page_number":206,"box":{"x":102,"y":740,"width":791,"height":11}},{"id":"ba22e1d8-15cb-43ef-944a-a8173e2b7dfd","block_type":"box","text":"in clients’ financial interests. The Guidelines set forth BlackRock’s approach to recalling securities on loan in","page_number":206,"box":{"x":102,"y":755,"width":778,"height":11}},{"id":"32085c72-145e-4db1-8b96-17ce0880880d","block_type":"box","text":"connection with proxy voting.","page_number":206,"box":{"x":101,"y":770,"width":203,"height":11}},{"id":"f741401c-4eed-49d5-99e4-da18bf06794d","block_type":"box","text":"Reports to the Board","page_number":206,"box":{"x":102,"y":789,"width":153,"height":10}},{"id":"4af92a01-5b02-46c7-b3ac-2a19dda1bdc2","block_type":"box","text":"BlackRock will report on an annual basis to the Directors on (1) a summary of the proxy voting process as","page_number":206,"box":{"x":135,"y":807,"width":755,"height":11}},{"id":"7191e430-902d-4a3b-a871-54de9028dba6","block_type":"box","text":"applicable to the Funds covered by this policy in the preceding year together with a representation that all votes","page_number":206,"box":{"x":102,"y":822,"width":794,"height":11}},{"id":"8274a4fa-5486-4946-9091-ed610c6f76f7","block_type":"box","text":"were in accordance with the Guidelines and the BlackRock Climate and Decarbonization Stewardship Guidelines,","page_number":206,"box":{"x":101,"y":837,"width":802,"height":11}},{"id":"4d738239-1748-44bc-9610-980bd50b9828","block_type":"box","text":"as applicable (2) any material changes to the Guidelines and the BlackRock Climate and Decarbonization","page_number":206,"box":{"x":102,"y":852,"width":747,"height":11}},{"id":"1da25721-e558-4dde-a6a3-38120b8e4b44","block_type":"box","text":"Stewardship Guidelines, including material changes to conflicts management practices, that have not previously","page_number":206,"box":{"x":102,"y":866,"width":798,"height":12}},{"id":"b73b4d08-91c4-4157-a92a-2da92c94f879","block_type":"box","text":"been reported.","page_number":206,"box":{"x":102,"y":882,"width":104,"height":10}},{"id":"c1652ded-1993-4e1a-9279-82bc03ce4aaf","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":206,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"43f40ab0-8882-4d0c-861d-31d6202ae171","block_type":"box","text":"BlackRock","page_number":206,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"d4a0175c-2301-44f4-bc9d-5df4671ef925","block_type":"box","text":"Public Page 1 of 2","page_number":206,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"22a7e067-3979-4581-97a5-2610991eb0a2","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":206,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"f2ef0810-2157-45c7-8e01-81edaccdf07d","block_type":"box","text":"Appendix A","page_number":207,"box":{"x":101,"y":75,"width":82,"height":11}},{"id":"6232f28f-3e79-4a99-a8b7-757537120669","block_type":"box","text":"iShares Climate Conscious & Transition MSCI USA ETF","page_number":207,"box":{"x":135,"y":98,"width":389,"height":9}},{"id":"bf8690f8-057c-4653-8f9c-97716317d7d4","block_type":"box","text":"iShares ESG Advanced MSCI EAFE ETF","page_number":207,"box":{"x":135,"y":120,"width":274,"height":9}},{"id":"3fe0b4b6-48ae-4c6b-b5d8-66c29a40faf0","block_type":"box","text":"iShares ESG Advanced MSCI EM ETF","page_number":207,"box":{"x":135,"y":143,"width":261,"height":9}},{"id":"2fdc4958-615a-4adc-9a7c-1898338c83b6","block_type":"box","text":"iShares ESG Advanced MSCI USA ETF","page_number":207,"box":{"x":135,"y":166,"width":268,"height":9}},{"id":"46333592-2bbd-426e-a790-3fdcb4f19d24","block_type":"box","text":"iShares ESG MSCI EM Leaders ETF","page_number":207,"box":{"x":135,"y":188,"width":250,"height":9}},{"id":"18bfe847-9919-4449-889a-e24808ab7e71","block_type":"box","text":"iShares ESG MSCI USA Leaders ETF","page_number":207,"box":{"x":135,"y":211,"width":257,"height":9}},{"id":"c66156a6-b5fd-49bf-aed7-11a9f6572956","block_type":"box","text":"iShares MSCI ACWI Low Carbon Target ETF","page_number":207,"box":{"x":135,"y":234,"width":304,"height":11}},{"id":"f0005b68-c5a6-4738-9cc3-9ff2a7cee5cb","block_type":"box","text":"iShares MSCI KLD 400 Social ETF","page_number":207,"box":{"x":135,"y":256,"width":242,"height":9}},{"id":"ca82bce4-2f00-41c0-89df-e2bed5a6be67","block_type":"box","text":"iShares MSCI USA ESG Select ETF","page_number":207,"box":{"x":135,"y":279,"width":245,"height":9}},{"id":"09c0285f-5208-4d8a-a946-4a6055e7eaff","block_type":"box","text":"iShares Paris-Aligned Climate MSCI USA ETF","page_number":207,"box":{"x":135,"y":302,"width":315,"height":11}},{"id":"7d99fce4-3147-4279-a633-05f96f2a3da6","block_type":"box","text":"iShares Paris-Aligned Climate MSCI World ex USA ETF","page_number":207,"box":{"x":135,"y":324,"width":380,"height":12}},{"id":"f05b4273-9ce6-499c-b6c5-251ed2044155","block_type":"box","text":"Index Equity Fund Proxy Voting Policy","page_number":207,"box":{"x":651,"y":45,"width":259,"height":11}},{"id":"8ffbb5a2-f3a3-47ea-9d9e-356e65c8c4a0","block_type":"box","text":"BlackRock","page_number":207,"box":{"x":69,"y":943,"width":78,"height":9}},{"id":"209ea440-eb80-4248-8f14-c868c1c389a2","block_type":"box","text":"Public Page 2 of 2","page_number":207,"box":{"x":469,"y":943,"width":440,"height":11}},{"id":"8eb06551-16f7-41cd-8887-64c766e2dde1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":207,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"476b203c-0e6b-4fca-b63e-a155f34def89","block_type":"box","text":"BlackRock Investment Stewardship","page_number":208,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"df369dcb-fa77-4e32-b97e-442d1235254a","block_type":"box","text":"Global Principles for Benchmark Policies","page_number":208,"box":{"x":341,"y":67,"width":296,"height":11}},{"id":"587e1454-af4b-44f6-b8a3-742d5b88bf06","block_type":"box","text":"Effective as of January 2026","page_number":208,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"2c8eadd6-b7f4-439e-8146-0fc8e9c487d5","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":208,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9bcc5ab6-e4f8-4a14-8d3b-06fb10fbc604","block_type":"box","text":"TABLE OF CONTENTS","page_number":209,"box":{"x":411,"y":45,"width":155,"height":9}},{"id":"1a0f041f-48f0-4d7d-9572-d532954967d2","block_type":"box","text":"Page","page_number":209,"box":{"x":876,"y":65,"width":28,"height":9}},{"id":"687358d2-f949-4cd5-a45b-25a6db1ec8b4","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":209,"box":{"x":74,"y":84,"width":451,"height":9}},{"id":"29f23a0b-eedb-4df4-a886-6f994f00c8e0","block_type":"box","text":".......................................... 3","page_number":209,"box":{"x":528,"y":84,"width":376,"height":9}},{"id":"9224878f-6770-41be-ad8a-5496feab7e42","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":209,"box":{"x":74,"y":101,"width":337,"height":9}},{"id":"ba83b54e-4786-4343-a6c2-f5071b9917a5","block_type":"box","text":"........................................................ 3","page_number":209,"box":{"x":414,"y":101,"width":490,"height":9}},{"id":"752590dc-43f9-4128-a317-4ff3c7533c90","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":209,"box":{"x":74,"y":117,"width":197,"height":9}},{"id":"2d2e41ef-d398-4e35-b317-944486d9791c","block_type":"box","text":"......................................................................... 4","page_number":209,"box":{"x":275,"y":117,"width":629,"height":9}},{"id":"fd31a347-0581-4c5b-bf49-2a7622aaf628","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":209,"box":{"x":74,"y":134,"width":190,"height":8}},{"id":"0d7f7085-4cae-4e5b-ae11-a8128d595af2","block_type":"box","text":".......................................................................... 5","page_number":209,"box":{"x":267,"y":134,"width":637,"height":8}},{"id":"2d03c04a-3d23-42b3-9556-f3381ec00ea0","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":209,"box":{"x":73,"y":150,"width":294,"height":9}},{"id":"f66bf8bb-7f32-4542-a616-f10dd5517ba5","block_type":"box","text":"............................................................. 7","page_number":209,"box":{"x":373,"y":150,"width":531,"height":9}},{"id":"21ea823f-3f15-4aa7-849f-b539b9f05b4b","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":209,"box":{"x":74,"y":166,"width":728,"height":11}},{"id":"8f52730a-d0f1-4028-b9ca-ee6eff7f133d","block_type":"box","text":"........ 7","page_number":209,"box":{"x":805,"y":166,"width":99,"height":9}},{"id":"0d59e76d-f5cb-48d7-824d-385365e28622","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":209,"box":{"x":74,"y":183,"width":322,"height":9}},{"id":"0254ef39-a4e8-47e3-9c28-1394569fb71e","block_type":"box","text":"......................................................... 8","page_number":209,"box":{"x":406,"y":183,"width":498,"height":9}},{"id":"a9cf8fb8-f4c0-4dba-b740-d28b9f45f603","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":209,"box":{"x":73,"y":199,"width":595,"height":9}},{"id":"993ee84b-4c69-425a-86c2-bfd749d605d7","block_type":"box","text":"........................ 9","page_number":209,"box":{"x":675,"y":199,"width":229,"height":9}},{"id":"b334975f-d715-4bfd-9e62-6fca790d39c8","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":209,"box":{"x":73,"y":215,"width":207,"height":9}},{"id":"8af3a419-299d-4a6f-8ee7-f15d29fa39db","block_type":"box","text":"........................................................................ 9","page_number":209,"box":{"x":283,"y":215,"width":621,"height":9}},{"id":"dc16e3e1-bfca-4fb8-9525-b2ff0517a28b","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":209,"box":{"x":74,"y":232,"width":484,"height":9}},{"id":"e994248c-523f-4546-87e9-0e929026fd94","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10","page_number":209,"box":{"x":561,"y":232,"width":343,"height":9}},{"id":"ae1d1483-3835-4b1a-bdd6-18772e6822f5","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":209,"box":{"x":74,"y":248,"width":553,"height":9}},{"id":"7d83d03a-aae8-4942-9c7b-e43db591271f","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12","page_number":209,"box":{"x":634,"y":248,"width":270,"height":9}},{"id":"a411f7b7-125f-43df-902a-7a34d79bcc77","block_type":"box","text":"VOTING CHOICE","page_number":209,"box":{"x":73,"y":265,"width":118,"height":8}},{"id":"ec3697a3-a475-49eb-81af-b572fd6436f8","block_type":"box","text":". . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13","page_number":209,"box":{"x":194,"y":265,"width":710,"height":8}},{"id":"d204ad05-f127-4bcb-a9c3-5c37e5575155","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":209,"box":{"x":74,"y":295,"width":293,"height":9}},{"id":"033bffd5-365b-4d6c-b28e-d95b4d36f3ca","block_type":"box","text":".............................................................","page_number":209,"box":{"x":373,"y":302,"width":491,"height":2}},{"id":"d473d468-66f0-4fdf-8c85-56f2c71dc33b","block_type":"box","text":"14","page_number":209,"box":{"x":886,"y":281,"width":18,"height":9}},{"id":"28855b31-72d0-4a92-ba81-c7cb5ef5c766","block_type":"box","text":"The purpose of this document is to provide an overarching explanation of BlackRock’s global approach to our","page_number":209,"box":{"x":75,"y":341,"width":778,"height":12}},{"id":"90397969-43e6-433d-bc98-31fb68372759","block_type":"box","text":"responsibilities as a shareholder on behalf of our clients, the principles that guide our dialogue with","page_number":209,"box":{"x":74,"y":355,"width":711,"height":11}},{"id":"d806f0f2-6237-4c3a-a806-935305b4e1a2","block_type":"box","text":"companies, and our commitments to clients in terms of our own governance and transparency.","page_number":209,"box":{"x":74,"y":369,"width":674,"height":11}},{"id":"08930436-b7a7-4a5e-91a2-08e265853fd7","block_type":"box","text":"BlackRock Investment Stewardship","page_number":209,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"2fc1b35d-8780-4aa7-87ca-ef5e8ff8826e","block_type":"box","text":"Global Principles | 2","page_number":209,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"40c21562-5532-4f46-9922-d21ba33ca150","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":209,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5fc6a6cf-e881-4ded-9e4f-93beec9dcf5b","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":210,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"451dd7e5-816f-4238-9078-bd9c0b52426d","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":210,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"bd49f5d6-98ac-4e4c-a7f6-402035347595","block_type":"box","text":"is one of the ways we fulfill our fiduciary responsibilities as an asset manager on their behalf. BlackRock offers a","page_number":210,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"060d1017-835d-44cc-b12e-b710451b7290","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":210,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"72f2c7f6-c15b-4cf4-9734-6864943a7a1f","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":210,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"b15e5db6-0902-4e6c-943c-595581d1d903","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship efforts, reflecting the","page_number":210,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"5c8cb912-f0d6-4325-af5c-f3d9df045b4b","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":210,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"cd46553f-8c73-4cc1-8fa3-e9e48f48b722","block_type":"box","text":"1. Engaging with the boards and management of companies","page_number":210,"box":{"x":69,"y":171,"width":451,"height":11}},{"id":"a2fd602c-be21-4aa7-8cd7-639564e773ea","block_type":"box","text":"in which clients are invested to deepen our","page_number":210,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"cb4d9831-044a-477d-9464-bfbf1e1d241a","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":210,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"fc535dff-9544-400e-a8ea-2b893bc1f39d","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients.","page_number":210,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"59a17ec3-6185-44a3-b4a1-cb4d0bdb9461","block_type":"box","text":"1","page_number":210,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"60bb53ce-0f92-4ea3-a37c-2758d452d7d0","block_type":"box","text":"2. Voting at shareholder meetings","page_number":210,"box":{"x":69,"y":221,"width":260,"height":11}},{"id":"7d8f9af6-d830-4faa-9b39-29a10aa1070d","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":210,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"31992708-4ad8-45f3-823e-7de2ee5708c0","block_type":"box","text":"to vote on their behalf.","page_number":210,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"b18157b9-8363-4368-8ccd-1b6988ce4d98","block_type":"box","text":"3. Contributing to industry dialogue on stewardship","page_number":210,"box":{"x":69,"y":256,"width":388,"height":11}},{"id":"f8ad4c25-32fa-4ecf-a4d0-86dd4458c7e4","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":210,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"18d2a047-8642-49d6-8194-c61f732ee886","block_type":"box","text":"clients’ investments.","page_number":210,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"ea131d36-7495-4e48-b3e5-2b5b21a18989","block_type":"box","text":"4. Reporting on our activities to inform clients","page_number":210,"box":{"x":69,"y":292,"width":351,"height":11}},{"id":"1f062912-0785-4969-9ed7-d126c0b4c7ca","block_type":"box","text":"about our stewardship efforts on their behalf through a range of","page_number":210,"box":{"x":426,"y":292,"width":457,"height":11}},{"id":"ccceec1d-b6e1-4b2a-8f89-361a31d631b8","block_type":"box","text":"publications on our website and direct client communications.","page_number":210,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"152c99e8-a698-48cc-bb3b-47e4c041ac39","block_type":"box","text":"This document provides an overarching explanation of the principles that guide our approach to engaging and","page_number":210,"box":{"x":101,"y":329,"width":778,"height":12}},{"id":"c1e32ad0-726e-4776-86ff-6f5546d392ba","block_type":"box","text":"voting on corporate governance matters and other material risks and opportunities under BIS’ Benchmark Policies.","page_number":210,"box":{"x":68,"y":345,"width":817,"height":11}},{"id":"3703683e-ee86-4bfb-b0f3-c956ba49fc0f","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":210,"box":{"x":68,"y":360,"width":790,"height":11}},{"id":"5e939412-0d21-4baf-b557-6ee3a5c0c005","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":210,"box":{"x":70,"y":375,"width":829,"height":11}},{"id":"7e8b49ac-8536-43e3-89b8-444a068e4510","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":210,"box":{"x":69,"y":390,"width":648,"height":11}},{"id":"c2deaab6-8da8-428b-a9f5-07f498f21c67","block_type":"box","text":"2","page_number":210,"box":{"x":718,"y":390,"width":4,"height":5}},{"id":"da204999-5126-4d36-bf8c-e126875e62ed","block_type":"box","text":"PHILOSOPHY ON INVESTMENT STEWARDSHIP","page_number":210,"box":{"x":321,"y":420,"width":337,"height":9}},{"id":"3ac60992-e1f0-4a54-8c59-cd3b9dc853ab","block_type":"box","text":"Sound governance is critical to a company’s ability to create long-term financial value. We maintain global","page_number":210,"box":{"x":102,"y":443,"width":751,"height":11}},{"id":"34ef64bc-07c1-40a8-bdd8-6c9a88e54843","block_type":"box","text":"principles on corporate governance, which guide our approach to stewardship across jurisdictions, while recognizing","page_number":210,"box":{"x":70,"y":458,"width":824,"height":11}},{"id":"ab9de9f5-cd92-4e51-86a9-b280a0c8bf12","block_type":"box","text":"the unique characteristics of the different markets where companies operate.","page_number":210,"box":{"x":68,"y":473,"width":553,"height":11}},{"id":"a66ebc3c-6efa-438c-807d-3005b0e46b84","block_type":"box","text":"Setting, executing, and overseeing strategy are the responsibility of management and the board. As one of many","page_number":210,"box":{"x":102,"y":496,"width":802,"height":11}},{"id":"e048a219-0410-4624-8177-6c5bba4a8ecd","block_type":"box","text":"minority shareholders in public companies, BlackRock does not direct a company’s strategy or its implementation,","page_number":210,"box":{"x":69,"y":511,"width":813,"height":11}},{"id":"0c647504-1246-422d-ae2f-3916467806f7","block_type":"box","text":"nor how they should manage material business risks. Our role, on behalf of clients as long-term investors, is to better","page_number":210,"box":{"x":69,"y":526,"width":840,"height":11}},{"id":"0ee3ef04-b398-4b2d-84a1-2210900260fe","block_type":"box","text":"understand how corporate leadership is managing material risks and capitalizing on opportunities to help protect and","page_number":210,"box":{"x":69,"y":541,"width":835,"height":11}},{"id":"1c2eee66-37b9-41cb-8671-1e4fa4bf1b0d","block_type":"box","text":"enhance the company’s ability to deliver long-term financial returns.","page_number":210,"box":{"x":69,"y":556,"width":481,"height":11}},{"id":"c678f77a-3481-402a-ab26-79d8922eb374","block_type":"box","text":"STEWARDSHIP IN PRACTICE","page_number":210,"box":{"x":384,"y":586,"width":210,"height":9}},{"id":"44a704cc-c549-405c-876a-fef0e8f04988","block_type":"box","text":"The assets BlackRock manages belong to our clients, which include public and private pension plans, insurers,","page_number":210,"box":{"x":101,"y":609,"width":791,"height":11}},{"id":"522a4f6e-708b-41c2-9fae-1989006f2bff","block_type":"box","text":"official institutions, endowments, universities, charities, family offices, wealth managers, and ultimately, the","page_number":210,"box":{"x":69,"y":624,"width":772,"height":11}},{"id":"62ec28af-fc35-424d-9c63-eface8e3ae08","block_type":"box","text":"individual investors that they serve. Through stewardship, we assess how companies are creating long-term financial","page_number":210,"box":{"x":70,"y":639,"width":831,"height":12}},{"id":"4f834533-3bc9-4da6-bd9f-f9611adb226b","block_type":"box","text":"value to serve our clients, many of whom are saving for long-term goals, such as retirement. Our stewardship","page_number":210,"box":{"x":68,"y":654,"width":780,"height":12}},{"id":"fd9c33fe-dd60-4396-886b-113b67bc4e0e","block_type":"box","text":"program - including when engaging with companies and voting at shareholder meetings on behalf of clients - is","page_number":210,"box":{"x":70,"y":669,"width":784,"height":12}},{"id":"3ee44d58-11c8-4580-88dd-19f368a8a593","block_type":"box","text":"conducted from a long-term investor perspective and takes a financial materiality-based approach, focused solely on","page_number":210,"box":{"x":69,"y":685,"width":828,"height":11}},{"id":"18733902-98e0-4ad0-af0c-d904952816c3","block_type":"box","text":"advancing clients’ long-term financial interests.","page_number":210,"box":{"x":69,"y":700,"width":334,"height":11}},{"id":"d4506699-9efb-47e2-bbaf-1062bea0832e","block_type":"box","text":"BIS engages with the boards and management of companies in which clients are invested to deepen our","page_number":210,"box":{"x":102,"y":722,"width":745,"height":12}},{"id":"2ffd36e2-8471-4eeb-aa0a-3d72c6dd2e47","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":210,"box":{"x":69,"y":738,"width":785,"height":11}},{"id":"fd9d14f1-1cbf-46ef-8c83-34d70752b250","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients. Engagements provide companies with the","page_number":210,"box":{"x":69,"y":753,"width":829,"height":11}},{"id":"8662f956-49f6-40b4-a33a-0c929344980a","block_type":"box","text":"opportunity to share their perspectives on topics that, in BIS’ experience, impact the long-term financial returns","page_number":210,"box":{"x":69,"y":768,"width":795,"height":11}},{"id":"08477024-5034-4c1d-99a4-5e8d7d2d2b5e","block_type":"box","text":"BlackRock’s clients depend on to meet their financial goals.","page_number":210,"box":{"x":70,"y":783,"width":425,"height":11}},{"id":"732c804d-9ab8-4bbe-8479-2c243be2161b","block_type":"box","text":"1","page_number":210,"box":{"x":69,"y":813,"width":4,"height":4}},{"id":"305684d5-43e3-4d65-bf8c-f05748d24248","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":210,"box":{"x":79,"y":812,"width":790,"height":11}},{"id":"716f4772-2d2d-41ac-935c-27527a186620","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":210,"box":{"x":69,"y":827,"width":836,"height":12}},{"id":"aadbca0d-65db-47eb-967f-7d5ed6278f8f","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":210,"box":{"x":68,"y":842,"width":805,"height":12}},{"id":"db02e824-79d6-4d3d-acb4-0e3ecd78c6fb","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":210,"box":{"x":69,"y":857,"width":405,"height":12}},{"id":"0bf93f02-644d-4c12-bf4a-280de4fc8263","block_type":"box","text":"2","page_number":210,"box":{"x":69,"y":876,"width":4,"height":4}},{"id":"9ca8b175-2e66-401a-b5fd-4435736d2476","block_type":"box","text":"Alongside the Global Principles and regional voting guidelines, BIS publishes Engagement Priorities which reflect the","page_number":210,"box":{"x":78,"y":875,"width":827,"height":11}},{"id":"7f712fee-b4a1-42ed-9aef-89fbfa650a42","block_type":"box","text":"five themes on which we most frequently engage companies, where they are relevant, as these can be a source of","page_number":210,"box":{"x":68,"y":890,"width":818,"height":12}},{"id":"a4feae31-1c31-412b-8159-15d29e89c7ad","block_type":"box","text":"material business risk or opportunity.","page_number":210,"box":{"x":69,"y":906,"width":264,"height":11}},{"id":"e5b0aa77-26b0-4dc4-956f-486e13c108e3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":210,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"73b0b374-d985-4932-aa99-156b30749477","block_type":"box","text":"Global Principles | 3","page_number":210,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"2e240432-43c8-47ae-bf31-86b355063d62","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":210,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"da13e325-b63e-4ea6-9ed8-c19b10c28eb0","block_type":"box","text":"Voting at a company’s shareholder meeting is a right of share ownership and a core principle of corporate","page_number":211,"box":{"x":101,"y":45,"width":753,"height":11}},{"id":"600be157-f29a-4c9e-bcc5-974e5825d89e","block_type":"box","text":"governance. As a fiduciary, BlackRock is legally required to make proxy voting determinations in a manner that is","page_number":211,"box":{"x":68,"y":60,"width":805,"height":11}},{"id":"29a7c928-8b24-40f0-8070-1aac02ebcc2d","block_type":"box","text":"consistent with the investment objectives of clients who have delegated voting authority to us. BIS’ Benchmark","page_number":211,"box":{"x":69,"y":75,"width":790,"height":11}},{"id":"626b7bf9-f2e3-4924-9ece-d91e58730100","block_type":"box","text":"Policies, and the vote decisions made consistent with those policies, reflect our reasonable and independent","page_number":211,"box":{"x":69,"y":90,"width":779,"height":11}},{"id":"06624306-bfdd-464d-9465-d3107a9a9c4c","block_type":"box","text":"judgment of what is in the long-term financial interests of clients. Our vote decisions are often informed by several","page_number":211,"box":{"x":67,"y":105,"width":816,"height":11}},{"id":"5c7cbe8e-b0ea-4c65-aa07-c78036d2e030","block_type":"box","text":"factors, including in-depth analysis of company disclosures, comparisons against industry peers, third-party research,","page_number":211,"box":{"x":68,"y":120,"width":839,"height":12}},{"id":"763eec2f-8c49-47f8-ab37-c2c93a763a10","block_type":"box","text":"and, where appropriate, engagement with companies.","page_number":211,"box":{"x":69,"y":136,"width":381,"height":11}},{"id":"17a04a30-e4de-4d5f-b932-79b2c9112e68","block_type":"box","text":"Generally, BIS supports the vote recommendations of the board of directors and management at companies","page_number":211,"box":{"x":102,"y":158,"width":770,"height":11}},{"id":"a15771ba-bf2d-4f74-87a2-674932bfe1a1","block_type":"box","text":"which have sound corporate governance and deliver strong financial returns over time. When we determine it is in our","page_number":211,"box":{"x":68,"y":173,"width":838,"height":11}},{"id":"38faccf3-daf8-4a73-a3f9-d35e17f20ab8","block_type":"box","text":"clients’ financial interests to convey concern to companies through voting, we may do so in two forms: we might not","page_number":211,"box":{"x":69,"y":188,"width":827,"height":12}},{"id":"0eb11cd9-0b47-48cd-9648-38328987d375","block_type":"box","text":"support the election of directors or other management proposals, or we might not support management’s voting","page_number":211,"box":{"x":69,"y":203,"width":802,"height":12}},{"id":"e1ca2d49-2499-4352-a4d6-36983ea18de9","block_type":"box","text":"recommendation on a shareholder proposal.","page_number":211,"box":{"x":69,"y":219,"width":315,"height":10}},{"id":"a8052776-3b1a-4f6a-94cc-8139e86473f9","block_type":"box","text":"SHAREHOLDER RIGHTS","page_number":211,"box":{"x":403,"y":249,"width":172,"height":9}},{"id":"6ef59422-9a1b-4f7e-ae57-cbcf21b6da71","block_type":"box","text":"BlackRock’s global approach as a shareholder on behalf of our clients is underpinned by certain rights attached","page_number":211,"box":{"x":102,"y":271,"width":796,"height":12}},{"id":"ee9b4163-f8b4-4cda-82db-b17f104114e3","block_type":"box","text":"to shareholding in most markets, as established by corporate laws, regulations, and listing rules.","page_number":211,"box":{"x":68,"y":287,"width":693,"height":11}},{"id":"0da5ff3e-c7c9-4282-85de-566fe2cfe1a5","block_type":"box","text":"3","page_number":211,"box":{"x":763,"y":287,"width":4,"height":4}},{"id":"8ce84a7d-5b96-4a2d-a207-02e538609a5f","block_type":"box","text":"For example, in","page_number":211,"box":{"x":774,"y":287,"width":106,"height":10}},{"id":"3c5facaf-f872-471d-ba95-bf2f8b15bb39","block_type":"box","text":"most markets, shareholders have the right to:","page_number":211,"box":{"x":69,"y":302,"width":326,"height":11}},{"id":"e57e7d9c-2580-4319-8372-9b83c2adb8d2","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":325,"width":6,"height":4}},{"id":"725c1356-fc0f-4ed1-b05f-db2bb5406608","block_type":"box","text":"Vote to elect, remove, and nominate directors, approve the appointment of the auditor, and amend the corporate","page_number":211,"box":{"x":101,"y":322,"width":804,"height":11}},{"id":"f9ffa8ff-d957-41e5-877d-23d1e2f92f0b","block_type":"box","text":"charter or bylaws.","page_number":211,"box":{"x":101,"y":337,"width":126,"height":11}},{"id":"b4be4bc0-a150-446a-bcca-36c2b41ea2b6","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":360,"width":6,"height":5}},{"id":"561f19a2-73ba-434c-8dbd-415253a6c190","block_type":"box","text":"Vote on key board decisions that are material to the protection of their investment, including but not limited to,","page_number":211,"box":{"x":101,"y":357,"width":789,"height":11}},{"id":"f75a3f4e-b11f-486f-a9ba-ab7ef8174af0","block_type":"box","text":"changes to the purpose of the business, dilution levels, and pre-emptive rights.","page_number":211,"box":{"x":101,"y":372,"width":564,"height":11}},{"id":"a35e0c96-7dc3-415e-a09a-7869c013963c","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":395,"width":6,"height":5}},{"id":"d5774f18-148a-49d4-b51d-206d2460c287","block_type":"box","text":"Access sufficient and timely information on governance, strategic, and business matters — where such matters","page_number":211,"box":{"x":101,"y":392,"width":799,"height":12}},{"id":"74c3f72b-c1f4-4180-8bc2-7f82d86bb13e","block_type":"box","text":"are material — to make informed decisions.","page_number":211,"box":{"x":102,"y":407,"width":313,"height":9}},{"id":"0786de1e-b84a-4875-a4df-f77e725ce201","block_type":"box","text":"KEY GOVERNANCE TOPICS","page_number":211,"box":{"x":391,"y":438,"width":196,"height":9}},{"id":"c5738136-98e8-4373-98d4-260cc78c5c36","block_type":"box","text":"In our experience, there are certain globally applicable elements of corporate governance that contribute to a","page_number":211,"box":{"x":102,"y":460,"width":776,"height":12}},{"id":"07ecd4ba-a2e7-4980-a098-66051f77c8b7","block_type":"box","text":"company’s ability to create long-term financial value for shareholders. These are topics that shareholders may have","page_number":211,"box":{"x":69,"y":475,"width":822,"height":12}},{"id":"cf45cdac-f570-4c90-a744-d576a501ac59","block_type":"box","text":"the ability to vote on at shareholder meetings. These areas include:","page_number":211,"box":{"x":68,"y":491,"width":482,"height":11}},{"id":"0611072a-1479-4a06-800c-ea88f8bc8cdc","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":514,"width":6,"height":4}},{"id":"0bd1455e-1a3a-4458-9521-04595eb7a01a","block_type":"box","text":"Boards and directors","page_number":211,"box":{"x":102,"y":511,"width":147,"height":9}},{"id":"92de7741-69ea-4904-ad56-e8b8ecd9480f","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":534,"width":6,"height":4}},{"id":"0dcc57c5-f49d-43c0-9e3f-b9851c6b31a9","block_type":"box","text":"Auditors and audit-related issues","page_number":211,"box":{"x":101,"y":531,"width":234,"height":9}},{"id":"880997cd-4208-4e0b-9f6c-aa80d97e1e1d","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":554,"width":6,"height":5}},{"id":"f801debc-0597-4743-bb3b-6a5e7cb0ba97","block_type":"box","text":"Capital structure, mergers, acquisitions, asset sales, and other special situations","page_number":211,"box":{"x":102,"y":551,"width":583,"height":11}},{"id":"5492481b-cc1e-441e-b335-a85f376ad577","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":574,"width":6,"height":5}},{"id":"d2df1a6f-7f36-4f9a-8db9-36a424b7de94","block_type":"box","text":"Executive compensation","page_number":211,"box":{"x":102,"y":571,"width":170,"height":11}},{"id":"79b4e0ab-615f-41dd-a25b-39b49b35b75c","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":594,"width":6,"height":5}},{"id":"204d7c78-1bb9-45c6-aafc-bab8e19d858d","block_type":"box","text":"Shareholder protections and other significant corporate governance matters","page_number":211,"box":{"x":102,"y":591,"width":539,"height":12}},{"id":"a4a54f88-e56e-459b-aeaf-5300a2f9f649","block_type":"box","text":"•","page_number":211,"box":{"x":69,"y":614,"width":6,"height":5}},{"id":"21e58bd0-6cea-4d29-ab3d-673fba897490","block_type":"box","text":"Shareholder proposals","page_number":211,"box":{"x":102,"y":612,"width":160,"height":11}},{"id":"9bcca993-95e9-432a-9905-f297f4768fa8","block_type":"box","text":"The BIS Benchmark Policies are not prescriptive but rather are applied on a pragmatic basis, taking into","page_number":211,"box":{"x":101,"y":634,"width":740,"height":12}},{"id":"fec31d75-24e7-4927-a925-d784346b6127","block_type":"box","text":"consideration a number of company-specific factors, including the sector, market, and business environment within","page_number":211,"box":{"x":69,"y":649,"width":819,"height":12}},{"id":"56db1720-d1f3-4967-b99c-355be9820d04","block_type":"box","text":"which companies operate.","page_number":211,"box":{"x":68,"y":665,"width":186,"height":10}},{"id":"1d4ed6aa-2c07-481c-8a16-56b219c39d4b","block_type":"box","text":"At the regional level, it is our view that companies should observe the accepted corporate governance standards","page_number":211,"box":{"x":101,"y":687,"width":803,"height":11}},{"id":"c1584d5f-8606-4d6a-94be-304fb92b45bd","block_type":"box","text":"in their domestic market at a minimum, and we ask that, if they do not, they explain how their approach better","page_number":211,"box":{"x":70,"y":702,"width":785,"height":11}},{"id":"c0372216-5a40-49a4-bb7d-8d86864c5146","block_type":"box","text":"supports durable, long-term financial value creation. Our regional voting guidelines explain how the BIS Global","page_number":211,"box":{"x":69,"y":717,"width":781,"height":12}},{"id":"ca577d80-60b1-4c42-a6b5-c33b7aadd13d","block_type":"box","text":"Principles inform our voting decisions in relation to common ballot items for shareholder meetings in those markets.","page_number":211,"box":{"x":69,"y":732,"width":829,"height":12}},{"id":"40f6c87d-2351-445e-9526-88e979812707","block_type":"box","text":"4","page_number":211,"box":{"x":899,"y":733,"width":5,"height":4}},{"id":"010726fe-66cc-42a6-97d0-48b2a6dd8d46","block_type":"box","text":"3","page_number":211,"box":{"x":69,"y":762,"width":4,"height":5}},{"id":"ca97de7a-5b3f-4ad8-ac96-77939471347b","block_type":"box","text":"Examples include: Government of Canada, “Canada Business Corporations Act,” amended 2024; European Union,","page_number":211,"box":{"x":79,"y":762,"width":816,"height":11}},{"id":"fc875259-4343-41b8-a8e1-9804d448b8f8","block_type":"box","text":"“Shareholder Rights Directive II,” 2017; and the China Securities Regulatory Commission, “Code of Corporate","page_number":211,"box":{"x":70,"y":777,"width":784,"height":11}},{"id":"ee3f73e4-6976-4eb1-8c32-3cb02e22a2a1","block_type":"box","text":"Governance for Listed Companies in China,” 2001. Websites accessed in December 2025.","page_number":211,"box":{"x":69,"y":792,"width":650,"height":11}},{"id":"ccee8ef1-8182-496f-b2ad-b403125fa1bb","block_type":"box","text":"4","page_number":211,"box":{"x":69,"y":810,"width":4,"height":4}},{"id":"e6522bc6-eadc-408f-a04d-ff7831a09547","block_type":"box","text":"Our regional voting guidelines reflect these different market standards and norms. Depending on the market,","page_number":211,"box":{"x":79,"y":810,"width":776,"height":11}},{"id":"4f106444-93a1-4768-8442-b410be20fbfe","block_type":"box","text":"generally accepted practice is informed by corporate law, market regulation, best practices, and industry initiatives,","page_number":211,"box":{"x":68,"y":825,"width":821,"height":11}},{"id":"bef70f2d-9b34-43f9-92dc-f52bfa3b669d","block_type":"box","text":"amongst other factors. BIS carries out engagement with companies, executes proxy votes, and conducts vote","page_number":211,"box":{"x":69,"y":840,"width":780,"height":11}},{"id":"9994c0ca-952f-4b66-b5f2-58beff6563b4","block_type":"box","text":"operations (including maintaining records of votes cast) in a manner consistent with the relevant regional voting","page_number":211,"box":{"x":69,"y":855,"width":796,"height":11}},{"id":"275d703b-66fc-4dae-aedc-1931133c756f","block_type":"box","text":"guidelines.","page_number":211,"box":{"x":68,"y":870,"width":76,"height":11}},{"id":"d3ca6faa-2129-4928-a7b3-2e463f314a95","block_type":"box","text":"BlackRock Investment Stewardship","page_number":211,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"a1b4e210-3d74-4cc6-b46e-11a878084c4d","block_type":"box","text":"Global Principles | 4","page_number":211,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"dd0a218f-1767-44a0-82ca-2edcd7eff240","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":211,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"2dc33889-07ed-47a1-9b9a-0d86b5f3d422","block_type":"box","text":"BOARDS AND DIRECTORS","page_number":212,"box":{"x":394,"y":45,"width":190,"height":9}},{"id":"541af6f6-3660-4a98-8cac-ddc0aa27826a","block_type":"box","text":"Oversight role of the board","page_number":212,"box":{"x":69,"y":75,"width":194,"height":11}},{"id":"6c91bfd6-8d0e-4205-9934-90f098a74bd1","block_type":"box","text":"Companies whose boards are comprised of appropriately qualified, engaged directors with professional","page_number":212,"box":{"x":102,"y":98,"width":734,"height":11}},{"id":"a8cbaea6-b19c-4ab9-ad08-4cfee4c50004","block_type":"box","text":"characteristics relevant to a company’s business enhance the board’s ability to add long-term financial value and","page_number":212,"box":{"x":69,"y":113,"width":806,"height":11}},{"id":"59294842-b84a-42ad-9317-dd6241c6b54f","block_type":"box","text":"serve as the voice of shareholders in board discussions. In our view, a strong board gives a company a competitive","page_number":212,"box":{"x":69,"y":128,"width":822,"height":11}},{"id":"ee53b5f5-a82b-416f-8cee-b6c6d6feee25","block_type":"box","text":"advantage, providing valuable oversight and contributing to the most important management decisions that support","page_number":212,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"04f09c7d-3860-4cb0-81bb-ed2560f5b7d8","block_type":"box","text":"long-term financial performance.","page_number":212,"box":{"x":70,"y":158,"width":229,"height":11}},{"id":"7e6b8fe2-d4c6-4721-9402-57f5dcf543d5","block_type":"box","text":"For this reason, our investment stewardship efforts focus on the effectiveness of the board of directors. We","page_number":212,"box":{"x":102,"y":181,"width":771,"height":11}},{"id":"102166d7-2404-4615-99ad-99107c9d0c3d","block_type":"box","text":"engage, as necessary, with members of the board’s nominating and/or governance committee to assess whether","page_number":212,"box":{"x":69,"y":196,"width":811,"height":11}},{"id":"dab27f6a-4d48-4414-85c8-9abaadbc3733","block_type":"box","text":"governance practices and board composition are effective given a company’s business model, sector, market, and","page_number":212,"box":{"x":68,"y":211,"width":817,"height":11}},{"id":"291293fa-849b-4417-ba40-afc3fc0bd990","block_type":"box","text":"the business environment in which a company is operating.","page_number":212,"box":{"x":68,"y":226,"width":422,"height":11}},{"id":"ae95c27e-3474-4f9f-ad35-bd50c1f8bd99","block_type":"box","text":"We consider it good practice when the board establishes and maintains a framework of robust and effective","page_number":212,"box":{"x":101,"y":249,"width":770,"height":11}},{"id":"c4d2fb01-f9aa-476f-9835-3cdb32528913","block_type":"box","text":"governance mechanisms that supports its oversight of the company’s strategy and operations, consistent with the","page_number":212,"box":{"x":68,"y":264,"width":817,"height":11}},{"id":"179caa05-a475-441b-982d-a2401621fead","block_type":"box","text":"long-term financial interests of investors. This includes having clear descriptions of the role of the board and the","page_number":212,"box":{"x":70,"y":279,"width":799,"height":11}},{"id":"b8d7c8dd-2b5b-4057-86dc-9c5b0abae503","block_type":"box","text":"committees of the board and how directors engage with and oversee management, as well as disclosure of material","page_number":212,"box":{"x":69,"y":294,"width":827,"height":11}},{"id":"883ad5a4-d458-47e0-9d1f-729e84864f5f","block_type":"box","text":"risks that may affect a company’s long-term strategy and how management is effectively identifying, managing, and","page_number":212,"box":{"x":69,"y":309,"width":822,"height":11}},{"id":"74af1c88-658d-476c-a602-9a94380d162c","block_type":"box","text":"mitigating such risks.","page_number":212,"box":{"x":69,"y":325,"width":150,"height":11}},{"id":"46047955-ff13-49ea-ba97-cd9390d53f66","block_type":"box","text":"Understanding management’s long-term strategy and the milestones against which investors should assess its","page_number":212,"box":{"x":102,"y":347,"width":791,"height":11}},{"id":"5e5b3f12-7707-4b66-93fc-079261372b28","block_type":"box","text":"implementation is central to our approach. If any strategic targets are significantly missed or materially restated, we","page_number":212,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"c542b293-b18f-4c40-aa71-63fe5e77681c","block_type":"box","text":"find it helpful when company disclosures provide a detailed explanation of the changes and an indication of the","page_number":212,"box":{"x":68,"y":377,"width":793,"height":12}},{"id":"97986c78-8880-4b99-b019-8ae4dc0d56e1","block_type":"box","text":"board’s role in reviewing the revised targets. We look to the board to articulate the effectiveness of these","page_number":212,"box":{"x":69,"y":392,"width":755,"height":12}},{"id":"8655d177-94aa-4eb6-98cf-d4c86db437f2","block_type":"box","text":"mechanisms in overseeing the management of business risks and opportunities and the fulfillment of the company’s","page_number":212,"box":{"x":69,"y":407,"width":835,"height":12}},{"id":"772abc8b-5ece-422f-aba4-9678335d052d","block_type":"box","text":"strategy.","page_number":212,"box":{"x":69,"y":423,"width":58,"height":11}},{"id":"df43dab1-e58f-4090-bb6d-6594af92da6b","block_type":"box","text":"Where a company has not adequately disclosed or demonstrated that its board has fulfilled these corporate","page_number":212,"box":{"x":101,"y":445,"width":769,"height":11}},{"id":"b87bb648-ff08-49e4-99ee-e69d0e7b1f80","block_type":"box","text":"governance and risk oversight responsibilities, we may consider not supporting the election of directors who, in our","page_number":212,"box":{"x":68,"y":460,"width":823,"height":12}},{"id":"07380a88-fe71-4191-86ce-1aac1bbb89ed","block_type":"box","text":"assessment, have particular responsibility for the issues.","page_number":212,"box":{"x":69,"y":475,"width":409,"height":12}},{"id":"e9107585-1651-4f47-9a12-b0fb03434665","block_type":"box","text":"When casting vote decisions on behalf of clients on the election of directors, some of the factors that speak to","page_number":212,"box":{"x":101,"y":498,"width":791,"height":11}},{"id":"aa0a3aa5-e551-4c3d-b336-62dd50b97a8d","block_type":"box","text":"the board’s effectiveness as a group include the relevance of individual directors’ qualifications and skillsets, as well","page_number":212,"box":{"x":68,"y":513,"width":836,"height":12}},{"id":"a72dd1b3-995a-4a13-87f8-bc588d45156d","block_type":"box","text":"as directors’ capacity and other time commitments, and how these factors may contribute to the company’s financial","page_number":212,"box":{"x":69,"y":528,"width":833,"height":12}},{"id":"6f1cb032-b123-4fe0-914c-d094fec692c1","block_type":"box","text":"performance. We look to boards to establish formal and transparent processes for nominating directors that reflect","page_number":212,"box":{"x":70,"y":543,"width":823,"height":12}},{"id":"cb42ceec-3e5f-405c-9a62-f24cea61cbeb","block_type":"box","text":"the company’s long-term strategy and business model.","page_number":212,"box":{"x":68,"y":559,"width":390,"height":11}},{"id":"633cc489-0ed3-4ab2-8b01-f7d851717649","block_type":"box","text":"In the section titled “Board quality and effectiveness” below, we provide more detail about our approach to board","page_number":212,"box":{"x":102,"y":581,"width":807,"height":11}},{"id":"858a0fd7-134e-40e8-9267-aafb0c9fbaea","block_type":"box","text":"composition and how it underpins board effectiveness and long-term financial value creation.","page_number":212,"box":{"x":69,"y":596,"width":662,"height":12}},{"id":"0e639607-2597-4e64-8196-dba149f8ee4a","block_type":"box","text":"Regular accountability through director elections","page_number":212,"box":{"x":69,"y":627,"width":358,"height":11}},{"id":"7437eaef-ed3d-4deb-b008-e5d4da2fca0e","block_type":"box","text":"The election of directors to the board is a right of shareholders and an important signal of support for, or","page_number":212,"box":{"x":101,"y":649,"width":750,"height":12}},{"id":"f34b2b48-18d9-4007-a5cf-e7b51f53cad0","block_type":"box","text":"concern about, the performance of the board in overseeing and advising management. To ensure accountability for","page_number":212,"box":{"x":69,"y":664,"width":819,"height":12}},{"id":"ec3cc2f3-089a-4ffc-984c-8f63508449ed","block_type":"box","text":"their decisions on behalf of shareholders, directors should stand for election on a regular basis, ideally annually.","page_number":212,"box":{"x":68,"y":680,"width":802,"height":11}},{"id":"275deeed-b20a-4eb7-961c-c0f228781b49","block_type":"box","text":"5","page_number":212,"box":{"x":872,"y":680,"width":4,"height":4}},{"id":"088e0b67-ca6c-4eca-af20-54d64b48291c","block_type":"box","text":"Annual director elections allow shareholders to reaffirm their support for, or concerns about, board members’","page_number":212,"box":{"x":68,"y":695,"width":782,"height":11}},{"id":"f1963a05-7d37-44b1-afc2-1a36fe05ddc9","block_type":"box","text":"decisions in a timely manner. When board members are not elected annually, we consider it good practice for boards","page_number":212,"box":{"x":69,"y":710,"width":832,"height":11}},{"id":"eaaadfe1-c4bc-49ea-ac09-34209803ad5a","block_type":"box","text":"to have a rotation policy to ensure that, through a board cycle, all directors have had their appointment re-confirmed,","page_number":212,"box":{"x":68,"y":725,"width":832,"height":11}},{"id":"692c7069-d5b6-4505-a975-5fb0294d34ca","block_type":"box","text":"with a proportion of directors being put forward for election at each shareholder meeting.","page_number":212,"box":{"x":68,"y":740,"width":636,"height":11}},{"id":"bc6b4a22-e296-409f-8011-22f8d6af6421","block_type":"box","text":"BOARD QUALITY AND EFFECTIVENESS","page_number":212,"box":{"x":348,"y":770,"width":282,"height":11}},{"id":"c6a3f653-6939-4a4e-8141-23f0a22efe53","block_type":"box","text":"Regular director elections also give boards the opportunity to adjust their composition in an orderly way to reflect","page_number":212,"box":{"x":102,"y":793,"width":805,"height":11}},{"id":"bebfb659-d01e-4a89-90ce-c35e2b8a5ab9","block_type":"box","text":"developments in the company’s strategy and the market environment. In our view, it is beneficial for new directors to","page_number":212,"box":{"x":69,"y":808,"width":831,"height":11}},{"id":"7f54a8bc-3338-4d2d-8698-128cdf51cd4d","block_type":"box","text":"be brought onto the board periodically to refresh the group’s thinking, while supporting both continuity and","page_number":212,"box":{"x":69,"y":823,"width":758,"height":12}},{"id":"1186c9c9-3514-44f0-ab77-128e14049ca3","block_type":"box","text":"5","page_number":212,"box":{"x":69,"y":853,"width":4,"height":4}},{"id":"f4031105-45af-4bbf-acad-ca7a03d48864","block_type":"box","text":"In most markets, directors stand for re-election on an annual or triennial basis, as determined by corporate law,","page_number":212,"box":{"x":79,"y":852,"width":795,"height":12}},{"id":"b2eb7b38-fe24-4ce5-9c2c-35344924c0f8","block_type":"box","text":"market regulation or voluntary best practice.","page_number":212,"box":{"x":69,"y":868,"width":314,"height":11}},{"id":"cd541279-3f93-4bd9-8edb-00ba434b3c69","block_type":"box","text":"BlackRock Investment Stewardship","page_number":212,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"5cf58a30-038b-4b42-8a42-96ca7bc28cb2","block_type":"box","text":"Global Principles | 5","page_number":212,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"1b989691-d9ea-4470-ba14-65972aed0bdb","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":212,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"124bede4-919e-491c-a91d-14ff01e9577d","block_type":"box","text":"appropriate succession planning. We consider the average overall tenure of the board and seek a balance between","page_number":213,"box":{"x":69,"y":45,"width":819,"height":11}},{"id":"f1285906-1bbd-47be-a2cc-c86b8bcb9021","block_type":"box","text":"the knowledge and experience of longer-serving directors and the fresh perspectives of directors who joined more","page_number":213,"box":{"x":68,"y":60,"width":809,"height":11}},{"id":"6233f7f7-f0a7-4ed8-b794-2724637de664","block_type":"box","text":"recently.","page_number":213,"box":{"x":69,"y":75,"width":57,"height":11}},{"id":"95c6da61-5256-4ad7-bfb6-55c169c19522","block_type":"box","text":"We appreciate when companies regularly review and assess how directors nominated for election contribute to","page_number":213,"box":{"x":101,"y":98,"width":789,"height":11}},{"id":"faadf483-99a1-4117-bef6-8d8af1ca595e","block_type":"box","text":"the effectiveness of the board. In our view, the company’s assessment should consider a number of factors,","page_number":213,"box":{"x":68,"y":113,"width":774,"height":11}},{"id":"19280ed9-62d4-470c-8d1f-751b5b1df29b","block_type":"box","text":"including each director’s independence and time commitments, as well as the breadth and relevance of director","page_number":213,"box":{"x":70,"y":128,"width":798,"height":11}},{"id":"24f8cf97-1642-4bd2-afa0-270b0df591c2","block_type":"box","text":"experiences and skillsets, and how these collectively contribute to the board’s effectiveness in advising and","page_number":213,"box":{"x":69,"y":143,"width":770,"height":11}},{"id":"6db54a42-fc71-4980-8a8f-759a007b211b","block_type":"box","text":"overseeing management in delivering long-term financial returns.","page_number":213,"box":{"x":69,"y":158,"width":459,"height":11}},{"id":"c9c2316c-9723-42b9-aaa1-35b98192dd84","block_type":"box","text":"Director independence","page_number":213,"box":{"x":69,"y":188,"width":164,"height":11}},{"id":"fd8fbe50-612c-4f80-889b-42598f1de8dd","block_type":"box","text":"Director independence — from management, significant shareholders, or other related parties — is a central","page_number":213,"box":{"x":102,"y":211,"width":777,"height":11}},{"id":"5a697833-24b9-4963-8f8e-caed7f457db7","block_type":"box","text":"tenet of sound corporate governance across markets.","page_number":213,"box":{"x":68,"y":226,"width":382,"height":11}},{"id":"53b51601-b0ca-4def-8439-f1daa521bc2e","block_type":"box","text":"6","page_number":213,"box":{"x":452,"y":226,"width":4,"height":5}},{"id":"ed33ed8c-2009-46f0-a70b-63b40b7aed68","block_type":"box","text":"We look to boards to have a sufficient number of independent","page_number":213,"box":{"x":462,"y":226,"width":442,"height":11}},{"id":"f5be3c77-59dd-46e3-92f2-bc1eca57e001","block_type":"box","text":"directors, free from conflicts of interest or undue influence, to ensure objectivity in the decision-making of the board","page_number":213,"box":{"x":69,"y":241,"width":825,"height":11}},{"id":"5424b747-17c8-4e25-badd-f58e129e88fa","block_type":"box","text":"and its ability to oversee management. We generally consider it good practice for independent directors to make a","page_number":213,"box":{"x":69,"y":256,"width":813,"height":12}},{"id":"01d23e8e-c6cc-4d8e-bfbf-c2d958f67f0e","block_type":"box","text":"majority of the board, or in the case of controlled companies, at least one-third.","page_number":213,"box":{"x":69,"y":271,"width":566,"height":12}},{"id":"b20cd145-da18-4765-8d16-e52741f02f49","block_type":"box","text":"Common impediments to independence may include but are not limited to:","page_number":213,"box":{"x":102,"y":294,"width":531,"height":11}},{"id":"76a63ecb-51b2-49a1-b037-b2fb37abedc1","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":317,"width":6,"height":5}},{"id":"92ddd678-d66b-419a-baf5-0f020525d2b1","block_type":"box","text":"Current or recent employment at the company or a subsidiary","page_number":213,"box":{"x":102,"y":314,"width":438,"height":11}},{"id":"f9899186-bda3-4d6c-aa4b-132d0d6c00f5","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":337,"width":6,"height":5}},{"id":"afdb563c-8fb0-461c-b8fa-a6ac128e09ac","block_type":"box","text":"Being, or representing, a shareholder with a substantial shareholding in the company","page_number":213,"box":{"x":102,"y":335,"width":606,"height":11}},{"id":"7e29953c-d55c-4c0e-a82f-5ac9ca28a4fe","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":357,"width":6,"height":5}},{"id":"af303aa5-59a2-4b23-a4e1-bfbe88324bdb","block_type":"box","text":"Interlocking directorates","page_number":213,"box":{"x":102,"y":355,"width":170,"height":11}},{"id":"2fad29cd-bfc0-4118-a43d-a037b800362b","block_type":"box","text":"•","page_number":213,"box":{"x":69,"y":378,"width":6,"height":4}},{"id":"386411d7-0dad-44c2-86f5-a2d40e1c2a03","block_type":"box","text":"Having any other interest, business, or other relationship which could, or could reasonably be perceived to,","page_number":213,"box":{"x":102,"y":375,"width":761,"height":11}},{"id":"a5b95281-1b92-497b-859d-c5bf03c2ddd7","block_type":"box","text":"materially interfere with a director’s ability to act in the best interests of the company and shareholders","page_number":213,"box":{"x":102,"y":390,"width":738,"height":11}},{"id":"28f73fb7-551f-4c12-8af3-ec0269efadd8","block_type":"box","text":"In our experience, boards are most effective at overseeing and advising management when there is a senior,","page_number":213,"box":{"x":102,"y":412,"width":775,"height":12}},{"id":"0325dd45-9de7-46ef-8e85-7a217d4ba92e","block_type":"box","text":"independent board leader. This director may chair the board, or, where the chair is also the CEO (or is otherwise not","page_number":213,"box":{"x":70,"y":428,"width":827,"height":11}},{"id":"5733cd86-dd66-4cee-8d7e-88f05cadc9be","block_type":"box","text":"independent), be designated as a lead independent director. The role of this director is to support independent board","page_number":213,"box":{"x":70,"y":443,"width":835,"height":11}},{"id":"2f1c4a67-b98d-40e4-8d67-55f51aa90864","block_type":"box","text":"members in fulfilling their oversight responsibilities effectively by shaping the agenda, ensuring adequate information","page_number":213,"box":{"x":69,"y":458,"width":834,"height":11}},{"id":"99b23ee0-7cc7-497b-aa6c-bdbf8c1cde59","block_type":"box","text":"is provided to the board, and encouraging independent director participation in board deliberations. We appreciate","page_number":213,"box":{"x":70,"y":473,"width":813,"height":11}},{"id":"d229bb9e-c7ee-4f2a-82ef-59e9c23c6968","block_type":"box","text":"when the lead independent director or another appropriate director is available to meet with shareholders to explain","page_number":213,"box":{"x":68,"y":488,"width":826,"height":11}},{"id":"af491c67-eaa4-4f53-9fa3-963a9772507e","block_type":"box","text":"and contextualize a company’s approach as a situation warrants.","page_number":213,"box":{"x":69,"y":503,"width":463,"height":11}},{"id":"5923dcdc-1856-43c1-9d71-5bc30b48343b","block_type":"box","text":"Boards may face matters that could involve conflicts of interest for executives or affiliated directors, or that","page_number":213,"box":{"x":102,"y":526,"width":765,"height":11}},{"id":"90501d47-573a-467f-be57-9e5ef3010180","block_type":"box","text":"require additional focus. It is our view that objective oversight of such matters is best achieved when the board forms","page_number":213,"box":{"x":69,"y":541,"width":837,"height":11}},{"id":"5b9bb52c-ebde-4aa4-89c9-cab06e9ded5b","block_type":"box","text":"committees with a majority of independent directors, depending on market norms and a company’s ownership","page_number":213,"box":{"x":69,"y":556,"width":784,"height":11}},{"id":"1717bcdb-407d-4d98-bf88-8034101c3c68","block_type":"box","text":"structure. In many markets, these committees of the board specialize in audit, director nominations, and","page_number":213,"box":{"x":69,"y":571,"width":747,"height":11}},{"id":"fb553563-7698-4d33-bc2f-d4de10ff7ef9","block_type":"box","text":"compensation matters, among others. An ad hoc committee might also be formed to decide on a special transaction,","page_number":213,"box":{"x":69,"y":586,"width":836,"height":12}},{"id":"f0edebb4-fb36-451e-b695-ad4cf247c4de","block_type":"box","text":"particularly one involving a related party, or to investigate a significant adverse event.","page_number":213,"box":{"x":70,"y":601,"width":607,"height":12}},{"id":"64f411ea-22f4-4f83-84ce-65765f1baea4","block_type":"box","text":"Sufficient capacity","page_number":213,"box":{"x":68,"y":632,"width":137,"height":11}},{"id":"e7256082-4fdc-4029-bd48-6ae6125d3788","block_type":"box","text":"As the role and expectations of a director are increasingly demanding, directors must be able to commit an","page_number":213,"box":{"x":101,"y":654,"width":763,"height":12}},{"id":"a77dc6f0-f6dd-4ee9-9be3-3d30b5236e58","block_type":"box","text":"appropriate amount of time to board and committee matters. It is important that directors have the capacity to meet","page_number":213,"box":{"x":69,"y":669,"width":830,"height":12}},{"id":"db0c547f-2139-4a48-af67-97dce79f073d","block_type":"box","text":"all of their responsibilities — including when there are unforeseen events — and therefore, we consider it best","page_number":213,"box":{"x":69,"y":685,"width":791,"height":11}},{"id":"8b1ebea8-89a1-4ea6-a8b5-59f04cf23314","block_type":"box","text":"practice when they don’t take on an excessive number of roles that would impair their ability to fulfill their duties.","page_number":213,"box":{"x":70,"y":700,"width":804,"height":11}},{"id":"6e301864-2295-4868-8343-6df8370c3f1f","block_type":"box","text":"Board composition","page_number":213,"box":{"x":69,"y":730,"width":135,"height":11}},{"id":"1a5329cd-d481-433b-86b3-dda06043fd9c","block_type":"box","text":"In assessing board composition, we take into account a company’s board size, business model, strategy, market","page_number":213,"box":{"x":102,"y":753,"width":806,"height":11}},{"id":"f4dd32fa-f0a8-4a4f-92f8-f2e0230698c6","block_type":"box","text":"capitalization, and ownership structure, as well as the market in which the company operates. We find it helpful when","page_number":213,"box":{"x":69,"y":768,"width":836,"height":11}},{"id":"cf82947e-2b79-4e41-9d73-c8f7326386f1","block_type":"box","text":"companies explain how their approach to board composition supports the company’s governance practices.","page_number":213,"box":{"x":69,"y":783,"width":767,"height":11}},{"id":"ad8c418c-098c-475c-a473-2e20c1b46cf4","block_type":"box","text":"When nominating directors to the board, we look to companies to provide sufficient information on the individual","page_number":213,"box":{"x":101,"y":806,"width":802,"height":11}},{"id":"45d69623-c6f8-4b77-b4b7-8817eb439aa6","block_type":"box","text":"candidates so that shareholders can assess the capabilities and suitability of each individual nominee and their fit","page_number":213,"box":{"x":69,"y":821,"width":818,"height":11}},{"id":"afa58eca-954d-4e7e-8efe-24346a678345","block_type":"box","text":"within overall board composition. These disclosures should explain how the collective experience and expertise of the","page_number":213,"box":{"x":68,"y":836,"width":840,"height":11}},{"id":"71924076-02f8-4f26-8be9-a2ff2389899f","block_type":"box","text":"board, as well as the particular skillsets of individual directors, aligns with the company’s long-term strategy. Highly","page_number":213,"box":{"x":69,"y":851,"width":823,"height":11}},{"id":"faaddeef-d6fb-4f6f-a193-05c64e271c17","block_type":"box","text":"6","page_number":213,"box":{"x":69,"y":881,"width":4,"height":4}},{"id":"c51d68f3-a04d-4ace-88b1-a7420d8e0d3e","block_type":"box","text":"For example, please see: Tokyo Stock Exchange, “Japan’s Corporate Governance Code,” June 11, 2021; Financial","page_number":213,"box":{"x":79,"y":880,"width":813,"height":11}},{"id":"06aaa42a-6f58-4b76-afa5-ec1bc28ff225","block_type":"box","text":"Reporting Council, “UK Corporate Governance Code,” January 2024, accessed in December 2025.","page_number":213,"box":{"x":70,"y":895,"width":704,"height":12}},{"id":"59e521ea-db2c-491e-90b2-ab2fbf937187","block_type":"box","text":"BlackRock Investment Stewardship","page_number":213,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"0fa7e005-ff0a-473e-8b85-a4d578292770","block_type":"box","text":"Global Principles | 6","page_number":213,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"462ee3a7-7949-4bde-94c0-b3809203530d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":213,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"17d4de1f-172c-4b20-b257-872f00dc2829","block_type":"box","text":"qualified, engaged directors with professional characteristics relevant to a company’s business and strategy enhance","page_number":214,"box":{"x":69,"y":45,"width":836,"height":11}},{"id":"a5bbfdfe-d4bc-4746-8948-e161f744055b","block_type":"box","text":"the ability of the board to add value and be the voice of shareholders in board discussions.","page_number":214,"box":{"x":68,"y":60,"width":650,"height":11}},{"id":"7ebb24ad-2870-442d-80a8-a40bf9bde7e7","block_type":"box","text":"It is in this context that we are interested in a variety of experiences, perspectives, and skillsets in the board","page_number":214,"box":{"x":102,"y":82,"width":775,"height":12}},{"id":"664fcacb-878b-4f0a-9f5a-e7dbe4141b98","block_type":"box","text":"room. We see it as a means of avoiding “group think” in the board’s exercise of its responsibilities to advise and","page_number":214,"box":{"x":69,"y":98,"width":806,"height":11}},{"id":"c6c61e6d-2599-4122-8c11-a659a4f29d41","block_type":"box","text":"oversee management. We note that in many markets, policymakers have set board gender diversity goals which we","page_number":214,"box":{"x":69,"y":113,"width":820,"height":11}},{"id":"3e4f3b64-2369-44ab-bebb-37c6daf74a46","block_type":"box","text":"may discuss with companies, particularly if there is a risk their board composition may be misaligned.","page_number":214,"box":{"x":69,"y":128,"width":726,"height":11}},{"id":"1d569351-18c0-4286-a1de-15330fbe0f2f","block_type":"box","text":"AUDITORS AND AUDIT-RELATED ISSUES","page_number":214,"box":{"x":342,"y":158,"width":293,"height":9}},{"id":"3f42e7dc-88a7-4b0f-9b03-50ada2a9b770","block_type":"box","text":"BIS recognizes the critical importance of financial statements to provide a complete and accurate portrayal of a","page_number":214,"box":{"x":102,"y":181,"width":795,"height":11}},{"id":"dc7ed76f-1488-493a-b07d-109ffbc367b9","block_type":"box","text":"company’s financial condition. Accordingly, we look for the assumptions made by management, and reviewed by the","page_number":214,"box":{"x":69,"y":196,"width":825,"height":11}},{"id":"ee6d0af1-409e-46de-ad74-30cb35f9c86d","block_type":"box","text":"auditor in preparing the financial statements, to be reasonable and justified.","page_number":214,"box":{"x":69,"y":211,"width":543,"height":11}},{"id":"000fc0a7-cc83-4afa-846f-45ec2ea14844","block_type":"box","text":"We view the audit committee, or its equivalent, as responsible for overseeing the management of the","page_number":214,"box":{"x":101,"y":234,"width":722,"height":11}},{"id":"21820dd4-b2e7-4a2c-962e-306fd8fe9e14","block_type":"box","text":"independent auditor and the internal audit function at a company. The committee plays an important role in a","page_number":214,"box":{"x":70,"y":249,"width":778,"height":11}},{"id":"e2994a22-5f93-42fc-86ce-04e6777c0020","block_type":"box","text":"company’s financial reporting system by providing independent oversight of the accounts, material financial, and,","page_number":214,"box":{"x":69,"y":264,"width":806,"height":11}},{"id":"92bad570-1bb1-4ada-b89b-a7903d4e2528","block_type":"box","text":"where appropriate to the jurisdiction, non-financial information and internal control frameworks. Moreover, in the","page_number":214,"box":{"x":68,"y":279,"width":799,"height":11}},{"id":"7c5ab511-d00e-4674-aaf8-b25bfadd4de3","block_type":"box","text":"absence of a dedicated risk committee, these committees can provide oversight of Enterprise Risk Management","page_number":214,"box":{"x":69,"y":294,"width":801,"height":11}},{"id":"91747b06-deae-4645-b102-ab961dc747e2","block_type":"box","text":"systems.","page_number":214,"box":{"x":69,"y":310,"width":62,"height":10}},{"id":"dd89a457-0aa1-40d2-987c-a329e9ac9526","block_type":"box","text":"7","page_number":214,"box":{"x":133,"y":310,"width":4,"height":4}},{"id":"fdf9a1d8-0c21-4873-94d7-9ec213866d4d","block_type":"box","text":"In our view, effective audit committee oversight strengthens the quality and reliability of a company’s","page_number":214,"box":{"x":144,"y":309,"width":717,"height":11}},{"id":"659455c4-3006-43f5-9e5f-e3801e7b683c","block_type":"box","text":"financial statements and provides an important level of reassurance to shareholders.","page_number":214,"box":{"x":68,"y":324,"width":609,"height":11}},{"id":"e891d63b-45a9-427d-8604-89cf0ba030db","block_type":"box","text":"We look to audit committees, or their equivalent, to have clearly articulated charters that set out their","page_number":214,"box":{"x":101,"y":347,"width":727,"height":11}},{"id":"a41c61da-99b8-4178-86d6-cd84bebb874d","block_type":"box","text":"responsibilities. Additionally, having a rotation plan can periodically refresh the committee membership and introduce","page_number":214,"box":{"x":69,"y":362,"width":835,"height":11}},{"id":"a2b51be7-5fe7-408b-a447-128c48cf28ff","block_type":"box","text":"new perspectives. We recognize that audit committees will rely on management, internal audit, and the independent","page_number":214,"box":{"x":69,"y":377,"width":827,"height":12}},{"id":"d1bfd686-a015-4c5e-b169-08b922d64048","block_type":"box","text":"auditor to fulfill their responsibilities. However, we look to committee members to demonstrate they have relevant","page_number":214,"box":{"x":69,"y":392,"width":810,"height":12}},{"id":"f12aef3c-e180-4402-b768-73dfb386c3f3","block_type":"box","text":"expertise to monitor and oversee the audit process and related activities.","page_number":214,"box":{"x":69,"y":408,"width":523,"height":10}},{"id":"6518a374-9b32-4d51-ac04-34c4433c62fb","block_type":"box","text":"We take particular note of unexplained changes in reporting methodology, cases involving significant financial","page_number":214,"box":{"x":101,"y":430,"width":780,"height":11}},{"id":"d7166043-0761-4495-8ca5-a00d32e2e17f","block_type":"box","text":"restatements, or ad hoc notifications of material financial weakness. In this respect, we look to audit committees to","page_number":214,"box":{"x":69,"y":445,"width":828,"height":11}},{"id":"a3c43f18-4cc5-4763-a3df-eb2ff7c5b5f5","block_type":"box","text":"provide timely disclosure on the remediation of key and critical audit matters identified either by the external auditor","page_number":214,"box":{"x":70,"y":460,"width":827,"height":12}},{"id":"d0629d55-13ad-401d-9cb8-bffe52a28896","block_type":"box","text":"or internal audit function.","page_number":214,"box":{"x":69,"y":475,"width":178,"height":9}},{"id":"cbd38c7b-ddf8-4895-91b0-3badaae84ba0","block_type":"box","text":"The integrity of financial statements depends on the auditor being free of any impediments that could","page_number":214,"box":{"x":101,"y":498,"width":723,"height":11}},{"id":"fcf1c7f7-7577-4085-a598-4214a954de2d","block_type":"box","text":"compromise its ability to serve as an effective check on management. To that end, it is important that auditors are,","page_number":214,"box":{"x":69,"y":513,"width":825,"height":12}},{"id":"efd99366-c35e-492f-960a-917de0797222","block_type":"box","text":"and are seen to be, independent. Where an audit firm provides services to the company in addition to the audit, we","page_number":214,"box":{"x":69,"y":528,"width":824,"height":12}},{"id":"84d84032-060e-417f-a659-6b6e60c0b28e","block_type":"box","text":"look for the fees earned to be disclosed and explained. We look for audit committees to have in place a procedure for","page_number":214,"box":{"x":70,"y":543,"width":839,"height":11}},{"id":"2abcdb14-0a5f-4828-aa42-c018f1cb8fda","block_type":"box","text":"assessing the independence of the auditor and the quality of the external audit process on an annual basis.","page_number":214,"box":{"x":69,"y":559,"width":770,"height":11}},{"id":"97f7b751-935e-4a51-930e-33f8c528fd34","block_type":"box","text":"Comprehensive disclosure provides investors with an understanding of the company’s long-term operational risk","page_number":214,"box":{"x":102,"y":581,"width":799,"height":12}},{"id":"16bd91e1-d04f-4770-86d1-8223634c6610","block_type":"box","text":"management practices and, more broadly, the quality of the board’s oversight. We look to the audit or risk committee","page_number":214,"box":{"x":69,"y":596,"width":836,"height":12}},{"id":"b1d546bd-1d25-41fb-ac1a-f620fd645233","block_type":"box","text":"to periodically review the company’s risk assessment and risk management policies and the significant risks and","page_number":214,"box":{"x":68,"y":612,"width":806,"height":11}},{"id":"766128c4-362b-49ce-8e5e-0d69beef91b5","block_type":"box","text":"exposures identified by management, the internal auditors or the independent auditors, and management’s steps to","page_number":214,"box":{"x":69,"y":627,"width":829,"height":11}},{"id":"03b95fe8-eb43-4c2e-976b-ae1df4a593c1","block_type":"box","text":"address them. In the absence of detailed disclosures, we may conclude that companies are not adequately managing","page_number":214,"box":{"x":69,"y":642,"width":840,"height":11}},{"id":"20ff7b6e-cb29-4650-8e7a-d77d0a775c62","block_type":"box","text":"risk.","page_number":214,"box":{"x":69,"y":657,"width":28,"height":9}},{"id":"43900598-0543-461b-b495-9368ca37c5b0","block_type":"box","text":"CAPITAL STRUCTURE, MERGERS, ACQUISITIONS, ASSET SALES, AND OTHER SPECIAL SITUATIONS","page_number":214,"box":{"x":125,"y":687,"width":728,"height":11}},{"id":"5c7fa504-d803-46c6-9fee-0245d68e0a57","block_type":"box","text":"The capital structure of a company is critical to shareholders as it impacts the value of their investment and the","page_number":214,"box":{"x":101,"y":710,"width":798,"height":11}},{"id":"d9b397c4-aa75-41f0-8d9c-5afb5794e629","block_type":"box","text":"priority of their interest in the company relative to that of other equity or debt investors. Pre-emptive rights are a key","page_number":214,"box":{"x":70,"y":725,"width":824,"height":11}},{"id":"e75d15a4-d594-46db-9285-a238ea661c2c","block_type":"box","text":"protection for shareholders against the dilution of their interests.","page_number":214,"box":{"x":70,"y":740,"width":460,"height":11}},{"id":"e9bd1f2e-78cd-40cf-b785-50b2403d8e9e","block_type":"box","text":"In principle, we have concerns with the creation of a share class with equivalent economic exposure and","page_number":214,"box":{"x":102,"y":763,"width":743,"height":11}},{"id":"ba2512f5-00e6-4ec8-9852-b2ca2865c200","block_type":"box","text":"differentiated voting rights. As a result, BIS generally supports bylaw amendments that introduce the adoption of","page_number":214,"box":{"x":69,"y":778,"width":805,"height":11}},{"id":"498e2dec-1a1a-4e60-a3a9-a2f998ea0c2d","block_type":"box","text":"“one share, one vote” for registered shareholders.","page_number":214,"box":{"x":70,"y":793,"width":358,"height":11}},{"id":"d46eae51-74b9-4b61-919f-685cbe58fe75","block_type":"box","text":"7","page_number":214,"box":{"x":69,"y":823,"width":4,"height":4}},{"id":"a5d1f01c-5b51-4476-a70d-94a5bc67f913","block_type":"box","text":"Enterprise Risk Management is a process, effected by the entity’s board of directors, management, and other","page_number":214,"box":{"x":79,"y":822,"width":784,"height":12}},{"id":"c4fc8370-792c-4006-8f6a-6c971f65ed03","block_type":"box","text":"personnel, applied in strategy setting and across the enterprise, designed to identify potential events that may affect","page_number":214,"box":{"x":70,"y":837,"width":834,"height":12}},{"id":"f5dfd2bb-ca76-4772-87f1-f1d52e7a6c67","block_type":"box","text":"the entity, and manage risk to be within the risk appetite, to provide reasonable assurance regarding the achievement","page_number":214,"box":{"x":68,"y":853,"width":841,"height":11}},{"id":"12f7d3f9-d4e8-461d-8727-d7489bd0daf0","block_type":"box","text":"of objectives. Please see: The Committee of Sponsoring Organizations of the Treadway Commission (COSO),","page_number":214,"box":{"x":69,"y":868,"width":771,"height":11}},{"id":"d20f220c-f938-4c06-9fb8-6a2028e98d4e","block_type":"box","text":"“Enterprise Risk Management,” 2023, accessed in December 2025.","page_number":214,"box":{"x":70,"y":883,"width":488,"height":11}},{"id":"95e002d6-a5e3-4f4b-9ab0-e2da5b0bc6ef","block_type":"box","text":"BlackRock Investment Stewardship","page_number":214,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"d3cbfa90-82b6-4637-a657-2589617d317a","block_type":"box","text":"Global Principles | 7","page_number":214,"box":{"x":768,"y":942,"width":140,"height":13}},{"id":"66c9e1d4-2bcd-47a0-9b74-6c337d62921b","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":214,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"e94adac3-563b-40b0-8b87-0faecf259bcc","block_type":"box","text":"However, we recognize that in certain markets, at least for a period of time, companies may have a valid reason","page_number":215,"box":{"x":102,"y":45,"width":798,"height":11}},{"id":"f39ae19f-81b2-47b3-8216-618a5d5cb6e6","block_type":"box","text":"for listing dual classes of shares with differentiated voting rights. In our view, such companies should review these","page_number":215,"box":{"x":68,"y":60,"width":818,"height":11}},{"id":"d265f3e8-c3e2-4c06-b8ec-b5e6bda2958e","block_type":"box","text":"share class structures on a regular basis or as company circumstances change. Additionally, they should seek","page_number":215,"box":{"x":69,"y":75,"width":788,"height":11}},{"id":"ea813a6f-69cc-4220-a3f2-ee7ac6c6032e","block_type":"box","text":"shareholder approval of their capital structure on a periodic basis via a management proposal at the company’s","page_number":215,"box":{"x":69,"y":90,"width":797,"height":11}},{"id":"bec1e059-583e-44b8-9ef8-34f1617fbfef","block_type":"box","text":"shareholder meeting. The proposal should give unaffiliated shareholders the opportunity to affirm the current","page_number":215,"box":{"x":69,"y":105,"width":780,"height":11}},{"id":"c446f16e-e937-4364-be34-2f57a1e28706","block_type":"box","text":"structure or establish mechanisms to end or phase out controlling structures at the appropriate time, while","page_number":215,"box":{"x":69,"y":120,"width":764,"height":12}},{"id":"ee795508-9639-4141-9cd9-f444e2a82b39","block_type":"box","text":"minimizing costs to shareholders.","page_number":215,"box":{"x":69,"y":136,"width":238,"height":11}},{"id":"ad30a86f-7284-4e04-9840-1cd36d7f99bb","block_type":"box","text":"In assessing mergers, asset sales, or other special situations, BIS’ primary consideration is the long-term","page_number":215,"box":{"x":102,"y":158,"width":756,"height":11}},{"id":"8aa38e21-d9df-49d0-9a0f-e78ace169a0e","block_type":"box","text":"financial interests of our clients as shareholders, and so we will review any proposed transaction with that objective","page_number":215,"box":{"x":68,"y":173,"width":826,"height":11}},{"id":"23058b5e-cf32-4d61-a296-b178d4d7a8c6","block_type":"box","text":"in mind. Typically, we review factors such as whether the proposed transaction has the unanimous support of the","page_number":215,"box":{"x":70,"y":188,"width":806,"height":11}},{"id":"982f1bc1-16f4-41fa-9fc6-a025564fa358","block_type":"box","text":"board and has been negotiated at arm’s length, and whether the board or management has clearly explained its","page_number":215,"box":{"x":69,"y":204,"width":799,"height":11}},{"id":"7faa4b99-aeb4-402f-8175-3e4337b2a624","block_type":"box","text":"economic and strategic rationale. We may also seek reassurance from the board that the financial interests of","page_number":215,"box":{"x":69,"y":218,"width":788,"height":12}},{"id":"02f95da4-69ff-4715-bc2f-6ccdeab8ced5","block_type":"box","text":"executives and/or board members in a given transaction have not adversely affected their ability to place","page_number":215,"box":{"x":69,"y":234,"width":750,"height":11}},{"id":"562acefe-ee92-47bc-8606-1a8454a96a84","block_type":"box","text":"shareholders’ interests before their own. Where the transaction involves related parties, the recommendation to","page_number":215,"box":{"x":69,"y":249,"width":801,"height":11}},{"id":"37acd134-ab68-414d-a0d2-c7976911d70c","block_type":"box","text":"support should come from the independent directors, a best practice in most markets, and ideally, the terms should","page_number":215,"box":{"x":69,"y":264,"width":830,"height":11}},{"id":"63c52999-069e-4366-a930-dbc161301b90","block_type":"box","text":"have been assessed through an independent appraisal process. In addition, it is good practice that it be approved by","page_number":215,"box":{"x":69,"y":279,"width":836,"height":11}},{"id":"1df4cdcb-fa5c-49f2-971b-f921ded348be","block_type":"box","text":"a separate vote of the non-conflicted parties.","page_number":215,"box":{"x":69,"y":294,"width":320,"height":11}},{"id":"4cfd9d25-d50c-4f1c-b126-89dfa4fc928a","block_type":"box","text":"As a matter of sound governance practice, shareholders should have a right to dispose of company shares in the","page_number":215,"box":{"x":101,"y":317,"width":806,"height":11}},{"id":"689814d5-7811-45ab-a0cb-b7143998f2a7","block_type":"box","text":"open market without unnecessary restriction. In our view, corporate mechanisms designed to limit shareholders’","page_number":215,"box":{"x":69,"y":332,"width":801,"height":11}},{"id":"46fe8349-1311-4f8b-ae77-b65981f3649a","block_type":"box","text":"ability to sell their shares are contrary to basic property rights. Such mechanisms can serve to protect and entrench","page_number":215,"box":{"x":69,"y":347,"width":829,"height":11}},{"id":"04aea81a-5343-413f-9474-624aafad9431","block_type":"box","text":"interests other than those of the shareholders. In our view, shareholders are broadly capable of making decisions in","page_number":215,"box":{"x":70,"y":362,"width":826,"height":11}},{"id":"191826ef-fab8-4791-95f1-c91819b81d4a","block_type":"box","text":"their own best interests. We encourage any shareholder rights plans proposed by a board to be subject to","page_number":215,"box":{"x":68,"y":377,"width":755,"height":12}},{"id":"6f8c2e94-8473-4fc0-a72b-85267f8d6698","block_type":"box","text":"shareholder approval upon introduction and periodically thereafter.","page_number":215,"box":{"x":69,"y":392,"width":472,"height":12}},{"id":"45eb96a0-6508-44ba-8c7e-6afa7c22972c","block_type":"box","text":"EXECUTIVE COMPENSATION AND BENEFITS","page_number":215,"box":{"x":328,"y":423,"width":322,"height":9}},{"id":"628dc892-3792-4c87-98f5-d5eb71a31856","block_type":"box","text":"Executive compensation is an important tool used by companies to support long-term financial value creation. A","page_number":215,"box":{"x":102,"y":445,"width":799,"height":12}},{"id":"1b7c8cd4-cdc9-418a-85d0-749d4e81f06f","block_type":"box","text":"well-structured compensation policy rewards the successful delivery of strategic, operational, and/or financial goals;","page_number":215,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"231cc898-bf8f-454f-a8b3-0515f032e651","block_type":"box","text":"encourages an appropriate risk appetite; and aligns the interests of shareholders and executives through equity","page_number":215,"box":{"x":69,"y":475,"width":797,"height":12}},{"id":"f6dcdbd3-b58f-487b-943f-6a06de987591","block_type":"box","text":"ownership.","page_number":215,"box":{"x":69,"y":491,"width":75,"height":11}},{"id":"6926ee2c-4fd1-4807-8168-7e37ddfaf5d6","block_type":"box","text":"8","page_number":215,"box":{"x":146,"y":491,"width":4,"height":4}},{"id":"1055471b-1595-49c5-91e9-ac81b59cd444","block_type":"box","text":"We look for a clear link between variable pay and operational and financial performance that support sustained","page_number":215,"box":{"x":101,"y":513,"width":793,"height":11}},{"id":"e89b6c76-3c4e-4532-b59b-3c4bb3eb09cf","block_type":"box","text":"financial value creation for our clients as shareholders. We appreciate when performance targets incorporate","page_number":215,"box":{"x":68,"y":528,"width":778,"height":12}},{"id":"cbf514be-5008-4245-bf73-bae4b2dd8443","block_type":"box","text":"ambitious objectives, and the corresponding metrics are aligned with the company’s strategy and business model.","page_number":215,"box":{"x":69,"y":544,"width":815,"height":11}},{"id":"f259b7b7-431b-4efa-b0f5-2df485a4ec69","block_type":"box","text":"BIS does not have a position on whether companies choose to use sustainability-related criteria in compensation","page_number":215,"box":{"x":70,"y":559,"width":804,"height":11}},{"id":"5015132b-b053-46c6-a70a-75aecb41a1f5","block_type":"box","text":"structures, but, where they are included, we look to companies to be as rigorous as they would be in setting other","page_number":215,"box":{"x":69,"y":574,"width":814,"height":11}},{"id":"5760a02c-3a6a-47a8-9d63-cc97d77cabcd","block_type":"box","text":"financial or operational targets. We appreciate when long-term incentive plans encompass timeframes that: 1) are","page_number":215,"box":{"x":68,"y":589,"width":813,"height":11}},{"id":"d07c5db2-803f-498f-932b-68f676a1dbdd","block_type":"box","text":"distinct from annual executive compensation structures and metrics, and 2) encourage the delivery of strong financial","page_number":215,"box":{"x":69,"y":604,"width":839,"height":11}},{"id":"37efc8e1-22b3-49f2-8e0b-9c3fa922a1ee","block_type":"box","text":"results over a period of years.","page_number":215,"box":{"x":69,"y":619,"width":211,"height":11}},{"id":"9ebe03ce-7b0b-4f18-8174-c6ff67e6b752","block_type":"box","text":"We consider it best practice when board members responsible for designing and approving executive","page_number":215,"box":{"x":101,"y":642,"width":718,"height":11}},{"id":"f04650c3-7c59-48cb-b7f7-b7aa0c7a86df","block_type":"box","text":"compensation carefully consider the company’s specific circumstances. Factors to consider may include the","page_number":215,"box":{"x":69,"y":657,"width":770,"height":11}},{"id":"4c5e4774-cf18-4c5b-97f4-05ea6443a0df","block_type":"box","text":"company’s risk profile, the environment it operates in, and the individuals the board is trying to attract and retain. We","page_number":215,"box":{"x":69,"y":672,"width":838,"height":11}},{"id":"d711f867-2f5d-4156-a0c6-feaea9278516","block_type":"box","text":"look to the compensation committees to guard against contractual arrangements that would entitle executives to","page_number":215,"box":{"x":70,"y":687,"width":804,"height":11}},{"id":"040ca49b-5ea4-41cc-b876-f5c09cf23d01","block_type":"box","text":"material compensation for early termination of their employment. Finally, we look for pension contributions and other","page_number":215,"box":{"x":69,"y":702,"width":831,"height":11}},{"id":"1e0af037-2f06-45f8-8f34-d0d45e6e34d3","block_type":"box","text":"deferred compensation arrangements to be reasonable in light of market practices or the company’s business and","page_number":215,"box":{"x":69,"y":717,"width":817,"height":12}},{"id":"fbfbe3c7-1798-4240-8b1c-7d903b5539ec","block_type":"box","text":"executive compensation strategies.","page_number":215,"box":{"x":69,"y":733,"width":250,"height":11}},{"id":"eb7c4b5e-a976-4772-a5a0-ed4f86e16305","block_type":"box","text":"We are not supportive of one-off or special bonuses unrelated to company or individual performance. Where","page_number":215,"box":{"x":101,"y":755,"width":772,"height":11}},{"id":"7c4f8f03-c4b6-4810-adfc-467e4cf8ff29","block_type":"box","text":"discretion has been used by the compensation committee, or its equivalent, we appreciate disclosure relating to how","page_number":215,"box":{"x":69,"y":771,"width":836,"height":11}},{"id":"5e355561-3591-406c-ae3a-5f046798fc46","block_type":"box","text":"and why the discretion was used, and how the adjusted outcome is aligned with the interests of shareholders. In","page_number":215,"box":{"x":69,"y":785,"width":803,"height":12}},{"id":"c6b6f435-a8b2-4946-8433-5b5e5772b9dc","block_type":"box","text":"addition, we acknowledge that the use of peer group evaluation by compensation committees can help ensure","page_number":215,"box":{"x":69,"y":801,"width":785,"height":11}},{"id":"3291f1d5-b884-4a75-98e3-db29fc2d5bf6","block_type":"box","text":"competitive pay. However, we encourage companies to clearly explain how compensation outcomes have rewarded","page_number":215,"box":{"x":69,"y":816,"width":815,"height":11}},{"id":"330b218e-a6e9-4a42-b1b3-621f01102bdc","block_type":"box","text":"performance rather than solely base increases in total compensation on peer benchmarking.","page_number":215,"box":{"x":70,"y":831,"width":659,"height":11}},{"id":"3fc676f0-9d2e-478e-8c31-3883a30537b7","block_type":"box","text":"8","page_number":215,"box":{"x":69,"y":860,"width":4,"height":5}},{"id":"88577882-eb2a-4028-a44c-6c5bf4bdbfc9","block_type":"box","text":"The terms “compensation,” “remuneration,” and “pay” are used interchangeably to describe the same concept in","page_number":215,"box":{"x":78,"y":860,"width":811,"height":11}},{"id":"07496b9f-c478-4d8c-866d-18935438095f","block_type":"box","text":"different markets.","page_number":215,"box":{"x":69,"y":875,"width":126,"height":9}},{"id":"099116d0-e193-4742-a168-3938f667af6e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":215,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"9bbe8058-15cb-49b8-81a5-30128f8f89b3","block_type":"box","text":"Global Principles | 8","page_number":215,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"2533878f-c968-4c6f-86e6-a890748702c0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":215,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"cb6a8788-41eb-4e3e-95e3-72c425eaa91f","block_type":"box","text":"We consider the inclusion of building clawback provisions into incentive plans as good practice. Such provisions","page_number":216,"box":{"x":101,"y":45,"width":797,"height":11}},{"id":"44471f4d-7615-48ab-aca9-62c52f7a5470","block_type":"box","text":"could require executives to forgo awards when compensation was based on faulty financial statements or deceptive","page_number":216,"box":{"x":69,"y":60,"width":825,"height":11}},{"id":"d034432a-745b-41b0-913f-1123e2ecf3b4","block_type":"box","text":"business practices, or when their behavior caused material financial harm to shareholders, material reputational risk","page_number":216,"box":{"x":69,"y":75,"width":833,"height":11}},{"id":"a4d1148e-5b6a-48c4-977d-23fd542fde2d","block_type":"box","text":"to the company, or resulted in a criminal investigation.","page_number":216,"box":{"x":68,"y":90,"width":386,"height":11}},{"id":"8b84ad84-b17b-4825-85a5-93ec61999922","block_type":"box","text":"In our view, non-executive directors should be compensated in a manner that is commensurate with the time and","page_number":216,"box":{"x":102,"y":113,"width":803,"height":11}},{"id":"6acf1672-9c71-49ad-bd7a-81da517680f2","block_type":"box","text":"effort expended in fulfilling their professional responsibilities. Additionally, these compensation arrangements should","page_number":216,"box":{"x":69,"y":128,"width":834,"height":11}},{"id":"28950e21-6d10-4273-a5a4-90b253413d49","block_type":"box","text":"not risk compromising directors’ independence or aligning their interests too closely with those of the management,","page_number":216,"box":{"x":69,"y":143,"width":825,"height":11}},{"id":"c06b8805-7088-488b-830b-bf8a742abd5f","block_type":"box","text":"whom they are charged with overseeing.","page_number":216,"box":{"x":68,"y":158,"width":285,"height":11}},{"id":"9cd79eec-20a9-4e7b-95b7-97607fac8d3a","block_type":"box","text":"When assessing compensation proposals, BIS reviews companies’ disclosures to determine whether the board’s","page_number":216,"box":{"x":101,"y":181,"width":807,"height":11}},{"id":"7a5dd560-45bc-44b4-8d13-4e6abfb40b46","block_type":"box","text":"approach to executive compensation is rigorous in light of the company’s stated long-term corporate strategy and","page_number":216,"box":{"x":69,"y":196,"width":807,"height":11}},{"id":"08e51e5e-a259-4025-9d02-692dd68caaf1","block_type":"box","text":"specific circumstances, as well as local market and policy developments.","page_number":216,"box":{"x":69,"y":211,"width":521,"height":11}},{"id":"9289fd3f-5149-4b89-9ffe-b79b6ca99b94","block_type":"box","text":"When our analysis indicates that executive compensation is misaligned with company performance, BIS may not","page_number":216,"box":{"x":101,"y":234,"width":802,"height":11}},{"id":"d5c356cb-8e7d-4dc9-ae10-3045c150efb9","block_type":"box","text":"support management’s proposals to approve compensation, where they are on the agenda. We may also not support","page_number":216,"box":{"x":69,"y":249,"width":838,"height":11}},{"id":"ec0dfb46-0f75-4246-b2b7-a5fbb13d6c22","block_type":"box","text":"members of the compensation committee or equivalent board members for poor compensation practices or","page_number":216,"box":{"x":69,"y":264,"width":766,"height":11}},{"id":"e105e601-9ad1-479c-a024-6a7bdd9b5e12","block_type":"box","text":"structures.","page_number":216,"box":{"x":69,"y":280,"width":76,"height":8}},{"id":"169b4e36-9b9c-4fbc-a849-79a5366928d3","block_type":"box","text":"SHAREHOLDER PROTECTIONS AND OTHER CORPORATE GOVERNANCE MATTERS","page_number":216,"box":{"x":191,"y":309,"width":595,"height":9}},{"id":"3711e6b9-93f8-4424-a896-c9b18ff459db","block_type":"box","text":"Corporate form","page_number":216,"box":{"x":69,"y":339,"width":108,"height":11}},{"id":"cc4d2fc0-45ce-4217-8caf-9f0e8846d0f5","block_type":"box","text":"In our view, it is the responsibility of the board to determine the corporate form that is most appropriate given","page_number":216,"box":{"x":102,"y":362,"width":781,"height":11}},{"id":"60afad97-e551-49dc-8046-8dc5dddff23e","block_type":"box","text":"the company’s purpose and business model.","page_number":216,"box":{"x":68,"y":377,"width":320,"height":11}},{"id":"d2c6b4a6-a61d-46ff-9203-d53fe1483799","block_type":"box","text":"9","page_number":216,"box":{"x":390,"y":378,"width":4,"height":4}},{"id":"d1cd1240-8510-43d2-8495-d9faeeccb576","block_type":"box","text":"We look to companies proposing to change their corporate form to a","page_number":216,"box":{"x":399,"y":377,"width":487,"height":12}},{"id":"d616ea78-f66e-49be-973b-c52702598f5f","block_type":"box","text":"public benefit corporation, or similar entity, to put it to a shareholder vote if not already required to do so under","page_number":216,"box":{"x":70,"y":392,"width":791,"height":12}},{"id":"3781fd6f-b1cd-456f-b8ce-6a0767a5676a","block_type":"box","text":"applicable law. We appreciate when supporting documentation from companies or shareholders proposing to alter the","page_number":216,"box":{"x":69,"y":407,"width":839,"height":12}},{"id":"d6210458-8e45-4efa-bf75-a04fb343e606","block_type":"box","text":"corporate form clearly explains how the interests of shareholders and different stakeholders would be impacted as","page_number":216,"box":{"x":69,"y":423,"width":818,"height":11}},{"id":"7bff01d3-ed45-427f-8a4d-6ccc78a0bd34","block_type":"box","text":"well as the accountability and voting mechanisms that would be available to shareholders. We generally support","page_number":216,"box":{"x":68,"y":438,"width":800,"height":11}},{"id":"0ea4bb3b-af37-4973-a3d2-bbc5a99c4685","block_type":"box","text":"management proposals if our analysis indicates that shareholders’ financial interests are adequately protected.","page_number":216,"box":{"x":69,"y":453,"width":796,"height":11}},{"id":"f1bb67b6-65f6-4a57-8a42-c1505f652997","block_type":"box","text":"Corporate form shareholder proposals are evaluated on a case-by-case basis.","page_number":216,"box":{"x":69,"y":468,"width":552,"height":11}},{"id":"529e2f41-9499-4440-8c3b-0d19d8b1941a","block_type":"box","text":"SHAREHOLDER PROPOSALS","page_number":216,"box":{"x":385,"y":498,"width":207,"height":9}},{"id":"0bb7d2df-0db6-43d6-8bca-c6f767060d58","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":216,"box":{"x":102,"y":521,"width":777,"height":11}},{"id":"8e825cfc-272f-405a-a7c4-9d6ecba5f01a","block_type":"box","text":"long as certain requirements are met. Shareholder proposals span a wide range of topics, including governance","page_number":216,"box":{"x":70,"y":536,"width":796,"height":11}},{"id":"d932c27f-b7ea-4ff0-8879-81e6cb88adf1","block_type":"box","text":"reforms, capital management, and changes in the management or disclosure of sustainability-related risks. These","page_number":216,"box":{"x":69,"y":551,"width":813,"height":11}},{"id":"c0ab49c0-0a82-4ee3-ae87-04dcfa8b3009","block_type":"box","text":"proposals have a varying degree of relevance for companies across sectors, locations, and business models.","page_number":216,"box":{"x":70,"y":566,"width":779,"height":11}},{"id":"a7d7fc6e-58bf-435c-b158-f6e27466a92b","block_type":"box","text":"BIS takes a case-by-case approach to voting on shareholder proposals and maintains a singular focus on the","page_number":216,"box":{"x":102,"y":589,"width":775,"height":11}},{"id":"5dfa8f5b-91ec-4f99-a4bc-a8c447e4611a","block_type":"box","text":"proposal’s implications for long-term financial value creation for shareholders. Our analysis considers whether a","page_number":216,"box":{"x":70,"y":604,"width":796,"height":11}},{"id":"b86f49e2-4f92-4303-8c92-786f799d1c5b","block_type":"box","text":"shareholder proposal addresses a material risk that may impact a company’s long-term financial performance. BIS","page_number":216,"box":{"x":69,"y":619,"width":818,"height":11}},{"id":"44c6e0ba-f299-4132-bfdf-ad1376ab0744","block_type":"box","text":"may support shareholder proposals that request disclosures that help us, as long-term investors on behalf of our","page_number":216,"box":{"x":69,"y":634,"width":809,"height":12}},{"id":"d2b6f829-b8fc-4f4a-97cd-e5ae8ee46a0d","block_type":"box","text":"clients, better understand the material risks and opportunities companies face and how they are managing them,","page_number":216,"box":{"x":69,"y":649,"width":807,"height":12}},{"id":"793fa247-bf64-4ac9-874c-29e4b8f46f78","block_type":"box","text":"especially where this information is additive given the company’s existing disclosures. We look for consistency","page_number":216,"box":{"x":69,"y":664,"width":787,"height":12}},{"id":"4caa4ffe-76b4-43b5-9cc4-b652fdfc6ea1","block_type":"box","text":"between the specific request formally made in the proposal, the supporting documentation, and the proponents’","page_number":216,"box":{"x":69,"y":680,"width":801,"height":11}},{"id":"7688ad46-4d1a-46a3-8658-bcb131db11a2","block_type":"box","text":"other communications on the issues. We also assess the company’s practices and disclosures and the costs and","page_number":216,"box":{"x":69,"y":695,"width":813,"height":11}},{"id":"76d86010-97f8-42a5-9e72-07ea158b83b5","block_type":"box","text":"benefits to the company of meeting the request made in the proposal. We take into consideration a company’s","page_number":216,"box":{"x":69,"y":710,"width":791,"height":11}},{"id":"37200d5f-7053-4f23-893f-f9e5c290a106","block_type":"box","text":"governance practices and disclosures against those of their peers.","page_number":216,"box":{"x":68,"y":725,"width":475,"height":11}},{"id":"ca0f1e02-9a29-42ac-a375-a261b0afbb50","block_type":"box","text":"BIS does not support shareholder proposals that we view as inconsistent with long-term financial value or that","page_number":216,"box":{"x":102,"y":748,"width":787,"height":11}},{"id":"8d9a8daf-be41-49ff-9ed4-0ca2e588ebed","block_type":"box","text":"seek to micromanage companies. We take into consideration the legal effect of the proposal, as shareholder","page_number":216,"box":{"x":69,"y":763,"width":778,"height":11}},{"id":"4475a46b-a69d-4bb4-8713-c084af1a40ad","block_type":"box","text":"proposals may be advisory or legally binding depending on the jurisdiction, while others may make requests that","page_number":216,"box":{"x":70,"y":778,"width":799,"height":11}},{"id":"1d13fb75-f446-4f7f-a326-9a5ecb51de25","block_type":"box","text":"would be deemed illegal in a given jurisdiction.","page_number":216,"box":{"x":68,"y":793,"width":331,"height":11}},{"id":"8e2b5b1a-f97f-4b33-ac4b-5563b70197b0","block_type":"box","text":"In our experience, it is helpful when companies disclose the names of the proponent or organization that has","page_number":216,"box":{"x":102,"y":816,"width":777,"height":11}},{"id":"48324c39-be4c-48e0-8f5f-cddcaf0baf72","block_type":"box","text":"submitted or advised on the proposal. We recognize that some shareholder proposals bundle topics and/or specific","page_number":216,"box":{"x":69,"y":831,"width":825,"height":11}},{"id":"bdaa23e5-db34-47b1-89e0-35b89e5f6a5c","block_type":"box","text":"requests. Further, the proponent’s supporting statement may refer to topics that are not directly related to the","page_number":216,"box":{"x":69,"y":846,"width":788,"height":11}},{"id":"ca22e5b6-80e1-4c6e-a14b-ab3d64669bd4","block_type":"box","text":"request made in the proposal. In voting on behalf of clients, we must vote yes or no on the proposal as phrased by","page_number":216,"box":{"x":69,"y":861,"width":820,"height":11}},{"id":"488252ff-dfae-4430-90a0-600aaa169087","block_type":"box","text":"the proponent. Therefore, when we vote in support of a proposal, we are not necessarily endorsing every element of","page_number":216,"box":{"x":68,"y":876,"width":831,"height":11}},{"id":"abe4bc18-354c-49c6-bdd0-2ed0c83d1a1f","block_type":"box","text":"9","page_number":216,"box":{"x":69,"y":906,"width":4,"height":4}},{"id":"fb7747e8-ee8e-4763-bbef-648ea75b6e77","block_type":"box","text":"Corporate form refers to the legal structure by which a business is organized.","page_number":216,"box":{"x":79,"y":905,"width":550,"height":12}},{"id":"2a219584-dcea-4ec8-9af0-d5b8e1775e8c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":216,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"e5965e43-4cbc-489e-9d59-1b562147f6ff","block_type":"box","text":"Global Principles | 9","page_number":216,"box":{"x":768,"y":942,"width":141,"height":13}},{"id":"bd3bc549-8360-473f-82d2-bf6f68c3be6a","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":216,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"40ea82ae-c8fb-440f-b715-936a06928e8e","block_type":"box","text":"the proposal or the reasoning, objectives, or supporting statement of the proponent. We may support a proposal for","page_number":217,"box":{"x":68,"y":45,"width":829,"height":11}},{"id":"169fd689-f10d-4d70-a239-cb84f57b9f6b","block_type":"box","text":"different reasons than those put forth by the proponent, when we believe that overall it may advance our clients’","page_number":217,"box":{"x":69,"y":60,"width":802,"height":11}},{"id":"3ed5424c-1268-4331-83cd-50215852083d","block_type":"box","text":"long-term financial interests.","page_number":217,"box":{"x":70,"y":75,"width":201,"height":11}},{"id":"988800ab-4861-4aaa-aac8-c228c19ce6f2","block_type":"box","text":"BlackRock is subject to certain rules, regulations, agency guidance, and contractual agreements that place","page_number":217,"box":{"x":102,"y":98,"width":763,"height":11}},{"id":"1f24e5a1-7e3e-436e-8fe7-e65e30087d2c","block_type":"box","text":"restrictions and limitations on how BlackRock can interact with the companies in which we invest on behalf of our","page_number":217,"box":{"x":69,"y":113,"width":809,"height":11}},{"id":"3acc08c9-11f9-4674-87b8-1f45b35f3334","block_type":"box","text":"clients. BlackRock does not nominate directors for board elections or submit shareholder proposals to companies.","page_number":217,"box":{"x":69,"y":128,"width":817,"height":11}},{"id":"37efddb5-417a-486b-ad59-0a645ce0fd0c","block_type":"box","text":"Non-compliance with these requirements could adversely affect BlackRock’s ability to serve its clients’ interests.","page_number":217,"box":{"x":70,"y":143,"width":803,"height":11}},{"id":"be8ce14a-8954-4db7-ab4d-913e9b3cbe10","block_type":"box","text":"MATERIAL SUSTAINABILITY-RELATED RISKS AND OPPORTUNITIES","page_number":217,"box":{"x":247,"y":173,"width":484,"height":9}},{"id":"b84dfa06-c72f-46ca-b326-49a46b9b3ea7","block_type":"box","text":"Appropriate oversight of material risks and opportunities, including material sustainability-related risks and","page_number":217,"box":{"x":101,"y":196,"width":760,"height":11}},{"id":"31547a78-fcfe-41cb-9c63-370691faa7b5","block_type":"box","text":"opportunities, is an important component of having an effective governance framework that supports durable, long","page_number":217,"box":{"x":69,"y":211,"width":824,"height":11}},{"id":"cc1470f2-31c2-4d0b-84bd-875f645b2f47","block_type":"box","text":"term financial value creation.","page_number":217,"box":{"x":68,"y":226,"width":206,"height":9}},{"id":"39888f7f-4265-40b7-ab80-640ebcf1dc8f","block_type":"box","text":"10","page_number":217,"box":{"x":276,"y":226,"width":9,"height":5}},{"id":"eaf6f170-981c-4e0f-8ce1-053a1f35552e","block_type":"box","text":"We look to companies to provide robust disclosure that allows investors to effectively evaluate companies’","page_number":217,"box":{"x":101,"y":249,"width":761,"height":11}},{"id":"f9819e12-c058-4ccd-b07b-15c66e754993","block_type":"box","text":"strategy and business practices related to material sustainability-related risks and opportunities. We find it helpful","page_number":217,"box":{"x":69,"y":264,"width":814,"height":11}},{"id":"7b2a4fbd-0b83-4e25-b52a-e168a1395044","block_type":"box","text":"when companies’ disclosures demonstrate that they have a resilient business model that integrates material","page_number":217,"box":{"x":68,"y":279,"width":777,"height":11}},{"id":"2fc245ec-753a-47d3-9757-cc74231a6260","block_type":"box","text":"sustainability-related risks and opportunities into their strategy, risk management, and metrics and targets, including","page_number":217,"box":{"x":69,"y":294,"width":833,"height":11}},{"id":"969663a6-e1e7-49ce-84ed-d0594b27448d","block_type":"box","text":"industry-specific metrics.","page_number":217,"box":{"x":70,"y":309,"width":175,"height":11}},{"id":"36837e20-1a9b-41c9-8823-f0cbb7b828ff","block_type":"box","text":"Standardized disclosure of sustainability-related data supports investors in making informed decisions. The","page_number":217,"box":{"x":102,"y":332,"width":765,"height":11}},{"id":"92e042c2-3bc6-447f-bdd9-a9ee29b99954","block_type":"box","text":"International Sustainability Standards Board (ISSB) standards, IFRS S1 and S2, represent one such approach to","page_number":217,"box":{"x":70,"y":347,"width":800,"height":11}},{"id":"28574333-fb38-41c9-b0e6-61b23dfff702","block_type":"box","text":"standardization that we find useful in our analysis.","page_number":217,"box":{"x":69,"y":362,"width":358,"height":11}},{"id":"e64a1849-26c4-403d-b098-7b3d9f4f3afc","block_type":"box","text":"11","page_number":217,"box":{"x":429,"y":363,"width":9,"height":4}},{"id":"cc0e5ddc-efe3-455b-a7db-491715d13f55","block_type":"box","text":"However, we do not mandate any specific disclosure framework","page_number":217,"box":{"x":444,"y":362,"width":451,"height":11}},{"id":"a80d59bd-56d2-4156-9430-394b8c3fc836","block_type":"box","text":"companies should use, and recognize that companies may report using different standards, some of which may be","page_number":217,"box":{"x":69,"y":377,"width":821,"height":12}},{"id":"7ef30113-a2c4-4fa0-a789-4c958fdb3ffa","block_type":"box","text":"required by regulation. In such cases, we ask that companies highlight the metrics that are industry- or company","page_number":217,"box":{"x":69,"y":393,"width":806,"height":11}},{"id":"46087a27-8170-4b6b-89c9-3b8c2815c707","block_type":"box","text":"specific.","page_number":217,"box":{"x":69,"y":407,"width":57,"height":11}},{"id":"e35051eb-6d97-49ce-b137-c69119c8e8fe","block_type":"box","text":"We also recognize that companies may be phasing in reporting over several years. We do not prescribe timelines","page_number":217,"box":{"x":101,"y":430,"width":805,"height":11}},{"id":"9c7f2006-64bb-4754-b45a-9bf8e82ad1f3","block_type":"box","text":"regarding when companies should make sustainability-related disclosures but appreciate it when companies produce","page_number":217,"box":{"x":69,"y":446,"width":833,"height":11}},{"id":"a13097dc-99c9-412d-9780-34f35746771b","block_type":"box","text":"them sufficiently in advance of their shareholder meeting, to the best of their abilities, to provide investors with time","page_number":217,"box":{"x":68,"y":460,"width":830,"height":12}},{"id":"cb890bec-f159-49e3-9146-c956415e94a7","block_type":"box","text":"to assess the data and make informed voting decisions.","page_number":217,"box":{"x":68,"y":475,"width":401,"height":12}},{"id":"e8d1f317-f6e3-489c-af2c-a6538f75d7b2","block_type":"box","text":"Industry initiatives on managing specific operational risks may also provide useful guidance to companies on","page_number":217,"box":{"x":102,"y":498,"width":775,"height":11}},{"id":"eb04873c-c6de-4f1a-b6e1-1a1c920269e5","block_type":"box","text":"best practices and disclosures. While not a voting item, we find it helpful to our understanding of investment risk","page_number":217,"box":{"x":69,"y":513,"width":804,"height":12}},{"id":"2d3b94eb-b3e1-47cf-b545-5bf4e24cad2e","block_type":"box","text":"when companies disclose any relevant global sustainability-related standards adopted, the industry initiatives in","page_number":217,"box":{"x":68,"y":529,"width":799,"height":11}},{"id":"c42908fa-5def-4e4b-8dfa-6a86c7f55032","block_type":"box","text":"which they participate, any peer group benchmarking undertaken, and any assurance processes to help investors","page_number":217,"box":{"x":68,"y":544,"width":810,"height":11}},{"id":"70c115ad-3343-4791-9297-968c05788516","block_type":"box","text":"understand their approach to sustainable and responsible business practices.","page_number":217,"box":{"x":69,"y":559,"width":556,"height":11}},{"id":"cdd5ec7d-98dc-4252-9b19-015915981048","block_type":"box","text":"10","page_number":217,"box":{"x":69,"y":603,"width":9,"height":5}},{"id":"fe191196-c6b8-4d19-9667-38a5143bc0aa","block_type":"box","text":"By material sustainability-related risks and opportunities, we mean the drivers of risk and financial value creation in","page_number":217,"box":{"x":84,"y":603,"width":822,"height":11}},{"id":"0410e8cc-21f7-4828-815f-d11f0a50ceda","block_type":"box","text":"a company’s business model that have an environmental or social dependency or impact. Examples of environmental","page_number":217,"box":{"x":69,"y":618,"width":835,"height":11}},{"id":"006039eb-ccce-473f-9568-766458872878","block_type":"box","text":"issues include, but are not limited to, water use, land use, waste management, and climate risk. Examples of social","page_number":217,"box":{"x":70,"y":633,"width":827,"height":12}},{"id":"5c263f02-5763-46c6-af7b-46291e3852e4","block_type":"box","text":"issues include, but are not limited to, human capital management, impacts on the communities in which a company","page_number":217,"box":{"x":70,"y":649,"width":826,"height":11}},{"id":"aaa68c16-6daa-4886-9342-0c7abd591fbc","block_type":"box","text":"operates, customer loyalty, and relationships with regulators.","page_number":217,"box":{"x":69,"y":664,"width":433,"height":11}},{"id":"0609b4b0-7cd9-492f-a58a-ddd2d88f17b8","block_type":"box","text":"11","page_number":217,"box":{"x":69,"y":682,"width":9,"height":4}},{"id":"356c3098-401d-4d8c-b6cc-d8968f01f604","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":217,"box":{"x":83,"y":681,"width":744,"height":11}},{"id":"b7f03338-8051-4484-9263-fb6f881adaee","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":217,"box":{"x":69,"y":696,"width":828,"height":11}},{"id":"2f566ea5-1251-4fda-9420-e53c8d3e78ca","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":217,"box":{"x":69,"y":711,"width":830,"height":12}},{"id":"21889cc5-e415-456e-84c6-22d9a42e848f","block_type":"box","text":"converged under the ISSB. Please refer to the IFRS website to learn more about the framework and standards S1","page_number":217,"box":{"x":69,"y":726,"width":809,"height":12}},{"id":"338657e2-1da2-413c-912c-fd98bfc39264","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":217,"box":{"x":70,"y":742,"width":778,"height":11}},{"id":"dff7110a-590f-4a26-a301-70cabc09a426","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":217,"box":{"x":70,"y":757,"width":380,"height":9}},{"id":"2645c1c0-eee1-4272-b558-745b07b35d71","block_type":"box","text":"BlackRock Investment Stewardship","page_number":217,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"7fbaf889-59f8-4b4e-9476-291fb55c31cc","block_type":"box","text":"Global Principles | 10","page_number":217,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"d9ec784f-18f1-49dd-a285-bdcbbd34e323","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":217,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"79895efe-acc9-4ac0-953e-d797177427a9","block_type":"box","text":"CLIMATE AND NATURE-RELATED RISK","page_number":218,"box":{"x":351,"y":45,"width":277,"height":9}},{"id":"2e2efcd7-c6c0-4c31-937a-77dfa1824c36","block_type":"box","text":"Many companies are assessing how to navigate the low-carbon transition while delivering long-term financial","page_number":218,"box":{"x":102,"y":67,"width":769,"height":12}},{"id":"96da5452-cfab-4ea0-850a-f64418161265","block_type":"box","text":"value to investors. For companies facing material climate-related risks, we find it helpful when they publicly disclose,","page_number":218,"box":{"x":68,"y":82,"width":829,"height":12}},{"id":"7a07c181-ac1e-4f7c-b0be-d5da042987b4","block_type":"box","text":"consistent with their business model and sector, how they intend to deliver long-term financial performance through","page_number":218,"box":{"x":69,"y":98,"width":824,"height":11}},{"id":"76af28a9-f8cd-4e42-bbee-d558dda87564","block_type":"box","text":"the low-carbon transition, including where available, their transition plan.","page_number":218,"box":{"x":68,"y":113,"width":514,"height":11}},{"id":"45088d5b-33ad-4929-80a7-75cc574424ad","block_type":"box","text":"12, 13","page_number":218,"box":{"x":584,"y":113,"width":26,"height":5}},{"id":"e28ceb57-7ace-4e0b-acbe-3755c97e9530","block_type":"box","text":"From company disclosures and","page_number":218,"box":{"x":617,"y":113,"width":218,"height":11}},{"id":"503f07a3-1313-48a6-a795-5694510f0be3","block_type":"box","text":"engagement, we seek to understand the strategies companies have in place to manage material risks to, and","page_number":218,"box":{"x":69,"y":128,"width":782,"height":11}},{"id":"58eb54fe-0307-43e4-bdcd-fab1b08b1364","block_type":"box","text":"opportunities for, their long-term business model associated with a range of climate-related scenarios.","page_number":218,"box":{"x":69,"y":143,"width":729,"height":11}},{"id":"d54d0eea-46f6-47f2-8f6f-5801e1f1cfa7","block_type":"box","text":"Recognizing the value of these disclosures, certain markets such as the European Union mandate large","page_number":218,"box":{"x":102,"y":166,"width":740,"height":11}},{"id":"c2bf1fb3-2491-4af2-9336-672e5b0e4bba","block_type":"box","text":"companies to disclose such climate-related financial information, while in other jurisdictions these disclosures are","page_number":218,"box":{"x":69,"y":181,"width":814,"height":11}},{"id":"9cd087d2-7d80-4f53-bf5e-749a24f78795","block_type":"box","text":"viewed as best practice in the market.","page_number":218,"box":{"x":68,"y":196,"width":271,"height":11}},{"id":"11ce3701-8f10-4399-b0ce-5df58cbdbab3","block_type":"box","text":"The ISSB standards provide one such framework that can assist investors in assessing company-specific","page_number":218,"box":{"x":101,"y":218,"width":749,"height":12}},{"id":"898c4657-08dc-41b4-b37c-c9766109c219","block_type":"box","text":"climate-related risks and opportunities, and informing investment decisions. Such disclosures also provide investors","page_number":218,"box":{"x":69,"y":234,"width":831,"height":11}},{"id":"53a83326-ffde-4ab4-9426-9142d91b7a62","block_type":"box","text":"with insights into how companies are managing the risks associated with a transition to a low-carbon economy by","page_number":218,"box":{"x":68,"y":249,"width":809,"height":11}},{"id":"5da7b433-7987-4387-9abb-265375f5ffbb","block_type":"box","text":"managing their own carbon emissions or emissions intensities to the extent financially practicable.","page_number":218,"box":{"x":69,"y":264,"width":702,"height":11}},{"id":"900138a4-24df-4ded-9636-0837bb0de871","block_type":"box","text":"The ISSB standards, for example, contemplate disclosures on how companies are setting short-, medium- and","page_number":218,"box":{"x":101,"y":286,"width":786,"height":12}},{"id":"6946410b-1f4f-42bb-aca8-02e6e65bd7a2","block_type":"box","text":"long-term targets, ideally science-based where these are available for their sector, for scope 1 and 2 greenhouse gas","page_number":218,"box":{"x":70,"y":302,"width":834,"height":11}},{"id":"badaf149-21bd-4824-92d9-6cd35dd2d49c","block_type":"box","text":"emissions (GHG) reductions and to demonstrate how their targets are consistent with the long-term financial","page_number":218,"box":{"x":69,"y":317,"width":773,"height":11}},{"id":"52f2d02e-2099-465a-a241-1d7f84e747df","block_type":"box","text":"interests of their investors.","page_number":218,"box":{"x":70,"y":332,"width":190,"height":9}},{"id":"47597b60-d580-4ff9-bebe-f948868fca86","block_type":"box","text":"While we recognize that regulators in some markets are moving to mandate certain disclosures, at this stage,","page_number":218,"box":{"x":101,"y":355,"width":784,"height":11}},{"id":"05263eae-bb4e-405b-b89c-6c1003f6ff02","block_type":"box","text":"we view scope 3 emissions differently from scopes 1 and 2, given methodological complexity, regulatory uncertainty,","page_number":218,"box":{"x":68,"y":370,"width":832,"height":11}},{"id":"5be297c4-fecc-42c0-8089-acef0addd770","block_type":"box","text":"concerns about double-counting, and lack of direct control by companies. We welcome disclosures and commitments","page_number":218,"box":{"x":69,"y":385,"width":834,"height":11}},{"id":"c0212b0f-a10c-4b8d-be27-3e812af4b3b0","block_type":"box","text":"that companies choose to make regarding material scope 3 emissions and recognize that these are provided on a","page_number":218,"box":{"x":68,"y":400,"width":815,"height":11}},{"id":"72faa4c3-de09-4b59-89c1-2b3f62ca8b62","block_type":"box","text":"good-faith basis as methodology develops.","page_number":218,"box":{"x":68,"y":415,"width":303,"height":11}},{"id":"996061b3-3682-40a8-a3f2-c261b7e02ad8","block_type":"box","text":"In addition to climate-related risks and opportunities, for companies whose strategies, operations or supply","page_number":218,"box":{"x":102,"y":438,"width":766,"height":11}},{"id":"533d24fc-8d8a-44c2-8995-81a74f59f53c","block_type":"box","text":"chains are materially reliant on natural capital, nature-related risks and opportunities may affect their ability to","page_number":218,"box":{"x":69,"y":453,"width":788,"height":11}},{"id":"842f5550-a212-40d1-b574-8fade864ab51","block_type":"box","text":"generate long-term financial returns.","page_number":218,"box":{"x":68,"y":468,"width":258,"height":11}},{"id":"72cc4027-7c2f-4177-b388-cbc02882dbaf","block_type":"box","text":"14","page_number":218,"box":{"x":328,"y":468,"width":9,"height":5}},{"id":"c0535734-7ee6-4248-bb3e-6037016960c9","block_type":"box","text":"For these companies, we rely on disclosures to understand how their","page_number":218,"box":{"x":344,"y":468,"width":490,"height":11}},{"id":"c1153ecd-6c0e-4a8e-bb3a-5df39316c1c3","block_type":"box","text":"strategies consider nature-related impacts and dependencies and to assess how the board oversees these risks.","page_number":218,"box":{"x":69,"y":483,"width":807,"height":11}},{"id":"7929786e-2a25-458a-9cd6-932fe2f5e111","block_type":"box","text":"15","page_number":218,"box":{"x":878,"y":484,"width":9,"height":4}},{"id":"16dbe478-5954-42d3-823f-56627ab96391","block_type":"box","text":"COMPANIES’ IMPACT ON THEIR WORKFORCE, SUPPLY CHAINS, AND COMMUNITIES","page_number":218,"box":{"x":179,"y":513,"width":620,"height":11}},{"id":"1ad359a6-64b2-4d0e-98a1-9078761b1a88","block_type":"box","text":"Companies determine their key stakeholders based on what is material to their business and long-term financial","page_number":218,"box":{"x":102,"y":536,"width":799,"height":11}},{"id":"46786e65-d24f-4801-9f11-c3982682edba","block_type":"box","text":"performance. For many companies, key stakeholders include employees, business supply chains, clients and","page_number":218,"box":{"x":70,"y":551,"width":778,"height":11}},{"id":"1a558938-9b4b-4e85-a48e-6e50aeb3bc51","block_type":"box","text":"consumers, regulators, and the communities in which they operate.","page_number":218,"box":{"x":69,"y":566,"width":479,"height":11}},{"id":"9826ad6c-4089-4054-8152-b79d4ffae943","block_type":"box","text":"In our experience, companies that invest in the relationships that are critical to their strategic objectives are","page_number":218,"box":{"x":102,"y":589,"width":770,"height":11}},{"id":"a42c61cc-af93-4808-aa53-8ae68fd76487","block_type":"box","text":"more likely to deliver durable, long-term financial performance. By contrast, we have found that poor relationships","page_number":218,"box":{"x":69,"y":604,"width":810,"height":11}},{"id":"9d568ad9-64c7-4f76-9060-e71c196486c0","block_type":"box","text":"12","page_number":218,"box":{"x":69,"y":634,"width":9,"height":4}},{"id":"1a87a301-41e4-4583-b56c-942223616bbd","block_type":"box","text":"We have observed that more companies are developing such plans, and public policymakers in certain markets are","page_number":218,"box":{"x":83,"y":633,"width":823,"height":12}},{"id":"96d9ef95-285e-41e9-a549-65e5fcbc1f58","block_type":"box","text":"signaling their intentions to require them or already have requirements in place, such as Australia, Brazil, and the","page_number":218,"box":{"x":69,"y":649,"width":808,"height":11}},{"id":"9df1f915-62f0-483d-b7a9-784204e26155","block_type":"box","text":"European Union (please see the International Transition Plan Network for information). We view transition plans as a","page_number":218,"box":{"x":70,"y":663,"width":827,"height":11}},{"id":"914af562-4b55-4c79-9b65-5d3ccee65101","block_type":"box","text":"method for a company to both internally assess and externally communicate its long-term strategy, ambition,","page_number":218,"box":{"x":69,"y":679,"width":774,"height":11}},{"id":"51d83b49-7eb2-4305-8cd1-0935db6fbd16","block_type":"box","text":"objectives, and actions to create financial value through the global transition towards a low-carbon economy. Across","page_number":218,"box":{"x":69,"y":694,"width":825,"height":11}},{"id":"97cf97ca-15a7-4885-b378-30a342a1d934","block_type":"box","text":"the landscape there remains divergence on the objectives of such plans and the details they should contain. While","page_number":218,"box":{"x":68,"y":709,"width":819,"height":11}},{"id":"02fd25f8-9f6a-4cf1-848d-8f15b5173970","block_type":"box","text":"transition plans can be helpful disclosure, BIS does not make the preparation and production of transition plans a","page_number":218,"box":{"x":68,"y":724,"width":813,"height":11}},{"id":"4cab0b04-5277-4986-aa50-b905b7e6dad5","block_type":"box","text":"voting issue. BIS may engage companies that have chosen to publish a transition plan to understand their planned","page_number":218,"box":{"x":68,"y":739,"width":819,"height":11}},{"id":"8ab99462-c322-429c-9fdc-dacbd901c3b6","block_type":"box","text":"actions and resource implications. Website accessed in December 2025.","page_number":218,"box":{"x":69,"y":754,"width":522,"height":11}},{"id":"e79c08a7-f479-4a40-9374-f4fb5e205766","block_type":"box","text":"13","page_number":218,"box":{"x":69,"y":772,"width":9,"height":5}},{"id":"1777c136-7cd5-42b8-98b0-756d57edc258","block_type":"box","text":"For more information, please see our commentary “Climate-related risks and a low-carbon transition,” December","page_number":218,"box":{"x":84,"y":772,"width":804,"height":11}},{"id":"0c66daf8-2011-441f-ba1c-b159759ce1de","block_type":"box","text":"2025.","page_number":218,"box":{"x":69,"y":787,"width":42,"height":9}},{"id":"ae968057-d016-43a8-84ac-d12df986ee37","block_type":"box","text":"14","page_number":218,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"ac69a9c6-1cab-4a5b-b550-fe376bd2bef3","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on natural capital,” December","page_number":218,"box":{"x":84,"y":805,"width":796,"height":11}},{"id":"197e8663-ee9b-4e8a-af1e-04ddf2aff533","block_type":"box","text":"2025.","page_number":218,"box":{"x":69,"y":820,"width":42,"height":9}},{"id":"3b6fd39f-ef79-40c3-98d0-56aee199330e","block_type":"box","text":"15","page_number":218,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"2e7f5ade-399f-464b-a010-92541c1598d6","block_type":"box","text":"Given the growing awareness of the materiality of these issues for certain businesses, enhanced reporting on a","page_number":218,"box":{"x":84,"y":837,"width":797,"height":12}},{"id":"d640465c-78ac-40a3-97d8-4710170cc9bd","block_type":"box","text":"company’s natural capital dependencies and impacts would aid investors’ understanding. The recommendations of","page_number":218,"box":{"x":69,"y":852,"width":820,"height":12}},{"id":"548b089d-23f1-4f2f-a4f4-565e9eae4ec0","block_type":"box","text":"the Taskforce on Nature-related Financial Disclosures (TNFD) may prove useful to some companies. We recognize that","page_number":218,"box":{"x":68,"y":868,"width":842,"height":11}},{"id":"d942ea68-f4b1-4ca1-afa7-5d34f5d9cca5","block_type":"box","text":"some companies may report using different standards, which may be required by regulation, or one of a number of","page_number":218,"box":{"x":69,"y":883,"width":820,"height":11}},{"id":"a7c75485-4979-4cbe-828e-caea1172672c","block_type":"box","text":"other private sector standards. TNFD-aligned reporting is not a voting issue. Website accessed in December 2025.","page_number":218,"box":{"x":69,"y":898,"width":817,"height":11}},{"id":"339b49d6-4219-4661-8cf2-5c8808c1958c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":218,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"35663694-c045-43f8-8796-6ad13ec12baf","block_type":"box","text":"Global Principles | 11","page_number":218,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"580f3d38-fef5-4a62-afba-4fa4c19a88a4","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":218,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"8bd827a7-91da-4a00-be51-eebf36163783","block_type":"box","text":"may create adverse impacts that could expose companies to legal, regulatory, operational, and reputational risks.","page_number":219,"box":{"x":69,"y":45,"width":811,"height":11}},{"id":"95a860a2-0742-4376-af8d-fc8d17d795e3","block_type":"box","text":"This is particularly relevant to a company’s workforce, which is central to long-term financial value creation.","page_number":219,"box":{"x":68,"y":60,"width":764,"height":11}},{"id":"a11dd015-13f5-4ea7-8542-3bf4930d7b2f","block_type":"box","text":"16","page_number":219,"box":{"x":834,"y":60,"width":9,"height":5}},{"id":"e0611e78-1447-418a-a801-bbacd310a17b","block_type":"box","text":"As a long-term shareholder on behalf of our clients, we find it helpful when companies disclose how they have","page_number":219,"box":{"x":101,"y":82,"width":783,"height":12}},{"id":"1b4b210c-a704-4da1-9872-3ad67645e96f","block_type":"box","text":"identified their key stakeholders and considered their interests in business decision-making. In addition to","page_number":219,"box":{"x":70,"y":98,"width":755,"height":11}},{"id":"5f83db32-6cb6-46e8-bbd0-e920e0df126a","block_type":"box","text":"understanding broader stakeholder relationships, BIS finds it helpful when companies discuss how they consider the","page_number":219,"box":{"x":69,"y":113,"width":831,"height":11}},{"id":"46a80904-107e-47a8-a007-8be6e77885b6","block_type":"box","text":"needs of their workforce today, and the skills required for their future business strategy. We are also interested in","page_number":219,"box":{"x":69,"y":128,"width":809,"height":11}},{"id":"47c4d71f-f931-4456-b9e8-589e697b43ad","block_type":"box","text":"understanding how the board monitors and engages on these matters, given it is well positioned to ensure that the","page_number":219,"box":{"x":69,"y":143,"width":821,"height":11}},{"id":"a6ee9743-4e8a-4851-9704-eaa0980a434f","block_type":"box","text":"approach taken by management is informed by and aligns with the company’s strategy. BIS does not direct a","page_number":219,"box":{"x":69,"y":158,"width":775,"height":11}},{"id":"4c9a265d-4757-431d-a9eb-48a3fd37289f","block_type":"box","text":"company’s policies or practices, which are the responsibility of management and the board.","page_number":219,"box":{"x":69,"y":173,"width":653,"height":11}},{"id":"1ab234b7-bd71-4f72-b0d4-a0d7e9d4df28","block_type":"box","text":"In addition, we find it helpful when companies disclose their approach to addressing material adverse impacts","page_number":219,"box":{"x":102,"y":196,"width":784,"height":11}},{"id":"9bc3bb1f-2b9c-44cf-a5b5-0a003bf95820","block_type":"box","text":"that could arise from their business practices and affect critical relationships with their stakeholders. We encourage","page_number":219,"box":{"x":68,"y":211,"width":829,"height":11}},{"id":"b305ecd8-3968-4a4d-97cc-ed858c75917f","block_type":"box","text":"companies to implement, to the extent appropriate, monitoring processes (often referred to as due diligence) to","page_number":219,"box":{"x":69,"y":226,"width":797,"height":11}},{"id":"05b76cb5-f388-4f72-b23e-540930dd980b","block_type":"box","text":"identify and mitigate potential adverse impacts and grievance mechanisms to remediate any actual adverse material","page_number":219,"box":{"x":70,"y":241,"width":828,"height":11}},{"id":"6b0f3152-0737-4321-9aab-7a844f9045bb","block_type":"box","text":"impacts.","page_number":219,"box":{"x":70,"y":257,"width":58,"height":10}},{"id":"114b8e8a-0121-44e6-9267-16cc5c72e1a5","block_type":"box","text":"We look to boards to oversee management’s approach to addressing material risks related to key stakeholders","page_number":219,"box":{"x":101,"y":279,"width":794,"height":11}},{"id":"beade4fe-98f3-44e8-9a20-f3c717b44f3e","block_type":"box","text":"and may convey concerns about board oversight in our voting on director elections or supporting a business relevant","page_number":219,"box":{"x":69,"y":294,"width":831,"height":11}},{"id":"01794da9-f8b1-4033-a4c6-983c37c3df16","block_type":"box","text":"shareholder proposal when, in our assessment, the board is not acting in shareholders’ long-term financial interests.","page_number":219,"box":{"x":69,"y":309,"width":834,"height":11}},{"id":"559b4903-17af-419b-841d-1abbd31d9826","block_type":"box","text":"BLACKROCK’S OVERSIGHT OF ITS INVESTMENT STEWARDSHIP ACTIVITIES","page_number":219,"box":{"x":213,"y":340,"width":553,"height":8}},{"id":"04cd2569-a114-4d7b-ba3a-5a3d5f715353","block_type":"box","text":"BIS’ governance structure supports oversight and accountability of stewardship-related activities on behalf of","page_number":219,"box":{"x":102,"y":362,"width":778,"height":11}},{"id":"d0ee32a4-fa6b-408e-9820-e3180b6f2778","block_type":"box","text":"clients at the global and regional level.","page_number":219,"box":{"x":69,"y":377,"width":274,"height":12}},{"id":"4b9f7c23-93f3-4111-b496-1ed934a94012","block_type":"box","text":"At the top of this governance structure, the risk-focused BIS Global Oversight Committee (the Committee)","page_number":219,"box":{"x":101,"y":400,"width":751,"height":11}},{"id":"128aa0bf-9663-4946-be20-33e12df6700e","block_type":"box","text":"supports BIS’ regulatory responsibilities in relation to proxy voting, including adherence to policies and procedures as","page_number":219,"box":{"x":69,"y":415,"width":840,"height":11}},{"id":"4887057b-7630-4fc1-b6c4-0d9c53b6b609","block_type":"box","text":"well as market-level stewardship requirements. The Committee reviews and approves amendments to the Global","page_number":219,"box":{"x":68,"y":430,"width":802,"height":11}},{"id":"351beea2-0855-4e69-b10c-2fb56afee24e","block_type":"box","text":"Principles and regional voting guidelines. The Committee also reviews periodic reports regarding the votes cast by","page_number":219,"box":{"x":69,"y":445,"width":813,"height":12}},{"id":"92b381b5-0bae-48d3-a887-8d2784e5fba2","block_type":"box","text":"BIS on behalf of clients, as well as updates on material process issues, procedural changes, and other risk oversight","page_number":219,"box":{"x":70,"y":460,"width":835,"height":12}},{"id":"15a14878-2af3-457a-ae72-f69583273d75","block_type":"box","text":"considerations. The Committee is chaired by the Global Heads of the Investment Stewardship function and its","page_number":219,"box":{"x":69,"y":475,"width":783,"height":12}},{"id":"0f43209e-76e8-464b-bc64-4dce352cce54","block_type":"box","text":"members include senior BlackRock executives with legal, risk, and other experience relevant to team oversight who","page_number":219,"box":{"x":69,"y":491,"width":820,"height":11}},{"id":"0ee96922-9140-423f-bf7a-932fd7b04d88","block_type":"box","text":"are independent from the investment stewardship function.","page_number":219,"box":{"x":69,"y":506,"width":421,"height":11}},{"id":"605be6c3-b7eb-4944-9872-b3e98b83d9b0","block_type":"box","text":"The Global Heads have primary oversight of BIS’ activities globally, including voting in accordance with the Global","page_number":219,"box":{"x":101,"y":528,"width":804,"height":12}},{"id":"9f72c22d-709f-4baf-a583-4ee32945a074","block_type":"box","text":"Principles and regional voting guidelines. At the regional level, three regional Heads for the Americas, APAC, and","page_number":219,"box":{"x":69,"y":543,"width":798,"height":12}},{"id":"e92c27ca-b774-4c33-8a77-e0bf03293c0a","block_type":"box","text":"EMEA oversee BIS’ activities for their specific markets.","page_number":219,"box":{"x":70,"y":559,"width":389,"height":11}},{"id":"c2b78662-5a08-4d9d-a26a-dbbbbbcf898b","block_type":"box","text":"VOTE EXECUTION","page_number":219,"box":{"x":424,"y":589,"width":129,"height":9}},{"id":"a2c47a2b-07e1-431f-9d23-4afb18fd64fd","block_type":"box","text":"BIS votes proxies on behalf of index equity funds and accounts when authorized by our clients. We have","page_number":219,"box":{"x":102,"y":612,"width":739,"height":11}},{"id":"3886958e-7a8d-46f7-9ff7-354314c310d5","block_type":"box","text":"processes in place to consider all proxies for which we have voting authority, and submit voting decisions, or refrain","page_number":219,"box":{"x":70,"y":627,"width":822,"height":11}},{"id":"7defd150-7b81-4d27-a9cc-ac9a5dcb50cb","block_type":"box","text":"from voting when logistical issues arise (see below). The BIS Benchmark Policies – and the vote decisions made","page_number":219,"box":{"x":68,"y":642,"width":801,"height":11}},{"id":"4459c0e1-2fc1-439c-af71-ac40a8fcef45","block_type":"box","text":"consistent with those policies – reflect our reasonable and independent judgment and are made without regard to the","page_number":219,"box":{"x":69,"y":657,"width":838,"height":11}},{"id":"839a84b2-28ae-4990-a8bb-002486643f97","block_type":"box","text":"relationship between the issuer of the proxy (or any shareholder proponent or dissident shareholder) and the Fund,","page_number":219,"box":{"x":69,"y":672,"width":817,"height":11}},{"id":"97eb4d86-08da-4e33-8935-2311bb001ada","block_type":"box","text":"the Fund’s affiliates (if any), BlackRock or BlackRock’s affiliates, or BlackRock employees (see “Conflicts","page_number":219,"box":{"x":68,"y":687,"width":751,"height":11}},{"id":"132e0b69-e468-4c94-baea-9a8a4552d28e","block_type":"box","text":"management policies and procedures,” below).","page_number":219,"box":{"x":69,"y":703,"width":334,"height":11}},{"id":"315a03e3-0428-42c9-8733-4de900721e25","block_type":"box","text":"In certain markets, proxy voting involves logistical issues which can affect BIS’ ability to vote, as well as the cost","page_number":219,"box":{"x":102,"y":725,"width":806,"height":11}},{"id":"7eaa1f82-4212-4d0e-af3b-a791ef6e54d0","block_type":"box","text":"of voting such proxies on behalf of our clients. These issues include, but are not limited to: 1) untimely notice of","page_number":219,"box":{"x":69,"y":740,"width":801,"height":11}},{"id":"743ece22-c5f5-498a-b321-ff1852039bd7","block_type":"box","text":"shareholder meetings; 2) restrictions on a foreigner’s ability to exercise votes; 3) requirements to vote proxies in","page_number":219,"box":{"x":69,"y":755,"width":805,"height":11}},{"id":"f0360692-70d8-4ad9-99df-2ff85e9cbf6b","block_type":"box","text":"person; 4) “share-blocking” (requirements that investors who exercise their voting rights surrender the right to","page_number":219,"box":{"x":70,"y":771,"width":783,"height":11}},{"id":"7afd14ec-3e39-40fc-be00-7a15d23b1abf","block_type":"box","text":"dispose of their holdings from the point at which votes are submitted until after the after the shareholder meeting","page_number":219,"box":{"x":69,"y":785,"width":811,"height":12}},{"id":"55a81b0a-361c-49d0-895c-1a413f12424c","block_type":"box","text":"has occurred); 5) potential difficulties in translating the proxy; 6) regulatory constraints; and 7) requirements to","page_number":219,"box":{"x":69,"y":801,"width":795,"height":11}},{"id":"f38e254d-1bd7-4398-8e1d-bcf4a901504b","block_type":"box","text":"provide local agents with powers of attorney to facilitate voting instructions. We are not supportive of impediments to","page_number":219,"box":{"x":70,"y":816,"width":835,"height":11}},{"id":"f8b39cf0-d51f-4311-a2d0-3ad21cba08e5","block_type":"box","text":"the exercise of voting rights such as share-blocking or overly burdensome administrative requirements.","page_number":219,"box":{"x":68,"y":831,"width":732,"height":11}},{"id":"a03df91e-a1ed-4dd1-86ce-bde23cde6325","block_type":"box","text":"16","page_number":219,"box":{"x":69,"y":860,"width":9,"height":5}},{"id":"81b19491-36c0-47a4-b44c-185985ab8394","block_type":"box","text":"For more information, please see our commentary “Our approach to engagement on human capital management,”","page_number":219,"box":{"x":84,"y":860,"width":814,"height":11}},{"id":"ac5760ac-3af9-4edf-8d96-d883bb3f91da","block_type":"box","text":"December 2025.","page_number":219,"box":{"x":70,"y":875,"width":118,"height":9}},{"id":"ef7a76e2-8bdb-4acd-bd5c-d66a8311fa74","block_type":"box","text":"BlackRock Investment Stewardship","page_number":219,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"4f764731-019f-4f4d-8862-23e88dabd002","block_type":"box","text":"Global Principles | 12","page_number":219,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"3f0e49f3-63d7-4b00-9786-d60e62fd2796","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":219,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"778a3092-4b1c-44a9-937a-18d9ab6845cc","block_type":"box","text":"BIS votes proxies in these situations on a “best-efforts” basis. In addition, BIS may determine that it is generally","page_number":220,"box":{"x":102,"y":45,"width":807,"height":11}},{"id":"5add99f1-81cc-4600-a96f-a4a88f30b41e","block_type":"box","text":"in the interests of BlackRock’s clients not to vote proxies (or not to vote our full allocation) if the costs (including but","page_number":220,"box":{"x":70,"y":60,"width":830,"height":11}},{"id":"d89ad38d-3f00-4d19-a20b-ee414f98eda6","block_type":"box","text":"not limited to opportunity costs associated with share-blocking constraints) associated with exercising a vote are","page_number":220,"box":{"x":69,"y":75,"width":805,"height":11}},{"id":"d359f1b3-8354-4a34-89b4-88c60e7d2cd3","block_type":"box","text":"expected to outweigh the benefit the client would derive by voting on the proposal.","page_number":220,"box":{"x":69,"y":90,"width":585,"height":11}},{"id":"e37ce227-210c-4834-b9e9-0f92b5325c18","block_type":"box","text":"CONFLICTS MANAGEMENT POLICIES AND PROCEDURES","page_number":220,"box":{"x":281,"y":120,"width":416,"height":9}},{"id":"b6003942-bb1c-49ff-b255-a090ff890fd9","block_type":"box","text":"BIS is a dedicated function whose responsibilities are separate from BlackRock’s sales, business partnership or","page_number":220,"box":{"x":102,"y":143,"width":804,"height":11}},{"id":"f628ae71-72a8-4b47-a47d-0208241d301b","block_type":"box","text":"enterprise-level vendor management activities.","page_number":220,"box":{"x":69,"y":158,"width":329,"height":11}},{"id":"c2be26ab-b165-4e36-92fc-d833a9ad6ec8","block_type":"box","text":"BlackRock maintains policies and procedures that are designed to prevent undue influence on BIS’ proxy voting","page_number":220,"box":{"x":102,"y":181,"width":794,"height":11}},{"id":"ac2f67f8-1be5-4340-adba-02d794241be4","block_type":"box","text":"activity. Such influence might stem from any relationship between the investee company (or any shareholder","page_number":220,"box":{"x":69,"y":196,"width":771,"height":11}},{"id":"7dd7d649-0869-4fa8-bab2-fd8662bf030c","block_type":"box","text":"proponent or dissident shareholder) and BlackRock, BlackRock’s affiliates, a Fund or a Fund’s affiliates, or","page_number":220,"box":{"x":70,"y":211,"width":763,"height":11}},{"id":"0b5bf30f-9834-45b7-a38f-11a79b144e96","block_type":"box","text":"BlackRock employees.","page_number":220,"box":{"x":70,"y":226,"width":157,"height":11}},{"id":"78e04ae8-3ac2-4c21-886a-46a65b2a5564","block_type":"box","text":"For information on how BIS manages conflicts of interest, please see our disclosure.","page_number":220,"box":{"x":102,"y":249,"width":602,"height":11}},{"id":"6089334b-5e5b-430d-9d5d-12b065369c64","block_type":"box","text":"SECURITIES LENDING","page_number":220,"box":{"x":409,"y":279,"width":159,"height":9}},{"id":"fd96f73a-c252-4f94-801d-35ace81953e7","block_type":"box","text":"When authorized, BlackRock acts as a securities lending agent on behalf of its clients. Lending securities","page_number":220,"box":{"x":101,"y":302,"width":751,"height":11}},{"id":"1fdaa310-efeb-4c45-8208-e9cb78d24d18","block_type":"box","text":"enables BlackRock to increase the returns in clients’ portfolios, and BlackRock’s lending agreements allow it to","page_number":220,"box":{"x":69,"y":317,"width":797,"height":11}},{"id":"db43869b-a82c-4add-b57f-98b5b0e4b5fe","block_type":"box","text":"recall securities out on loan at any time. BlackRock (or any other lender) does not retain voting rights for securities","page_number":220,"box":{"x":69,"y":332,"width":817,"height":11}},{"id":"3c18e32b-af60-438d-bcb7-0c22babfcfa4","block_type":"box","text":"out on loan. Entitlements associated with the lent securities (dividends, coupons, etc.), while on loan are paid back","page_number":220,"box":{"x":69,"y":347,"width":823,"height":11}},{"id":"41430b26-6844-4ec3-b64c-d05adbd35ef2","block_type":"box","text":"to the lender of the security as stipulated in industry standard legal agreements.","page_number":220,"box":{"x":68,"y":362,"width":575,"height":11}},{"id":"0628053b-1a6b-4c50-b755-65dabcff2692","block_type":"box","text":"With regard to the relationship between securities lending and proxy voting, BlackRock cannot vote shares on","page_number":220,"box":{"x":101,"y":385,"width":779,"height":11}},{"id":"5c4cf3ef-2734-4ff7-8416-1c23f4009a19","block_type":"box","text":"loan and may determine to recall them for voting, as guided by our fiduciary duty as an asset manager to our clients","page_number":220,"box":{"x":70,"y":400,"width":827,"height":11}},{"id":"6994872d-4d90-4ccf-a017-5ccd849823fc","block_type":"box","text":"in helping them achieve their investment goals. While this has occurred in a limited number of cases, the decision to","page_number":220,"box":{"x":70,"y":415,"width":832,"height":11}},{"id":"1f089b3b-bf92-43f1-9f2e-a04a724bf0b3","block_type":"box","text":"recall securities on loan as part of BlackRock’s securities lending program in order to vote is based on an evaluation","page_number":220,"box":{"x":69,"y":430,"width":832,"height":11}},{"id":"938b8cf1-21ea-4d67-8c7c-ade7158483e1","block_type":"box","text":"of various factors that include, but are not limited to, assessing potential securities lending revenue alongside the","page_number":220,"box":{"x":69,"y":445,"width":814,"height":12}},{"id":"7eae378c-a614-4f9a-8716-d82b9bbe2d5d","block_type":"box","text":"potential long-term financial value to clients of voting those securities (based on the information available at the time","page_number":220,"box":{"x":70,"y":460,"width":834,"height":12}},{"id":"53ab9ff5-80e1-430f-ae84-1c1c39d6825d","block_type":"box","text":"of recall consideration).","page_number":220,"box":{"x":69,"y":475,"width":166,"height":12}},{"id":"ab65b724-ab1e-4fbf-b969-716767b24856","block_type":"box","text":"17","page_number":220,"box":{"x":237,"y":476,"width":9,"height":4}},{"id":"fa5b8a39-257a-4dbe-b40d-5cd83b59b159","block_type":"box","text":"BIS works with colleagues in the Securities Lending and Risk and Quantitative Analysis","page_number":220,"box":{"x":252,"y":476,"width":617,"height":11}},{"id":"5fabd942-f815-48b7-83d4-cbb0024bf796","block_type":"box","text":"teams to evaluate the costs and benefits to clients of recalling shares on loan.","page_number":220,"box":{"x":68,"y":491,"width":563,"height":11}},{"id":"18503f0e-7cf6-4cbf-9894-52b840cd3d87","block_type":"box","text":"In almost all instances, BlackRock anticipates that the potential long-term financial value to clients of voting","page_number":220,"box":{"x":102,"y":513,"width":770,"height":12}},{"id":"f5aa9455-ea3e-4aed-ae2f-c9cb10b47e71","block_type":"box","text":"shares would be less than the potential revenue the loan may provide clients. However, in certain instances,","page_number":220,"box":{"x":69,"y":529,"width":774,"height":11}},{"id":"e19a4174-be65-419d-9560-2e51fe582162","block_type":"box","text":"BlackRock may determine, in our independent business judgment as a fiduciary, that the value of voting outweighs","page_number":220,"box":{"x":70,"y":543,"width":816,"height":12}},{"id":"87ecd90d-e6b2-4c79-a65f-555802bc8121","block_type":"box","text":"the securities lending revenue loss to clients and would therefore recall shares to be voted in those instances. It is","page_number":220,"box":{"x":68,"y":559,"width":822,"height":11}},{"id":"015f81fb-4baa-48e7-a9be-d54942795b88","block_type":"box","text":"important to note that the majority of lendable assets in the market at any given time are not out on loan.","page_number":220,"box":{"x":70,"y":574,"width":752,"height":11}},{"id":"002bb770-2f51-4835-95aa-dd3091e70348","block_type":"box","text":"Periodically, BlackRock reviews our process for determining whether to recall securities on loan in order to vote","page_number":220,"box":{"x":102,"y":596,"width":790,"height":12}},{"id":"f24a57a5-f698-4e15-a5fb-43e9d47f146d","block_type":"box","text":"and may modify it as necessary.","page_number":220,"box":{"x":69,"y":612,"width":228,"height":11}},{"id":"65e25719-3585-4156-9162-4dbe6e1d78d5","block_type":"box","text":"VOTING CHOICE","page_number":220,"box":{"x":430,"y":642,"width":117,"height":9}},{"id":"c65c77f1-d3ac-4b76-954f-0716e7f2ea4b","block_type":"box","text":"BlackRock offers Voting Choice, a program that provides eligible clients with more opportunities to participate in","page_number":220,"box":{"x":102,"y":664,"width":800,"height":12}},{"id":"d6602d00-13d4-4452-b41e-dc026f3621c5","block_type":"box","text":"the proxy voting process, where legally and operationally viable.","page_number":220,"box":{"x":68,"y":680,"width":452,"height":11}},{"id":"c8735e84-6848-4193-b844-1b85b36aaf95","block_type":"box","text":"18","page_number":220,"box":{"x":522,"y":680,"width":9,"height":4}},{"id":"147ad318-3e55-495f-8e11-5231fb6c1838","block_type":"box","text":"Voting Choice is currently available for eligible clients invested in certain institutional pooled funds in the U.S.,","page_number":220,"box":{"x":101,"y":702,"width":786,"height":12}},{"id":"808c4a97-6369-4c11-9403-4ba768593289","block_type":"box","text":"UK, Ireland, Canada, and Switzerland that utilize index equity investment strategies, as well as eligible clients in","page_number":220,"box":{"x":70,"y":718,"width":797,"height":11}},{"id":"444aab82-26e9-4391-9d63-2d89cf98164a","block_type":"box","text":"17","page_number":220,"box":{"x":69,"y":747,"width":8,"height":4}},{"id":"3323b45d-426e-4475-b13b-2624f63493fc","block_type":"box","text":"Recalling securities on loan can be impacted by the timing of record dates. In the U.S., for example, the record","page_number":220,"box":{"x":84,"y":747,"width":789,"height":11}},{"id":"c9dae526-cc5b-4a65-92bd-98dfe082f657","block_type":"box","text":"date of a shareholder meeting typically falls before the proxy statements are released. Accordingly, it is not","page_number":220,"box":{"x":69,"y":762,"width":763,"height":11}},{"id":"48578f89-bcb6-436c-9776-a0610fd1af50","block_type":"box","text":"practicable to evaluate a proxy statement, determine that a vote has a material impact on a fund and recall any","page_number":220,"box":{"x":70,"y":777,"width":794,"height":11}},{"id":"e05c24a9-785f-482f-852b-0b96ddd321bd","block_type":"box","text":"shares on loan in advance of the record date for the annual meeting. As a result, managers must weigh independent","page_number":220,"box":{"x":69,"y":792,"width":833,"height":11}},{"id":"e3eec965-59fa-4a76-a5d9-0be56a35e2dd","block_type":"box","text":"business judgement as a fiduciary, the benefit to a fund’s shareholders of recalling loaned shares in advance of an","page_number":220,"box":{"x":69,"y":807,"width":821,"height":11}},{"id":"b0b0756f-c4e3-4069-8966-754277162912","block_type":"box","text":"estimated record date without knowing whether there will be a vote on matters which have a material impact on the","page_number":220,"box":{"x":69,"y":822,"width":823,"height":12}},{"id":"345e5a52-03bb-4550-b204-4d45af184308","block_type":"box","text":"fund (thereby forgoing potential securities lending revenue for the fund’s shareholders) or leaving shares on loan to","page_number":220,"box":{"x":68,"y":837,"width":822,"height":12}},{"id":"ce9f7872-f389-464e-a2de-cd921a0f897e","block_type":"box","text":"potentially earn revenue for the fund (thereby forgoing the opportunity to vote).","page_number":220,"box":{"x":70,"y":852,"width":558,"height":12}},{"id":"a1ee04a3-46a7-4b30-a775-26b89c06498a","block_type":"box","text":"18","page_number":220,"box":{"x":69,"y":870,"width":9,"height":5}},{"id":"59432efe-eca9-4d00-8b14-db0a6aa1fd39","block_type":"box","text":"BlackRock will determine eligibility criteria under this program based upon, among other things, local market","page_number":220,"box":{"x":84,"y":870,"width":771,"height":11}},{"id":"d9afbe99-0dcd-49b9-9b2c-d97f75b5e139","block_type":"box","text":"regulation and practice, cost considerations, operational risk and/or complexity, and financial considerations,","page_number":220,"box":{"x":69,"y":885,"width":779,"height":11}},{"id":"e16cbf0a-4d57-4317-a3f8-68f7a5ab9f7d","block_type":"box","text":"including the decision to lend securities.","page_number":220,"box":{"x":70,"y":901,"width":285,"height":11}},{"id":"1096a3bf-1d7c-4704-b1f8-60a96fa6089e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":220,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"6ec6b829-d6e3-45d3-886b-39fb8fa4b4d4","block_type":"box","text":"Global Principles | 13","page_number":220,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"16764d00-3e40-461d-946d-979dce2f86f0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":220,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d38ea5a8-cd06-41c8-a16d-c2a5ef6e948a","block_type":"box","text":"certain institutional pooled funds in the U.S., UK, Canada, and Switzerland that use systematic active equity","page_number":221,"box":{"x":69,"y":45,"width":772,"height":11}},{"id":"44fa7fa6-1b8e-44c8-aa43-ed7701f40cf3","block_type":"box","text":"(SAE) strategies. In addition, institutional clients in separately managed accounts (SMAs) continue to be eligible for","page_number":221,"box":{"x":69,"y":60,"width":822,"height":11}},{"id":"85e3c24e-d9ba-4a23-bfed-f3b408e62b97","block_type":"box","text":"BlackRock Voting Choice regardless of their investment strategies.","page_number":221,"box":{"x":70,"y":75,"width":471,"height":11}},{"id":"9a213f18-30d8-466a-bbb3-53a9b744019e","block_type":"box","text":"19","page_number":221,"box":{"x":543,"y":75,"width":9,"height":5}},{"id":"58530344-f7a4-4760-9799-40ffeeafc1ad","block_type":"box","text":"Voting Choice is also available for eligible U.S.","page_number":221,"box":{"x":558,"y":75,"width":328,"height":11}},{"id":"67615c46-2c05-4293-98e8-72484ffb4c87","block_type":"box","text":"retail shareholder accounts invested in BlackRock’s largest U.S. exchange-traded fund.","page_number":221,"box":{"x":69,"y":90,"width":619,"height":11}},{"id":"fa357883-1a48-4548-b658-0dcf8a7a7f4d","block_type":"box","text":"20","page_number":221,"box":{"x":690,"y":90,"width":9,"height":5}},{"id":"9c4695e5-3e6c-4af6-a487-2d6542572fde","block_type":"box","text":"As a result, the shares attributed to BlackRock portfolios in company share registers may be voted differently","page_number":221,"box":{"x":101,"y":113,"width":782,"height":11}},{"id":"58372019-75ff-4cc7-b872-7672a10403cb","block_type":"box","text":"depending on whether our clients have authorized BIS to vote on their behalf, have authorized BIS to vote in","page_number":221,"box":{"x":69,"y":128,"width":767,"height":11}},{"id":"c913080f-f62f-4920-b62e-896b800624fe","block_type":"box","text":"accordance with a third-party policy, or have elected to vote shares in accordance with their own policy. Our clients","page_number":221,"box":{"x":69,"y":143,"width":814,"height":11}},{"id":"ec5c9a46-5e30-49be-9d6b-c568dbc60ec2","block_type":"box","text":"have greater control over proxy voting because of Voting Choice.","page_number":221,"box":{"x":69,"y":158,"width":454,"height":11}},{"id":"2be851d7-c77c-4d02-92c5-4168fbc01adc","block_type":"box","text":"21","page_number":221,"box":{"x":525,"y":158,"width":9,"height":5}},{"id":"d4db7869-e0ea-4f03-bf63-8e56bb66c818","block_type":"box","text":"REPORTING AND VOTE TRANSPARENCY","page_number":221,"box":{"x":343,"y":188,"width":293,"height":9}},{"id":"d36ee73a-4a1c-4b26-a9c2-6918bebff3b1","block_type":"box","text":"We are committed to transparency of the stewardship work we do on behalf of clients. We inform clients about","page_number":221,"box":{"x":101,"y":211,"width":789,"height":11}},{"id":"0c982dc4-0ceb-4598-ab7a-0a94bbd4aa49","block_type":"box","text":"our engagement and voting policies and activities through direct communication and through disclosure on our","page_number":221,"box":{"x":69,"y":226,"width":787,"height":11}},{"id":"6e71a02a-c1e5-46e9-a767-884cb1fb29eb","block_type":"box","text":"website. We make public our regional voting guidelines for the benefit of clients and the companies in which we","page_number":221,"box":{"x":68,"y":241,"width":795,"height":11}},{"id":"4056bd08-789c-407d-b21e-3aae9f51b3d2","block_type":"box","text":"invest on their behalf. We also publish commentaries to share our approach to engagement on our five engagement","page_number":221,"box":{"x":70,"y":256,"width":825,"height":12}},{"id":"d4d5351e-218a-4b54-90d8-f3268e8377ca","block_type":"box","text":"priorities, as well as quarterly reports detailing our proxy voting and engagement activities.","page_number":221,"box":{"x":70,"y":272,"width":644,"height":11}},{"id":"925b10f6-8eb2-4abf-948b-6e640ddab18d","block_type":"box","text":"19","page_number":221,"box":{"x":69,"y":324,"width":9,"height":4}},{"id":"cc477b34-0419-4663-bddc-8a2f80b33542","block_type":"box","text":"With Voting Choice, SMA clients have the ability to select the policy that best aligns with their views and","page_number":221,"box":{"x":83,"y":323,"width":739,"height":12}},{"id":"5b81b418-f425-4a46-93ba-a3b77409cc14","block_type":"box","text":"preferences from a set of voting policies from third-party proxy advisers. BlackRock can then use its proxy voting","page_number":221,"box":{"x":70,"y":338,"width":800,"height":12}},{"id":"27d41341-1324-43f0-87f7-88cb65092060","block_type":"box","text":"infrastructure to cast votes for the SMA based on the client’s selected voting policy.","page_number":221,"box":{"x":70,"y":354,"width":596,"height":11}},{"id":"463e4d06-1c24-4352-bf8e-847f8e26de79","block_type":"box","text":"20","page_number":221,"box":{"x":69,"y":372,"width":9,"height":4}},{"id":"c897afa2-a21f-4a00-b3e9-e255e9e06464","block_type":"box","text":"Read more about BlackRock Voting Choice on our website.","page_number":221,"box":{"x":84,"y":371,"width":415,"height":11}},{"id":"253d73f1-4c80-4706-82c6-d7064d5dd3dd","block_type":"box","text":"21","page_number":221,"box":{"x":69,"y":389,"width":9,"height":5}},{"id":"33d195a9-4684-4fb8-9cef-e1ca0a0fb5a9","block_type":"box","text":"BlackRock does not disclose client information, including a client’s selection of proxy policy, without client consent.","page_number":221,"box":{"x":84,"y":389,"width":820,"height":11}},{"id":"ff64e6a5-137f-4a8f-8375-1ef38f9480e3","block_type":"box","text":"BlackRock Investment Stewardship","page_number":221,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"3718a79c-8c7b-4e3d-8309-ac1c2159cac8","block_type":"box","text":"Global Principles | 14","page_number":221,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"19542860-a84c-4313-8597-5a7e0109b96d","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":221,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"bf62089b-b541-4fd1-a832-a1e490f4be32","block_type":"box","text":"Want to know more?","page_number":222,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"97d23304-b896-4d05-8424-4458d7006c6f","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":222,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"8b6c9f96-9f89-483b-8138-93b320bb6f4a","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":222,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"67620269-dd2d-4b0d-8171-207f59fff670","block_type":"box","text":"principal.","page_number":222,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"c4f09dbf-f82b-4da3-9a6c-108239d55fb5","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":222,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"892e2b96-9857-4b05-ba6e-031bbe5a3816","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":222,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"09a29557-fb01-4f20-affa-336d574e6de7","block_type":"box","text":"BLACKROCK","page_number":222,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"7718c24f-22df-4611-b406-2cedc968e0e2","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":222,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"a0e40218-a6ac-446c-bc54-cc7c4d48dfbe","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":222,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"295808db-8a65-43ff-ab23-3d9d8e494ca2","block_type":"box","text":"BlackRock Investment Stewardship","page_number":222,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"d417d47f-e3eb-4db3-9791-44311a0002c4","block_type":"box","text":"Global Principles | 15","page_number":222,"box":{"x":758,"y":942,"width":151,"height":13}},{"id":"e62e8b80-dcaa-46b0-8f0b-37f61b138b48","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":222,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"d44ead1a-e841-41f7-9d00-c1e38a598eb9","block_type":"box","text":"BlackRock Investment Stewardship","page_number":223,"box":{"x":359,"y":45,"width":260,"height":11}},{"id":"14e1ef9a-2ce0-46b7-8995-d842bb69627a","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines","page_number":223,"box":{"x":297,"y":67,"width":384,"height":11}},{"id":"7c9c89b8-686a-4acc-b9b8-a37a2aca2c68","block_type":"box","text":"Effective as of January 2026","page_number":223,"box":{"x":385,"y":90,"width":208,"height":11}},{"id":"21518b88-1b3f-4387-9393-c1a16f59b60f","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":223,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"ae2ee9e8-c364-4a5b-9b14-de142e4f0f29","block_type":"box","text":"Contents","page_number":224,"box":{"x":456,"y":45,"width":66,"height":9}},{"id":"c60a9a05-d0a2-4d1a-a94d-83fb2ae5c853","block_type":"box","text":"Introduction to BlackRock Investment Stewardship 3","page_number":224,"box":{"x":69,"y":80,"width":840,"height":11}},{"id":"b8335482-4a7d-4d9d-be88-8051c5a3aedc","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition 3","page_number":224,"box":{"x":68,"y":96,"width":841,"height":11}},{"id":"c3befced-f4c1-438f-a1d6-43b05d2859c6","block_type":"box","text":"The Climate and Decarbonization Stewardship Guidelines 3","page_number":224,"box":{"x":68,"y":113,"width":841,"height":11}},{"id":"9f3d2747-133f-4244-a184-fed1ea000cd9","block_type":"box","text":"Understanding the investment implications of the transition to a low-carbon economy 4","page_number":224,"box":{"x":69,"y":129,"width":840,"height":11}},{"id":"b91c4a45-fd34-48e3-b1e7-5fff5e774b98","block_type":"box","text":"The Guidelines’ design principles","page_number":224,"box":{"x":68,"y":146,"width":240,"height":11}},{"id":"0f541663-177c-40a2-9e8e-670dc791dc9c","block_type":"box","text":"4","page_number":224,"box":{"x":900,"y":146,"width":9,"height":8}},{"id":"0b9182cc-13c2-46ea-98ba-a3c37a1c1f5c","block_type":"box","text":"Voting approach under the Guidelines","page_number":224,"box":{"x":68,"y":162,"width":273,"height":11}},{"id":"2864c608-5524-4ffe-9411-044f61f53beb","block_type":"box","text":"5","page_number":224,"box":{"x":901,"y":162,"width":8,"height":9}},{"id":"f02b1d49-0226-42d3-b754-c38ad3d21862","block_type":"box","text":"Related matters","page_number":224,"box":{"x":69,"y":178,"width":117,"height":9}},{"id":"a0e3b330-0196-4449-8b81-6489ffb97cd3","block_type":"box","text":"8","page_number":224,"box":{"x":900,"y":178,"width":9,"height":9}},{"id":"bf030224-ea86-4dec-ab67-7bb081110e6d","block_type":"box","text":"Appendix 1","page_number":224,"box":{"x":68,"y":195,"width":82,"height":11}},{"id":"514fef74-659e-466e-b4da-c4c758c33555","block_type":"box","text":"10","page_number":224,"box":{"x":891,"y":195,"width":18,"height":9}},{"id":"c6d5f4ae-6a73-4b90-ab67-cef2211e8534","block_type":"box","text":"Appendix 2","page_number":224,"box":{"x":68,"y":211,"width":82,"height":11}},{"id":"062c6abe-95d6-4a79-8c79-c613600bef17","block_type":"box","text":"11","page_number":224,"box":{"x":891,"y":211,"width":18,"height":9}},{"id":"817b6be8-533b-42a5-b0ba-60c42aa3b46f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":224,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"87cb77c7-4983-4dd8-9a82-473bde0c848c","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 2","page_number":224,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"939d4238-6090-466d-9fd8-001a221c8cd3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":224,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6286cb34-935b-4d7f-b51c-8c874d1fb90f","block_type":"box","text":"INTRODUCTION TO BLACKROCK INVESTMENT STEWARDSHIP","page_number":225,"box":{"x":264,"y":45,"width":450,"height":9}},{"id":"568ff4ae-a589-4e22-af03-eb2aa7f8325e","block_type":"box","text":"At BlackRock, investment stewardship serves as a link between our clients and the companies they invest in and","page_number":225,"box":{"x":101,"y":68,"width":807,"height":10}},{"id":"73eb595b-a0c2-43a8-8304-afb215263a87","block_type":"box","text":"is one of the ways we fulfill our fiduciary responsibilities as an asset manager on their behalf. BlackRock offers a","page_number":225,"box":{"x":70,"y":82,"width":806,"height":12}},{"id":"ad34b41c-c204-4d7a-83e3-13d63c133328","block_type":"box","text":"range of proxy voting policies to reflect clients’ individual investment choices and goals.","page_number":225,"box":{"x":69,"y":98,"width":624,"height":11}},{"id":"5d2229ab-ae6b-41eb-9545-529a4a0aac5d","block_type":"box","text":"BlackRock Investment Stewardship (BIS) is responsible for stewardship activities in relation to clients’ assets","page_number":225,"box":{"x":102,"y":120,"width":781,"height":11}},{"id":"907ab39a-18c0-45fc-b8b5-05cb9aa982cc","block_type":"box","text":"invested in index equity strategies. BIS takes a long-term approach in our stewardship efforts, reflecting the","page_number":225,"box":{"x":70,"y":135,"width":769,"height":12}},{"id":"2eedbb96-389d-4e06-b7b7-453163f929c1","block_type":"box","text":"investment horizons of the majority of our clients. BIS does this through:","page_number":225,"box":{"x":70,"y":150,"width":514,"height":12}},{"id":"35ea1e79-acd5-4e56-aee2-56e68978f4dc","block_type":"box","text":"1.","page_number":225,"box":{"x":70,"y":171,"width":11,"height":9}},{"id":"90f5abdb-a591-4d56-bebd-3a63d8948048","block_type":"box","text":"Engaging with the boards and management of companies","page_number":225,"box":{"x":102,"y":171,"width":418,"height":11}},{"id":"2ed96952-603e-4453-8b38-48115eb63b54","block_type":"box","text":"in which clients are invested to deepen our","page_number":225,"box":{"x":527,"y":171,"width":305,"height":11}},{"id":"8ca6047c-df55-401e-bad2-c37596ba4fb6","block_type":"box","text":"understanding of a company’s business model, including how they are overseeing material business risks and","page_number":225,"box":{"x":102,"y":186,"width":784,"height":11}},{"id":"b53836a2-a776-404e-bc32-7f7bf54b1de8","block_type":"box","text":"opportunities over time, and to help inform our voting on behalf of clients.","page_number":225,"box":{"x":102,"y":201,"width":526,"height":11}},{"id":"4f6d09a6-4267-4085-ae8b-68b439b8b26b","block_type":"box","text":"1","page_number":225,"box":{"x":630,"y":201,"width":4,"height":5}},{"id":"b966ba02-2a97-49b7-b073-e61b96492d44","block_type":"box","text":"2.","page_number":225,"box":{"x":69,"y":221,"width":12,"height":9}},{"id":"f2a2fa86-2f7d-406e-a804-70702a940843","block_type":"box","text":"Voting at shareholder meetings","page_number":225,"box":{"x":101,"y":221,"width":228,"height":11}},{"id":"5feda246-2bf5-4007-b368-135424d695fc","block_type":"box","text":"on management and shareholder proposals for clients who have authorized BIS","page_number":225,"box":{"x":335,"y":221,"width":566,"height":11}},{"id":"df7421f6-8116-4a8f-be59-abe48ce69945","block_type":"box","text":"to vote on their behalf.","page_number":225,"box":{"x":101,"y":236,"width":160,"height":9}},{"id":"b35e790c-f0cf-4c4a-8e85-7bd5054bdf03","block_type":"box","text":"3.","page_number":225,"box":{"x":69,"y":256,"width":12,"height":9}},{"id":"f8b7253d-1f5d-441b-8fd7-9dd7e6f26277","block_type":"box","text":"Contributing to industry dialogue on stewardship","page_number":225,"box":{"x":101,"y":256,"width":356,"height":11}},{"id":"62eff57a-9e9f-4198-a637-46fc4f085f15","block_type":"box","text":"to share our perspectives on matters that may impact our","page_number":225,"box":{"x":462,"y":257,"width":412,"height":10}},{"id":"3c8fa44b-bea4-4f1e-8d6d-9cbac80dfc44","block_type":"box","text":"clients’ investments.","page_number":225,"box":{"x":101,"y":272,"width":147,"height":8}},{"id":"70527d15-bfea-419a-a1c9-e84e379bf83f","block_type":"box","text":"4.","page_number":225,"box":{"x":69,"y":292,"width":12,"height":8}},{"id":"cd93f8b3-c07c-4326-a2ef-7c952d16172c","block_type":"box","text":"Reporting on our activities","page_number":225,"box":{"x":102,"y":292,"width":193,"height":11}},{"id":"a65f8b7d-8545-4ed6-b107-0af29c66c849","block_type":"box","text":"to inform clients about our stewardship efforts on their behalf through a range of","page_number":225,"box":{"x":301,"y":292,"width":579,"height":11}},{"id":"3cdfbb72-c7af-4409-8c09-eaf1b82b7342","block_type":"box","text":"publications on our website and direct client communications.","page_number":225,"box":{"x":102,"y":307,"width":439,"height":11}},{"id":"825c84b5-2966-4601-8e2d-7c48b61f7537","block_type":"box","text":"Stewardship for clients with investment objectives relating to the low-carbon transition","page_number":225,"box":{"x":68,"y":337,"width":635,"height":11}},{"id":"aeec86e0-0b52-4104-bd48-b539be7044a8","block_type":"box","text":"2, 3","page_number":225,"box":{"x":704,"y":337,"width":17,"height":6}},{"id":"297e79da-6945-478d-9e2a-f3f8fb36f18c","block_type":"box","text":"Some of our clients are pursuing decarbonization as an investment objective, including many of our largest","page_number":225,"box":{"x":102,"y":360,"width":761,"height":11}},{"id":"499a5aa7-dcc0-44c3-bfc4-508a420b22cb","block_type":"box","text":"European clients, who have made net zero commitments.","page_number":225,"box":{"x":70,"y":375,"width":407,"height":11}},{"id":"48c71484-26cc-452a-aaa6-912748d9c1d1","block_type":"box","text":"4","page_number":225,"box":{"x":479,"y":375,"width":4,"height":4}},{"id":"79a3807d-b98a-4628-a797-29c7f51cd184","block_type":"box","text":"To support our clients’ unique and varied investment","page_number":225,"box":{"x":488,"y":375,"width":376,"height":11}},{"id":"2076685f-666a-4e5d-bd24-6104f7f91b3f","block_type":"box","text":"objectives, in July 2024, BlackRock launched the Climate and Decarbonization Stewardship program.","page_number":225,"box":{"x":69,"y":390,"width":718,"height":11}},{"id":"160e6117-a84e-4931-8785-23ea7ae374c8","block_type":"box","text":"The Climate and Decarbonization Stewardship team (the dedicated team) applies these proxy voting guidelines","page_number":225,"box":{"x":101,"y":413,"width":789,"height":11}},{"id":"869d49da-8eb2-4a3e-9375-e4cf0824aa9d","block_type":"box","text":"(the Guidelines) to those funds that BlackRock offers to clients that have climate and decarbonization objectives and","page_number":225,"box":{"x":69,"y":428,"width":833,"height":11}},{"id":"f459d86e-bb61-4c03-8895-6a651da9ffe2","block_type":"box","text":"where the funds’ respective governing body has explicitly approved the application of the Guidelines (referred to in","page_number":225,"box":{"x":68,"y":443,"width":814,"height":11}},{"id":"a7ab9637-20f3-4ce8-8b7e-9443eeb06173","block_type":"box","text":"this document as “in-scope funds”).","page_number":225,"box":{"x":68,"y":458,"width":256,"height":11}},{"id":"e636ce0a-181d-4455-9c7e-ba30cbbc4b2d","block_type":"box","text":"5","page_number":225,"box":{"x":326,"y":458,"width":4,"height":5}},{"id":"61f19092-c1be-42a1-a547-2bac607489c9","block_type":"box","text":"Separately managed account (SMA) clients have a range of options, including","page_number":225,"box":{"x":336,"y":458,"width":551,"height":11}},{"id":"75bc1fda-474e-4122-9905-e7d4af3e2ecb","block_type":"box","text":"instructing BlackRock to apply these Guidelines to their SMA holdings.","page_number":225,"box":{"x":70,"y":473,"width":499,"height":11}},{"id":"7057ad8f-9f24-45d7-9b6a-6089e007e843","block_type":"box","text":"THE CLIMATE AND DECARBONIZATION STEWARDSHIP GUIDELINES","page_number":225,"box":{"x":242,"y":503,"width":493,"height":9}},{"id":"c278e468-ef43-4de1-b495-ea71bbff1f0f","block_type":"box","text":"These Guidelines set out the dedicated team’s approach to engaging and voting on matters related to climate","page_number":225,"box":{"x":101,"y":526,"width":784,"height":11}},{"id":"1cd967d3-9043-4397-997c-24289647a8b3","block_type":"box","text":"risks and the transition to a low-carbon economy at companies that are held by in-scope funds and accounts that","page_number":225,"box":{"x":69,"y":541,"width":806,"height":11}},{"id":"0eeb8e6f-cddb-4ea9-b916-d0bd7319a9ad","block_type":"box","text":"apply these Guidelines.","page_number":225,"box":{"x":69,"y":556,"width":165,"height":11}},{"id":"63dca07b-d0f8-4394-afce-fabdf4300736","block_type":"box","text":"The Guidelines differ from the Benchmark Policies in that they consider, in addition to financial objectives,","page_number":225,"box":{"x":101,"y":579,"width":755,"height":11}},{"id":"6c80db35-41b0-4ce3-bf9a-483ab8976192","block_type":"box","text":"companies’ strategies to align with the transition to a low-carbon economy. They also incorporate the more ambitious","page_number":225,"box":{"x":69,"y":594,"width":834,"height":11}},{"id":"088a0ec0-3ced-4553-900a-ae58e2c696f3","block_type":"box","text":"goal of the Paris Agreement - namely to limit average global temperature rise to 1.5°C above pre-industrial levels.","page_number":225,"box":{"x":68,"y":609,"width":806,"height":11}},{"id":"cd0d3256-ca05-4f3e-a67e-9231d7a2abfd","block_type":"box","text":"6","page_number":225,"box":{"x":876,"y":609,"width":4,"height":5}},{"id":"07a83ecd-f8b9-4fa8-bb23-d26d85eb4a72","block_type":"box","text":"The Guidelines apply primarily to companies in sectors that play an important role in the transition to a low","page_number":225,"box":{"x":101,"y":632,"width":766,"height":11}},{"id":"a698b840-b658-4d8c-8fb5-949bd48c3223","block_type":"box","text":"carbon economy. This includes companies which produce goods and services that contribute to real world","page_number":225,"box":{"x":69,"y":647,"width":753,"height":11}},{"id":"3d76cf72-8bfe-418f-b1a8-a3e3a83c3de5","block_type":"box","text":"decarbonization or have a carbon intensive business model and face outsized impacts from the low-carbon transition,","page_number":225,"box":{"x":69,"y":662,"width":836,"height":11}},{"id":"cb4fa03a-c965-4e6a-aec6-7216b4c75684","block_type":"box","text":"1","page_number":225,"box":{"x":69,"y":692,"width":4,"height":4}},{"id":"0625aa9f-fce9-4467-b765-26b0a33fa1fe","block_type":"box","text":"On February 11, 2025, the U.S. Securities and Exchange Commission (SEC) staff issued updated guidance for","page_number":225,"box":{"x":79,"y":691,"width":790,"height":11}},{"id":"bda2a7fd-3306-45b0-982c-c1ec62c3448c","block_type":"box","text":"shareholders to maintain their eligibility to report their beneficial ownership under Schedule 13G of the Exchange Act.","page_number":225,"box":{"x":69,"y":706,"width":836,"height":12}},{"id":"b2e94e06-7397-45d7-b087-a09ac44c8e2d","block_type":"box","text":"We comply fully with these requirements and do not engage with portfolio companies for the purpose, or with the","page_number":225,"box":{"x":68,"y":721,"width":805,"height":12}},{"id":"51c52834-ff5c-4ed6-99bb-c49fd0bcf850","block_type":"box","text":"effect, of changing or influencing control of any company.","page_number":225,"box":{"x":69,"y":737,"width":405,"height":11}},{"id":"c14471d9-13dd-4400-9e93-12f7d03af1c7","block_type":"box","text":"2","page_number":225,"box":{"x":69,"y":755,"width":4,"height":4}},{"id":"1b8077d1-2e0f-4075-947e-54e51ed631d6","block_type":"box","text":"BlackRock has heard from a growing number of clients globally that they have made, or are planning to make,","page_number":225,"box":{"x":79,"y":754,"width":780,"height":11}},{"id":"88a65751-4321-467e-9368-3019ad900e3b","block_type":"box","text":"commitments to align their investment strategies with the transition to a low-carbon economy. This stewardship","page_number":225,"box":{"x":69,"y":770,"width":793,"height":11}},{"id":"723f9a7a-95b4-49c4-9432-2a95cc12c0d9","block_type":"box","text":"option helps those clients meet their climate and decarbonization investment objectives and is part of BlackRock’s","page_number":225,"box":{"x":69,"y":784,"width":820,"height":12}},{"id":"cfff11ce-115a-473e-8400-1bfd3fe2c56d","block_type":"box","text":"commitment to offer clients choice.","page_number":225,"box":{"x":69,"y":799,"width":252,"height":10}},{"id":"86194ff4-c599-4050-8012-e77b9ef98165","block_type":"box","text":"3","page_number":225,"box":{"x":69,"y":818,"width":4,"height":4}},{"id":"34b4bac4-6f13-460f-b731-2c1b56ac9b9d","block_type":"box","text":"Key climate, decarbonization and low-carbon transition related terms used in these Guidelines are explained in","page_number":225,"box":{"x":79,"y":817,"width":788,"height":11}},{"id":"87a29467-314a-4916-b750-be85726c46b2","block_type":"box","text":"appendix 1.","page_number":225,"box":{"x":69,"y":833,"width":81,"height":10}},{"id":"dd510ae7-18eb-482a-900e-8d9a2bbc1ec9","block_type":"box","text":"4","page_number":225,"box":{"x":69,"y":850,"width":4,"height":5}},{"id":"76001c0c-c7d3-45c5-ba58-0d0ccb4b35e8","block_type":"box","text":"Includes a select group of our largest client relationships. Net zero commitments are sourced from respective","page_number":225,"box":{"x":79,"y":850,"width":782,"height":11}},{"id":"715281a0-bdaf-408f-8597-785d45805544","block_type":"box","text":"company websites, as of January 2025.","page_number":225,"box":{"x":69,"y":865,"width":284,"height":11}},{"id":"2bd88bce-7d1d-42a2-835d-add2ad3aa7e4","block_type":"box","text":"5","page_number":225,"box":{"x":69,"y":883,"width":4,"height":5}},{"id":"b613192a-e623-4486-9698-116302b66998","block_type":"box","text":"A list of approved funds is on BlackRock’s website here.","page_number":225,"box":{"x":78,"y":883,"width":401,"height":11}},{"id":"6f37bb4d-69f5-47ab-92cc-6410b9dd6582","block_type":"box","text":"6","page_number":225,"box":{"x":69,"y":901,"width":4,"height":4}},{"id":"9b04244d-a81d-4b10-b9fa-48d5f19ebe15","block_type":"box","text":"United Nations Climate Change, “The Paris Agreement,” accessed in December 2025.","page_number":225,"box":{"x":79,"y":900,"width":614,"height":12}},{"id":"7e3f08c3-7d25-4760-b67a-588184126b3f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":225,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"4bce0ff9-4f29-4954-b4e2-a4ceab2eccb6","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 3","page_number":225,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"2e107625-67bc-476f-8684-21d313c9a6df","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":225,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"6c60f8cc-33ce-45d5-a771-e9ddee36c949","block_type":"box","text":"particularly those representing the major sources of scopes 1, 2, and 3 greenhouse gas (GHG) emissions across","page_number":226,"box":{"x":70,"y":45,"width":806,"height":11}},{"id":"2471fe9e-09a3-4ace-aed3-dabb66e8f65b","block_type":"box","text":"companies held by in-scope funds and accounts that have selected the Guidelines.","page_number":226,"box":{"x":69,"y":60,"width":590,"height":11}},{"id":"1deae5b9-f0b8-49d0-bf01-71aecde7a82b","block_type":"box","text":"7","page_number":226,"box":{"x":661,"y":60,"width":4,"height":5}},{"id":"ecb0d524-cfcd-48f7-97b7-071594a1b343","block_type":"box","text":"For companies and matters not related to climate and transition risks, the dedicated team follows BIS’","page_number":226,"box":{"x":102,"y":82,"width":731,"height":11}},{"id":"b60991ca-7f21-43e8-ab7a-4c8ae41302f6","block_type":"box","text":"Benchmark Policies.","page_number":226,"box":{"x":70,"y":98,"width":141,"height":9}},{"id":"1d2b0118-5525-43b0-9975-9281c65190ce","block_type":"box","text":"8","page_number":226,"box":{"x":213,"y":98,"width":4,"height":4}},{"id":"6006715a-9301-4505-80ac-235b0f7c8d93","block_type":"box","text":"In addition, for clients who do not direct BlackRock to prioritize climate risks and","page_number":226,"box":{"x":224,"y":98,"width":572,"height":11}},{"id":"11792c1d-c417-439c-bdea-f27307aa9eda","block_type":"box","text":"decarbonization as an investment objective, BIS undertakes our stewardship responsibilities in line with our","page_number":226,"box":{"x":69,"y":113,"width":769,"height":11}},{"id":"f35b6124-c62b-47e4-b4a9-918846b2f42b","block_type":"box","text":"Benchmark Policies, with a sole focus on advancing those clients’ long-term financial interests. This includes","page_number":226,"box":{"x":70,"y":128,"width":775,"height":11}},{"id":"d1b6a710-fbcd-430d-b234-111a99b2c074","block_type":"box","text":"consideration of climate-related risks and opportunities in a company’s business model, where material to the","page_number":226,"box":{"x":69,"y":143,"width":787,"height":11}},{"id":"56b5de2d-d2cf-47bb-b5ab-34c5e2c0ac2e","block_type":"box","text":"company’s ability to deliver long-term financial returns.","page_number":226,"box":{"x":69,"y":158,"width":388,"height":11}},{"id":"a20f6803-12bc-4c9a-8656-65d12f32d857","block_type":"box","text":"Please see Appendix 2, which sets out the key differences between the BIS Benchmark Policies and these","page_number":226,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"9535ae06-425e-49ff-8358-7ba2206dbe8f","block_type":"box","text":"Guidelines on items related to climate risk and the transition to a low-carbon economy.","page_number":226,"box":{"x":69,"y":196,"width":617,"height":11}},{"id":"5fb12964-263d-47f5-8ec5-3c0efb222503","block_type":"box","text":"UNDERSTANDING THE INVESTMENT IMPLICATIONS OF THE TRANSITION TO A LOW-CARBON ECONOMY","page_number":226,"box":{"x":111,"y":226,"width":757,"height":9}},{"id":"6cc802c7-2f87-49cc-9f68-eab2718a9298","block_type":"box","text":"Research from the BlackRock Investment Institute (BII) highlights that changing government policy, technology,","page_number":226,"box":{"x":102,"y":249,"width":785,"height":11}},{"id":"2e2c63bc-844d-49a9-97c7-00e1a597d3af","block_type":"box","text":"and consumer and investor preferences are driving the transition to a low-carbon economy, but sectors and markets","page_number":226,"box":{"x":69,"y":264,"width":825,"height":11}},{"id":"a631de42-69a1-4d9a-8b04-5d4bdb713c07","block_type":"box","text":"can decarbonize at varying speeds given the dynamic and uncertain nature of technological feasibility, consumer","page_number":226,"box":{"x":69,"y":279,"width":802,"height":11}},{"id":"1907f847-ed81-4415-bdcf-816133225d9a","block_type":"box","text":"demand, and government policies, among other factors.","page_number":226,"box":{"x":69,"y":294,"width":395,"height":11}},{"id":"b4dfbf04-96e3-4ece-ba51-2f9f0cf80014","block_type":"box","text":"9, 10","page_number":226,"box":{"x":466,"y":294,"width":21,"height":6}},{"id":"b2a1cc18-1cc4-4354-8989-7fd738345fa1","block_type":"box","text":"To better understand the shape and speed of a transition to a low-carbon economy, BlackRock has developed the","page_number":226,"box":{"x":101,"y":317,"width":808,"height":11}},{"id":"d5f4d1b0-0080-4ade-b754-b672422ab4b5","block_type":"box","text":"BlackRock Investment Institute Transition Scenario (BIITS), powered by Aladdin","page_number":226,"box":{"x":70,"y":332,"width":559,"height":11}},{"id":"7e24a2bf-d258-47f4-bd0b-7ca3b39d4c49","block_type":"box","text":"®","page_number":226,"box":{"x":630,"y":332,"width":6,"height":5}},{"id":"3f131c2c-0438-4b7d-9d59-49bc688b8607","block_type":"box","text":"technology. BIITS is a research","page_number":226,"box":{"x":641,"y":332,"width":223,"height":11}},{"id":"9134f6d3-f1ce-4acd-9b1f-c4647f0d7905","block_type":"box","text":"based, analytical forecast of how the low-carbon transition is most likely to play out based on what we know and","page_number":226,"box":{"x":69,"y":347,"width":799,"height":11}},{"id":"07c69e97-ed41-4816-982b-0ed1a936eda7","block_type":"box","text":"expect today. It can help inform a top-down assessment of a company’s business risk arising from the transition. BII","page_number":226,"box":{"x":69,"y":362,"width":828,"height":11}},{"id":"f6df646d-33b0-46db-87cb-60f94cefb1e4","block_type":"box","text":"based its key assumptions on rigorous research, and the input of BlackRock’s portfolio managers and other experts.","page_number":226,"box":{"x":69,"y":377,"width":834,"height":12}},{"id":"f6080712-76e6-4f29-8613-bc570a5c4cf9","block_type":"box","text":"These Guidelines draw from the proprietary insights generated by BIITS and Aladdin Climate","page_number":226,"box":{"x":101,"y":400,"width":655,"height":11}},{"id":"404e6619-73ea-4fd1-b32e-894703665d0a","block_type":"box","text":"®","page_number":226,"box":{"x":756,"y":400,"width":6,"height":5}},{"id":"7d4f4b34-536b-4dca-a118-5ff05569fe0b","block_type":"box","text":", BlackRock’s Risk","page_number":226,"box":{"x":764,"y":400,"width":131,"height":10}},{"id":"af78342d-7c1a-4c7c-900c-3d980d4dbd5c","block_type":"box","text":"and Quantitative Analysis Group, and the broader BIS team to help inform and guide engagement and voting activities","page_number":226,"box":{"x":69,"y":415,"width":838,"height":11}},{"id":"b3dfeb13-b011-467e-9b2c-8311e722af2e","block_type":"box","text":"on behalf of clients invested in in-scope funds and SMAs.","page_number":226,"box":{"x":69,"y":430,"width":408,"height":11}},{"id":"ad15733a-9913-4812-a70d-da285888b32d","block_type":"box","text":"11","page_number":226,"box":{"x":479,"y":431,"width":9,"height":4}},{"id":"05b7ef10-38c0-4037-9b85-c265096a328e","block_type":"box","text":"In doing so, the dedicated team takes into consideration","page_number":226,"box":{"x":495,"y":430,"width":401,"height":11}},{"id":"936050e9-d60b-4c0d-b31c-9c6bc8404bad","block_type":"box","text":"the fact that the necessary data to assess individual companies currently has limitations, but is improving.","page_number":226,"box":{"x":68,"y":445,"width":763,"height":12}},{"id":"6d8d3eba-c6d1-4e12-91d9-041bbd323954","block_type":"box","text":"THE GUIDELINES’ DESIGN PRINCIPLES","page_number":226,"box":{"x":347,"y":476,"width":284,"height":8}},{"id":"82a76241-d3a3-45b5-a6a9-8abd3b959650","block_type":"box","text":"The framework of these Guidelines is designed to:","page_number":226,"box":{"x":101,"y":498,"width":357,"height":11}},{"id":"00abb426-3ef9-495c-b05f-0c1239a28ba1","block_type":"box","text":"•","page_number":226,"box":{"x":69,"y":521,"width":6,"height":5}},{"id":"13a954bd-976a-464a-90c4-d21ee8ca024f","block_type":"box","text":"Prioritize sectors and companies that play an important role in the transition to a low-carbon economy:","page_number":226,"box":{"x":102,"y":518,"width":751,"height":11}},{"id":"6b3095b9-c276-4d8a-90da-42a66f85972b","block_type":"box","text":"This","page_number":226,"box":{"x":859,"y":519,"width":28,"height":8}},{"id":"214dec87-29fc-46fe-a7bc-1fd9f95b812c","block_type":"box","text":"includes companies which produce goods and services that contribute to real world decarbonization or have a","page_number":226,"box":{"x":102,"y":534,"width":782,"height":11}},{"id":"2b3655f8-58b2-4750-b87f-94deafbc375a","block_type":"box","text":"carbon intensive business model and face outsized impacts from the low-carbon transition.","page_number":226,"box":{"x":101,"y":549,"width":648,"height":11}},{"id":"f9b9738c-5c44-4ddf-a43f-f9ed06c1c0f3","block_type":"box","text":"•","page_number":226,"box":{"x":69,"y":572,"width":6,"height":4}},{"id":"d1622978-ab8a-49a5-951b-2a4423ee350c","block_type":"box","text":"Apply a nuanced approach to our analysis that acknowledges the unevenness of the low-carbon transition","page_number":226,"box":{"x":101,"y":569,"width":772,"height":11}},{"id":"6fd065b1-3ef4-42ea-affa-54a04fe9f785","block_type":"box","text":"across sectors and markets:","page_number":226,"box":{"x":101,"y":584,"width":208,"height":9}},{"id":"05090bfc-2daa-49fc-af30-974dbaa579bc","block_type":"box","text":"The Guidelines take into consideration the varying speeds at which sectors and","page_number":226,"box":{"x":315,"y":584,"width":566,"height":11}},{"id":"41ff313d-13b9-4ec2-b7e2-1629d18e8577","block_type":"box","text":"markets are decarbonizing based on technological feasibility, consumer demand, government policy, regulatory","page_number":226,"box":{"x":102,"y":599,"width":789,"height":11}},{"id":"6975de61-8ac1-43fe-867b-de64a25af734","block_type":"box","text":"frameworks and other factors. Further, the Guidelines recognize that these factors are uncertain and dynamic.","page_number":226,"box":{"x":101,"y":614,"width":785,"height":11}},{"id":"5cfd7780-b6a3-4d08-a0d0-b7d34d49dff2","block_type":"box","text":"•","page_number":226,"box":{"x":69,"y":637,"width":6,"height":5}},{"id":"a925b8d6-a7fe-4895-b06b-1ce33d53e13e","block_type":"box","text":"Take a long-term, pragmatic approach to the low-carbon transition that minimizes disruption to portfolio","page_number":226,"box":{"x":101,"y":634,"width":759,"height":11}},{"id":"2f1e72c0-0700-4901-983f-19d12e6767f9","block_type":"box","text":"companies and their key stakeholders:","page_number":226,"box":{"x":101,"y":649,"width":282,"height":11}},{"id":"b71bf874-568a-4d09-aeae-ad65f00edae1","block_type":"box","text":"The Guidelines recognize the challenges that many companies face in","page_number":226,"box":{"x":389,"y":649,"width":496,"height":12}},{"id":"a5facd6f-796b-433d-9e1a-d09ab9756524","block_type":"box","text":"adapting their business models to the low-carbon transition. It reflects a view that a smooth transition — where","page_number":226,"box":{"x":102,"y":664,"width":794,"height":12}},{"id":"2ecb8baf-56d3-4445-9983-74325bda5b60","block_type":"box","text":"companies adapt while continuing to deliver financial returns — is a better long-term investment outcome and","page_number":226,"box":{"x":101,"y":680,"width":783,"height":11}},{"id":"f09f484b-c0d4-4097-a7ce-a93c02b2fdec","block_type":"box","text":"7","page_number":226,"box":{"x":69,"y":709,"width":4,"height":5}},{"id":"853b614c-3948-482e-b518-2f434e9f63f7","block_type":"box","text":"These companies may already be low-carbon operators or be demonstrating momentum in reducing emissions in","page_number":226,"box":{"x":78,"y":709,"width":803,"height":11}},{"id":"05a1a6a1-6bb7-4974-a1ff-af989d78be7a","block_type":"box","text":"their operations, providing key inputs or goods and services that support real world decarbonization, or pivoting their","page_number":226,"box":{"x":68,"y":724,"width":832,"height":11}},{"id":"2385b9c9-844c-4b75-8bb7-14f336e5eace","block_type":"box","text":"current business model to contribute to the transition to a low-carbon economy.","page_number":226,"box":{"x":69,"y":739,"width":565,"height":11}},{"id":"03b8f499-66f3-44de-8e0f-56fa1c1a6bc0","block_type":"box","text":"8","page_number":226,"box":{"x":69,"y":757,"width":4,"height":5}},{"id":"88aadac1-90fe-4762-8dab-9e6ae6209c60","block_type":"box","text":"The BIS Benchmark Policies – which are comprised of the BIS Global Principles, regional voting guidelines, and","page_number":226,"box":{"x":78,"y":757,"width":789,"height":11}},{"id":"d7d45ea5-d919-4112-a813-bcf91c04425b","block_type":"box","text":"Engagement Priorities – apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":226,"box":{"x":70,"y":772,"width":829,"height":11}},{"id":"264b4573-d877-4c46-9abe-242d9b51565d","block_type":"box","text":"based approach, and are focused solely on advancing clients’ financial interests.","page_number":226,"box":{"x":69,"y":787,"width":576,"height":11}},{"id":"7c23ebe8-7b3d-4a46-993f-dd0687a4730f","block_type":"box","text":"9","page_number":226,"box":{"x":69,"y":805,"width":4,"height":4}},{"id":"22f0a91d-ff61-438d-8871-67000dfd1bfe","block_type":"box","text":"BII’s latest research shows that while decarbonization continues, its pace is increasingly uneven across sectors and","page_number":226,"box":{"x":79,"y":805,"width":828,"height":11}},{"id":"694463e0-c4b7-46c2-b7bc-3c0866788a45","block_type":"box","text":"regions, and overall slower than previously expected.","page_number":226,"box":{"x":69,"y":820,"width":375,"height":11}},{"id":"5f0f0919-82eb-47fb-bddb-8b19941bc51b","block_type":"box","text":"10","page_number":226,"box":{"x":69,"y":838,"width":9,"height":4}},{"id":"fcb1215a-34e4-42a8-a8c0-48f08cc396a8","block_type":"box","text":"BlackRock, “Evolving energy transition, evolving opportunities,” February 2025.","page_number":226,"box":{"x":84,"y":837,"width":565,"height":12}},{"id":"7133aed9-2928-45b7-b955-4052faa11aa7","block_type":"box","text":"11","page_number":226,"box":{"x":69,"y":855,"width":9,"height":5}},{"id":"086f3245-2fae-4f61-a76f-aaf09bc80b7c","block_type":"box","text":"Aladdin","page_number":226,"box":{"x":83,"y":855,"width":51,"height":9}},{"id":"50c325e7-884c-4c1e-a0ec-dad3fe2f47c0","block_type":"box","text":"®","page_number":226,"box":{"x":135,"y":855,"width":6,"height":5}},{"id":"98242e2b-9c25-42e7-9740-9ae2517b5665","block_type":"box","text":"Climate is a suite of climate analytics including forward-looking scenario analysis and net zero alignment","page_number":226,"box":{"x":147,"y":855,"width":745,"height":11}},{"id":"79ce78ba-f947-4a5f-a5ab-f836b1511bb5","block_type":"box","text":"analytics. Aladdin","page_number":226,"box":{"x":69,"y":870,"width":123,"height":11}},{"id":"a5a0cd41-2b92-4aef-afec-a942f05f93ae","block_type":"box","text":"®","page_number":226,"box":{"x":193,"y":870,"width":6,"height":5}},{"id":"323bb5ea-b863-423b-b945-777b2d4acb25","block_type":"box","text":"is a proprietary investment and risk management platform.","page_number":226,"box":{"x":205,"y":870,"width":418,"height":11}},{"id":"68cc6b64-ab47-4083-84b4-8a4ed324894e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":226,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"c6ad5cac-c81b-48c6-a909-63d8eb256294","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 4","page_number":226,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"30e1155f-050f-4159-bb90-9c5162993683","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":226,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"9696af62-9a97-415f-b852-9ba84ad1504e","block_type":"box","text":"less disruptive to other key stakeholders than a disorderly transition. Further, the Guidelines consider the","page_number":227,"box":{"x":102,"y":45,"width":751,"height":11}},{"id":"f0e33050-7fe0-406b-acb8-30ed371154d4","block_type":"box","text":"differences between the actions and outcomes over which company management has influence, and those it","page_number":227,"box":{"x":101,"y":60,"width":778,"height":11}},{"id":"9013e52b-a887-4acc-8e8c-f14b2201fe50","block_type":"box","text":"does not.","page_number":227,"box":{"x":101,"y":75,"width":66,"height":9}},{"id":"2f4e35a3-c7df-4119-94f7-93bf77e7f59a","block_type":"box","text":"•","page_number":227,"box":{"x":69,"y":98,"width":6,"height":4}},{"id":"4a06a5ae-cedf-422f-8ff9-98f8e682beea","block_type":"box","text":"Focus on useful, contextualized disclosures that help inform investors views, while recognizing data","page_number":227,"box":{"x":102,"y":95,"width":729,"height":11}},{"id":"54b72161-baee-4197-acf5-f6f46c5f6458","block_type":"box","text":"limitations:","page_number":227,"box":{"x":102,"y":110,"width":80,"height":9}},{"id":"9d7923be-240b-446e-81f7-48604a9be09e","block_type":"box","text":"Under the Guidelines, the dedicated team looks for disclosures that outline key milestones and","page_number":227,"box":{"x":189,"y":110,"width":679,"height":11}},{"id":"8d15c8a2-e204-419c-9c5f-c828896debc5","block_type":"box","text":"dependencies underpinning the company’s low-carbon transition strategy, explain the trade-offs required to adapt","page_number":227,"box":{"x":101,"y":125,"width":807,"height":12}},{"id":"5841e41f-62e1-475d-abcb-253e8bc3ca3d","block_type":"box","text":"the business model, and include relevant data and narrative.","page_number":227,"box":{"x":101,"y":141,"width":433,"height":10}},{"id":"ac68f8a6-6836-4662-a998-7bc049074ac9","block_type":"box","text":"•","page_number":227,"box":{"x":69,"y":163,"width":6,"height":5}},{"id":"167b3c3a-bff5-4bc6-bfd9-f25847dcd5c4","block_type":"box","text":"Consistency with the participating clients’ position as a minority investor:","page_number":227,"box":{"x":101,"y":161,"width":541,"height":11}},{"id":"a26710c7-1580-493f-bb1c-a129bc3fa210","block_type":"box","text":"The boards and executive leadership","page_number":227,"box":{"x":648,"y":161,"width":261,"height":11}},{"id":"b0ac3eff-1c85-401a-8f8f-83525848c810","block_type":"box","text":"of companies determine a company’s strategy and its implementation. Under the Guidelines, the dedicated team","page_number":227,"box":{"x":102,"y":176,"width":805,"height":11}},{"id":"b278bfdb-3804-4dd6-8c1c-c888284a83e8","block_type":"box","text":"makes decisions on how to engage companies and vote proxies independently, based on its professional","page_number":227,"box":{"x":102,"y":191,"width":748,"height":11}},{"id":"470d6126-612c-4e10-afba-5152ed41d84e","block_type":"box","text":"judgment of the priorities and outcomes most aligned with participating clients’ investment objectives.","page_number":227,"box":{"x":100,"y":206,"width":730,"height":11}},{"id":"ddb289ef-b98b-4baa-b6cb-ea666b604f38","block_type":"box","text":"Voting approach under the Guidelines","page_number":227,"box":{"x":68,"y":236,"width":273,"height":11}},{"id":"c67a2e8b-6da0-46bc-8bda-d9859c14e1cb","block_type":"box","text":"12","page_number":227,"box":{"x":342,"y":237,"width":9,"height":4}},{"id":"d95c0783-c533-482b-8a00-92b3c9a777ab","block_type":"box","text":"When evaluating each voting item across management or shareholder proposals, the dedicated team applies a","page_number":227,"box":{"x":101,"y":259,"width":791,"height":11}},{"id":"5f1455f7-0bd5-4a49-bf52-d50246dc2ab5","block_type":"box","text":"case-by-case approach that reflects the uneven pace of the low-carbon transition across sectors and markets, and","page_number":227,"box":{"x":69,"y":274,"width":813,"height":11}},{"id":"87f1eb82-1c0f-42c5-a36e-ce158d378943","block_type":"box","text":"acknowledges the distinction between what company management can influence and what lies beyond its control. As","page_number":227,"box":{"x":69,"y":289,"width":833,"height":11}},{"id":"f72961ed-5491-467b-a6ab-8b37a8eec8d2","block_type":"box","text":"a result, voting decisions — on behalf of in-scope funds and SMAs — on similar proposals included on different","page_number":227,"box":{"x":69,"y":304,"width":799,"height":11}},{"id":"ec16d16a-f05c-419f-a5c4-39d60baeadd0","block_type":"box","text":"companies’ shareholder meeting agendas may vary depending on company, sector, or market-specific circumstances.","page_number":227,"box":{"x":69,"y":319,"width":837,"height":12}},{"id":"dff2a60b-391d-4c6a-be1b-56d105a7a59a","block_type":"box","text":"Consistent with the investment objective of each fund or account that has selected these Guidelines, the","page_number":227,"box":{"x":102,"y":342,"width":748,"height":11}},{"id":"a877bad8-1473-4f5f-bdad-c5283f422dd3","block_type":"box","text":"dedicated team will look to the companies to demonstrate the following:","page_number":227,"box":{"x":69,"y":357,"width":513,"height":11}},{"id":"83d535fe-c5c5-408c-86a8-560b3a0d2aa6","block_type":"box","text":"Corporate Disclosures","page_number":227,"box":{"x":69,"y":387,"width":160,"height":11}},{"id":"d7e96a79-c41f-4a7a-96de-96926629bf9a","block_type":"box","text":"13","page_number":227,"box":{"x":230,"y":388,"width":9,"height":4}},{"id":"9d4f12ab-9943-43da-a42a-8e051069d596","block_type":"box","text":"In the context of these Guidelines, the dedicated team looks for companies to provide sufficient disclosure to","page_number":227,"box":{"x":102,"y":410,"width":781,"height":11}},{"id":"20f05399-c32b-488b-aa27-160018dd5cf2","block_type":"box","text":"assess whether the company’s strategy is aligned with the low-carbon transition. As a general point, the team looks","page_number":227,"box":{"x":69,"y":425,"width":825,"height":11}},{"id":"614fe660-fcc2-4e06-874a-115038b610c0","block_type":"box","text":"to companies that are important to the transition to a low-carbon economy to explain the strategy and governance","page_number":227,"box":{"x":68,"y":440,"width":812,"height":12}},{"id":"d1c9edc1-683f-45d0-9960-d2124ea8fb0e","block_type":"box","text":"frameworks that they have determined most appropriate, which may include:","page_number":227,"box":{"x":68,"y":455,"width":545,"height":11}},{"id":"923ca8f3-bff6-494a-9998-e51a876ea19f","block_type":"box","text":"(1) a low-carbon transition strategy to demonstrate their alignment with the ambition to limit average global","page_number":227,"box":{"x":69,"y":476,"width":769,"height":11}},{"id":"67ff8a68-9aa0-4d23-a546-30d8c88654d2","block_type":"box","text":"temperature rise to 1.5°C above pre-industrial levels. This would typically include a long-term strategy to achieve","page_number":227,"box":{"x":101,"y":491,"width":800,"height":11}},{"id":"b466f7d0-3e97-4fa5-981d-d75e27254fc4","block_type":"box","text":"net-zero GHG emissions by 2050, with appropriate near- and medium-term milestones to assess their progress.","page_number":227,"box":{"x":102,"y":506,"width":796,"height":11}},{"id":"f4b3a04e-0b22-4052-b01c-25e503766c08","block_type":"box","text":"(2) low-carbon transition-related reporting. Standardized disclosure of sustainability-related data supports investors","page_number":227,"box":{"x":69,"y":526,"width":828,"height":11}},{"id":"0c2875df-aa0e-4ffb-9994-170fdf9ebcc5","block_type":"box","text":"in making informed decisions. The International Sustainability Standards Board (ISSB) standards, IFRS S1 and","page_number":227,"box":{"x":102,"y":541,"width":787,"height":11}},{"id":"cb203823-1ea4-4531-acaa-c3cc18460c30","block_type":"box","text":"S2, represent one such approach to standardization that the dedicated team finds useful in its analysis.","page_number":227,"box":{"x":102,"y":556,"width":741,"height":11}},{"id":"1ef17b74-2b07-4290-b2f6-e624f39e381f","block_type":"box","text":"14, 15","page_number":227,"box":{"x":845,"y":557,"width":25,"height":5}},{"id":"ec90fb19-0d8d-4724-8e17-d3c1de496921","block_type":"box","text":"IFRS","page_number":227,"box":{"x":877,"y":556,"width":30,"height":9}},{"id":"9b85b8aa-7cd4-484f-91e4-5031d3c232af","block_type":"box","text":"S1 addresses the general requirements of sustainability reporting and IFRS S2 sets out the disclosures that","page_number":227,"box":{"x":102,"y":571,"width":774,"height":12}},{"id":"72f673e0-6310-4981-be3c-affbeeb74f9a","block_type":"box","text":"provide investors with decision-useful information about a company’s most significant climate- and low-carbon","page_number":227,"box":{"x":102,"y":586,"width":781,"height":12}},{"id":"89f43a78-860f-4938-8647-7e2af09ba299","block_type":"box","text":"transition-related risks and opportunities. This includes receiving independent, third-party assurances, as audit","page_number":227,"box":{"x":101,"y":602,"width":792,"height":11}},{"id":"703f7d1d-708f-484a-9967-0969662de6cb","block_type":"box","text":"and assurance standards are developed.","page_number":227,"box":{"x":102,"y":617,"width":290,"height":11}},{"id":"7b812063-cfed-4005-9491-03a9c76545b5","block_type":"box","text":"12","page_number":227,"box":{"x":69,"y":646,"width":9,"height":5}},{"id":"70285327-51f2-45d1-b683-24e2827c3308","block_type":"box","text":"These Guidelines are not intended to limit the analysis of individual issues at specific companies or provide a guide","page_number":227,"box":{"x":83,"y":646,"width":825,"height":11}},{"id":"66b95056-5a7b-4338-92d2-b7636ca8ca67","block_type":"box","text":"as to how the dedicated team will engage and/or vote in every instance. The Guidelines are applied by the dedicated","page_number":227,"box":{"x":69,"y":661,"width":833,"height":11}},{"id":"865062b8-6bc5-4fb7-a2e4-720ffd1f52f1","block_type":"box","text":"team with discretion, on a case-by-case basis, taking into consideration the range of issues and facts specific to the","page_number":227,"box":{"x":68,"y":676,"width":830,"height":11}},{"id":"72bce5fc-4379-4295-8962-c2fd9ec78e61","block_type":"box","text":"company, as well as individual ballot items at shareholder meetings.","page_number":227,"box":{"x":69,"y":691,"width":486,"height":11}},{"id":"649ef3ac-0245-4a1c-a23e-255c90866a2a","block_type":"box","text":"13","page_number":227,"box":{"x":69,"y":709,"width":9,"height":5}},{"id":"6088fd8f-92fa-4824-9dfa-091ff048bb9d","block_type":"box","text":"Given data and measurement limitations, companies may need to provide estimated GHG emissions where","page_number":227,"box":{"x":84,"y":709,"width":764,"height":11}},{"id":"fb31c6a5-1f23-4135-985a-b645301f7a48","block_type":"box","text":"reporting methodologies are nascent. In addition, certain disclosures related to a company’s plans for adapting their","page_number":227,"box":{"x":69,"y":724,"width":834,"height":11}},{"id":"b10abbe9-8172-428e-a26c-2f699aecd421","block_type":"box","text":"business models through the low-carbon transition may require forward-looking statements.","page_number":227,"box":{"x":69,"y":739,"width":651,"height":11}},{"id":"029158d0-99d4-4825-ad76-8e3db4afeda6","block_type":"box","text":"14","page_number":227,"box":{"x":69,"y":757,"width":9,"height":4}},{"id":"f0f4eb8d-26de-40aa-a3b0-5e9be2362f5a","block_type":"box","text":"The ISSB is an independent standard-setting body within the International Financial Reporting Standards","page_number":227,"box":{"x":83,"y":757,"width":744,"height":11}},{"id":"26581cfb-53b0-42c2-95cf-87ae1bb76d17","block_type":"box","text":"(IFRS) Foundation. The standards build on the Task Force on Climate-related Financial Disclosures (TCFD) framework","page_number":227,"box":{"x":69,"y":772,"width":828,"height":11}},{"id":"5ea00768-c04a-4975-9dc6-d033a62bee7a","block_type":"box","text":"and the standards and metrics developed by the Sustainability Accounting Standards Board (SASB), which have both","page_number":227,"box":{"x":69,"y":787,"width":830,"height":11}},{"id":"ead756be-b17e-4a79-b3f1-77afebe3e5b2","block_type":"box","text":"converged under the ISSB. Please refer to the IFRS website to learn more about the framework and standards S1","page_number":227,"box":{"x":69,"y":802,"width":809,"height":11}},{"id":"b721e780-4903-4058-9ca8-3b13b85e2f2d","block_type":"box","text":"“General Requirements for Disclosure of Sustainability-related Financial Information” and S2 “Climate-related","page_number":227,"box":{"x":70,"y":817,"width":778,"height":11}},{"id":"f7ae51f4-13f5-44a6-a9e2-bd717fa0fedb","block_type":"box","text":"Disclosures.” Websites accessed in December 2025.","page_number":227,"box":{"x":70,"y":832,"width":380,"height":9}},{"id":"99225c81-78dd-4955-b7a9-3549bd4f3e74","block_type":"box","text":"15","page_number":227,"box":{"x":69,"y":850,"width":9,"height":5}},{"id":"7ec94142-dce1-49ac-a049-ce72b386e494","block_type":"box","text":"A number of jurisdictions are consulting on adopting the standards issued to date or have already committed to","page_number":227,"box":{"x":83,"y":850,"width":795,"height":11}},{"id":"f01c9b2a-0935-4548-8609-772d6d63e9c5","block_type":"box","text":"doing so. BIS does not mandate any specific disclosure framework companies should use, and recognize that some","page_number":227,"box":{"x":69,"y":865,"width":826,"height":11}},{"id":"70f55ccd-c663-4491-88a7-ce301171af7e","block_type":"box","text":"companies may report using different standards, some of which may be required by regulation. In such cases, we","page_number":227,"box":{"x":69,"y":880,"width":811,"height":11}},{"id":"8d1679be-88f1-4d19-8bfa-a6c7f5323c24","block_type":"box","text":"ask that companies highlight the metrics that are industry- or company-specific. We also recognize that companies","page_number":227,"box":{"x":69,"y":895,"width":816,"height":12}},{"id":"eefe4860-f334-4976-ae25-2e0eab28a5b8","block_type":"box","text":"may be phasing in reporting over several years. We do not prescribe timelines regarding when companies should","page_number":227,"box":{"x":69,"y":911,"width":803,"height":11}},{"id":"413afeda-c954-451f-a51d-b45b12a1f372","block_type":"box","text":"BlackRock Investment Stewardship","page_number":227,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"1a8880b1-f307-4aa5-99c4-89e67c96ee34","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 5","page_number":227,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"8c2379ee-1041-4ac7-a253-ababe79cf0b9","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":227,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"13e0d6c9-7691-4fc9-963d-b67871a9c75f","block_type":"box","text":"(3) scope 1 and scope 2, and most significant scope 3 GHG emissions","page_number":228,"box":{"x":69,"y":45,"width":513,"height":11}},{"id":"779b8e4e-1088-4535-bd49-d0307ada9229","block_type":"box","text":"16, 17","page_number":228,"box":{"x":583,"y":45,"width":26,"height":5}},{"id":"b306de20-2895-4441-86fe-1c4d986f0add","block_type":"box","text":"In addition, the dedicated team looks to","page_number":228,"box":{"x":615,"y":45,"width":283,"height":10}},{"id":"08bf3716-0d71-49da-9d3a-b985aee4646a","block_type":"box","text":"companies to disclose their emissions reduction targets for scope 1 and 2 emissions, science-based where","page_number":228,"box":{"x":101,"y":60,"width":770,"height":11}},{"id":"2e1f3848-f1cd-48c4-a060-4fbd24131b8d","block_type":"box","text":"possible. The team welcomes disclosure of targets or indicative goals, where companies have set them, for","page_number":228,"box":{"x":102,"y":75,"width":768,"height":11}},{"id":"8ea51d6a-9a59-46ca-8fa6-b5aead167a29","block_type":"box","text":"scope 3 emissions reductions. Scope 3 information, including how a company is working with its value chain to","page_number":228,"box":{"x":102,"y":90,"width":792,"height":11}},{"id":"50cb344b-d3d3-4c2d-8341-fce245e3881d","block_type":"box","text":"accelerate reductions in GHG intensity, provides useful insight to investors focused on investing in the low","page_number":228,"box":{"x":102,"y":105,"width":760,"height":11}},{"id":"7cb754d1-1200-416c-977b-b61b8e329c50","block_type":"box","text":"carbon transition and understanding the impact of their investments on their decarbonization goals.","page_number":228,"box":{"x":101,"y":120,"width":709,"height":12}},{"id":"063b5d76-df8a-4425-a458-fc5cccc09951","block_type":"box","text":"18","page_number":228,"box":{"x":812,"y":121,"width":9,"height":4}},{"id":"9be54cd5-6530-4667-be3b-ae1a5696e553","block_type":"box","text":"However,","page_number":228,"box":{"x":827,"y":120,"width":62,"height":11}},{"id":"221d841e-3058-4e91-8f31-a336c92629cc","block_type":"box","text":"the team recognizes that companies have varying ability to influence the emissions across the different parts of","page_number":228,"box":{"x":101,"y":135,"width":802,"height":12}},{"id":"90fbba0c-a242-44db-9bc8-906e32e0c31e","block_type":"box","text":"their value chain and, therefore, it is helpful when disclosures explain the implications for the achievement of","page_number":228,"box":{"x":101,"y":150,"width":780,"height":11}},{"id":"be06e274-a6a5-4943-af7c-6ced573e6c5f","block_type":"box","text":"their decarbonization targets. For some companies that play an important role in the low-carbon transition, scope","page_number":228,"box":{"x":101,"y":166,"width":807,"height":11}},{"id":"908d2a8a-b9e5-4cc1-945f-f1ec00dd7154","block_type":"box","text":"3 may represent their only significant source of GHG emissions in the value chain. While we do not believe","page_number":228,"box":{"x":102,"y":181,"width":759,"height":11}},{"id":"b304b212-d4b3-4f40-affc-7064ea7c849f","block_type":"box","text":"companies should be required to enforce emissions reduction targets outside of their control, where relevant, we","page_number":228,"box":{"x":101,"y":196,"width":808,"height":11}},{"id":"8334b609-de9b-43d9-bde3-9f41e5e3fe10","block_type":"box","text":"look for disclosures on how the company approaches the low-carbon transition in these cases. This may include","page_number":228,"box":{"x":102,"y":211,"width":797,"height":11}},{"id":"2c79609c-aadf-49d1-8ea2-a508be0b9550","block_type":"box","text":"plans and targets to grow businesses that contribute to real world decarbonization, forward-looking capital or","page_number":228,"box":{"x":102,"y":226,"width":777,"height":11}},{"id":"4539c838-6212-48d0-a06f-d2f996929475","block_type":"box","text":"procurement allocation plans to net-zero aligned activities or suppliers, and strategies to mitigate material","page_number":228,"box":{"x":102,"y":241,"width":755,"height":11}},{"id":"90c4d6de-2ea6-4392-9518-7479431a4c8d","block_type":"box","text":"transition risks.","page_number":228,"box":{"x":101,"y":257,"width":110,"height":8}},{"id":"64adc053-521a-4097-873a-5196e55644f6","block_type":"box","text":"(4) where relevant, disclosures that describe the company’s exposure to climate-related physical risks—such as","page_number":228,"box":{"x":69,"y":277,"width":808,"height":11}},{"id":"33331bb8-8287-4b04-9d4c-9e54068bc4d3","block_type":"box","text":"acute risks from extreme weather events or chronic risks from long-term shifts in climate patterns—and how","page_number":228,"box":{"x":102,"y":292,"width":773,"height":11}},{"id":"b692e004-17a4-440b-aaa6-5cc151ba51a8","block_type":"box","text":"these risks could reasonably be expected to affect the company’s operations, assets, or supply chains.","page_number":228,"box":{"x":101,"y":307,"width":739,"height":11}},{"id":"1c289abd-d75e-44a8-8a42-85634c4ed257","block_type":"box","text":"Transition plans","page_number":228,"box":{"x":68,"y":337,"width":115,"height":11}},{"id":"7d32a294-62b8-4125-822a-856825738e1b","block_type":"box","text":"Some companies have published transition plans outlining how they intend to implement their low-carbon","page_number":228,"box":{"x":102,"y":360,"width":748,"height":11}},{"id":"39749923-d35b-477b-9db0-e5312ab81bba","block_type":"box","text":"transition strategies. As defined by the ISSB, a transition plan “lays out the entity’s targets, actions or resources for","page_number":228,"box":{"x":68,"y":375,"width":831,"height":11}},{"id":"41c7f6f6-da56-43ef-a56f-965a78a9564e","block_type":"box","text":"its transition towards a lower-carbon economy, including actions such as reducing its greenhouse gas emissions”","page_number":228,"box":{"x":70,"y":390,"width":805,"height":11}},{"id":"a1433715-eba3-4c8e-829e-d8d01fa0ff0d","block_type":"box","text":"(see Appendix 1).","page_number":228,"box":{"x":69,"y":405,"width":122,"height":11}},{"id":"d595bdcf-5a72-421a-823d-b0525e9915de","block_type":"box","text":"19","page_number":228,"box":{"x":193,"y":405,"width":9,"height":5}},{"id":"fc1bb506-4df2-4929-82ad-15f2e5e6c370","block_type":"box","text":"Work is also underway in a number of jurisdictions on establishing a common approach in a market to corporate","page_number":228,"box":{"x":101,"y":428,"width":800,"height":11}},{"id":"7ebbf04e-892d-41fe-a53e-1b34bdb471fc","block_type":"box","text":"transition plans.","page_number":228,"box":{"x":68,"y":443,"width":115,"height":11}},{"id":"5a105b04-004c-4f3d-b9b6-e5da6a6d2b8e","block_type":"box","text":"20","page_number":228,"box":{"x":184,"y":443,"width":9,"height":5}},{"id":"c6b4ba52-881c-4049-a004-d1063a5a14e7","block_type":"box","text":"Recent guidance from the ISSB on disclosures about transition plans highlights the convergence of","page_number":228,"box":{"x":200,"y":443,"width":706,"height":11}},{"id":"062c2f4a-59d7-4d28-b776-2b248c35d606","block_type":"box","text":"reporting approaches.","page_number":228,"box":{"x":69,"y":458,"width":156,"height":11}},{"id":"c7aac04b-98c4-4f57-8277-acd6dbd1bb3a","block_type":"box","text":"While the preparation of a transition plan, or lack thereof, is not, in itself, a voting issue, these disclosures","page_number":228,"box":{"x":101,"y":481,"width":762,"height":11}},{"id":"ad5997af-2f74-4eb8-82ad-593f462db0dc","block_type":"box","text":"typically provide valuable insights that inform the dedicated team’s approach to engaging and voting on matters","page_number":228,"box":{"x":68,"y":496,"width":796,"height":11}},{"id":"e2108242-8713-4323-9816-ccdaffc4f29e","block_type":"box","text":"related to climate and transition risks on behalf of in-scope funds and accounts.","page_number":228,"box":{"x":69,"y":511,"width":570,"height":11}},{"id":"5e3c37b8-427b-4cab-8640-12d90defef3b","block_type":"box","text":"make sustainability-related disclosures but appreciate it when companies produce them sufficiently in advance of","page_number":228,"box":{"x":69,"y":537,"width":810,"height":12}},{"id":"b2b79ba0-7d58-4092-8cd1-539b02c39963","block_type":"box","text":"their shareholder meeting, to the best of their abilities, to provide investors with time to assess the data and make","page_number":228,"box":{"x":68,"y":553,"width":822,"height":11}},{"id":"fa9f5748-63d9-4f5c-9356-94a85113ca91","block_type":"box","text":"informed voting decisions.","page_number":228,"box":{"x":70,"y":568,"width":184,"height":11}},{"id":"caaa2663-bddd-4245-924e-29d16acaf9c7","block_type":"box","text":"16","page_number":228,"box":{"x":69,"y":586,"width":9,"height":4}},{"id":"dbdcf0b4-c286-4eb8-9012-1fe2c4ac1772","block_type":"box","text":"FTSE Russell address the materiality of different categories of scope 3 GHG emissions by sector in a January 2024","page_number":228,"box":{"x":84,"y":585,"width":825,"height":12}},{"id":"a21ff75c-ccfc-49d5-94ac-dbc7114ca3ec","block_type":"box","text":"paper: FTSE Russel, “Scope for improvement: Solving the Scope 3 conundrum,” January 2024, accessed in","page_number":228,"box":{"x":70,"y":600,"width":768,"height":12}},{"id":"3bd5aa17-909d-41eb-bece-28ac220b1fec","block_type":"box","text":"December 2025.","page_number":228,"box":{"x":70,"y":616,"width":118,"height":9}},{"id":"30e2c7ca-4fdb-4b8a-887e-ec143fda17f5","block_type":"box","text":"17","page_number":228,"box":{"x":69,"y":634,"width":8,"height":4}},{"id":"8f64187c-4446-488c-a5d0-93034ac1b8d6","block_type":"box","text":"Under this policy, the dedicated team looks for GHG emissions disclosures to be aligned with the Greenhouse Gas","page_number":228,"box":{"x":84,"y":633,"width":815,"height":12}},{"id":"166f6e38-44af-4f3c-bf40-82e2c909ce79","block_type":"box","text":"Protocol (GHG Protocol). The Protocol Standards and Guidance are currently being updated to ensure they continue to","page_number":228,"box":{"x":69,"y":648,"width":838,"height":12}},{"id":"7632ddf7-a843-49b5-bed8-60eee3c7bf42","block_type":"box","text":"provide “a rigorous and credible accounting foundation for businesses to measure, plan and track progress toward","page_number":228,"box":{"x":70,"y":663,"width":816,"height":12}},{"id":"e1dd180a-c4a9-430f-a62f-d3f924a1047a","block_type":"box","text":"science-based and net-zero targets in line with the global 1.5°C goal.” Websites accessed in December 2025.","page_number":228,"box":{"x":69,"y":679,"width":784,"height":11}},{"id":"b4e7d1b6-36fa-40d9-90f3-8911ec67d01e","block_type":"box","text":"18","page_number":228,"box":{"x":69,"y":697,"width":9,"height":4}},{"id":"4423f244-4fae-4949-a146-ad09f320d31f","block_type":"box","text":"The dedicated team does not believe the purpose of scope 3 disclosure requirements should be to push publicly","page_number":228,"box":{"x":83,"y":696,"width":804,"height":11}},{"id":"109a6a66-966f-4fec-b831-c0a070782ac6","block_type":"box","text":"traded companies into the role of enforcing emission reduction targets outside of their control. Given methodological","page_number":228,"box":{"x":68,"y":711,"width":832,"height":12}},{"id":"efcd94f5-8f84-42e6-a364-9e2d9f10e0a3","block_type":"box","text":"complexity for scope 3 emissions and the lack of direct control by companies over the requisite data, we find it most","page_number":228,"box":{"x":69,"y":726,"width":832,"height":12}},{"id":"d3e0f13c-7813-428a-a60f-9f8254a7a2a6","block_type":"box","text":"useful when companies focus their disclosures on those of the fifteen scope 3 GHG Protocol categories that are","page_number":228,"box":{"x":69,"y":742,"width":800,"height":11}},{"id":"d1876ccc-0b75-48d4-ae88-eb6bd8f92754","block_type":"box","text":"material to their business models.","page_number":228,"box":{"x":69,"y":757,"width":243,"height":9}},{"id":"a6698547-3369-4b35-9850-fd027abef0df","block_type":"box","text":"19","page_number":228,"box":{"x":69,"y":775,"width":9,"height":4}},{"id":"9b06b780-2900-4159-8d3c-d987c986d992","block_type":"box","text":"International Financial Reporting Standards, “IFRS S2: Climate-related Disclosures,” June 2023, accessed in","page_number":228,"box":{"x":84,"y":774,"width":777,"height":12}},{"id":"50bb530c-9e0d-44a0-be8b-2a8525a27e2a","block_type":"box","text":"December 2025.","page_number":228,"box":{"x":70,"y":790,"width":118,"height":8}},{"id":"c44346b8-780a-413f-9f2b-b135016e01ee","block_type":"box","text":"20","page_number":228,"box":{"x":69,"y":807,"width":9,"height":5}},{"id":"e90f5555-013d-427f-8d11-6f3121924140","block_type":"box","text":"More companies are developing such plans, and public policymakers in certain markets are signaling their","page_number":228,"box":{"x":84,"y":807,"width":758,"height":11}},{"id":"bc9d04a1-fef3-4c29-9c55-1be86c639d4f","block_type":"box","text":"intentions to require them or already have requirements in place, such as Australia, Brazil, and the European Union","page_number":228,"box":{"x":70,"y":822,"width":820,"height":11}},{"id":"a7b7ed82-16ec-417a-aef7-2b4a0f54afd7","block_type":"box","text":"(please see the International Transition Plan Network for information). BlackRock views transition plans as a method","page_number":228,"box":{"x":69,"y":837,"width":829,"height":11}},{"id":"f7f54c6f-98f5-440c-bf41-491cb3f77605","block_type":"box","text":"for a company to both internally assess and externally communicate its long-term strategy, ambition, objectives, and","page_number":228,"box":{"x":68,"y":852,"width":829,"height":12}},{"id":"210f251f-7911-4602-893c-624749e663f6","block_type":"box","text":"actions to create financial value through the global transition towards a low-carbon economy. Across the landscape","page_number":228,"box":{"x":69,"y":868,"width":818,"height":11}},{"id":"84497a8c-fa15-4d97-b87e-994217b2982f","block_type":"box","text":"there remains divergence on the objectives of such plans and the details they should contain. Website accessed in","page_number":228,"box":{"x":68,"y":883,"width":821,"height":11}},{"id":"32b41426-8311-436b-bcae-6afafefa7f2d","block_type":"box","text":"December 2025.","page_number":228,"box":{"x":70,"y":898,"width":118,"height":9}},{"id":"64db6ca0-11cb-4435-a276-36021a305a21","block_type":"box","text":"BlackRock Investment Stewardship","page_number":228,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"6d7b6ac3-d319-454d-b920-0d9763ab96b2","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 6","page_number":228,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"372de3be-3516-4c9d-bfc8-0449dff90a84","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":228,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b740c594-7a07-45ea-8c6a-35e4eccd4be7","block_type":"box","text":"Boards and directors","page_number":229,"box":{"x":69,"y":45,"width":151,"height":9}},{"id":"54dad3b0-5f8e-4b24-9978-85ff082a4d88","block_type":"box","text":"An effective and well-functioning board that has appropriate governance structures to facilitate oversight of a","page_number":229,"box":{"x":101,"y":67,"width":775,"height":12}},{"id":"aca646bb-a1a9-4f7a-ad85-a98c018a633b","block_type":"box","text":"company’s management and strategic initiatives is critical to the company’s ability to deliver on its low-carbon","page_number":229,"box":{"x":69,"y":83,"width":782,"height":11}},{"id":"b5760aa3-8cda-4fcc-b006-4279dd5a62e7","block_type":"box","text":"transition strategy. In assessing the role and effectiveness of the board in this regard, the dedicated team seeks to","page_number":229,"box":{"x":68,"y":98,"width":825,"height":11}},{"id":"24da3109-f6b1-4d41-84cf-c892e1b0795d","block_type":"box","text":"understand whether:","page_number":229,"box":{"x":69,"y":113,"width":145,"height":9}},{"id":"b65fade1-92be-4653-94c5-acc8ce2042a5","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":136,"width":6,"height":4}},{"id":"ff0f8005-d087-4d89-aed5-367d2d2c9187","block_type":"box","text":"The board has clear oversight responsibilities for climate and low-carbon transition-related risks and","page_number":229,"box":{"x":101,"y":133,"width":711,"height":11}},{"id":"ce7bdeff-1ecc-4723-af48-583e3becb4db","block_type":"box","text":"opportunities in the company’s business model. The Guidelines consider the whole board to have responsibility","page_number":229,"box":{"x":102,"y":148,"width":796,"height":11}},{"id":"368887da-b7f4-4475-aa34-8d50ea041104","block_type":"box","text":"for oversight of the company’s long-term strategy, including those aspects related to the transition to a low","page_number":229,"box":{"x":101,"y":163,"width":765,"height":11}},{"id":"b4a4c8da-6dad-48e9-8b13-b385f8b64c61","block_type":"box","text":"carbon economy.","page_number":229,"box":{"x":101,"y":178,"width":119,"height":11}},{"id":"64ffb850-886b-46d4-a720-6d37c44d8076","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":201,"width":6,"height":5}},{"id":"4bd040c7-876b-4cc2-8be4-b0f106ce76ac","block_type":"box","text":"Management has established a robust low-carbon transition framework and long-term strategy, with clear","page_number":229,"box":{"x":102,"y":198,"width":747,"height":12}},{"id":"c8280a5a-e1da-4756-b13f-f9af5f30cba0","block_type":"box","text":"accountability for delivery by senior executives.","page_number":229,"box":{"x":102,"y":213,"width":333,"height":12}},{"id":"8c3c825a-6ba0-44f2-9c39-094ac8903960","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":237,"width":6,"height":4}},{"id":"0f2d93aa-9081-498a-87c5-31ffeca872cc","block_type":"box","text":"The capital management strategy explains how the company allocates investments to (traditional and next","page_number":229,"box":{"x":101,"y":234,"width":758,"height":11}},{"id":"8f91a6e0-093d-4544-827d-f220c349baa5","block_type":"box","text":"generation) business lines and innovation, and returns cash to shareholders, consistent with the company’s","page_number":229,"box":{"x":101,"y":249,"width":772,"height":11}},{"id":"6bdf30ee-33c0-47bd-ad2a-097b368dc34d","block_type":"box","text":"stated low-carbon transition strategy.","page_number":229,"box":{"x":102,"y":264,"width":260,"height":11}},{"id":"34210cd9-ca0d-4127-bba3-4262c5af76d2","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":287,"width":6,"height":4}},{"id":"807cb771-f2aa-4a40-ab07-589a97f09e9a","block_type":"box","text":"The climate and low-carbon transition risks most likely to significantly impact the business are integrated into the","page_number":229,"box":{"x":101,"y":284,"width":807,"height":11}},{"id":"0d931711-337f-4844-95f8-d0c38caa9648","block_type":"box","text":"company’s enterprise risk management processes and reporting.","page_number":229,"box":{"x":101,"y":299,"width":465,"height":11}},{"id":"2423d438-b53c-4ab1-af24-45f13f62b5d4","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":322,"width":6,"height":5}},{"id":"2e54d8e2-c2d2-46b6-9ee0-b69c4fe4d4b9","block_type":"box","text":"The company has set scope 1 and 2 GHG emissions reduction targets, science-based and independently verified","page_number":229,"box":{"x":101,"y":319,"width":804,"height":12}},{"id":"78bfc3ad-700b-43d1-82e4-a21d9b3c4e93","block_type":"box","text":"where possible, against a baseline, that are consistent with the ambition to limit average global temperature rise","page_number":229,"box":{"x":101,"y":335,"width":806,"height":11}},{"id":"b469f830-56e5-4e13-bf69-01d8589041f9","block_type":"box","text":"to no more than 1.5°C above pre-industrial levels.","page_number":229,"box":{"x":101,"y":350,"width":354,"height":10}},{"id":"e45c80dc-4dd2-4034-9a5f-c74e9e033a51","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":373,"width":6,"height":4}},{"id":"13c9a4fd-2de4-4510-86c9-5cd054de29d2","block_type":"box","text":"There is a clear link between the company’s scope 1 and 2 GHG emissions reduction targets over time and its","page_number":229,"box":{"x":101,"y":370,"width":788,"height":11}},{"id":"7e78c357-2d54-495b-940b-8216ae5959b2","block_type":"box","text":"long-term low-carbon transition strategy.","page_number":229,"box":{"x":102,"y":385,"width":282,"height":11}},{"id":"8178aea4-1bb8-4ad5-b77e-b898ee112d26","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":408,"width":6,"height":4}},{"id":"cda92b00-9d98-427d-a535-d6b952385fc3","block_type":"box","text":"The company is monitoring its most significant scope 3 emissions and disclosing these where it is confident in","page_number":229,"box":{"x":101,"y":405,"width":790,"height":11}},{"id":"010a0c29-5798-493d-9c15-c69a32aed39f","block_type":"box","text":"the data. Given forthcoming regulatory requirements in certain jurisdictions, some companies are voluntarily","page_number":229,"box":{"x":101,"y":420,"width":774,"height":11}},{"id":"a6cf3b44-0090-4536-a813-f40ff345ffd1","block_type":"box","text":"disclosing scope 3 emissions reductions targets and plans, setting out how they are working on decarbonization","page_number":229,"box":{"x":101,"y":435,"width":800,"height":11}},{"id":"f71255e0-c331-4e98-ad56-0d7f1e4e678c","block_type":"box","text":"with the different constituents in their value chain.","page_number":229,"box":{"x":101,"y":450,"width":358,"height":9}},{"id":"1b843ee6-9a80-4c30-963d-0dac8e7ee241","block_type":"box","text":"21","page_number":229,"box":{"x":461,"y":451,"width":9,"height":4}},{"id":"474278b1-1d59-4298-b655-12ca67458221","block_type":"box","text":"•","page_number":229,"box":{"x":69,"y":473,"width":6,"height":5}},{"id":"347a2ada-73b4-424f-81f8-980833ff8e20","block_type":"box","text":"The company’s governance and oversight processes for managing material risks associated with corporate","page_number":229,"box":{"x":101,"y":470,"width":761,"height":12}},{"id":"5881aed7-c0b9-4c7d-a6de-687ecb101c9f","block_type":"box","text":"political activities including applicable policies and procedures where relevant.","page_number":229,"box":{"x":102,"y":486,"width":556,"height":11}},{"id":"cfafac32-5ad8-4a19-a523-8e9e60b3ca82","block_type":"box","text":"22","page_number":229,"box":{"x":660,"y":486,"width":8,"height":4}},{"id":"04a03ad3-da39-40c9-a8b4-c24f87ee73c1","block_type":"box","text":"The dedicated team looks for","page_number":229,"box":{"x":674,"y":486,"width":208,"height":9}},{"id":"5527d38c-d30b-4e12-a527-c7655d5a2581","block_type":"box","text":"public policy engagement to be consistent with a company’s stated strategic policy objectives, including those","page_number":229,"box":{"x":102,"y":501,"width":783,"height":11}},{"id":"c4445016-a4c9-4f52-90ac-2171b661ae3b","block_type":"box","text":"related to the low-carbon transition.","page_number":229,"box":{"x":102,"y":516,"width":251,"height":9}},{"id":"2f9675e5-bf80-4ec0-b3d3-1c29ba44dfbc","block_type":"box","text":"Voting against directors over concerns about climate risk","page_number":229,"box":{"x":68,"y":546,"width":420,"height":11}},{"id":"6861da2a-a758-4e70-a5fe-19f8dff2e3cf","block_type":"box","text":"In implementing these Guidelines, the dedicated team generally supports non-executive directors standing for","page_number":229,"box":{"x":102,"y":569,"width":781,"height":11}},{"id":"a0128cfd-1b7a-4bd0-8c25-fdea7aaadbc8","block_type":"box","text":"election where, in its assessment based on company disclosures and engagement, a company is executing on its","page_number":229,"box":{"x":69,"y":584,"width":811,"height":11}},{"id":"22bac606-c080-4666-8a67-a99e4b0f770f","block_type":"box","text":"commitment to align with the transition to a low-carbon economy, as defined above. Where the dedicated team","page_number":229,"box":{"x":69,"y":599,"width":788,"height":11}},{"id":"32cea344-d347-48ba-95c5-e8319f9c3b4d","block_type":"box","text":"determines this is not the case, it may vote against the election of one or more directors who the team identifies as","page_number":229,"box":{"x":69,"y":614,"width":828,"height":11}},{"id":"ca66ab03-3e92-434a-8568-8dd9cd806e84","block_type":"box","text":"having the most responsibility for the issue. The directors most likely to be in focus are the chair of the board","page_number":229,"box":{"x":69,"y":629,"width":780,"height":11}},{"id":"5d43282d-4983-42ef-8a9c-56b8205a5c3c","block_type":"box","text":"committee with low-carbon transition, climate or sustainability risk oversight responsibilities, other members of the","page_number":229,"box":{"x":69,"y":644,"width":817,"height":12}},{"id":"865d5aeb-b633-434f-b834-a6b6664c39f9","block_type":"box","text":"relevant committee, the lead independent director or the non-executive chair of the board. In certain markets, the","page_number":229,"box":{"x":69,"y":659,"width":808,"height":11}},{"id":"997c6511-06e7-44f9-8094-d29cf7ab75fd","block_type":"box","text":"team may withhold support for the discharge of the supervisory board or equivalent and/or board reports.","page_number":229,"box":{"x":68,"y":675,"width":758,"height":11}},{"id":"2e1719e1-7a26-4d69-97c3-bcbc6b7d3433","block_type":"box","text":"23","page_number":229,"box":{"x":828,"y":675,"width":9,"height":4}},{"id":"54ef0663-3ca1-47b0-8b35-7e73e65e311e","block_type":"box","text":"21","page_number":229,"box":{"x":69,"y":704,"width":9,"height":5}},{"id":"f1e16e8e-3763-4c91-b9f5-527ef48c6e08","block_type":"box","text":"FTSE Russell address the materiality of different categories of scope 3 GHG emissions by sector in a January 2024","page_number":229,"box":{"x":84,"y":704,"width":825,"height":11}},{"id":"e1afe6fc-acfe-4e3a-bf76-85f5fa69f41e","block_type":"box","text":"paper “Scope for improvement: Solving the Scope 3 conundrum.” Their research indicates that there are 2-3 material","page_number":229,"box":{"x":70,"y":719,"width":835,"height":11}},{"id":"6da38159-4932-4c85-84a3-aa0ab0511e06","block_type":"box","text":"scope 3 GHG emissions categories by sector. The research uses a definition of materiality from the GHG Protocol,","page_number":229,"box":{"x":69,"y":734,"width":813,"height":11}},{"id":"6768a653-7dbc-4f58-a2ee-f4b981fe2e59","block_type":"box","text":"which “encourages companies to maintain a representative inventory of the “most significant GHG emissions, [that]","page_number":229,"box":{"x":68,"y":749,"width":828,"height":11}},{"id":"2ecf7d3a-d726-4dd1-b21d-429e4080ae28","block_type":"box","text":"offer the most significant GHG reduction opportunities and are most relevant to the company’s business goals.”","page_number":229,"box":{"x":69,"y":764,"width":801,"height":12}},{"id":"7e5e47d0-f70e-43dc-b70d-c7b3f9b75aca","block_type":"box","text":"Website accessed in December 2025.","page_number":229,"box":{"x":68,"y":779,"width":272,"height":9}},{"id":"ef85b233-2f56-400d-a3a6-e6a209abe230","block_type":"box","text":"22","page_number":229,"box":{"x":69,"y":797,"width":9,"height":5}},{"id":"b5595d43-a69e-4dc8-bc64-77cc37bbab6e","block_type":"box","text":"Corporate political activities may include lobbying as defined by local regulations, policy engagement (including","page_number":229,"box":{"x":84,"y":797,"width":787,"height":11}},{"id":"c0234524-d97c-48d7-8a0a-e6f5efbd55dc","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":229,"box":{"x":68,"y":812,"width":500,"height":11}},{"id":"8fac9cb9-8091-447d-afd2-7d9dbdcccb76","block_type":"box","text":"23","page_number":229,"box":{"x":69,"y":830,"width":9,"height":5}},{"id":"f3211c3b-c23f-4475-a7e6-08f43a5a4e88","block_type":"box","text":"Board report votes are generally advisory and relate to reports issued by the board of directors that may contain","page_number":229,"box":{"x":84,"y":830,"width":801,"height":11}},{"id":"36d9d6b8-b059-41f1-b79a-472565ebf1e7","block_type":"box","text":"information on a company’s sustainability efforts, operational resilience, or financial condition, among others.","page_number":229,"box":{"x":70,"y":845,"width":782,"height":11}},{"id":"acf937d5-5b5e-4f0a-828c-db5dd4be8985","block_type":"box","text":"BlackRock Investment Stewardship","page_number":229,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"03fc8b05-bdea-4eb5-b599-005d2f646b59","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 7","page_number":229,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"1cdd6ac5-392a-4389-ace1-e91df0c6fdc0","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":229,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"4fb9f549-bb6f-41ef-99b8-619968d22ce1","block_type":"box","text":"Where the dedicated team has not supported director elections over climate concerns in a prior year, and the","page_number":230,"box":{"x":101,"y":45,"width":780,"height":11}},{"id":"4be46186-0bce-4bd4-920b-78d591567bc1","block_type":"box","text":"company has not subsequently made progress towards aligning with the transition to a low-carbon economy, the team","page_number":230,"box":{"x":69,"y":60,"width":839,"height":11}},{"id":"382b0454-cad5-46bc-9a2e-c2aeda9a4f54","block_type":"box","text":"may escalate by not supporting the re-election of additional responsible directors.","page_number":230,"box":{"x":69,"y":75,"width":582,"height":11}},{"id":"e8a12f01-ea4b-4e5c-aaa7-db8b494b592e","block_type":"box","text":"24","page_number":230,"box":{"x":653,"y":75,"width":9,"height":5}},{"id":"983776f7-7d78-4934-80a4-86e84e860722","block_type":"box","text":"Management proposals to approve a climate strategy or progress report","page_number":230,"box":{"x":69,"y":105,"width":528,"height":11}},{"id":"4a10e1c9-5349-4660-944b-6dab617e9c43","block_type":"box","text":"In certain markets, company management may submit proposals— commonly referred to as “Say on Climate” —","page_number":230,"box":{"x":102,"y":128,"width":807,"height":11}},{"id":"25870698-6cb8-4095-97c6-e670cae3a662","block_type":"box","text":"seeking shareholder approval of their climate action plans or progress reports. The Guidelines consider these","page_number":230,"box":{"x":69,"y":143,"width":782,"height":11}},{"id":"16aadf5f-946a-4adc-ab0c-ca59c04e6ca9","block_type":"box","text":"proposals as a valuable governance mechanism that can enhance transparency, accountability, and investors’","page_number":230,"box":{"x":70,"y":158,"width":782,"height":11}},{"id":"40bb9c1c-0cf9-4ee0-bd17-cbe08ffb8d06","block_type":"box","text":"understanding of a company’s climate strategy. The dedicated team generally supports management’s climate","page_number":230,"box":{"x":69,"y":173,"width":787,"height":11}},{"id":"7d06c836-e9fd-43e2-ad95-a5c5b7b10e5c","block_type":"box","text":"strategy proposal if, in the team’s assessment based on these Guidelines, the strategy is aligned with the low-carbon","page_number":230,"box":{"x":69,"y":188,"width":838,"height":12}},{"id":"54f57cb8-b6aa-401c-ab06-1a1781bd0ffe","block_type":"box","text":"transition. Similarly, the dedicated team generally supports management’s proposal on a progress report if the","page_number":230,"box":{"x":68,"y":203,"width":792,"height":12}},{"id":"a858fb44-8f49-4b57-9a32-7b14f78c45f6","block_type":"box","text":"company has clearly explained its progress against, and any deviations from or changes to, its stated low-carbon","page_number":230,"box":{"x":69,"y":218,"width":803,"height":12}},{"id":"578275f7-a048-4cdb-b567-51109f3cbd26","block_type":"box","text":"transition plan and targets.","page_number":230,"box":{"x":68,"y":234,"width":193,"height":11}},{"id":"878aa353-80d5-485b-92cd-1dea8fb871e4","block_type":"box","text":"Shareholder proposals on climate and low-carbon transition matters","page_number":230,"box":{"x":68,"y":264,"width":495,"height":11}},{"id":"0605c917-a4df-450b-b86c-ed5eea9d2ec7","block_type":"box","text":"In most markets, shareholders can submit proposals to be voted on at a company’s shareholder meeting, as","page_number":230,"box":{"x":102,"y":287,"width":777,"height":11}},{"id":"2e916657-7b79-4194-a465-88d622280d4e","block_type":"box","text":"long as certain requirements are met. Shareholder proposals span a wide range of topics and have varying degrees","page_number":230,"box":{"x":70,"y":302,"width":824,"height":11}},{"id":"1e8563b7-a760-4f35-a7ed-ef28764d0607","block_type":"box","text":"of relevance for companies across sectors, locations, and business models.","page_number":230,"box":{"x":69,"y":317,"width":543,"height":11}},{"id":"32aa51bd-bd5c-4f1e-a3d3-3df78fe853bc","block_type":"box","text":"Each shareholder proposal is evaluated on a case-by-case basis, focusing on its merit while considering the","page_number":230,"box":{"x":102,"y":339,"width":767,"height":12}},{"id":"17db400b-34f8-4c56-ab06-b4ccfc5ecaa1","block_type":"box","text":"company’s individual circumstances. When the dedicated team votes in support of a proposal, it is not necessarily","page_number":230,"box":{"x":69,"y":355,"width":818,"height":11}},{"id":"fe1f225d-62ab-49e5-a260-9a41f95d2dc0","block_type":"box","text":"endorsing every element of the proposal or the reasoning, objectives, or supporting statement of the proponent.","page_number":230,"box":{"x":69,"y":370,"width":800,"height":11}},{"id":"66dbf6fc-49f7-4210-988f-795ff6de3a98","block_type":"box","text":"In addition to financial materiality, the Guidelines consider the proposal’s relevance to the company’s low-carbon","page_number":230,"box":{"x":102,"y":392,"width":802,"height":12}},{"id":"973cee48-eef9-4f15-963b-d9bed60c4a5e","block_type":"box","text":"transition strategy and targets. The dedicated team assesses the implications for, and the relevance to, the","page_number":230,"box":{"x":68,"y":407,"width":770,"height":12}},{"id":"b96f5b0b-5f8b-4f2b-a067-5e7017681b93","block_type":"box","text":"company’s stated low-carbon transition strategy and targets. Under the Guidelines, the team may support","page_number":230,"box":{"x":69,"y":423,"width":754,"height":11}},{"id":"73d98fad-f854-44b7-954b-390b01b2eb38","block_type":"box","text":"shareholder proposals that, for example, ask a company to:","page_number":230,"box":{"x":69,"y":438,"width":425,"height":11}},{"id":"136d3971-7536-47ce-b0d2-9c28e25d24bb","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":461,"width":6,"height":4}},{"id":"b29b86b3-6945-476b-b102-cc2b23459fc7","block_type":"box","text":"Publish a business plan, and related disclosures, consistent with the ambition to limit average global","page_number":230,"box":{"x":102,"y":458,"width":719,"height":11}},{"id":"2d4f0e2d-3386-4346-89a2-2b1ea5ea4e5c","block_type":"box","text":"temperature rise to no more than 1.5°C above pre-industrial levels","page_number":230,"box":{"x":101,"y":473,"width":474,"height":11}},{"id":"0a1b8e69-01b8-47a1-96ad-f7b444850aa0","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":496,"width":6,"height":5}},{"id":"21c8ad34-c4f8-4d06-9f7e-3dec1d71b68d","block_type":"box","text":"Align scope 1 and 2 GHG emissions reduction targets to, and/or discuss how their targets align with, a long-term","page_number":230,"box":{"x":101,"y":493,"width":807,"height":11}},{"id":"292ea1eb-faff-46ca-8754-b49eb20d3063","block_type":"box","text":"goal of the company achieving net zero GHG emissions by 2050","page_number":230,"box":{"x":101,"y":508,"width":457,"height":12}},{"id":"71c2d9e5-f7a4-4c7f-b236-ba4e700be6ae","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":531,"width":6,"height":5}},{"id":"52f89ff9-3284-4685-a7b4-5e9aba1b4863","block_type":"box","text":"Disclose the categories of scope 3 GHG emissions most significant to a company’s business model","page_number":230,"box":{"x":102,"y":528,"width":712,"height":12}},{"id":"49bb3531-6a6d-4c6f-a41e-5cf6e20f45cf","block_type":"box","text":"•","page_number":230,"box":{"x":69,"y":551,"width":6,"height":5}},{"id":"d3f0cb21-7714-4606-981a-95c1df6cc824","block_type":"box","text":"Improve voluntary disclosures on the alignment of a company’s climate-related corporate political activities with","page_number":230,"box":{"x":102,"y":549,"width":794,"height":11}},{"id":"b9963864-2be4-4fd9-ba76-69431cdaf001","block_type":"box","text":"its strategic policy positions, where existing disclosure is insufficient","page_number":230,"box":{"x":102,"y":564,"width":489,"height":11}},{"id":"f577c953-b0d5-4f8c-a4b0-329724191c2a","block_type":"box","text":"25","page_number":230,"box":{"x":592,"y":564,"width":9,"height":5}},{"id":"1a1e3c36-7795-4c6f-90c0-140d6b67c7c4","block_type":"box","text":"The dedicated team does not support shareholder proposals that seek to constrain board or management","page_number":230,"box":{"x":101,"y":587,"width":758,"height":11}},{"id":"caa2c4d3-17fd-4988-a8c0-67c4d0ded3a2","block_type":"box","text":"decision-making or direct specific business or strategic decisions.","page_number":230,"box":{"x":69,"y":601,"width":468,"height":12}},{"id":"c163953d-b1d4-4d34-906a-6d8d8c66e1ea","block_type":"box","text":"RELATED MATTERS","page_number":230,"box":{"x":419,"y":632,"width":140,"height":9}},{"id":"515a2ef9-5d0d-4ae2-8d2e-aad9903c8083","block_type":"box","text":"There are other business items not covered above that may be put to a shareholder vote that could address","page_number":230,"box":{"x":101,"y":655,"width":771,"height":11}},{"id":"3d4b7d21-d17e-48b7-bf08-41d07391b9fe","block_type":"box","text":"matters relevant to the transition to a low-carbon economy. Under these Guidelines, the dedicated team engages,","page_number":230,"box":{"x":69,"y":670,"width":808,"height":11}},{"id":"21e93c39-1a91-46e0-b230-cbd9b1d61b2d","block_type":"box","text":"where appropriate, to enhance its understanding of a company’s approach. Generally, voting on these matters would","page_number":230,"box":{"x":68,"y":685,"width":831,"height":11}},{"id":"58553f54-059a-4709-814d-4218458cae05","block_type":"box","text":"be covered by BIS’ Benchmark Policies.","page_number":230,"box":{"x":69,"y":700,"width":280,"height":11}},{"id":"6350bd55-3cb1-4d42-b1b5-6c3dcc20d583","block_type":"box","text":"Executive compensation","page_number":230,"box":{"x":69,"y":730,"width":177,"height":11}},{"id":"6babeb6f-d658-4d51-8734-6f637e01a0cf","block_type":"box","text":"The dedicated team looks to company boards to put in place a compensation structure that incentivizes and","page_number":230,"box":{"x":101,"y":753,"width":772,"height":11}},{"id":"c4e0c819-3b2d-40f9-a53b-60d3c8340040","block_type":"box","text":"rewards executives appropriately. Some companies, in light of their long-term strategy, may decide to include relevant","page_number":230,"box":{"x":69,"y":768,"width":837,"height":11}},{"id":"cfb95587-e184-4a1f-a257-6db66c94c9d3","block_type":"box","text":"GHG emissions reduction targets or low-carbon transition-related metrics in their incentive plans. In such cases, the","page_number":230,"box":{"x":69,"y":783,"width":826,"height":11}},{"id":"fe45f932-ff5f-4920-8747-2131654658b9","block_type":"box","text":"dedicated team would engage to understand the alignment between those metrics and the company’s stated climate","page_number":230,"box":{"x":69,"y":798,"width":834,"height":11}},{"id":"f80f4d46-315f-4e57-865e-25302278aacf","block_type":"box","text":"24","page_number":230,"box":{"x":69,"y":828,"width":9,"height":4}},{"id":"9655fe28-6fa4-4d9d-8d15-73e7f0281114","block_type":"box","text":"While the dedicated team may escalate voting by not supporting additional management proposals, principally","page_number":230,"box":{"x":83,"y":827,"width":787,"height":12}},{"id":"e2ddf668-d456-41d7-8792-1e1774854514","block_type":"box","text":"director elections, the team does not consider filing shareholder proposals, preannouncing voting intentions or using","page_number":230,"box":{"x":69,"y":842,"width":832,"height":12}},{"id":"f0b7bede-73e0-48b1-9a16-ae700bdcf939","block_type":"box","text":"the media to amplify concerns as appropriate courses of action. The dedicated team will continue to take a","page_number":230,"box":{"x":68,"y":857,"width":765,"height":12}},{"id":"f417914a-5d9c-45c6-bf1c-4c1abcfb5014","block_type":"box","text":"constructive, long-term focused approach, to engagement and voting on behalf of clients under these Guidelines.","page_number":230,"box":{"x":69,"y":873,"width":805,"height":11}},{"id":"6114c7f7-b033-456f-a7c2-f2dcb5f34a44","block_type":"box","text":"25","page_number":230,"box":{"x":69,"y":891,"width":9,"height":4}},{"id":"a1bfc7da-3281-4ef8-89c1-45ae375eb843","block_type":"box","text":"Corporate political activities may include lobbying as defined by local regulations, policy engagement (including","page_number":230,"box":{"x":84,"y":890,"width":787,"height":12}},{"id":"5a9f8ecc-820a-4caa-adfd-b824e62e15ec","block_type":"box","text":"trade association memberships), and corporate political contributions.","page_number":230,"box":{"x":68,"y":906,"width":500,"height":10}},{"id":"186dff97-87ca-4411-8a39-603efa6570dd","block_type":"box","text":"BlackRock Investment Stewardship","page_number":230,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"aa8dfa6e-7ed5-4783-984e-846497a4069c","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 8","page_number":230,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"76e5394f-f345-43f5-9d48-bb33e51fbd24","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":230,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"c5e97ede-2f44-4852-b215-154ea2e2f434","block_type":"box","text":"strategy. Clear disclosure also helps investors assess whether pay structures are consistent with long-term climate","page_number":231,"box":{"x":69,"y":45,"width":821,"height":11}},{"id":"35440435-a088-4517-a809-d33901bafed2","block_type":"box","text":"strategy and risk management.","page_number":231,"box":{"x":69,"y":60,"width":219,"height":11}},{"id":"5001e82a-4fbc-4e15-8172-ba08fef6ade1","block_type":"box","text":"Auditors and audit-related issues","page_number":231,"box":{"x":68,"y":90,"width":240,"height":9}},{"id":"04737688-4e50-4075-a0a2-385671a68a68","block_type":"box","text":"For companies with material climate or transition risks or opportunities in their business models, the dedicated","page_number":231,"box":{"x":102,"y":113,"width":793,"height":11}},{"id":"aa45d911-0fb7-43e6-b867-eacc14478620","block_type":"box","text":"team is interested in understanding whether the company considers and, if relevant, quantifies, and accounts for","page_number":231,"box":{"x":68,"y":128,"width":807,"height":11}},{"id":"e867ee6a-1d93-403a-b98c-1115e0868450","block_type":"box","text":"material climate-related risks in its financial statements, including if the company explains such risks within the","page_number":231,"box":{"x":69,"y":143,"width":794,"height":11}},{"id":"ceefd7b6-4f08-44b5-94e6-6479209fa4f5","block_type":"box","text":"context of its audit report. The team notes that assurance of corporate disclosures related to climate risk and the","page_number":231,"box":{"x":69,"y":158,"width":812,"height":11}},{"id":"1ccd87d4-049c-4e21-a219-fbcf672a637f","block_type":"box","text":"transition to a low-carbon economy is still nascent.","page_number":231,"box":{"x":68,"y":173,"width":361,"height":11}},{"id":"678fa14a-e6b3-4f35-b1c1-0c5fccf4c803","block_type":"box","text":"Mergers, acquisitions, asset sales, and other special situations","page_number":231,"box":{"x":69,"y":203,"width":463,"height":11}},{"id":"40ccf796-1510-4d8a-8679-bc99b3cf414e","block_type":"box","text":"Special situations will be considered on their financial merits, but the dedicated team may engage on climate","page_number":231,"box":{"x":102,"y":226,"width":783,"height":11}},{"id":"8bd04147-2232-44ff-ae4f-5989c321ec73","block_type":"box","text":"related factors under these Guidelines where a transaction may significantly alter a company’s climate strategy or a","page_number":231,"box":{"x":69,"y":241,"width":824,"height":11}},{"id":"1672683d-959d-4424-996b-61cacb0e84f0","block_type":"box","text":"shareholder activist has proposed governance, strategic or operational changes that may impact its climate strategy.","page_number":231,"box":{"x":69,"y":257,"width":831,"height":11}},{"id":"2d261ed9-8bdf-4c74-bb15-739fe978b687","block_type":"box","text":"The dedicated team does not promote changes in corporate control or engage in shareholder activism.","page_number":231,"box":{"x":68,"y":272,"width":731,"height":11}},{"id":"e3271f2e-271b-4cdd-8477-f35293583a4f","block_type":"box","text":"Other business relevant sustainability-related risks and opportunities","page_number":231,"box":{"x":69,"y":302,"width":503,"height":11}},{"id":"c779736c-b8b0-45c4-ba22-3349a331e5c8","block_type":"box","text":"Climate risk and the transition to a low-carbon economy are interconnected with a number of other material","page_number":231,"box":{"x":102,"y":324,"width":762,"height":11}},{"id":"7aaeed1e-f440-4f11-9de5-6f79cd078d1a","block_type":"box","text":"sustainability-related risks and opportunities that may be relevant to a company’s business model and long-term","page_number":231,"box":{"x":69,"y":340,"width":802,"height":11}},{"id":"6bc49317-8583-4392-bf8e-f11d4db2b717","block_type":"box","text":"financial performance. These include a company’s impacts or dependencies on natural capital and key","page_number":231,"box":{"x":68,"y":355,"width":734,"height":11}},{"id":"20063c90-fd1c-4f74-abcd-c96cc6bd9ebe","block_type":"box","text":"stakeholders.","page_number":231,"box":{"x":69,"y":370,"width":95,"height":9}},{"id":"f2158289-b854-43b6-8434-60b49c394902","block_type":"box","text":"26","page_number":231,"box":{"x":166,"y":370,"width":9,"height":5}},{"id":"7f35e0a0-9aa0-4fff-ad62-9ad411e5a822","block_type":"box","text":"In the context of these Guidelines, the dedicated team may engage companies to better understand","page_number":231,"box":{"x":182,"y":370,"width":710,"height":11}},{"id":"48dcf42a-86e9-42ab-9264-3dba7c6e5738","block_type":"box","text":"how they are managing the impact on people (e.g., employees, suppliers, customers and communities) of any","page_number":231,"box":{"x":69,"y":385,"width":783,"height":11}},{"id":"afeb57ae-a370-4bec-b7e5-1bb235f91387","block_type":"box","text":"strategic or operational changes they are making in relation to their transition to a low-carbon economy. Similarly, the","page_number":231,"box":{"x":69,"y":400,"width":832,"height":11}},{"id":"17041396-2b46-4993-8da1-02193cbbdfe1","block_type":"box","text":"team may engage companies that face risks and opportunities related to land use and deforestation, access to fresh","page_number":231,"box":{"x":68,"y":415,"width":838,"height":11}},{"id":"721994b8-7970-40a2-aaf5-f53015fb1e68","block_type":"box","text":"water, or the ability to secure scarce resources critical to the transition to a low-carbon economy.","page_number":231,"box":{"x":68,"y":430,"width":690,"height":11}},{"id":"e81a64f8-be91-4416-bca9-6da1105bc822","block_type":"box","text":"26","page_number":231,"box":{"x":69,"y":475,"width":9,"height":4}},{"id":"c1239b4b-0ceb-4bc6-a975-d147840dcbde","block_type":"box","text":"Engagement with companies on these issues is informed by BIS’ commentaries on natural capital, human capital","page_number":231,"box":{"x":84,"y":474,"width":807,"height":12}},{"id":"e5d9813c-31a3-4e8e-8e4a-1bba7c0e363d","block_type":"box","text":"management, and corporate human rights risks, December 2025.","page_number":231,"box":{"x":69,"y":490,"width":468,"height":11}},{"id":"b922d8f4-02f1-4095-8a5c-c1486c831e5a","block_type":"box","text":"BlackRock Investment Stewardship","page_number":231,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"b3452154-9390-464b-9a1d-54d29c219181","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 9","page_number":231,"box":{"x":509,"y":942,"width":400,"height":13}},{"id":"32f9b843-84c7-496a-a401-0146d1225574","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":231,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"42ab4d54-8ad0-421a-aef6-9a421535b821","block_type":"box","text":"Appendix 1","page_number":232,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"0b5a45eb-669a-4e53-bdf6-8967007fcb9c","block_type":"box","text":"Terminology","page_number":232,"box":{"x":68,"y":75,"width":87,"height":11}},{"id":"cc251593-066a-4191-aa95-ac96fb777555","block_type":"box","text":"We understand the key concepts referred to within these Guidelines as follows:","page_number":232,"box":{"x":101,"y":98,"width":565,"height":11}},{"id":"53b618d9-cd19-46ae-8dc4-f1d69714c825","block_type":"box","text":"Climate risk:","page_number":232,"box":{"x":101,"y":120,"width":92,"height":9}},{"id":"57cb7b1e-c75d-4778-8099-ba73deb78c0a","block_type":"box","text":"Includes physical risk, the increased risk to companies’ assets and activities caused by the direct","page_number":232,"box":{"x":200,"y":120,"width":698,"height":11}},{"id":"cbbfa946-c2ad-4a11-a235-0784f6f34ac9","block_type":"box","text":"impact of changing weather patterns and natural catastrophes, and transition risk, the impact of the transition to a","page_number":232,"box":{"x":70,"y":135,"width":818,"height":12}},{"id":"f1834fb1-0a56-407a-886d-5197aeb5e51e","block_type":"box","text":"low-carbon economy on a company’s long-term profitability.","page_number":232,"box":{"x":70,"y":150,"width":416,"height":12}},{"id":"a14ecb91-d737-475b-805b-2cb66ae86871","block_type":"box","text":"Transition to a low-carbon economy (“low-carbon transition”):","page_number":232,"box":{"x":101,"y":173,"width":449,"height":11}},{"id":"d7ac4307-640d-4491-ae11-fb72fc4ec29b","block_type":"box","text":"The global economic shift toward lower","page_number":232,"box":{"x":556,"y":173,"width":278,"height":11}},{"id":"6cfc362d-754c-4fdb-b208-98715a75bf1e","block_type":"box","text":"emissions across many sectors and business models. The economic transformation is being driven by changes in","page_number":232,"box":{"x":69,"y":188,"width":811,"height":12}},{"id":"4235be4f-0cad-40d2-a2a5-26e7182f1154","block_type":"box","text":"government policy, technology, and consumer and investor preferences, as well as the physical effects of climate","page_number":232,"box":{"x":68,"y":203,"width":807,"height":12}},{"id":"efede65a-695c-4282-ad4c-46fb8f077928","block_type":"box","text":"change (e.g., extreme weather), and can potentially have a material impact on clients’ investments and portfolios.","page_number":232,"box":{"x":69,"y":218,"width":812,"height":12}},{"id":"b1158f67-9ddb-43f1-a1d5-35e237c16143","block_type":"box","text":"Decarbonization:","page_number":232,"box":{"x":102,"y":241,"width":120,"height":9}},{"id":"a2652ba1-1aa3-4682-ac8e-12e023856ecf","block_type":"box","text":"the process of reducing or eliminating emissions of carbon dioxide (CO2) from human activity","page_number":232,"box":{"x":228,"y":241,"width":664,"height":11}},{"id":"3d510e09-1e4b-47ed-bd21-a6f72b7c2951","block_type":"box","text":"and removing carbon currently in the atmosphere. This can be carried out by countries, companies and even","page_number":232,"box":{"x":69,"y":257,"width":771,"height":11}},{"id":"7e0f4aff-a4a1-4f52-aaea-2d71d28d7c1b","block_type":"box","text":"individual consumers. Sometimes the concept is understood to include the reduction and elimination of other GHG,","page_number":232,"box":{"x":70,"y":271,"width":820,"height":11}},{"id":"540b4154-e046-45fa-9cf5-7192b35a7995","block_type":"box","text":"e.g., methane.","page_number":232,"box":{"x":69,"y":287,"width":102,"height":11}},{"id":"73ba9bbd-d485-4896-80ab-70f49d772b4d","block_type":"box","text":"Climate-related risks and opportunities:","page_number":232,"box":{"x":101,"y":309,"width":289,"height":11}},{"id":"8a473e58-1810-4d7a-a214-bcc5c3e1601e","block_type":"box","text":"The investment opportunities and risks associated with the transition","page_number":232,"box":{"x":396,"y":309,"width":495,"height":11}},{"id":"6f311f69-77d0-4001-b122-dc92cacc9f54","block_type":"box","text":"to a low-carbon economy, including transition risks and opportunities and physical risks and opportunities in adapting","page_number":232,"box":{"x":68,"y":325,"width":838,"height":11}},{"id":"279f841b-2399-4cf5-b9d4-cb94c73e573f","block_type":"box","text":"to physical climate change.","page_number":232,"box":{"x":68,"y":340,"width":193,"height":11}},{"id":"cb546250-ab21-410f-a82f-a3c8c96851f8","block_type":"box","text":"Climate-related transition plan:","page_number":232,"box":{"x":101,"y":362,"width":226,"height":11}},{"id":"c21fced9-973b-4862-8ace-9e77d0db7931","block_type":"box","text":"“An aspect of an entity’s overall strategy that lays out the entity’s targets,","page_number":232,"box":{"x":334,"y":362,"width":525,"height":11}},{"id":"f3cc6ee5-ed8a-4f72-8666-3cab69308634","block_type":"box","text":"actions or resources for its transition towards a lower-carbon economy, including actions such as reducing its","page_number":232,"box":{"x":69,"y":377,"width":778,"height":12}},{"id":"0f055f37-fe80-46e6-954a-7452a38098b6","block_type":"box","text":"greenhouse gas emissions.”","page_number":232,"box":{"x":68,"y":393,"width":203,"height":11}},{"id":"6e06e02c-a141-4b2a-be19-84e107340010","block_type":"box","text":"27","page_number":232,"box":{"x":273,"y":393,"width":9,"height":4}},{"id":"6630cb57-7189-439b-b49e-dd3b890681da","block_type":"box","text":"Science-based GHG emissions reduction targets:","page_number":232,"box":{"x":101,"y":415,"width":356,"height":11}},{"id":"68e0d364-8e9b-47ca-8b56-4588efe5fd68","block_type":"box","text":"Targets that “","page_number":232,"box":{"x":463,"y":415,"width":96,"height":11}},{"id":"1ed839e2-3a5b-4eeb-b192-257c64136607","block_type":"box","text":"are in line with what the latest climate science","page_number":232,"box":{"x":569,"y":415,"width":331,"height":9}},{"id":"e7c9dc5f-19eb-4add-96bd-a8730d859c0c","block_type":"box","text":"deems necessary to meet the goals of the Paris Agreement — limiting global warming to 1.5°C above pre-industrial","page_number":232,"box":{"x":69,"y":430,"width":822,"height":11}},{"id":"6d6d11dd-c053-4c8f-b786-5b6b16cabdde","block_type":"box","text":"levels. Science-based targets give companies a clearly defined path to reduce GHG emissions in line with limiting","page_number":232,"box":{"x":70,"y":445,"width":806,"height":12}},{"id":"db7e4054-895c-485f-87c1-71f47d6ae763","block_type":"box","text":"global warming to 1.5°C. They define how much and how quickly a business must reduce its emissions to be in line","page_number":232,"box":{"x":68,"y":460,"width":824,"height":12}},{"id":"d1f52700-9463-4824-8468-9c160e06d3ff","block_type":"box","text":"with the Paris Agreement goals.”","page_number":232,"box":{"x":68,"y":476,"width":232,"height":11}},{"id":"d5355a69-b782-470f-96e0-37cbeea37eb5","block_type":"box","text":"28","page_number":232,"box":{"x":302,"y":476,"width":9,"height":4}},{"id":"fd0296c9-6c61-44b7-bb80-d03674e29faf","block_type":"box","text":"Scope 1:","page_number":232,"box":{"x":101,"y":498,"width":63,"height":11}},{"id":"05681991-fd76-464a-b28a-3f1055aae354","block_type":"box","text":"Direct GHG emissions. Direct GHG emissions occur from sources that are owned or controlled by the","page_number":232,"box":{"x":172,"y":498,"width":718,"height":11}},{"id":"e01fad82-1ead-40b2-82c3-3d2ec732c1b4","block_type":"box","text":"company, for example, emissions from combustion in owned or controlled boilers, furnaces, vehicles, etc.; emissions","page_number":232,"box":{"x":69,"y":513,"width":836,"height":11}},{"id":"dafcd8f0-ab58-418c-8eff-ab9c48837301","block_type":"box","text":"from chemical production in owned or controlled process equipment.","page_number":232,"box":{"x":68,"y":528,"width":489,"height":11}},{"id":"e1ac5906-0aa1-4db5-8e17-d90b1e9445a7","block_type":"box","text":"29","page_number":232,"box":{"x":559,"y":529,"width":9,"height":4}},{"id":"d8263d87-e9b7-42c1-9c63-5e5ba79d5239","block_type":"box","text":"Scope 2","page_number":232,"box":{"x":101,"y":551,"width":59,"height":11}},{"id":"7a018a13-f183-4fa1-9098-b4cc56044ddd","block_type":"box","text":": Electricity indirect GHG emissions Scope 2 accounts for GHG emissions from the generation of","page_number":232,"box":{"x":162,"y":551,"width":685,"height":11}},{"id":"4c669db5-1b25-447d-84cf-babfdc8b2549","block_type":"box","text":"purchased electricity [steam, and heating/cooling] consumed by the company. [It] is defined as electricity [steam,","page_number":232,"box":{"x":70,"y":566,"width":807,"height":11}},{"id":"8b7d5baf-647b-4771-9109-2da13e8a7dbb","block_type":"box","text":"and heating/cooling] that is purchased or otherwise brought into the organizational boundary of the company.","page_number":232,"box":{"x":69,"y":581,"width":781,"height":12}},{"id":"f2dcda97-11e7-4f83-9e1f-0b9e966cad63","block_type":"box","text":"30","page_number":232,"box":{"x":852,"y":582,"width":9,"height":4}},{"id":"6ae5effb-7578-429c-9ed9-68d0fb3084fe","block_type":"box","text":"Scope 3:","page_number":232,"box":{"x":101,"y":604,"width":63,"height":11}},{"id":"572ce81c-b131-4916-bed2-5e4c41f8a553","block_type":"box","text":"Other indirect GHG emissions. Scope 3 is an optional reporting category that allows for the treatment","page_number":232,"box":{"x":171,"y":604,"width":725,"height":11}},{"id":"e2afebeb-f278-4fa8-a278-3829253f8e4c","block_type":"box","text":"of all other indirect emissions. Scope 3 emissions are a consequence of the activities of the company, but occur","page_number":232,"box":{"x":69,"y":619,"width":803,"height":11}},{"id":"e26b0a02-83e6-42d8-8a08-083d2b100247","block_type":"box","text":"from sources not owned or controlled by the company.","page_number":232,"box":{"x":68,"y":634,"width":386,"height":11}},{"id":"b74ae95a-db59-4ef0-a3a6-a17e39106ad7","block_type":"box","text":"31","page_number":232,"box":{"x":456,"y":635,"width":9,"height":4}},{"id":"3bb64e66-796f-4f82-bc01-574ccf2aebc8","block_type":"box","text":"27","page_number":232,"box":{"x":69,"y":679,"width":8,"height":4}},{"id":"1d419b6a-1264-436a-9144-58b681aa79e8","block_type":"box","text":"As defined by the International Financial Reporting Standards, “IFRS S2: Climate-related Disclosures,” June 2023..","page_number":232,"box":{"x":83,"y":679,"width":821,"height":11}},{"id":"5556a6d3-b91f-440a-bdd1-849351e99fc3","block_type":"box","text":"Several jurisdictions are basing their own transition plan disclosure frameworks on the IFRS S2 definition. We","page_number":232,"box":{"x":69,"y":694,"width":779,"height":11}},{"id":"bfcdc3ca-4d9c-498b-826f-3ba010b03bda","block_type":"box","text":"anticipate transition plan disclosure becoming mandatory in an increasing number of jurisdictions over the near term.","page_number":232,"box":{"x":69,"y":709,"width":836,"height":11}},{"id":"12877ec7-9ce6-4ecc-bc48-cbd4ba70f04c","block_type":"box","text":"28","page_number":232,"box":{"x":69,"y":727,"width":9,"height":4}},{"id":"4b97d40e-c6e5-432d-bf97-62f170df97a9","block_type":"box","text":"As defined by the Science Based Targets initiative (SBTi). SBTi “is a corporate climate action organization that","page_number":232,"box":{"x":83,"y":726,"width":785,"height":12}},{"id":"43c67d46-5390-4b3b-8a4c-bfc069e4c8c8","block_type":"box","text":"enables companies and financial institutions worldwide to play their part in combating the climate crisis. We develop","page_number":232,"box":{"x":69,"y":742,"width":831,"height":11}},{"id":"8a3ec8d9-d2f9-4910-978f-f8d20d900f16","block_type":"box","text":"standards, tools and guidance which allow companies to set greenhouse gas (GHG) emissions reductions targets in","page_number":232,"box":{"x":69,"y":757,"width":826,"height":11}},{"id":"f51f3027-8304-42d5-ab37-d58dad884668","block_type":"box","text":"line with what is needed to keep global heating below catastrophic levels and reach net-zero by 2050 at latest.”","page_number":232,"box":{"x":70,"y":772,"width":795,"height":11}},{"id":"21b24a3c-e2d3-4508-a14c-cfaa040fcb03","block_type":"box","text":"Source: Science Based Targets initiative, “About Us.” Websites accessed in December 2025.","page_number":232,"box":{"x":69,"y":787,"width":666,"height":11}},{"id":"2e8fe7a2-d7f5-4f68-9de9-f5c60f331645","block_type":"box","text":"29","page_number":232,"box":{"x":69,"y":805,"width":9,"height":4}},{"id":"5bf9586b-f932-4372-ad4b-4b6a0adac397","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":232,"box":{"x":84,"y":805,"width":670,"height":11}},{"id":"683f4864-3cc5-49c7-8ae3-edb776b00cb2","block_type":"box","text":"30","page_number":232,"box":{"x":69,"y":823,"width":9,"height":4}},{"id":"4d9a19d2-fd89-4acf-af4e-231578c0dc2a","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":232,"box":{"x":84,"y":822,"width":670,"height":12}},{"id":"daaefc1a-5476-460a-b32b-936a3496e614","block_type":"box","text":"31","page_number":232,"box":{"x":69,"y":840,"width":9,"height":5}},{"id":"6b2d0ea4-8423-4e47-a656-c73c6270430d","block_type":"box","text":"Greenhouse Gas Protocol, “A Corporate Accounting and Reporting Standard,” Revised Edition.","page_number":232,"box":{"x":84,"y":840,"width":670,"height":11}},{"id":"4e9aaeeb-e75a-41e9-b3a6-7b7b3661337c","block_type":"box","text":"BlackRock Investment Stewardship","page_number":232,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"fdcab240-afe1-4d3b-ad2f-94aca5d615bb","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 10","page_number":232,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"af11f61e-4280-4a9e-91ca-e515810c6738","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":232,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"05af302f-11a5-4fd8-abbb-ff1be185d179","block_type":"box","text":"Appendix 2","page_number":233,"box":{"x":68,"y":45,"width":82,"height":11}},{"id":"b85f2b14-7075-4e29-a822-b2e594eff83a","block_type":"box","text":"Comparison of key differences between how the BIS’ Benchmark Policies considers climate-related risks,","page_number":233,"box":{"x":101,"y":67,"width":771,"height":11}},{"id":"86f1e6f9-5f71-4911-931d-5e3441d9c507","block_type":"box","text":"where appropriate, and these Guidelines:","page_number":233,"box":{"x":68,"y":83,"width":299,"height":10}},{"id":"1496f063-19f6-4164-b807-84286db08e03","block_type":"box","text":"32","page_number":233,"box":{"x":368,"y":83,"width":10,"height":4}},{"id":"46e8fc4e-d6fc-4b59-b79c-2f278f1d4fee","block_type":"box","text":"BIS Benchmark Policies","page_number":233,"box":{"x":302,"y":106,"width":174,"height":9}},{"id":"b917ec20-2a80-4b22-9de8-b44bb3dbbe9f","block_type":"box","text":"33","page_number":233,"box":{"x":477,"y":107,"width":9,"height":4}},{"id":"3daa4b09-c441-492b-b929-09ba3c9a7a92","block_type":"box","text":"Decarbonization Guidelines","page_number":233,"box":{"x":643,"y":106,"width":196,"height":9}},{"id":"00c8d39d-b302-4467-8b29-b8438d6cfe7e","block_type":"box","text":"Key concepts","page_number":233,"box":{"x":75,"y":122,"width":98,"height":11}},{"id":"a0badeaf-b512-4381-b15d-3c5a38acaf61","block_type":"box","text":"Focuses on financial performance","page_number":233,"box":{"x":232,"y":121,"width":240,"height":11}},{"id":"52d3e44d-f712-4c1f-b893-58ab7acae994","block_type":"box","text":"and engages companies on","page_number":233,"box":{"x":231,"y":137,"width":195,"height":11}},{"id":"895ac9b7-2cf7-4e6a-aefe-a81c83d99c07","block_type":"box","text":"climate and transition topics when","page_number":233,"box":{"x":231,"y":152,"width":244,"height":11}},{"id":"d0411d12-d4a7-4aae-9ffc-3df8aa30f609","block_type":"box","text":"material to their business","page_number":233,"box":{"x":232,"y":167,"width":181,"height":9}},{"id":"bbe010b2-46bc-430a-93f4-e49c0b775619","block_type":"box","text":"Prioritizes the disclosure of how a","page_number":233,"box":{"x":232,"y":186,"width":239,"height":9}},{"id":"dcd86a74-1c5c-405f-9467-3873db9464ba","block_type":"box","text":"company is managing material","page_number":233,"box":{"x":231,"y":201,"width":215,"height":11}},{"id":"7632ba0a-b3a8-4bcf-93c1-fcf34d8866e5","block_type":"box","text":"climate and transition-related risks","page_number":233,"box":{"x":231,"y":216,"width":246,"height":9}},{"id":"00906a41-76d0-486b-984e-bcd568520b2d","block_type":"box","text":"and opportunities","page_number":233,"box":{"x":231,"y":231,"width":125,"height":11}},{"id":"1a1508e5-88af-41ef-b821-a0676a9b2eb0","block_type":"box","text":"Considers both financial performance","page_number":233,"box":{"x":578,"y":121,"width":267,"height":11}},{"id":"e507e145-a6e9-4db2-be84-c04b32a5ebf6","block_type":"box","text":"and decarbonization objectives","page_number":233,"box":{"x":578,"y":137,"width":218,"height":11}},{"id":"fa5fe88d-1fcf-4b84-ae08-ad1a1ee27808","block_type":"box","text":"consistent with funds’ and clients’","page_number":233,"box":{"x":577,"y":152,"width":244,"height":9}},{"id":"20d01568-1d6a-4e70-9597-2b58e1a8e630","block_type":"box","text":"investment objectives","page_number":233,"box":{"x":578,"y":167,"width":153,"height":11}},{"id":"9fa5e741-7cb2-4098-ab9e-afacb4b5ae81","block_type":"box","text":"Assesses the alignment of a","page_number":233,"box":{"x":577,"y":186,"width":203,"height":11}},{"id":"e1631de8-27e7-4dcf-8c76-ad3ce59e3237","block_type":"box","text":"company’s business model","page_number":233,"box":{"x":577,"y":201,"width":193,"height":11}},{"id":"3a1a038c-7df4-4030-9c7b-04c059ec7dee","block_type":"box","text":"with the ambition to limit global","page_number":233,"box":{"x":577,"y":216,"width":223,"height":11}},{"id":"f099ba41-32c5-4271-a2ff-3898ee0cb5cf","block_type":"box","text":"average temperature rise to","page_number":233,"box":{"x":578,"y":231,"width":196,"height":11}},{"id":"3f3bf27f-f70c-46b2-8e97-a0fcee13f854","block_type":"box","text":"1.5°C above pre-industrial levels","page_number":233,"box":{"x":578,"y":246,"width":230,"height":11}},{"id":"9761c9f4-239f-4545-87d0-95a494b2913d","block_type":"box","text":"Prioritized","page_number":233,"box":{"x":75,"y":269,"width":72,"height":9}},{"id":"9acbf72d-905e-47bd-bbd7-0f83ec178a4c","block_type":"box","text":"companies for","page_number":233,"box":{"x":74,"y":284,"width":103,"height":11}},{"id":"7e9c480a-ada1-46da-8058-f5d4f4d1dac6","block_type":"box","text":"climate-related","page_number":233,"box":{"x":74,"y":299,"width":109,"height":9}},{"id":"77957ed0-2bab-40fb-a72f-416f1f64bd2c","block_type":"box","text":"engagement","page_number":233,"box":{"x":74,"y":315,"width":90,"height":10}},{"id":"0b6fe8fa-a7b6-40df-a6b6-807dc0f8de37","block_type":"box","text":"Largest Scope 1 and 2 GHG emitters Largest total value chain GHG","page_number":233,"box":{"x":232,"y":269,"width":557,"height":11}},{"id":"a3fef4ec-d429-4c96-a6a0-a0f11c62d9bf","block_type":"box","text":"emitters (Scope 1, 2, and 3)","page_number":233,"box":{"x":578,"y":284,"width":201,"height":11}},{"id":"7f07b8b6-a3c3-4edd-a94b-64b5c181dad2","block_type":"box","text":"Emissions","page_number":233,"box":{"x":75,"y":337,"width":72,"height":9}},{"id":"3ada4c87-c456-4a96-b59b-fd35a84fa19a","block_type":"box","text":"reporting","page_number":233,"box":{"x":75,"y":352,"width":66,"height":11}},{"id":"b4c566a5-8f46-4988-8823-55319bef4c6e","block_type":"box","text":"Seeks reporting of Scope 1 and 2 Seeks reporting of Scope 1, 2 and","page_number":233,"box":{"x":231,"y":337,"width":592,"height":11}},{"id":"9844726c-0a41-4957-86dc-ad4efc619fdc","block_type":"box","text":"significant 3","page_number":233,"box":{"x":578,"y":352,"width":86,"height":11}},{"id":"60f4fab0-a8bd-4aaa-abf1-c43a020c0616","block_type":"box","text":"Emissions targets","page_number":233,"box":{"x":75,"y":375,"width":130,"height":11}},{"id":"4109fd1f-effc-42f9-9506-6d624acafc3c","block_type":"box","text":"& decarbonization","page_number":233,"box":{"x":74,"y":390,"width":131,"height":9}},{"id":"e1b2309e-f772-452c-8d99-fe1536072916","block_type":"box","text":"efforts","page_number":233,"box":{"x":74,"y":405,"width":48,"height":9}},{"id":"3edb51f8-f93f-44b0-9a99-ce44960bb722","block_type":"box","text":"Seeks the disclosure of Scope 1 and","page_number":233,"box":{"x":231,"y":375,"width":262,"height":11}},{"id":"1c4ad7f5-0f63-41ec-becd-816a4b8909e8","block_type":"box","text":"2 targets","page_number":233,"box":{"x":231,"y":390,"width":64,"height":11}},{"id":"2a31a57b-66eb-4783-af3c-d24a2954fea5","block_type":"box","text":"Seeks Scope 1 and 2 targets and","page_number":233,"box":{"x":578,"y":375,"width":239,"height":11}},{"id":"98b1bb0e-5efc-4812-aa81-5de9b0a7c364","block_type":"box","text":"assesses decarbonization efforts","page_number":233,"box":{"x":578,"y":390,"width":238,"height":9}},{"id":"942ba239-ae61-4fba-bc6f-57808b1562ab","block_type":"box","text":"Temperature &","page_number":233,"box":{"x":74,"y":428,"width":108,"height":11}},{"id":"95dc68d3-0c8c-476c-915f-76aa83c8ff5c","block_type":"box","text":"scenario","page_number":233,"box":{"x":74,"y":443,"width":61,"height":9}},{"id":"5574c2f2-a146-43d1-abc6-0159e29fc112","block_type":"box","text":"alignment/","page_number":233,"box":{"x":74,"y":458,"width":82,"height":11}},{"id":"0c47f8f8-0abb-4108-b779-19943c9e4719","block_type":"box","text":"pathways","page_number":233,"box":{"x":75,"y":473,"width":68,"height":11}},{"id":"a873965d-5aaa-4b1a-a84b-07cc6b1b7f6b","block_type":"box","text":"Seeks disclosure from companies","page_number":233,"box":{"x":231,"y":428,"width":241,"height":11}},{"id":"640895d2-6455-40e0-92c2-1e3fec206990","block_type":"box","text":"that identifies and discusses the","page_number":233,"box":{"x":231,"y":443,"width":233,"height":9}},{"id":"7369e983-1f79-4f99-8c37-60e122139cfc","block_type":"box","text":"most plausible decarbonization","page_number":233,"box":{"x":232,"y":458,"width":219,"height":11}},{"id":"0b98828b-bbc9-4526-8f68-3313315534e3","block_type":"box","text":"pathway","page_number":233,"box":{"x":232,"y":473,"width":57,"height":11}},{"id":"f35dcb91-e217-469d-bf92-64ac966d5a7e","block_type":"box","text":"Assesses temperature and","page_number":233,"box":{"x":577,"y":428,"width":191,"height":11}},{"id":"c3045b02-ce2b-4191-9799-a34602f1c5db","block_type":"box","text":"scenario alignment/pathways","page_number":233,"box":{"x":578,"y":443,"width":209,"height":11}},{"id":"667804c4-0ec5-42a4-b1bd-f2677c63724a","block_type":"box","text":"to 1.5°C degrees","page_number":233,"box":{"x":577,"y":458,"width":121,"height":11}},{"id":"74982bae-17c1-441e-9674-6047bf090b2c","block_type":"box","text":"Science-based","page_number":233,"box":{"x":74,"y":496,"width":104,"height":9}},{"id":"57c7636f-1339-43b5-b296-50ef7463618e","block_type":"box","text":"targets","page_number":233,"box":{"x":74,"y":511,"width":53,"height":11}},{"id":"49fce5a0-67a7-4faa-a567-8511bb53ef50","block_type":"box","text":"commitments &","page_number":233,"box":{"x":74,"y":526,"width":116,"height":9}},{"id":"1a16304c-40ea-4b70-9dab-3ce64d044195","block_type":"box","text":"verifications","page_number":233,"box":{"x":74,"y":541,"width":89,"height":9}},{"id":"a59ed008-f7bb-497d-8919-6743ca8c537d","block_type":"box","text":"Disclosure topic but not vote","page_number":233,"box":{"x":232,"y":496,"width":203,"height":11}},{"id":"e00cd7ad-15ef-425d-8c85-d231941fc15d","block_type":"box","text":"escalation criteria","page_number":233,"box":{"x":231,"y":511,"width":126,"height":9}},{"id":"d8f87cf2-8cfd-425c-951f-0816b002efef","block_type":"box","text":"Seeks science-based targets and","page_number":233,"box":{"x":578,"y":496,"width":235,"height":11}},{"id":"24ba8655-8d38-4ece-b311-cb89ea2dafd5","block_type":"box","text":"verifications where possible; may","page_number":233,"box":{"x":577,"y":511,"width":237,"height":11}},{"id":"53085590-e4d1-426e-86a4-70f78e3c0121","block_type":"box","text":"take voting action where absent","page_number":233,"box":{"x":577,"y":526,"width":227,"height":11}},{"id":"1522157d-ca9e-4b0e-98fb-b35649e8c436","block_type":"box","text":"Company’s role in","page_number":233,"box":{"x":74,"y":564,"width":130,"height":11}},{"id":"266848ce-b9a2-41f9-8708-fac4379e4740","block_type":"box","text":"the transition","page_number":233,"box":{"x":74,"y":579,"width":98,"height":9}},{"id":"b5efd64c-9678-4bee-b941-0536988718d7","block_type":"box","text":"Disclosure topic but not vote","page_number":233,"box":{"x":232,"y":564,"width":203,"height":11}},{"id":"423c86ec-d52a-49c1-ae11-601d9f079e5e","block_type":"box","text":"escalation criteria","page_number":233,"box":{"x":231,"y":579,"width":126,"height":9}},{"id":"fbd473a3-1906-4325-b0db-543043f8d7ed","block_type":"box","text":"Assesses activities benefitting from","page_number":233,"box":{"x":577,"y":564,"width":254,"height":11}},{"id":"1a719334-c54b-49e9-b9c5-c599063146db","block_type":"box","text":"and/or contributing to the transition","page_number":233,"box":{"x":578,"y":579,"width":254,"height":11}},{"id":"c8ec6d27-d5ce-4631-b1e0-c089c8fa7383","block_type":"box","text":"to a low-carbon economy","page_number":233,"box":{"x":577,"y":594,"width":176,"height":11}},{"id":"b034441f-9679-4267-abd7-d4e055c10ee7","block_type":"box","text":"Shareholder","page_number":233,"box":{"x":74,"y":617,"width":87,"height":9}},{"id":"2d7ec6ba-4b57-44e3-9891-836a65360ff0","block_type":"box","text":"proposals","page_number":233,"box":{"x":75,"y":632,"width":69,"height":11}},{"id":"37bda762-61df-47ce-b050-3554644a7f03","block_type":"box","text":"Case-by-case approach with focus","page_number":233,"box":{"x":231,"y":617,"width":240,"height":11}},{"id":"ddcef412-9604-4848-b58f-e2ebc97e557b","block_type":"box","text":"on implications for long-term","page_number":233,"box":{"x":231,"y":632,"width":202,"height":11}},{"id":"8b545a64-e48a-462d-850f-08f85242f3c5","block_type":"box","text":"financial value creation","page_number":233,"box":{"x":231,"y":647,"width":163,"height":9}},{"id":"33061f3e-f816-40f4-93fb-c7aa7c6c95ad","block_type":"box","text":"No support for shareholder","page_number":233,"box":{"x":232,"y":666,"width":192,"height":11}},{"id":"253a50fe-1a0e-44b8-ab80-505edd56b8bd","block_type":"box","text":"proposals that seek to direct","page_number":233,"box":{"x":232,"y":681,"width":205,"height":11}},{"id":"40783a72-7ff7-4ffd-9db2-959d27745b36","block_type":"box","text":"management strategy","page_number":233,"box":{"x":232,"y":697,"width":153,"height":10}},{"id":"9e5c970c-5886-4cbf-b3ec-0efd72623c8e","block_type":"box","text":"Case-by-case approach with","page_number":233,"box":{"x":578,"y":617,"width":195,"height":11}},{"id":"4f041dff-18c2-42e2-aaf4-e7c9ab8b6d66","block_type":"box","text":"further consideration given to","page_number":233,"box":{"x":577,"y":632,"width":209,"height":11}},{"id":"fafa6e49-3178-4df1-bc65-b86c06130886","block_type":"box","text":"decarbonization objectives in","page_number":233,"box":{"x":578,"y":647,"width":204,"height":11}},{"id":"ff573e5d-a35e-4111-862a-1ff3deb7ba00","block_type":"box","text":"addition to financial performance","page_number":233,"box":{"x":578,"y":662,"width":235,"height":11}},{"id":"1bdafcac-e9bb-4501-a598-fed2e56d54ee","block_type":"box","text":"No support for shareholder","page_number":233,"box":{"x":578,"y":681,"width":192,"height":11}},{"id":"4726cb41-aee5-487d-9172-937b2aa38e30","block_type":"box","text":"proposals that seek to direct","page_number":233,"box":{"x":578,"y":696,"width":205,"height":11}},{"id":"4e95c99b-6c56-49a1-a965-68a13748cb29","block_type":"box","text":"management strategy","page_number":233,"box":{"x":578,"y":712,"width":154,"height":10}},{"id":"5e86b4bc-b3de-4895-a865-b0c06eec5213","block_type":"box","text":"32","page_number":233,"box":{"x":69,"y":750,"width":9,"height":5}},{"id":"9dcbdf2d-ca20-448e-a11e-cfd58b6771ba","block_type":"box","text":"There may be some regional variations in voting under these Guidelines in light of company circumstances, policy","page_number":233,"box":{"x":83,"y":750,"width":809,"height":11}},{"id":"86678b06-85d4-4756-97f5-a57c024f60f0","block_type":"box","text":"requirements in a particular market or a country’s Nationally Defined Contributions, amongst other things.","page_number":233,"box":{"x":69,"y":765,"width":755,"height":11}},{"id":"eca011b6-1d79-4c33-8f7d-179bcfe5e0aa","block_type":"box","text":"33","page_number":233,"box":{"x":69,"y":783,"width":9,"height":4}},{"id":"b321c675-5acc-4096-b7d2-f07735334d5f","block_type":"box","text":"The BIS Global Principles, regional voting guidelines, and Engagement Priorities (collectively, the BIS Benchmark","page_number":233,"box":{"x":83,"y":783,"width":798,"height":11}},{"id":"9e9afc5d-c030-4ba5-b44e-e3a1d7b45391","block_type":"box","text":"Policies) set out the core elements of corporate governance that guide our investment stewardship program. The","page_number":233,"box":{"x":69,"y":798,"width":803,"height":11}},{"id":"ef3eb415-5145-4237-8669-493c21ba5d98","block_type":"box","text":"Benchmark Policies apply to clients’ assets invested through index equity strategies, take a financial materiality","page_number":233,"box":{"x":70,"y":813,"width":800,"height":11}},{"id":"e1295e5a-5eef-475f-b9e7-3918c821eb81","block_type":"box","text":"based approach, and are focused solely on advancing clients’ long-term financial interests.","page_number":233,"box":{"x":69,"y":828,"width":648,"height":11}},{"id":"3affa816-e8f4-42e6-8477-bb5ce728bc0f","block_type":"box","text":"BlackRock Investment Stewardship","page_number":233,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"6b521927-71f6-4015-97b2-8bbadf279b65","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 11","page_number":233,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"fc50aaab-6fd2-4f14-a934-1b489449e1b1","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":233,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"5cbfe752-e8d2-4eef-a988-6f27d95f5113","block_type":"box","text":"Want to know more?","page_number":234,"box":{"x":68,"y":731,"width":152,"height":9}},{"id":"bcaf08a2-e7f1-4a92-9914-3eb6d13c124d","block_type":"box","text":"blackrock.com/stewardship | contactstewardship@blackrock.com","page_number":234,"box":{"x":69,"y":761,"width":464,"height":13}},{"id":"d404eb23-1325-4ebb-8641-e31eafbf2f41","block_type":"box","text":"This document is provided for information and educational purposes only. Investing involves risk, including the loss of","page_number":234,"box":{"x":68,"y":792,"width":839,"height":11}},{"id":"977d33d1-6046-4917-8637-b5e7972b4534","block_type":"box","text":"principal.","page_number":234,"box":{"x":70,"y":807,"width":62,"height":11}},{"id":"38ef330d-4d5b-4a08-a22c-6d4b433d2d55","block_type":"box","text":"Prepared by BlackRock, Inc.","page_number":234,"box":{"x":69,"y":852,"width":196,"height":11}},{"id":"30a4df59-567b-45c0-9810-98f163b35607","block_type":"box","text":"©2025 BlackRock, Inc. All rights reserved.","page_number":234,"box":{"x":69,"y":883,"width":303,"height":11}},{"id":"1a5d1b20-6c27-4069-bb16-b24fc478a9b4","block_type":"box","text":"BLACKROCK","page_number":234,"box":{"x":379,"y":883,"width":92,"height":8}},{"id":"1111e10a-bf2d-41eb-8d08-d47699bdf423","block_type":"box","text":"is a trademark of BlackRock, Inc., or its subsidiaries in the","page_number":234,"box":{"x":478,"y":882,"width":417,"height":11}},{"id":"682c1a6f-da35-4d2c-9014-d12aac159199","block_type":"box","text":"United States and elsewhere. All other trademarks are those of their respective owners.","page_number":234,"box":{"x":70,"y":898,"width":624,"height":11}},{"id":"8e36248f-77db-4848-9807-c40736ba474e","block_type":"box","text":"BlackRock Investment Stewardship","page_number":234,"box":{"x":69,"y":943,"width":260,"height":11}},{"id":"d5f9f107-b28e-4409-ba8d-467e91a7587d","block_type":"box","text":"Climate and Decarbonization Stewardship Guidelines | 12","page_number":234,"box":{"x":500,"y":942,"width":409,"height":13}},{"id":"bc59c33e-6148-430f-868a-8a155c344601","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":234,"box":{"x":647,"y":981,"width":171,"height":7}},{"id":"b6dfc9e8-6dbf-49ba-95de-aeea9b30e639","block_type":"box","text":"SAI-LCFG-0926","page_number":235,"box":{"x":69,"y":943,"width":105,"height":9}},{"id":"9f6d94a2-0250-43f9-8207-f57f56d5eae3","block_type":"box","text":"BNM1026U-6032633-19203504","page_number":235,"box":{"x":647,"y":981,"width":171,"height":7}}],"unit":"per_mille","page_width":[{"value":594,"pages":[1,2,3,4,5,6,7]},{"value":612,"pages":[8,9,10,11,12,13,14,15,16,17,18,19,20,21,22,23,24,25,26,27,28,29,30,31,32,33,34,35,36,37,38,39,40,41,42,43,44,45,46,47,48,49,50,51,52,53,54,55,56,57,58,59,60,61,62,63,64,65,66,67,68,69,70,71,72,73,74,75,76,77,78,79,80,81,82,83,84,85,86,87,88,89,90,91,92,93,94,95,96,97,98,99,100,101,102,103,104,105,106,107,108,109,110,111,112,113,114,115,116,117,118,119,120,121,122,123,124,125,126,127,128,129,130,131,132,133,134,135,136,137,138,139,140,141,142,143,144,145,146,147,148,149,150,151,152,153,154,155,156,157,158,159,160,161,162,163,164,165,166,167,168,169,170,171,172,173,174,175,176,177,178,179,180,181,182,183,184,185,186,187,188,189,190,191,192,193,194,195,196,197,198,199,200,201,202,203,204,205,206,207,208,209,210,211,212,213,214,215,216,217,218,219,220,221,222,223,224,225,226,227,228,229,230,231,232,233,234,235]}],"page_height":[{"value":774,"pages":[1,2,3,4,5,6,7]},{"value":792,"pages":[8,9,10,11,12,13,14,15,16,17,18,19,20,21,22,23,24,25,26,27,28,29,30,31,32,33,34,35,36,37,38,39,40,41,42,43,44,45,46,47,48,49,50,51,52,53,54,55,56,57,58,59,60,61,62,63,64,65,66,67,68,69,70,71,72,73,74,75,76,77,78,79,80,81,82,83,84,85,86,87,88,89,90,91,92,93,94,95,96,97,98,99,100,101,102,103,104,105,106,107,108,109,110,111,112,113,114,115,116,117,118,119,120,121,122,123,124,125,126,127,128,129,130,131,132,133,134,135,136,137,138,139,140,141,142,143,144,145,146,147,148,149,150,151,152,153,154,155,156,157,158,159,160,161,162,163,164,165,166,167,168,169,170,171,172,173,174,175,176,177,178,179,180,181,182,183,184,185,186,187,188,189,190,191,192,193,194,195,196,197,198,199,200,201,202,203,204,205,206,207,208,209,210,211,212,213,214,215,216,217,218,219,220,221,222,223,224,225,226,227,228,229,230,231,232,233,234,235]}],"attributes":{"chunk_type":"page_range","start_page":1,"end_page":235}},"source":{"type":"Model","id":"github:dorsalhub/pdf-extractor","version":"0.5.0","execution_id":"00ac77c0-b6d8-49b8-a212-757bdb2093e8"},"user_id":1000002,"date_created":"2026-10-19T22:24:44.736000Z","date_modified":"2026-10-19T22:24:44.736000Z","private":false}